I bumped into Blake Baston’s blog yesterday. As a previous candidate four council, he’s doing a good job of following the city budget. One post particularly focused my growing resentment of the options we’re being presented with in the current budget mess. Here’s my comment (I’ve reorganized it for salience):
Ottawa has been punished by short term thinking. Last year the city robbed its financial reserves so that Larry O’Brien could say that they did everything possible to prevent a tax increase. Now we’re talking about selling of assets so that we can delay the inevitable tax increases. It’s ridiculous. Council has to bite the bullet: taxes will rise (preferably at the rate of inflation), and the cost of services can’t outstrip income.
Now that’s out of the way, here are my comments on Blake’s post.
First, we stop adding new programs and demands on the city budget. I know the green box program is desired. I’m less convinced about the idling bylaw.
The “new programs and demands” on the city budget are often maintenance concerns or programs that will end up saving the city money in the long run. The green box program is a good example of that. Currently, the city has to pay for garbage removal, and it has to find new dumps every few years. With a composting program, the city will be diverting waste away from the landfill (lessening the long-term need to find new dumps), and it will be recovering some of the costs of garbage removal by selling off the compost.
Second… What if we asked every department with staff of more than ten employees to do with one less headcount but only do so if someone leaves or retires? How much would that hurt any given department?
Reducing the number of employees doesn’t reduce the amount of work that needs to get done. This looks like a recipe for a poorer quality of service, and more overtime claims by city employees. If council wants to reduce the number of city employees, it should do it honestly: by cutting the amount of work the employees need to do.
Third, looking into selling profitable non-core services that the city provides is not a bad idea. If they are profitable, then the city will get a premium on their sale. Also, the net benefit to the city could be more than the current profit. By cutting back on office space for outsourced services all help chip away at the deficit.
That’s a terrible idea. When services are sold, the city loses a long-term source of income for a one-time cash infusion. That isn’t sustainable. If a service/corporation isn’t as profitable as it should be (such as Hydro Ottawa), then the city should look at ways of making it profitable. Even outsourcing is preferable.