El Cerrito’s Unresolved Crisis: “Four Years of Financial Mismanagement and Missed Opportunities” sheds additional light on the city’s persistent inability to navigate its financial quagmire, highlighting a series of missteps and inaction by city leadership. Despite several years of clear indicators of fiscal distress and specific recommendations by the independent auditor for reform, the CityContinue reading “Four + Years of Financial Mismanagement and Missed Opportunities”
Tag Archives: Daniel Borenstein
El Cerrito’s Compensation Study: Methodological Concerns and the Need for Comprehensive Analysis
Adjacent to Albany, where employees adhere to a standard 40-hour work week, El Cerrito’s staff operates under a 37.5-hour work schedule. This lower threshold of 37.5 hours not only leads to a 6% manpower shortfall for the city but also appears to encourage a cycle of justifications for not appropriately engaging stakeholders in relevant discussionsContinue reading “El Cerrito’s Compensation Study: Methodological Concerns and the Need for Comprehensive Analysis”
Ineffective Cost Reduction Strategy
In yesterday’s episode of Missed Opportunities, we told you that the financial imbalance warranted a dedicated article. Over the last four years, the state has expressed ongoing concerns about El Cerrito’s approach to managing its finances, particularly its lack of a specific strategy for reducing expenditures. Despite recognizing the necessity for substantial spending cuts inContinue reading “Ineffective Cost Reduction Strategy”
El Cerrito’s Fiscal Dilemma: Navigating Budget Adjustments Amid Declining Reserves
Tuesday’s City Council meeting highlighted proposed midyear budget adjustments. A key point in the discussion is the staff’s suggestion to lower the expected property transfer tax revenue by $1 million due to a downturn. Notably, there’s no mention of a corresponding expense reduction. Instead, City Staff recommended general fund withdrawal of $1 million. While theContinue reading “El Cerrito’s Fiscal Dilemma: Navigating Budget Adjustments Amid Declining Reserves”
Transparency and Trust Issues in Municipal Meeting and Info Sharing Practices
In January, the El Cerrito Citizens for Responsible Government (ECCRG) took a pivotal step by inquiring about the city’s handling of right-to-information requests made in 2023. They sought comprehensive details, including the outcomes of these requests and explanations for any denials. Although the city shared information about the requestors, topics, and dates, it notably omittedContinue reading “Transparency and Trust Issues in Municipal Meeting and Info Sharing Practices”
El Cerrito Quietly Renews City Manager’s Contract
On October 3, 2023, Resolution 2023-77 was quietly and unanimously passed by the City Council. The renewal included a hefty $450 car allowance although the City Manager lives in El Cerrito, a few miles from City Hall. In a recent turn of events, the City Manager, fresh off a contract renewal, displayed questionable judgment. Notably,Continue reading “El Cerrito Quietly Renews City Manager’s Contract”
Challenging Financial Oversight: A Critique of El Cerrito’s Budget Reporting Practices – Editor’s note below
Editor’s Note: Following the publication of this blog post, the City of El Cerrito staff made updates to the quarterly performance reports. These reports feature tables detailing revenue and expense categories, complete with annotations regarding budget percentages. This update is undeniably a positive move forward. The City Council Packet for Tuesday’s meeting was released today. Continue reading “Challenging Financial Oversight: A Critique of El Cerrito’s Budget Reporting Practices – Editor’s note below”
El Cerrito’s Fiscal Oversight: Missed Opportunities and the Urgent Need for Strategic Staffing and Pension Reform
In March 2023, the state auditor recommended that El Cerrito should evaluate its staffing levels prior to undertaking the Classification and Compensation Study. Despite this advice, El Cerrito proceeded to solicit proposals for a comprehensive classification and compensation study. This study aims to assess the city’s organizational structure, compensation practices, and policies. The outcome ofContinue reading “El Cerrito’s Fiscal Oversight: Missed Opportunities and the Urgent Need for Strategic Staffing and Pension Reform”
Calimesa Leads the Way: A Bold Solution to El Cerrito’s Fiscal Crisis
Calimesa Leads the Way: A Bold Solution to El Cerrito’s Fiscal Crisis El Cerrito faces an unfunded liability reported at $85 million, an amount surpassing its annual budget. The unfunded liability is the amount owed for pension costs that El Cerrito has not paid. With the California Public Employees’ Retirement System (CalPERS) applying a 6.8%Continue reading “Calimesa Leads the Way: A Bold Solution to El Cerrito’s Fiscal Crisis”
The Impact of Budget Amendments on City’s Financial Health
On Tuesday, the City Council authorized an expenditure that further narrows the financial safety net of our city, a resolution has been proposed to amend the Fiscal Year (FY) 2023-24 Adopted Budget and Capital Improvement Program. This action involves the allocation of $1,084,800 from the General Fund Unrestricted Fund Balance towards several park and facilityContinue reading “The Impact of Budget Amendments on City’s Financial Health”
