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May 7, 2008

THE CITY OF SAN BRUNO IS DYING A PAINFUL FINANCIAL DEATH

By Bill Baker, J.D.
Editor and Publisher, The San Bruno Beacon

In my opinion, the City of San Bruno is dying a painful financial death because of the reckless and grossly negligent decisions made by San Bruno's City Council and Manager.

Four out of five Members of the San Bruno City Council have been on the Council for more than 12 years. The fifth one has been there for about 3 years parroting the bad decisions of his Council cronies. They talk about their experience during elections. Their experience consists of trashing the City of San Bruno's finances, drowning the City in debt, and leading San Bruno down the road to bankruptcy. You could say that the San Bruno City Council is a financial wrecking crew.

Connie Jackson was appointed as San Bruno's City Manager in 2003. Until this year, Jackson's pitiful 5 year tenure as San Bruno's City Manager has been plagued by chronic annual budget deficits in the $500,000 per year range. Now, the City of San Bruno is projecting an annual budget deficit of approximately $1.5 million per year. It seems that the longer Jackson is San Bruno's City Manager, the worse things get for San Bruno's residents and their City.

I think it is now embarrassingly clear that San Bruno City Manager Connie Jackson needs to resign or be fired. It takes three Council votes to fire Jackson. As I see it, the Council probably won't fire her because she will make an easy scapegoat for them if the City finally goes bankrupt. That being said, the fact remains that it is not only Jackson's fault that San Bruno is walking down the road to bankruptcy; both the City Council and Jackson will share the blame and responsibility for San Bruno's financial demise as the political, financial, and legal curtains come crashing down on them.

To save San Bruno, the current Members of the San Bruno City Council need to resign or be recalled at the earliest possible convenience of San Bruno's voters. Their decisions have resulted in skyrocketing rates and fees on City sponsored services accompanied by rich salaries, benefits, and retirement plans for San Bruno's senior Management employees. This City Council has handed out millions of San Bruno taxpayer dollars to pay for the Redevelopment scheme they hatched. When is this money going to be paid back and exactly who received all of these millions of taxpayer dollars? To add insult to injury, San Bruno's City Manager has personally borrowed what may be hundreds of thousands of taxpayer dollars to finance her personal home. She refuses to disclose exactly how much money she borrowed and what the terms of this loan are.

The real estate interests profiting from Redevelopment and City Manager Connie Jackson feed on the taxpayer dollars that belong to San Bruno's residents. San Bruno's residents pay to support the money being fed to these people. In return for this generosity, San Bruno's residents get punished with higher rates, fees, and taxes.

City Manager Jackson and this Council almost destroyed San Bruno's tax revenue base last year by attempting to increase San Bruno's City Sales Tax with their Measure F scheme that was rejected by voters and on which they may have spent as much as $300,000 in San Bruno taxpayer money. Measure F was a reckless, amateurish move that would have destroyed many San Bruno businesses while driving others away from San Bruno. How are Jackson and the City Council planning on recovering this money that they wasted on Measure F? Perhaps the City Council and Jackson should reimburse the City for the cost of their failed Measure F scheme out of their own pockets? Now there's an idea that could help balance San Bruno's City Budget!

I have warned San Bruno's City Council and City Manager many times to cut City spending and turn the City's annual budget deficit into a budget surplus. They don't listen and the annual deficits get bigger. Education may be a factor in their inability to understand that their failed schemes are leading San Bruno into bankruptcy. Nobody on the San Bruno City Council has a Bachelor's level degree in finance or accounting. As a matter of fact, San Bruno now has a Mayor with little more than a high school diploma, so he can hardly be expected to understand the complexities of municipal finances. Maybe stupidity is a factor. Some of the stuff this Council does is painfully stupid and defies logic. Then again, maybe there is another reason for all of this anomalous behavior when it comes to the City's finances?

Whatever these Council Members lack in formal finance related education, they more than make up for in arrogance. In the complex arena of municipal finance; arrogance, ignorance, lack of formal education in the fields of finance and/or accounting, and outright stupidity are a recipe for financial death.

At its 05-07-2008 Meeting, the City of Vallejo City Council voted 7-0 to declare Chapter 9 Bankruptcy. Vallejo is now going bankrupt because the fools on the Vallejo City Council did exactly what the fools on the San Bruno City Council have been doing. They dug themselves into a hole during the past 10-20 years by caving in to almost every demand the public employee unions made for higher wages and benefits. Finally, when the proverbial well ran dry, the unions were left out in the cold when the City Council finally had no more money to feed the unions with.

