There’s a catch — municipal employees only get the raises and job security if the city’s parking meters, garages and surface lots are leased to a private company for 30 years.
City Manager Milton Dohoney wants to lease the facilities for at least $40 million upfront and a share of parking profits for the next 30 years. He’d use $21 million of the upfront payment to patch a $34 million deficit in the city’s budget.
During recent budget hearings before City Council, Dohoney said extra revenue was needed to avoid the layoff of 344 city employees.
In a memo to the mayor and city council members, Dohoney outlined the agreement between the city and the American Federation of State, County and Municipal Employees (AFSCME).
Any municipal employees who will lose their jobs because of the deal would be placed in other city jobs with no loss of wages. No city employees covered by the union would be laid off between 2013 and 2016. City employees will receive a 1.5 percent cost of living raise for the 2013-2014 contract year and another 1 percent raise for the next contract year. AFSCME members will continue city vehicle maintenance work from 2013-2016.
However, if City Council doesn’t approve of the plan to privatize parking, city employees get nothing.
Public employees in Cincinnati have not been given raises in almost four years. Meanwhile, council voted last month to give Dohoney a 10 percent raise and a $35,000 bonus. Dohoney had not received a merit raise since 2007, but had collected cost of living adjustments and bonuses over the years.
A re-inspection of the privatized Lake Erie Correctional Institution (LECI) found the prison is “heading in a positive direction,” but the facility is still on pace in 2013 to maintain increased levels of violence similar to the year before, according to the report.
In 2011, LECI became the first state prison in the country to be sold to a private company after Ohio, under the urging of Gov. John Kasich, sold the facility to Corrections Corporation of America (CCA) as a cost-cutting measure. Since then, multiple inspections found deteriorating health and safety conditions that anti-privatization critics warned of prior to the sale.
The audit, published on Oct. 8 but conducted on Sept. 9 and 10, comes from the Correctional Institution Inspection Committee (CIIC), Ohio’s independent prison watchdog.
The inspection was announced beforehand, unlike the unannounced audit on Jan.
22 that found a sharp rise in violence and various health problems. In other words,
CCA had time to prepare for the latest inspection but not the one
conducted earlier in the year, which could explain some of the mixed improvements.
“The CIIC inspection team’s overall sense is that conditions have improved,” the report claimed. “CCA has poured significant resources into the prison, including removing or changing staff, hiring on former (Ohio Department of Rehabilitation and Correction) staff, investing in additional security measures, and bringing in outside consultants.”
But for all the improvements, CIIC found issues of safety, security and inmate discipline linger: “Although improved slightly, the percentage of inmates reporting that they feel unsafe or very unsafe is still high.”
CIIC found inmate-on-inmate and inmate-on-staff assaults remain on track to match 2012’s higher levels of violence. The previous CIIC audit found inmate-on-inmate violence had increased by 188 percent and inmate-on-staff violence had increased by more than 300 percent between 2010 and 2012.
Staff reportedly told inspectors that there was “significant progress” in rates of violence throughout 2013, but the provided statistics for the year don’t reflect an improvement.
In some areas, conditions measurably worsened: CIIC reported that a “significantly higher percentage of inmates” tested positive for illegal substances in the first eight months of 2013 compared to the same time span in 2012.
Disciplinary actions and use of force were noted concerns for CIIC, even though LECI staff apparently made strides to exert more control over the inmate population. The prison also has more serious misconduct than similar minimum- and medium-security facilities.
CIIC didn’t formally inspect medical services and recreational facilities, but inspectors received various complaints from inmates in both areas. The amount of inmate grievances against staff actions also remain higher than the years before CCA took over the facility, although CIIC found slight improvement.
Still, the report repeatedly praised CCA for its improvements, particularly in rehabilitation and reentry services, better performance of rounds and shakedowns, and stronger health services and records. One example: CIIC found inmates are receiving 47.9 percent more GED diplomas, which certify a high school-level education, than they did in 2011, putting LECI’s GED achievement level at the average for similar prisons.
Staffing issues also improved, although the staff turnover rate remains above the Ohio Department of Rehabilitation and Correction average and security officers reported poor morale because of low wages.
