HIghlights from "The Week in Review"

You can access the entire TWIR by clicking on the link on the right side of this page.

Fire Department
Emergency Incidents: We had a total of 96 incidents this week, which included 9 that were fire related: 4-Structure Fires, 2-Cooking Fires, 1-Vehicle Fire, 1-Grass Fire, and 1-Outside Fire. Dollar loss for the week was estimated at $180,000. The remaining calls this week were: EMS-60, Vehicle Accidents-3, Service Calls-12, and Other Emergencies-12.

Significant Incidents: The excessive winds that swept through Manteca on Tuesday caused multiple calls for downed power lines, as well as a grass fire on Highway 120, and multiple public service calls within the city. Other significant calls this week included:

Structure Fires:
· 1830 E. Yosemite Ave., October 22
Firefighters responded to a mobile home fire with a person inside in El Rancho Mobile Home Park. Upon arrival, they found a fully involved mobile home fire with the occupant out. Firefighters immediately began fire attack operations because of the close proximity of neighboring units. With the aggressive fire operations, the fire was brought under control with minimal exposure damage to the unit to the south and east. The cause was attributed to an unattended pot on the stove.

· 1900 Block of Linda Jean Lane, October 24
Firefighters responded to Linda Jean Lane for a structure fire. Upon arrival, they found an oven fire that was contained to the area of origin. Firefighters stayed on scene to ventilate the home from the residual smoke before clearing the scene.

· 1200 Block of Stonum Lane, October 28
Firefighters responded to a structure fire on Wednesday afternoon on Stonum Lane to find a smoldering stove fire that was contained to the stove and nearby materials. The cause of the fire was determined to be accidental with the owner turning on the wrong burner. After extinguishment, firefighters remained on scene for fire overhaul and ventilation.

Vehicle Accidents:
· Milo Candini Drive, October 24
Engine Company 242 and Truck 24 responded to a vehicle vs. motorcycle accident at Big League Dreams. Upon arrival, they found a motorcycle that had hit a parked vehicle in the parking lot. The patient was treated at the scene and transported to a local medical facility.

· Northbound Highway 99 at Lathrop Road, October 25
Engine Company 241 responded to a vehicle accident on northbound Highway 99 at Lathrop Road to find two vehicles off the shoulder – one on its roof and the other on its side. Two patients were treated at the scene and transported to a local hospital.

· New Horizons Drive, October 27
Engine Company 241 responded to a vehicle accident at New Horizons Drive and Pestana Avenue to find a solo vehicle into a pole. Firefighters provided patient care, secured the vehicle and stopped fluids from entering the storm drain.

Fire Prevention: This week’s Fire Prevention activities included: Business Inspections-41, New Construction Inspections-9, Plan Checks-2, and Fire System Checks-2.

Police Department
Robbery: On October 24 at 6:00 a.m., a robbery occurred at the Chevron station, 1257 W. Yosemite Ave. The subject walked to the back and grabbed a beer from the cooler and stood in line. Once all of the customers were gone, the suspect displayed a silver handgun and told the two employees to open the register. The suspect took cash from the drawer and fled westbound out of view. Witnesses outside of the business saw the suspect vehicle waiting on the west side of the business. The suspect vehicle was last seen eastbound in the parking lot. The suspect is describes as an African-American male, mid to late 20s, 5’8” to 5’10”, 165-175 pounds, very short hair, unshaven facial “peach fuzz,” medium to dark complexion. He was last seen wearing a dark, hooded sweatshirt and dark pants.

Chop Shop and Drug House: On October 27 at approximately 1:00 p.m., members of the Street Crimes Unit went to 14421 Navajo Way to conduct a probation search of Christopher Rommel. Rommel refused to open the door and a forced entry was made. Inside the house, officers found 37.6 grams of marijuana, four rifles and ammunition, drug paraphernalia, a stolen car and what appeared to be a stolen vehicle “Chop Shop.” Detectives of the auto theft taskforce were called because of the stolen car and chop shop. Rommel was transported to the Police Department and booked. He was charged with being in possession of gun and ammunition by a felon, vehicle theft and drug charges.

Community Development
B.R. Funsten: Work is proceeding on the new B.R. Funsten industrial warehouse building on Industrial Park Drive/North Main Street. The warehouse component of the project is basically complete. Staff will be meeting next week with B.R. Funsten and its contractor to finalize recent proposed changes to the project, and to begin the process for the City to perform final inspections. This has been built in record time!

Luxury Outlets: Work has begun on two of three new buildings for luxury outlet retail space at the Promenade Shopping Center. In addition, construction work is continuing on the Hampton Inn/Suites and the Red Robin Restaurant.
Hampton Inn is getting ready to start sheetrock on the 4th floor, and will work their way down. The exterior footings have been poured for Red Robin, and the foundation should be poured next week.

Matrix Study: Staff is scheduling a series of upcoming meetings with the Manteca Chapter of the BIA (Building Industry Association of the Delta) to discuss the Matrix Cost Recovery Study. The purpose of the study is to quantify the City’s costs in delivering development-related services.

CenterPoint: Work is almost finished on the Master Plan for the CenterPoint project area, located on Airport Way between Lathrop Road and Roth Road. The Environmental Impact Report is also under way. The key component of the CenterPoint project is an intermodal center.

Building Safety Activities: The City’s Building Safety Division conducted a total of 237 inspections during the week. The division issued 62 building permits: 26 Single-Family Dwellings, 1 Antennae, 1 Change to Existing Plans, 1 Commercial Remodel, 1 Fire Alarm, 3 Miscellaneous Electrical, 3 Miscellaneous Mechanical, 4 Miscellaneous Plumbing, 3 Patios, 3 Residential Fire Repairs, 1 Residential Remodel, 14 Roofs and 1 Sign Permit. A total of 27 new project applications were submitted for plan check services, which included 11 Single-Family Dwellings, 1 Change to Existing Plans, 2 Commercial Additions, 2 Commercial Remodel, 2 Fire Alarms, 1 Fire Sprinkler, 1 Hood and Duct, 1 Patio, 4 Residential Remodels, 1 Solar and 1 Tenant Infill for a new dental office.

Public Works
McKinley Avenue Expressway: The first workshop for the proposed McKinley Avenue Expressway will be held Thursday, November 5, in the McFall Room of the Manteca Library, 320 West Center St., from 6:00 to 8:00 p.m. Staff will engage the participants to gather community input into the alignment of this roadway. The McKinley Avenue Expressway will extend between an interchange at McKinley Avenue/State Route 120 and a new Austin Road/State Route 99 interchange. This supports the “bookend” development concept for Manteca, south of the State Route 120 Bypass, which places large business/industrial parks at each end of this roadway.

Smart Growth - "Valley Style"

I'll be speaking at a conference on Friday morning about "Smart Growth". Smart Growth is a buzz word for trying to create more liveable, walkable communities that don't create a negative impact on the environment. Smart Growth proponents push higher density living near transit and jobs as a way to reduce our impact on our environment and improve the overall quality of life for all of our citizens.

In reality, particularly out here in the Valley, it is a challenge to make communities more compact and nearly impossible to build housing near jobs, since so many of our jobs are east of the Altamont. I'll be focusing on how suburban valley cities can grow smarter--and more cost effectively while acknowledging the limitations placed on us due to our location.

Below is a link to the power point presentation I'll be giving tomorrow:




Final%20CALAFCO%20Presentation.ppt

City of Tracy Layoffs/Pension Reform

Approximately 58 layoff notices were handed out in Tracy this week. Tracy is looking at huge revenue drops just like Manteca and every other city in the valley, state and country.

It looks like the cuts will impact every department including Police--but a disproportionate share of the cuts may occur in maintenance and operations.

To read more about the cuts, click here.

Another item in the news today involves pension reform. Two more City Managers groups have endorsed the concept of a two-tiered pension system for employees. The plan would put impact both the retirement formula and the date when retirement benefits max out for new hires.

According to the article:
The cities plan on abiding by the guidelines when elected and appointed officials enter future negotiations with their union groups. Because the policy would apply only to workers hired after the ratification of new union contracts, the changes will do little, if anything, to help cities clean up their current budget messes, said Brisbane City Manager Clay Holstine, who helped write the policy.

One of the mid-sized cities endorsing the plan notes that the plan would save the city $44 million over the next 20 years. To read the entire article, click here.

The San Joaquin County City Managers have also come up with policy document and I'll be blogging about it soon.

Underemployment versus Unemployment

The chart above is in an article in today's San Francisco Chronicle (click here).

The article talks about the rise in the "underemployment rate." This measurement reflects the fact that the unemployment rate doesn't take into account the many workers whose hours and benefits are reduced during a recession. It gives all of us a better picture of how severe the current recession has become. This staggering number demonstrates the huge percentage of our population suffering right now. It also explains why retail sales have dropped so sharply, as underemployed workers are less likely to spend.

On the other hand, this data also can come in handy in the future at refuting the concerns that we may end up having a jobless recovery. As the economy recovers, the underemployment often drops far more quickly than the unemployment. This is due to the fact that employers often increase hours and benefits for their underemployed workers before they add positions. Thus, while it may seem like no jobs are being created, in fact, millions of underemployed workers are going back to full time status.

Let's hope that the underemployment number has peaked!

Deja Vu All Over Again

Today's article talks about a ninth straight unbalanced budget, skyrocketing labor costs and the need to either reduce compensation or the workforce. Sounds like many recent Bulletin articles? Actually it is an article in today's Mercury News discussing the City of San Jose's precarious budget situation.

