San Jose released its annual list of city salaries late last week, reminding us once again where the bulk of the municipal budget goes. Like most municipalities, payroll accounts for the city’s single highest expense. San Jose shelled out $596 million, or 62 percent of this fiscal year’s budget, on payroll for its 5,500 employees. This year, retired Sgt. John M. Seaman topped the list, receiving total compensation in the amount of $308,345.

To keep people on task, the city’s IT department developed a prompt back in the Internet’s toddler years—circa 1997—to notify workers that they may be attempting to visit websites prohibited by city policy. Fly was then dismayed and downright harrumphed when it learned last week that the Metro-affiliated political website San Jose Inside provoked the prompt for city workers as if it was some sort of personal blog about cats and the things they fancy.

The San Jose Fire Department has a pretty good idea how long it takes firefighters to get to emergencies. Well, some emergencies. SJFD officials told San Jose Inside this week that thousands of emergency calls in recent years were mistakenly left out when calculating response times. In the 2011-12 fiscal year, there were 52,400 reported calls for emergency medical or fire services, according to current department statistics. But SJFD officials now acknowledge underreporting the numbers, and the total will be “significantly higher.”

Turning the page on 2012, it’s also time to close out the final chapter on emails between politicos and Barbara Marshman, the opinionated opinion editor of the Mercury News.

Earlier this year, a group of former elected officials lent their support to an initiative that would have secured funding for San Jose’s libraries. The initiative, which failed to make it on the ballot, had a number of critics, including one Mercury News editor known for sending ill-advised emails.

A changing of the guard took place this week at San Jose’s City Hall—literally. San Jose police officer Ted Trujillo was sent back to patrol after overseeing City Hall security the last eight years. His duties included watching the backs of Mayor Chuck Reed for six years and former Mayor Ron Gonzales for two, in addition to making sure any threats to the civic concrete jungle were addressed. To send Trujillo out in style, a virtual who’s who of city officials gathered at Mosaic Restaurant and Lounge last week.

San Jose Inside’s Josh Koehn sat down with City Manager Debra Figone for a rare extended interview in late August. The following is an excerpted transcript of their discussion, which touched on Measure B, Figone’s relationship with the mayor and council, her thoughts on the performance of Police Chief Chris Moore, crime in San Jose and when she plans to retire. It should be noted that this interview took place before Moore’s announcement that he will retire from his position at the end of January 2013—Editor

The city begins its trimming of sick leave payouts at Tuesday’s City Council meeting, when three unions and Unit 99, which consists of the city’s top administrators, agree to end sick leave payouts for any employees hired on or after Sept. 30. This will be a negotiated battle that continues into next year with other labor unions, especially fire and police. Other items on the agenda include some good and bad news for Team San Jose, a pivotal vote on a taxi contract and a councilmember having his status changed for a missed meeting.

The proposed Oakland A’s move to San Jose hasn’t had much progress in over three years. But an interesting development occurred last week. MLB Commissioner Bud Selig’s three-person committee in charge of finding the best future home for the A’s reportedly met with city officials and business leaders in San Jose and Oakland. Meanwhile, investigators from State Controller John Chiang’s office have been coming through old San Jose Redevelopment Agency records pertaining to land being held for a possible A’s stadium.

As morale continues to sink and police officers resign or retire from the San Jose Police Department in record numbers, the Police Officers Association‘s board of directors could call for a vote of no confidence in Police Chief Chris Moore. City Manager Debra Figone sent an email in support of Moore on Thursday to the City Council, Mayor Chuck Reed, Independent Police Auditor LaDoris Cordell, City Attorney Rich Doyle and two members Figone’s staff, David Vossbrink and Ed Shikada.

Edesa Bitbadal says she has not decided if she will ask for a recount of the primary results for San Jose’s District 10 City Council seat. However, Bitbadal, a San Jose planning commissioner, did say several community leaders in Almaden have contacted her to do so and she will weigh her options this weekend. The deadline is Tuesday.

The city of Oakland hired Teresa Reed to be its new fire chief Wednesday, continuing a trend of former San Jose public employees finding work with nearby municipalities. But Reed’s change in employment, after retiring from the San Jose Fire Department less than two weeks ago, appears to be just one example of why Mayor Chuck Reed (no relation) and other city officials in San Jose are clamoring for pension reform.