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City Enters The “New Normal” Era

by Melissa Bailey | Jul 2, 2010 7:12 am

(17) Comments | Commenting has been closed | E-mail the Author

Posted to: City Hall, City Budget

Melissa Bailey Photo As he looks ahead to the new fiscal year, Mayor John DeStefano said he has a choice: keep unionized custodial services and have 30 students per classroom, or privatize and shrink class size to 24.

DeStefano (pictured, with Fire Chief Mike Grant and Superintendent Reggie Mayo, right to left) offered that choice at a press conference in City Hall Thursday, the first day of the new fiscal year. As he spoke, taxpayers lined up to pay their tax bills: 84,781 city tax bills were due Thursday, with a grace period extending to the end of the month.

At the beginning of this new fiscal year, the city already faces a budget gap of over $17 million, the mayor said. Given this gap, and a frightening budget outlook for the state in years to come, the city is entering a new era of fiscal restraint, DeStefano said.

“There’s going to be a new normal—we can’t do all the things that we want to do,” he said. “We have to say ‘no’ to some things.”

The mayor’s top example involved how the city cleans its schools. The Board of Education spends $15 million to clean its buildings, using a mostly unionized workforce, he said. If the city privatized those jobs, it could get the job done for $8 million, he claimed—a savings of $7 million.
The mayor’s savings estimate is based on bids that came back, his spokeswoman said.

It’s a choice between “30 kids per classroom, and the existing way of cleaning things, or 24 kids per classroom and a new way,” DeStefano calculated. He said for the first time, he’s seriously considering privatizing those union jobs.

“I’ve never considered aggressively pursuing” privatization before, he said.

The city already put out a Request for Proposals for a private company to clean all the schools and settled on a preferred bidder. Any deal remains up in the air as the city engages in a contract negotiation battle with the custodians union, AFSCME Council 4 Local 287.

Because of state-mandated timelines for negotiating the contract, it’s likely that no agreement will be made until the spring of 2011, DeStefano said.

His budget counts on $1.5 million in savings from school cleaning this fiscal year. DeStefano said the $1.5 million represents a quarter-year in savings, from March 1 to July 1 of 2011. He expects the total annual savings to be about $6 million, once an agreement with the custodians is reached.

After the press conference, Superintendent Reggie Mayo said the $1.5 million doesn’t necessarily assume privatizing the cleaning of all the schools.

The $1.5 million “could come with them staying and givebacks,” Mayo said. “We’re not at that point, but all I know is I’ve got to fill that gap.”

“If I don’t get it, I’ve got to cut somewhere else, that’s it!” he said.

The $1.5 million is less than a tenth of the budget gap DeStefano found himself facing on day one of the fiscal year.

City of New Haven The city is starting the year with a $17.6 budget hole.

How does he intend to balance the budget? The mayor’s office provided the chart at left to answer that question.

DeStefano proposes to fill the gap from the following sources: $5.1 million in savings from “Innovation Based Budgeting”; $5 million in sale of assets; $1 million in labor concessions; and $1.5 million from custodial services.

That leaves a $5 million hole. The mayor had originally counted on closing that gap through a parking monetization plan. Aldermen tabled that plan, but left the $5 million revenue in the budget. Aldermen directed the city to come up with the money as part of $10 million in cost-savings through IBB, but did not give specific guidance on how it could be done.

Mayoral spokeswoman Jessica Mayorga said the city is not ruling out using the monetization plan this fiscal year.

After his update, the mayor wished the crowd of reporters and city officials a “Happy New Year.”

With those words, Elyse Lyons, the mayor’s new media associate, hauled away the backdrop to the event: “Improving New Haven. Again.”

Comments

posted by: Jeffrey Kerekes on July 1, 2010 5:55pm

Quote:

“With those words, Elyse Lyons, the mayor’s new media associate,”

Years of mismanagement, cronyism and patronage. Look, he is so blinded by his self importance, he does not even look to his own office for savings. His office alone costs over a million dollars.

