Former Democratic city council member John Cranley is kicking off his 2013 mayoral campaign by getting involved in budget talks. In a public hearing at City Hall last week, Cranley tried to provide an alternative to privatizing the city’s parking assets, which City Manager Milton Dohoney has suggested to pay for $21 million of the city’s $34 million deficit.
“It’s not the citizen’s job to balance the budget, but let me make it very easy for you,” Cranley said. “You have $12 million in casino money that can be used but is currently being used on pet projects, like street sculptures. The parking meters themselves produce $7 million a year. That’s $19 million. And $5 million for garbage cans. That’s $24 million. You only need ($21 million) to cancel the parking privatization plan, so I got you $3 extra million to spare.”
In short, Cranley's alternative to parking privatization is using $12 million from casino revenue, $7 million from keeping parking meters under city ownership and $5 million saved from not purchasing trash carts.
So how viable are Cranley’s ideas? In a memo, Dohoney’s
office responded. The memo points out that casino revenue is currently
estimated at $7.2 million, not $12 million, and $1.3 million is already
included in the budget for Focus 52, a neighborhood redevelopment project. That leaves casino revenues $6.1 million short of what Cranley proposed.
Regarding parking meters, Dohoney’s office says revenue
from parking meters is restricted to fund “operations and maintenance in
the right-of-way.” The memo says City Council could authorize using the money to plug the deficit, but it would then have to find
alternatives for funding operations and maintenance.
Even the trash cart proposal doesn’t work. Not buying trash carts would only save $4.7 million, not $5 million. And the plan, which is part of the city’s effort to semi-automate trash collection, is in the general capital budget, not the general fund operating budget that’s being debated. The memo concludes, “If the trash carts are not purchased, the funds would not be available to close the gap because this is a capital budget expenditure and resources supporting the capital budget cannot be used in the operating budget.”
In other words, Cranley’s “very easy” budget plan isn’t just difficult; it’s a mix of inadequate and impossible. If CityBeat was PolitiFact, Cranley’s suggestions would probably get him a “Pants on Fire” label.
In response to the March 28 announcement that City Manager Milton Dohoney Jr. has begun implementing a plan that will lay off cops and firefighters, mayoral candidate John Cranley released his own budget plan that claims to avoid layoffs and the implementation of the city’s parking plan. But critics say Cranley’s budget is unworkable.
Cranley’s budget uses casino revenue, parking meter revenue and various cuts to raise nearly $33.8 million — more than the $25.8 million necessary to balance the budget without a parking plan.
Cranley’s critics have taken to social media to claim Cranley’s revenue projections are “fantasy.” They also claim the across-the-board budget cuts ignore the city’s priority-driven budgeting process, and there’s no certainty that such broad cuts can be carried out without laying off city employees.
Whether avoiding layoffs is possible through Cranley’s proposal remains unclear, even according to Cranley’s two-page budget plan, which reads, “We need to identify only roughly $26 million to cover the 2014 deficit and will reduce some of these cuts to ensure that there are no layoffs.”
Cranley says there is no certainty that the cuts could be carried out without any layoffs, but he says he would do everything he can to prevent personnel cuts: “I believe that people should take pay cuts. … If I cut the office of the council members’ staff, I can’t force an individual council member not to lay someone off, but I would certainly encourage them to reduce salaries as opposed to layoffs.”
In government budget terms, a 10-percent cut to any department is fairly large — particularly for Cincinnati’s operating budget, which uses 90 percent of its funds on personnel. In comparison, the cuts from the 2013 sequester, the across-the-board federal spending cuts that President Barack Obama and fellow Democrats say will lead to furloughs and layoffs around the nation, ranged between 2 percent and 7.9 percent, depending on the department.
The cuts make up one-third of Cranley’s proposal, while the rest of the money comes from casino and parking meter revenue. For his casino revenue numbers, Cranley cites Horseshoe
Casino General Manager Kevin Kline, who told City Council he
expects the casino to raise $21 million each year, but city officials
have said they only expect $10 million a year.
Cranley insists the extra $11 million will come to fruition. He says, “I would put my track record of being the chairman of the budget committee for eight years, which balanced budgets without layoffs, ahead of the people at the city that estimated the costs of the streetcar.”
Just in case, Cranley says his plan purposely overshoots the $25.8 million deficit to leave some leeway in carrying out cuts. But without the extra $11 million, Cranley’s plan would only raise about $22.8 million — $3 million short of filling the budget gap.
Jon Harmon, legislative director for Councilman Chris Seelbach’s office, says the city and state were originally expecting a lot more revenue from the state’s new casinos, but the legalization of racinos, which enabled racetrack gambling, has pushed revenue projections down.
In February, Ohio’s Office of Budget Management estimated the Horseshoe Casino will raise $75 million in tax revenue for the city, state and schools, down from a 2009 estimate of $111 million, after seeing disappointing returns from Ohio’s already-opened casinos. The local numbers reflect a statewide revision downward: In 2009, the state government estimated Ohio’s casinos would take in $1.9 billion a year, but that projection was changed to $957.7 million a year in February.
Even if Cincinnati’s Horseshoe Casino does much better than the state’s other casinos, the way casino revenue is collected and distributed by the state makes a $21 million windfall unlikely, according to Harmon. Before the state distributes casino revenue to cities, counties and schools based on preset proportions, the money is pooled together, which means all the casinos would have to hit original estimates for Cincinnati to get $21 million — an unlikely scenario, according to Harmon.
