Bridgeport resident David Walker, the former U.S. comptroller general, addressed the City Council Monday night urging the body “to cut spending, transform City Government, and restructure retirement plans in an equitable and sustainable fashion. Failure to do so will serve to demonstrate that Bridgeport City Government cannot do what needs to be done to put its financial house in order.” Walker’s comments follow:
It is my understanding that Mayor Ganim will present his proposed budget to the City Council later this evening. When he does, I suggest that you go straight to the “bottom line” to see how much he is proposing to cut net spending.
Let me acknowledge that Mayor Ganim has already taken some steps to reduce headcount and control salary costs. He should be complimented for doing so. At the same time, Bridgeport’s financial challenges are so serious and so structural in nature, that much more dramatic and fundamental reforms are necessary.
Let me help to put things in perspective. Finance Director Flatto’s recent announcement that the net taxable grand list went down 15% means that the current mil rate will have to go up 17.64% mil rate if net spending stays the same as last year. It’s just math.
That is totally unacceptable given the onerous property tax burdens and very high effective tax rates already borne by property owners in this city. As a result, since state funding is flat, and absent major new revenue sources, the only way to keep the mil rate down is to cut spending!
Higher mil rates mean that the effective tax property rate in percentage terms will go up for every taxable property owner in Bridgeport irrespective of their new assessment. In addition, even if net spending is held flat, anyone whose property tax assessment did not go down at least 15% will face another property tax increase in dollar terms.
The economic and social implications of Bridgeport’s financial challenge are clear and compelling. Higher property tax burdens result in: lower property values, making Bridgeport a less attractive place to live and do business, and forcing more seniors and individuals on fixed incomes out of their homes.
One of the primary reasons that Bridgeport’s tax base declined much more than the average since 2008 is due to the failure of City leaders to “hold the line” on property taxes in the past. In that regard, I clearly recall that Mayor Ganim’s pledge to “hold the line on taxes” was a major part of his campaign.
Total property taxes in Bridgeport have already gone up multiple times the rate of inflation since 2008. Enough is enough! It’s time for dramatic and fundamental change.
Don’t count on the state or the federal government to bail you out. They have their own serious financial challenges. In addition, it is more likely than not that the state will cut municipal funding next year given the magnitude of its fiscal challenge.
It’s time to cut spending, transform City Government, and restructure retirement plans in an equitable and sustainable fashion. Failure to do so will serve to demonstrate that Bridgeport City Government cannot do what needs to be done to put its financial house in order.
If this Mayor and Council can’t do what needs to be done then it is time for a State-appointed Financial Control Board to make the transformational and financial restructuring changes that are necessary for the City to avoid bankruptcy. This is the approach that is likely to be taken in connection with Puerto Rico’s current financial crisis. How the Puerto Rican situation is resolved is likely to be a precursor to how troubled states like Illinois, New Jersey and Connecticut will be addressed in the future.
Three years ago I gave this Council and the previous Mayor several pages of ideas about how to reduce spending, enhance revenues, and restructure retirement plans. So far, little has been done to act on them.
It’s time to get serious. The clock is ticking and time is not working in our favor.
Words, just freaking words. Where were you when the city under Finch renegotiated the police pension fund? Not a word from you. Where were you when the city negotiated that OT and also outside overtime can be figured into the police pensions? Did you ever talk about the cops who will be retiring at twice their salary? Words, words and more words. It’s too bad you picked the wrong city and state to think about a senate run.
Andy, I thought Walker was leaving Bridgeport some time ago. Come on Andy, Walker is one of those Republicans who believes unions are the worse thing for workers and workers should just trust their boss will look after their interest because there is no need for negotiation of wages, health care, working conditions, just trust the company.
Ron, I agree.
Hello Ron, I have been searching for any articles published where Dave Walker says unions are the worst things for workers and cannot find one. Could you please direct me to your source for this statement? Thanks so much!
Jennifer, just read his positions on unions wages, health benefits and retirement and tell when he has said anything positive about them. Firefighters inhale toxic chemicals and smoke all the time that affects them for life, but hey, who cares?
