Conversation with the Mayor Part Deux
Thursday, May 10, 2007 | Not long ago I tried to paint a funny little picture of the mayor playing a game of computer solitaire while parrying some supposedly tough questions on the phone from radio talk-show host Roger Hedgecock.
This time, when I met with Mayor Jerry Sanders for our second "Conversation with the Mayor," he laughed about it. Hedgecock had later given him grief for the revelation that the mayor doesn't give his full attention to their regular on-air interviews.
But we didn't joke around for long. I had a list of questions I wanted to get in. And I had about 27 minutes.
First off, I had solicited questions from readers for the mayor and many of the ones I asked were culled from your responses. Much thanks.
The mayor defended the spending priorities and salaries at the city's Centre City Development Corp., or CCDC. He said it would be wrong to direct funds away from the development subsidiary of the city to fund City Hall's other needs. He told me he didn't even know you could elect a charter review commission to revamp the city's governing laws. Obviously then, he never considered allowing voters to empanel the commission before he appointed the one that just recently began its work.
He said he thinks that the City Council needs to either add between one and three new members or eliminate a member. But it can't continue with eight.
The mayor supports a bid from the city's hoteliers that would allow them to tax their visitors and spend the money promoting San Diego and their hotels as a destination for the world's travelers and conventioneers. But, he said, he wouldn't necessarily cut the city's existing expenditures on that mission. That leaves open, of course, the question of what benefit it would have for taxpayers.
He said he would not support the city attorney's push to get subpoena power and that he still supports construction of a new main library downtown.
But then, my time was up. City Councilwoman Toni Atkins was waiting in the other room to speak to Sanders.
Rather than try to interpret the conversation for you, I thought I'd pull a couple of snippets as a transcript. Here were my questions to the mayor regarding CCDC:
Scott Lewis: CCDC recently gave its director a $65,000 bonus. Yet the operation is really no more than a department of the city. In essence, you're the executive director of the redevelopment corporation and the City Council is its board. It would be unthinkable, though, for you to give one of your managers a bonus like that. And the City Council has rejected raises of its own. Some people like Donna Frye and Peter Q. Davis have said they think that CCDC should have to start to pay down some of the debt on the ballpark and take over some of those obligations. Yet you've been sort of deaf to those concerns -- at least, you've ignored them. Mayor Jerry Sanders: Ignored, that's a strong statement. I'd say I've actively opposed.
SL: Why? Mayor: If we go back and look at what CCDC was developed for, we see it's doing exactly what we've asked it to do. It was developed in the 1970s to turn downtown from a place that nobody would go to after dark to a place that is now one of the most vibrant places in San Diego. We asked it to turn into a place that would take the housing overload from other communities in San Diego and that's exactly what it's done. It's starting to produce and been producing a lot of cash for the city: the sales tax, [transient occupancy taxes], jobs, housing units. It's done all of those things. The reason you go outside the city to do something like that instead -- part of redevelopment we manage inside the city and those people are paid inside the city's pay scale but when you're doing a CCDC-type thing -- which requires vision and the skill to manage complex issues -- you want to get the best people you can. So you take it outside the city's bureaucracy so that you can do that.
And then you're judged on your performance. I think we have probably one of the best downtowns around right now. A lot of places have tried to redevelop their downtowns and failed. We tried and succeeded beyond belief.
SL: Are you saying then you are unwilling to ask them to sacrifice any of those? Mayor: For every dollar we might take out of CCDC, we would lose about $7 dollars in leverage. I'm unwilling to now -- when we have to put ourselves back on sound financial footing -- I'm unwilling to take money out of a long-term investment. As far as I'm concerned, that's like talking money out of your IRA. I don't think we have to do that, as long we're willing to adopt the budget like the one we have and we're willing to hold the line.
SL: Does that mean you support construction of a new main library? Mayor: I do support it but not with general fund money. I'm helping with the fundraising effort. I'd love to see a new library down there but it can't be with general fund money.