The other major revenue source in Cranley’s budget is $5.2 million in parking meter revenue, which the city manager’s office told CityBeat in February is usable for the general fund after months of insisting otherwise. Some of that money is already used in the general fund under current law, but the parking plan would remove that revenue altogether and replace it with new revenue. Cranley says his plan would forgo the parking plan and secure the $5.2 million in the general fund.
Among other cuts, Cranley’s proposal would eliminate some of the money that goes to software licensing. With the way the cut is outlined in Cranley’s two-paged budget proposal, it’s unclear whether it would hit all software licensing or just some of it, but Cranley says his plan is only reducing $531,554 of about $2.6 million, which he says still leaves a $1 million increase over 2012’s software licensing budget.
“I’m telling people what my priorities are: police, fire, parks, recreation, garbage collection, health department (and) human services,” he says. “I believe that elected officials should not be paying consultants from Denver to tell people in Cincinnati what their priorities are. I believe that elected officials should tell the voters what their priorities are.”
Cranley’s comments are critical of the the city’s priority-driven budgeting process, which ranked city programs based on feedback gathered through local surveys and meetings with Cincinnati residents.
With or without the parking plan, Cranley says the city is facing structural deficit problems. He says his plan permanently fixes those issues, while the parking plan would only eliminate the deficit for the next two fiscal years.
Cranley and Libertarian mayoral candidate Jim Berns oppose the city’s parking plan, while Vice Mayor Roxanne Qualls, another Democratic mayoral candidate, supports it.
The parking plan, which was approved by City Council on March 6, would lease the city’s parking assets to the Port of Greater Cincinnati Development Authority to help balance the deficit for the next two fiscal years and fund development projects, including a downtown grocery store (“Parking Stimulus,” issue of Feb. 27).
But the semi-privatization plan is being held up in court. Most recently, Hamilton County Judge Robert Winkler ordered a permanent restraining order on the plan pending a referendum effort. The extended injunction sparked criticism from city officials, who say delays will lead to fiscal and procedural problems.
CityBeat’s coverage of other plans:
Tea party activists are working to gather the 380,000 signatures needed to get the Ohio Workplace Freedom Act on the ballot. They have until July 3.
The Michigan House of Representatives on Tuesday passed the first of two right-to-work bills, both of which were passed by the state Senate last week. Gov. Rick Snyder has told multiple media outlets that he could sign the bills as early as Wednesday.
Michigan would be the 24th right-to-work state in the nation and the second in the Midwest. Indiana passed a similar law earlier this year.
Members of the Ohio House Democratic Caucus wore red carnations — Ohio’s state flower and a symbol of the labor movement — at the Statehouse Tuesday to show support for Michigan workers.
“Put simply, so called ‘right to work’ is wrong. Statistics show states with this anti-working family legislation have lower wages and higher poverty rates,” Ohio state Rep. Connie Pillich, D-Montgomery, wrote in an emailed statement.
“We will continue to stand together and fight against these unfair attacks on workers in Ohio, Michigan and across the country.”
Despite the effort to put a right-to-work law on the ballot next year — a similar effort was unsuccessful in 2012 — it doesn’t seem like Ohio is in any rush to join Michigan and Indiana.
The Columbus Dispatch reports that Ohio Gov. John Kasich has higher priorities than passing a right-to-work law. The newspaper reports that Ohio added 127,000 jobs in the past two years and ranks fourth nationally and first in the Midwest in terms of job creation.
Kasich said the agenda for the last two years of his first term include tax cuts, an education overhaul and infrastructure improvement to keep the state competitive.
“I have an agenda that I think is going to benefit the state of Ohio,” Kasich told the newspaper. “We’re doing very well vis-a-vis the rest of the country now, and I think if we continue to pursue the agenda I have and the legislature has, I think we’ll continue to be successful.”
FUN FACT: Michigan's right-to-work bill will be signed into law in the Romney Building. George Romney, former Michigan governor and father of Republican presidential candidate Mitt Romney, was an opponent of right-to-work laws.
By now, most of you have heard there was another horrible mass shooting, this time in Newtown, Conn., that resulted in the death of 20 children and six adults. While everyone is hoping this is the last time the nation has to deal with an event of unspeakable horror, it is only a possibility if we agree to do something about it. That means remembering the heroes who risked their lives and, in some cases, died that day. That means not letting the media and public drop the issue, as has been the case in the past. That means looking at more than just gun control, including mental health services. The Washington Post analyzed what “meaningful” action on gun control would look like, and the newspaper also disproved the idea Switzerland and Israel are “gun-toting utopias.” President Barack Obama also spoke on the issue at a vigil Sunday, calling for the nation to do more to protect people, particularly children, from violence. The full speech can be watched here.
City Council approved its 2013 budget plan Friday. The budget relies on the privatization of city parking assets to help plug a $34 million deficit and avoid 344 layoffs. The budget also nixed the elimination of a tax reciprocity for people who lived in Cincinnati but worked elsewhere and paid income tax in both cities, and it continued funding the police department’s mounted unit. As a separate issue, City Council voted to increase the property tax by about 24 percent, reversing a move from conservatives in 2011. CityBeat wrote about budgets at all levels of government and how they affect jobs here.