Here are some excerpts from the story:
...City Manager Figone said she is not seeking to "blame our labor unions" but simply aims "to confront the realities." Those realities, she said, are that in a city facing its ninth straight budget deficit, where personnel costs account for two-thirds of costs to the $880 million general operating fund, the only way to close the shortfall is by shrinking either the number of employees or their individual costs.

Figone said the city would have to cut 763 jobs to cover the projected $90 million deficit without a boost in revenues or concessions from the workforce.

She noted that the city's deficits have soared this decade along with costs for its employees' pay and benefits. While the city's full-time workforce has shrunk from 7,000 to 6,600 since 2000, the average cost for each worker has shot up 64 percent to $120,418. Had pay and benefits merely increased at the rate of inflation as measured by the Consumer Price Index, the average cost would have risen 18 percent to $86,997 today.

The increases have been particularly steep for the city's police officers and firefighters, whose average cost in pay and benefits rose 78 percent this decade. The cost for just their retirement benefits rose 174 percent — more than twice the rate for other city workers — as their maximum pension grew to 90 percent of their final salary with automatic 3-percent annual increases.

But the employees' rights to negotiate any changes in pay, benefits and working conditions narrow the city's ability to shrink costs. And city voters in 1980 granted police and firefighters the right to have outside arbitrators settle contract disputes, which critics say is the reason for their steeper pay and benefit increases.

Among concessions Figone is seeking:
Reduced retirement benefits for new employees. More than half of the projected deficit is due to investment losses in the city's pension funds, which taxpayers are on the hook to offset with added payments. Because retirement benefits can't easily be changed for current employees, Figone wants to negotiate a lower and less costly benefit for new hires.

Reduced health benefits. Figone wants to explore several recommendations from a recent city audit, including having employees pay more for premium costs and co-payments, offering a cheaper plan with a deductible and reducing incentive payments for those who decline coverage.

Reducing automatic "step" raises. Employees typically get five, 5-percent annual raises during their first four years in a new position. Figone has suggested more performance-based raises that would have to be earned over a longer period.

Reducing sick leave cashouts. San Jose's current policy cost taxpayers $7.8 million last year and is more generous than other governments; some police officers and firefighters have collected six-figure sums for unused sick leave upon retiring.

Eliminating "redundant compensation" for injured officers and firefighters who can receive both workers' compensation and disability retirement benefits.
Chavez said city workers earlier this year "tried to give money back" by suggesting unpaid furloughs and other ideas, "and the city made it difficult to do that."

City officials, however, said the workers' proposals did not actually save money or were otherwise unworkable.

Click here for entire article.

As I've noted before, we aren't alone. This isn't just a Manteca issue or a valley issue, or even a California issue. The problem is worldwide and it isn't going to go away until we make fundamental changes in the way we do business.

Your PERS Dollars at Work

The SacBee had a series of articles this week about excessive fees paid to middlemen who convinced PERS to invest with their client. CalPERS is now launching a "special review" of a former board member who made $50 million in fees for getting his client's investment purchased by CalPERS.

Here is an excerpt from the story (click here):

Stepping into a widening national probe of investment marketing agents, CalPERS on Wednesday launched a "special review" of a former board member who made $50 million in fees pitching deals to the pension fund.

The discovery of hefty fees paid to former board member Alfred Villalobos sparked a significant development in an ongoing investigation of placement agents � marketing middlemen hired by private equity firms and other money managers seeking investment dollars from public pension funds like CalPERS.

Villalobos, who served on CalPERS' board from 1993 to 1995, runs Arvco Financial Ventures, a placement agent firm in Stateline, Nev. As reported by The Bee in June, the Arvco firm is one of the most prolific placement agents in securing business from CalPERS, winning commitments totalling $3.3 billion since 2006.

...He added that Villalobos' fees were typical for placement agents and weren't a secret around CalPERS. He said Villalobos has succeeded as a placement agent because his clients "have made good returns for CalPERS."

The 11 deals disclosed by CalPERS Wednesday have mostly lost money so far, according to CalPERS investment reports. But experts say that isn't unusual for private equity investments in their early stages. Two of the older deals, dating to 2003 and 2004, are profitable.

The CalPERS documents, meanwhile, show that two retired state senators, Richard Polanco and Bill Campbell, worked on deals for Villalobos, flying first class or business class. The fare was reimbursed by Apollo Management.

CalPERS in May adopted a disclosure policy on placement agents and asked its various investment partners for documents on their hiring of agents. Those documents yielded the discovery of the fees paid to Villalobos' firm, Arvco.

I believe that all PERS members recently received ballots in the mail for their Board of Directors election. I'm sure that most of you assumed that employees ran for the Board to help protect our investments--I'm now thinking that some candidates had more in mind than ensuring great returns for the membership...

Highlights from "The Week in Review" (TWIR)

You can access the entire TWIR by clicking on the link on the right side of this page.

Community Development
Building Safety Activities: The City’s Building Safety Division conducted a total of 314 inspections during the week. The division issued 30 building permits: 1 Single-Family Dwelling, 1 Commercial Canopy, 1 Commercial Demolition, 1 Fire Sprinkler, 4 Miscellaneous Mechanical, 5 Miscellaneous Plumbing, 1 Patio, 7 Photovoltaic, 1 Residential Remodel, 3 Roofs, 2 Signs, 1 Storage Shed, 1 Swimming Pool, and 1 Commercial Coach for MRI use at Kaiser Hospital. A total of 27 new project applications were submitted for plan check services, which included 12 Single-Family Dwellings, 8 Changes to Existing Plans, 1 Commercial Canopy, 1 Commercial Remodel, 1 Patio, 1 Residential Master, 1 Sign, 1 Solar and 1 Swimming Pool.

Public Works
New Wastewater Discharge Permit: Like others who discharge wastewater in California, Manteca must renew its wastewater discharge permit every five years. Last week, the Regional Water Quality Control Board adopted a new permit for the City that is valid through October 2014. The permit will allow the City to significantly expand its discharge to the San Joaquin River from 9.87 mgd (million gallons per day) to 17.5 mgd. This authorization secures the environmental and regulatory permits needed for the sewer plant to support growth for many years to come. Unfortunately, staff was unable to persuade the Board to exclude a stringent salinity limit that will be very difficult to meet without the addition of costly new treatment facilities. At the Board’s permit adoption meeting, staff presented the facts and history on how the City’s discharge has dramatically improved over the last fiver years, including significant reductions in salinity levels, and how the cost of meeting this new salt limit will have detrimental impacts to Manteca’s ratepayers. Staff also showed how this salinity limit will result in essentially no improvement to the environment and, thus, did not justify the costs of compliance. The Board was sympathetic to the City’s concerns, but felt compelled to impose a strict salinity limit on the City, based on recent rulings from its supervising agency, the State Water Quality Board. Staff will appeal the City’s new discharge permit to the State Water Board with the goal of obtaining relief from the unnecessarily strict salinity limit. The City Council and the public may recall that staff was successful in obtaining relief from the same overly stringent salinity limit in 2004 by appealing the City’s then current discharge permit to the State Board. With the 2009 discharge permit, staff is cautiously optimistic about obtaining relief, despite the State Board’s recent rulings on the permits for Tracy, Lodi and Stockton, where the State Board upheld the strict salinity limits. The Regional Board and the other local agencies are now working cooperatively to address the issue, and expect the State Board will ultimately participate in the adoption of a realistic standard that addresses the broad needs of various constituents appropriately. In the meantime, the City will not be penalized for non-compliance with its new salinity limit. Included in the City’s new discharge permit is a five-year compliance window for salinity, which is the maximum compliance term allowed under the law. Staff will also continue to pursue all other salinity compliance options to prevent financial impacts to the City’s ratepayers.

Parks and Recreation
Parks Cleanup: Maintenance crews responded to more than 100 calls for downed trees and limbs throughout the City. The golf course also lost 10 trees and had several limb failures. In most cases, the hazards were cleared and set aside, so that crews could respond to other calls. The latter part of last week and early part of this week was spent clearing the remaining debris. Maintenance crews responded to more than 100 calls for downed trees and limbs throughout the City. The golf course also lost 10 trees and had several limb failures. In most cases, the hazards were cleared and set aside, so that crews could respond to other calls. The latter part of last week and early part of this week was spent clearing the remaining debris.

Fire
Significant Incidents:
● Vehicle Fires
- 300 Block of West Yosemite Avenue, October 16
. - 1800 Block of Genoa Drive, October 19
- 1300 Block of North Main Street, October 19

● Structure Fires
- 1055 S. Main Street – October 16
Engine 242 and Truck 24 were dispatched to a structure fire at the former Mervyn’s Store on South Main Street. Upon arrival, firefighters found the loading dock on the northeast side of the building fully involved in fire, surrounding the two metal roll-up doors. Access was made to the interior by cutting through the roll-up door. The interior was filled with smoke; however, fire did not breach the walls into the building. Truck 24 accessed the roof via the aerial ladder to ensure there was no fire extension. The fire was contained to the dock area with minimal damage to the building.

- 1212 W. Center Street – October 17
Firefighters were dispatched to a structure fire at an apartment complex at 1212 W. Center St. to find smoke coming from one of the four-plex apartment buildings. Upon entry, firefighters found heavy smoke and high heat, and located a smoldering fire in a sofa in the living room, which was quickly extinguished. Firefighters then accessed adjoining units to ensure there was no fire extension.

