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Archive for the 'If you could cut the budget' Category

Sadly, UC bosses won’t be getting their bonuses

March 20th, 2009, 11:46 am by Marla Jo Fisher, Staff Writer

Senior management at the University of California who earn more than $100,000 a year won’t be getting the bonuses they had been promised. Unlike AIG.

All because those pesky people at the state treasurer’s office can’t find any more money for UC.  The 9-campus system is reporting a $450 million budget cut over two years. Students, of course, are already suffering with course reductions (and no corresponding drop in tuition).

UC agenda item on bonuses

Database of UC salaries from 2007

Now, other state employees have already been forced to take unpaid furloughs, except not at UC. At least not yet. The UC president has asked his underlings to develop a way to administer furloughs “should they become necessary,” according to a press release.

(Incidentally, it doesn’t cover doctors, who will continue to earn from their clinical practices.)

Here’s the notice from this week’s agenda for the UC Regents, who were meeting at UC Riverside:

Further restrictions on senior-level bonuses: The Regents this week approved more restrictions on the payout of bonuses and incentive pay, on top of the senior-level salary freeze and bonus restrictions adopted in January. With the expanded controls adopted this week, 2008-09 bonuses for senior managers and non-senior managers making more than $100,000 are canceled; pending bonuses from 2007-08 for senior managers and non-senior managers making more than $205,000 are canceled; and payouts of incentive compensation that may be pending from 2007-08 and may be earned in 2008-09 are deferred to the end of 2009-10. These actions do not affect clinical incentive plans or the incentive plan for personnel in the Treasurer’s Office.

Closing a fire station in a high-risk fire zone?

March 6th, 2009, 12:26 pm by Lou Ponsi, Staff Writer

 Brea is in a dire budget crisis. No secret there.

One of many fiscal solutions the city came up with that would cut into a projected $2.5 million shortfall for fiscal year 2009-10 was this: Close Fire Station 4 … the station in the middle of a high risk fire zone, the station in the heart of the recently fire-ravaged Carbon Canyon, with Olinda Village on one side and Hollydale Moblie Home Park on the other.

Read the article written by Lou Ponsi

This option was presented to the City Council during Tuesday’s study session, much to the dismay of canyon residents who showed up for the session and following council meeting.

In previous public forums, residents have stated that even in a budget crisis, they would not be willing to comprimise in the area of public safety.

Well, not only did city staff propose closing the station, it also proposed revising the “red flag” deployment strategy to a more severe level. In other words, the Fire Department would only increase staffing during extreme conditions condusive to fire risk.

Even Fire Chief Al Nero (who lives in Olinda Village) admitted that such measures would not be suggested if the city was not in a budget crisis.

Canyon residents Milt Burdick, a resident of Hollydale Mobile Home Park, said the city should consider other options.

“Hollydale residents use that station on average of three to five times a week, sometimes twice a day for emergency purposes,” Burdick told the council. “I know we’ve got a tight budget. But are we willing to lose a senior citizen because we’ve got a tight budget? That is something we have to weigh in and see.”

City Manager Tim O’Donnell said  shuttering Station 4 is merely an item up for evaluation at this point. To compensate, the city would likely contract with another agency for fire services, he said.  The City Council will make the final decisions on budget cuts.

 ”I think it is important to understand that saying don’t cut police and fire doesn’t mean you can’t reduce the cost of  those services without affecting the service delivery you provide,”  O’Donnell said. “This in incredibly difficult budget year … the worst I’ve seen in my 33 years in local government management.”

Said Mayor John Beauman, “We are talking about trimming expenses, not eliminating police and fire.”

Stay tuned.

Kang fires back at Shea as “misinformed and heartless”

September 27th, 2008, 7:00 am by Teri Sforza, Register staff writer

Each week, The Watchdog asks this question of one elected official:

If you could cut one thing from the budget, what would it be and why?

OUR DISCLAIMER: The Watchdog does not agree or disagree with the opinions expressed by said elected officials; we simply serve as the conduit between you, the people, and the folks you have elected to represent you. As the saying goes, the people get the government they deserve!