SL: The cost of the pedestrian bridge CCDC is trying to build down there has doubled because of construction costs and yet they haven't done any new estimates for the library. Mayor: They did a new estimate on it about a year and a half ago. At some point in the not-too-distant future, we have to make a decision on whether we can raise the additional money for that or not. If we can't, then we need to release that $80 million back to CCDC for projects.
SL: But not to the city? Mayor: That's not the city's money at this point.
SL: It could pay for the ballpark, which the city is paying the debt on out of the general fund. Mayor: You could have it pay a lot of things. It could pay for the North Embarcadero project. There are a lot of uses for it potentially.
Now you see what the mayor's doing here. Right now the city of San Diego's general fund has to fork over the annual debt payments on the downtown ballpark. But the ballpark is the quintessential type of redevelopment effort that CCDC claims as its mission. The mayor and City Council are essentially allowing CCDC to continue to plan for projects downtown like the new main library, the pedestrian bridge and various parks, in place of paying off the amenities that have already been built like the ballpark.
The mayor said he would never support building a new expensive library downtown if it took money away from the city's general fund. But by giving CCDC money that could have gone to relieve the general fund of its annual debt obligations, he is in fact paying for the library with general fund money.
I also asked the mayor about his support for a so-called business-improvement district for hoteliers. The move would allow the tourist industry to levy a small fee on the people who stay in local hotel rooms. This would be in addition to the 10.5 percent of their room fee that visitors already are charged. But the additional money would not be used by the city to pay for things like roads and police and other city services. The money would go to promoting San Diego as a destination with marketing and sales campaigns.
The mayor, though, said something I thought was surprising. He said that he wouldn't proportionately lower what the city's already spending out of its general fund on those efforts.
I asked him why this was a good deal for the taxpayers. After all, the hotel tax would essentially increase but there'd be only a tangential benefit to the city's bottom line. By that I mean, supposedly more tourists would come because of the great advertisements that the hoteliers would run with their new money.
The mayor pointed out that taxpayers have had their chance to do that and rejected it twice.
Here's a short exchange we had:
Mayor: It's not a taxpayer issue if the hotels are assessing themselves. It's only a taxpayer issue if it becomes a tax that we vote for. So, in my estimation, this is no different than any other business-improvement district in town -- the Adams Ave. Business Improvement District, the Little Italy Association -- they've got a great business-improvement district. Taxpayers citywide don't vote on these, the business owners in those areas do.
SL: So would you be willing to cut all of the funding for ConVis and other promotional efforts out of the city's budget if they do get this business-improvement district? Mayor: You know, what I've talked to them about is, you know, this is going to help them out. We're going to get some money back from it. But, in the long term, we don't spend any where near what cities like Las Vegas, San Francisco and New York spend on convention and visitor issues. We've got to be spending a certain amount in addition to what the [tourist maintenance district] will spend to market ourselves even more effectively.
I thought that was interesting. The mayor said that the new tourist levy would pay for things like the annual Holiday Bowl event but he didn't think the city would cut down substantially on its own spending to promote the city as a destination.
Score one for the hoteliers.
Finally, this.
I've been rather passionate about the city's need to re-examine its governing charter. Right now, the mayor has only a token veto over City Council legislation. He can veto an ordinance, but the City Council can override it with the same number of votes the council gathered to pass it. That's just ludicrous. Either have a veto or not.
There are plenty of issues like that. A smart, diverse and engaged group of the city's residents needs to get together to propose changes to the city charter.
The mayor has empanelled a group. He asked each of the City Council members to put up three nominees and he chose one from each of their offerings. Plus, he put up his own nominees.
It's not a bad group. But organizations like the League of Women Voters and the labor-friendly Center on Policy Initiatives have threatened to form their own committees to get the job done. Those committees would have just as much right to propose changes as the mayor's committee.
This could have been cleaner.
The mayor's Charter Review Committee, as an appointed body, will only be able to propose to the City Council what changes it thinks should be made. The City Council, then, can decide to put on the ballot whatever it wants.
