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PD Editorial: Finding funds

Search for exit from SR budget woes won't be easy


Published: Friday, July 25, 2008 at 3:41 a.m.
Last Modified: Friday, July 25, 2008 at 9:22 a.m.

Faced with the choice of either approving a new quarter-cent sales tax or allowing city officials to redirect funds from the last one, Santa Rosans would probably prefer the latter.

But neither is very attractive and both can be expected to raise a ruckus depending on the course of action the City Council decides next week.

It should be stated that the third option -- doing nothing and making the best of a bad budget situation -- is not optimal either. It would mean dramatic and undesirable cuts in programs and services.

The Santa Rosa City Council recently approved a package of cuts and fee increases that trimmed $5 million from the city's budget. Even so, Santa Rosa faces an $8 million deficit next year.

Bridging that gap without increasing revenues will require severe cutbacks. Some of the options being discussed include closing the senior center, reducing free recreation programs and scaling back on maintenance.

On Tuesday, the council will discuss a staff recommendation to purse a general quarter-cent sales tax increase to help the city through its woes.

If the council goes that route, it will be a tough sell.

Just four years ago, city residents overwhelmingly approved Measure O, a quarter-cent sales tax to bolster fire and police services, including, specifically, gang prevention efforts. But that was a different time economically, and it involved funds with a specific purpose. It's not clear city residents are ready to give the city a $7 million check, each year, to spend as it pleases.

In addition, putting a local tax measure on the ballot could jeopardize the success of a tax measure for the SMART commuter rail, which has been in the works for some time.

That brings us to another option: Redirecting Measure O funds to help the city through this fiscal emergency. Measure O authorizes such a change with the approval of six members of the City Council.

It's worth pursuing, given the fact the Police Department has a large amount of Measure O money that has not yet been spent. It would make little sense to let these specified funds sit untouched while cuts are made in other areas of police and fire service.

Still, it raises a host of questions such as: How much would be redirected, for how long and would the money be repaid?

Most important, it's not an option the city should take lightly. When it comes to tax measures, local governments have built up a reservoir of goodwill with voters primarily because these measures (sales taxes, parcel taxes, etc.) have been managed and spent in the way they were promised. Any departure from that could undermine that trust.

City officials should tread lightly.


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