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Campbell addresses its financial crisis



Published: Thu, May 27, 2010 @ 12:05 a.m.

By JEANNE STARMACK

starmack@vindy.com

campbell

Council took some steps at a finance-committee meeting Wednesday to resolve the crisis with this year’s budget.

The steps, some acknowledged, were small. Bill Vansuch, finance committee chairman, urged the other council members to come up with more ideas to cut or curb spending.

A combination of a drop in revenues and some overspending has led to problems in the general fund and the street department.

The general fund is down about $150,000, due some to overspending. But the biggest problem, says city Finance Director Sherman Miles, is that income-tax collections are down $120,000 from what they should be this time of year. An intergovernmental tax, which the city gets from the county, is down $14,200. Miles attributes the revenue drop to the bad economy.

In the street-department fund, $53,000 in overspending has led to a $26,000 deficit. Much of that was for overtime, salt and slag needed as a result of bad winter weather, said city Administrator Lew Jackson.

Council members and Mayor George Krinos said the city can use the state highway fund and the state permissive-tax fund to help the beleaguered street- department fund.

The permissive tax, a $5 license-plate fee assessed by the state, can help to pay for part-time help in the street department this summer, said council member Bryan Tedesco.

Council and Krinos also believe the city can pay for more salt and slag out of the state highway fund for the miles of highways that go through the city because those roads get more use.

Still unresolved is the issue of a recalled firefighter. Krinos recalled the firefighter in January for the city’s understaffed department, but there was no money in the budget to pay for him. Krinos also has a full-time secretary whose $21,000 yearly salary comes from his giving up his health benefits, but he started taking those benefits again in March.

Miles also said there is no money in the budget to hire 10 auxiliary firefighters the fire department wants. Auxiliary firefighters get paid only when they respond to a fire.


Comments

1mrblue(923 comments)posted 3 years, 10 months ago

You are not going to get a levy passed. I can't see where anything of substance was done at this meeting. What are the mayor and council waiting for? Time is running out for the city. I, for one, do not want to become part of Youngstown. I am not saying it will happen, but it could.

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2mrblue(923 comments)posted 3 years, 10 months ago

We all know who is pulling Sherman Miles' strings. Who is pulling Mayor Krinos' strings? Where are these compaines that were supposed to come to Campbell? We have been hearing about this since January. What is taking so long? Since the election, Campbell has been one big question mark. HEY LUMPY,, you might be giving them too much credit!

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3kellyg(4 comments)posted 3 years, 10 months ago

Frankly, I don't see much of a recovery coming before the fall deadline. I see unrealistic expectations that won't do much to help in the immediate future. Mayor Krinos has been taking most of the flak and he has made some mistakes, but he did not bring Campbell to the situation it is in right now. There are a lot of unanswered questions: How could the city have allowed tax delinquencies to accumulate to the amount of $227,000.? And will someone explain just what kind of amnesty will be offered to those delinquent taxpayers? The city expects to collect about $45,000 during the amnesty period from August through October. Since the city contracts with RITA for the tax collection, does another collection agency need to be hired? If so, what is that going to cost? Would it be worthwhile? Somebody was not minding the store while all these delinquencies were accumulating. This cannot be blamed on the mayor. Puzzled as to why legal counsel has to be hired for the renegotiation of the BF contract. Is Campbell counsel not able to do that? and at the same time try to collect any city overpayments to BF. I'm concerned about the city but just as concerned, if not more so, is the oil situation in the Gulf. I urge all of you to get involved-call, write, fax-whatever to our elected congress people and the President. This is a catastrophe that will impact our country for many, many years to come. Urge those in charge to become more aggressive in this situation and to hold accountable whoever is to blame. Several days after the explosion the company from Switzerland that owns the drilling platform paid out $1 billion in dividends to its stockholders. This is not a regional problem.

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4L0L(607 comments)posted 3 years, 10 months ago

Im really tired of Jeanne writng her soap opera. No money to pay for the firefighter and the bennies for the secretaries salary. Well why didnt you mention the deal that was to be made that council broke for the bennies to have been given up? Deal was broke, mayor took the bennies. Not a hard thing to understand but that would require printing the WHOLE story.

I have an idea to save money. Campbell is short $120,000 in tax collections? Hmm.. that number sounds familiar. Oh ya, its what they pay RITA to collect the taxes theyre NOT collecting. Here's an idea. Get rid of RITA and hire someone full time at $35,000+$15,000 for bennies = $60,000. WOW! Thats a $60,000 savings right there!

Lets not forget that the mayor got rid of the law firm that negotiates the city employees contracts. That saved money but we never hear about that. In fact the money paid to that attorney cost more than it wouldve cost to give the employees raises! Oh ya, Dill was friends with that attorney, Esposito. So the money he saved the city there he used it to get a fireman back. Whats the big deal? Spend money on an attorney you dont need when the city HAS an attorney or spend the same amount to get another fireman in hopes of the iso rating not going up?