- 189 W. Louise Avenue – October 19
Engine Company 243 was dispatched to a structure fire in a large commercial unit to find a light haze throughout the store. Upon further investigation, they found a smoldering fire in a compactor outside the store’s door. The fire was quickly extinguished and the building vented.
● Vehicle Accidents
- Highway 120 at South Main Street – October 16
Engine Company 241 responded to a vehicle accident on eastbound Highway 120, west of South Main Street. The patient was assessed at the scene and declined medical treatment.

- Highway 120 at Highway 99 – October 17
Engine Company 242 and Truck 24 responded to another vehicle accident on Highway 120 at the Highway 99 interchange. Upon arrival, they found a single-vehicle rollover with no injuries.

Fire Prevention: This week’s Fire Prevention Activities included: Business Inspections-37, New Construction Inspections-7, Plan Checks-8, and Fire System Checks-6.

Police
Fraud Arrest: On October 16 at approximately 4:00 p.m., detectives and parole agents conducted a probation search at 442 N. Walnut Ave. The residence was occupied by Lastarza Williams, who has prior arrests and convictions for fraud/forgery and burglary. During the course of the probation search, detectives located meth pipes, stolen/forged checks, and checks written to various businesses in Manteca on a closed account. Evidence also showed Williams opened an account at a local bank using a false name. Detectives conducted a preliminary investigation into the matter and discovered numerous checks were passed at Raley’s, located at 1280 W. Lathrop Road. Williams also had a computer and printer she was using to manipulate the checks. All evidence was recovered and Williams was arrested for numerous offenses, including possession of stolen property, passing a fictitious check, possession of a forged check with intent to defraud, and possession of a meth pipe. She was recently sentenced on a forgery/burglary, which occurred at the Uncle Credit Union, and was on probation for that conviction.

Firefighters Prevent Conflagration - Near Miss

Fire crews responded to the report of a structure fire at El Rancho Mobile Home Park at 1830 E. Yosemite. Upon arrival, they found a mobile home fully-involved with fire and three other mobile homes also on fire. All occupants made it out of the buildings safely.

Firefighters extinguished the exposure fires first and then made an aggressive attack on the main Mobile Home Fire. They were successful in limiting the bulk of the fire damage to one Mobile Home.

Firefighters remained on scene for approximately two hours performing salvage, overhaul, and fire investigation. The fire started from a pot of stew left unattended on the stove. There were no injuries to Firefighters. One occupant was displaced from his home. The American Red Cross responded to assist.

Photo provided by Glenn Kahl

New Ballot Initiative Proposed to Protect Local Revenues

Tuesday, a coalition, including the League of California Cities, local government, transportation and public transit leaders filed an initiative ballot measure -- called the Local Taxpayer, Public Safety and Transportation Protection Act -- with the California Attorney General’s office.

Specifically, the initiative would:

Prohibit the State from taking, borrowing or redirecting local taxpayer funds dedicated to public safety, emergency response and other vital local government services (including redevelopment). The measure would close loopholes to prevent the taking of local taxpayer funds currently dedicated to cities, counties and special districts. It would also revoke the State’s authority to borrow local government property tax funds or divert local redevelopment funds.

Protect vital, dedicated transportation and public transit funds from state raids. The measure would prevent State borrowing, taking or redirecting of the state sales tax on gasoline (Prop. 42 funds) and Highway User Tax on gasoline (HUTA) funds that are dedicated to transportation maintenance and improvements. It would also prevent the State from redirecting or taking public transit funds.

This measure would eliminate the loopholes in Prop 1A, which was previously passed by the voters to protect our local sources of revenue.

Jobless Recovery?

Apparently, all economic indicators point upward and the "great recession" may be abating. Unfortunately, it doesn't look like the unemployment rate is going to go down anytime soon. An article in today's USA Today eloquently describes this predicament.

The article (click here) notes that:

Even with an economic revival, many U.S. jobs lost during the recession may be gone forever and a weak employment market could linger for years.

That could add up to a "new normal" of higher joblessness and lower standards of living for many Americans, some economists are suggesting.

The words "it's different this time" are always suspect. But economists and policymakers say the job-creating dynamics of previous recoveries can't be counted on now.

Here's why:
• The auto and construction industries helped lead the nation out of past recessions. But the carnage among Detroit's automakers and the surplus of new and foreclosed homes and empty commercial properties make it unlikely these two industries will be engines of growth anytime soon.
• The job market is caught in a vicious circle: Without more jobs, U.S. consumers will have a hard time increasing their spending; but without that spending, businesses might see little reason to start hiring.
• Many small and midsize businesses are still struggling to obtain bank loans, impeding their expansion plans and constraining overall economic growth.
• Higher-income households are spending less because of big losses on their homes, retirement plans and other investments. Lower-income households are cutting back because they can't borrow like they once did.

In any case, this "new" normal could have a devastating impact on our city budget. Fewer jobs means fewer retail sales. Fewer jobs means fewer new homes and lower priced homes. These factors translate into less funds to operate our city services at a time when our services are in higher demand than ever.

I'm going to assume that even if this isn't the new normal, we are still looking at less funds in the future to run our community. I'll be blogging soon about how we plan to address the budget challenges we'll be facing in the future. Our staff is developing a new model that will address the need to focus our services where they are needed the most.

City Council Headliners

The items listed below will be considered by the City Council at its 7:00 p.m. meeting:

Public Hearings:
-Proposed adoption of the Municipal and Redevelopment Agency budgets for 2009-2010.
-Consider certification of the Union Crossing EIR and approval of the related General Plan Amendment, Prezone, Planned Development, Site Plan, Tentative Parcel Map, Master Sign Program, and referral of an annexation application to LAFCo for the development of a commercial shopping center at the southwest quadrant of Hwy. 120 and Union Rd.
-Consider approval of the Prezone, Planned Development, Tentative Subdivision Map and referral of an annexation application to LAFCo for Winters Colonial Estates at 9202 E. Woodward Ave.
-Consider approval of the Prezone, Tentative Subdivision Map and referral of an annexation application to LAFCo for Diego Country Estates at 9308 E. Woodward Ave.

Consent Calendar items of interest include:
-Authorize the City Clerk to solicit applications for current and upcoming vacancies on the Building Board of Appeals, the Recreation and Parks Commission and the Senior Advisory Committee.
-Rescind the construction contract wtih A-1 Septic Construction and determine Rolfe Construction to be the lowest responsible bidder for the Well 20 Filter Project, awarding the contract for $199,856.

A copy of the full agenda packet is available at the following link on the City's website:
http://www.ci.manteca.ca.us/CityClerk/agendas

Public Opinion Poll on Public Sector Retirement Benefits

I've been noting for months that generous public employee pensions have become a hot issue for many government reform groups. A number of ballot measures are being proposed to look at possible changes to our benefits. Since public pensions are now in the spotlight, Mark DiCamillo of the Field Poll decided it was time to look at how the general public feels about our pension benefits.

As a glass half full guy, I believe the public is still supportive of our pension plans, paricularly for public safety, but most people seem to feel some level of reform would be a good thing. In summary, the poll found that:

60 percent support setting an upper limit on the amount workers can receive.
56 percent back replacing the system with a 401(k) retirement savings plan.
51 percent favor making current pension-setting formulas less generous.

Here's more detail on the poll from an article in the Riverside Press-Enterprise (click here):

But given recent media coverage of some retirees receiving annual pensions of more than $100,000, the state's voters have a fairly moderate view, he said.

Indeed, while voters back a less-generous system for newly hired workers, the largest group -- 40 percent -- say current pension benefits are about right, the poll found.
The poll found 58 percent of voters oppose imposing a tax on pension benefits exceeding $50,000 a year. And voters by a 52 to 41 percent margin continue to favor providing public-safety workers, such as police officers and firefighters, more generous pensions than other public employees, the poll found.

"They are not particularly harsh for what is in place for the current retirees," DiCamillo said.
Still, there are signs that views could shift, he said. Of those who do not believe benefits are about right, twice as many think they are too generous, the poll found.

Republicans, conservatives, men and those who follow government closely are more likely to think pension benefits are too lavish, the poll found.

Forty-five percent who say they pay a "great deal" of attention to government say pensions are too generous.

"That's an ominous finding," DiCamillo said. "Their opinions are usually good indicators on how future voters will decide when they learn more."

Overall, this is good news for those of us in public employment. The key is for us to continue to make sure that we continue to point out that the vast majority of public employee retirement salaries are reasonable and that the media and anti-government groups continue to focus on the exception, not the rule.

Highlights from "The Week in Review" (TWIR)

You can access the entire TWIR by clicking on the link on the right side of this page.

Public Works
Rain Storm Report: Several alarms and requests for service were handled by the staff at the Wastewater Quality Control Facility and Streets Division during the recent rain storm. This included some after-hours call-outs. The high winds created radio communications problems, and the volume of rain overloaded a few of the City’s storm drain pumps. Our data monitoring and control system worked well, identifying where the problems were so they could be corrected in a timely matter. Overall, the storm system worked as designed, with the retention basins collecting the flow from the streets and holding the water until it could be pumped away. By Thursday, most of the basins had no standing water, except for a few basins where pumping was delayed.

