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Mayor Woodfin proposes $451M FY 2020 budget with focus in neighborhoods

THE BIRMINGHAM TIMES — Birmingham Mayor Randall Woodfin on Tuesday unveiled a $451 million fiscal 2020 budget that includes a focus on neighborhood revitalization and an increase in the pension fund for city employees. The budget is a 2.4 percent increase over the $440 million fiscal 2019 budget approved last year by the City Council. The fiscal year begins July 1.

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By Erica Wright

Birmingham Mayor Randall Woodfin on Tuesday unveiled a $451 million fiscal 2020 budget that includes a focus on neighborhood revitalization and an increase in the pension fund for city employees.

The budget is a 2.4 percent increase over the $440 million fiscal 2019 budget approved last year by the City Council. The fiscal year begins July 1.

The budget projects tax and license revenue increase of $6.5 million over 2019 which will be combined with $3 million of commercial construction fees and revenue from the state’s recently approved gas tax.

Up to $14 million in this year’s budget will go to neighborhood revitalization in the form of demolition, street paving, weed abatement and the Birmingham Land Bank Authority, which returns vacant, abandoned and tax-delinquent properties back to the tax rolls, the mayor said.

“These things are important as it relates to the issues I still hear when I’m addressing residents, whether it’s at a neighborhood meeting or church or at their door, [they’re saying] ‘mayor, please pave these streets and please tear these houses down,’” said Woodfin, who delivered his budget message to the council on Tuesday and residents at the Birmingham CrossPlex later in the evening.

Woodfin said his administration is not just talking about the concerns but the money that is in the budget reflects solutions.

The city is not proposing a cost-of-living adjustment (COLA) this year because of the money put toward areas such as merit pay ($3 million), health insurance ($3 million), longevity pay ($2 million) and the pension ($5.8 million) which totaled $13.8 million, the mayor said.

“We did not do a COLA this year, but it doesn’t mean we won’t do one next year, it means this year with the tough decisions we had to make including the number one priority of filling the pension, we couldn’t do all five at the level we wanted to,” he said.

Merit pay is performance-related pay that provides bonuses for workers who perform their jobs effectively according to certain criteria.

As for the pension, he said, “our greatest asset is our city employees and they deserve to have a fully-funded pension and I’m happy to say the city’s portion of meeting our obligation, we will actually meet in this budget. I would say tied for first place in this budget’s priorities were paving streets and our pension funding and we met both.”

Highlights of the mayor’s proposed budget include:

  • $8 million, street paving and pothole repair (an increase of $5.5 million over last year)
  • $5.8 million, pension contribution increase
  • $4.7 million, demolition and weed abatement (an increase of $1.5 million over last year)
  • $1.5 million real time crime center
  • $1 million, land bank (an increase of $650,000 over last year)

The spending plan has no funding for non-profit organizations, although the mayor said the city continues to support non-profits, but the focus has to be on public safety, he said.

“I have a moral obligation to public safety and public infrastructure as it relates to how to allocate the city’s tax dollars,” said Woodfin. “When you talk about public safety, that’s the main employee groups including police, fire and public works . . . you have to make those investments because no one else is responsible for [public safety and public infrastructure] . . .which means by moral obligation and by fiscal obligation, they’re the priority.”

The planned $1.5 million for a “real time” crime center will help the Birmingham Police Department modernize a digital-based records keeping program.

The mayor also announced The Birmingham Promise, which represents a $2 million commitment to secondary and post-secondary workforce development, creating apprenticeships and real opportunities for the city’s youth as they enter the job market.

“It is past the time as a city we commit to workforce development and the best place is to focus on our young people,” he said.

The mayor also is proposing to increase the discretionary fund for each council district to $100,000 from $50,000.

Neighborhoods

The investment in the land bank reflects an investment in the neighborhoods, Woodfin said.

The budget reflects a $700,000 increase in the Land Bank which has been in existence for about five years and the same amount of money has been in it every year, Woodfin said.

“We wanted to show neighborhood revitalization isn’t just about tearing down houses, you have to remove the blight but you don’t want a city that’s snaggletooth,” he said. “At some point you have to go back vertical on these empty lots which includes affordable and single family homes and when you add an additional $700,000 that sends a signal to this community that we’re serious about this land bank and it also puts me in a position to be able to go out here and talk to certain stakeholder groups and say the city has shown its commitment for its land bank.

