Rolling Up Our Sleeves: Productive Budget Work Sessions

A lot of attention was paid to the three budget work sessions we had over the last 10 days, particularly on some of the worst case scenarios outlined and a few dramatic moments where tempers flared.

The real story, though, was in how much progress was made. Official after official came forward, and for the most part either said they could live within the proposed numbers--or pinpointed precisely those areas where help is needed to avoid a particularly dire result. And our administration is now hard at work to deal with those particular areas.

For example, it's safe to say that no commissioner wants to see jailspace reduced by one more bed, courtroom prosecutors laid off, the crime lab closed, or the clerk of courts website shut down, and we will all work together to avoid those and other consequences.

Starting this process early, and conducting the work sessions through public meetings, has brought out the best in so many of our County leaders, and outlined a path to complete what may be the most difficult budget in decades.

And yes, it also allows Commissioners to ask the tough questions--which is part of our job of representing the taxpayers come budget time, even if those questions might ruffle a few feathers.

The President's Labor Day Visit to Cincinnati

Community Tour: Columbia Township

Last night, we had another one of our monthly meetings in the community--this one was in Columbia Township.

These have turned out to be an incredibly helpful way to keep up with the many great communities in Hamilton County. Next stop, Sycamore Township.

Cycling Cincinnati -- Fountains of Youth

Had a great day Saturday cycling about 14 miles, visiting different fountains around Cincinnati. Thanks to all those who made it happen, and those who took part.

Budgeting 101 -- You Can't Spend What You Don't Have

It was an unfortunate week in Hamilton County. The courts are refusing to consider budget cuts for next year. And they and other departments continue to suggest the only thing we can do is raise the sales tax. There are two pretty straightforward responses:

Principle 1. The problem in our county, as it is across the country, is not that our tax rate is too low. It's that economy activity is severely depressed. A couple years ago, this county saw about $270M in revenues from our various revenue streams. With the same tax levels today, we're below $230M in revenues this year. Solving that problem means we need to do everything we can to spur economic growth, consumer confidence, job retention and creation, etc.--and we're doing everything in a tough environment to get that done. But especially at a time where we finally are seeing a potential break in the economy, raising the sales tax takes us in exactly the wrong direction.

Principle 2. We simply can't spend what we don't bring in. It's a concept every business and every family has to contend with every day--you can't spend money you're not bringing in. And it's a concept all levels of government, including this County and all of its departments, need to live within now more than ever. So if we're bringing in less, we have to spend less. No way around this simple concept.

You combine these two principles, and the path in front of us is pretty clear, if not easy. We have to do all we can to get our economy going again. And in the meantime, every part of this County has to get through this challenging time by living within our more narrow means--which means finding ways to do more with less, to be more frugal, to set and stick to priorities, to change bad habits, to eliminate waste, to cut back on anything but bare necessities, and even to make sacrifices we otherwise would not want to make if that's what gets our budget numbers in line.

All the press conferences, letters, and public statements in the world will not change this basic reality.

And look around--it's the same reality everyone else in this community is also grappling with, with far less fanfare and noise than government.

Three Important Levies at a Tough Time: A Difficult Balancing Act

This week, the Commission has to decide how to "size" three important levies that are seeking renewal on the ballot this November. For many reasons, this has become a daunting task for all three of us.

To be very blunt: with what looks like five countywide levies on the ballot at a uniquely bad economic time—a time that our residents are enduring the tightest squeeze on their wallets in years (over 9% unemployment, foreclosures, lower take-home pay nationally, etc.)—I worry we are watching a ship steaming toward an iceberg.

Just Tuesday, 61% of school levies on the ballot failed in Ohio, including a renewal in Mt. Healthy. And our Countywide online survey showed very little appetite for new levies or higher levels of taxation for renewals at this time. If any one of the levies we are discussing now (MRDD, Familty Treatment and Services, Museum Center) were to suffer a similar fate as so many school districts last Tuesday, the consequences to critical services as well as the County budget would be dire. If more than one failed, even worse.

So today I proposed a plan that would allow us to support the three levies' renewal while being sensitive to the tough times our taxpayers are enduring. Indeed, even if all three were renewed, citizens would pay less in taxes next year for these levies than they do this year. So we are not asking citizens who are earning less to pay more.

There are strong feelings about each of these levies, and I am a supporter of all three and what they do. But in this difficult economic year, I believe the best way to "protect" them, and maximize their chance for renewal, is to ask for as little as possible from an already financially squeezed community.

For the details of the plan I proposed, link here.

For the Enquirer story on it, link here.

Survey Results: Feeling the Pinch, but with Some Optimism

My August survey results showed some interesting results. Reflecting the national news, people have cut back on their own consumption, seen layoffs and other cutbacks in the workplace, but also seem confident that the worst of the recession is behind us--or almost behind us.

Here are the basics:

1. Economic Outlook: 59% think the recession has already "bottomed out" or is bottoming out now. 16% think there is no hope until 2010.

2. Workplace Cutbacks: respondents have experienced the following steps in their workplace: 54.8% - salary freezes/cuts; 51.9% - layoffs; benefit cuts - 19.2%; furloughs - 12.5%; four day weeks - 7.7%. 23% said they've seen no changes.

3. Spending: Families cut back in numerous areas of spending: 42.3% drastically cut back on travel (73% cut back by some amount); 37.4% drastically cut back on clothing (71.5%); 28.5% drastically cut back on eating out (76.5%); 28% drastically cut back on charitable giving (64.8%)

4. Measures to Deal w County Budget: very clear results on what citizens want to see County do to deal with its budget problem:
1) Consolidate/Share Services (75% positive-8% negative);
2) Invest in Economic Development (56.5% positive-21.8% negative);
3) Cut Spending To Match Reduced Revenues (including layoffs/furloughs) (46.3% positive-25.4% negative; 28.5% neutral);
4) Raise taxes to keep critical services going (16.3% positive-59.4% negative)

5. Levies on Ballot: facing five levies on the ballot, 50% would vote for 3 levies or fewer; 50% would vote for more than 4 or 5

6. Effect of Stimulus: Respondents were generally optimistic about the stimulus package: 27.6% say we're already starting to see the results, and 37% say we'll see the results soon.