Community Development
Enterprise Zone: The City has been notified that the State Department of Housing and Community Development has awarded a Targeted Employee Area (TEA) for the San Joaquin County Enterprise Zone. Of the 14 census tracts that are located at least partially in Manteca’s City limits, 10 have received this designation. Everyone who lives in a TEA automatically qualifies for the State Hiring Tax Credit that companies who hire them can receive if they are located in an Enterprise Zone (EZ). The Hiring Tax Credit allows EZ companies to reduce State income tax by a percentage of qualified wages paid to eligible new employees. The State’s Hiring Tax Credit currently totals up to $37,400 for each eligible employee over a five-year period and, importantly, is retroactive for all eligible employees hired on or after June 22, 2008, which is when the San Joaquin County Enterprise Zone was approved. Residents in a TEA are one of 11 targeted groups of eligible employees whose companies that hire them can receive the Hiring Tax Credits. Other groups of eligible new employees include those who are economically disadvantaged; qualified Veterans; disabled; ex-offenders; qualified displaced workers; enrolled in WIA, Calworks or WOTC (Work Opportunity Tax Credit); receive public assistance such as food stamps, cash aid, TANF, WIC, etc.; or are Native American Indian, Hawaiian or Samoan.

Zoning Ordinance Update Workshop: Staff is holding the first workshop on updating the City’s Zoning Ordinance. The meeting will be held October 27 at the Senior Center from 5:30 to 7:00 p.m. This workshop will focus on ideas from the community and development stakeholders for possible changes to the Zoning Ordinance involving land uses, parking ratios, setbacks, height, density and allowable uses.

Building Safety Activities: The Building Safety Division conducted a total of 210 inspections during the week. The division issued 28 building permits: 2 single-family dwellings, 1 change to existing plans, 2 hood and duct , 3 miscellaneous electric, 2 miscellaneous mechanical, 6 miscellaneous plumbing, 1 residential fire repair, 1 commercial roof, 9 residential roofs, and 1 sign permit. A total of 14 new project applications were submitted for plan check services, which included 6 single-family dwellings, 2 commercial remodels, 1 fire sprinkler, 1 patio, 1 residential fire repair, 1 residential remodel, 1 sign, and 1 storage rack.

Parks and Recreation

Tidewater Tree Planting: Crossroads Community Church volunteers and the City of Manteca worked together on Sunday, October 11 to plant 256 trees along the Tidewater Bikeway along Moffat Boulevard. This project was a part of the church’s “Taking it to the Streets” volunteer program. More than 800 people took on various projects throughout the City. The most-visible projects included the Tidewater/Moffat tree-planting program and the Tidewater clean-up program. Other volunteers worked in other areas of the City, and in other nearby communities. Approximately of 150 of them arrived at the Tidewater just before 10 a.m. to begin planting four different species of trees. This project will provide much-needed shade to the path during the hot summer months, as well provide a nice visual barrier from the path to the railroad. In addition to the tree planting, another 50+ volunteers removed weeds and pruned overgrown shrubs on the north side of the bike path.

Police Department

Kidnapping Conviction: On October 8, U.S. District Court Judge Lawrence J. O’Neill sentenced Justo Mata Bustos, 27, of Parlier, and Fernando Espana Rubio, 21, of Madera, each to 14 years and three months in prison for the armed kidnapping of a Tracy jewelry store owner. On October 2, Judge O’Neill sentenced co-defendant Diana Teran, 30, of Madera, to 10 years and one month in prison. All three defendants pled guilty to kidnapping, and Bustos and Rubio also pled guilty to brandishing a firearm in connection with a crime of violence. This case was the product of an investigation by the Manteca Police Department.

According to Assistant U.S. Attorneys Duce Rice and Kevin P. Rooney, who prosecuted the case, all three defendants admitted the victim was lured to a motel in Manteca and taken captive at gunpoint as part of a plan to steal the victim’s jewelry store’s inventory. The defendants took the victim away from the motel in his own car. When the victim saw a Manteca Police Officer, he jumped from the car, and a high-speed chase ensued. Bustos and Rubio threw handguns out the car’s windows before they were captured. During sentencing, Judge O’Neill emphasized the extreme violence and danger inherent in the crime and the attempted escape. U.S. Attorney Brown stated, “This successful prosecution was the result of the Manteca Police Department’s superlative response to an emergency situation.”

CalPERS pushed hikes now called "unsustainable"

I hadn't talked about pensions a whole lot lately, but I periodically check out the latest stores on www.calpensions.com which provides in-depth analysis of what is happening in the world of CalPERS. The caption above is the title of one of their most recent posts.

This post (click here) provides an excellent history of how our benefits have evolved over the past 25 years. In particular, it details the legislation that created the enhanced retirement packages that many member agencies (including Manteca) now receive.

It notes that:

A labor-friendly CalPERS board offered local governments an incentive eight years ago to boost public employee pension benefits, now called “unsustainable” by some.

CalPERS said it would reward higher benefits by inflating the value of the local government’s pension investment fund, making it easier to pay for more generous pensions.

Booming pension fund earnings in previous years were cited in a self-congratulatory board resolution approving the incentive in 2001. But the stock market boom had already cooled by then.
The CalPERS chief actuary, Ron Seeling, advised against the plan to inflate the market value of the assets, Tom Branan reported in the May/June 2001 issue of The Public Retirement Journal. (emphasis added)

Later in the article it notes:
CalPERS told the Legislature that the benefit increases in SB 400 could be paid for by “superior” investment earnings and the accounting change that boosted assets from 90 to 95 percent of market value.

Annual state contributions to CalPERS were expected to remain roughly unchanged for the next decade. But the CalPERS forecast was wrong, mainly because of a weak stock market not the cost of the increased benefits.

State payments to CalPERS, $157 million in 2000, soared to $2.5 billion by 2005 ($3.3 billion this year). Gov. Arnold Schwarzenegger briefly backed a plan to switch new state and local government hires to a 401(k)-style individual investment plan.

It also discusses the CalPERS' chief actuary's recent quote:

“I don’t want to sugarcoat anything,” Seeling said. “We are facing decades without significant turnarounds in assets, decades of — what I, my personal words, nobody else’s — unsustainable pension costs of between 25 percent of pay for a miscellaneous plan and 40 to 50 percent of pay for a safety plan … unsustainable pension costs. We’ve got to find some other solutions.”

New Flood Zone Maps

New FEMA flood insurance rate maps are effective October 16, 2009. Fortunately, no homes in Manteca are affected by these changes, but many property owners in Stockton and rural San Joaquin County will now be required to purchase flood insurance if they have a federally-backed mortgage.

Although Manteca residents are not required to purchase flood insurance because we are not in an area that FEMA considers a high flood risk, that does not mean that it will never flood here. It is very important for property owners to realize that homeowner insurance policies DO NOT cover water damage from flooding. Much of the western and southwestern area of Manteca is protected from flooding by levees, and levees are not an absolute guarantee against all floods. Even areas that are not protected by levees could experience street flooding or flooding from a dam failure to our east. This type of flooding would not be very deep, but could still cause a lot of property damage. Flood insurance rates are federally subsidized, and insurance is not very expensive in Manteca since we are in an area that is considered to be at low risk for flooding. Also, city staff have worked with FEMA to obtain a 5% discount for Manteca residents because we have an effective floodplain management program. If you are interested in flood insurance, contact any insurance agent to see what the rate would be for your property, and make sure that they know that we have a Community Rating System rank of Class 9, which provides the 5% discount. .

If you would like more information about flood risks, the San Joaquin County website has links to lots of information, including a map where you can see the flood zones. This information can be found at http://www.co.san-joaquin.ca.us/pubworks/flood_info.htm. You can also call our Public Works Department at 456-8426 for more information or answers to specific questions.

Storm Aftermath

Yesterday is a great example of why our entire workforce is critical to the health and safety of the community. It takes all of our dedicated employees to keep our roads free of hazards including trees, water and abandoned vehicles. We also needed our entire fire department mobilized to deal with three structures fires all occurring at the same time. Not to mention the fact that trash still needs to be picked up, the traffic signals need to keep functioning, the drinking water supply needs to be pure and our toilets hopefully keep flushing.

Here is some up to the date information from our Public Works department regarding yesterday's inhospitable weather:

We had some minor street flooding during yesterday’s storm, but we were fortunate that most of the leaves have not yet fallen, so we did not have too many blocked storm drains or inlets. Historically, most street flooding in Manteca is caused either by leaves blocking the storm drain inlets or by leaves clogging the storm drain pipes.

City crews are deployed throughout the City during rainy days to clear drains, with priority to areas where water extends into the traffic lane and impedes traffic. Areas with standing water that do not affect traffic flow are cleared as time allows, but are a much lower priority. Residents who would like to keep their street from flooding can help by maintaining a clear path for water to flow into the storm drainage system. Specifically, keep leaves and other debris from collecting along the street curb. If leaves and branches will fit, please put them into your green toter instead of putting them on the street. If you must put them on the street, do not pile them against the curb, but keep them at least one foot away from the curb line, leaving a path for water to flow without being restricted by leaves or washing leaves into the storm drain. If water is starting to pool along the edge of your street, you may be able to solve the problem yourself by using a rake to clear leaves away from the storm drain inlet.

Right now our streets are littered with leaves, branches, and other debris from the storm. Our street sweepers will continue on their normal routes, so some streets will not be swept for two weeks. You can find out when your street will be swept by examining the map at http://www.ci.manteca.ca.us/pwt/stdiv/streetswp.pdf or by calling the Streets Division at 456-8449. Residents can help prevent flooding if we get more rain before all streets are swept by clearing the sidewalk and street along their property and putting the leaves and branches into their green toters.

