The City Manager Style of Government

The American citizen has become a mere spectator in an overwhelming battle of words between political parties with national polls indicating trust in government has fallen to an all-time low.  This nation is embroiled in a nasty mess in the Middle East with implications of unsavory torture procedures, a notorious use of rendition to whisk prisoners off to a foreign land to be tortured in violation of the Geneva Convention and possibly the First, Fourth and Fifth Amendment rights guaranteed by the U.S. Constitution.  When considering the U.S. has incurred a national debt in excess of $17 trillion, it is little wonder many refuse to follow the daily news.


On the other hand, one might expect local politics to be more in line with a calm determination to do what is best for the local community rather than favoring some sort of national agenda.  Most local communities cannot afford to pay full time politicians to run its city affairs like Los Angeles or San Francisco; instead, the "City Manager" style of government is utilized extensively with the idea a local community can hire someone possessing expertise to handle the many details of city management on a full time professional basis.  This is particularly true for small communities like Marina, California which has slightly less than 20,000 inhabitants.

Typically, a City Manager would insure his city's streets, water, sewer, and the general infra-structure is properly maintained.  Of course, the city requires fire and police protection along with city offices which include finance, building inspection and planning.  But most of all, the City Manager must do all of this while balancing the City's budget with expenditures not exceeding income.

Obviously, there are possible problems related to placing a Chief Executive Officer  (CEO) in charge of all city affairs.  To begin with, the average citizen has no say in what a city manager actually does.  The City Manager is accountable only to elected officials such as a Mayor and City Council.  Individual comments or complaints concerning city affairs can only be directed to these elected officials much the same as stockholders of a large corporation might comment to its Board of Directors. 

Additionally, under most local jurisdictions, the Mayor and City Council members are poorly paid and hold down a job elsewhere to make a living.  Marina, for example, pays city council members a modest $200 per month and the Mayor $250.  These "part time" council members are often required to make million dollar decisions with respect to their city's future.  Accordingly, they must rely upon data and input from other sources within the city to reach a decision on budgetary and city expenditures; hence, this leads to a situation where "non-elected" persons have a greater say in the direction of the city than the citizens themselves.

Advocates of City Manager style government point out the City Council meetings, which are open to the public, provide detailed information concerning city affairs as well as an opportunity for public comment.  In reality, the information provided is in the form of written material which is hundreds of pages in length and requires considerable study time.  The public is encouraged to read all this "stuff," but it is more likely they will defer to their elected officials who, as previously mentioned, are part timers.

But there's more.  The City Manager negotiates city contracts which, by necessity, include employee contracts.  Union contracts concerning wages and benefits, if allowed to affect the City Manager's income, could well lead to a conflict of interest.

Those who criticize the City Manager style of government point to Bell, California, a community of 37,000 which, according to a Los Angeles times article (July, 2010), was paying their city manager a salary of $787,637, the police chief $457,000 and even the assistant to the city manager was pulling in a $376,288 salary.

Because of a potential conflict of interest dilemma, a city manager will often recommend a survey to determine possible salary and wage increases to bring the city's public safety and administrative salaries in line with other adjacent California cities.  Marina's city manager, In accordance to the 2008 contract negotiations, agreed to a 10% salary increase for Public Safety and 5% increases for the next three years.  Within five years, the city manager's salary went from a modest $118,000 to more than $240,000 and other administrative staff salaries nearly doubled.

During the period 2007-08, Marina's City Manager consented to labor contract agreements calling for the city to pay 100% of CalPERS pension costs, all increases in health benefits, uniform allowances, and other benefits including continued use of the 3@50 pension formula for public safety and 2@55 for other staff members.  According to a Contra Costa Times editorial (April 8, 2013): ". . .CalPERS and CalSTRS (the teachers' pension plan) have a common thread: They each lack sufficient money to pay for pension benefits workers have already earned."  Additional editorial remarks point out that both of these pension funds have a combined $173 billion unfunded liability.

Marina was not alone with respect to the generous treatment of the CalPERS pension plan.  Nearly every city in California jumped on the pension band wagon - and now, many cities in the state have already filed for, are on the edge of, bankruptcy.

To be fair, much of these employee benefits were granted at a time when CalPERS was delivering a massive 7 to 10 percent returns on member investments so employee contributions picked up by the city were considered a reasonable alternative to providing an increase in salaries and wages.  But by 2009 CalPERS investment schemes were in the toilet and Marina had an obligation to pay, in addition to wages, a massive 30% pension costs plus a pension obligation bond which added another 10% to the cost.  The health benefits paid by the city ballooned to nearly $1 million or a $10 thousand cost per employee per year.

The moral of the story is that it does not matter whether it's national politics or local issues; it appears the American citizen is simply not allowed to relax in his easy chair and ignore whatever his elected representative may be doing.

It was Frank Birch who said: "The price of Liberty is eternal vigilance . . ."  

 

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