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Joyce Clark Unfiltered

For "the rest of the story"

On May 23, 2013 the Glendale Star ran a Letter to the Editor by Ms. Barbara Garland.  First, a disclaimer: I have known Ms. Garland for over 20 years. She is not just a former constituent of mine. She is a friend. She is not a gad fly who writes Letters to the Editor about anything and everything. She has been a positive contributor to our community. Her service on nearly every city board and commission as well as Glendale Civic Pride and the fire department’s Crisis Response Unit has occurred over that 20 plus year span. Ms. Garland works to better Glendale.

That the Glendale Star ran her Letter to the Editor despite their obvious positive bias toward Councilmember Alvarez’ agenda is surprising.

Norma Alvarez

Norma Alvarez

Ms. Garland made some interesting observations in her Letter as she refers to Councilmember Alvarez’ latest district meeting which was “by invitation” only. In my 16 years as councilmember I never, ever, held a district meeting “by invitation.” All of my meetings were open to one and all. If Alvarez was limiting attendance because she was holding it in her home then she should have changed the location to accommodate any and all who wished to attend.  It becomes more troubling if she was limiting attendance to screen participants and thereby ensure that only those who supported her agenda attended. It also calls into question Alvarez’ call for transparency and open meetings. Where is her outreach to those who do not share or support her point of view?

Ms. Garland calls for Alvarez’ resignation because, among other things, she has said, “She is ashamed to be on city council.” Ms. Garland has a point. Alvarez’ performance as a councilmember receives a failing grade. Her lack of attendance has been an ongoing issue. It was abundantly obvious that when Ms. Alvarez conference called into council workshops and meetings there was someone in the background coaching her. Ms. Alvarez will often state during council meetings that she doesn’t understand and then proceed to offer her opinion.

What is perhaps even more disconcerting is that once council has voted on a policy issue that becomes the public position of the city and is to be supported by its elected officials. If an elected official continues to hold an opposing position on a council majority decided issue, there are guidelines to do so. Either she hasn’t bothered to familiarize herself with the guidelines or she is deliberately ignoring them. A perfect example was her recent opinion piece in the Glendale Star. It was submitted and signed as “Councilmember Alvarez.” It was in direct opposition to majority approved city council policy on the issue of the proposed casino yet not once, did she say that it was her personal opinion or that she was writing as a private individual and not speaking for, or on behalf of, the entire council. That phraseology is standard when a councilmember is expressing a personal position rather than a city position.

Merely disagreeing with a councilmember’s position on the issues is not sufficient cause for resignation but lack of effective representation and leadership is. Is it time for Councilmember Alvarez to resign as Ms. Garland suggests? Yes, it is.

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house 1Recently I received a question about Glendale Councilmember Alvarez’ home. It came from a person surfing the Internet who, out of curiosity, looked up various Councilmembers’ home valuations. I was asked whether I knew that Councilmember Alvarez’ home is listed by the Maricopa County Assessor as being one story in height. Like anyone else, the few times I have visited the Assessor’s site it has been to check the valuation of my property. Who would know an answer to a question like that? Not I. I was intrigued by the question and decided to do some follow up via the trusty Internet.

house 2In the past I have been to Alvarez’ home and it is most definitely a two story home. The County Assessor has it valued as a one story. It could be a very simple clerical error by the Assessor’s office and someone simply overlooked or forgot to check a box indicating the home as two stories. In bureaucracy that happens all the time.

building permitHowever, the situation does raise some questions. The home was originally built in 1972 as one story with the Alvarezes as the original and only owners. The second story was added sometime in the past 40 years. Were Glendale building permits requested and issued? Were inspections were made and passed by the City of Glendale? There should be Glendale records that show that permits were issued and major inspections for electrical and plumbing were passed.

approveIn calling the Assessor’s Office I learned that when permits are pulled at the city level for a home improvement such as adding a second story the city passes that information to the County Assessor’s office. If this occurred, those improvements would show up on the Assessor’s rolls the following year causing an increase in valuation. Yet apparently this did not happen. Why? As a long-term former city employee and now as a Councilmember I am sure Councilmember Alvarez would have followed city requirements for a major project to the letter.

internetI decided to do some more surfing of my own with some help from my grandchildren. (Grandchildren are far more inventive and skillful in the use of the Internet than I could ever hope to be.) Every home in Alvarez’ subdivision is listed as a one story home. We found a two story home within .08 mile of Alvarez with exactly the same square footage (the difference in SF between the two properties is 1 SF). It is valued at $10,000 more than the Alvarez property. There could be other variables that caused the higher valuation of the neighboring two story property but the fact that it has two stories creating additional living space and added value would a major factor.