He cannot see the problem. Its like a doctor trying to diagnose and treat himself. He has got to go…..

posted by: Darnell on July 1, 2010 6:15pm

What in the he** is a “media associate”? Is it clear to everyone that this administration does not know how to stop spending? While they talk about cutting the custodians and givebacks from other unions, they are hiring media associates.

posted by: More mayor scare tatics and lies on July 1, 2010 6:26pm

Boy does this guy have a talent to twist the facts around to get what he wants. If you read page four section 5A of the teachers contract on http://www.cityofnewhaven.com You will see that by contract K-2 can only have 26 students and 3-12 can have 27 students. So he throws the number of 30 out there just to scare up public support. ...

posted by: Step up Mayo on July 1, 2010 6:49pm

Come on Reggie step up and take control of this situation. You’ve been in New Haven a long time, and everyone knows this is not what you stand for. Why don’t you get in the negotiating room and really listen to what the custodians have to offer and see that they are willing to help out. Last time I checked you are thier boss. And correct me if i’m wrong, but I believe your even Will Clarks boss. Please dont let him decide thier fate. You need to keep these decent jobs in New Haven.

posted by: MAYORS WORST NIGHTMARE COLBINA on July 1, 2010 7:52pm

OK NOW IT CHANGES TO SMALLER CLASS SIZES FROM 30 TO 24 YA RIGHT! HEY PARENTS HOW ABOUT ILLEGAL ALIENS COMMING IN TO CLEAN YOUR KIDS SCHOOL WITH NOW FEDERAL OR STATE BACK GROUND CHECKS! IS THAT WHAT THE PARENTS WANT TO SAVE MONEY BY LETTING GO HARD WORKING AMERICANS WHO PAY TAXES AND SPEND MONEY EVERY DAY IN YOUR CITY? OR DO YOU WANT CUSTODIANS WITH NO BACK GRAOUND CHECKS WORKING AROUND YOUR CHILDREN. THIS IS A BIG SAFTEY ISSUE. PARENTS YOU HAVE BEEN PUT ON NOTICE! THEY WILL SEND YOUR TAX DOLLARS BACK TO THIER FAMILIES IN OTHER COUNTRIES! WHY DO YOU THINK THE MAYOR SPENT A QUATER MILLON OF YOUR MONEY ON ID CARDS FOR ILLEGAL IMIGRANTS?

posted by: HeidiB on July 1, 2010 8:28pm

Sadly, I am hoping for 30/classroom change, as it is my childs only hope of NOT going to the worse performing school in New Haven.

posted by: Morris Cove Islander on July 1, 2010 10:52pm

Mayor De Stefano - rest assured - we will remind you next fall about your words. If you dare to get rid of the custodians I expect my children in classes with 24 students fall 2011 coming. The fall when you want to get reelected!

Voters do not like empty, unfulfilled statements. And they remember what you cut and what not.

One last one - the custodians are supposed to agree to givebacks. Where were these givebacks when you prolonged the contracts of the big fish in the school administration? No wage increase NEXT year does not amount to a giveback.

posted by: cedarhillresident on July 2, 2010 6:59am

CUT CITY SERVICES…what a joker this man is. What John you still don’t get it??? CUT FROM THE TOP DOWN!!!!!!!!!!! HELLO!!! I wnat this man out he twists the facts so badly and guess what john your YES men are the only ones agreeing with you!