This sh i i t isnt rocket science why are they making it so difficult?! Oh ya, the council is trying to force the mayor out.

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5onlyincampbell(35 comments)posted 3 years, 10 months ago

kellyg.....The BFI contract was signed back in Dec. I believe. Due to the lack of language in the contract that would allow for adjustments according to actual trash pickups. It is what it is, a set dollar amount. We are stuck with this contract I believe until 2013.

I agree the 5 year plan, at most is speculative and nothing more. There is no mention of cut backs anywhere. There is of course the spending which this mayor is notorious for, go figure!

LOL....I for one applaud Jeanne for her reporting I have yet to hear one false statement in her articles. She reports what is stated at the meetings.So don't critize her for what others say.

As for the Benefits statement the Mayor did not mention a "deal" that is false. He said he would give up his, bottom line. He did after the fact ask that council do the same. There was no mention I'll give up mine IF you give up yours. (refer to the minutes of meetings they are quite detailed)

As for your figures on Rita your off base maybe you should research that figure its actually around 60K a year we pay for tax collections.(hmmm are you the mayor?, hire hire hire!)

And when did the Mayor add lawyer to his repertoire? I myself would not want someone representing the city in the matter of union contracts that does not have the experience or back ground in the legal aspects of union contracts. Will this end up costing the city more because he didn't fully understand something in legal fees?

And lets talk about hiring an attorney, as you stated the city has one so why did Krino's go outside of the city, not to 1 but 2 attorneys to get opinions on starting salaries? He was given that information by OUR Lawyer? Which in return those two lawyers billed the city! And when all this crap went down with Mr. Miles and Odea why did Krinos get a lawyer from Columbus when our own lawyer told him what he could and couldn't do? And you want to crucify Dill? One thing Dill did for the employees seeing tho the money wasn't there for raises, he gave them the best possible health insurance the city could, something Krinos wants to take away, and put in place one thats cheaper for the city but high in deductables for the employees!

Your right its not rocket science. Your wrong on council, if they rubber stamped everything this guy has proposed guess what we wouldnt make it til June. His spending while we are in fiscal emergency shows his lack of understanding finances.

What I truly can not figure out is why there is no mention of collecting on back property taxes. But yet he wants to place a levy on the ballot. I for one will be voting NO I pay my property taxes go after the ones that dont, its always the same ones over and over! Why penalize us?????

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6kellyg(4 comments)posted 3 years, 10 months ago

First of all, I am not trying to "crucify" former Mayor Dill. I have said that mistakes were and are being made by present Mayor. There are proposals of his that i do not agree with. I agree that we should utilize the city attorney as much as possible. I did say that, didn't I? I'm simply looking for answers that as a citizen I have a right to do. The figures for the income taxes came from figures stated in the recovery plan. I believe also that at one of the recent meetings, perhaps it was Sherman Miles that stated that we pay RITA $160,000 a year to collect the income taxes. I question why this delinquency was allowed to accumulate. Seriously, somebody dropped the ball on this. You are absolutely right. The financial burden should not be on the backs of the same people that pay over and over again and meet their obligations and that's why I question the income tax amnesty proposal. What exactly does the mayor and council propose to do? What kind of amnesty? Will it be some kind of payment settlement with balances written off? Or just a payment plan? Is it fair to those who pay their taxes? As for council, they have to accept their share of the blame--maybe more so than Krinos. Like you said, he's been here a short time, but council by and large has been here longer therefore they should have addressed some of these issues in a more proactive and aggressive way. This is in response to the above post by "Only in Campbell." I forgot to address it at the beginning of the post. Finally, personally I fault myself, too for not being more informed and locally politically active in the past. But I have always voted for every levy and supported the city in every way possible and I don't want to see it get unincorporated.

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7onlyincampbell(35 comments)posted 3 years, 10 months ago

Kellyg....I'm so sorry you misunderstood my post it was not directed at you other than the first two paragraphs after that I was answering LOL's post

I dont solely blame Krinos but I do not agree with all this spending and hiring he is doing it is only furthering the financially strapped city and will rapidly lead to its demise

I hope this clears things up. Like you I agree something needs to be done and unfortunetly the time is running out extremely fast!

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8L0L(607 comments)posted 3 years, 10 months ago

WOW onlyincampbell are you waaay off. And I need to do the research?

