It didn't take long.
Taxes, unions, management: Make up your mind, Versagi!
Reactions began within less than an hour after the last update of VersagiVoice. Feelings remain dominant, but there is a refreshing focus on basic positions. Because they capture the mix of feeling and focus, the quickest way to summarize the reactions is to report those aimed specifically at me -- mostly in debate mode, one or two in mild anger. In no particular order:

When and why did you convert from "no taxes ever" to "we might have to increase millage."

How can you claim to be pro-cop and pro-firefighter, then call a public safety millage a "dumb idea."?

You are always flip-flopping. One week you favor the Administration. The next week you side with the Commission, and some weeks you are unable to make up your mind.

You were a management consultant? How come you have never been as hard on the unions as you are on city officials?

"Some of my friends consider you objective and courageous. I think you are biased and arrogant. But VersagiVoice provides information we need, and we have to read you. So, why don't you go around the commission table and tell us where each of these people really stands on a millage increase . . . and how many campaign dollars each official has received from Police and Fire?"

As I have said, it is going to take months, perhaps a couple of years, of intense dialogue between and among all stakeholders to reach sustainable solutions. I'll be reporting developments and commenting on them. In the meantime, I plead again for debaters to resist the temptation to personalize the debate or to demonize those with whom they disagree.

On Point: three personal experiences
My wife's and my social and civic circles include members from all sectors of the school community: executives, support staff, principals, teachers, custodians, bus drivers, PTA people, board members. During the recent privatizing debate, there were certainly several gingerly social and civic conversations about the controversy, but nothing ever came close to being a friendship-breaking moment.

A related example. In the hall outside the city commission chamber, VersagiVoice readers have come upon me in conversation with one elected official who is characterized as a curmudgeon by more than a few city hall observers. I make introductions. Later, they comment, "Gee, he's a friendly ol' guy. Nothing like he is at The Table." The lesson? There are very, very few single-dimensioned individuals in this world.

And a really personal example:
Wife Muriel is the volunteer curator for the Royal Oak Historical Society Museum. Because of the significance to the community of converting the  Northwood fire station to a museum, the local press has followed the process over the last couple of years, and Muriel has been interviewed and photographed many times along the way. The public's response has been overwhelmingly positive and includes suggestions for and gifts to the museum. But there have been extremes in personalized comments as well.

In praise: A highly respected former city commissioner told me, "Some of us in public life make some impact while we serve. That contemporary impact is not likely to be remembered long or to be identified with our name. But with that museum-in-a-fire station, Muriel has established a legacy."

In criticism: An online post following a Trib report about the museum's grand opening offered, "The most dangerous place to stand in Royal Oak is between Muriel Versagi and a camera." Knows Muriel and doesn't like her? Doesn't care much about local history? Can't tell from that anonymous brief comment.

From: Rick <rickspot2@yahoo.com>
Subject: Budget Meetings, Privatization, and Taxes
To: cmellison@ci.royal-oak.mi.us, ccandrzejak@ci.royal-oak.mi.us, cccapello@ci.royal-oak.mi.us, ccdrinkwine@ci.royal-oak.mi.us, ccpoulton@ci.royal-oak.mi.us, ccsemchena@ci.royal-oak.mi.us
Date: Friday, May 14, 2010, 12:06 PM

 