The last time there was a charter review committee, in 1988, the City Council disregarded virtually all of its suggestions -- even after promising it would put all of them on the ballot for voters to consider.
Instead of appointing a committee at the mercy of the City Council like this, the city's residents can themselves empanel a committee with a citywide election. This elected Charter Review Committee would make recommendations for charter changes that automatically would appear on a ballot for residents to consider.
I asked the mayor why he didn't want to go that route.
"I guess this shows my ignorance but I've never heard of an elected charter commission. I've never seen one of those," he said.
I did my best to explain the background. Sanders said what I described would take too long.
"I don't think we can afford to wait to elect people to a charter commission," he said. "Our next election is in 2008. That means nothing would go on the ballot until 2010. I think that's too long to wait for some of the things that need to be done."
Thing is, though, if the mayor's process disenfranchises too many people, we'll end up waiting a whole lot longer for real reform.
Please contact Scott Lewis directly with your thoughts, ideas, personal stories or tips. Or send a letter to the editor.
Reader Feedback
Comments are now displayed with the newest at the bottom. Not sure you're seeing all of the comments? Click here:
Comments so far on this story: 1. Glenn Fiddich wrote on May 9, 2007 11:16 AM: "Perhaps if Mayor Sanders had a City Attorney he could rely upon for actual city-related legal work, he would have known that a charter review committee could be elected. But he doesn't have such a City Attorney, and he won't, at least until he is starting his second term. I can only imagine how difficult it must be to be the mayor of a major city, and not have a municipal attorney. Unfortunately, this isn't hyperbole - there is as a practical matter no city attorney for the City of San Diego." 2. Billy Bob Henry wrote on May 9, 2007 11:56 AM: "Next time ask the Mayor if we are going to file for BK before he leaves office, or after............and what he is doing to get the pension scam in check-so far it has been a big ZERO.........OOOOOOO" 3. Kathi Ward wrote on May 9, 2007 9:23 PM: "BBH, according to AGHuirre's own actuary, the pension fund is 97% funded, and the City is finally making it's obligated payments. There was no pension scam - the only scam was the City dipping into the employee's pension fund to pay for city services - that was the real scam! Get off of this one Billy Bob - you are just wasting our time!" 4. Billy Bob Henry wrote on May 9, 2007 11:46 PM: "Kathi-our pension hole is getting BIGGER every single day. Don't forget we just paid 100% of the CITY's tobacco money into your stupid retirment slush fund. 100 MILLION dolllars to you and your buddies. That money could have 1) Built a new library, 2) fixed the boardwalk sea wall at Mission Beach, 3) fixed the sewer system, 4) repaved streets, 5) added more after school programs, but where did that 100 MILLION go? Into your pocket. Thanks. Now show some resect to the tax payers you and your buddies are ripping off. That is all I ask, some respect :), BTW-as more nd more Gov employees retire the bigger the whole gets...ask Carl DeMaio fi you don't belive me. Carl does not lie." 5. Norman wrote on May 9, 2007 11:54 PM: "Ask the mayor when CCDC is going to pay back my city the money they owe. Also, does he have faith in Chief Lansdowne considering the Chief didn't take the time to check the facts in his presentation to the city council during buget discussions. Maybe the Chief made the same "mistakes" when he chose not to inact the warrent on Sun Road. Just a thought....." 