The City’s bulk leaf collection program will start after Thanksgiving and will continue until all leaves are collected. This program is designed to collect large piles of leaves that will not fit into the green toters. Please arrange leaf piles so that they do not extend into traffic, while also keeping the area along the curb clear for proper street drainage.

To report street flooding during normal business hours, please call the Streets Division at 456-8449 or the Public Works Department at 456-8400. Outside normal working hours, any flooding that impedes traffic or threatens to damage property should be reported to the Police Department at 456-8100.

Economic Woes are Everywhere

Here's an excerpt from a news story I was listenting to on the radio early this morning:

SOCOLOVSKY: I'm feeling pretty bad, says Aranchas Sanchez del Canya, who works as a government researcher. My life plan was clear: a government job that let me spend time with my two kids. I thought I was set for life. Now it looks as though it won't be that way.
Her boss recently told her that her contract would not be renewed. Her husband, a computer specialist, is just barely hanging on after the small IT firm he works for let go of most of its staff over the summer.

SOCOLOVSKY: You just can't plan for the future, Sanchez says. With unemployment now at 18 percent and forecast to rise even further next year, many people who still have jobs feel them slipping away. Unemployment for those under 25 is already nearly 40 percent. With her geology degree, good grades, and the ability to speak several languages, Penelope Torre Alba says her opportunities seemed limitless.

SOCOLOVSKY: It looked like the world was mine for the taking and that I could have any job I wanted, she says. But Torre Alba's employer just gave her a choice between layoff and temp status, which means she can be let go at will.

(Click here for link to full story)

Sounds like a conversation you might overhear today at any restaurant in the Central Valley--not to mention the Bay Area, the west or the balance of the United States.

Actually, the conversation isn't even in the U.S.--it is taking place in Madrid, Spain.

I realize that we can only focus on Manteca's issues, but sometimes it is important to realize that what we are experiencing is a world-wide problem. When this city and just about every other city in the country planned out its budget in 2002, 2003 or 2006, none of us anticipated an economic downturn of this magnitude. Even if we had, there is no way we could have saved enough money to offset the huge drop in revenues that we've experienced the past few years. Ask the City of Tracy, who is quickly going through a $38 million reserve.

It may feel better to claim hindsight, but you can only base your budget on your best knowledge of the current information and past history. This city budgeted according to realistic assumptions for revenues and expenditures. This city used one time revenues for one time expenditures to make sure that the budget didn't grow at an unsustainable rate. Finally, this city put together a compensation package that could withstand what every city thought would be a worse case scenario.

Unfortunately, we are now experiencing an unprecedented drop in revenues that is of a magnitude that no one could have predicted. As noted above, this economic tsunami is worldwide and public and private sector employers in every country are going through these same struggles. It is a lot easier to throw your local leaders under the bus and blame your woes on them, but it isn't realistic and it isn't going to solve our budget deficit.

Police Layoffs

Much has been written at this point about the budget and the need to reduce labor costs. I had truly hoped that all of our bargaining units would agree to reduce costs via compensation instead of layoffs. I'm very thankful that the vast majority of our employees agreed that saving jobs was more important than receiving raises in tough economic times.

Unfortunately, the MPOA doesn't agree with this philosophy. We had attempted to put together a package of cuts that would minimize the impact on each officer. The average officer's take home pay would drop around 3 percent with the proposal that we made. I realize that many of the officers were skeptical that the cut could be so small.

To prove our point, we provided the union with printouts from the payroll system showing the current pay and the proposed pay of each member. It showed that the actual impact per paycheck wasn't much more than $100. I'm hopeful that the MPOA will share this information with their membership. When this information was presented to every other labor group, I believe it ended up being the deciding factor in going along with the cuts.

My door remains open for the moment. I hope the union will reconsider their stance. While I realize that the Cost of Living Adjustments are a big deal to older members looking to maximize their pay prior to retirement, I also think that the community would be better served if we could keep our 12 officers employed. I also know it would better serve the MPOA members now unemployed. While there are some agencies hiring to fill the economic stimulus positions, there are hundreds of officer layoffs underway at nearby agencies. In talking to other City Managers and County Administrators, they've noted it isn't a good time to find work--particularly for those with less than 5 years experience.

The Myth of the Underpaid Public Employee

The backlash against public sector pay continues to spread across the country. The title above is the headline of a recent article from the op-ed page of the Boston Globe (click here for full story). Here are some excerpts from the story:

THOUGH it hasn’t been true for years, many people believe that government employees receive lavish employment and retirement benefits in order to compensate for their meager paychecks. The reality is that their paychecks aren’t meager at all: Government jobs often pay more than those in the private sector, and the difference between the two is growing.

Consider the lucrative lot of the men and women who work for Uncle Sam. In 2008, according to data from the Commerce Department’s Bureau of Economic Analysis, the 1.9 million civilian employees of the federal government earned an average salary of $79,197. The average private employee, by contrast, earned just $49,935. The difference between them came to more than $29,000 - a differential that has more than doubled since 2000.

Take account of total compensation - wages plus benefits - and the disparity is even more striking. In 2008, total federal civilian compensation averaged $119,982 - more than twice the $59,908 in wages and benefits earned by the average private-sector employee. Chris Edwards, a scholar at the Cato Institute, has documented the steady widening of the gap: In 1960, federal workers averaged $1.24 for every $1 earned by a private employee. By 1980, the federal advantage was up to $1.51; in 2000 it was $1.66. Now it is $2 - and climbing. When ranked alongside 72 industries that span the US economy, federal employees take home the seventh-highest average compensation. Among the workers they outearn, Edwards shows, are those in such fields as computer systems design, chemical products, and legal services.

Stories and other like it are spreading like wildfire into our papers and through cyberspace. It further reinforces why it is critical that public employees begin to ratchet down compensation plans to reflect the current economic realities.

More Company for our Misery

I was mentioning the other day how our budget woes are a nationwide trend. Here is just a partial listing of articles from just the last week describing California cities that are going through the same experience as us:

By the way, on some computers, it will ask you for a password to link to these stories. Cancel out the password request, go up to the web address box and you'll see the following:
http://www.ci.manteca.ca.us/exchweb/bin/redir.asp?URL=http://www.redding.com/news/2009/oct/06/redding-mayor-suggests-ballot-measure-could-cut/%2520

Just delete out everything up to and including the "=" (equals sign) and leave the rest and you should be able to get to the story. Of course, some of the stories will already be gone, but for most this should work.


Redding mayor suggests ballot measure could cut more city benefits... Posted October 6 by the Record Searchlight
State employees take pay cuts, save 1,100 jobs... Posted October 6 by CBS 13
Alameda moves to cut health benefit costs for new hires... Posted October 5 by the IslandofAlameda.com
Recession making it tough for San Joaquin agencies to maintain workplace diversity efforts... Posted October 5 by the Stockton Record
California blunts budget cuts... Posted October 5 by the Wall Street Journal
L.A. city SEIU local: "our members get loud and angry"...Posted October 4 by OurLA.org
Is Columbus Day a holiday? State workers get conflicting advice...Posted October 4 by the Sacramento Bee
Loma Linda forced to cut staff...Posted October 3 by the Press-Enterprise
Sonoma cuts “to the bone” to balance budget... Posted October 2 by the Sonoma Valley Sun Prison educators get layoff notices... October 2 by the Press-Enterprise
Tuolumne County employees benefit from PERS windfall...Posted October 2 by the Union Democrat
Brea to temporarily cut on-duty fire staffing...Posted October 2 by the OC Register
Union concessions may ease Sacramento County budget crisis... Posted October 2 by the Sacramento Bee
Riverside County declares impasse with prosecutors...Posted October 2 by the Valley News
Union workers cut in Guadalupe... Posted October 1 by the Santa Maria Times
San Jacinto approves cuts in office hours, workers' pay... Posted October 1 by the Press-Enterprise
UC Riverside employees to get "temporary layoff" notices... Posted October 1 by the Press-Enterprise
Alameda County, SEIU come to new pact...Posted October 1 by the Oakland Tribune
546 S.F. workers get layoff notices, but many will be rehired, paid less...Posted October 1 by the SF Public Press
Vallejo IBEW president: time for resolution, redirection... Posted October 1 by the Times-Herald See also Retiree group wants to see Vallejo's Chapter 9 exit strategy... Posted October 2 by the Times-Herald
UCSF offers furloughed employees little help via "hardship loans"... Posted September 30 by the SF Public Press
Opinion: Myth of the underpaid public employee...Posted September 30 by the Boston Globe
Anaheim teachers face up to 11.75% pay cut... Posted September 30 by the OC Register
Furloughs equal more work less pay in S.F.... Posted September 30 by MissionLocal.org

NEGOTIATIONS/LABOR RELATIONS
Deputies' union says non-sworn jail guards compromise safety... Posted October 5 by the OC Register
Vallejo Con Dios: New report on unions' impact... Posted October 5 by the Times-Herald
And... Posted September 28 by the CATO Institute
Don Perata still making bank from prison guards' union... Posted September 30 by the Contra Costa Times
Glendale USD, teachers union start far apart... Posted October 4 by the Glendale News-Press
PERB ruling favors Modesto CEA leader... Posted October 2 by the Modesto Bee
Palo Alto to resume negotiations with IBEW... Posted October 2 by PaloAltoOnline.com
See also Palo Alto police managers forming own group... Posted October 1 by PaloAltonline.com See also Palo Alto managers talk of joining Teamsters... Posted September 30 by PaloAltoOnline.com
Anger is mutual for SEIU, SF mayor... Posted September 30 by the San Francisco Chronicle
Santa Maria’s City Attorney rejects ballot measure on police pay... Posted September 30 by the Santa Maria Times

