The Morning Report
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Friday, Aug. 11, 2006 | As I’ve stated often in letters and forums, Enron-by-the-Sea has only one realistic course of action left to recover its fiscal health-to impose a pension tax levy which would not require taxpayer approval, according to the City Charter, Section 76. Mayor Sanders refuses to consider this because of his half-baked political promise. City Attorney Mike Aguirre and in fact the whole City Council have the petty political agenda of avoiding taxpayer wrath so they can get reelected. Their ‘head-in-the-sand’ attitude has cost the city millions and untold angst. The Kroll Report exposes their biased, negligent and perhaps criminal attitude in avoiding this tough course of action.
As the Kroll Report states:
By relying on pension obligation bonds, “in our judgment, the city would continue to push off the burden of these obligations to further taxpayers while avoiding the difficult decisions that must be made,” Levitt said.
Bonds would burden ‘further taxpayers’ who are the yet unborn. It’s the current residents of San Diego who must pay for all the negligence and mismanagement of its elected city officials over the past 25 years – for its obligation to employee pensions and health insurance as well as for deferred infrastructures like sewer and water lines, streets, buildings and bridges. The time has come to pay up in full for all the goods and services provided its tax-averse citizenry.
“… the City Council… must go back to city residents and tell them clearly what they need to pay for in order to meet the long-term commitments the council has made.
As suggested in this Summary Report, it’s just a matter of time before a judge and jury mandate the sensible course of action of forcing the city to honor its employee pension and insurance obligations. It further states that the IRS (following New York City settlements for similar 401 violations) will no doubt soon force the city to pay up in full, any and all pilfered pension funds, to avoid expensive penalties and keep a tax deferred status.
The city cannot afford any further delays in wasteful litigation. Our politicized city officials must come to grips with their irresponsible, nontransparent and confiscatory conduct, by revising its Code and Charter to prevent this fiasco from ever occurring again. If our pampering politicians haven’t the courage to incur taxpayer wrath, the court will soon force them to do so, giving the political cover these bootlickers have likely been waiting for all along.