Michelle Dillingham, who was an aide to former city councilman David Crowley, will seek Democratic support in a run for City Council. Dillingham promises to tackle “industry issues of mutual interest" to business and labor and “transportation funding, family-supporting wages and workforce development.”
At a recent public hearing, mayoral candidate John Cranley proposed a “very easy” plan for the city budget. Only problem: His plan doesn’t work. In an email, Cranley said he stands by his ideas, but he added he was working with limited information and his statements were part of a two-minute speech, which “requires brevity.” He also claimed there are cost-cutting measures that can be sought out without privatizing the city’s parking assets and gave modified versions of his ideas regarding casino and parking meter revenue.
Judge Robert Lyons, the Butler County judge who sealed the Miami rape flyer case, is standing by his decision.
The Greater Cincinnati area is near the top for private-sector growth.
Jedson Engineering is moving from Clermont County to downtown Cincinnati, thanks in part to an incentive package from City Council that includes a 45 percent tax credit based on employees earnings taxes over the next five years and a $300,000 grant for capital improvements. The company was a Business Courier Fast 55 finalist in 2008 and 2009 due to its high revenue growth.
Gov. John Kasich’s Ohio Turnpike plan is getting some support from Toledo Mayor Mike Bell, but others are weary. They fear the plan, which leverages the turnpike through bonds for state infrastructure projects, will move turnpike revenues out of northern Ohio. But Kasich vows to keep more than 90 percent of projects in northern Ohio.
Gas prices are still falling in Ohio.
U.S. House Speaker John Boehner is making some concessions in fiscal talks. In his latest budget, he proposed raising taxes on those who make more than $1 million a year.
One beagle can diagnose diseases by sniffing stool samples.
For better or worse, Cincinnati will have to deal with another major election cycle for City Council and the mayor’s office in 2013. With four-year terms for City Council recently approved by voters, the 2013 election could play one of the most pivotal, long-term roles in Cincinnati’s electoral history.
But what most people know about the candidates and issues
is typically given through small fragments of information provided by
media outlets. At CityBeat, we do our best to give the full context of
every story, but just once, we decided to give the candidates a chance
to speak for themselves through a question-and-answer format. (Update: Since this article was published, CityBeat interviewed Democratic mayoral candidate Roxanne Qualls for another Q&A here.)
First up, mayoral candidate John Cranley, a former Democratic council member, has been one of the most outspoken critics of the recently announced parking plan (“City Manager Proposes Parking, Economic Development Plan,” issue of Feb. 20) and the Cincinnati streetcar (“Back on the Ballot,” issue of Jan. 23) in his mayoral campaign against fellow Democrat Vice Mayor Roxanne Qualls. CityBeat talked with Cranley about these issues and how they relate to the campaign to get his full take, all in his own words. The conversation (with some edits for readability) is below.
CityBeat: I know your campaign kick-off was last night. How did that go? Did it have good turnout?
John Cranley: It was awesome. We had over 300 people there. Very diverse crowd. It was just great.
CB: How do you feel about the campaign in general? It’s pretty early, but how do you feel about the local support you’ve been getting?
JC: It’s been overwhelming. People are rallying behind my progressive vision, and trying to stop privatization of parking meters to Wall Street. And trying to get focus back on neighborhoods, balance, equity, basic services for everyone, special attention to those in need and broad opportunities for the working poor. I think people are very excited for that message, and I’m finding support in every neighborhood of town.
CB: I noticed that a theme of your campaign is helping out neighborhoods by spreading the funding not just to downtown, but neighborhoods as well. Are you hoping to build support from those areas?
JC: I’m for fairness. I think that right now you have a disproportionate amount of money — $26 million over budget on the streetcar, yet they’re still proceeding with it — and the neighborhoods are forgotten about. But I want to see downtown flourish too, so it’s not like I’m one or the other. I want the whole city to do better. But I think there needs to be equity and balance.
CB: You just think the playing field isn’t leveled right now?
JC: Absolutely not. Right now they’re trying to raise parking meters in neighborhoods to build luxury apartments in downtown. If that doesn’t show you their values are out of whack, I don’t know what does.
CB: Speaking on that, the latest news is the city manager’s parking proposal, which he calls a “public-public partnership” that will boost economic development. What are your thoughts on it?
JC: The PR campaign that they’ve been putting out
is very deceptive and willfully so. This is not a public plan; this is
privatization to a Wall Street company. The only elements that matter to
city control are control over rates and control over enforcement. The
city has said repeatedly, dishonestly, that the city will maintain
control over rates and enforcement, but neither one of those statements
is true.
The rates are guaranteed to go up 3 percent a year for 30
years on a compounded basis. Prior to the recent increases in parking
rates, the city hadn’t raised rates in 10 or 15 years. Right now, the
elected officials — we live in a democracy, for now. Right now, City
Council decides to raise rates, lower rates, maintain rates. If there’s a
recession in the future, City Council can choose to reduce parking
rates. There might be certain neighborhoods where you want to charge
different rates over others depending on economic demographics of those
areas. Right now, we have complete flexibility to change those rates.
This plan gives Wall Street the right to raise rates by 3 percent every
single year for 30 years.
Not to mention due process concerns. What happens if you
don’t believe you were late back to your meter? Who do you appeal to?