Background on Irvine Mayor Pro Tem Sukhee Kang:

  • Born in South Korea; graduated from Seoul’s respected Korea University; came to America in 1977.
  • Began his professional career with Circuit City’s sales and customer service; was promoted to senior management positions.
  • Was elected to Irvine City Council in 2004 and re-elected in 2006.
  • Is running for Mayor in November against Irvine Councilmember Christina Shea (whose if-you-could-cut-the-budget post criticizing Kang’s health care initiative he rebuts here).
  • Served on the Irvine Finance Commission; was the Governor’s appointee to the California Workforce Investment Board; and president of the Korean American Scholarship Foundation’s Western Region, which covers 13 states.
  • Wife, Joanne and two grown children: Alan, UC San Diego grad, a research scientist at Johnson and Johnson; and Angie, a UC Berkeley School of Law grad, associate attorney at Latham & Watkins.

WATCHDOG: Sukhee Kang, if you could cut one thing from the budget, what would it be and why?

KANG: I would cut unnecessary feasibility studies that yield no useful results. Since 2003, Councilmember Shea has been responsible for wasting more than $200,000 on two feasibility studies of her proposed Venta Spur/Jeffrey pedestrian bridge. The project would place a pedestrian bridge over Jeffrey Road next to The Groves senior citizens’ community in Northwood.

In 2003, City staff recommended not moving forward with the project. Despite strong opposition from residents of The Groves, Shea proposed another feasibility study for the project in 2006, which also yielded no useful results.

Meanwhile, Shea rails against the Irvine Children’s Health Program Initiative (I-CHP), calling it a waste of taxpayers’ money. She not only misunderstands the program, but misinforms readers about its intent.

I believe children’s health is one of the foundations of a community’s well-being. There are nearly 2,000 children in Irvine without health insurance. My goal is to make sure that every child in Irvine has decent and affordable health care. Read the rest of this entry »

Let folks fill out their own paperwork, save $200,000, Shea says

September 20th, 2008, 7:00 am by Teri Sforza, Register staff writer

 Each week, The Watchdog asks this question of one elected official:

If you could cut one thing from the budget, what would it be and why?

OUR DISCLAIMER: The Watchdog does not agree or disagree with the opinions expressed by said elected officials; we simply serve as the conduit between you, the people, and the folks you have elected to represent you. As the saying goes, the people get the government they deserve!

Background on Irvine City Councilmember Christina Shea:

  • Attended Glendale College before moving to Irvine in 1977, where she raised three children; earned a degree from Irvine Valley College, studied political science at Cal State Fullerton.
  • First elected to council in 1992; has served as mayor and councilmember; now running against Sukhee Kang for mayor in November.
  • Works as a Realtor and notary public, and runs Shea Consulting Group, which provides business development, government relations and political consulting services.
  • Has served on the Orange County Republican Central Committee.
  • Active in the American Cancer Society, Irvine Child Care Project, Human Options.
  • For fun: reading, entertaining friends, exercising, and spending time with her seven grandchildren.

Q. WATCHDOG: Christina Shea, if you could cut one thing from the budget, what would it be and why?

A. SHEA: I would cut the I-CHP program (Irvine Children’s Health Program Initiative) proposed by Mayor Pro Tem Sukhee Kang. It costs about $200,000 (over two years), and pays consultants to go door-to-door to help lower-income people get their children signed up for almost-free healthcare from the state’s Healthy Families and other programs.

To spend money on this - in a year when we had to borrow $6.5 million from our reserves to balance the budget - just doesn’t seem right. And we might have to borrow again next year to balance the budget.

Healthy Families is one of the state’s great health care programs for lower income families. But people can go to a local agency in Santa Ana to fill out their own paperwork. Government, in my mind, should not be paying to have people filling out forms. I mean, when are we going to go out to our community and start fixing people’s washers and dryers? There has to be an element of personal responsibility. We shouldn’t be filling out their paperwork; this is the individual’s responsibility and would save the city $200,000. This is a waste of taxpayer money.

‘Nightmare story:’ retirement fund loses $300 million

September 6th, 2008, 7:00 am by Teri Sforza, Register staff writer

moorlach.jpgEach week, The Watchdog asks this question of one elected official:

If you could cut one thing from the budget, what would it be and why?

OUR DISCLAIMER: The Watchdog does not agree or disagree with the opinions expressed by said elected officials; we simply serve as the conduit between you, the people, and the folks you have elected to represent you. As the saying goes, the people get the government they deserve!

