Tuesday, March 10, 2009

Ideas for Middletown

I welcome ideas from residents for improving Middletown, especially how we deliver our services and program to the residents.

Saturday, March 7, 2009

Hope for the Future

Yesterday, as the news of more job losses and further deterioration in the economy came over my car radio, I became hopeful. Crazy, I know. Nothing in the dire financial news provided any reason for optimism. The anchors and experts served up a pervasive, unyielding barrage of bad economic news. So why hope? Let me try and explain.

Arguably, we have had a good run. Like everyone else, I enjoyed the escalation of asset values that took place over the last couple of decades. Relying upon "equity" in our homes, we accumulated things; kids with hand-held video games, fancy cars, the latest Xbox or big screen TV. Houses grew in size and so did mortgages. But somewhere deep inside me I heard this faint, troubling voice questioning how this could be so. This run up in asset values seemed to defy simple economics, but I rationalized and figured that the world had become more efficient; there were new, emerging markets to sell to, and maybe an age of ease was truly upon us. Of course, we now know that the economic rules that applied to our parents and grandparents still apply to us; and when you spend more than you have, there is a price to pay. Like kids who eat too much candy, our stomach ache has now begun.

I think we all must share some small measure of blame. In laying blame at all of our doorsteps, I don't mean to overlook the conduct of those who should have known better. The legislators, ratings agencies, investments bankers, Fannie and Freddie bosses; they all should have known better. This collective lack of accountability and diligence points to a failure of ethics that seeped into our culture. We idolized those who accumulated vast wealth, rather than men and women who followed simple principles that allowed our parents and grandparents to build this country. In the debate over stimulus packages and credit loosening, I have heard little about this collective, societal departure from ethical behavior. In business and in government, there needs to be a re-education of our leaders that emphasizes each person's duty to their community and their country. We need to remind one another of what it means to work with honor and to make decisions that consider the societal consequences of our actions.

But I am meandering a bit. I was speaking of hope. Our hope lies in our freedom. At our core, we love the liberty that has inspired much of the world to seek self-government. Living in a free society has its price, but it also leaves a deep, indelible impression on our souls. We grip our freedom tightly. Unfortunately, enjoying the right to decide how we conduct our lives and our society leaves us vulnerable when we go on the kind of tear that we did over the last two decades. But even when we stray into excess, this love of freedom burns like a small furnace deep within us. I would suggest that our collective conduct in recent years has walled up that furnace, so that its warmth is difficult to perceive, and in some cases, forgotten.

But crises like the one we must now overcome have a way of tearing down those walls. Facing the difficulties that a crisis brings compels us to return to those basic ideas and beliefs that matter most. People will work as hard as is needed to retain their liberty. Though things appear bleak, the people of this country have begun their awakening. The walls around their freedom furnaces are being torn down with each wave of bad news. In communities throughout our nation, we will remember how much we love our liberty. We will lace up our boots, strap on our helmets, and begin the hard work of re-building our economy. Self-sacrifice must replace the self-indulgence that landed us here. In short, our economy will recover, because our freedom depends on it.

Sunday, March 1, 2009

Tough Budget Times

The Middletown Township Committee has a daunting task when it comes to balancing this year's budget. Even with freezing spending at 2008 levels, anticipated expenses exceed revenues by $3.79 million. We the lion's share of spending dedicated to salaries and benefits, squeezing the budget for a $3.79 million reduction in operational spending is almost impossible. Unfortunately, the structural changes that are needed to truly reduce spending take time. Reductions in personnel hold the greatest potentional for achieving substantial budget savings, but we have waited too long to take action.

Last summer, I introduced a resolution to create a Finance Committee, so that we could begin the work of trimming our budget. At the time, then Mayor Scharfeberger criticized this idea, assuring the public that the Township had cut as much as we could, and further cuts were not possible. Further cuts are always possible. It becomes a question of what you are willing to give up in order to achieve spending reductions. The Township Committee can decide what programs we will continue and what programs will be suspended. It is our job to set policy. The current times call for unprecedented steps to curtail spending. Some programs, even some very popular programs, may need to be suspended until our economy improves. Our overriding goal should be to avoid burdening our taxpayers with any additional tax obligation, especially when some of our residents are about to be hit with increased costs of flood insurance.

I agree that we are at the mercy of State funding reductions, but that's the hand we've been dealt. We need to focus our efforts on softening the blow to taxpayers. I was pleased when my fellow Committee members agreed last week to schedule emergency meetings with all Department heads to review departmental spending and evaluate opportunities for reducing expenses. Everything should be on the table. We will not bridge the $3.79 million shortfall unless we squeeze every available line item. We have entered the month of March. We need to take action soon. As time passes, the amount of spending we can cut diminishes. I have proposed asking all professionals to accept 10 to 15 percent reductions on their professional contracts. I have introduced an ordinance to eliminate health benefits and salaries for commissioners on the sewer authority and their alternates. We don't need 7 sewerage commissioners collecting benefits when we have a Township Committee of 5 who don't get any health benefits.

Other savings opportunities are available to the Committee. We need to correct whatever operational problems are generating utility bills over $200,000 at the Arts Center. We need to consider consolidating some activities, perhaps merging the Arts Center with the Library. Recent legislation introduced at the State level would cut the Library's funding in half. I oppose such a draconian cut. It would have a devastating effect on the services our Library provides. However, if we were to agree to continue the Library's current level of funding, even if such legislation were passed, I think it would make sense to merge the Arts Center into the Library's operation. We should move quickly toward outsourcing much of our property maintenance, thereby alleviating the costs associated with purchasing lawn mowers, equipment, and the servicing costs associated with them. We should ask our Board of Education to join in this efort. There is little reason that our parks, ballfields and recreational properties need to separately managed and maintained by two separate governmental entitiels. Our leaf pickup operation also needs an overhaul and could also be done by contractors. Hiring and paying Township employees to engage in these activities is extremely expensive when you consider compensation, benefits, etc. Recreational activities such as concerts, Middletown Day, etc. may need to be suspended if they cost more than they bring in. Obviously, suspending events like these should be temporary measures taken in a time of crisis. However, they must be on the table.

We have our work cut our for us, but these are challenging times. We will no doubt pull through this current economic slump, but in the interim, we need to ensure that the taxpayers, already feeling the pinch of a sinking economy, are not handed a higher tax bill.