For some critics of privatization, the poor conditions come as no surprise. Before CCA bought LECI, the American Civil Liberties Union of Ohio repeatedly warned that the for-profit incentive encourages private prison companies to cut services, security and staff while maintaining as many prisoners as possible, since the prison’s pay is based on how many inmates it holds.
CityBeat previously reported on the deteriorating
conditions at LECI after inmates’ insider accounts, requested public records
and numerous state reports found increasing violence and health concerns
(“From the Inside,” issue of May 29).
The full CIIC audit:
City Council’s Budget and Finance Committee today approved a
plan to lease Cincinnati’s parking assets to the Port of Greater
Cincinnati Development Authority in a 4-3 vote, but the plan will require five votes to become law in a final City Council vote on March 6.
Council members Roxanne Qualls, Yvette Simpson, Cecil Thomas and Wendell Young voted for the plan, and council members Chris Seelbach, Chris Smitherman and Charlie Winburn voted against it. Councilman P.G. Sittenfeld was absent, and Councilwoman Laure Quinlivan abstained, although she said she could vote yes if she sees more details about how the city will curb its long-term budget problems.
The plan, which CityBeat previously covered (“Parking Stimulus,” issue of Feb. 27), would lease the city’s parking assets to fund development projects, including a 30-story tower and a downtown grocery store, and help balance the deficit for the next two fiscal years. The deal would produce a $92 million upfront payment, and the city projects that additional annual installments would generate more than $263 million throughout the lease’s duration.
Before the vote, several City Council members said the parking plan would not solve Cincinnati’s structural deficit problems, but City Manager Milton Dohoney Jr. said the plan would help reduce the deficit by generating recurring revenues through long-term economic growth and development.
“The situation that we’re in requires that we accelerate
growth right now, not later,” he said. “If we do not do that, then we’re going to
have further negative ramifications to deal with.”
Still, Dohoney admitted the plan would not solve all the city’s budget woes — just like he has repeatedly said in the past. Even with the parking plan, the city projects a $10 million deficit in 2014, $15.5 million deficit in 2015 and $20 million deficit in 2016.
The council members insisted there are alternatives to the parking plan and Dohoney’s Plan B, which would lay off 344 employees, eliminate Human Services Funding and close pools and recreation centers, among other changes.
On March 1, Seelbach proposed Plan S, which would not lease the city’s parking assets to balance the budget and would instead use $7.5 million in casino revenue, cut $5 million based on the results of the city's priority-driven budgeting and allow voters to choose between a $10-per-month trash fee or a 2-percent increase in the city's admissions tax.
On the same day as the hearings, Winburn, the sole Republican on City Council, proposed Plan C, which would reduce city employees’ salaries across the board — with exemptions for police, ﬁre, health, garbage, recreation, parks and road paving — and use casino and parking revenue to clear the deficit.
At the City Council hearings, Quinlivan listed a few other
possibilities, including sharing public safety services with other
local communities. She also advised the city to put together a long-term deficit reduction plan. “We don’t want to kick the can down the road any more,” she said.
Thomas suggested putting an earnings tax hike of 0.1 percent or 0.2 percent on the ballot. He said, “It would solve this (deficit) problem once and for all.”
Some council members also raised concerns about the release of bond documents, which will further detail the framework of the parking agreement. Dohoney and Laura Brunner, president of the Port Authority, said the bond documents have not been crafted because a lease agreement has to be approved by City Council first, but the documents will be made public once they are put together.
Before the final committee vote, Smitherman successfully
motioned to separate part of the parking plan from the budget, which opens the plan to referendum. The motion was in response to City Solicitor
John Curp, who said appropriation ordinances, or ordinances that are essentially budgets, aren’t subject to
referendum, according to state law.
JobsOhio and other privatized development agencies have created scandals and potential conflicts of interests instead of jobs, claims an Oct. 23 report from Good Jobs First, a research center founded in 1998 that scrutinizes deals between businesses and governments.
The report looked at privatized development agencies in seven states, including Ohio, and found that many of the same problems and scandals appear from state to state.