If the Vallejo City Council really wanted to help union members they would have held the line on wages, benefits, and retirement plans during the past 10-20 years so that many of these very same union members promised higher wages and benefits would not have to lose their jobs now that there is no more money.

A salary/benefit increase doesn't do a union member much good if that union member loses their job as a result of the salary/benefit increase. Once again, arrogance, ignorance, and stupidity results in another disaster. This time union members and their families will suffer. Not unlike their union brothers in Vallejo who supported the City Council and Manager; many union members who work for the City of San Bruno and support San Bruno's current City Council and Manager will be paid back for this support by losing their jobs. Union contracts that an employer cannot support financially are not worth the paper they are written on. Bankruptcy proceedings can shred almost any contract.

San Bruno's City Council and Manager will continue to destroy San Bruno's financial future and inflict more financial punishment on every family in San Bruno in the form of never-ending rate and fee increases on City services until we replace them with competent people who have a workable plan to lower City spending and bring our City back from the brink of financial ruin.  

May 13, 2008

FISCALLY IRRESPONSIBLE SAN BRUNO PARK SCHOOL DISTRICT (SBPSD) BOARD OF TRUSTEES
WANT TO BLEED SAN BRUNO'S HOMEOWNERS WITH AN UNFAIR PARCEL TAX TO PAY FOR SBPSD MISTAKES AND MISMANAGEMENT

By Bill Baker, J.D.
Editor and Publisher, The San Bruno Beacon

At their Wednesday, May 14, 2008 Board Meeting, the San Bruno Park School District (SBPSD) Board of Trustees is going to try to ram yet another parcel tax down the throats of San Bruno's residents in the November 2008 Election. This at a time when housing prices are crashing, the economy is in a recession, and gas prices are well above $4 per gallon.

You can bet that the people behind this parcel tax scheme will start printing brochures and other propaganda filled with pictures of children that talk about how the children are our future, our children need your money, etc. Unfortunately, the tax load on many of the parents of these very same children is going to be so great that, combined with their mortgage and all of their other bills, these children's parents may lose their homes and not be able to send their kids to the very same school district that is causing them to lose their home. So maybe we can print up brochures and pamphlets with children standing in front of a house with a "foreclosed sign" on the lawn? Is that the type of future we are taking about for our children and their families?

Last year, San Bruno's sales tax revenue based was threatened by the City's reckless Measure F tax scheme that would have raised your sales taxes, destroyed local businesses, and driven consumers out of San Bruno. We fought Measure F, we won. This year, the San Bruno Park School District (SBPSD) Board of Trustees is threatening to increase the financial pain on you and your family by spending your tax dollars against you in an attempt to raise your property taxes with yet another SBPSD school district parcel tax. Look at your property tax bill and you will see how you are being buried in school district property taxes by the San Bruno Park Elementary School District, the San Mateo Union High School District, and the San Mateo Junior College District. The financial problems associated with skyrocketing property taxes exacerbate the weak financial position of many families and this leads to other serious and potentially dangerous social problems. To add insult to injury, much of this taxpayer money being handed over to these School Districts is being squandered and misspent.

The accounting controls at the SBPSD are so bad that the SBPSD has paid out money to Members of the San Bruno Park School District (SBPSD) Board of Trustees when these people were not entitled to the money the District paid to them. This payout scandal went on for several years while this money was drained out of the District's Treasury. Now, San Bruno Park School District Superintendent David Hutt refuses to subject the SBPSD to a thorough audits of the District's internal financial and accounting controls.

Yet, SBPSD Superintendent Hutt is running around trying to sue one of the former SBPSD Board Members who isn't paying back SBPSD money that Hutt wrongfully paid out to him in the form of insurance premiums for several years. With all of the problems that Hutt has created for the SBPSD, you would think he would spend more of his time acting like a Superintendent instead of playing the part of an ineffective bill collector.

Can you imagine passing a parcel tax so this guy Hutt will have even more of your tax dollars to play with?

But this is just the tip of the iceberg when it comes to problems at the SBPSD. Not unlike the City of San Bruno, the SBPSD requires new management and some new elected officials who will not squander the taxpayer money they are given, learn how to make necessary cuts, and live within their budget just like every one of San Bruno's residents must do when they budget for their family's expenses.

Bleeding San Bruno's taxpayers with yet another parcel tax to pay for the incompetence and mistakes of the SBPSD Board of Trustees and Superintendent will not bring better education to San Bruno. It will only encourage more fiscal irresponsibility from this group that has proven themselves incapable of making prudent financial decisions that will benefit the children of San Bruno.  