You appeal to this company from Wall Street, who has a financial
incentive to make you pay.
[Editor's Note: Meg Olberding, city spokesperson, told CityBeat the rate
increase cap could be circumvented, but the decision would have to be unanimously
approved by a board with four members appointed by the Port of Greater Cincinnati Development Authority
and one selected by the city manager, then affirmed by the city manager, then get a final nod from the Port Authority. The 3-percent rate increase is
also not automatic, and the Port Authority could decide to not
take it up every year.
On that point, how is it that there are public hearings next week and they haven’t released any of the contracts or documents for this transaction? They are going on a Power Point presentation, which is their talking points. Everyone is writing it as if it’s fact, yet the contract and the details haven’t even been released.
Roxanne is calling public hearings and expecting people to weigh in on a 30-year decision before the details are released to the public. How cynical is that?
CB: We might not know the details right now, but you think that shows a lack of transparency?
JC: Of course. I hope you guys will editorialize about that and stand up against privatizing and outsourcing the city to Wall Street.
CB: In the past, you and I talked about the next phase of the Smale Riverfront Park not having funding, which you pinned on the streetcar taking tax revenue that could be used for it. I couldn’t help but notice that it’s one of the things funded in the city manager’s parking proposal. Do you see that as evidence to your claim?
JC: Well, of course. They don’t have funding for the Riverfront Park. That’s why they’re selling the city’s parking meters.
The bigger issue is it’s just fundamentally wrong to take an asset that is a recurring revenue stream for 30 years and try to monetize it today at the expense of the future generations. It’s giving Roxanne the ability to try to buy votes by playing Santa Claus before the election at the expense of the next generation.
CB: Another part of the plan is it’s expanding hours. Do you think that might hurt nightlife in Downtown?
JC: Of course it’s going to hurt restaurants, nightlife and the Cincinnati Reds, not to mention the neighborhoods — Hyde Park, Mount Lookout, Clifton. They’re going to pay higher meters so they can pay off their friends to build luxury apartments in downtown. The equity of this is awful.
CB: Would you be willing to bring up a referendum on this deal?
JC: Absolutely. It’s such a selling-out of the city on a long-term basis, but I think the people should have the final say.
CB: I want to move onto the streetcar. Even for supporters of the streetcar, the delays are unnerving. The latest news is these construction requests came way over budget and they might cause more delays. How do you feel about it?
JC: It’s what we’ve been saying for a long time. A lot of people’s reputations have been attacked for having said that this thing would be over budget. I think a lot of people, including Roxanne, need to fess up that they’ve been misleading the public about this deal for years.
But the real issue is it’s $26 million over budget, it’s the tip of the iceberg, and it’s going to get worse. And Roxanne is continuing to spend money on the streetcar. She’s continuing to move forward. She still says she wants to get it done by the (2015 Major League Baseball) All-Star Game. She still says that she wants to pay for future phases. So it doesn’t really matter, from Roxanne’s standpoint, if it’s $26 million over budget. I think it’s too expensive, we can’t afford it, we shouldn’t be raising property taxes, etc. We should stop now and we should try to get our money back.
CB: One of the issues you’ve told me you have with the streetcar before is a lack of transparency. Do you think that’s catching up to the city in these budget surprises?
JC: Of course the lack of transparency is catching up to them. Not only is it the right thing to do what you’re doing with their money and government; it’s always the right way to manage money. When you hide problems, it always leads to greater expense later.
CB: We’ve thoroughly covered what you’re against. What positive visions do you have for the city and neighborhoods?
JC: I have lots. On my website, JohnCranley.com,
I have my 10-point plan, which goes in great deal over my positive plan
for the city. We need to focus on jobs and opportunities for the
future. We need to partner with the venture capital and university
entrepreneurship efforts in the city, and I’ll do everything in my power
to help that. We need to work to improve our schools; what we need to
do is get communities involved to adopt under-performing inner-city
schools to improve the standards and opportunities. Third, we need to
adopt my plan to reprogram existing federal dollars into job training
and job opportunities to put people to work in building city’s
infrastructure projects now. Those are probably the three major ones.
The good thing about Cincinnati is we have momentum, which is great. But we’re not getting better fast enough.
Update: This story was updated with comment from the city manager’s office to clarify how the parking plan’s rate cap will work and Guggenheim's role.
Former Ohio governor Ted Strickland, who rose to the governorship with the help of the National Rifle Association, says gun rights and gun control can co-exist. The claim is in light of the massacre at Sandy Hook Elementary School in Newtown, Conn., which killed 20 children and six adults. Many have called for stricter gun control in light of the past year’s bouts of gun violence, but Republicans are typically opposed to such proposals. A recent poll from The Washington Post and ABC News found 59 percent of Americans support banning high-capacity ammunition clips, much like the ones used in the Newtown shooting. Another 52 percent back the ban of semi-automatic handguns.
Still, Gov. John Kasich isn’t changing his mind on the Second Amendment. He says he will sign a bill that allows guns in the Ohio Statehouse parking garage. The bill will also change the definition of an unloaded gun, allowing gun owners to carry loaded clips in their vehicles as long as they are in a separate compartment from the gun, and make concealed carry permits from other states easier to validate in Ohio.