Considering his brother is a firefighter, and Dave is an honorable man who does not like to see anyone suffer, I would say he does. Not saying “anything positive” (and always is a word which makes me question the absolute validity of a statement) is a far cry from saying they are the worst. If Dave were the anti-Union guy you say he is, and he was quoted or published articles, I would absolutely not challenge your conclusion. I would further conclude, from his public writings and interviews he has always maintained that public sector unions need to have benefits that are both sustainable and Fair and equitable to All, which does include union members.
Jennifer, I just gave you a work condition that firefighters deal with every day but Dave wants those health benefits changed and lowered for firefighters here.
As I recall, his numbers show if every person in America bought their insurance through the health exchange, and government paid the difference between the current government employees cost vs the exchange cost, the benefit cost would save local and state governments and you would have the same or comparable coverage. Walker has stated publicly he thinks national health care is prudent, with the current plan in need of some changes.
I am surprised Dave Walker supports any type of national health care since his Republicans have been obsessed with defeating the Affordable Care Act aka Obamacare. Walker’s math is correct but the answer is Not cutting Bridgeport’s budget but by creating county-wide government. Connecticut’s “Home Rule” government as it stands now is a disaster and it has created a state of have’s and have-not’s. Of course, that is not going to happen so we will continue this policy of the State Government dumping just enough money into the urban areas so they just barely survive.
Jennifer, thank you for sharing this information because it’s new to me. I don’t recall anything about this when he ran for Lieutenant Governor in the Republican primary.
Frank, “his” Republicans are not obsessed with defeating Obamacare, and neither are mine. And Ron, anytime. I completely understand how we Republicans are often confused with the right-wing crowd and don’t speak for the majority of the non ideologist of the party. Walker is one of the few candidates I have worked for who is honest, honorable, a man of his word who truly wants to see everyone get a fair shake. Having been paid to work on a number of elections, and being privy to what goes on behind the curtain, Walker is the real deal when it comes to being a public servant, in that he researches every side of an issue and works for a balanced and fair solution. Very rare these days in government.
Jennifer, last week I ran into a former BOE member and he asked me why was I so hard on David Walker and I told him when he first started posting on OIB he started by going after firefighters’ pension and health care. Look, Donald Day is my brother and I love that man and know if we were at fire and something happened to me in that fire I know he would do everything possible and give his life to save me and take Andy Fardy, someone who at times pisses me off to no end but I know if he were at that same fire, Andy would do the same thing. I’m not going to let anybody attack and take benefits from my firefighter family. Firefighters don’t go around saying what injury or illness they got from performing their duty to anyone who calls 911, we just deal with it. When that bell rings we drop everything and forget whatever it was we were talking or arguing about because someone has called us for help.
I get that Ron, and I appreciate the brotherhood (sisterhood or personhood) high risk and highly trained people share. I actually see Dave Walker giving you, and us a wake up call or warning, the numbers say going forward the promises made to you quite probably will not be met, maybe not in the immediate future, but certainly in the future. I would be angry at first hearing this news and probably go into fight mode, I too am not one to flee. However, having Sharkey and Malloy telling the unions, and now mayor Joe doing the same, you have to give back because we cannot afford what we have promised you, would I hope have all union members looking for fair and equitable ways to make numbers and promises work. I for one do not like hearing we are breaking the backs of union workers (did you know I was a teamster for five years?), and I do want to see you, Donald and even Andy enjoy the retirement you deserve. Working together, rather than killing the messenger just makes my heart happier. Respect to you, more than you probably know.
Jennifer, PUH-LEEZE. There may be only a few Republicans left who would be described as slightly right of center. We have a House of Representatives who voted some 40++ times times to kill Obamacare, and all the present Republican Presidential candidates vow to kill it as well. The present state of the Republican Party is you must swear an oath to kill the Affordable Care Act.
Must have missed pledge day.
Ron,
Your assertions regarding my view of unions do not match the facts. The former head of the national SEIU is a friend of mine and was on my non-profit board. I did not oppose a union organizing effort at GAO. Both my grandfathers were union members (steelworker and mine worker) and one was head of the largest UMW local. What you need to understand is I believe in fairness, prudence and sustainability. The current retiree health care plan is zero for three in that regard. Sometimes the truth hurts but someone needs to tell it.
Bridgeport and other urban centers need to be fairly compensated for the negative effects on property values and tax-base growth incurred by them per their provision of regional services and infrastructure.