6. Peter Q wrote on May 10, 2007 12:08 AM: "Ok-giving credit where credit is due-I think the Mayor knows more about Public safety then I do. Thus I'm will to accept without question his statement that the Police need pay raises and the Firefighters don't. But when it comes to accounting and financial issues, I'm giving my background a little more credit. The Mayor says that "for every dollar we take out of CCDC we lose about $7 in leverage. I was Chairman and CEO of CCDC until about 5 years ago, and at that point we had long since stopped contributing public money to attract Private developement-I doubt this has changed. So what leverage would we lose if CCDC money went to help the City? Next, CCDC says they are budgeting to put $300 million into Parks-Parks remain in Public ownership, thus they pay NO taxes. So using these funds for other purposes would not effect City Income--to Be cont." 7. Dave Cohen wrote on May 10, 2007 12:21 AM: "BBH...So the retirement fund for city employees is "stupid?" Labor agreements and the law be damned, I guess. No, what's stupid is the city deciding not to pay what it owed when it owed it. It's called meeting your obligations." 8. SDGal wrote on May 10, 2007 1:59 AM: "Doesn't anyone remember the story of the Goose and the Golden eggs? To say that pension obligations would better be spent on libraries, the sewer system, streets, etc. is comparable to the farmer who thought he could disembowel the goose to get more eggs. Whether the City outsources or keeps it's labor in-house, the goose must be cared for- if you want the eggs. This scarcity-minded attack on labor is tiresome and wasted energy." 9. Questioner wrote on May 10, 2007 2:39 AM: "The Voice did a better job this time in asking some tougher questions and providing a little analysis so the public gets a clearer picture of the impact of local government's decisions. An informed public makes for more meaningful public debate. Ditto for the Will Carless article today. Thank you." 10. Billy Bob Henry wrote on May 10, 2007 4:07 AM: "Dave-the pension funds are stupid at their present level and retirement age- 90% of highest years salary for life-starting at age 50 is, without a doubt, not only stupid-it is foolish from a fiscal point of view-ad it CANNOT be sustained. As for the law and the labor agreements-the court has not issued a final ruling. Mike has stated, with some persuasive authority, that the argeements were "fixed" or at the vey least tainted. I agree with him. So the law is in question on the agreements until a final order has been entered. But whether or not the law upholds the agreements, I do think the retirement at 50 making more than your average years salary is stupid." 11. Peter Q wrote on May 10, 2007 4:58 AM: "Cont... CCDC brings in about $100 Million a year in revenues--So if there is a 7 to 1 leverage, the City must be bring in $700 Million a year, from CCDC efforts alone -- If so--Lets set $100 million aside for the largest party the city has seen and let's declare the battle of the budget "WON"..... Lets be serious--CCDC has the money to cover some of the balpark payments now and over time could assume all the annual payments--without doing harm to the City's finances or CCDC's work. A park or two would be delayed--unpleasant for downtown residents, but not as bad as insuffient fire stations or not enough fire fighters. CCDC has $80 Million sitting there for a library that will not be built until the present financial crises is a memory--transfer these fund to the City. Frankly the Mayor's comments sound like he is echoing one of his advisors." 12. "Con" Servat wrote on May 10, 2007 7:33 AM: ""Retirement at 50 making more than your average years salary is stupid." Explain again BBH how this is possible? You cant retire till 50..and if you worked 30 years you'd get 90%. So how do you make more than your average years salary at age 50? Remember that you cant enter the DROP till 50, which is a 5 year program, terminating at 55! Essentially investing your entire retirement check for 5 solid years while working without the benefit offset normally associated with non Drop pay. Yet another BBH inaccuracy. Just another attempt at confusing things. Bob Kittle is that you? Or maybe is Hedgecock or Demaio. Ministers of misinformation. BBH is a LIAR!" 13. AD wrote on May 10, 2007 8:05 AM: "Hmm..... Maybe Manchester?" 14. Dimples wrote on May 10, 2007 11:12 PM: "Scott, Please read the May 9 SDDT article by W. ERIK BRUVOLD. Partial quote here .."Where the city of San Diego suffers tremendously is the distribution of ... taxes between local and state government....Chicag receives 27 percent of all state and local taxes and Los Angeles 13.4 percent, San Diego receives only 4.8 percent of state and local taxes collected. The rest goes to the state, the county, schools and special districts....