The fact is the County Assessor has the Alvarez property listed as a one story home. The fact is that the only other two story home in the area has a higher valuation.  Is the valuation of the Alvarez’ property correct? Are the property taxes that have been paid and are currently being paid too low?

This all could be nothing but at the very least, don’t you think Councilmember Alvarez should be notifying the County Assessor that the information listed is incorrect and her home is two stories, not one?

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Darrin Pastor

I, just as many did, listened to the Darrin Pastor interview on Roc and Manuch, NBC Sports Radio, 1060AM on April 4, 2013.  I wish him well but as a tried and true skeptic, the jury is still out.  Let’s take a closer look at some take-aways from that interview.

 

 

Six months of due diligence

calendarPastor claimed that he has done six months of due diligence. That due diligence should have included finding out what the City of Glendale’s expectations are. This is the start of April and going back six months puts him in October, 2012. I was a councilmember until January 15, 2013, and I never heard of him until his press release of several days ago. He certainly wasn’t talking to anyone in the city. That place is like a sieve. If he had talked to anyone, it would have become common knowledge around City Hall.

Why does any deal take so long?

This must be naiveté on Pastor’s part although he is a very intelligent businessman. It comes as a bit of a surprise to hear that statement from him. Surely he’s done hundreds of deals using legal counsel and should know that lawyers tend to make everything take twice as long. He also claimed that he is using lawyers with municipal experience. So it certainly shouldn’t be a surprise to realize that working with a municipality is slow and cumbersome. It isn’t as if any one prospective deal took the entire four years that the Coyotes have been ownerless. Over those four years there has been a succession of bridesmaids but never the bride. We are all painfully familiar with the list . None of them took longer than 12-18 months before biting the dust.

Glendale is where the team is going to stay

jobing.com arena

Jobing.com Arena

We have heard that from every prospective buyer of the team. The question should be, not is the team going to stay in Glendale?… but how long will you keep the team in Glendale? There should be a ten year or better commitment before an opt-out clause is executed. That indicates a commitment to build the team and build a solid fan base. If the opt-out clause is five years or less, whoever buys the team will take the money and run…somewhere else. Better yet, would be to get an assessment from each of these would-be buyers of his estimate of how much time he feels is necessary to turn the team around and become profitable. Realistically, no prospective owner wants to commit “sports suicide” and pour money down a rat hole. Each one of them (you would think) has developed a strategy to turn the team around and become profitable.

Return on investment

ROIMr. Pastor uses “banker-ese” terms. He labels the team as an “undervalued asset.” This gentleman (and his family) didn’t become successful because of pixie dust. He is a very astute businessman. If he is successful in purchasing the team using capital from family investments, there will most definitely be an expectation of profitability down the road. Again, the question becomes how long is that road?

Where is Beacon Sports?

Mr. Pastor said directly, “Beacon Sports is not involved.” His statement should be of concern and can be interpreted several different ways. Is Beacon not involved because Pastor has no interest in managing the arena and simply wants to pay rent as a tenant? Why isn’t Beacon involved as the city hired the company to vet and to negotiate with any prospective arena manager?

Got his homework today

homeworkMr. Pastor said that he received paperwork from the NHL today and would begin working on it immediately. Good for him. If that is the case, don’t expect any quick resolution. Plan to wait a month or two. He also said he had met with and talked to Mike Nealy but that he was talking to and dealing directly with Bill Daly. I expect Mr. Daly is talking to a lot of prospective owners these days.

Mr. Pastor looks good on paper and is saying the things we all want to hear these days. Shades of Matt Hulsizer. Hulsizer went very public and was obviously an avid hockey fan but his deal went south when the Goldwater Institute questioned the city’s sale of $100M worth of bonds whose proceeds would be paid to Hulsizer. The devil is in the details…of the deal.

Mr. Pastor meets Mr. Weires

Mr. Pastor in his meeting with Mayor Weiers today characterized at least twice, the mayor as “refreshing.” Glad they enjoyed meeting with one another. If Pastor really was politically savvy or had received advice from his municipally-wise lawyers, he would have introduced himself to all of the councilmembers, remembering that Mr. Weiers is just one vote of seven.

I wish all of the prospective buyers well and would like nothing more than for someone to succeed with a long term commitment. Call me jaded. I have been “around the block” quite a few times on this issue and have seen prospective owners come and go. To date there’s been a lot of public posturing, first by LeBlanc/Gosbee, now Pastor. It’s all sound and fury signifying nothing.