There is certainly misdirection of funding and waste involved in the Bridgeport budget (historically, including the present), but with the underfunding of our schools and other areas of municipal responsibility, any overall reduction in spending by Bridgeport can only have negative consequences for us. It’s time for the people of Bridgeport to hold their state and federal representation responsible for the regional abuse and neglect of our city. (Of course, in a historical context, there has been, of necessity, complicity from Bridgeport municipal government in regard to our regional abuse and neglect. (The Trumbull sewer deal and proposed regionalization of the Bridgeport sanitary sewage system might be cited apropos of this statement.)
The Bridgeport tax base must be grown, and we must be completely and fairly compensated for our regional role by the state and federal government.
Truly, Connecticut county government needs to be reestablished in order to properly account for regional needs and fair treatment of all municipalities within definable catchment areas.
Jennifer Buchanan, I find it very interesting the two leading Republicans for the position of President of the United States, Donald Trump and Ted Cruz have no policy on really anything except building a wall and keeping Muslims from coming to America and sending 11 million Mexicans back to Mexico. Now that’s something to be proud of, there is no concern about the nation’s financial status, nothing at all. So why should anyone be concerned with what Dave Walker is talking about when his own Republican Party doesn’t care?
Recall Walker was the comptroller general serving under Bill Clinton with 100% approval of his appointment, which was one of our most prosperous times in recent history. His approval, experience and expertise certainly reaches across partisan and party lines.
While I am not a fan of either of the candidates you mention, I will give Trump credit for his statements on trade, China and Mexico are not holding up their end of the bargain in our trade agreements and Trump has pointed this out and plans to put sanctions in place until there is a balance of trade in place. The whole immigration issue is a nightmare in both parties as far as I am concerned. Don’t know the answer, but hate never wins.
Also, since Trump and Cruz don’t live in Bridgeport, and have no answers, and obviously neither do our local and state representatives, why not give the residential professional with a track record of excellence a go at fixing this broken-down city?
Jennifer, Bill Clinton had no choice at all because of Monica Lewinsky, he had to play to the conservatives in both parties in order to govern. If Walker’s own party is not following his direction, then why should any local or state follow his direction? Remember revenue sharing and block grants to the states to help each state and local government with a portion of the federal tax dollars they gave to the federal government? Well, that money is now going overseas and to fight wars overseas instead of coming back here.
Ahem, Walker was there long before Monica. Not sure the party is not following his direction, the US Government did during our most recent, most prosperous years. And, Hillary Clinton’s staff members donated to Walker’s Lt. Governor campaign, so more than a few of your party leaders both respect him and support him.
Jennifer, it’s not that he is respected and supported but is he being followed and the answer is no.
Ron,
If you knew any top leaders in DC on either side of the political aisle, they would tell you I have made a big difference in every position I held in the federal government. With all due respect, you are long on opinions but short on facts and informed knowledge.
Dave Walker, I’m sure you did in the past do things that made a big difference in the positions you held, but I’m not talking about that, I’m talking about now and I don’t see either of the top Republican candidates for President following anything you are posting on OIB.
Ron, the dead horse you are beating just called me and asked me to ask you to please stop! She said with a wink and a smile. Trump’s people might read OIB because of his history with Lennie. I would highly doubt other candidates on either side, with possibly the exception of Clinton due to Walkers appointment by Clinton is paying much attention to this blog. Not trying to convert you to a Walker fan, that horse I will not beat either, but there are always facts to check and vet to back up, to validate ones arguments and positions. Including researching what Dave is doing now for government budgets.
Ron,
It’s the primary season not the general election. There is a fundamental difference. Kasich is talking about some of the key issues and the general election candidates will too.
Mr. Walker, I’m sure you don’t agree with Gov. Kasich on the story below.
The Cleveland Plain Dealer
By Editorial Board
on March 01, 2014 at 9:27 AM, updated March 01, 2014 at 12:20 PM
GOP, abetted by Gov. Kasich, continues its shameful assault on voting rights in Ohio: editorial
Ohio’s Republican-run General Assembly has now passed three bills aimed at holding down voting by black or low-income Ohioans, a breathtaking bid to suppress voting despite constitutional guarantees of voting rights. Unwisely, Republican Gov. John Kasich has signed all of them into law.
www .cleveland.com/opinion/index.ssf/2014/03/gop_abetted_by_gov_kasich_cont.html