An explanation of how the ballot initiative process has affected the local political landscape—including a breakdown of four initiatives created in the last year—and an update on the $1 million check submitted by a developer to the city last week.

Last year, I wrote about a parcel of land that was converted from commercial zoning to residential by my council colleagues … some of whom are “friendly” with a certain lobbyist. Many believe this parcel was converted as a “quid pro quo” so AT&T would sell their land for a potential baseball stadium. I opposed this rezoning since I wanted to retain all of the land for jobs, thus a better tax base to pay for city services.

Some people have called the fact that San Jose will have 9 million dollars more than anticipated a “surplus.” Having this money will allow the city to avoid layoffs and add funding for libraries, as well as anti-gang programs this coming fiscal year. The mayor has called it a 1-percent cushion, because this money came about from last year’s budget action of layoffs and across-the-board pay cuts for all employees. Having enough money to provide some services does not equate to a “surplus” or a “cushion,” in my opinion.

The now “famous” deadlocked 5-to-5 vote last week, regarding whether or not to move forward with a second-tier retirement system for new employees, was fascinating to watch but extremely disappointing in the end. I believe it was a lost opportunity for labor to not embrace a second tier. If the unions would have embraced a second tier, it would have taken pressure off if the first tier, but that opportunity is now gone. 

I predict going forward that groups sponsoring ballot initiatives will be a constant part of the political landscape in San Jose, similar to the outside funding of planning department ordinances by third parties to move forward on regulations. The minimum wage initiative recently gathered and submitted the required signatures last week, and action will be taken at the May 22 City Council meeting. A library initiative is also in the process of gathering signatures for a November election.

We all have an impact on the sewer system and our waste must go somewhere to be treated. Miles upon miles of pipe transport and maintain our civilization and virtually eliminates outbreaks of typhoid and cholera. As some have said, “No pipes, no civilization.” if you would like to learn more about the challenges San Jose has with over 2,000 miles of sewer lines—and some portions being approximately 100 years old—attend a presentation at 6:30pm tonight at City Hall. And on another rnote, local residents now have the chance to submit business plans in a contest that has no better home than Silicon Valley: the Santa Clara County Start Up Cup.

The “victory” claimed by certain union members by suing the city over the word “reform”—as in “pension reform,” known as Measure B for the June ballot measure—may have actually jeopardized a future tax increase to fund their own jobs. The removal of the wording, “essential city services including neighborhood police patrols, fire stations, libraries, community centers, streets and parks,” was included in the ruling and cannot be used as a way for the city to lure residents into supporting higher taxation.

As we know, health care costs are escalating at double-digit rates. The continuous high costs are a burden to the self-insured, businesses and government. In San Jose, we have an unfunded health care liability of approximately $1.5 billion. The City of Stockton has been in the news for starting the process of bankruptcy under AB506, and much of their plight is due to the cost of health care benefits. San Jose should implement a incentive/mandatory wellness program in 2012 to reduce the cost of health care.

The city’s General Fund is not legally obligated to pay an airport expense or debt service payments.However, the City Council has discretion over the allocation of general fund monies in general, and may approve an allocation of General Fund monies for airport expenditures. This includes payment of debt service. The allocation of general fund resources to the airport would be a policy decision by the City Council, not a legal obligation.

Last week, I attended the Oversight Board for the Successor Redevelopment Agency public meeting. One person who watched the meeting said it was “like viewing the reading of a will.”  That was a fair analogy. In the case of the deceased RDA (56 years old), the deceased had property it owns but comes accompanied with liens from the County and JP Morgan. The meeting also showed that while the deceased was alive, Sacramento poached over $100 million from the estate, which disrupted RDA’s ability to pay planned debt installments over a period of 20 years.

A citizens signature drive is underway to secure a certain percentage of the budget for our libraries. This would replace the library parcel tax set to expire in 2014. If enough signatures are collected, the measure could be placed on the ballot in November. Last month, I proposed examining and collecting data for setting a certain percentage of the budget—higher than today’s percentage—for the police department. Perhaps we could combine the ideas and set a percentage of the budget for police and libraries.

Although the City does a good job posting documents on its website regarding proposals and correspondence from both sides, I believe many others would rather see the interaction of union officials and city staff in real time. Thus, on Wednesday, I am asking the Rules Committee to support my recommendation to have the city and unions talk about this issue with the hope that both parties will agree to move forward and allow these meetings to be public.

The city of San Jose’s Department of Animal Care & Services is the place to seek out regarding all things animals. Actually, San Jose provides animal services for other neighboring cities too, including Cupertino, Los Gatos, Milpitas and Saratoga on a contractual basis. Despite a lack of funding from the state, San Jose’s Animal Care Services has a higher success rate of saving cats and dogs than at any other time in the city’s history.

I had some calls last week on the topic of pensions and the June ballot measure. Several people were under the impression that San Jose will eliminate pensions altogether, which is not the case. Other callers wanted to replace the current system with a 401K-type benefit. I think there are other options to pension reform that would save San Jose money. For one thing, we should eliminate spending on all items not in the City Charter.

Last week, the council discussed a poll of residents/likely voters regarding their views about tax increases. The majority of the Council appears to be considering a June ballot measure for a tax increase. Since the poll respondents are anonymous and nearly everyone on this blog is anonymous, I thought I would ask the question: Which tax do you want? How much of it?

Last Friday, Joint Venture Silicon Valley (JVSV) hosted its annual State of the Valley. I was one of the 1,000 people in attendance at the convention center. JVSV started in 1993, during a recession, to promote economic growth through public-private partnerships. Several interesting demographic statistics were pointed out during the presentation.