Water Rate Update

Thursday evening the Water Rate Ad Hoc Committee voted and made some recommendations.

First, the Committee rescinded our May 23rd recommendation to the City Council to use Alternative A which would have raised ALL rates 7.8% or more. All would feel the pain evenly.

 

Second, the committee voted to recommend “Alternative B”. The Committee briefing describes Alternative B as an “Alternative rate structure using 1983 Rate Study meter equivalents for all fixed charges, increasing fixed charge revenue from 12% to 18% and adjustments to commodity charges to better reflect cost of service.”

I voted NO and Mr. Jack Dean abstained from recommending Alternative B. Regardless, Alternative B was passed.

Third, I moved to recommend that the City Council exempt from the water franchise tax all new revenue generated from this new rate structure to ensure that ALL new revenue goes strictly back into the water system. The motion was seconded and passed unanimously. There appeared to be too much opposition for recommending that the council abolish the hidden tax.

Speaking to the THREE members of the public who came to the meeting, I explained that 10%-11% (depends on who you talk to and which document they look at) of the money we pay for our water bill does not go into the water system and that the money, $2.5 million FY2010, goes into the General Fund. The General Fund does not contribute any money to the Capital Improvement Program (infrastructure) but does pay for things like parks, fire, police, special club memberships for the city, and other oddities. Similarly, the Paramedic Fee does not go exclusively to paramedics- it goes into the General Fund.

The end results of the Water Rate Ad Hoc Committee work are recommendations to the City Council. Whether or not they agree with our recommendations, we will see on July 19th at the Public Hearing.

Oh Yeah, It’s Mandated!

It's MAN-dated!

Aren’t ya just sick and tired of watching our city council continue vote on things because they say it’s “mandated.”  I can think of dozens of times hearing O’l Doc Hee Haw holler “we don’t have a choice cause it’s man-dated” or “it’s the law.” Now, when was the last time you ever heard of any city councilman going to jail because he voted his conscience against something really stupid?

The reality is that our allegedly conservative Republican political representatives are indulging their own high price, big-government sentiments, and hiding behind policies established by one of the most liberal legislatures in the nation – and of course continually giving away the store to public employee unions.

Friends, the next time you hear someone say “it’s mandated” or, “it’s the law” tell ’em to prove it. And proving it doesn’t mean saying it’s true because you heard it from the City Attorney who is shilling for some staff make-work project or other.

FPD Sticky Fingers in Miami: The Case of the Stolen iPad

All sorts of interesting stories have been coming in since we exposed the affirmation of beating and theft allegations against a Fullerton police officer last week. Here’s the first one:

Last month an off-duty Fullerton police officer was allegedly captured on video at a Florida airport making off with an Apple iPad belonging to another passenger while going through a security checkpoint. The officer was supposedly identified on security footage, hunted down just before boarding, arrested and charged with 3rd degree Grand Theft.

In Florida, Grand Theft is a felony punishable by a maximum of 5 years in prison.

We’ll sit tight on the officer’s name until we can finish gathering up the details. For now, consider this a warning to iPad owners in Fullerton: hold on to your goods when the Law is nearby.

For all the lavish compensation bestowed upon Fullerton’s Finest, you’d think we’d be able to avoid hiring of such low caliber cops. But the more we look, the more this seems to be par for the course for the FPOA.

Sidhu Supporter Gary Miller, Ethics Under Fire

Word has it that Diamond Bar’s Gary Miller wants to run for Congress in our newly minted 40th Congressional District. Remember Gary? He’s the same guy who endorsed Harry Sidhu the Carpetbagging Crash Test Dummy last year. Here’s Gary:

It’s funny how true the old saying, “birds of a feather flock together” really is. I just received this video clip from a Friend who remembered that Harry Sidhu was recently crowing how he had received the endorsement of Congressman Gary Miller. Watch this video and decide for yourself if you believe Gary Miller is as corrupt as CREW (Citizens for Responsibility and Ethics in Washington) believes he is.

Sound familiar? It should. Harry Sidhu also used to list Municipal Water District Director Brett Barbre and County Treasurer Chriss Street as his proud endorsers. We busted Barbre getting a $48,000 do-nothing payoff from Tom Daly, and then kicking back $1000 to Daly’s campaign; and Street recently got busted by a judge for misusing a bankruptcy trust fund. See a trend?

Both Barbre’s and Street’s names have mysteriously disappeared from Sidhu’s list of “honorable” supporters. How long will it take for Gary Miller’s named to be scratched? And will we soon discover that Sidhu has no ethical followers, at all?

Watch Your Wallet: The Paramedic Sneak

Update: It’s that time of the year again. Don’t forget to deduct the optional $42.00 “crash tax” from your Fullerton utility bill this month.

Don’t forget, this is the month in when an optional Paramedic Fee is automatically added on to your Fullerton water bill. Look closely and you’ll see that the city squeezing the optional charge into the total amount due, which seems a little sneaky. Subtract $42.00 from your total before you make your payment to opt out of the program.

According to the city website, paramedic visit charges range from $250 to $500 and are sometimes covered by your health insurance. Unless you fall down a lot, specific risk coverage for relatively minor expenses such as these are usually not a good investment.

BAD B.I.D.?