Despite denials from city officials, mayoral candidate John Cranley and Councilman Chris Smitherman insist city government is trying to use the transit fund to fund the streetcar. But Mayor Mark Mallory in an op-ed for The Cincinnati Enquirer said it will not happen. Mallory said the dispute dates back to a lawsuit filed by Southwest Ohio Regional Transit Authority (SORTA), which runs the Metro bus system. The lawsuit demands transit funds be solely dedicated to SORTA.
Cincinnati’s U.S. Rep. Steve Chabot has vowed to continue trying to kill the streetcar. Even though voters have approved of the streetcar twice, Chabot, who also represents Warren County in district boundaries that were redrawn by Republicans, says he would rather focus federal funding on other projects, like the Brent Spence Bridge.
A conservative northern Kentucky lawmaker is supporting a bill that expands prisoners’ rights to DNA testing. The bill would allow a Cincinnati man to push for DNA testing that he claims will exonerate him of a 1987 rape and murder in Newport. Ky. Sen. John Schickel argued, “If DNA testing is good enough to send you to prison it should be good enough to get you out of prison.”
Cincinnati-based Fifth Third Bank bought another $100 million in stock from Credit Suisse International. The deal is part of a larger program to buy back 100 million shares.
Cincinnati State is in line to obtain $123,000 from the state government. The funding could create 51 new or expanded co-op jobs.
The United Way of Greater Cincinnati announced $50.7 million in investments for 2013, a slight increase from 2012. The increase will help boost funding to prepare children for kindergarten by 5 percent. It will also fund 288 programs at 146 agencies, with seven becoming new United Way agency partners.
The Prince Hall Shriners, which describes itself as “the world’s oldest African-American fraternal organization,” is returning to Cincinnati in 2015. The convention was in Cincinnati in 2011.
Duke Energy’s local management is being shaken up. Jim Henning will take over as president for Duke Energy Ohio and Kentucky.
Ohio Board of Regents Chancellor Jim Petro is retiring.
Did you know our solar system is sort of like a phoenix? It apparently rose from the cumulative ashes of countless stars, not one supernova.
If City Council does not agree to lease Cincinnati’s parking system, the city manager’s office says the city will be forced to lay off 344 employees, including 80 firefighter and 189 police positions, but critics argue there are better alternatives.
In a memo dated to Feb. 26, City Manager Milton Dohoney Jr. wrote that the city will also have to close three community centers and six pools; eliminate Human Services Funding, which aids the city’s homeless and poor; and reduce funding for local business groups, parks, nature education for Cincinnati Public Schools and environmental regulations, among other changes. In total, the cuts would add up to $25.8 million — just enough to balance the deficit that would be left in place without the parking plan.
In addition to the cuts, failing to approve the parking plan, which leases the city’s parking meters for 30 years and lots and garages for 50 years to the Port of Greater Cincinnati Development Authority, would displace plans to convert Tower Place Mall, construct a 30-floor tower with a grocery store downtown, accelerate the the I-71/MLK Interchange project, acquire the Wasson Line right-of-way for a bike trail and add $4 million to the next phase of Smale Riverfront Park (“Parking Stimulus,” issue of Feb. 27).
Democratic Vice Mayor Roxanne Qualls, who’s running for mayor, has come out in favor of the parking plan, but John Cranley, another Democrat running for mayor, says he opposes the deal because it will hurt downtown businesses.
“It’s the boy who cried wolf,” Cranley says. “In 2009, 2010, 2011 and 2012 … they threatened to lay off police and firefighters, and it never happened.”
Cranley says he would rather take $10 million from projected casino revenue and $7 million from current parking revenues to help clear the deficit. For the remaining $8.8 million, he would cut non-essential programs, which would exclude police, fire, garbage collection, health, parks and recreation, street pavement and Human Services Funding, across the board by 10 to 15 percent. If that wasn’t enough, he would then move to the essential programs, which he says make up about $300 million in the $368.9 million budget, with a 1-percent across-the-board cut.
He says his solution would have the upside of fixing structural deficit problems in Cincinnati’s General Fund, whereas the one-time lease of the city’s parking assets will only take care of the deficit for the next two years.
Meg Olberding, city spokesperson, says City Council could use the casino revenue to pay for the deficit, but $4 million of it is already set for the Focus 52 program, which funds neighborhood development projects.
“Council can use whatever revenue sources they want,” Olberding says. “That’s why the memo … says we can either use this plan or another plan.”
Cranley says he would not do away with the Focus 52 program, but he would instead find funding for it in the Capital Budget, which is separate from the General Fund.
Olberding says City Council could approve the use of about $3 million in parking meter revenue for the General Fund, but the rest of the parking money, which comes from lots and garages, is tied to an enterprise fund, which, by state law, means the city would have to sell its parking lots and garages before it could obtain money for the General Fund.
Cranley, who also opposes the streetcar project (“Back on the Ballot,” issue of Jan. 23), says it
would be possible to pay for the I-71/MLK Interchange and other projects
if the streetcar wasn’t taking up funds. If it was up to him, he says
he would remove streetcar funding and use it on other development
projects “without batting an eye.”
In the Feb. 27 City Council meeting, Vice Mayor Roxanne Qualls said the Budget and Finance Committee will likely vote on the city manager’s parking plan on March 4 or March 11.