PENSIONS/RETIREE HEALTH
Pensions’ post-crash reforms: Slipping away?... Posted October 5 by Calpensions.com
Pensions for new hires targeted as Marin County, area cities seek changes... Posted October 4 by the Marin Independent Journal
Daniel Borenstein: Taxpayers are stuck with public pension increases... Posted October 4 by the Contra Costa Times
San Diego County retirement board rejects CEO's advice on counsel... Posted October 2 by the San Diego Union-Tribune
LA coalition of unions: Vote yes on early retirement deal... Posted October 2 by OurLA.org
LAPD officers continue to bargain... Posted October 2 by the Los Angeles Wave
Publicizing $100,000 pensions is a way to reform the pension system — or kill it... Posted October 2009 by Governing.com
Initiative to shrink California’s employee pensions gains steam from public outrage... Posted September 30 by the OC Register
See also Legal trouble may loom if MWD board rejects new contracts... Posted September 29 by the OC Register
See also MWD retiree health plan: Too big to last?... Posted September 30 by Calpensions.com
See also MWD pension idea in line with other agencies... Posted October 5 by the San Diego Union-Tribune
California public employees have better pensions than feds... Posted September 28 by the OC Register

CALPELRA thanks Mark Flannery for his assistance in offering this service to its members.

Highlights from "The Week in Review" (TWIR)

You can access the entire TWIR by clicking on the link on the right side of this page.

Police
Stabbing: On October 4 at 4:39 p.m., officers were dispatched to a report of a fight involving bats. Gunshots were reported to be heard in the alley behind 244 Acacia. Upon arrival, none of the participants were on scene. A short time later, officers located one victim in the 200 block of Acacia with a stab wound to his left forearm. A razor was still embedded in the wound. The 16-year-old victim was transported to Doctors Hospital for treatment of the non-life-threatening wound. He could not identify his assailants.

Residential Fire: While on patrol, Officer Elness saw the vacant residence at 146 Oak St. on fire. Officer Elness immediately called for the Fire Department to respond. The fire was contained to approximately a 10-foot section on the east side of the residence. The contact person for the residence was notified.

Canine Competition: On October 3, Officer Grant Flory and his retired Manteca PD canine, Spike, competed in the Stanislaus Sheriff's K9 Trial. Once again, they represented the Manteca Police Department very well. They took 1st place in the Retired Class. Had they been competing in the regular Open Division, Spike would have taken 1st place in the Protection Phase. He beat out 25 other K9’s, including the top three dogs in the Western States Police K9 Association, and the Eukanuba poster dog out of the Sacramento Police Department. He was the first to compete and put on an excellent show. Grant and Spike would have placed 4th overall in the trial if he were competing Open. Congratulations to Grant and Spike!!

Fire
Emergency Incidents: We had a total of 119 incidents this week, which included five that were fire related: 1-Structure Fire, 2-Vehicle Fires, 1-Grass Fire and 1-Dumpster Fire. Dollar loss for the week was estimated at $12,200. The remaining calls this week were: EMS-67, Vehicle Accidents-6, Service Calls-19, and Other Emergencies-22.

Fire Prevention:
This week’s Fire Prevention activities included: Business Inspections-49, New Construction Inspections-10, Plan Checks-12, and Fire System Checks-4.

Fire Awareness in the Schools (FAITS) – Firefighters will be visiting both Veritas and Woodward schools this week to present demonstrations on fire and life safety.

SAFE members staffed the Fire Prevention Safety Trailer at the Pumpkin Fair last weekend, giving children hands-on experience in fire evacuation drills.

Public Works
Stimulus Funding Approved: The City was notified earlier this week that the U.S. Department of Energy has officially awarded $586,200 in ARRA (American Recovery and Reinvestment Act) grant funds to the City for its street light retrofit project. The ARRA funds will be used to replace the City’s existing street lights with high-efficiency, induction lamps, which will save the General Fund approximately $150,000 per year in energy costs. Public Works is working on a procurement specification for the induction lamps and plans to begin soliciting competitive bids soon.

Louise Avenue Sidewalks: East Louise Avenue – between Cottage and Empire – has several areas where the street has not been improved to full City standards, which would include curb, gutters and sidewalks. Normally, these improvements are installed when the parcels are developed for a new or upgraded use. The costs for such improvements are paid by the developer or owner; however, in some cases, other projects that need such improvements may be required to fund a portion of improvements to mitigate impacts those projects would cause. In this particular area, several developments created a need or future demand for pedestrian facilities and, hence, were required to fund a portion of the future improvements. The three subdivisions include Diamond Oaks, Almond Crest and Spring Meadows. The three projects have deposited a combined total of $70,800 for future improvements to these areas. Recently, staff reviewed the feasibility and cost of installing the improvements in advance of development in the area. The estimated costs to complete the street and sidewalk were $200,000 for the north side of the street, and nearly $400,000 for the south side of the street. These estimates include utility relocations, right-of-way acquisition, grading, paving and concrete work. Currently, the City does not have any additional funding available to do such work in advance of development. Staff will, however, continue to watch for any resources that might become available in the future.

McKinley Avenue Specific Street Plan: In conjunction with the current effort to update the City’s Circulation (Transportation) Element of the General Plan, staff is working on the preliminary planning for the future McKinley Avenue Extension. The fist step in the process is to develop a Specific Street Plan, which will identify the roadway alignment to connect McKinley Avenue between a new interchange at McKinley/SR 120 and a new interchange at the Austin Road Business Park/SR 99. Staff has completed the initial mapping to show multiple alternative routes. Comments are being solicited from the development community. The next step will be a series of workshops to take public input.

Community Development
Auto Dealerships – Staff has been meeting over the past three months with our four, local automobile dealerships, and we expect to finalize an employee discount program that will be offered to employees working for businesses in Manteca.

Promenade Center – Three building permits were paid and issued on October 7 to the developers of the Promenade Shopping Center for construction of new “luxury outlet” buildings. Work will commence next week before October 15, and is anticipated to be completed in March 2010. Additionally, The Hampton Inn/Suites at Promenade is also scheduled for completion in March 2010. The Red Robin restaurant will open in February 2010.

New Stadium Center Shops – Kitchell Development is working to fill vacant buildings at Stadium Center. Chilaberries Yogurt has confirmed its move to the center, with plans to open in December this year. They also have a number of major tenants that they will be announcing soon.

Union Crossings – The City Council will be asked to review and approve the proposed Union Crossing Shopping Center project on October 20. The project is located on Union Road, just south of Highway 120, and will entail 450,000 square feet of new retail space, plus proposed restaurants on more than 54 acres.

Building Safety Activities: The Building Safety Division conducted a total of 333 inspections during the week. The division issued 47 building permits: 11 single-family dwellings, 1 single-family demolition, 1 change to existing plans, 4 commercial demolitions, 1 commercial remodel, 4 miscellaneous electrical, 2 miscellaneous plumbing, 2 miscellaneous mechanical, 1 patio, 1 residential garage, 1 residential master, 7 residential solars, 7 roofs, 1 sign, 2 swimming pools, and 1 commercial restaurant, and the Red Robin restaurant at Promenade. A total of 29 new project applications were submitted for plan check services, which included 2 single-family dwellings, 1 fire sprinkler, 1 commercial mechanical, 6 residential solars, 4 sign permits and 15 solar master plans.

City Council Post Mortem

Tuesday night's City Council meeting was not something that I or the City Council ever wanted to experience. It is painful to watch employees denigrate their fellow employees and painful to see spouses feeling the need to defend the city worker they live with.

All of our employees provide important services to the public. Whether it is the worker who makes sure that your toilet flushes, or the worker who keeps your park maintained or officers who respond to emergencies--they all play an important role. While public safety is critical, is it really more critical than making sure that your toilet works or your water flows or that your roads are passable? Certainly, when someone calls 9-1-1, there is no one more important than that officer. On the other hand, there wouldn't be any residents in this city if we couldn't provide them with basic services. I can also assure you that there would be more criminals migrating to town if our parks weren't maintained or if our codes weren't enforced.

The bottom line is that we wouldn't be having this debate if the economy weren't at its lowest point in the past 75 years and we are in the part of the country most severely impacted by this recession. The bloggers on the Manteca Bulletin site and many of the speakers Tuesday night seemed to be focused on finding the villan in this mess. The villan is the economy--everything else is a biproduct of a revenue downturn that none of us could have ever predicted.

My goal is to try and keep our municipal corporation intact during this difficult time. The City Council and I realize that every aspect of city government must suffer and that NO part of our operation is completely immune from this downturn. Frankly, the cutting has been going on since the day I got here and the cutting has not been equal. There are plenty of areas in this operation that have suffered greater cuts than Police, because public safety is a high priority. The fact that our officers are among the highest paid employees in the city reinforces the city's focus on public safety. However, being a high priority doesn't make one completely immune from the cuts.

The proposed agreement for Police is NOT an all or nothing proposition. It is the absolute minimum we can take from the operation without creating irretrievable losses in the rest of the city's operation. In addition, while most city employees are taking furloughs with nothing in return--the Police officers are getting the time back in return--and while the rest of the employees received a 4 percent adjustment last January, the officers received six percent. Thus, the officers have not been treated the same, public safety has received special consideration.

In addition, I'm tired of hearing about the lack of trust. I have been upfront with the MPOA from day one. I never, ever claimed last fall that the furloughs (which aren't even costing the officers anything in the long run) would be the final solution for our budget woes. Not only did I make it clear that we would need to come back if our budget situation continued to deteriorate, I also held a meeting for all of the membership of the union on May 4, 2009. That meeting was to make it clear that more concessions would be needed to bridge the budget gap--we just didn't have final numbers yet. As most of you recall, we wanted to wait until all of our revenue numbers were in before coming up with a cost reduction proposal.

This is not a game where we ask for 50 dollars, hoping we can get $25. We purposely waited until every number was available before we determined what the labor cuts needed to be. We also dug up every dollar we could find to go towards reducing the number. The City is going to be accessing every dollar we have available in reserve (and then some) to keep these cuts to a minimum. If we had to balance the budget this year without these reserves, we'd have to ask for these salary cuts AND have massive layoffs.

We are doing everything we can to preserve jobs and keep service levels up in the community. I can't believe that people don't understand that. Times are extremely tough and other than our immediate family members, I don't think there are many people in the community who feel that anyone in government is immune from salary cuts. Just do a google search of city budgets, and count the thousands of cities experiencing exactly what we are going through now.

This need to cut compensation isn't to try and punish one group, or to break a union or cobble away money from some special project. This is an attempt to survive a problem that is nationwide--except that it is even worse here in the Valley. No City Council, no City Manager, no palm reader could have predicted this. This isn't a conspiracy, it is reality and I would prefer we find a way to survive this by banding together instead of breaking apart.

More Folks Unhappy about Government

I've been attempting to point out about once a week the burgeoning public anger towards public sector compensation. As the economy continues to tumble and private sector jobs continue to dminish, the drumbeat towards curbing our compensation increases. I believe that places such as San Joaquin County need to be particularly careful about inciting the anger of our private sector brethern.

I was meeting with some economic development officials today about several companies seriously looking to relocate to Manteca. While this is great news, we were also discussing the impact of the NUMMI plant closure and its impact on Stockton and the rest of the county. By next spring, the unemployment rate in Stockton could exceed 25 percent and the county rate could hit 18 percent. It could be worse, but some of the plant suppliers will stay open for a short period of time to supply plants in Mexico. By the way, the reason that companies are looking at Manteca is due to the many amenities and shopping opportunities that we've added over the past decade. Thus, while some of our employees have been critical of the City Council's spending habits--it is these spending habits that will bring jobs and future revenues to the City.

In any case, I found it interesting that the Cato Institute, a renown conservative think tank has weighed in on the issue of public sector compensation. Obviously, this is a group pre-disposed to oppose us, but I believe it is very important to be aware of who is talking about us and what they are saying. This is not a fringe organization, but one whose influence is quite extensive.

Here is the introduction to their policy paper:

Rates of unionization in the United States today are at historic lows and are unlikely to rebound. However, there is one sector in which organized labor is growing in strength: government. This has severe implications for the future of public finances for state and local governments across the nation, and for the nature of organized labor itself.

High rates of unionization in the public sector have led to very high labor costs in the form of generous collective bargaining contracts. Now state and local governments are under increasing financial pressure, as a worsening national economy has led to decreased revenues for states and municipalities—many of which remain locked into the generous contracts negotiated in more flush times. Thus, as businesses retrench, governments find themselves in a financial straitjacket. In addition, as government unions grow stronger relative to private-sector unions, their prevalence erodes the moderating influence of the market on the demands that unions make of employers.

Now, as an economic downturn threatens state and local government revenues, officials who want to keep their fiscal situations under control would do well to look skeptically at public-sector bargaining—especially since the existing political checks on it have proven ineffective. Public officials should eschew public-sector bargaining when possible, or at the very least, seek to limit its scope.

As keepers of the public purse, legislators and local council members have an obligation to protect taxpayers' interests. By granting monopoly power to labor unions over the supply of government labor, elected officials undermine their duty to taxpayers, because this puts unions in a privileged position to extract political goods in the form of high pay and benefits that are much higher than anything comparable in the private sector.

This paper shows how the unionization of government employees creates a powerful, permanent constituency for bigger government— one that is motivated, well-funded, and organized. It also makes some recommendations as to how to check this constituency's growing power—an effort that promises to be an uphill struggle.

To read the entire study, click here.

City Council Headliners

At 7:00 p.m. Tuesday night, here are some of the items Council will consider:

Non-Consent Calendar items of interest:
-Receive a report on the Government Building Facility Fee projects and provide direction on priorties to staff.

Consent Calendar itmes of interest:
-Adoption of a resolution extending the designated period (from January 31 to March 31, 2010) for two-years additional service credit for Miscellaneous and Safety employees through California Public Employees' Retirement System (CALPERS).
-Determine Shawn T. Gardner Builders, Inc. to be the low bidder for the Springtime and Sequoia Parks Playground Installation Project and award the contract for $14,780.
-Determine Watkins & Bortolussi, Inc. to be the low bidder for the State Route 99/120 Interchange Landscaping Project and award the contract for $315,425.

A copy of the full agenda packet is available at the following link on the City's Website:
http://www.ci.manteca.ca.us/CityClerk/agendas

Highlights from "The Week in Review" (TWIR)

You can access the entire TWIR by clicking on the link on the right side of this page.

Police
Red Light Camera Update: Several months ago, the Police Department began working with Nestor Traffic Systems to plan for the installation of red light enforcement and collision-avoidance systems at several intersections within the City. On September 9, Nestor Traffic Systems was sold to American Traffic Solutions (ATS) of Scottsdale, Ariz. While the new company has been in existence for many years and has a strong history of providing enforcement camera systems, it has no experience in providing collision-avoidance technology. The City was given the option to discontinue our relationship with the new company once it acquired Nestor. After speaking with representatives of ATS and researching their business model, it appears that the focus of the company will continue to be in enforcement and not collision avoidance. Since the collision-avoidance technology was the focus of the department’s – and the Council’s – desire when this project was approved, we are no longer moving forward with the traffic camera project with this company. If similar technology becomes available through this company or another vendor, staff will bring it forward for Council’s consideration at that time.

Chop Shop Arrest: On September 25 at approximately 8:30 a.m., detectives of the Delta Regional Auto Theft Task Force (RATT), with assistance from the Manteca Street Crimes Unit, drove to 10237 E. Highway 120 and conducted a probation search. During the search, they located two stolen Ford Mustangs in the backyard, along with a boat with a stolen motor in it. The two Mustangs were being parted out. One of the Mustangs was an unreported stolen that was taken from a vacant lot in the Bay Area. The owner was unaware of the theft until we contacted him. The other Mustang was also stolen out of the Bay Area. During the search of the residence, detectives located five professional bowling balls and associated bowling equipment. Detectives also located documents that led to the identity of the owner. Detectives contacted the owner and found the property was inside another Ford Mustang that was stolen from San Leandro and recovered in Stockton. Over $3,000 in stolen property, along with the two stolen vehicles, were recovered from the residence. Chad Maria, a 28-year-old Manteca resident, was arrested for possession and operation of a chop shop, two counts of vehicle theft, and four counts of possession of stolen property. Maria’s probation officer also violated his probation.

Fire
Emergency Incidents: We had a total of 90 incidents this week, which included 6 that were fire related: 1-Structure Fire, 1-Cooking Fire, 1-Vehicle Fire, 2-Grass Fires and 1-Dumpster Fire. Dollar loss for the week was estimated at $1,500. The remaining calls this week were: EMS-49, Vehicle Accidents-5, Service Calls-12, and Other Emergencies-18.

Significant Incidents:
● Multi-Casualty Vehicle Accident – Eastbound Highway 120, September 23:
Engine Company 242, Truck 24, Battalion 24, and Rescue 24 were dispatched to a multi-vehicle accident on eastbound Highway 120, east of Main Street, to find three passenger vehicles in the roadway, one passenger vehicle over the embankment and one tractor trailer all involved in a collision. The accident resulted in several injuries with patients being transported to local hospitals.

● Grass Fire – Westbound Highway 120, September 28:
Firefighters arrived to find grass fires in the center divide and north side of the roadway. Engine Company 242 began fire attack on the center divide, as Engine Company 241 battled the fire on the north side of the roadway. Engine Company 32 was assigned structure protection for the Industrial Park area. Firefighters used aggressive fire tactics to contain the rapid fire spread, which was fueled by the high winds. In addition to containment of the grass fires, firefighters were able to prevent fire spread to a structure that had been threatened on Van Ryn Road, as well as the various businesses in the Industrial Park area that back up to Highway 120. Approximately five acres were burned with no loss of property or injuries. CHP provided traffic control measures, which affected the commute traffic for approximately one and a half hours.

● Grass Fire – Eastbound Hwy 120, September 29:
Firefighters were dispatched to a second grass fire on Tuesday afternoon, this time on eastbound Highway 120 near the Airport Way exit. Engine Company 242 arrived on scene to find fire on the side of the ramp near the eastbound exit. The fire was quickly brought under control and was contained to the immediate area.

Fire Prevention: This week’s Fire Prevention activities included: Business Inspections-54, New Construction Inspections-9, Plan Checks-13, and Fire System Checks-6.

