I had the opportunity to be in Sacramento last week and listened to the Governor’s speech about how he wants to tackle the State’s budget problems. I agreed with him on two points: 1) we have a daunting task in trying to stabilize this state budget crisis and 2) he suggested that we will all have to take a step back and use some common sense when addressing those problems. Although the Governor recognizes the positive results of redevelopment, he made it clear that shifting these funds is necessary. I am having a difficult time understanding the rational for doing this given the state’s unemployment rate is more than 12%. Redevelopment agencies are the driving engines for cities to help create the infrastructure needed for new plans for older areas that require change and clean up. Redevelopment agencies build and improve communities, create job growth and are the most significant providers of affordable housing. In my opinion as proposed, it makes no sense to eliminate such a vehicle that could be financially beneficial to communities. Creating economic development, translates to business and sales tax revenue.
A healthy city continually experiences growth through redevelopment in both business and residential properties. We are still focused on the development of our 15 acre site because its use will benefit Foster City for years to come. If this decision by the governor succeeds, in the way that he is proposing, it could negatively affect the business climate in our communities.
Of course let’s not forget that the voters overwhelmingly passed Proposition 22 last November which protects local revenues. It will be interesting to see how Proposition 22 affects this attempted fund grabbing by the state.
I recognize that the problems on the state level cannot be solved all at once and by one person. I understand the difficulties in trying to find the best way to attack financial issues with just trying to find the right balance of cuts and changes needed to fix our smaller problem. This brings the common sense element into the equation. The political parties and the special interest groups must take a hard look at the needs of the people and not themselves or we are just spinning our wheels. It can’t be business as usual. The people of California cannot continue to shoulder the burden that has been created over the years.
The governor is suggesting we work together to attack the problems. As we have seen locally, as soon as economic challenges began to unfold, the cities in our area began this process of working together using a “sharing of services” model to reduce some of their expenses. In essence, I feel local government officials are being proactive in trying to trim expenses while still providing essential services. In my opinion state lawmakers have yet to figure that out. While the “perfect storm” of economic spiraling continues and the state borrowing takes on new challenges, we at the local level have to make the tough decisions to keep our essential services in place.
With the hard choices this council is facing of having to cut our own budget, I am concerned that in the process to date, we are eliminating the very programs that create community. Those activities may not be part of the essential services list, but they are the quality of life amenities that set Foster City apart from other communities. I am concerned about chopping away too deeply into our special recreational events and activities because these community events are the backdrop of our vibrant city. Until June, the council will continue the process of dialing in on the right plan of action that will get us to our goal of balancing the budget by 2013-14 and still have ample reserves; a policy course that will affect us for years to come. I am committed to that goal but I am not convinced that we have to cut away as much of what is being proposed to date. I am more inclined to be creative and try to find new ways of being able to provide these amenities without compromising funding needed for infrastructure maintenance and safety.
I encourage residents to be proactive in our budget process. Attend the sessions scheduled for the next few months and offer your suggestions. Collective thinking outside the box may produce new revenue ideas to protect the amenities that are a part of the core of our city. We can be the example to state lawmakers about what it takes to work together.
I invite comments on this and other issues by emailing me at lkoelling@fostercity.org.
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