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Emergency manager speaks to 4th Ward residents

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By Kate Cole

Tuesday, February 21, 2012

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Flint's Emergency Financial Manager Michael Brown met with members of the 4th Ward Feb. 20 at Eastwood United Methodist Church for the fifth in a series of nine town hall meetings.

Brown was appointed by Gov. Rick Snyder and took office on Dec. 1, 2011, under Michigan's Law Public Act. 4. His assignment is to establish and implement a plan for Flint's long-term growth, prosperity and financial solvency. His salary is $170,000 a year.

Brown said the city currently faces a deficit of $12 million in the general fund at the end of the fiscal year in June. This number does not include pension benefits, also paid out of the general fund, but which may be subject to negotiation after talks with union members.

"My goal is to put together a  realistic budget for 2013 so that the city can live within their means," Brown said.

He said city services would be impacted, including public safety and the infrastructure.

"We need to plan well, implement well and make some tough decisions that will fundamentally change the way we operate," Brown continued.

He said the plan would focus on three areas — public safety, infrastructure and finances.

Brown is set to submit a deficit elimination plan to the governor to pay off the $12 million debt. That report is due Feb. 27 and will be tied to the fiscal 2013 budget.

According to Brown, 80 percent of the general fund budget is personnel costs, most subject to union contracts.

Under public safety, Brown said he would be working on the scrap metal theft problems, the high murder rate and breaking-and-entering offenses. He understands the police response rate is slow and the county jail is overcrowded. If there was a city jail, it too would be overcrowded, he said.

"We need to tackle these problems in a methodical way," Brown said.

Brown also noted that a major decision on where the city will get their water will also be under consideration. A broader town hall meeting will be held to to talk about the issue.

So far, Brown has eliminated two city agencies — the Ombudsman Office and the Civil Service Commission — saving the city over $600,000. Brown was also responsible for increasing revenue contracts that will result in an additional $1.2 million.

Brown will also go after grants like the $880,000 grant recently received from the U.S. Department of Energy for retrofitting City Hall. He said he would continue to look for grant money to support police and firefighters and for updating the water and sewer systems.

"We know that our infrastructure has a 30 percent water loss and is in need of major repairs," Brown added.

Rumors about the city's golf courses reopening were not yet fact, but Brown said that there are negotiations taking place and he hopes to see an outside group take over management of a couple of the courses soon.

Brown commented on the city's three senior centers saying that they have not been managed well and that he's hoping to contract with a nonprofit to improve senior services.

Residents had over an hour to ask questions.

A number of questions were asked about the increases in the amount of water bills and the associated service charges.

"Even if a homeowner attempts to conserve water, the service charge makes it impossible to cut your bill," said one resident.

Another resident asked why the county residents haven't seen hikes like the city has.

"Because the county passed on increases from Detroit each year, while the city, under a former administration, did not pass on increases keeping the water bills artificially low," said Brown.

Brown said that he is requesting an audit of the water department to identify where the revenues are going.

"We haven't updated our infrastructure in years. The water treatment plant needs a $60 million upgrade," Brown said

Another resident complained that his assessed valuation on his home had been lowered, but he would rather pay higher property taxes which he could write off on his income tax, than to pay higher water bills.

City Assessor Bill Fowler discussed property taxes.

Fowler said each year his department evaluates over 60,000 parcels in Flint and sets the assessed value. His group analyzes sales data and makes adjustments.

"This year we will see the largest market decline — an average of a 25 percent drop," Fowler said.

What to do with Genesee Towers and how much it's going to cost taxpayers was another question that drew audience questions.

"We have an estimate of $3.5 million to demolish the building," Brown said. "No one thinks it can be rehabilitated. We need to come up with a solution. Genesee Towers impedes the downtown development."

Brown said the city employs 125 police officers. Asked if he would consider a police millage to add to that number, Brown said before we ask for a tax increase we should better manage our existing and potential grants.

A resident asked how can people still be involved after the ward meetings are over.

Brown said there are at least four different ways for people to get involved. First, the master planning process calls for citywide involvement. Second, there will be a city charter commission to review and possibly update the charter. Third, a new call for citizens to join in Blue Badge public safety training has been issued. Lastly, a committee to identify ways for community engagement will be established.

In the area of public safety, Brown said that more police wouldn't solve the crime issue and recommended citizen engagement. He said he favors alternatives to incarceration for offenders like the Ceasefire program.

"If we want people to come here to live we are going to have to improve our public safety system," Brown added.

Commenting after the presentation, Flint businessman Donald Lada said, "I have always liked Brown. However, there has to be a long-term plan in place. There is no quick fix to the current problems. I am always glad when they allow the public to speak at these meetings. It was helpful to have Councilman Josh Freeman (Ward 4) present. He made the meeting run smoothly. One wonders where we go from here. There are lots of new circumstances that were not present during the last takeover."

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