First and foremost Jeannie. She writes a soap opera not report the facts. And a deal for the bennies? There most certainly was. For your information it was not I'll give up mine if you give up yours. It had to do with the secretaries salary which the mayor stated if a certain pay ordinance was followed she would not accept bennies and he would give up his to compensate for her pay. Basically use the money for his bennies to pay the secertary. Guess what? Council said no so Krinos kept his bennies. As for the rest of the elected officials Krinos did suggest they all give up the bennies (except for the judge which is exempt by law) and guess what? Council said no.

And my point about RITA is that why are we paying a company to collect taxes when they're not?

>-"And when did the Mayor add lawyer to his repertoire?"
>-"And lets talk about hiring an attorney, as you stated the city has one"

Two statements made by you that contradict each other. First, when did I say the mayor was an attorney. I said the city had one. Who by the way will sign off on the contracts so no, the mayor is not acting like one. Why pay an attorney like Dill did for ten years when we have our own.

Speaking of our own attorney thats why miles and krinos had to hire their own. Campbell's attorney cant represent them both!!

And lets get back to Dill. Dill said there would be raises if he was re-elected. So was that a lie or do we have money? He had connections with esposito who was the attorney that cost the city more than it wouldve cost to give the emplyees raises during contract negotiations.

Lets talk healthcare. He gave them the best huh? Lets bring up is it his niece that works for the healthcare company who was the representative that sold the city healthcare for the employees??? She makes a commission on those sales right??? Do YOUR research on that one because that one is fact.

Do some more research because the healthcare the mayor wants to go to save teh city as well as the employee money. Do YOUR research. I'll explain.

Right now it costs the city around $15-$16 per employee for healthcare with deductables. The city will load a credit card with something like $5,000 per employee. Everytime they go to the doctor the card is used. Hmm. No cost to the employee yet. If the employee goes over the $5,000 the healthcare company picks up the bill. Hmm. No cost to the employee yet. So now the city os only spending $5,000 per employee instead of $15,000. Savings? $10,000 per employee.

You with me? hold on next post.....

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9L0L(607 comments)posted 3 years, 10 months ago

Now the next year the city simply reloads the credit cards of the employees that used them. So lets say the single guy who rarely goes to the doctors only spent $1,000. The city only has to put $1,000 back onto the card saving how much? $10,000 originally and now another $4,000 for that employee. Now in the case of the families or someone who goes to the doctors alot yeah, the city will have to put another $5,000 back on but it still saves a fortune.

Onlyincampbell. I dont need to be snide but people like you (again not singling you out or trying to offend you) who dont do their research then come on here and point the finger at other people ad say they dont, really iritates me.

If youre from Campbell I have a question for you. The council, mostly juanita rich, just loves sherman miles. Lets see what sherman has done in the six months he's been here.....

1. Trying to get rid of the fire dept.
2. Trying to get rid of the police dept.
3. Trying to scheme to try to sell the water plant again.
4. Not billing some organiztions that owe Campbell money because he is whining about doors being locked after business hours when he would still be able to exit through the police dept. His excuse? He doesnt have time to send out bills during his normal work hours. crickets.......

This is the guy that is working FOR Campbell. You dont see anything wrong with this picture?

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10MichaelG93(79 comments)posted 3 years, 10 months ago

Here's what I don't understand about Mayor Krazinos. He tells council that if you give my secretary 26k for the year, I will not take my benefits. Council, hires his secretary, but at 21k. So, he has two options, still see that he has a secretary and foregoes his benefits or act selfishly and keep his secretary and keep his benefits. What did he do to help the city out?????? He kept his benefits!!! What a joke!

LOL, Please don't tell me that you reside in the city of Campbell. Am I the only one that reads these posts that sees LOL's math is absolutely wrong???? Get a load of LOL's post above, $35 plus $15 = $60. It's crazy, but every time I do that math is equals $50. I hope you're not part of the finance committee. We would really be in trouble!

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11L0L(607 comments)posted 3 years, 10 months ago

But you dont chastize the council for not giving up their bennies

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12Billybob21(96 comments)posted 3 years, 10 months ago

LOL why u always have to bring up sherman i think he does a pretty good job. All those idea are to save the city and they city cant afford anything. If you would have been at the meetings from the state you would have heard the problems the city face's. Yea noone wants to see the city lose police or fire but it might be what we have to do to save ourselves and get out of the whole krino's is creating.
And i was against selling the water plant before but the more i hear campbell residents talk about how high there water bills are and how there bills are always changing i think that might be a good idea. There bills are high and you cant even drink the water what a shame.

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13onlyincampbell(35 comments)posted 3 years, 10 months ago

LOL.....I think the only soap opera being written, is here, in these posts by a few Krinos suppporters!