For better or worse, Cincinnati will have
to deal with
another major election cycle in 2013. With a few hot-button issues
already grabbing the public spotlight, a lot could be at stake when
voters pull the lever on Nov. 5 — making a proper understanding of the
candidates all the more important.
Most people get to know candidates through fragments of information spread out in multiple stories and media outlets, but a comprehensive question-and-answer format provides candidates with a chance to speak on their own terms. CityBeat already did a one-on-one with Democratic mayoral candidate John Cranley, which can be read here.
Next up, CityBeat sat down with Vice Mayor Roxanne Qualls, another Democrat who is running for mayor, to discuss her campaign and what ideas she’s bringing to the table. Qualls has been a strong advocate of the streetcar (“Back on the Ballot,” issue of Jan. 23) and parking plan (“Parking Stimulus,” issue of Feb. 27), and she says she wants to continue development in Downtown and Cincinnati’s neighborhoods to create sustainable growth. We asked her about those issues and more, and the extensive conversation (with some edits for clarity and brevity) can be read below.
CityBeat: How do you feel about the campaign in general so far?
Roxanne Qualls: I’m very excited about the campaign. You know, a mayor’s race is very different than a council race. A mayor’s race has many more components to it: higher fundraising goals and more intensive outreach. I’ve been very encouraged by the folks who are volunteering and those who are stepping up and making contributions. It’s still early, but I’ve been excited.
CB: What kind of support have you seen so far?
RQ: Support is good. A lot of neighborhood folks are coming forward, partly because of the work I’ve been doing with them on council to help them achieve their own visions for their communities and neighborhoods. And I’m also getting support from different groups of people who I’ve been working for a number of years on major projects that help move the city and also the neighborhoods forward.
CB: Before we get into parking and the streetcar, one of the resolutions passed by City Council yesterday asked Congress to pass comprehensive immigration reform. Do you think there’s anything the city could do to be more inviting to immigrants?
RQ: Even though it was a resolution and is therefore a symbolic act of the council, that symbolic act was very, very important to the members of the immigrant community in Cincinnati because many other communities are unwilling to say they even want immigrants.
My own personal and professional belief is that if we’re actually going to grow as a city and really thrive in the future in a sustainable way, we have to encourage immigrants to come into the city of Cincinnati. If you look around the country at cities that have increased their population significantly, they don’t do it relying on baby boomers moving back to the city and Gen Y-ers — those folks are important, but they’re not sufficient. You have to have immigrants come into your community, buy up homes, buy up stores and regenerate and rejuvenate the neighborhoods.
As a city that went from over 500,000 people to now under 300,000, we have to fill that gap. When I’m mayor, I will set a goal that by 2025 we will increase our population by 100,000 people. We’re only going to do that with immigrants.
CB: So what kind of programs do you think would help in that area?
RQ: A couple things, but there are things already happening that many people are unaware of. For example, if you were to go to Roberts Paideia at Price Hill, you would find 30 percent of the children there were not speaking English in their households before attending school. So a very strong Spanish-speaking community is growing up in Price Hill. First and foremost, having an educational system that recognizes and responds is very important.
The other thing is to be a very welcoming community, particularly when it comes to issues of safety and security. We’re very fortunate that District 3 has become very responsive, as is District 4, to immigrants. The entire police department is sensitive, but we have a very high concentration of folks who are Latinos in District 3 — that’s why I focused on District 3 as very critical in terms of the response.
The third thing that we need to do is work with organizations like the Hispanic Chamber of Commerce and Chinese Chamber of Commerce to really strengthen business relations and the support that’s necessary for many of the small businesses that provide opportunities and employment within those communities. As the city develops its small business program, we need to pay attention to the fact that very small businesses — under $100,000, let’s say, in terms of annual volume — are those businesses that really are neighborhood-serving. They’re businesses we should be encouraging within the immigrant community.
CB: One of the surprising statistics with public safety is that a very small amount of the police force — 2 out of 981 — speaks Spanish. Do you think there’s anything we could do to encourage more Spanish speakers?
RQ: There’s an increasing recognition that it’s important for people who provide services to speak more than one language, so the police department can encourage its members to speak more than English.
But there are other things we can do in general, not just that would impact the police. I’ve been trying to do something as simple as multilingual signage.
The city could also aggressively promote simultaneous translation via its own website and the information it puts out. On my own personal website, one of the things that we use is the Google Translator. So anyone who wants to read anything on the website, all they have to do is press the Google Translator and have it translate to any language.
CB: The other thing that was covered in City Council yesterday was the parking plan. You supported it. What do you think it will do for the city?
RQ: There are a couple things it’s going to do. Simply on the level of parking, it’s going to provide the resources to modernize the system. For the garages, that means all the capital improvements that are necessary. For the meters, that’s everything everybody has heard about in terms of putting in electronic meters, allowing the use of smartphone apps, making it much more convenient for people and giving us the ability as technology evolves over time to adapt. For example, we shouldn’t assume that 30 years from now there will be such things as meters in existence. We need to be able to adapt in that environment. Already in other countries, you don’t have meters, but you do have sensors and you do have means of paying, but it doesn’t involve a physical object to do it with. It’s all oriented toward customer service and staying up with the times.
The second thing is it gives us the resources to invest in things like the MLK/I-71 Interchange, which everybody, I believe, at this point agrees is a major economic development investment and will pay off in significant job growth in the medical-university area of uptown.