Background on Chair of the Orange County Board of Supervisors, John Moorlach:

  • Was derided as “Chicken Little” while running for county treasurer in 1994 against Bob Citron, for predicting doom in the county investment pool. 
  • Has sported license plates saying DULLCPA and - after his predictions on the investment pool came true and $1.64 billion was lost - SKYFELL.
  • Represents the second district (including Costa Mesa, Cypress, Fountain Valley,
    Garden Grove, Huntington Beach, La Palma, Los Alamitos, Newport Beach, Seal Beach and
    Stanton).
  • Graduated from CSU Long Beach, 1977;  Certified Public Accountant, 1978; completed studies for Certified Financial Planner, 1987.
  • Was Vice President of Balser, Horowitz, Frank & Wakeling, an Accountancy Corporation; administrative partner of its Costa Mesa office.
  • Appointed county treasurer in 1995, after Citron was forced out; reelected twice.
  • Won seat on Board of Supervisors in 2006.
  • Has had extra training in public finance and employee pensions.
  • Active in  Old Courthouse Museum society; Orange County Historical Society; Christian Business Men’s Committee; Noble Viking Charities of Orange County; Defend the Bay; Orange County Freedom Committee.
  • Married, three children.

WATCHDOG: John Moorlach, if you could cut one thing from the budget, what would it be and why?

MOORLACH: Let me tell you a nightmare story that hasn’t hit the papers yet. Our retirement system, in the month of June, had a net decrease in asset value of $293 million. We contribute $306 million a year to the plan - so whatever scissors.jpgwe’re contributing has already been lost.

So when they lose that amount of money, how is it made up? They’re at a negative for the year to date, minus 3 percent earnings. They have to be positive 8 percent to make everything work. So we’re 11 percent behind. That adds to what the county will have to pay to fully fund pensions for retirees.

In 2001, the Board of Supervisors awarded retroactive pension increases to thousands of employees. It allowed them to retire as early as age 50, with pensions that paid 90 percent of their final salaries for the rest of their lives. That decision could cost the county between $100 million and $200 million.

Before the 2001 vote, our retirement system was fully-funded. A recent estimate found that it’s now underfunded by $2.7 billion. That money would have to come out of taxpayers’ pockets. Read the rest of this entry »

Spitzer: Spending addiction requires tough-love treatment

August 30th, 2008, 7:00 am by Teri Sforza, Register staff writer

sptizer.jpgEach week, The Watchdog asks this question of one elected official:

If you could cut one thing from the budget, what would it be and why?

OUR DISCLAIMER: The Watchdog does not agree or disagree with the opinions expressed by said elected officials; we simply serve as the conduit between you, the people, and the folks you have elected to represent you. As the saying goes, the people get the government they deserve!

Background on state Assemblyman Todd Spitzer:

  • Represents the 71st Assembly District (including parts of Tustin, Orange, Anaheim, Mission Viejo, Coto de Caza, Las Flores, Rancho Santa Margarita and Riverside County).
  • Chair of the Select Committee on Prison Construction and Operation, and the Health and Human Services, Revenue and Taxation and Joint Legislative Audit committees; co-chair of the High Risk Sex Offender Task Force
  • Bachelor’s in English, UCLA; master’s in public policy, Cal Berkeley; juris doctorate, UC Hastings
  • Taught English in East Los Angeles; Orange County Deputy District Attorney
  • Reserve police officer, Los Angeles Police Department
  • Wife, Jamie; son, Justin; daughter, Lauren.

WATCHDOG: Todd Spitzer, if you could cut one thing from the budget, what would it be and why?

SPITZER: If you look at government spending over the past four years, you’ll find that it has increased by 44 percent while revenues during that same time period have increased by only 40 percent. Simply put, we are spending more than we take in. It is clear that lawmakers have a spending problem; one that is systematically unsustainable. Read the rest of this entry »

Tran: Be as conservative as Bill Clinton, save half-a-billion

August 23rd, 2008, 6:00 am by Teri Sforza, Register staff writer

van-tran.jpg

Each week, The Watchdog asks this question of one elected official:

If you could cut one thing from the budget, what would it be and why?