“These experiments in privatization have, by and large, become costly failures,” the report found. “Privatized development corporations have issued grossly exaggerated job-creation claims. They have created ‘pay to play’ appearances of insider dealing and conflicts of interest. They have paid executives larger salaries than governors. They have resisted basic oversight.”
The report focuses much of its findings on JobsOhio, a privatized development agency that Gov. John Kasich and Republican legislators established in 2011 to replace the Ohio Department of Development. The agency uses tax subsidies and other financial incentives to attract companies to Ohio with the intention of creating jobs.
But the report states JobsOhio “assembled a board of directors whose members included some of (Kasich’s) major campaign contributors and executives from companies that were recipients of large state development subsidies. It received a large transfer of state monies about which the legislature was not informed, intermingled public and private monies, refused to name its private donors, and then won legal exemption (advocated by Gov. Kasich) from review of its finances by the state auditor.”
It found similar issues in privatized development agencies in Wisconsin, Arizona, Indiana, Florida, Rhode Island and Michigan. In some cases, the scandals have cost states millions of dollars with little job creation to show for it, according to the report.
The latest report concurred many of the findings in a similar 2011 report from Good Jobs First, which sought to warn states, including Ohio, about the potential risks of privatized development agencies.
For JobsOhio, a major cause for concern in the report is how difficult it is to hold the agency accountable. State legislators have approved multiple measures that shield JobsOhio from public scrutiny, including exemptions that exclude the agency from public records laws, open meeting rules and the possibility of a full public audit.
Some of the controversy also focuses on how the state funds JobsOhio.
“The proposal called for ‘leasing’ the state liquor profits ($228 million the year prior) for up to 25 years to JobsOhio, which would eventually issue $1.4 billion in bonds to pay for the use of the funds,” according to the report. “Critics charged that this was not a fair market price for profits that could potentially amount to $6 billion over the term of the agreement.”
The report laments that the privatized and secretive agency represents a shift for Ohio, which the report claims “was an early practitioner of online subsidy disclosure.”
Good Jobs First concludes privatized development agencies perpetuate an economic environment in which big companies already have too much say.
“The privatization structures we describe here, including the increasing use of corporate seats for sale on governing or advisory boards, absolutely favor large businesses that have the money and executive staff time to pay and play at such levels,” the report concluded. “But small businesses already get short shrift in economic development resource allocation, and they are still suffering the most in the Great Recession’s aftermath.”
The organization also takes issue with the idea that public agencies aren’t “nimble”: “In all of our years tracking development deals, we have yet to hear of a state agency that lost an important deal because it failed to provide labor market or real estate or incentive data in a timely manner.”
Asked about the report, Kasich spokesperson Rob Nichols responded in an email, “We don't pay much attention to politically-motivated opponents whose mission is to combat job creation.”
Kasich and other Republicans claim JobsOhio’s privatized, secretive nature is necessary to secure job-creating development deals with private companies in an economic environment that, through the Internet and globalization, moves more quickly than ever before.
Democrats, including gubernatorial candidate Ed FitzGerald, claim the agency is ripe for abuse, difficult to hold accountable and unclear in its results.
State Auditor Dave Yost plans to release an audit of JobsOhio soon, but no specific date or time frame is set for the release. The audit was granted prior to state legislation that barred the state auditor from doing a full sweep of JobsOhio’s financial details.
The full report:
One of Cincinnati’s largest neighborhoods and business districts is adamantly against a proposed plan to lease the city’s parking systems.
A Dec. 7 letter to the mayor from Clifton Town Meeting President Peter Schneider calls the plan “baffling,” “short sighted” and “counter-intuitive.”
The city administration wants to lease all Cincinnati parking meters, garages and surface lots for 30 years in exchange for an upfront payment of at least $40 million and a share of the profits.
The city wants to use $21 million of the upfront payment to help close a $34 million hole in the upcoming budget.
Schneider writes that the proposal is bad for business, making it harder for customers to find cheap or free parking near retail areas like Clifton’s Ludlow Avenue corridor.
He also worried that a private operator would ratchet up the price for parking, making the facilities “unidirectional ATM’s (sic) benefiting a third party that provides minimal or no value to the citizens.”
Schneider also complains that Cincinnatians have not been given details of the deal or the opportunity to weigh in on it.
