COVER STORY
State of the City
D
BY JEB BING
espite the ongoing recession and severe budget shortfalls facing the state government and many California cities, Pleasanton’s municipal government is weathering the economic storm without much difficulty — at least so far. Describing the global economic crisis of 2008 as a “wake-up call,” Mayor Jennifer Hosterman said the city government “saddled up” and adapted to the uncertain and troubled economy, realigning its goals and municipal payroll, postponing major projects, imposing a hiring freeze on all but the most essential positions and holding off where it could on replacing vehicles and equipment purchases. “Instead of the wake-up call we had in 2008, 2009 has been a call to action to respond to these dramatic changes,” Hosterman said in her “State of the City” report last Tuesday. Speaking at a meeting hosted by the Pleasanton Chamber of Commerce at the Pleasanton Hilton Hotel, Hosterman said that by staying focused, the city has been able to navigate its way through the economic hardships without layoffs at City Hall or any major curtailment of city services and programs. “Although the recession has had a major impact on the city’s General Fund revenues, which have declined by $7 million dollars over the past three years, we have found ways to adapt,” she explained. “For example, like most Americans, we are living within our means. This has been achieved by reducing General Fund costs and operating transfers. The General Fund finances most of our day-to-day services such as public safety, parks, library and street maintenance. Our Page 10ÊUÊFebruary 19, 2010ÊUÊPleasanton Weekly
Mayor Hosterman reports on city’s progress, challenges in 2009
budgeted revenues this year are just over $87 governments. “State and county services have been immillion dollars, short of the $94-million peak pacted in ways most of us hadn’t even conwe experienced in 2007-08.” She said the city government has reduced sidered,” Hosterman explained. “For examits employee roster through reorganizations ple, the gas tax, which the state distributes to and attrition. Along with other California cit- counties to fund road maintenance, is on the ies, Pleasanton is also evaluating its compen- governor’s list to be retracted and the effect sation structure in an effort to reduce labor could be devastating. If that proposal passes costs. through the legislature, “We are all doing California drivers can more with less, beexpect more potholes, coming more efficient unruly vegetation on and reducing fundmedians and roadsides, ing on capital projects dirtier byways because until the economy imof no street sweeping, proves,” she said. and a slower response “We are fortunate to emergencies such as to be a city that still mudslides.” has options that many “Thinking of heading others do not,” she to the snow to take a added. “This past year, break from all this bad the League of Calinews?” she asked her fornia Cities reported audience. “Watch the that more than 40 citweather and plan your ies passed a resolution trip carefully because declaring a state of se- Mayor Jennifer Hosterman state budget cuts have vere hardship. These limited snow removal include some of our Northern California on I-80 this winter during non-holiday perineighbors such as Palo Alto, Petaluma, Se- ods. Caltrans has just under $2 million to do bastopol, Millbrae, San Anselmo and South $4 million worth of work.” Pleasanton residents and businesses are San Francisco, to name just a few.” “These drastic cuts are across-the-board also feeling the pain. According to Hosterand in some cases, such as in Tracy and man, commercial vacancies are at a 20Stockton, may affect public safety with re- percent peak. The real estate market has its ductions in the police force,” Hosterman hands tied because some buyers can’t secure said. “Throughout the area, employee layoffs, financing. Nor is the city immune to the hiring freezes, project delays, program reduc- global economic impacts and some in the tions and many other severe changes have city are among the growing legion of Ameribeen necessary.” cans whose primary job, Hosterman said, “is Still, Pleasanton is not without concerns now to look for a job.” “The job situation will erode further in this year and in coming years as the state seeks to close its $21-billion-plus budget the spring when the NUMMI plant closes, deficit, partly by grabbing revenue from local impacting Pleasanton and regional residents
DINO VOURNAS
who work at NUMMI, and those working for ancillary businesses that support the plant.” So, how is Pleasanton going to survive the storm? “By being resilient and continuing to tweak and adapt our plans as we progress toward our goals,” Hosterman answered. “Someone once said to write your goals in cement and your plans in the sand. The concept applies here.” Our goals remain firm and we will adapt our plans as needed to meet them,” she explained. “My fellow city council members and I are totally committed to maintaining the high quality of life that our residents and businesses expect. We are equally bound to a conservative fiscal policy that helps to insulate Pleasanton from the perils of the global economy.” She said these primary goals include maintaining excellent schools, a state-of-the art infrastructure, multiple transportation options, clean streets, green parks and street medians, low crime statistics and environmental solutions for waste. Citing the budget shortfall facing the Pleasanton school district, Hosterman said the community must come together to resolve the crisis. Reform for education spending at the state level is paramount to this effort and she urged everyone to join in supporting better state funding of schools. Despite the challenging economic climate, Hosterman said the city had many accomplishments in 2009, including some continuing forward at this time. This includes the $10-million Firehouse Performing Arts Center in downtown Pleasanton that is scheduled to open later this year. “It will serve as a beautiful venue for entertainment and the arts that are compatible with and complementary to our historic downtown,” Hosterman said.