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convention 2Wow! It’s difficult to summarize the 2 1/2 hour, April 2, 2013, Glendale city council workshop into about 1,500 words – but here goes. First up was the city’s Intergovernmental Director, Brent Stoddard, reporting on HB 2657 before the state legislature.  In a nutshell, cities can support 7 provisions of the bill but 3 provisions are in dispute with the state.  The legislature wants the state Department of Revenue (DOR) to collect all sales taxes from all cities in the state. Currently Glendale and 17 others collect their sales taxes, report and remit the state’s portion to the state. Guess the state doesn’t trust those cities. The cities have countered with a proposal to offer a one-stop portal through a third party that would be managed by the DOR. I guess the state doesn’t trust cities to audit businesses either and want to take over that function exclusively as well. The cities have proposed the creation of uniform auditing standards; and the ability to request of and notify the DOR so that a city could still perform the audit. Lastly, the issue of dreaded construction sales tax issue was discussed. It appears that both sides, the state and the cities, are miles apart on this one. No resolution to be had as of this date. Stay tuned for the next chapter on this issue.

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Sam Chavira

Next up was the Police department presentation by Interim Chief Black. Our fearless leader of and advocate for all things Public Safety Councilmember Chavira asked, if the department was adequately staffed to protect residents and keep officers safe. After winnowing through all of the rhetoric, Chief Black reluctantly said, yes by saying, “we are meeting the needs of the community as best we can with the allocated funding.” How’s that for threading the needle?

Chief Black and her department are to be commended for their innovation and creativity. As a result of their reorganization efforts patrol staffing will go from 166 to 182 officers, increasing an officer’s pro-active patrol time from a low of 11 minutes to about 16 minutes per hour. That is phenomenal considering Glendale’s current financial position.  Their adoption of a new CAD system this fall will include an automated vehicle locator on all patrol cars enabling the dispatcher to send the closest available unit. This new system will create fuel cost savings and reduce response times.

Norma Alvarez

Norma Alvarez

Naturally, Councilmember Alvarez admitted that she didn’t understand all the numbers and “stuff.” Based upon her Ouija board, she KNOWS that the city’s residents are not well protected, especially in south Glendale, the area in which she lives and which she represents. The heck with the entire city. She went on to say that she didn’t want Chief Black to be a good employee and to work within the city’s fiscal constraints. Alvarez also said “we have to put more officers out there” and we can take dollars from programs that are a luxury. It will be interesting to see what she defines as a luxury.

There was a lot of discussion about the 8 police zones into which the city is currently configured. It seems no one on council could wrap their heads around this concept. What was not communicated is that all zones are not created equally, at least in size. Their dimensions are based on the number of calls for service as well as what makes sense geographically for patrol and response times. The more calls for service in an area, the smaller the zone gets.

Knaack

Yvonne Knaack

Vice Mayor Knaack then said the level of police staffing was “unacceptable.” By whose or what definition?  I guess the fact that our police department in July, 2012, was re-accredited by the Commission on Accreditation for Law Enforcement (CALEA) once again and for the first time was awarded the Gold Standard doesn’t mean anything and can be ignored. Really? When pressed by Knaack, Chief Black indicated it would be nice to be at fully authorized strength by adding another 31 officers. Bingo. Yet the police department has $7M as contingency in their public safety sales tax fund. I, like Vice Mayor Knaack, remember distinctly that one of the purposes of this public safety sales tax was to hire more officers.

Fire Chief Burdick’s presentation was interesting for what he said but also for what he did not say. The fire department still holds to a 4 person staffing model on all of its engine and ladder trucks and one is a firefighter/paramedic on each truck. Four men on a truck to answer fire calls is necessary to meet OSHA’s 2-in-2-out law. That mandate makes sense. That means for a working fire, while 2 firefighters are in a building, there are 2 on the outside to make rescue if necessary. Perfectly logical for working fire service calls. True, the number of working fires has increased by 26% due to automatic aid. Are all of those working fires in Glendale? Probably not.

The vast majority of calls are medical (estimate is that they are at least 80% of all calls for service) requiring either advanced life support or basic life support. Why doesn’t the city have smaller vehicles staffed with paramedics?  When a fire unit is dispatched it is told what kind of call to which it is going to respond. Smaller vehicles used for medical calls would be more fuel efficient and cost less to operate and maintain and would not require 4 man units. Or perhaps a medical transport vehicle with 2 Glendale paramedics on board should be sent. There has to be a better, more cost efficient way to respond to medical calls than sending a very big and very expensive fire truck.

Weiers

Jerry Weiers

Mayor Weiers did ask about automatic aid and what was the ratio of calls between Phoenix and Glendale and Peoria and Glendale.  Bravo. Not surprisingly, Chief Burdick didn’t have that information and said he would provide it. This is typical of staff when there is a question that they would rather not answer publicly.  Usually it’s because the answer doesn’t advance their cause. Weiers did bring up another suggestion, the use of an LPN in answering medical calls. The LPN could write prescriptions and make a determination if medical transport was needed.  That idea met with a great deal of resistance by Chief Burdick despite his admission that it is a model being used in Mesa. It could very well be an idea whose time has come. Using a truck that gets 5 miles to the gallon with 4 firefighters/paramedic is no longer cost effective at a time when the majority of calls for service are medical.