“We’re showing our commitment to neighborhood revitalization by increasing the rate of moving these properties off the tax delinquency and moving them towards going back vertical on this empty lots,” he said.

The proposed operating budget and capital budget for the 2020 fiscal year can be found at www.birminghamal.gov/budget2020.

This article originally appeared in The Birmingham Times

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Activism

Community Celebrates Historic Oakland Billboard Agreements

We, the Oakland Billboard Economic Development Coalition, which includes Oakland’s six leading community health clinics, all ethnic chambers of commerce, and top community-based economic development organizations – celebrate the historic billboard agreements approved last year by the Oakland City Council. We have fought for this opportunity against the billboard monopoly, against Clear Channel, for five years. The agreements approved by Council set the bar for community benefits – nearly $70 Million over their lifetime, more than 23 times the total paid by all previous Clear Channel relocation agreements in Oakland combined.

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The Oakland Billboard Economic Development Coalition.
The Oakland Billboard Economic Development Coalition.

Grand Jury Report Incorrect – Council & Community Benefit

We, the Oakland Billboard Economic Development Coalition, which includes Oakland’s six leading community health clinics, all ethnic chambers of commerce, and top community-based economic development organizations – celebrate the historic billboard agreements approved last year by the Oakland City Council. We have fought for this opportunity against the billboard monopoly, against Clear Channel, for five years. The agreements approved by Council set the bar for community benefits – nearly $70 Million over their lifetime, more than 23 times the total paid by all previous Clear Channel relocation agreements in Oakland combined.

Unfortunately, a recent flawed Grand Jury report got it wrong, so we feel compelled to correct the record:

  1. Regarding the claim that the decision was made hastily, the report itself belies that claim. The process was five years in the making, with two and a half years from the first City Council hearing to the final vote. Along the way, as the report describes, there were multiple Planning Commission hearings, public stakeholder outreach meetings, a Council Committee meeting, and then a vote by the full Council. Not only was this not hasty, it had far more scrutiny than any of the previous relocation agreements approved by the City with Clear Channel, all of which provide 1/23 of the benefits of the Becker/OFI agreements approved by the Council.
  2. More importantly, the agreements will actually bring millions to the City and community, nearly $70M to be exact, 23 times the previous Clear Channel relocation agreements combined. They certainly will not cost the city money, especially since nothing would have been on the table at all if our Coalition had not been fighting for it. Right before the decisive City Council Committee hearing, in the final weeks before the full Council vote, there was a hastily submitted last-minute “proposal” by Clear Channel that was debunked as based on non-legal and non-economically viable sites, and relying entirely on the endorsement of a consultant that boasts Clear Channel as their biggest client and whose decisions map to Clear Channel’s monopolistic interests all over the country. Some City staff believed these unrealistic numbers based on false premises, and, since they only interviewed City staff, the Grand Jury report reiterated this misinformation, but it was just part of Clear Channel’s tried and true monopolistic practices of seeking to derail agreements that actually set the new standard for billboard community benefits. Furthermore, our proposals are not mutually exclusive – if Clear Channel’s proposal was real, why had they not brought it forward previously? Why have they not brought it forward since? Because it was not a real proposal – it was nothing but smoke and mirrors, as the Clear Channel’s former Vice President stated publicly at Council.

Speaking on behalf of the community health clinics that are the primary beneficiaries of the billboard funding, La Clinica de la Raza CEO Jane Garcia, states: “In this case, the City Council did the right thing – listening to the community that fought for five years to create this opportunity that is offering the City and community more than twenty times what previous billboard relocation agreements have offered.”

 

Oakland Billboard Economic Development Coalition

Native American Health Center La Clínica de la Raza West Oakland Health Center
Asian Health Services Oakland LGBTQ Center Roots Community Health Center
The Unity Council Black Cultural Zone Visit Oakland
Oakland African American Chamber of Commerce Oakland Chinatown Chamber of Commerce Oakland Vietnamese Chamber of Commerce
Oakland Latino Chamber of Commerce Building Trades of Alameda County (partial list)
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Activism

Grocery Inflation Causes Food Banks to be the Default for Families in Oakland

Steve Morris, Director of Natural Resources and Environment at GAO, explained that while the pandemic certainly had an effect on food increases, there is not one single factor for a rise in food prices. He said events like the Ukraine-Russian war, the avian influenza epidemic that raised the price of eggs, and climate change are also key factors.

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Photo: iStock image.
Photo: iStock image.

By Magaly Muñoz

During the past three years, the US has seen the largest increase in food prices since the 1980s. In response to this crisis, community food banks have emerged to provide much-needed assistance to families in need.

The U.S. Government Accountability Office (GAO) reports that national food prices have increased 11% from 2021 to 2022, when the average yearly increase was previously 2%. The San Francisco Bay Area saw a 12% increase from 2021 to 2022.

Steve Morris, Director of Natural Resources and Environment at GAO, explained that while the pandemic certainly had an effect on food increases, there is not one single factor for a rise in food prices. He said events like the Ukraine-Russian war, the avian influenza epidemic that raised the price of eggs, and climate change are also key factors.

While still maintaining that elevated prices will persist for the foreseeable future, Morris anticipates a decrease of 8% in food price increases.

He also stated that while the average person may spend 10% of their income on groceries, a low-income family may spend 30%, making the inflation in food prices that much harsher.

“Higher food prices can put people in a position where they have to make some tough choices between ‘can they go to the grocery store and buy food’ or ‘do they have to spend it on other necessities like home or health care or other things,’” Morris said.

Michael Altfest is the Director of Community Engagement and Marketing for Alameda County (AC) Food Bank, the primary food distributor in the county with over 400 community partners that receive frequent donations.

Altfest shared that from 2019 to 2023, the number of pounds of food distributed to their community partners has doubled. In 2019, the food bank distributed 32.5 million pounds of food, while in 2021 during the height of the pandemic, they distributed 58.1 million pounds. This year they are on pace to distribute almost 60 million pounds of food.

“If we’re on pace this year to provide more than we did in the pandemic, I think that says a lot about what the state of hunger is right now,” Altfest said.

During the height of the pandemic, state and federal government relief programs helped families offset significant expenses like groceries. These programs included the child tax credit increase that put anywhere from $2,000 up to $3,600 back into qualifying families pockets when filing their yearly taxes.

Another program that directly targeted food insecurity, was the increase in funds for SNAP or CalFresh. These government programs provide food-purchasing assistance for low- and no-income people to help them maintain adequate nutrition and health. But earlier this spring, funding was cut from the state program CalFresh and families saw at least a $95 decrease in their assistance.

“Every single person talks about the cost of living in Alameda County, every single person. The cost of rent, the cost of food, those are things that come up every single time without fail,” Altfest shared.

One of AC Food Bank’s community partners is Homies Empowerment, a non-profit in Oakland that was established as a means to support youth and the community through a positive lens.

Selena Duarte, the FREEdom Store Coordinator, said the organization’s initiative to help families with food provision began in May of 2020 when their original store was filled only with books and students told them that while it was nice to have things to read, “they can’t eat books,” showing the team at Homies Empowerment that there were bigger needs in the community that they had to address.

Since then, the organization has expanded its services. They now provide groceries every Tuesday, have established the FREEdom Farm where they grow produce that gets distributed in their make-shift store, offer hot breakfast to 40 students and their families five days a week, and much more.

Duarte said that they serve almost 400 families a week and they are continuing to expand their food services due to the increasing number of people coming to them seeking help to reduce their spending on groceries. She recognized that although people say that the “pandemic is over”, she knows that the stress that families are experiencing is still very real.

“The next phase is really becoming a sustainable community food hub, where literally we can grow, share, cook, and store our food here in the community and for the community,” Duarte said.

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Bay Area

PG&E Increases Rates While Bay Area Households Are Struggling to Stay Afloat

Prior to the pandemic, less than 2% of callers were asking for utility assistance, but in the last year that percentage has grown to 8.2%, according to Eden I&R data. Oakland made up 40% of the calls to 211, with Black and Latino individuals and single parents making up the majority of the callers. Female callers made up over double that of male callers and most ranged from 25 to 64 years old.

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PG&E is increasing utility rates for Californians causing the cost of living to rise as millions of residents struggle to pay their bills. Photo: iStock image.
PG&E is increasing utility rates for Californians causing the cost of living to rise as millions of residents struggle to pay their bills. Photo: iStock image.

By Magaly Muñoz

The cost of living is growing as millions of California customers will soon start to see the effects of PG&E raising their rates after a case ruling that will hike up monthly utility bills and ultimately raise the cost of living for struggling residents.

The California Public Utilities Commission (CPUC) agreed in November to a request by the electric company for $13.5 billion for wildfire system enhancement and undergrounding, vegetation management, and capacity upgrades.