-- the giant sucking sound in Sacramento results in a massive transfer of wealth from our community to the state and county." Please make this a focus for a future article. Thanks." 15. mel wrote on May 10, 2007 11:45 PM: "Sanders tells you CCDC leverages theri funds. How does spending $28 million for a bridge over Harbor Drive leverage ? This is just one example of CCDC spending their millions on stupid, unnecessary projects, while the mayor proclaims a "fiscal crisis" for the rest of the city." 16. Billy Bob Henry wrote on May 12, 2007 5:19 AM: ""Con" Servative- you still ieither fail to understand bsaic math, or you are intentionally lying-yet again. So, let me put this to you in third grade level terms. PD and FD get to retire as early as age 50. They get 3% for every year worked-up to 30 years of their HIGHEST years salary. That is not their lowest years salary-it is not their median years salary-it is their HIGHEST years salary. Ok "Con" Servative, you still with me, or has that pea sized brain started to melt down? So if PD or FD made 18 grand a year in 1977, but are making 80 grand a year today-and retire after the 30 years-they get 90% of 80 grand-that would be 72 grand a year. 72K/year is about 400% MORE than the 18K they made in 1977. Do you understand the math now "Con" Servative. If too hard-let me know." 17. Dale wrote on May 12, 2007 7:46 AM: "As Alfred E. Neumann said each month, for decades, "What me worry?" I haven't read a Mad magazine in 25 years. I didn't expect to read the 21st century version on the Voice. Giving raises to CCDC administrators, while the city smolders with debt, is just plain arrogant. Jerry doesn't care, and he doesn't care an iota about solving fiscal problems. Building a new main library, a new city hall, a bridge, etc. is like a totally leveraged, newly mortgaged, San Diego homeowner, shopping for a swimming pool, with the big payment coming due in a few years. It is just plain nuts. Kudos to Mr. Davis, and others, for trying to suggest some viable,sensible solutions. Mr. Sanders put down your Gameboy and pick up a calculator." 18. "Con"servati wrote on May 12, 2007 3:39 PM: "Well maybe BBH you should try a writing course. The way your state your point "highest years salary" is poorly executed. Try the average salary of the years worked. Your math would suggest that and employee should average all their years worked and base pension on that number. Maybe if your took a second to review the context of your point you'd find it less likely scrutenized. The factor used today is based on the highest 1 year and 3% per year worked. That is for public safety personnel not general employee. Keep in mind that a firefighter works 240 hours per month, roughly 33% more hours worked than the 40hr/wk worker. So for your 30 years working; comparing hours worked, I've worked 40 years. But BBH believes my time from my family while at work isnt worthy of compensation."
Feedback Rules
Users may post more than one comment, but should not pose as multiple users. Multiple posts from the same IP address but with a different user name on each will be reviewed to determine whether abuse has occurred.
Posts with overly personal attacks or unsubstantiated allegations may be edited or deleted.
Please be patient with the posts -- there may be a delay before they appear on the site -- and make sure to enter the code in the "image verification" box.
Add Your Comments
|
Memo details bonuses and additional compensation of all employees.
Friday, July 18, 2008 -- 6:37 pm
'The culture of SEDC over the years has been to manipulate, cajole, ignore and intimidate the board into utter and complete silence.'
Friday, July 18, 2008 -- 5:32 pm
SEDC president resists the call for her to step down.
Friday, July 18, 2008 -- 5:08 pm
SURVIVAL IN SAN DIEGO
County jobless rate nears 6 percent.
Friday, July 18, 2008 -- 12:29 pm
LETTERS TO THE EDITOR
San Diego Unified School District legal counsel Jose Gonzales must have been in a hurry to start his vacation.
Friday, July 18, 2008 -- 3:27 pm
CAFÉ SAN DIEGO
The risks inherent and unavoidable with these plans are manageable.
Friday, July 18, 2008 -- 12:46 pm
COMMENTARY: SLOP
Why resign when you can get paid $200,000-$300,000 for being fired?
Friday, July 18, 2008 -- 11:20 pm
COMMENTARY: RICH TOSCANO
Housing weakness spilled over into the rest of the economy in June.
Friday, July 18, 2008 -- 4:31 pm
|
|
|
 |