Chief Burdick, after this annoying interruption with questions of fact, was then asked by Councilmember Chavira if the department was adequately staffed and if firefighters were safe. Once again, cutting through the rhetoric, his answer was, yes today, quickly followed by a need to address excessive call volume. Whose? Those of Glendale residents? Phoenix residents? Peoria residents? We don’t know because that information was not provided.

Vice Mayor Knaack cut to chase and asked what he needed. Immediately the chief responded with another 15 firefighters and another truck ($650,000 price tag but would pay $65K a year in a lease back). Bingo.

greed 1The councilmembers’ questions certainly fed both departments’ agendas of “gimme more.” And why wouldn’t they? Look at some facts. In the last election cycle both unions, police and fire, supported Weiers, Sherwood, Hugh and Chavira. Vice Mayor Knaack and Councilmember Martinez received the same healthy union support in their last reelection bid in 2010. The police union was a minor player in both elections not having the same political war chest or available personnel as the fire union. The fire union, on the other hand, made sure there were cash contributions by individual, non-Glendale, firefighters to their campaigns, paid for printing and mailing campaign literature and paid for and put up campaign signs for these very same people now deciding to beef up these departments-because staffing levels are “unacceptable.” There is nothing illegal about any of these actions. It’s Politics 101 but it doesn’t serve, you, the taxpayer very well. Perhaps the parks and recreation people or the finance people need a union to level the playing field.

Sherwood

Gary Sherwood

Under Council Items of Special Interest, Councilmember Sherwood called for starting a search for a permanent City Attorney. What was truly mind-boggling was Councilmember Alvarez’ request that the City submit grant applications to the Tohono O’odham tribe for Public Safety dollars. What about we are still in litigation with the TO doesn’t she understand? When one is in a legally adversarial position with another, one does not ask for handouts from his adversary. She also thinks the city is mean and nasty because it owns the web page for the West Valley Resort and the TO has to pay the city annually for the right to use it. It is true. Congratulations to the city for pulling such a wonderfully, snarky yet brilliant move.

Council then adjourned into Executive session. Topics up for discussion: external audit, arena RFP, compensation for departing City Attorney and compensation for the new Interim City Manager. I suspect we will find out the results in a day or two.

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cit mtg 2On the evening of April 1, 2013, the City made a public presentation of the state of its budget to the public. If you include myself and the councilmember representing our area there were a total of 5 people in attendance. That’s right. Three citizens and us. How embarrassing for the councilmember. Oh, but that’s OK. His only constituency these days is the fire fighters union.

staff multiplied jpgIn terms of city staff, it would be safe to say the citizens were outnumbered at least 3 to 1. There was at least 20-25 staff in attendance. Every director of every department was on hand to answer the flood of citizen questions (not), in addition to 2 of Glendale’s cable channel 11 TV crew filming the non-event. It almost begs the question as to why doesn’t the city ask the general public to RSVP? If a minimum number of citizens respond, the meeting is held. If only 2 or 3 respond, the meeting could be cancelled. After all if the public meeting had been cancelled, it would have only required calls to 3 people.

These staff members are salaried and not paid time and a half for extra duties such as attending this meeting.  These salaried personnel, if they so choose, can compensate themselves for the time by coming in to work a little later or taking a longer lunch break. It is an option available to them should they choose to use it. Many of them do not and put in more than a standard 40 hour work week.

Ms. Schurhammer, Executive Director of Finances, made a 15 minute presentation on the city’s budget. She concentrated on the city’s total Operating Budget by Fund and Department and the General Fund Budget by Department.  She pointed out that 34% of the city’s entire budget and 63% of the city’s General Fund budget goes to Public Safety. There was virtually a silent scream from all non-public safety staff asking how much more does Public Safety need? We’ll get to that in a minute.

Back in December, 2012, both the Fire and Police departments had their respective budgets balanced and were prepared for a vote of approval from the sitting council at that meeting. However, Vice Mayor Frate made a motion shark 2that their budgets be tabled and brought up again when a permanent City Manager was hired. The vote was 6-1 with me being the lone, dissenting vote. That action left their budget departments” doors open just a crack. Now, sensing an opportunity, they are smashing open those doors with a fire truck and tactical vehicle. They sense blood in the water and this new council (led on this issue by Councilmember Chavira, a Phoenix firefighter) is willing to give them everything and anything they want. Chavira will take care of his brothers in Glendale and we can only guess that Phoenix Councilmember Danny Valenzuela (a Glendale firefighter) will take care of his brothers in Phoenix.  Sweet, isn’t it? It has a nice, quid pro quo ring to it, doesn’t it? Note that the city does not have a permanent City Manager. Yet he will have to deal with the largesse that this council dispenses.

cit mtg 1After Ms. Schurhammer’s presentation, Ms. Julie Watters of the city’s Media and Communications Department, led the meeting by asking if there were any public comments. Mind you, a citizen could not ASK a direct question, only comment. If anyone had a question, they were directed to talk to that specific department director after the meeting. This is a tried and true practice that Glendale has practiced for years and which I have hated for just as long. For you see, if the question is a difficult or uncomfortable one, the answer is made only to the citizen seeking the answer after the meeting. After all, the city wouldn’t want all those citizens hearing that awkward answer to that difficult question. Would it? It’s a divide and conquer strategy that I believe is unfair to the citizens of our community.

cooler 3What were the water cooler musings? Several sources echoed one another. Much of it, dear reader, is old news for I have blogged about it previously. Nevertheless, here goes:

  • The Coyotes will be sold this month by the NHL.
  • The idea of 4 separate arena management contracts (you remember…hockey, entertainment, education and cleaning) still has legs and is not dead.
  • The general consensus is the Coyotes will be leaving Glendale as the city and the new team owner will not be able to come to mutually satisfactory terms on the arena lease management contract.
  • Or the other theory is that the team will stay in Glendale briefly (2-5 years) and then relocate.
  • This new council has no will to make the necessary and needed cuts over the next 4 years and likely will not sunset the temporary sales tax increase in 2017.

super bowlAll departments will struggle to come up with adequate funding to support the hosting of the 2015 Super Bowl in Glendale. Further diminishment of citizen services may be the only way to fund the costs.

 

 

 

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man moneyThere were several take-aways from the March 27, 2013 Glendale City Council budget workshop. Perhaps the most important was the Executive Director of Finance, Ms. Sherry Schurhammer’s quote of the day, “we have an ongoing operational deficit.” I’m not sure what about that statement some councilmembers refuse to understand. It’s really quite simple. The city spends more money than it takes in.  It’s almost as if members of this council expect manna from heaven or a sugar daddy to appear as a means of solving the city’s financial problems. Let’s hope this council grows a backbone and accepts that cost of service cuts are needed. The latest proposal from staff shows major cuts of $8M not now but in Fiscal Year 2014-15 and another round of cuts in Fiscal Year 2016-17. Quite clearly putting off the necessary cuts merely compounds the deficit and makes the future cuts to citizen services and quality of life more drastic and more painful.

Coyotes logoAnother interesting take away is the fact that staff is using $6M as a placeholder for an arena lease management fee. At least there was acknowledgement that this figure is merely a place holder. The final fee could be higher, lower or stay the same.  Or is that a place holder for the Phoenix Monarch Group, the good friends of Councilmembers Alvarez and Chavira? There remains a residual “blame the Coyotes” mentality. The first slide up presented by staff showed the city with a $3.4M deficit if it had had to pay the $17M arena lease management fee this year. I think that deficit blame deserves to be placed elsewhere. How about the $2.5M to repay the Water & Sewer Funds, and also used to make the Risk Management Fund and the Workman’s Compensation Fund whole? Or how about the $2.2M of newly created expenses: a $200K audit, a $100K Beacon contract, $1.2M additional to the Fire Department; an additional $370K in legal fees, an additional $370K in water costs in the Parks & Recreation Department or the unknown amount in salary and benefits for the newly hired Interim City Manager? These big ticket items come to nearly $5M in new costs that were unbudgeted when the current budget was approved and they will have to be absorbed this year.

hidden agendaAnother take away is there is certainly no doubt about at least one councilmember’s agenda. CM Chavira is “carrying the water for Public Safety.” It was obvious that his friends from inside those departments, especially Fire (don’t forget he’s a Phoenix firefighter), had prepared a series of questions for him to ask.  He read them quite nicely. Later when he was asked if he had more questions and apparently had used all of his prepared questions, he seemed to be at a loss for words. Chances are they will have prepared a new set of questions for him to read at the April 2, 2013 council workshop on Public Safety.

PolicemanWhile Interim Police Chief Black answered his questions directly and provided a realistic assessment based upon the city’s current fiscal condition, we didn’t see the same level of cooperation from Fire Chief Burdick. There definitely is a further agenda occurring on the Fire side. We heard the first salvo today when the Chief said calls for service had grown. Well, Glendale’s population has not grown per Mr. Craig Johnson, Director of Water Services, when he said new water hookups are flat. Those people leaving Glendale are replaced by others moving in but not in large enough numbers to create an explosion of growth in Glendale. The city is already planning for the fact that as Glendale’s population remains static, it will lose some of its state shared revenue to other, growing NW and W Valley cities.

