Sylvia Robles Positions

By Sylvia A. Robles

The City of Grand Terrace must adjust to providing core municipal services without Redevelopment Agency funds.

Some city staff and councilmembers have stated that schools were made whole via pass- through agreements and did not suffer from RDA tax shifts. The reality is that since schools were guaranteed financing via Proposition 98, pass- through agreements was not vigorously negotiated. The Colton Joint Unified School District is now facing a substantial deficit. Federal stimulus funds kept the district balance for three years, now that that funding support is gone; the local financing scheme is impaired. Two tax measures are on the state ballot. In addition 237 local tax measures including a fire parcel tax on the ballot across California in local cities.

Redevelopment Agencies were abolished last year by AB 26x and AB 27x. Grand Terrace has enough fund balance and wind down RDA projects to help pay for staff. The city also floated $20 million in bonds for infrastructure improvements in the southwest section of the city zoned for commercial development. However, ongoing economic malaise and the fact that the state denied any land assembly funding makes it highly unlikely in the near term that the city will be able to generate investment in that area. Land assembly is essential because it creates an economic subsidy to developers. I believe we must look for ways to partner with private business. The $20 Million for infrastructure should provide the framework for investment. While it is RDA funding and it was not voter approved it at least focuses on needed infrastructure. It is obligated and we need to use it.

So, we are back to your question on what I would do for Grand Terrace and how I can distinguish myself from the other candidates. I feel my years of government experience and budget balancing during recessionary times is especially valuable. I completed my graduate studies during the last recession and gained a great deal of knowledge on how to balance budgets in volatile periods. I had to formulate budget cuts and get my superiors and governing body to recognize the depths of the fiscal emergency and act.

Grand Terrace cannot grow itself out of this fiscal crisis. Time is not on our side. All new retail, including the Town Center, has generated in aggregate less than $90,000 in new sales taxes. The city owes the RDA Agency $ 3.1 Million dollars. We only have a General Fund of roughly $3.5 million, when you include all other sources of revenues, such as Other Funds of $3.4 million, Capital Projects of $2.6 Million and residual RDA funding for the operational budget of $4.5 Million the total is $13.9 Million. That number does not account for instances like child care and wastewater accounts, in which fees collected are almost equal to expenses.

We have an estimated Fund Balance of $810,000 and that may be cut to $510,000 depending on a state ruling on residual receipts for low-income housing. Out of that we pay for public safety, public works, park maintenance, a full-time city manager, finance director, public works director, city clerk and city attorney and other administrative staff. We have only about two years fund balance to support this level of city government.

I have experience balancing budgets during recessionary times. I worked for the Special Districts Department, when the state unable to meet its obligation to fund schools, took back substantial state support from many of our districts, including fire. A budget analyst recognizes that salaries and benefits typically make up 85% of the budget. Any meaningful savings must come from cuts in staff. The city has incrementally cut staff and is in balance for now. But structural change must be implemented.

From various sources, I am told that the City Council has been meeting in closed session since at least last December to discuss a utility tax, declaring a fiscal emergency and meeting with unrepresented staff to adjust salaries. I personally attended, last December, a special Grand Terrace City Council Meeting during the holidays, in which one councilman uttered Chapter 9 bankruptcy. This is not a viable option for Grand Terrace; we do not have huge contracts to discharge. We contract for police services with the County of San Bernardino; fire services are also provided by the County.

It is my experience that the voter must be included as partner in discussing and solving any fiscal crisis. When the council, after this election, unveils the true depths of this "fiscal crisis" and plans for a proposed utility tax, I expect that trust with the voters will be the hardest asset to regain.

All Redevelopment -type legislation was vetoed by the Governor this month. Unless, voters are quick to approve a utility tax, Grand Terrace must live within its means. I propose via attrition to transfer salary savings to restoring the traffic officer position cut from our law enforcement contract. We can do this immediately by not filling the $173,000 Redevelopment Agency Director Position. It is my preference to replace current top managers with less expensive positions as natural attrition occurs. The timeline is short. But, the reality is we are a city of only 12,000 residents, core municipal services must be funded. To me that is public safety, park maintenance and support of youth sport leagues.

If the City Council fails to convince voters to approve a new tax we must have an austerity plan. This city can survive; we have no other option, but to survive.