“It is unconscionable that the City administration would allow a similar plan (to the citizen-defeated red-light cameras) affecting parking meters and services be railroaded through City Hall without the appropriate sunshine and input of the populace,” he wrote.
He also compares the proposal to Hamilton County’s mishandling of the stadium deals, claiming that a similar long-term lease is unwise.
Schneider ends the letter by admitting that there are some aspects of outsourcing that could be beneficial, such as private management of surface lots or garages or maintenance, but the idea of privatizing everything goes too far.
City Manager Milton Dohoney Jr. gave a presentation to City Council today that explained how Cincinnati could work to reduce its structural budget deficits. The presentation was presumably in response to Councilwoman Laure Quinlivan, who said Monday that she wanted to see a long-term deficit reduction plan before she could approve the city manager’s proposal to lease parking assets to the Port of Greater Cincinnati Development Authority.
Even with the parking plan’s one-time infusion of money (“Parking Stimulus,” issue of Feb. 27), Cincinnati will need to make further changes to balance budgets for the next three fiscal years. To help tame these deficits, Dohoney says the city could reduce or eliminate lower-ranked programs in the city’s Priority-Driven Budgeting Process, reduce subsidies to health clinics that are getting more money from Obamacare, semi-automate solid waste collection or introduce new or increased fees for certain programs, among other changes.
But some council members said they were more concerned about how the city will manage once it loses the parking plan’s one-time injection of funding after the 2016 fiscal year.
“I think this is a bit muddled,” Quinlivan said. “It doesn’t get to the systemic problem we have.”
Quinlivan, who has long argued for “rightsizing” police and fire departments, says the city should draw down its public safety spending to “sustainable” levels, but she says she would prefer attritioning public safety forces over abrupt, short-term cuts. Dohoney acknowledges attrition would help balance budgets, but he cautions that even attrition “would have to be married” with a plan that reduces the public’s expectations for public safety services — particularly if the city decides to not answer every 911 call by dispatching officers, which is currently required.
Dohoney says City Council needs to be clearer with its long-term budget policy. “If we’re going to make adjustments, I need clear policy direction, and I do not feel that I have it,” he says. “Give me a clear direction on where you want the police department to be, and I can get it there.”
The city manager says the city will have to approve a tax hike or cuts to government spending, which poses the possibility of layoffs, if it’s serious about eliminating structural deficit problems.
For every 1,000 residents, Cincinnati has less cops than
only two comparable cities: Cleveland and St. Louis. The fire department
has higher numbers, with Cincinnati equal to Pittsburgh and above
other comparable cities. The high levels of cops and firefighters per
capita comes despite downsizing in the police and fire departments in the past five years.
Vice Mayor Roxanne Qualls says the city may have drawn down its police force between 2000 and 2012, but the local police department has also been reorganized in a way that actually puts more cops out on patrol. Lea Eriksen, the city’s budget director, says street strength has moved from 832 police officers out of 1,034 officers available in 2002 to 864 out of 981 in 2012.
Between 2000 and 2012, the fire department was the only
city agency to see an increase in employment, while the city had slight
employment reductions overall. In the same time span, the General Fund increased by more than $30 million, and Cincinnati’s population fell by about 10 percent.
Cincinnati City Council on Friday approved a budget that relies on parking privatization as a means to plug a $34 million budget deficit while also raising property taxes in 2014.
Mayor Mark Mallory opened up the council meeting with a moment of silent prayer for the 27 students and adults killed at an elementary school in Connecticut.
“I want us all to take a moment and put into perspective what we’re doing today,” he said.
Council voted to increase the property tax by about 24 percent, from 4.6 mills (a mill is equal to one-tenth of a cent) to 5.71 mills. That means Cincinnatians would pay an additional $34 for every $100,000 of their home’s value.
The vote reverses a move made last year by conservatives on council, who reduced property taxes.
Council also passed a budget that relies on $21 million from a proposed lease of the city’s parking facilities — a deal that is expected to be voted on in March. Of the proposals submitted to the city so far, Cincinnati stands to gain $100 million to $150 million in an upfront payment and a share of the profits over the 30-year lease.