Red Firetruck with Ladder ClipartSo where are the increased calls for fire/emergency service coming from? Have you heard of Automatic Aid? It’s a regional and cooperative program among most Valley Fire departments. If there is a call for fire service in Phoenix, Avondale, etc., and their nearest truck is busy on another call, the nearest adjoining city department will respond. I would certainly want to know the number of calls for fire service Glendale responds to outside the city versus the number of calls for service within the city. The increase in calls for fire service may well be attributable to population growth in cities surrounding Glendale.  If that is the case and the increase in calls is the result of an increased need to respond to Automatic Aid calls that is not a Glendale driven problem. We are not mandated to grow service or pay for it in Glendale to accommodate surrounding cities. While Automatic Aid is great in fostering regional cooperation in cases of extreme regional emergencies and for creating cost efficiencies in the use of specialized services such as water or mountain rescue, I am not convinced that it works in the best interest of a city with a stable population base whose resources are being used by surrounding cities with burgeoning populations.

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city hall 2

City Hall

On Tuesday, March 26, the Glendale City Council met in regular session. There were 29 agenda items. Based on previous meetings that I attended as a council member that is a pretty hefty agenda. Lo and behold! This council whipped through it in the record time of one hour! One could assume that it was because of their extreme efficiency but that would be an erroneous assumption. This is a council that questions nothing and comments even less. My first question would be, did any of them do their homework and actually read the material?

Coalition 1 photo

City Council minus
Councilwoman Alvarez

For example, Item 20 was an agreement to rebuild two refuse trucks. Not sexy at all. But one replacement truck costs about $500K. For half that price, roughly $250K two trucks are being rebuilt. This is an action never before taken by our Public Works department. You would think some on council would have thanked Mr. Stuart Kent, Executive Director of Public Works, for taking this proactive and innovative approach to city equipment, saving the city easily a half million dollars. Not a peep from this council. Just…nothing. Amazing.

westgate 1There was approval of an agreement with the current Westgate owners for sidewalks, shade canopies, etc. between Tanger Outlet and the rest of Westgate. No one on council took the time to thank the owners for their efforts and financial participation in this public-private partnership. No one asked about implementation of a “HAWK” system for pedestrians trying to cross 95th Avenue to get to Westgate. There is a “HAWK” in use on Glendale Avenue at about 66th Avenue. It allows the pedestrian to push a button which causes a yellow light to flash followed by a red light to stop all vehicular traffic. It allows the pedestrian to cross a busy street safely by stopping all vehicular traffic in both directions. Wouldn’t this be a wonderful addition to move pedestrian traffic between Tanger and the rest of Westgate? Before I left council I was advocating such a strategy. Sadly, no one took up the cause.

There were four items that you would think would have engendered at least minimal questioning or comment.  Two were awards of contracts. One was Item #16 to Haralson, Miller, Pitt, Feldman & McAnally in the amount of $200,000 for an external city audit and the other was Item #21 to Beacon Sports in the amount of $100,000 for issuance of an RFP and handling of negotiations with possible arena managers. There was not one question. There was not one comment. There was no discussion whatsoever. Could ‘a been a day in the park. Not one word to the general public about either contract’s terms, scope, time frame, or justification for cost. Just…nothing.

Skeete

Horatio Skeete

Bowers

Dick Bowers

The other two items were just as astounding.  Item #26 was termination of Horatio Skeete as Interim City Manager and demotion back to Assistant City Manager. Not a “thank you.” Not a word of recognition for the good things he had done for the city. Not even a comment from Mayor Weiers saying “that council was moving in a new direction.” Just…nothing. In the next action, Item #27, council appointed Dick Bowers as Interim City Manager. Not a word about his background, expertise or experience. Just…nothing. Item #28 was tabled by staff and signals that council has not come to terms with Mr. Tindall on what he will receive financially upon his termination. That did not slow up this council for one minute as they approved Nick Dipiazza as Interim City Attorney in Item #29. Just…nothing.

Norma Alvarez

Norma Alvarez

Once again Councilmember Alvarez was AWOL. How many times has it been? Also worth noting (and I may have missed it as I watched dumbfounded by this council) was the lack of a vote by council to approve her absence.  Did she not want to be on record as a yea or nay vote on the Beacon Sports contract or has she injured herself again? For the third or fourth time? Her lack of representation of the interests of ALL (not just a selected demographic) of the people of her district is being noted by many.