Public Works
Recycling Revenues: Solid Waste management staff met with representatives of Allied Waste to review our recycling contract. Because of the collapse in prices of recycled materials, we have been giving our recyclables away for free for several months. Because of indications that the recycling market was starting to recover, staff requested that Allied begin paying for our material again, and Allied agreed to pay $15 per ton, starting immediately. This will result in approximately $60,000 in additional income this year. Staff will prepare a contract modification for the City Council’s approval, and will continue to monitor the recycling market to ensure that we receive a fair price for our recyclables.

Community Development
The following is a summary of some of the activities under way in the Community Development Department:

Union Crossing – The Planning Commission met last week and voted unanimously to approve the proposed Union Crossing Shopping Center project, located on the west side of Union Road, south of the Highway 120 bypass. The proposed project will encompass 450,000 square feet of new retail space on over 54 acres. The City Council will be asked to approve the project at its meeting on October 20.

B.R. Funsten – Major work continues on the B.R. Funsten Industrial Warehouse project, located on South Main Street at Industrial Park Drive. The construction schedule is two weeks ahead of the proposed completion date of December 1.

Promenade Shopping Center – Staff met this week with the development team (Poag and McEwen/Craig Realty Group) on the Promenade Shopping Center. The City has approved building plans for three new buildings that will house luxury outlets at the shopping center. The building permit will be issued on October 5, and construction will commence no later than October 15, with completion scheduled for March 2010. In addition, staff is anticipating several restaurant leases will close in the next 30-60 days, and that Red Robin will open in February 2010. Lastly, work is ongoing on the Hampton Inn Hotel project, which should be completed in February/March 2010.

Permit Center – The new one-stop permit center has been averaging more than 40 clients per day since opening a little over a month ago. Some days we have served more than 50 clients. Both Public Works/Fire Department staff have been at the new permit center from 8 a.m. to noon every day.

Parks and Recreation
Park Vandalism: Union West Park has been a frequent target of vandalism by apparent gang members. The majority of the vandalism has been in the form of an excessive amount of graffiti. Park staff has been working in cooperation with members of the Manteca Police Gang Unit. So far, there has been limited progress, due to the lack of a consistent pattern of visitation by the offenders. However, both Park and Police staff members are committed to eliminating the problem.

Panda Express Community Fund Raiser: Parks and Recreation is teamed up with Panda Express for a Community Fundraiser in support of Youth Recreation Programs. Support Parks and Recreation youth programs – eat healthy and support local businesses that support us. Go to Panda Express, 1467 Hulsey Way, with your family and friends on the first Friday of the month and Panda Express will donate 20% of the cost of your purchase to Parks and Recreation! The program runs through April 2010. For more information visit our website at http://www.ci.manteca.ca.us/parks/docs/PandaExpressFlyer-1.pdf

The Truth About Jobs No One Wants To Tell You

The phrase above is the title to Robert Reich's latest column (click here). Reich, a former Secretary of Labor has been quite accurate lately at predicting the latest twists and turns in the economy. He notes that while the unemployment is just approaching 10 percent nationwide, it is likely closer to 20 percent. He notes:

Unemployment will almost certainly hit double-digits next year -- and may remain there for some time. And for every person who shows up as unemployed in the Bureau of Labor Statistics' household survey, you can bet there's another either too discouraged to look for work, or working part-time who'd rather have a full-time job or else taking home less pay than before (I'm in the last category, now that the University of California has instituted pay cuts). And there's yet another person who's more fearful that he or she will be next to lose a job.

In other words, ten percent unemployment really means twenty percent underemployment or anxious employment.

He goes on to talk about the only way to bring down our unemployment rate:

So why is unemployment and underemployment so high, and why is it likely to remain high for some time? Because, as noted, people who are worried about their jobs or have no jobs, and who are also trying to get out from under a pile of debt, are not going do a lot of shopping. And businesses that don't have customers aren't going do a lot of new investing. And foreign nations also suffering high unemployment aren't going to buy a lot of our goods and services.
And without customers, companies won't hire. They'll cut payrolls instead.

Which brings us to the obvious question: Who's going to buy the stuff we make or the services we provide, and therefore bring jobs back? There's only one buyer left: The government.
Let me say this as clearly and forcefully as I can: The federal government should be spending even more than it already is on roads and bridges and schools and parks and everything else we need. It should make up for cutbacks at the state level, and then some. This is the only way to put Americans back to work. We did it during the Depression. It was called the WPA.
Yes, I know. Our government is already deep in debt. But let me tell you something: When one out of six Americans is unemployed or underemployed, this is no time to worry about the debt.
When I was a small boy my father told me that I and my kids and my grand-kids would be paying down the debt created by Franklin D. Roosevelt during the Depression and World War II. I didn't even know what a debt was, but it kept me up at night.

My father was right about a lot of things, but he was wrong about this. America paid down FDR's debt in the 1950s, when Americans went back to work, when the economy was growing again, and when our incomes grew, too. We paid taxes, and in a few years that FDR debt had shrunk to almost nothing.

You see? The most important thing right now is getting the jobs back, and getting the economy growing again.

I think it is also imperative that we attempt to keep as many people employed as possible. That is what we are attempting to do by reducing pay and avoiding layoffs. But it is important to note that our private sector brethrens are really suffering and will continue to suffer for an extended period of time. We need to do everything we can in government to keep services levels up and keep costs low.

Labor Update and a preview of "What's Next?"

The City's General Services unit approved the salary reduction plan in a vote yesterday. They are the sixth of the City's seven labor units to approve the plan. I realize it is never easy for someone to cut their salary, but the vote demonstrates that our employees understand the difficult economic situation we are facing. I think it also demonstrates a loyalty to the co-workers who would lose their jobs if the plan were not approved.

I realize that this sort of process isn't a morale booster. However, going through this process is far better than the alternative--which would have been a slow, painful and permanent deterioration of the city's workforce and its ability to deliver service to the public. My main goal in this process was threefold. First, it was to keep up service levels to the public--this could only be done by lowering our cost of doing business. Second, it was to keep the city's most important resource intact--and that was our workers. Third and equally important--was to ensure that we maintained a work environment in which our employees could thrive both personally and professionally--which couldn't be done without an adequate workforce in place and a competitive salary.

I believe that by proposing a pay cut that was primarily focused on non-taxable income and future income, it hopefully minimized the pain to each worker. In addition, the pay cut only solves about 25 percent of this year's deficit. By tapping reserves and one-time funds, 75 percent of the deficit burden was not borne by our workers. By offering an early retirement incentive package, and by forgoing the next two COLAs, we are hoping we can make it through the next couple years of this recession without losing any more of our valuable workforce.

With this behind us, the good news is that our workforce can now find ways to work towards a better future for our employees and our residents. At last week's Management Workshop, I made a presentation on what I'd like to call "Community Based Government." In order to deal with our future budget realities of ever-increasing demands and ever-diminishing resources, I'm a firm believer that we have to give our residents a greater voice in which services government should provide through our limited resources.

I'm not saying that services should be cut, I'm saying that we need to figure out which services need to be provided by a professional workforce and which services could be provided by the citizens themselves. The only way to do this is to focus more of our energies on working with the public to find out what they need us to do and what they can do themselves.

Frankly, this is the only model that can work in the future. Our citizens don't want to be taxed to the level it would take in order for us to provide every single service that they demand. We need to help them figure out which services that they really want from us.

You'll be hearing a lot more about this in the coming weeks. All of the city's management staff will be participating in sessions to better define what "Community Based Government" will be. We are also going to be putting together a team of line staff to figure out how we would actually implement our new way of doing business.

This will not be just another task for each of us, it will be a paradigm shift in the way we work. I look forward to talking to each employee about the role that they will play in our new way of doing business. If you are interested in serving on the implementation team, please give me a call or stop by my office.

We are not alone...

"Misery loves company" is how the old saying goes and it looks like our neighboring city to the west is now following in our budget footsteps.

Yesterday's Tracy Press had an article detailing (click here) the financial woes facing Tracy's city government. As many of you know, the voters in Tracy put the brakes on residential development several years ago. Like most valley cities, Tracy was very dependent upon the revenues generated by new development. The voter intiative basically put a stop to new development for up to five years. In order to survive during the no growth years, Tracy saved up funds during the boom times. By 2007-2008, they had about $38 million in the bank. They had hoped that this would keep them afloat during the tough times.

When the recession hit, Tracy was in a better short-term situation than the rest of us--who hadn't anticipated a sudden drop in development revenues. Unfortunately, their rainy day account has only delayed the inevitable. While their reserve started out much larger than the rest of us, they also started cutting later than the rest of us as well. They were hoping that the recession would be quick and that their reserves would allow them to survive without deep cuts.

Tracy realizes, just like the rest of us, that revenues are going to stay significantly below the peak of the real estate bubble. Thus, they must make major structural changes in their budget in spite of their still healthy reserve--as a $14 million structural deficit can eat up reserves very quickly. While they've apparently made $5 to $7 million in cuts to the deficit, it now appears that up to 67 positions will need to be eliminated to reduce the budget deficit.

I continue to see similar stories crop up in cities across the state. The deteriorating financial status of the economy is forcing additional layoffs in local government. Click here for an article about the City of Oceanside, which is looking at losing up to 50 positions due to the recession and thefts from the state.

One (semi) positive note. The State of California has dropped its appeal to the judge's ruling that forbid the state from stealing redevelopment funds in last year's budget. Unfortunately, as most of you know, the state ended up taking six times as much from redevelopment agencies over the next two budget years as punishment for winning the lawsuit. Click here to read more about the status of the lawsuit we'll be filing this year to once again block their illegal theft of $8 million of Manteca's redevelopment funds.