A Public Comment to the General Plan Advisory Committee By Judith Kaluzny

I ask that you remove the reference to a Business Improvement District from your draft of a general plan.  I understand the mention is to “encourage” a business improvement district.  A business improvement district is a tax on businesses, collected as a property tax by the county tax assessor, in a defined area.  It can be based on property ownership–and the owners pass the costs along to their tenants; or on individual businesses in the district.

This is found in the codes of the State of California in the Streets and Highways code.  Thing is, a city can assist a BID ONLY AFTER the business people on their own form a group, plan the boundaries, get a petition signed to ask for having a BID.  A BID is NOT for paying for regular maintenance of an area, but for improvements.  An executive director will be hired, and a board of directors elected–another level of government and taxation for your small downtown businesses in this case.

The redevelopment department, inappropriately, has already tried that for $3,000 paid to a consultant and a balance in the accounts for another $27,000 for that consultant.  Four meetings were held; I attended all, as did Cameron Irons and Mr. Terranova.  Only at the last meeting did about five other business owners attend.  And I had handed out many fliers to alert downtown businesses.

A year or two before that, Cameron Irons sent out a survey to downtown property owners regarding a BID.  He gave me copies of the 12 or 14 replies.  All were against it, but two said, if you are going to have it, we will participate.

The Nicole Coats had a meeting or two to gin up support for a BID.  The two people (me and Henry Jones) who indicated willingness to participate were not invited.  Those meeting with Nicole Coats–Cameron Irons, Terranova, Theresa Harvey, and two or three more chose the consultant.  Paul Dunlap said he was invited, but declined to participate.

The idea of a BID for downtown arose when Councilmember Quirk asked if there wasn’t some way to get money for paying for the costs of maintaining downtown.  Redevelopment Director Zur Schmeide told her that a business improvement district might be a way.

When the consultant was hired, I talked to both the city manager and Councilmember Quirk.  Mr Meyer said, “we have an eight block area that is costing us over million and a half dollars a year.  We have to do something.” Councilmember Quirk also spoke of a BID paying for the excess costs of maintaining the restaurant overlay district.

This is not the appropriate use or purpose of a BID! And it is by law supposed to arise from the grass roots business people, not top down from the city to get tax money for maintenance.

What I see happening is that if a BID were established for downtown, the only people who would have time or interest to serve on the board of directors will be restaurant/bar owners.  Then they will vote to spend the taxes raised for maintenance so the city will not be so burdened by the bar district.  (Which burden the city council created by abolishing CUPs for restaurants downtown.)

The Downtown Fullerton Restaurant Association is a non profit listed as c/o Cameron Irons, 118 North State College Boulevard, same address as Vanguard Investment Properties.

Will Merging Water Districts Help or Harm Fullerton?

Earlier this month Terri Sforza wrote about a possible merger between Metropolitan Water District and the Orange County Water District. For years the Orange County Register has pointed out the redundant and ridiculous overlaps in these two agencies and how it makes sense for taxpayers, or rate payers depending on your view of payments to government bureaucracies.

How much money would be saved by such a merger seems to be open to debate but Sforza thinks at least $1-million right from the start.  Putting the $1-million in perspective, Sforza notes that it is just a drop in the $300-million revenue bucket for the agencies.

What could go wrong?

Currently, the Orange County Water District is a “member agency” of the MWDOC.  These multiple layers of bureaucracy removes the people, water users and voters, further from the decision-making table.  Perhaps a merger will bring Fullerton voters and water users closer to the table of managements’ fiduciary responsibility to the people they serve.

As it stands, Fullerton voters get one single vote from Mayor Pro Tem Don Bankhead who represents Fullerton voters on the OCWD Board of Directors.  That is one vote out of ten cast on each issue before the Board.

No one knows what a merger will mean for Fullerton.  All we can do is wonder if a bigger water agency equates to a better water agency for those who foot the bill.  If history has taught us anything it is that bigger government is not better government.

REMINDER:  The Water Rate Study Ad Hoc Committee’s last meeting is tonight at 6:30PM at Fullerton City Hall.  Don’t be shy, we’re in this together.  Speak now or pay later!

The Water District’s $571,400 Ethics Office

Metropolitan Water District of Southern California is spending $571,400 to fund their internal Ethics Office according to the approved 2011 budget.

Sometimes you've got to ask yourself "why?"

According to the District’s website, the Ethics Office “helps maintain an ethical culture at Metropolitan by enforcement of ethics-related rules and laws; education for directors, officers and employees; and enhancement by promotion of the District’s six core values.” Are MWD employees so unethical that they need this office?  Maybe, but they don’t seem to be doing a very good job of educating employees and board members.  I vaguely recall an attempt 2 years ago to get a 25% retroactive pension spike.

That’s $571,400 to “help maintain an ethical culture”.

The funds pay for one Ph.D. and two others identified as an educator and an administrative liaison.  With failed overhead like this, it is no wonder the MWD Operations & Maintenance budget projects an 18.4% increase in salary and benefit costs as well as a 23% increase in construction related costs and a 23% increase in Water System Operations!

It’s also no wonder why Fullerton’s water rates are anticipated to nearly double.

This Monday, May 23rd, the City will be holding a public meeting with an ad-hoc water rate committee in the City Council chambers at City Hall (303 W. Commonwealth) at 6:30PM.  I encourage ALL Fullerton water users to attend.  You will be given an opportunity to voice your concerns and let committee members know where you stand.

If you would like a copy of the Fullerton Water Rate Study Ad Hoc Committee Briefing, please email me at GregSebourn@yahoo.com and I will email it to you.