May 14, 2008

GINA PAPAN FOR STATE ASSEMBLY - JERRY HILL IS THE WRONG PERSON

By Bill Baker, J.D.
Editor and Publisher, The San Bruno Beacon

If you want more bad government; a bigger financial crisis in California; a politician with embarrassingly poor judgment; and painfully high taxes that will melt your income like an ice cube sitting in Death Valley; then vote for Jerry Hill.

When it comes to politics, I think Jerry Hill is one of the bad guys. His political instincts appear to override his common sense. Case in point; last year, San Mateo County Sheriff Greg Munks was rounded up by law enforcement authorities while visiting an illegal Las Vegas whorehouse with his undersheriff. In his capacity as a San Mateo County Supervisor, Hill did not take any official action to open up the Munks' problem to public scrutiny or make any changes in government to insure that this type of conduct would be neither condoned nor tolerated in the future. Instead, Hill appeared to minimalize the seriousness of the Sheriff's whorehouse visit in what appears to be an attempt to put this matter behind Munks. In effect, I think Hill gave Munks a free pass on the whorehouse visit. It appears that in return for what in my opinion was his enabling behavior and help, Hill received a lavish fundraiser at the Woodside estate of Sheriff Greg Munks. Munks also gave Jerry Hill about $4,700 for Mr. Hill's campaign. Hill later returned the money Munks gave to him when the heat started coming down on Hill for not taking any action regarding Munks' visit to the illegal Nevada whorehouse. Big deal, how much money do you think Hill scored from all of the other attendees at the campaign party Munks hosted for Hill at Munks' Woodside estate? Debt paid?

However, Jerry Hill is more than just a professional politician who helps and is supported by a Sheriff who was caught and released by law enforcement authorities when he visited an illegal whorehouse in Nevada. Jerry is also a Member of the San Mateo County Board of Supervisors who has presided over and contributed to the County's budget disaster that has resulted in the County of San Mateo living on financial life support as it tries to bridge a budget gap of approximately $25 million while Hill keeps finding more ways to put the County deeper in debt. Hill is another one of those reckless politicians who spends, spends, and spends and when the money runs out finds new and creative ways to suck more money out of taxpayers with more taxes. Hill is a typical, irresponsible tax and spend politician. Hill's motto could be "better living through punishing taxation". That works if you don't happen to be one of the people targeted by a chronic taxer like Hill.

If you don't think Hill is a bad news candidate then judge him by the company he keeps. A brochure supporting Hill was recently mailed to San Bruno voters with the ridiculous headline, "San Bruno Supports Jerry Hill". The brochure supporting Hill's candidacy was signed by all 5 San Bruno's City Council Members in their capacity as City Council Members. This is the same financial wrecking crew that tried to destroy San Bruno's tax base last year with their failed Measure F tax scheme and is leading San Bruno down the road to bankruptcy. Indeed, birds of a feather do flock together. I rest my case.

On the other hand, if you want to vote for a decent person who graduated from Capuchino High School in San Bruno, got her degree in Business (with a focus on finance and economics) from the University of California, and worked as a Deputy Attorney General for the State of California then Gina Papan should be your choice for the California State Assembly in the June 3rd Democratic Primary. Papan's candidacy offers voters a candidate with a lifetime of ethical, focused, common sense legal, political, and financial experience.

Gina Papan would make an excellent Member of the California State Assembly.  

May 19, 2008

REGRESSIVE, UNFAIR PROPERTY TAX INCREASES ATTACK MIDDLE / LOWER INCOME FAMILIES, DAMAGE CHILDREN'S LIVES, AND WILL NOT SOLVE THE PROBLEMS WITH SAN BRUNO'S SCHOOLS

By Bill Baker, J.D.
Editor and Publisher, The San Bruno Beacon

The San Bruno Park School District Board of Trustees and Superintendent want to put a ridiculous, regressive property tax measure on the November 2008 Election Ballot.

If the problems with K-12 education in California could be solved with money, they would have already been solved. According to the California Department of Education, for fiscal year 2007/2008, the total funding (Federal, State, local, lottery, etc.) for grades K-12 in the State of California was approximately $68.554 billion ($68,554,800,000). Let's put this huge number in perspective. The total Budget for the US Department of Defense for 2007 was approximately $461.7 billion. On a per capita basis, the amount of money spent on California's K-12 public school system dwarfs the total U.S. military budget.