Weiers

Mayor Weiers

Mayor Weiers “good ole boy” public persona is beginning to wear thin as he fancies himself a “deal maker” behind the scenes. Latest word on the street with regard to Coyotes ownership is that nobody is in charge (except for Beacon Sports as of today for a $100,000 fee). Possible owners are speaking directly to various councilmembers to encourage them to champion their proposal. What a way to set up internal warfare.

Of course, the carpetbaggers, Andrew and Darcy Marwick, residents of Phoenix were in attendance. Some people (not I) refer to them as “Dumb and Dumber.” Mr. Marwick took the occasion of approval of the agreement with the Westgate owners to once again denigrate the actions of the previous council in “propping up” a failed Westgate. I would imagine he could opine on any subject (as he often does) and claim its failure is due to the previous council.

Lastly, when was the last time there was no citizen comment at the end of a council meeting? I would venture to say,convention 2 probably 4 years. If the past council had voted to approve the Beacon Sports contract, I dare say Ken Jones and half dozen others would have been railing against such a vote. No Jones, no Thruston, no Dempskey- no usual cast of wacky characters- to accuse this council of throwing good money after bad by approving Beacon Sports. This time just…nothing.

transparentThe new buzz word in government is “transparency.” We all know what it means; the ability to see through something without any kind of blockage. Transparency has to do with disclosure. It means providing information about an issue, event, project, policy, program etc. and then providing a way for people to find and view that information. This council proved tonight that transparency is not a meaningful part of its agenda.

I prefer to call this council, the “Opaque Council” (The OC). Something is opaque when you cannot see through it. Theopaque action is characterized as hard to understand because it is not clear or is obscured by the deliberate misuse of language or inaction. It also has a secondary meaning, which is being dull, stupid or unintelligent. I leave it to you, dear reader, to choose which definition of opaque is more relevant and meaningful to you.

 

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External Audit coming…

auditAt the Tuesday, March 26, 2013 City Council meeting an agenda item will be a vote of approval to hire Haralson, Miller, Pitt, Feldman & McAnally (HMPM), P.I.C., a law firm, to perform the special external audit this council has been craving. It doesn’t come cheap. The cost of this contract is $200,000. HMPM will subcontract out some of the work to Butler, FFG, and ESI. It is not clear from the staff report what would be the scope or responsibility of any of these firms. It is also not clear what their specialties are.

The costs per hour range from a high of $400.00 per hour for a principal to $100.00 per hour for a paralegal/law clerk.  Simple math shows that the number of hours billable for this contract range from 500 hours (about 12 ½ weeks) to 2,000 hours (about 50 weeks). This exercise could be completed in 3 months to a year. I think we can expect it to be completed this summer.

This is not a budgeted item and is not included in the current Fiscal Year 2012-13 adopted budget. That means that the money will have to be allocated from somewhere in the budget. Look for the payment of this contract to come from the $17M set aside for an arena lease management agreement. By the time this council’s agenda is met we won’t see much of the $17M left to pay anyone to manage the arena.

Bowers

Dick Bowers
Courtesy of
Linked In

A new Acting City Manager…

Expect at this same council meeting the hiring of Mr. Richard Bowers, former Scottsdale City Manager, as Glendale’s Interim City Manager until the search and hiring of a permanent city manager is completed.

A new Acting City Attorney…

Expect the council to approve Mr. Nick Depiazza, current Chief Deputy City Attorney, as the Interim City Attorney, until a permanent City Attorney is found and hired.

Budget meetings slated for this coming week…

On Wednesday, March 27, 2013 and Thursday, March 28, 2013, council will participate in two budget workshopsbudget 3 starting at 9am each day. This year’s budget workshop book is a hefty 284 pages of reading guaranteed to entertain and delight. Just crank up your printer, go to the Glendale website, find the agendas under the City Clerk’s page and you can print your very own copy just as I did. If you know where to look you will be able to spot the shifts in policy based upon where this council allocates available resources.

coins 1Still looming is how this council will address the loss of $22M in revenue currently being earned by the sales tax increase slated to sunset in 2017. The general feeling among council is that the city will have recovered by then and will easily absorb the $22M loss in sales tax revenue. There appears to be no will to be fiscally prudent and continue with cuts in anticipation of that loss of revenue. If they do not have the will to make gradual cuts each year for the next four years, they will be forced by circumstance to make draconian cuts in 2017. It’s very simple; karma catches up to you every time.

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Today the city released as an agenda item for Tuesday, March 26, 2013 city council meeting. The council will be asked tocity hall 2 formally ratify a contract with Beacon Sports Capital Partners that has apparently been in effect since March 4, 2013. In fact, the City’s Communications Director, Julie Frisoni, denied as late as March 15, 2013, that there was any such contract.  An action George Fallar and I have speculated upon for the past month.

