Saturday, November 01, 2008

Measure N

I am opposed to Measure N but not for the reasons for many of the reasons that most of its typical opponents, such as my good friend Al Huey. I am opposed to N for the following reasons.

First, N, is enacted by SB 566 creates what is known as a Local Option Sales Tax (LOST). N, like all LOSTs is administered by the State Board of Equalization (SBOE). Such setup and administration is not free. My point here is not that the setup and administration for N is a cost that is unavoidable, but that it has not been discussed in public by the proponents of N

Second, I have worked for many different public sector organizations. Some of them have had tax measure that have had sunset clauses, like the LOST N is proposing. Almost invariably those with sunset clauses spend a great deal of time focusing of renewing the measure. Additionally, by the City's own admission it has more than $100 million of unmet capital needs, it grows every year. Setting a limit in term will do no good.

Third, in FY 2007 the City had a significant Audit finding caused by the Public Works Director relating to the management of Federal Capital Construction Projects. What will he do with an additional local source of revenue?

Fourth, in May of 2008 in the Preliminary Audit there were significant
problems relating to the Public Works Department. Yet, in October 2008 when the Audit was finalized all such issues were suppressed. What happened?

Fifth and finally, this measure calls for a citizens oversight Committee. Why? The City has a number of existing committee that already deal with budget and capital projects. There are the City Organization Committee that deals with overall budget issues; the City Infrastructure Committee and the Quality of Life Committee that deals with Infrastructure. It would literally take hundreds if not more to orient an oversight committee in the legalities, policies, and etc. of municipal finance, public construction, and more. Ultimately the City Counl is responsible for all City finances and projects. Why abdicate the responsibilities? Finally, under the auspicies of the previous Finance Director there was never any issue of financial oversight.

For these and other reasons you should vote No on Measure N.

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