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May 12, 2010 in City
Verner proposes cutting 44 city jobs in 2011
Spokane Mayor Mary Verner today outlined a grim budget proposal for 2011 that would eliminate 18.5 police jobs, nine firefighter positions and make city services available just four days a week.
“I’m going to ask you to brace yourselves,” Verner told City Council members. “This is a pretty dismal budget we are going to propose.”
Verner said current revenue projections of $165 million are about $10 million short of expected costs. That follows a year when city leaders had to make cuts to make up for a $7 million shortfall.
As it stands, the proposal would cut 44 positions, two of which were grant funded. But that doesn’t mean 44 people would lose their jobs. Some open jobs would remain dark and others would come from retirements, she said.
“At this point, I can’t guarantee everyone will have a job who wants one,” she said. “Obviously, it is very ugly. But if we had to execute the budget today, that’s how we would execute it.”
The mayor’s 2011 budget proposal, which won’t be finalized until November, does not call for tax increases. But it does call for the council to approve using $2 million from its rainy day fund and presumes that Spokane County Commissioners would agree to speed up the West Plains annexation, which would provide another $2.5 million for the budget.
In addition, Verner said she would ask the city’s employee bargaining units to open their contracts and authorize a 4 percent increase in the cost of health benefits, which would save the city $1 million. She pointed out that the unions have no legal obligation to do so.
She delivered the news to the unions in a meeting just before the City Council briefing. The only two unions not represented in that meeting were the Spokane Police Guild, which opens negotiations next year, and the Police Lieutenants and Captains Association.
Most union representatives “have expressed a willingness to discuss” the health benefit increase, Verner said. With no increase, “the number of employees who get laid off gets bigger. There is a real incentive to work with us.”
Verner said if any the proposals fall through, the revenue would have to be made up through either more job cuts or tax increases.
One of the proposals would have city employees switch to a four-day work week with 10-hour shifts. Citywide, the change would only save $50,000.
“For $50,000, we didn’t want to diminish our services. But $50,000 means a job and we are at that point,” she said.
City Administrator Ted Danek said the city has done surveys in the past that showed some residents would be willing to forego having city offices five days if they can get those services either before or after normal work hours.
The plan also calls for freezing the pay of senior city leaders, a $500,000 reduction for the Spokane Public Library – which was the largest statistical cut of any department – and getting rid of one of two street crews that fix potholes.
City Council President Joe Shogan asked Verner if she had a contingency plan if county leaders don’t agree to speed the process to annex land in the West Plains.
“The departments have been alerted to come up with a contingency plan” for more cuts if the annexation deal does not come through, she said.
Tim Dunivant, the city’s budget director, said 40 percent of the shortfall came from lower tax revenues. For example, the utility tax revenues came much lower this year because of a warmer winter.
Verner said the city has received 62 permits for new homes so far this year, which is second lowest to the record low set in 2009.
“I’m told that the new housing starts haven’t been this bad since World War II,” she said. “People are losing their jobs … it is really hard all over.”
Closing Geiger: Wise or worrisome? 
Dazzeetrader11 on May 12 at 5:27 p.m.
It’s a smokescreen..She’d rather sacrifice jobs so she can save money to buy buildings. She won’t save a nickel. She’ll spend more than $10 million when she’s in debt up to her eyelashes. It’s all a game. In my popinion, this is a very insincere, manipulative mayor. DO NOT re-elect her.
If you want to re-elect her…ask yourselves one thing: What exactly has she done but generate more debt? What has she done?? And therein lies your answer…it’s a big ZERO!
PhiltheBibliophil on May 12 at 5:47 p.m.
Impeach Verner!
Albert on May 12 at 6:06 p.m.
Oh My! Maybe, possibly, perhaps, then again, cut union jobs…blah, blah, blah. Oh mercy me, how could we citizens possibly live without the gestapo? How about 1440 jobs, including the city council and the mayor? Now that would be a great improvement.
liarsinnews on May 12 at 8:14 p.m.