“My concern about balancing this budget with a onetime revenue source by selling our parking system seems to be ill advised,” said Independent Councilman Chris Smitherman. “We don’t know how council will vote in March … but we have tied not only the budget to this one time revenue source, but we have also tied reciprocity.”
Council nixed a plan to eliminate tax reciprocity for people who lived in Cincinnati but worked elsewhere and paid income tax in both cities.
Though the budget doesn’t mention parking privatization, council hasn’t mentioned other options to close the budget deficit.
If opponents of parking privatization want to keep facilities under city control, they would have to come up with $21 million in revenue elsewhere or make $21 million in cuts.
Councilman P.G. Sittenfeld suggested using casino revenue, cutting travel expenses, downsizing the ratio of managers to workers, sharing services with nearby jurisdictions and downsizing the city’s fleet as ways to cut down the budget.
Councilwoman Laure Quinlivan, long an advocate of downsizing the police and fire departments, voted against the property tax increase in protest of what she said was bloated spending on departments that were outpacing population growth.
The budget also requires Cincinnati to accept police and fire recruit classes in 2014, regardless of whether the city gets a federal grant to fund the classes.
The budget also restores the Cincinnati Police Department’s mounted patrol, which patrols downtown on horseback. The city will use $105,000 from off-duty detail fees from businesses that hire off-duty officers. Council also voted to start charging those businesses an extra $1.64 on top of the off-duty pay.
Council also voted to shift $50,000 for repairs and upgrades to the Contemporary Arts Center to pay for maintenance and beautification at Washington Park, which is operated by 3CDC.
The Ohio Turnpike will remain a public asset, according to The Columbus Dispatch. Many Ohioans have been worried Gov. John Kasich would attempt to privatize the Turnpike in order to pay for transportation projects; instead, the governor will try to generate revenue for state infrastructure projects elsewhere, perhaps by using the Turnpike’s tolls. Kasich will unveil his full plans Thursday and Friday.
The asbestos lawsuit bill is heading to Kasich to be signed. The bill attempts to curb duplicate lawsuits over on-the-job asbestos exposure. Supporters of the bill say it will prevent double-dipping by victims, but opponents say the bill will impede legitimate cases. Ohio has one of the largest backlogs of on-the-job asbestos exposure cases.
City Manager Milton Dohoney has released some of the potential bids for the city’s parking services, and one bidder is offering $100 to $150 million. Dohoney says the budget can only be balanced if parking services are privatized or the city lays off 344 employees. But Councilman P.G. Sittenfeld is speaking out against the privatization of the city’s parking services. In a statement, Sittenfeld said, “Outsourcing our parking system robs the city of future revenue, and also will mean higher parking rates, longer hours of enforcement, and more parking tickets.”
LGBT rights are becoming “the new normal,” but not for Western & Southern or American Financial Group. In the 2012 Corporate Equality Index, the Human Rights Campaign gave 252 companies a 100-percent score for LGBT rights. Cincinnati-based Procter & Gamble got a 90 percent, Macy’s got a 90 percent, Kroger got an 85 percent, Fifth Third Bank got an 85 percent, Omnicare got a 15 percent, American Financial Group got a 0 percent and Western & Southern got a 0 percent. The rankings, dubbed a “Buyer’s Guide,” can be found here.
The Sierra Club says Cincinnati has some of the best and worst transportation projects. In its annual report, the environmental group praised the Cincinnati streetcar, claiming the transportation project will attract residents and business owners. But the organization slammed the Eastern Corridor Highway project because of its negative impact on the Little Miami River and the small village of Newtown. The Sierra Club says the purpose of the report is to shed light on the more than $200 billion spent on transportation projects every year.
University of Cincinnati President Santa Ono is getting a 10-year contract.
The disease-carrying Walnut Twig Beetle has been discovered in southwest Ohio. The beetle is known for carrying Thousand Cankers Disease, which threatens the health of walnut trees. So far, no trees have been determined to be infected.
Ohio Gov. Kasich, Ky. Gov. Steve Beshear and U.S. Secretary of Transportation Ray LaHood will meet today to discuss funding for the Brent Spence Bridge project. If the bridge project starts in 2014, northern Kentucky and Cincinnati could save $18 billion in fuel and congestion costs, according to the Build Our New Bridge Now Coalition.