California State Auditor’s Assessment Reveals Inadequate Cost-Cutting Measures in Ongoing Expenses
El Cerrito, California, informed the State Auditor that it planned to implement a fiscal recovery plan by summer 2021, including elements from the Auditor’s report. However, the city’s plans failed to effectively reduce ongoing costs. Their corrective action plan lacks a focused strategy for spending cuts, even though their five-year forecast acknowledges the need forContinue reading “California State Auditor’s Assessment Reveals Inadequate Cost-Cutting Measures in Ongoing Expenses”
Rising Tide of Pension Costs: El Cerrito’s Escalating Financial Challenge
El Cerrito’s financial struggles are largely due to its escalating pension debt, linked to the California Public Employees’ Retirement System (CalPERS). This debt saw a 67% increase from fiscal year 2014-15 to 2019-20, reaching $65.8 million by June 2020 and soaring to $85 million by June 2023. High pension liabilities mean rising costs over time,Continue reading “Rising Tide of Pension Costs: El Cerrito’s Escalating Financial Challenge”
Governance Matters: Expenses Continue to Outpace Revenue as Pension Liability Climbs – Microblog
In March 2023, El Cerrito unveiled its latest plan for financial improvement in response to a severe audit from the California State Auditor in 2021. This audit, part of a program targeting high-risk local governments, shed light on El Cerrito’s precarious financial state and tendency towards excessive expenditure. One key factor in the city’s revenueContinue reading “Governance Matters: Expenses Continue to Outpace Revenue as Pension Liability Climbs – Microblog”
State Auditor’s RoadMap: The Path to Success
The City of El Cerrito, while initially agreeing with some of the State Auditor’s recommendations, has shown a lack of commitment in implementing these suggestions, particularly in managing its financial struggles. The city’s budgets have consistently shown increased expenditures without justifying the rises, and its budget policy lacks clear procedures for monitoring departmental spending. ThisContinue reading “State Auditor’s RoadMap: The Path to Success”
City’s State of Affairs Address: Citizens Seek Authenticity Amidst Reality
In Tuesday’s annual State of the City address, outgoing El Cerrito Mayor Lisa Motoyama delivered a message of optimism and progress for our beloved city. While the tone was cheerful, it’s essential to consider the broader context and some missed points that are crucial for a complete understanding of El Cerrito’s current situation. Her optimisticContinue reading “City’s State of Affairs Address: Citizens Seek Authenticity Amidst Reality”
Accountability and Transparency Must Be More Than Just Buzzwords
After 12 years as Assistant City Manager, Karen Pinkos became City Manager on January 1, 2019. Since then, several disturbing events have happened under her watch, yet she acknowledges none, nor has she addressed these significant and catastrophic issues. As the City Manager conducts business as usual, she has two patented phrases. One of herContinue reading “Accountability and Transparency Must Be More Than Just Buzzwords”
Blog Purpose: Promoting Transparency and Accountability
As the year draws to a close, it’s important to reflect on the core purpose of this blog. Our goal has always been to promote responsible, sustainable, and transparent governance in El Cerrito. Each post we publish is aligned with this objective. At El Cerrito Community for Responsible Government, we’re aware that some of ourContinue reading “Blog Purpose: Promoting Transparency and Accountability”
Doing the same thing over and over and expecting a different result
City Leadership: It’s not Us, It’s You. You just don’t understand. Citizens: Most residents want a new and improved library. We support the City’s efforts, but clearly not at any cost. In 2016, the initial attempt to secure a library bond in El Cerrito faced a resounding rejection from the Citizens. The bond measure crumbled dueContinue reading “Doing the same thing over and over and expecting a different result”
A Critical Look at El Cerrito’s City Management: Where Are the Funds Going? Read on:
In previous blogs, we delved further into the intriguing world of governance, or more pointedly, the absence thereof. To date, several people have chimed in to say that all candidates live in El Cerrito. But the blog’s crux is governance, and governance is the epicenter of El Cerrito’s woes. In this case: No one hasContinue reading “A Critical Look at El Cerrito’s City Management: Where Are the Funds Going? Read on:”
When a city goes bankrupt:Vallejo case study
As we continue toward the new year, it’s crucial to revisit a topic of utmost importance – the city’s financial health and the looming threat of increased taxes. Originally published in January 2021, this blog post is being brought back to spotlight the ongoing concerns surrounding our city’s fiscal mismanagement. Despite previous warnings, there isContinue reading “When a city goes bankrupt:Vallejo case study”