Monday, November 28, 2011

Final Report on Cook County Budget Meetings


Budget Passes 16-1 after Finance Committee Deals with 64 Proposed Amendments; A Number of Jobs Saved
Following the final meeting of the Board’s Finance Committee dealing with the 2012 budget, the Cook County Board convened and voted 16 to 1 to pass the budget, as amended.  Comm. Beavers was the lone dissenter.  This vote took place around 4:30 pm.
Thus, for the first time in many years, the County Board completed its work during business hours and prior to the start of the fiscal year, which begins December 1.  The Cook County web site touts that this is the earliest a budget has been passed since 1995.
Prior to the Board taking its vote, the Finance Committee met to consider some additional revenue proposals and 64 proposed amendments that had been submitted prior to the deadline on Wednesday, Nov. 16.
Amendments Save Positions
As a result of these amendments, a number of jobs originally slated to be eliminated by the proposed budget, were reinstated by cutting money from non-personnel budget categories, such as training and use of outside contractors.  One of the more controversial ways to provide additional money to retain jobs was the use of what is called a “turnover adjustment.”  This is a credit to a department's budget to reflect the fact that not all the positions that have been budgeted will actually have people employed in them throughout the entire year. For example, if an employee leaves, it might be a month or more before that position is filled. So, if the annual salary for that position was listed in the budget for $60,000 and if there was an assumption that the position would be unfilled for one month, then the turnover adjustment for that position would be $5,000, or 1/12 of the annual salary.
Comm. Schneider expressed concern about the liberal use of turnover adjustments in a number of amendments, recalling that several years ago when he and then Comm. Claypool proposed saving positions by using a turnover adjustment, they were told that that was not a sound or prudent practice. Budget Director Andrea Gibson said that utilization of a turnover adjustment was reasonable, as long as the amount was not too great. In one instance, the Budget Department stated it was opposed to a proposed amendment because the turnover adjustment was 50% of the total yearly amount of the positions to be retained.  And in that case, the Finance Committee voted down the proposed amendment.  Where the Budget Department approved the use of turnover adjustments, the amendments were approved.
Among the positions saved were those in the offices of the State’s Attorney and Public Defender, as well as positions under Facilities Management as a result of utilizing an assumption that more revenues than originally assumed in the proposed budget would be realized in the Unknown Heir Legal Settlement fund.  The County Clerk’s budget resulted in there being an excess of $400,000 in the Election Fund, which was then used to add positions to the Board of Review.  During the department meeting with the Board of Review, the 3 Commissioners stated that if they could get additional funds to restore these positions, they would be able to get out the 2nd installment tax bill on time (for the first time in 34 years!).  However, the statements were not nearly as strong at today’s meeting: simply that the restored positions would help in getting the bills out on time.
In order to save jobs, the Clerk of the Circuit Court, Dorothy Brown, obtained an agreement from the non-union personnel in her departments to take 10 furlough days in 2012.  These are the only furlough days to be taken by any personnel in 2012. 
Because none of the unions had agreed with the President’s proposal that some of the holidays be unpaid, a number of amendments that would have reinstated additional positions were withdrawn.   
IT Shared Services Department Created
Amendment 36 revisited a controversial concept from the 2011 budget discussions, except this time the Finance Committee voted to create an IT (Information Technology) Shared Services Department under the Bureau of Technology, which reports to the President.  It is supposed to be a shared services center to help the offices of all elected officials and departments throughout the County, with the notable exception of the Health & Hospitals System, which for now, has been left out of the consolidation. This amendment is still controversial, however, and there was discussion that some elected officials were against this, while others were supportive.  During the debate, it was stressed that this is a small start and it would be reviewed and revised after 90 days.  The goal is to reduce IT costs and create computer systems that are more efficient and compatible with other County systems.
Increased Wheel Tax
In addition to the other revenue proposals that were approved at the Nov. 14 meeting (see the report from that day in this Observer Blog), the Finance Committee also approved the doubling of the wheel tax (i.e., the cost of vehicle stickers) for those who live in unincorporated Cook County.  For example, the annual fee for small passenger vehicles went from $40 to $80. This revenue proposal had been deferred at the Nov. 14 meeting.
The Process
There was a concerted effort by Commissioners to assist those in the audience (as well as their fellow Commissioners) by summarizing the nature of the amendments being considered.  Unlike past years, “floor amendments” (that is, amendments introduced for the first time during the meeting) were not allowed.  However, there were a number of “substitute” amendments which were passed out to the Commissioners and which the public did not have access to.  While from the discussion it appeared that these substitutes contained only corrections generally, it is unfortunate that there was no way for the public to be sure of this.  The League has been urging that the Board room have screens and projection equipment permanently installed to assist the Commissioners, as well as the public, in knowing what is being voted on.  Comm. Gainer complained that the 64 amendments were not available to the Commissioners (and the public) until after 10 pm the night before.  This presumably was due to the fact that the Budget Department first vetted all proposed amendments to check for problems, but this raises the issue as to whether there should be more time allowed between the deadline for submitting amendments and the meeting to vote on them.

-- reported by Karin Hribar and Priscilla Mims

No comments: