Tempus Fugit

I grow increasingly troubled by the lack of mention of the Fall River FY11 Operating Budget by anyone connected to leadership in this City's government. In Fact, I'm beginning to worry quite a lot.


Everything else is a sideshow compared to the immediate year's, and following year's operating budgets. The Destination Casino, the Bio-Tech Park, the minor league basketball team, improvement and development of the waterfront, the opening of the Quequechan River, the completion of a bridge across the Taunton River that should have been completed 10 years ago - all of these projects will mean absolutely, positively nothing if this and next years operating budgets cannot be balanced in a way that does not entail massive public employee layoffs which everyone involved in the budget process, including  the citizens and taxpayers of the City, wishes to avoid. Yet there is virtually total silence coming from City Hall.


Worse still is the latest. A request by Public Works head Pacheco to take out short term loans to replenish operating budget line items denuded by flood damage a few weeks back is extremely dangerous if it entails carrying outstanding short term debt on the City's June 30, 2010 Balance Sheet. This would have two immediate impacts:
1) The amount of any unpaid short term debt due in FY11 would immediately lower any possible Free Cash totals available to the City on a dollar for dollar basis. In other words, there would be less free cash available to put together a stabilization fund appropriation or to plug known budget shortages to avoid layoffs. The former impact is appropriate, the latter not-so-much, in terms of public finance, yet most likely needed to avoid the full impact of reduced public service across the board given our increasing  scenario of financial armageddon during FY11. And,
2) Unpaid short term borrowing carried over from one fiscal year into the next will immediately lower Fall River's already suspect credit worthiness, increasing greatly the cost of borrowing short term for all purposes and pushing us once again more steadily towards that nasty neighborhood known as a  DOR Revenue Control Board.


I don't know about you, but I've been to Lawrence, and no matter how bad things ever get in fall River, you don't EVER want to be in the same boat as Lawrence. And due to all kinds of employee overtime being spent unchecked in that City by it's government after being warned to control it's spending, word is that DOR control of every penny spent in that City may finally be put in place. That City will probably NOT be able to repay it's long term debt owed the state that was needed to make ends meet this year. It's simply not possible to see a huge difference between the two City's any longer.


If such proposed short term debt is due and paid prior to June 30, then the previous two arguments are void. However, what scares me most is that we could be seeing a purposeful overspending of budgeted line items. There may be no budgeted authority left in some DPW line items as I write this. We have no way of knowing because I have no recollection of such budget reviews taking place on a regular basis in public, or any indication that anyone actually cares. Has anyone out there heard such a question being asked of Mr. Pacheco by a member of the City Council prior to the floods? I don't. If I'm incorrect, please let me know.


No, City officials and the legislative delegation find it more worthwhile to spend time supporting the Grossman for State Treasurer campaign. Steve Grossman owns Mass Envelope, a company that for years did enormous business with state government for paper products of all types. This is not an aspersion against the man at all. he also does great business outside of MA as well. Steve Grossman is a financial thoroughbred, and would make a great choice as State Treasurer. He also has the political portfolio as well having been campaign treasurer for many races and Democratic Party politicians. He knows all the right people and has worked hard to see them be successful. He is a nationwide , first class fund raiser.


Do I think the local coterie of public officials made the right choice to back Steve Grossman? Yes, I do. If there is anyone to guarantee that casino gambling proceeds will be distributed efficiently and funds invested appropriately it's a man like Steve Grossman. Do I think I'd like to see all the same people at the announcement teaming up the same way, at the same time, right now in May, banding together to work hard on this FY11 budget? Absolutely, because all these other projects have people or appointed bodies to deliver the goods. If they are incapable of doing so, then it's high time some changes are made, and the public would support that. For some involved in these many projects, I'm afraid it's fish or cut bait time.


The FY 11 and FY 12 budget to follow requires the time and effort of the City Councilors AND the Mayor and his immediate brain trust. Will Flanagan cannot give the impression of sitting by,  like his predecessor, when Correia was pulling every string behind the scenes then announcing things like "Hey, that's why I have staff, to do those things for me".  No, this is Mayor Flanagan's first municipal operating budget for Fall River. Regardless of what good or bad things are contained there in , they are HIS good or bad things, not some new City Administrator who did a terrible job with School Committee budget submissions and reviews, nor can he blame the City's Finance Director. There will be no more free passes Mr. Mayor. The honeymoon is long over. That FY11 budget is YOURS. Your name will be plastered on every page even if it doesn't literally say so.


So while we are all caught up with the numerous red herrings trotted out before the taxpayers of Fall River just before budget time and election time, even those that may happen, we have to be most mindful of today, and the unavoidable freight train of financial reality that lurks behind that tiny pin-prick of light heading for us at the end of the dark tunnel we peer into. The train is coming faster everyday. June 30 is nearly upon us, yet the silence is so very deafening. Yelling and screaming about casino's and Bio-Parks won't pay for police and fire and teachers next July or September yet we'll most likely still be yelling aloud about casino's and Bio-Parks then too.


Time to reduce the quacking level and put a pair of noise-cancelling headphones so we can hear the financial fires raging. It's time for our elected officials to open the public discussion of the FY11 operating budget. Tempus Fugit.