It also allows us to invest in some critical pieces of downtown development that involve garages and residential development that will help us capture the market. I think if you read all the papers, everybody should realize that there’s no available product to meet the demand for downtown housing. Any time something comes into the market, it is either rented out or sold out. So we need to bring residential online at a much faster pace in Downtown.
And we get to increase our reserves, so that the rating agencies will be encouraged that we’re taking steps to ensure that we can responsibly manage our budget. And for the moment, for fiscal year 2014, it will help us reduce the deficit.
So there’s, one, modernization itself and, two, the ability to invest in opportunities over the long term that will grow our revenues and help us become more sustainable as a city.
CB: With the modernization part, do you think it’s necessary to make this deal because the city can’t otherwise afford to make improvements?
RQ: If you look at the money that comes into the current parking system and look at the needs of the parking system, the current parking system can’t support the level of investment required for modernization. By doing this lease agreement, those upgrades can occur.
CB: On the deficit-reduction side, how do you think the city will solve its structural deficit once the one-time money does run out?
RQ: In fiscal year 2014, obviously a portion of the money is there to help balance the budget. Other members of council and I feel very strongly that this, starting now, is the opportunity to bring the structural deficit under control. Between June 2013 and July 2014, we need to put in place a deficit reduction plan.
Now, the city manager has begun to talk about some of that, but that needs to be accelerated. Among the things that we need to do to make it a realistic possibility is we need to bring certain players to the table: the folks who represent our collective bargaining units, fire, police and AFSCME (American Federation of State, County and Municipal Employees). They have as much of an interest in figuring out how to deal with this issue as I do as an elected official, as the city manager does, as anybody does. So they really need to be at the table, talking — not in negotiations, but just talking — about how we’re going to begin to approach this in a way that ensures what we all want, which is a safe community that provides good quality jobs, great quality service and great quality of life.
The other people that can come to the table is the business community because they can bring their expertise, help and resources, but also the civic community and neighborhoods who are the ones who live and breathe the effects of anything that we do.
The other thing is that we already can begin to identify certain areas that we should be exploring. Something very simple, for example, is one of the major expense items is gas. We are buying new vehicles for the police department that are better for gas mileage, but we’re not doing that fast enough.
CB: Do you think any of the deficit reduction could involve attrition?
RQ: The bottom line for either police and fire is there are minimal service levels. For police, how many of the officers are actually available for the street? For the fire department, how do you make sure that the response time is within acceptable parameters and that the consequence of falling below a certain level isn’t such extensive brownouts that you end up endangering people’s lives?
My own personal feeling is there’s a lot of professional judgment that needs to be involved in this discussion and decision. I would be incredibly hesitant to fall below the minimum staffing levels without the support of Police Chief James Craig or Fire Chief Richard Braun.
CB: How do you feel about the controversy surrounding the emergency clause?
RQ: I think it’s nothing but a political controversy that’s generated for political gain and for political purposes. Council passes many of its ordinances with emergency clauses. In fact, the other candidate for mayor himself consistently voted for emergency clauses.
The emergency clause is necessary so that we can proceed to construct the budget for fiscal year 2014 by July.
CB: So you don’t think the referendum part of the emergency clause could be separated from the part that expedites the process?
RQ: No, because it is going to take until at least June to get everything in place. We would like to move as quickly as possible, so before we actually approve the budget by July 1, we actually have the money to balance it. If that doesn’t happen, the city manager will have to start sending out layoff notices. By law, we would be required to do that because we would not have that money in place.
CB: So not having the money would force Plan B or something like it?
RQ: Yes, a referendum would result in Plan B or something similar. Regardless of whether you want to call it Plan B or Plan Z, people should not be foolish enough to think that there would not be layoffs. You cannot balance a budget deficit of $25 million without personnel reductions.
CB: The other big item in the mayor’s race is the streetcar. I’ve talked to you about this in the past, and you said you will push through the next phase during your mayor’s term. How exactly do you envision that?
RQ: Currently, there are studies that are being undertaken that are looking for alternatives in streetcar circulation in the uptown area.
If we can connect the streetcar into uptown and have it circulate up there, you have it benefiting these institutions and immediately adjoining neighborhoods. One of the greatest pressures in very dense neighborhoods is that we want to take the pressure off of both the streets in terms of the volume of traffic and parking because parking garages are very expensive and consume a lot of land. We can create an environment in the uptown area that would have a great synergy that would result in the redevelopment of these neighborhoods. Once people get that as the vision, I think the streetcar, even for folks who will never use it, becomes more understandable.
CB: One of the recurring problems with the streetcar project has been delays. What would you do as mayor to have the streetcar ready in time for the 2015 Major League Baseball All-Star Game, which you previously said you would like?
RQ: I have said I want it ready in time for the 2015 All-Star Game, but that was before the three construction bids came in much higher than expected. The big issue immediately is how to get those costs under control. We have yet to hear from the administration; they’re still reviewing the bids and approaches to handling the cost issues.
As mayor, my approach to it would be to insist that the administration value engineer this project to ensure that for what is being invested, we are actually getting results that we want.
I am a firm supporter of the streetcar, but I also want people to be very clear that this is not an open checkbook. I don’t think anyone — supporter or opponent — has ever believed it’s an open checkbook. Within the budget that we have given, we should be able to build this system.