Having watched the to working meetings, I have a few issues -   1.) Creative accounting   Exactly what premise would lead any responsible person to assume health care cost will only increase 5% a year in the out years, despite the fact the haven't in the last decade?  I'm sure it helps you  get to a balanced budget on paper, but doesn't reflect reality.   2.) Pension Costs   Exactly how are the current year contributions to the pension and retiree health care accounts  being made and under what assumptions?  If you are using a 5% health care increase and a 12% return on investment, this is nothing but smoke and mirrors to get that mythical balanced budget without addressing the issue.  (Yes, I CAN calculate the present value of a future annuity and understand the assumptions used in said calculation.)   3.) Privatization   The statement was made that privatization is not always cheaper.  Given the pension and health care benefits (both during the employee working career and promised as part of their retirement), I find it hard to believe that outsourcing is not cheaper unless you play games on how you account for the future outlays that will come due when the employee retires.  It MAY be true that outsourcing is cheaper on a cash, current year basis, and/or if you make wild assumptions on the rise of health care cost and return on investment of pension fund assets, but what about the life cycle cost?  When the priviization studies are presented, I want to see how the conclusions where drawn, especially in terms of the long term overall cost to the city.   4.) Taxes   a.) General -   Unless and until I see evidence that the city administration and the city unions have a plan to address the pension and health care balloon, I will be opposed to ANY millage increase.    I fully understand that the recent downturn in property values and the effects of Headlee/Prop A has greatly decreases revenues and limited the ability to recover those revenues as the economy (hopefully) recovers.  However, we where on a glidepath to a much smaller police and fire department, as well as other city staff anyway as more and more of  the current year cash is used to pay for employees no longer working for the city as a consequence of the generous retirement benefits many of you approved in past union contracts.  The current downturn merely accelerated it from a glidepath to a death dive.   Unless this issue is resolved, a millage increase will simply delay the day of a 36 officer police force.   b.) Millage Must be Specific and Have an Expiration Date   The millage has to be on a temperary basis and have a formula so that as the taxable values increase, it gets reduced.  No open ended durations.  Also, I expect any increase to be used for public safety, and there must be language in the proposal that the percentage of the general budget currently assigned to  public safety operations must remain constant.  I am not going to have the bait and switch game played where every dollar raised by a public safety millage is taken out of the funds allocated to public safety from the general fund (aka, the state lottery/education funding).

Give 'em a break
CITCOM has no choice
Two or three commissions ago, I encouraged criticism of CITCOM for their "saving paper clips" approach (micromanaging) when they should have been (a) addressing structural changes in city hall and (b) selling Normandy Oaks Golf Club. (Oh, how different things would be today!)

This year, I chose not to attend the commission's special budget meetings because there is nothing left for them to do except count paper clips -- in the form of asking department heads to justify $600 budget items when the funding problems are in the millions. CITCOM has no choice but to make drastic cuts ("draconian" is a popular word) and to begin the process of explaining/justifying a millage increase as large as the law allows.

The lack of trust in local government is already out there, so the commission can't avoid the suspicion that it will cut to the bone to scare voters into approving a millage. Really distrustful residents advise against approving any millage. They contend that city hall can play with accounting/allocation practices to restore Public Safety services even without increased revenue. "Just hang in there" through a period of no or poor services seems to be their message.

Residents and government are both being tested. -- FJV 18 May 10

Losing trust in government?
Even emergency crime reports are suspect
There were three types of reactions from those VersagiVoice readers whom I alert to each update and to whom I forwarded last week's emergency police report about a credit union robbery. (1) "How sad" and "I go there every week.." (2) "Thanks for letting us know so quickly." (3) "So now you're joining the cops in their campaign to scare us into approving a millage?"

Well, I can't deny that I'm pro-cop and pro-firefighter and that I might be in favor of an increase in general fund millage But I oppose any dedicated millage for either department.* Citizens and City Officials and City Workers have two or three years to decide what service/millage mix we are willing to live with long-term. The ongoing dialogue will be monitored at 2010 Tax Dialogue.

*Coincidentally, Tom Wurdock suggests a dedicated millage may be needed. "I an tired of hearing that the time is not right, I want the residents to make that decision" is part of his message I received after writing the summary above.

Tom Wurdock re A new dedicated millage in Royal Oak
This is not the time to talk millage increase, according to many experts.   I agree, it is not a good time, but it is a necessary time to keep our Police and Fire Departments up to speed.   I don’t want to hear any more about where we can cut, because there is not enough money to provide the coverage we need.  According to business manager, Donald Johnson,  all the takes backs from police and fire unions would not be enough to avoid the layoffs announced.

I an tired of hearing that the time is not right, I want the residents to make that decision.  It’s my life, my home, and my city.  I would gladly support a dedicated millage for Police and Fire protection.  I want the right to vote on this type of millage and no more yadda, yadda from all sides.  Let the residents call the shots. 

It’s too tough a call for the City to make on its own.  Let’s put it before the people who live here and let them decide.  Do you want a safe city or one open to the criminal element?  Do you want an emergency run in a few minutes or maybe a half hour or more?  I don’t want either of these and I believe there are many more who fill the same.  Alright seniors, now is the time to show your power and persuasion. 

Are any of the politicians running for office ready to support a dedicated millage for Fire and Police in Royal Oak? Let’s hear more about this. -- 23 May 2010