Following the defeat of Issue 2, the Ohio Senate is taking on redistricting reform, but opponents in the House say there isn’t enough time to tackle the issue. The current redistricting system is widely abused by politicians on both sides of the aisle in a process called “gerrymandering,” which involves politicians redrawing district lines in politically beneficial ways. The First Congressional District, which includes Cincinnati, was redrawn during the Republican-controlled process to include Republican-leaning Warren County, heavily diluting the impact of Cincinnati’s Democratic-leaning urban vote.
Ohio employers are more aware of wellness than employers in other states, a new survey found. Wellness programs are one way employers can bring down health-care expenditures as cost shifting feels the pinch of diminishing returns.
However, Ohio ranked No. 35 in a nationwide health survey.
Ohio district didn't win federal Race to the Top education funds in the latest competition.
Internet cafe legislation is dead for the year. Ohio Senate President Tom Niehaus announced the legislation, which essentially puts Internet cafes and sweepstakes parlors out of business. State officials, including Attorney General Mike DeWine, have been pushing for regulations or a ban on the businesses because they see them as a breeding ground for criminal activity.
The final 2011-2012 school report cards will not be available until 2013. The report cards were originally delayed due to an investigation into fraudulent attendance reports.
Michigan may have approved its anti-union right-to-work law, but Ohio is not eager to follow. State Democrats are already preparing for a possible battle over the issue, but even Republican Gov. John Kasich says he’s not currently interested in a right-to-work law.
The Ohio Environmental Protection Agency is loosening hazardous waste reporting requirements for companies. If the rules go into effect, regulated facilities will report on hazardous waste once every two years instead of once a year. The rule changes will get a public hearing on Dec. 19 in Columbus.
In a question-and-answer session Monday, U.S. Supreme Court Justice Antonin Scalia asked, “If we cannot have moral feelings against homosexuality, can we have it against murder? Can we have it against other things?” (Hint: The answer to both questions is yes.) The Supreme Court recently agreed to tackle the same-sex marriage issue. CityBeat wrote about same-sex marriage in Ohio here.
Issue 4, the ballot initiative that would semi-privatize Cincinnati’s pension system, obtained most of its financial support from out-of-town tea party groups, according to financial disclosure forms filed to the Hamilton County Board of Elections on Oct. 24.
The report confirms concerns previously raised by city officials, unions and mayoral and City Council candidates: The pension privatization effort is coming from outside Cincinnati and, in some instances, Ohio.
Up to Oct. 16, Cincinnati for Pension Reform, which successfully placed Issue 4 on the ballot, received more than $231,000 from campaign contributors. Of that money, $209,500 came from groups in West Chester, Ohio — organizations called Jobs and Progress Fund, A Public Voice, Ohio 2.0 and Ohio Rising — and $20,000 came from the Virginia-based Liberty Initiative Fund, which CityBeat previously reported as an early supporter of pension privatization schemes around the country.
Chris Littleton, a leading consultant for Issue 4 and long-time tea party activist, is also based in West Chester. He’s blogged about his involvement in Ohio Rising and Ohio 2.0, and he helped create the Cincinnati Tea Party and Ohio Liberty Coalition, another tea party group.
Upon receiving the contributions, Cincinnati for Pension Reform used more than $215,000 to circulate petitions, email blasts, advertisements and other typical campaign expenses.
The infusion of cash from out-of-town sources also helps explain why Cincinnati for Pension Reform managed to mobilize its efforts so quickly and without the knowledge of many city officials, who previously said they’re bewildered by the effort and don’t know where it came from.
If approved by voters, Issue 4 would semi-privatize Cincinnati’s pension system so city employees hired after January 2014 would contribute to and manage individual retirement accounts, which would also be supported by a proportional match from the city. That’s a shift from the current system in which the city pools pension funds and manages the investments through an independent board. The idea is to move from a public plan and instead imitate a 401k plan that’s often seen in the private sector.
The conservative Buckeye Institute, which supports Issue 4, previously studied the proposal and found it could greatly reduce retirement benefits for city employees. Although the Buckeye Institute’s report claims Issue 4 could ultimately save Cincinnati money, it was laced with caveats that could actually lead to higher costs for the city.