From day one as Mayor, Verner has shown absolutely no management skills. Don`t you ever wonder who is pulling her strings? It appears Verner is moving deck chairs on the Titanic.
west on May 12 at 9:22 p.m.
Basicly the unions are getting raises by binding law arbitration…they cannot forgo a raise, by binding arbitration they will ALWAYS get raises, no matter how broke the city is. Vicious cycle…
Scoutster on May 12 at 11:06 p.m.
So, those of you who are so critical…
What would YOUR proposal look like? (Beyond “trim the fat” and “bust the unions”.) What would you do?
Ron_the_Cop on May 13 at 1:17 a.m.
Scoutster,
Re your question, the Mayor could immediately work on this punch list I refer to in my latest blog post. Scroll to the bottom:
http://tinyurl.com/22td7z9
BTW there’s a new URL for this article with a new comment thread:
http://www.spokesman.com/stories/2010/may/13/no-sugarcoating-dismal-budget/
Dazzeetrader11 on May 13 at 2:05 a.m.
18.5 police job eliminated? Scoutster how about spending less o new buildings when we don’t need them? That would restore the full police force and keep the neighborhood COPS in business?
How about some fiscal responsibility? Spend less? have her buddies Obama and Gregoire cut some taxes so the larger companies might stick around so there’s more jobs? Nothing else will work. One thing you NEVER do is buy buildings for over $10 million when the proposed shortfalls will be $10-$12 million for each year for the next 3 years. Quite simple…this mayor is ill prepared to manage the city.
Send her back to wherever she came from. Greenie programs just won’t do it.
Scoutster on May 13 at 5:21 a.m.
Yes, Daisy, I’m sure Mary has the influence over Obama and Gregoire you seek. Let’s ask her to tell them to do something about world peace, too. And how about those annoying subscription postcards that fall out of the magazines? Why don’t they do something about that, too? And people who don’t pick up after their dogs. And pollen. Pollen’s a big problem, esp this time of year. Why don’t Obama and Greqoire and Verner do something about pollen, too?
What a bunch of shiftless nothings!
Now I get it! Thanks.
Ron_the_Cop on May 13 at 8:45 a.m.
Scoutster,
I’m offended you answered Daisy and not me:-) If the Mayor would work on my punch list potentially they could stop the hemorrhaging of the the general fund to the tune of $2M per year and perhaps some of the $87M we were swindled out of. This is a structural general fund deficit that they can no longer conceal in this economic downturn.
And yes Mr. Adams is quite right. Increase the utility rates has a built in hidden tax increase.
johnclarke on May 13 at 12:24 p.m.
2010 Budget
Fire - $29,595,955
Of that number 43 Fire Lieutenants (yes that’s Forty-Three) costing
$ 4,007,572
Police $40,394,829
2 police Majors = $288,239
Assistant Police Chief - $155,807
Spokane Household median income - $32,273
Per Capita income - $18,451
Thanks to everyone that voted for that EMS levy, obviously the Fire Department is underfunded.
Thayne on May 13 at 5:43 p.m.
Daisy large corporations and the very wealthy don’t pay taxes, that’s why the rest of us get raked over the coals. When taxes are reduced only the wealthiest 10% benefit. Maybe they could rescind the decision to let people buying property at the Kendall project not have to pay real estate taxes for ten years.
johnclarke - are the Fire Department Lieutenants in charge of individual fire stations? I don’t know, but if they are, we need someone in charge at them.
I just know I would not want to be the .5 police officer that gets axed.
misjustice on May 13 at 7:01 p.m.
Thank the Godesses that Lazee Dazee Trader does not have the right to vote in OUR elections; you can run along now…
misjustice on May 13 at 7:04 p.m.
@Scoutster; and thin thighs, too, please! As long as we are compiling a ‘wish list’….it’s Obama’s FAULT!!!! That I am only a size 10 and not a size 7! LMFAO!!!! ; )