Starting Jan. 1, residents will see a nearly $33 increase in their upcoming electric and natural gas bill.

Mark Toney, Executive Director of The Utility Reform Network (TURN), an advocacy group, said that low-income families would be most affected by the change.

“I like to say we want the most green for the least green, and the cost of ‘greening the grid’ should not be cutting off low-income families of color from the grid because the monthly bills are too doggone high,” Toney said.

Toney said he was worried that if the cost of utilities continues to increase, some families would be unable to make their payments and would therefore, lose power.

If families choose cost-saving alternatives like using candles, the potential for a fire rises if families with small children accidentally knock something over and don’t put it out in time. People also rely on medical devices for health-related reasons to be hooked up for long periods of time, which could contribute to high costs in electricity bills.

Some Bay Area residents are already struggling to pay their utility bills.

Longtime Oakland resident, Rev. Dr. Barbara Jim-George has found herself using odd, potentially dangerous, alternatives to using her central heat, such as leaving open a hot oven to warm her living room because her apartment is “like a walk-in freezer.”

The CDC has warned against using this method to heat up your home as it can disperse dangerous pollutants and gasses, like carbon monoxide, and worsen already existing lung diseases.

“I can leave something sitting out on my table at night and it’s just fine as it would be in the refrigerator,” Jim-George said.

She had retired from her job in 2014 and was living on a tight budget for a few years until she found herself back at work in 2018 because her social security checks weren’t enough to pay bills.

As the cold and rainy weeks persist, the reverend anticipates a higher utility bill in the mail soon.

Jim-George shared that she had a cousin who lost their home in the Camp Fire of 2018, the deadliest and most destructive wildfire in California’s history, and blamed PG&E for not learning from these tragedies to do what was best for customers.

“They [PG&E] should have buried lines long ago because we’re eating the cost for [their mistakes]. I think it’s negligent on their side to not have had the foresight to understand the issues beforehand,” Jim-George said.

While the reverend is one of many who will have to resort to budgets and taking on second jobs in order to keep up with high housing bills, organizations across the area have seen a large intake of housing and emergency needs for decades, increasing with the effects of the pandemic in the last four years.

The need for utility assistance has grown exponentially, with four times the amount of calls coming in about families who have been without energy or are months behind in bills and are at risk of losing power in their homes.

“Housing [and related needs] remains our top concern for callers calling 211,” Allison DeJung said.

DeJung is the Executive Director of Eden I&R, which operates the calls and messages from 211 Bay Area- a multilingual 24/7 information hotline that connects callers with resources in Alameda County.

She said that in the last fiscal year, her team received over 69,000 calls and they made about 113,000 referrals to programs and organizations in the county for issues related to housing, utilities, food assistance and more.

Prior to the pandemic, less than 2% of callers were asking for utility assistance, but in the last year that percentage has grown to 8.2%, according to Eden I&R data. Oakland made up 40% of the calls to 211, with Black and Latino individuals and single parents making up the majority of the callers. Female callers made up over double that of male callers and most ranged from 25 to 64 years old.

DeJung said most callers looking for help paying their utility services were connected to Spectrum Community Services.

Spectrum is a nonprofit organization that has financially assisted low-income families and individuals through utility, water, and food aid since 1971.

Last year they received nearly 10,000 applications for their Low Income Home Energy Assistance Program (LIHEAP), which helps households pay overdue energy bills. The organization was only able to help 5,000 of those applicants.

Black households, similar to data from Eden I&R, were the majority of applicants for utility assistance at Spectrum, along with the majority of assistance coming from Oakland residents.

Lara Calvert, Executive Director of Spectrum Community Services, said the lack of funding is the primary reason they have to turn away applicants.

Assistance can be granted once every 12 months, with a cap of $3000 in overdue bills. Calvert said the large cap is what also contributes to helping less people every year because if multiple people apply for large quantities of assistance, funding runs out quicker.

Spectrum prioritizes households that have people who are over 60, anybody who’s disabled in the home, people who have children five years or younger, as well as people with a higher overall energy burden for their home.

A high energy burden is when a family’s energy or utility bills take up the majority of a household’s monthly income, making it difficult to maintain a sustainable quality of life.

Calvert shared that although the beginning of the pandemic brought more attention to the organization, 2023 was the largest year for residents asking for assistance from the program and it doesn’t look like it’s going to slow down soon.

“We are anticipating continuing to have a large number of people seeking assistance this year that will far outstrip our amount of money that we have to give out,” Calvert said.

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