Another study from a finance professor at Xavier University found Issue 4, if approved, could force the city to cut services, excluding police and firefighters, by up to 41 percent or increase taxes by a similar amount in the near term by mandating that the city more expediently pay off the current pension system’s $862 million unfunded liability.
A major concern for critics of Issue 4 is that it could cost the city its Social Security exemption. Under the current pension system, the city doesn’t have to pay into Social Security. If Issue 4 passes, the city’s contributions to the pension system might not be generous enough to keep the exemption, which could force the city to make costly Social Security payments.
And if the city doesn’t lose its exemption, city workers would be left with an individual retirement plan that wouldn’t have the safety net of Social Security — unlike private-sector workers who get both an individual retirement account and Social Security.
Supporters of Issue 4 dismiss the criticisms. They say that Issue 4 is necessary to address Cincinnati’s large unfunded pension liability, which credit ratings agency Moody’s cited as one of the reasons it downgraded the city’s bond rating in July.
The city’s leaders, who unanimously oppose Issue 4, say they are working on solving the liability, but they argue it’s better to reform the system, not scrap it altogether.
Vice Mayor Roxanne Qualls previously told CityBeat that pension issues for current city employees are covered by reforms passed in 2011, and she says City Council will take up further reforms to address the unfunded liability after the election in November.
Voters will make the final decision on Issue 4 on Nov. 5.
The full financial report:
Updated with more information Chris Littleton and the involved groups.
For the first time since inauguration, Ohio Gov. John Kasich has a positive approval rating, but a plurality of registered voters say Kasich doesn’t deserve a second term. The Quinnipac University poll attributed the increase in Kasich’s approval rating to “high levels of satisfaction among Ohio voters with life in the Buckeye State.” About 42 percent of respondents approved of Kasich, while 35 percent disapproved. About 42 percent said Kasich doesn’t deserve a second term, while 36 percent said he does. The poll surveyed 1,165 registered voters with a margin of error of 2.9 percent.
Last night, Cincinnati held its final public hearing on City Manager Milton Dohoney’s proposed budget. About 40 people spoke during the meeting, with many voicing concern about Media Bridges funding, which CityBeat recently covered here. The budget has also come under scrutiny due to its privatization of parking services, but Dohoney says the choice is privatization or 344 layoffs.
Cincinnati plans to bolster its green building incentives. City officials are trying to amend the city’s Leadership in Energy and Environmental Design (LEED) standards to encourage higher levels of investment in green projects. Since LEED standards were first approved in 2009, they have been criticized for only offering strong incentives for lower levels of certification. The amendment seeks to make the higher levels of certification more appealing.
University Hospital is being renamed to the University of Cincinnati Medical Center.
An “anti-immigrant bill” proposed by Cincinnati’s Ohio Sen. Bill Seitz is not being received well by Innovation Ohio. S.B. 323 seeks to limit workers’ compensation to illegal immigrants, but the Ohio policy research group is not sure that’s a legitimate problem. The organization is also worried the bill will impose a regulatory burden on the Ohio Bureau of Workers’ Compensation and Ohio’s workers without providing extra funds and training to carry out the regulations.
Ohio is improving in its battle against human trafficking. The state earned a “C” and it was labeled “most improved” in a new report from the Polaris Project. But one state legislator wants to go further by placing tougher standards on “johns” participating in the sex trade. CityBeat previously wrote about the human trafficking problem in Ohio here.
The Ohio Tax Credit Authority approved enough credits to help create about 500 jobs in Greater Cincinnati.
Michigan may have recently passed its anti-union “right-to-work” law, but Gov. Kasich does not share a similar interest.
Kasich will announce his changes to the Ohio Turnpike Thursday and Friday. The governor says his proposed changes will unlock “greater wealth,” but critics are worried Kasich is about to sell off a major public asset.
Ohio Secretary of State Jon Husted is still defending his decisions during the lead-up the election. Husted has now become infamous nationwide due to his pre-election record, which CityBeat wrote about here.Even Jesus would be jealous. Science can now turn human urine into brain cells.