I suspect that the contract was vetted in a previous Executive session after a council workshop. Keep in mind, council may not vote in a workshop or Executive session but they can certainly come to consensus and give direction. When I served on council, a majority routinely gave direction in an Executive session. The council meeting on March 26 merely ratifies direction provided as a previous executive session. So much for a greater transparency embraced verbally by the new council and recently lamented as absent by the infamous Ken Jones in recent letter to the editor in the Glendale Star. The bloom may be off the rose for Mr. Jones and his love affair with the new council.

BeaconThe Beacon contract is short and sweet and takes only 4 pages. Glendale tasks Beacon with developing an RFP “process for the future lease and management of the Arena to prospective Venue Managers…” Its role is that of liaison for Glendale and it has no power to bind Glendale to any contract. Its duties consist of: reviewing all existing business contracts; preparing the RFP; soliciting interested parties and assisting them in their due diligence and review process; providing a recommendation to the city manager and council; developing the arena management agreement and sealing the deal between the venue manager and the city. We have to presume that the NHL approves of such an arrangement as they continue their silence (there is an occasional platitude signifying nothing).

This contract is in effect for 6 months (September 6, 2013) or if a venue manager is secured before the end of the statedcontract term, it will terminate earlier. When this agreement is ratified by council, presumably on March 26, Beacon will receive a $25,000 retainer. In addition to that retainer the city will pay $400 per hour for the services of 3 Beacon principals: Richard Billings, Jr., Gerald Sheehan and Christopher Billings. Oh, and by the way, these fine gentlemen will be reimbursed for any out-of-pocket expenses such as travel, lodging and meal expenses. The costs of this contract are not budgeted in the Fiscal Year 2012-13 budget. The funds will have to come from the “Unappropriated Contingency” Fund (read the $17M allocated in this year’s budget to pay for an arena manager).  Lastly, both sides in the contract recognize that this agreement is proprietary and confidential.

In a previous blog, “Ripples in a cornfield,” I related that a 2005 suit was filed against Beacon Sports, IFG and Michael Reinsdorf by West Coast Arena Ventures, LLC in the Superior Court of California. West Coast Arena Ventures sued because it alleged that its confidentiality was breached by Beacon, IFG and Michael Reinsdorf. I do not know the outcome of this suit.  It has been alleged previously that when IFG and Michael Reinsdorf had work they could not or chose not to take they passed it on to Beacon. A leopard doesn’t change its spots.leopard 2 It may very well come to pass that the Reinsdorf/Kaites group will have an inside track because of its relationship, perceived or real, to Beacon Sports.

The previous Reinsdorf deal for the purchase of the Coyotes insisted there be a 5 year opt-out clause. If they hold to the same line, the Coyotes could stay for an abbreviated period and then be moved to…Seattle?

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savingsIn my posting the other day, “Saving grace,” I talked about the $17M allocated and reserved in Glendale’s Fiscal Year 2013-14 Budget for Jobing.com Arena’s lease management agreement. I suggested that saving that $17M would be prudent by placing it in the city’s Unappropriated Contingency Fund. It should not be spent at this time. Then should there be a lease management agreement the first year’s funding would be available or if not used in that manner, it would fatten the city’s bottom line, an attractive strategy for lowering interest rates on the city’s bond indebtedness.

Well, apparently everyone – from city staff to the council – is already placing dibs on that money as evidenced by the March 19, 2013 City Council workshop.  Ms. Sherrybargaining 3 Schurhammer, Executive Director of Finance, offered many ways to spend it. Some of the expenditures include:

  1. Paying for the special, outside audit mandated by the new council.
  2. Paying for the consultant (read Beacon Sports and its special ties to the Reinsdorfs) to write and manage the RFP for the arena.
  3. Miscellaneous city department overages or unexpected expenses.
  4. Repaying loans made from the water and sewer funds.
  5. Paying for fund transfers to and from the Risk Management Trust Fund and the Workers’ Compensation Trust Fund.

Add to that staff wish list Mayor Weiers’ recent comment about raising employees’ salaries. Also add Councilmember Chavira’s plaintive call for a Special Council Workshop to consider the issue of Public Safety employees’ compensation and Councilmember Alvarez’ desire to restore or increase funding for youth and the poor.

If everyone’s desires are fulfilled, you can say good-bye to that $17M at the end of budget workshop discussions. Then where will the funding come from if (are you listening, God?) there ever is a successful contract for the arena and its management.

tax increaseI also heard the first tentative feelers being thrown out there publicly about Glendale’s property tax rates and the fact that revenues from that source continue to drop. Don’t be surprised if there is discussion (and possibly) adoption of higher property tax rates in Glendale.

 

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