CB: What do you mean by value engineering?
RQ: Look at what the actual proposed design is. This is kind of standard in all major projects. You have all the designers and engineers who have put together the original designs for the system. Then what you do is have other eyes who are also experts sit down and start looking at it to ask if there are other things we can do to start saving money.
CB: Do you think the framework of the original bid process was off?
RQ: I think very strongly that it was probably off. We saw that reflected when over 80 contractors downloaded the bid documents and only three bids were received. That says something about those bid documents.
CB: A lot of the mayor’s race has focused on the streetcar and parking deal, but can you give a rundown of some other ideas you have for the city?
RQ: Absolutely. Well, we already talked about one (increasing the population of the city by 100,000). There are a variety of ways to do it — one of which is to be an opening, welcoming city to everybody, but particularly opening and welcoming to immigrants.
The second thing we need to do is look at the tax structure. Currently, there is a commission, which I helped establish, called Investing in the Future Commission, which is examining that and will be making recommendations on specific things that we can do to reward people for making the choice to live and work in the city. That’s very critical.
When looking at job creation, we know that we are very fortunate to have Children’s Hospital, the University of Cincinnati and all of the research coming out of the uptown area. We are very competitive as a region when it comes to patents, but we are laggards when it comes to commercialization of research. Given the institutions we’re blessed to have within city limits, we need to financially support the environments where commercialization can actually occur to make sure we are retaining startup businesses so that they don’t just start here, they stay here. Again, looking at the tax structure would encourage those startups to stay in a way we’re not doing right now.
When you’re looking at neighborhoods, redevelopment of neighborhoods is a critical piece of anybody’s agenda. The good news is we have a lot of good things happening, but neighborhoods need financial support. Part of the $92 million from the parking deal is to provide financial support to some neighborhoods. More importantly, there’s using the casino revenue to actually support transformative developments in neighborhoods. We’ve started to do that, but we have to expand.
Another area is a stronger partnership with the Cincinnati Public Schools (CPS) system. There are many people who like to criticize CPS, but the reality is they have some great-performing schools. We need to make sure that we capitalize on that relationship by working in partnership with CPS to ensure that community learning centers are in enough schools so that any young family with kids has access. Right now, there are about 600 families on the waiting list because there’s not enough room. That’s a specific thing we could be doing right now that would really encourage young families with children to stay in the city.
CB: That covers everything I had to ask. Is there anything you would like to add?
RQ: This election for mayor is about vision, leadership and results. It’s also about looking to the future and saying yes to the future. Lots of decisions will have to be made by the next mayor that will be tough decisions, will require resources and will require investment. Cincinnati needs a mayor that is willing to say yes and work with people and organizations to move the community forward.
Vice Mayor Roxanne Qualls will be formally announcing her run for the top spot in Cincinnati on Thursday.
Qualls’ campaign site has been up for some time already, and the vice mayor’s team had a meeting with political writers and bloggers on Nov. 26.
The vice mayor will be joined by current term-limited Mayor Mark Mallory, implying his support for her mayoral run. The event is taking place at 10 a.m. at Core Clay, Inc., a small women-owned business in Walnut Hills.
Qualls, who is endorsed by both the Democratic Party and Charter Committee, previously served as mayor from 1993-1999 after serving in Cincinnati City Council from 1991-1993. She returned to council in 2007.
Former city councilman John Cranley, also a Democrat, is also running for mayor. Cranley served on council between 2001 and 2007. His campaign will officially launch in January and former mayor Charlie Luken will serve as the honorary chair.
Republican Hamilton County Board of County Commissioners President Greg Hartmann is also considering a run for mayor, but hasn’t made a formal announcement.
Cincinnati has an open mayoral primary, which means that the top two vote-getters will run against each other in the general election, regardless of party affiliation.
The latest batch of bad streetcar news provoked a harsh memo to the city manager’s office from Vice Mayor Roxanne Qualls, a Democrat who has long supported the $125 million transit project. In the memo, Qualls wrote about “serious concerns” regarding the project’s costs and timetable.
“Whether people support or oppose the streetcar project, everyone has a vested interest in getting the most for our public dollars and in having the highest confidence in the management of the project,” Qualls wrote. “While a council majority has continued to support the project, council has not given the administration a ‘blank check.’”
The memo suggested putting the streetcar project through “intensive value engineering” to bring the project’s budget and timetable back in line — preferably in time for the 2015 Major League Baseball All-Star Game.
The memo is in response to streetcar construction bids coming in $26 million to $43 million over
budget. Meg Olberding, city spokesperson, says the bids leave the city with
two options: The city could take up the current bids, which could have their costs brought down upon further review, or the city could reject the
bids and rebid the project, which would cause delays. But Olberding also cautions that the administration is still working on fully reviewing the bids — a process that could take weeks or longer.
Qualls is running for mayor against John Cranley, a former Democratic council member. Cranley has been a vocal opponent of the streetcar project — creating a strong contrast between the two candidates that has placed the streetcar in the center of the 2013 mayoral race.
Earlier today, Cranley held a press conference asking the city to halt the streetcar project. In a statement, he argued it is “irresponsible” to continue work on the streetcar in light of the higher costs.
CityBeat previously covered the streetcar and how it relates to the race between Qualls and Cranley (“Back on the Ballot,” issue of Jan. 23).