OUR DISCLAIMER: The Watchdog does not agree or disagree with the opinions expressed by said elected officials; we simply serve as the conduit between you, the people, and the folks you have elected to represent you. As the saying goes, the people get the government they deserve!

Background on state Assemblyman Van Tran:

  • Republican representing the 68th Assembly District, including Anaheim, Costa Mesa, Fountain Valley, Garden Grove, Newport Beach, Stanton and Westminster
  • Highest ranking Vietnamese-American elected official in the nation
  • Chair of the Assembly Select Committee on International Trade; vice-chair of the Judiciary Committee; member of the Utilities and Commerce, Governmental Organization,  and Community Colleges committees; member of the Asian Pacific Islander Joint Caucus
  • His family came to America in 1975, evacuated by the U.S. Army a week before the fall of Saigon. Originally settling in Michigan, the Trans moved to Orange County while Van was in high school. He interned for Congressman Robert Dornan and for State Senator (now Congressman) Ed Royce.
  • Bachelor’s in political science, UCI; master’s in public administration and juris doctorate, Hamline University School of Law in Saint Paul
  • Managing partner of his own law practice, served on the Garden Grove Planning Commission, was vice mayor of Garden Grove
  • Married, wife Cyndi; one child, Alex.

WATCHDOG: Van Tran, if you could cut one thing from the budget, what would it be and why?

VAN TRAN: California needs a realistic state budget that cuts wasteful government spending and gets us back on track for economic success. Tax increases are not the answer to our budget problems. When then-Gov. Wilson increased taxes in 1992, state revenues declined.

Instead, Republicans have proposed a spending limit that will control state spending and create a rainy-day reserve for the future. We’ve also proposed an education budget plan that will give our schools a year-over-year increase in funding - without raising taxes or increasing the deficit.

The real issue is the refusal to cut spending despite a deficit near $20 billion. Raising taxes to pay for more government spending is the wrong approach when hardworking families continue to pay more for gas and groceries. So I would like to highlight just one of the many cuts we need to make to bring our budget in line with our revenue. Read the rest of this entry »

Forbid state from spending more than it earns, Harman says

August 16th, 2008, 7:00 am by Teri Sforza, Register staff writer

tom-harman.jpg

Each week, The Watchdog asks this question of one elected official:

If you could cut one thing from the budget, what would it be and why?

OUR DISCLAIMER: The Watchdog does not agree or disagree with the opinions expressed by said elected officials; we simply serve as the conduit between you, the people, and the folks you have elected to represent you. As the saying goes, the people get the government they deserve!

Background on state Sen. Tom Harman:

  • Republican representing the 35th Senate District (Seal Beach, Huntington Beach, Fountain Valley, Costa Mesa, Newport Beach, Irvine, Cypress, La Palma, Los Alamitos, Laguna Beach, Dana Point; parts of Buena Park, Garden Grove, Santa Ana, and Westminster; and unincorporated Rossmoor and Sunset Beach)
  • “Harman, a conservationist, is an enthusiastic and avid outdoorsman who enjoys flyfishing.”
  • Married, wife Dianne, more than 40 years
  • Two children, Michael and Michelle
  • Bachelor of Science in business administration from Kansas State University
  • Lieutenant, 4th Infantry Division, United States Army
  • Graduated Loyola Law School in 1968
  • Served nerly six years in state Assembly, and six years on the Huntington Beach City Council

WATCHDOG: Sen. Tom Harman, if you could cut one thing from the budget, what would it be and why?

HARMAN: While every line of the budget could possibly withstand some reduction - the need for major CALWORKS reform, holding off on almost $1 million worth of new furniture for the Controller’s office and refusing to provide $3 million in acupuncture services for those on MediCal, just to name a few - what we really need is long-lasting reform.

As we have too often seen, a cut to one area doesn’t mean that money will go toward paying down our debt but rather to another pet project. I could very easily rattle off a list of 100 cuts much like those mentioned previously, but in the end we must ask ourselves - will any of these cuts really solve our budget mess? Unlikely. But there are key reforms that can be done to avoid the chronic budget crisis that our state experiences each and every year.

To that end, Senator Tom McClintock and I jointly authored Senate Constitutional Amendment 8, which would re-enact the Gann Spending Limit and essentially prevent the state from spending more than it takes in. Read the rest of this entry »