Durning the budget hearing the BOF and BOE could not go near many of the cuts they could of made because the IBB had then locked up OVER @) MILLION in avalable cuts!! And now boo hoo they can only do 5 mill…Please STOP IT ALL READY Cut from the TOP!

posted by: lizvitale on July 2, 2010 7:16am

Please don’t forget that our Board of Aldermen (w/a few exceptions)allowed this farce of a budget to be passed. They are just as much at fault here for our current state of affairs as the Mayor. So disgusted with it all.

posted by: where is accountability on July 2, 2010 8:53am

I am wondering where is all the supposed Democrats that believe in decent jobs for people.Notice as this unfolds we do not see Rosa Delauro,Blumenthal,Lamont,Malloy,or the other higher up Democrats.We see them come out in support of this Mayor many times.When will the Democrats stand up and be accountable to being what a Democrat is supposed to be.Disgraceful if you ask me! They all stand there and watch as tthis man wants to put the custodians out of work and use them as a scapgoat.While he gives all his overpaid over staffed top tier adminisrtors contracts.This is no different then what the Repulicans (bush) did with wall street and big banks pulled.This is beyond disgracful All you big shot Democrats have backed this Mayor before and now you all sit there in silence as he puts workers out of work or strips them of their rights.And except for a few Alders I have not seen them either.This is a sad day for the Democrats

posted by: Disgusted with the top on July 2, 2010 9:01am

This is yet another example of the rich get richer and goodbye middleclass.Instaed of the Mayor sharing the food he and the top eat it all and dont share.Mayo I am surprised with you being a part of putting people out of work

posted by: The Count on July 2, 2010 10:43am

Mayor DeStefano entered into a sham agreement with East Haven mayor April Capone Almon on Tweed-New Haven Airport, an agreement that places so many restrictions on Tweed’s ability to be self-sufficient that it won’t be off subsidy for years. Then the mayor cuts the subsidy. I am very happy I’ve sold my condominium in the Fair Haven Heights section of town so I no longer fund this ineptitude regarding the mayor’s airport policy.

posted by: eastie on July 2, 2010 12:30pm

Wait….U mean liberalism is failing AGAIN?

posted by: JB on July 2, 2010 5:02pm

At this point, I think it’s desperate enough that a group of citizens should get together and flat out nominate someone to run for mayor. Strong arm em, or whatever is needed. Political party is irrelevant Just make sure they’re smart, work hard, have no ties to Boise Kimber, and are willing to put term limits into place. Heck, someone from out of town might be nice! Fewer corrupting ties.

posted by: Ag on July 6, 2010 6:35pm

Great job by AFB manageing the custodians. The city must have hidden money. They are keeping the schools open all day and night with the electric and air cond.running. All night custodians are staying nights instead of working together with the day staff. Schools are left open until 11:00 p.m. with only one man in them. Good job Will Clark and AFB.

posted by: Boristt on July 7, 2010 1:39pm

This mayor ... hired a law firm out New York that works on just breaking unions, also hired public relation people to try to turn the public against the custodians, he,s even has the New Haven register printing half stories all in trying to get rid of the bad custodians.John the people see past the games you and Will clark are doing.Now your reaching for anything by telling the teachers were going to put more kids in the classroom, whats next maybe you could try to blame the custodians for the oil spill in the gulf, maybe their behind all the shooting in the city maybe you could say they started the recession. And for those people that want Reggie Mayo to stand up for the custodians, think again.He,s got 3 yr extension at 226.000 he,s not going to make any waves and no other union is going to help either because they all got raises.Please will someone tell me how you give out raise when the mayor stands up at the board of Ed meeting telling the people the state is broke and their not going to give the city any money.

posted by: Perry on July 9, 2010 8:23am

Jeffrey said it best “He has got to go”

The mentality is always to blame unions, yet I don’t see how privatizing the custodians does anything to class size. It’s a trick like canceling the fireworks and christmas tree, he just wants to blame the unions.

What’s next? saying “well if we don’t cut a union’s throat then we can’t afford the $8 an hour lifeguards and Lighthouse has to close. It’s all a trick like when they closed a senior center at bella vista blamed it on the unions

http://www.newhavenindependent.org/index.php/archives/entry/seniors_to_mayor_we_will_remember/

hey did anyone catch reggie’s new salary btw?

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