In return for the hundreds of billions of taxpayer dollars that have been poured into California's K-12 public education system during the past 10 years, we now have one of the most problematic, lower ranking K-12 public education systems in the industrialized world. Only 65% of California's high school students graduate on time (if at all) with a regular high school diploma. That's dismal.

Punishing San Bruno's residents with higher taxes is not economically feasible. In 2000 the price of oil was less than $40 per barrel. Today, oil sells for about $126 per barrel. This has resulted in retail gas prices approaching the $4.30 per gallon mark. Today, 1 out of every 204 households in California is in some stage of foreclosure. Food prices are skyrocketing. PG&E bills are soaring.

Families with household incomes of hundreds of thousands of dollars per year are relatively immune to these higher prices. Families with household incomes of less than $150,000 per year are being hit hard by these escalating prices. Families with household incomes of less than $70,000 per year are teetering on the edge of financial ruin as prices for food, clothing, transportation, and other necessities of life soar.

With this in mind you have to ask yourself what type of delusional, mean spirited people would propose and support a parcel tax that will directly increase taxes on homeowners, and indirectly increase rents on renters, who are already being punished with escalating prices and buried in debt? The San Bruno Park School District Board of Trustees and Superintendent pushing this ill fated parcel tax are acting like tax fanatics because they don't care how many tens of thousands of your taxpayer dollars they have to squander to put this parcel tax measure on the November 2008 ballot or how many families they destroy with their taxes. They want you to pay for what I think is their incompetence, mismanagement, and outright stupidity with as many of your tax dollars as they can suck out of you no matter how much it costs you and your family and regardless of the damaging consequences these taxes have on you and your family.

The SBPSD Board of Trustees and the SBPSD Superintendent don't care that thousands of San Bruno's homeowners and renters are suffering extreme financial hardship. Many San Bruno renters and homeowners are teetering on the edge of personal financial tragedy. Adding yet another parcel tax to the massive tax burden that San Bruno's homeowners and renters are already bearing is like pouring water on a sinking passenger ship so it will sink faster and kill more people.

That being said, let's talk about regressive taxes such as the parcel tax that the San Bruno Park School District (SBPSD) Board of Trustees and their Superintendent want to ram down voters throats in the November 2008 election.

Whether you own or rent your residence in San Bruno, your cost of living will go up if this unfair parcel tax scheme being planned is approved by voters in November 2008. In other words, you will have less money to spend on your family and your children. Yes, even if you rent your residence you will pay more rent because the costs of the parcel tax will be passed on to you, by your landlord, in the form of higher rent.

In a nutshell:

Regressive taxes reduce the tax incidence of people with higher ability-to-pay, as they shift the incidence disproportionately to those with lower ability-to-pay. In other words, people earning more money pay a lower percentage of their income for a fixed tax. Regressive taxes are "Robin Hood in Reverse" taxes; a form of taking from lower income groups to benefit upper income groups.

The median family income in San Bruno is somewhere around $70,000+ per year. Therefore, there are a significant number of families living in San Bruno with annual incomes that are much less than $70,000 per year. For these families, higher property taxes or rents resulting from increasing property taxes represent a significant financial burden. When you factor in the higher costs of living, mentioned in the previous paragraphs, San Bruno residents living below the median income level will suffer a lot of financial pain when these parcel taxes strip away what little money they have to support their families.

The cumulative effect of these cancerous parcel taxes is that they destroy the financial resources of middle and lower income families. These parcel taxes are like a growing parasite or cancer that kills families by draining their financial resources to the point where they die a financial death. When these taxes destroy families, the people most impacted are the children who have to learn to live without adequate medical care, food, clothing, and shelter as they relocate to a new and often poorer school district that does not have tens of millions of dollars in its bank account like the San Bruno Park School District. With all of the property taxes being piled on homeowners and passed on to renters, in the form of higher rent, it is no surprise that fewer than half of families in California can afford the basics of housing, child care, food, health insurance and transportation.

As the political campaign for this parcel tax develops, the San Bruno Park School District Board of Trustees and their supporters will engage in non-substantive, deceptive rhetoric, that distracts from the real issues, by saying that this parcel tax is for the children, the children are our future, the children need this, etc. This deceptive blather is like an oil company saying they are environmentalists after one of their tankers spills a few hundred thousand gallons of oil into the ocean.

The fact of the matter is that if the SBPSD Board of Trustees and Superintendent really cared about our children they wouldn't allow the SBPSD to become distracted by numerous scandals that have made this Board the laughing-stock of school boards in the SF Bay Area; they would not mismanage the taxpayer money that has already been entrusted to them; they would subject the SBPSD to an independent forensic audit to ferret out the root of the District's financial control problems; and the Board would hire a Superintendent who could bring substantive change to the SBPSD that would improve the lives of the children in the SBPSD.

Finally, you do not improve the lives of children by burying their families with tax after tax after tax to the point where they cannot afford to survive. Severe financial problems are more often than not the root of domestic violence, alcohol and drug abuse, as well as other dysfunctional behavior that leads to many of the horrific family tragedies that we read about in the newspapers.  

May 26, 2008

TRAGIC DEATH OF PARKSIDE SCHOOL STUDENT RAISES QUESTIONS ABOUT THE SAFETY OF SAN BRUNO'S STREETS.

THESE QUESTIONS REQUIRE A SUBSTANTIVE RESPONSE BY SAN BRUNO CITY OFFICIALS.

By Bill Baker, J.D.
Editor and Publisher, The San Bruno Beacon

My prayers and condolences go out to the family of Rebeca Medrano who recently lost her life after being involved in an accident in San Bruno, with a van, while riding her bicycle. By all accounts I have read, Rebeca was a wonderful young lady with a very promising future. God rest her soul.

The most horrible, unthinkable tragedy that a parent can experience is the loss of a child. For those of us who are parents, we do everything that is humanly possible to protect our children from danger. The recent tragic death of this promising young student from Parkside Intermediate School reminds all of us how precious the lives of our children are and how we must work to protect them.

According to the San Bruno Police, Rebeca Medrano was traveling east on Niles Avenue when she hit the vehicle traveling south on Oak Avenue. San Bruno Police Commander Matt Campi told San Mateo County Times reporter Neil Gonzales, "It looks to be an unfortunate accident. The driver of the van was operating the vehicle in the proper manner. She (Rebeca) started to go downhill and started accelerating. She went through an intersection and ran smack into the van." When this San Mateo County Times article was published on 05/19/2008, no charges had been filed against the driver of the van.

8 words: defective road construction / improper and-or nonexistent signage. Because the inherently dangerous Niles Ave./Oak Ave. T intersection is located 1 block away from St. Roberts Elementary School and approximately 3-4 blocks away from Parkside Intermediate School, extra signage and other precautions should have and need to be put in place by the City of San Bruno to warn and protect the large number of children who travel through this intersection.

Is it possible that the City of San Bruno may be comparatively or even strictly liable for this horrible accident because the City of San Bruno failed to properly engineer and/or maintain the streets where this accident occurred and/or put proper signage on the streets? Here are some questions that need to be answered:

1). What was the condition of the roadway at the time the accident occurred?

2). What types of traffic control signs were posted on Niles and Oak Avenues and, if signs were posted, where were these signs posted and were the right signs posted in the right places?

3). What is the accident history for these streets and the Niles/Oak intersection where the accident occurred?

4). Did the City of San Bruno provide traffic signs that would warn a young person using the street about the potential danger at this intersection?

5). Was the engineering of the intersection and the streets inherently dangerous?

These are just a few of the questions that need to be asked and answered so that tragic accidents like this one can be prevented in the future.

Another way to help prevent this type of tragedy from happening again is for SBPSD Superintendent Hutt to have pamphlets printed up that provide detailed information about bicycle and traffic safety. These pamphlets should be distributed to all students in the SBPSD. In addition, the City of San Bruno should use its "FOCUS" publication to provide San Bruno residents with information about traffic safety in San Bruno and warn San Bruno residents about which streets and intersections in San Bruno pose the greatest risk to pedestrians and bicycle riders.

The tragic accident discussed above is not the only pedestrian/bicycle fatality that has occurred in San Bruno this year. Earlier this year, a woman was killed at the intersection of San Bruno and Easton Avenue when she was struck by a car and killed. The Easton Avenue intersection, where this woman was killed, has been the scene of numerous accidents. What has been done by the City of San Bruno to make this traffic intersection safer?

We best serve the memories of the two deceased people mentioned in this article by calling upon the City of San Bruno to make our streets safer for pedestrians and bicycle riders through better engineering and public information campaigns. To do anything less would be an open invitation to future tragedies.  

About May 2008

This page contains all entries posted to The San Bruno Beacon in May 2008. They are listed from oldest to newest.

April 2008 is the previous archive.

June 2008 is the next archive.

Many more can be found on the main index page or by looking through the archives.

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