Month: June 2009

  • Friends with Benefits – Part 2

    The San Mateo Civil Grand Jury report on public employee costs lists six recommendations for city councils.  Let's just list the first two for now:

    1.  Create a two-tier healthcare and retirement system:

    Move retirement heathcare plans to HSAs, increase retirement benefit age from 50 or 55 to 60, base pensions on the average of the last three to five years and make provisions for increasing employee contributions

    2.  Renegotiate union contracts to modify existing employees' benefits and put new employees in the new tiered plan

    Eliminate cash payouts for accumulated sick leave (known as "use it or lose it" in the real world), reduce vacation time and reduce personal days.

    The editorial in today's Daily Post goes a bit further.  They write:

    Here are some ways this problem could be solved.

     

    • Pass a state ballot proposition that rolls back the pay of state and local public sector workers to what the Census Bureau says is the private sector rate of pay for the same job.  Of course public employee unions would scream, but if it were enacted, would anybody quit their jobs?  If they did, it wouldn’t be hard to find replacements with unemployment at 11 percent statewide. 

    • Cap all public sector pay until private sector salaries increase to public sector levels.  The problem with this approach, however, is that it would take years to see any benefits, while the shortfall facing the state is more immediate. 

    What is your preference bloggers?

  • Friends with Benefits

    Those of you who missed the San Mateo Daily Journal article last week on the Civil Grand Jury's report on city civil servants' pay and benefits might find these bits of information interesting.

    If you use Table 8 to calculate the ratio of Full Time Equivalent Employees (commonly known as FTEs in the real world) per 1,000 people of the population in each city, you will find:

    • Burlingame:  9.1 FTEs/1000

    • Millbrae:       6.4 FTEs/1000

    • San Mateo    6.3 FTEs/1000

    There might be reasons for the higher levels in Burlingame.  For instance, it is possible that Burlingame provides some services to other cities for which they repay the costs, so the number itself is not the whole story.  You need the revenue side as well.

    Another interesting comparison comes out of Table 5 which lists Other Post Employment Benefits, Where Known.  This is an update to the 2007-08 Grand Jury report, so it is not exactly hot off the presses.  Nonetheless, we find that estimated liabilities are:

    • Burlingame:      $66.3 million or $140K per employee or retiree

    • Millbrae:           $0

    • San Mateo:       $20 million or $21.7K per employee or retiree

    You have to ask the question, "Is Millbrae's liability really zero, or is that just an unknown?".  If it is zero, then why is is zero?  If San Mateo's liability is one-seventh of Burlingame's when they have 95% more eligible employees and retirees, what caused that difference?  We know from the other comparisons in the report that the basic pay and benefit packages aren't that different from each other.

    So, bloggers, who wants to dig in and add to my take on it?

  • Council Racing

    Associate Editor Diana Diamond has a column in today's Daily Post about "How to run for council".  She starts off by writing

    It could be an interesting experience.  Or, as others have put it, "Are you out of your mind?"

    Her round up of what it takes is pretty complete:

    finding supporters and a treasurer, designing lawn signs and brochures and then, come September, spending nights and weekends appearing at candidate forums, handling phone calls and emails and walking precincts.

    She leaves out raising money to pay for printing and postage.  In some cities make that lots of money and a candidate cannot wait until September to do it.  For example, one 2009 Burlingame candiate will hold her third neighborhood "coffee" this week and it's not summer yet.

    For those thinking about running, the City Clerk indicates that the filing period opens on July 13th and closes on August 7th.  If an incumbent does not file to run again, the filing period is extended by five business days, but according to news reports that won't happen in Burlingame.

    Ms. Diamond goes on to write that

    If elected, a council member will have to tolerate sitting in the council chambers for several hours at a time without falling asleep.  He or she will have to prepare cogent remarks, be pleasant to "colleagues" and at least try to independently decide about issues facing the council.

    Right on.

  • Bye Chevron, Hello Walgreens

    The first phase of the remaking of El Camino from Burlingame Ave. to Howard Ave. has begun with the demolition of the Chevron station at the Burlingame Ave. corner.  I've heard that the Walgreens at Howard and Primrose is one of the highest grossing locations in the whole chain so I hope the new location works out as well.  It might be hard to match the old dual access and pedestrian-friendly location, but perhaps the new store will rejuvenate the important corner at the end of the Avenue.

    Chevron Station demo_0609_2

  • Pendulum swings to the Renters

    An article in today's SF Examiner by Katie Worth focuses on the deals commercial and residential renters are getting from their landlords.  It appears to be a renters' market.

    Commercial renters are also paying less than they did one year ago, with office-space prices dropping more than 30 percent per square foot, according to an analysis by Grubb & Ellis Research of San Francisco.

    Burlingame

    Asking rent Class A office space, 2009      $2.75 per sf

    Asking rent Class A office space, 2008      $4.00 per sf

    Vacancy rate, 2009       20.1%

    Vacancy rate, 2008       15.6%

    Apartment rentals are declining as well–though occupancy has remained high, according to data collected by Novato firm RealFacts.

    The Burlingame commercial rents are a bit below the county average and the vacancy rate is about 3% higher.  Anyone know what the going rates on Broadway and Burlingame Ave. are doing?

  • Nice New Asphalt

    Plenty of Burlingame locals have noticed that certain streets are looking a little worn out.  The black tar used to fill in cracks gets some people especially worked up.  But help is on the way for some streets.  Here is a list of streets that are scheduled to be repaved in 2009 courtesy of the Burlingame Public Works department

    Drake Ave.

    Cabrillo Ave.

    Almer Rd.

    Bernal Ave from Hillside to Adeline

    Capuchino Ave.

    Cortez Dr. from Easton to Adeline

    Crossway Rd.

    East Ln.

    Edgehill Dr.

    Howard Ave from Humboldt to California

    Neuchatel Ave.

    Occidental Ave.

    Palm Dr.

    Park Rd.

    Pepper Ave.

    Stanley Rd.

    Did you win the asphalt lottery?

  • Naming Rights for Sale?

    The June 3rd SF Examiner front page shouts "City Icons to be Newest Cash Cow?" and talks about fixing the City's deficit by selling naming rights to cable cars, street cars, the Golden Gate bridge and regular old streets.  A Muni spokeswoman is quoted as saying they would look into it.

    I recall that Burlingame created a naming policy a few years back, but I haven't seen any ritzy new signs proclaiming the Oracle library or the FedEx bus stop.  What do you think, bloggers?

    Is it time for some serious business development on naming deals?  If you had 100 large to spend on a five year naming deal in town, what landmark would you want and what would you name it?

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