My statements that you point out above do not contradict each other. Anyone with half a brain knows the city lawyer can not represent both parties in the matter of Krino vs Miles. With that being said, and not what I was referring to, Krino's did not take the advise of the city lawyer and did hire two other lawyers in regard to the starting salary. He also did seek an outside lawyer after the city lawyer told him Mr. Miles could sign the payroll checks which at that time he agreed to let me him sign them so the employees would not disenfranchised, then the next day he said he did not agree. And did not allow it.

In regards to the insurance:
You stated and I quote...
"The city will load a credit card with something like $5,000 per employee." by my rough calculations of approx. 60-65 employees that would add up to $325,000 right from the start. Um yeah where is that kind of money going to come from in a lump payment?

Maybe I have posted some things on here that I failed to do enough research on, I will admit it, I'm human, but for the most part I have not posted without 1st doing my homework. I don't veiw your remarks as being snide at all, just misguided and misinformed.

Now for your closing comment in regards to Mr. Miles:
Your 1st 2 items I have to say, the way things are going it could be a very good possiblity, we may have to go that route.If thats what we have to do to save the city do it!
Number 3 is beyond funny. Juanita is a good friend of his, she would absolutly kill him for trying that one, after her and Dinese, Laura, Flora and others fought so hard to keep it! Oh and funny enough I haven't heard any proposals brought up in council meeting for this, which it would have to be voted on and discussed there.

Nice try on that one....sounds like Chubby Checker is in town as the mayors new theme song writter. You know the "Twist" you sure put a twist on things.

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14MichaelG93(79 comments)posted 3 years, 10 months ago

LOL,

No one on council said they would give up their benefits, only Krazinos did when he asked to get his secretary. He gets his secretary, and keeps his benefits. He kept them out of spite because his secretary didn't receive her 26k but got 21k. He said on the radio that he would stop his benefits if it helped the city. He explained what happened and at the end he said he would stop benefits. WTF is he waiting for. Again, promises that he won't keep!!! Instead of drinking at the Rooster all night he should be thinking of ways to fix the city!

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15L0L(607 comments)posted 3 years, 10 months ago

Onlyincampbell, they pay 16,000 per employee now how couldnt they afford the 5,000 per employee? And I dont know about you but a city without their own police and fire is not one that I would like to live in. Volunteer firemen have to drive to the station then to the fire. Deputies dont know the area, the people and feasably isnt really cheaper than what those guys are getting paid now. I dont know about you guys (michaelg, onlyincampbell) but I rather see campbell grow and succeed rather than think of ways to tear it down.

Billybob- "we have to do to save ourselves and get out of the whole krino's is creating."

-That hole's been dug over the past ten years cant blame the last six months! Its time to put a ladder at the bottom of that hole and climb out of it. And with sherman in there Campbell is gonna have a hard time. This is this guys first job and they give him a city's finances to manage. Not exactly the candidate I wouldve picked. He's not even sending out bills to some companies to get money!!!! What kind of s&*t is that?!

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16Billybob21(96 comments)posted 3 years, 10 months ago

Well, maybe if the chief, mayor and everyone would quit locking Sherman out of his office and city hall, maybe he could work on the city finances. Not to mention, pay the bills. And the city is trying to climb out of the hole. Everytime we try to climb out of it, mayor Krinos keeps pulling the ladder from under us with all his spending. The state said "NO" and NO MEANS NO MORE SPENDING. And now the mayor wants to bring on auxillary fireman and spend spend spend. What part of no doesn't he understand? I guess he is use to getting everything he ever wanted and doesn't know the meaning of NO. As for the whole voulunteer firefighter thing, it is pretty much what Campbell already has. We only have 1 most of the time, sometimes 2 firemen at the station so whenever all the fireman get there they have to drive to the station. Wow....imagine that. And Campbell isn't that big. I am sure deputies will learn the area, maybe they can even be fazed in. Maybe we could just cut the police to part-time and get assistance from the sheriiff. And, onlyincampbell and michaelg, you have it right; I think LOL needs to do some research before he talks.

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17L0L(607 comments)posted 3 years, 10 months ago

Sorry billybob, you dont have it right. So know what you're talking about before you open your mouth. The mayor and/or chief DO NOT lock sherman out of his office. The doors on city hall are not, I'll repeat, ARE NOT locked until little shermy calls down to the police dispatch and says that he is done for the day. Then, and only then, does an officer walk upstairs and lock up city hall. Shermy can stay in his little office for as long as his heart desires. So whats his excuse for not collecting money on bills he's not sending out? Been here six months and trying to tear down every dept. Sorry, wrong man for the job. And you can stop blaming Krinos for money problems. Campbell has been in this boat for how long now? How long under Dill? Nothing negative was ever said about Dill, why? Was everyone just fine with him running the city into the ground for a decade? Actually Krinos has tried to pass several money saving and making legislature but council blocks everything he does because they wabt him to fail. Because one of them want that mayors seat.

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