We gotta admit, we never saw this one coming.
Hizzoner Mikey P. Bell parked himself in the Mayor’s office in twenty ten, a time when the Toledo economy had tanked. Major employers like Jeep and GM laid off hundreds of workers, spin off industries were shuttered, and the City’s tax revenues hit rock bottom. That year, Mikey’s very first budget as mayor had to overcome a $48 million hole.
Candidate Mike had pledged major budget correction, slashing expenditures while not seeking to raise taxes. He never offered specifics of where he would cut during his run for the office in oh nine, but once perched on the twenty second floor his fiscal priorities became clear. His budgets as Mayor have included controversial measures to achieve the multi-million dollar reversal, including claiming the unilateral right to annul duly negotiated contracts with city employees by claiming “exigent circumstances” and rewriting their terms to be more economically favorable to the City. Unions cried foul, but after fuming and posturing Council approved the budget with the exigent circumstances assumption intact.
The unions subsequently filed claims of unfair labor practices, but most reluctantly went to the bargaining table to offer budget savings on the backs of City employees. Since then, Hizzoner has negotiated new contracts which extract deep concessions with all City unions, foregoing raises while reducing benefits and raising co-pays. Millions of dollars of budget correction have come directly out of the pockets of City workers, including those whose physical work is the hardest and who make the least while providing such fundamental services as street repair and sewer maintenance.
Talking trash
Other budget-driven changes have been almost as controversial, including privatizing garbage collection by selling City trucks and collection bins and contracting through the County solid waste district – a major shift, given the fact that the City only recently purchased the equipment for automating garbage pick up. After weeks of debate and hand wringing, City Council eventually went along, ceding control of this basic city service to private waste hauler Republic Services.
Additional measures have included selling City property like The Docks and Marina District to investors for one-time boosts to budget revenue. Management at The Docks has been suspect, and its upriver anchor is now vacant. But, hey, they are off the City’s books.
The most effective boost to the City’s general fund was provided by voters in re-authorizing the three quarter per cent income tax. In addition to renewing the tax, voters also agreed to allow for an unlimited amount to be used for general fund expenses rather than reserve a portion for capital improvement projects as had been previously required. This year the City expects to tap into the capital improvement fund to the tune of over ten million dollars.
Gimme my money
From one-time infusions of cash to privatizing city services to transfers from capital improvement funds to wringing city employees until they bleed, Mikey P. has done a great deal in three years. In the meantime, local income tax collections have rebounded, including new collections from the casino, helping to offset reductions from property tax devaluation and cuts in state contributions.
In touting his administration Mikey points to his confident response to the massive red ink left by his predecessor, but usually adds that “there’s still a little bit to do.” When asked whether he will seek re-election, he doesn’t answer directly, but says he’s got a bit more work to get Toledo where we need to be.
Mikey has thrown down his latest budget gauntlet, dug in his heels for the showdown with Council, and refused to budge a compromising inch, all in demand
for… pay raises for his highest paid executives!
Wait, what? Millions of dollars in concessions from the lowest paid who do the City’s dirty work in order to give twenty per cent more to those at the top? This is the little bit left to do?
Gotta be more competitive to attract and retain top level folks, sez Mikey B. Council has refused to support it. Now he has upped the ante, not letting his executives support Council’s work with residents, effectively shutting Toledoans off from the executive branch of their own government. Not gonna abuse my people by making ‘em work evenings, sez Mikey. Even though that’s when residents are available.
So THIS is the ultimate fiscal battle. Ouch. This we definitely did not see coming.
Latest zombie rumor.
Former Mayor Jack Ford to run for office next year
