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Economic Crisis News
January 2009

Municipal officials worry about how cities, towns will get by with less state aid
Boston Globe (01/31/09)
With Governor Deval Patrick's release of town-by-town local aid cuts for the current fiscal year and the next -- amounting to millions of dollars for many individual communities -- officials across Massachusetts have begun the grim tasks of freezing pay, leaving staff vacancies unfilled and preparing for layoffs expected to number in the thousands. Take New Bedford, which lost $2.8 million immediately and could lose another $8.2 million next year. Mayor Scott W. Lang is asking the city's nearly 4,000 employees to accept an across-the-board 10 percent pay cut this year, the elimination of some holidays and a pay freeze next year. If unions do not agree, Lang said, he will have to lay off hundreds of people. "Crime's not taking layoffs, fires won't be subject to attrition and the day-to-day necessary services certainly aren't going to diminish as a result of these constrictions to the budget," said Lang, whose city covers roughly half its $285 million budget with aid from the state. "What we need to do is find a way to keep people in jobs, which is the most important task we can accomplish right now in this economy."
 
Toledo fire, police layoffs possible
Toledo Blade (01/31/09)
Toledo Mayor Carty Finkbeiner doesn't intend to lay off police officers and fire fighters to fix the city's budget crisis, but the possibility is not completely out of the question.  Toledo City Council was told it must erase an $8.1 million deficit to close out 2008 -- a shortfall many thought would be much smaller because council last month had redirected $8 million of unspent capital improvement money to help plug the hole. Robert Reinbolt, chief of staff to Mayor Carty Finkbeiner, said officials "are exploring a variety of options to balance the budget."
"At this point today, there is not any number of police officers or fire officers to be laid off," Mr. Reinbolt said. "Now, I would be lying to you if I said those options are not being looked at." He said the city's $6.4 million rainy-day fund would be applied to the 2008 deficit. Because $2 million of that was earmarked for the 2009 general-fund budget, the 2009 plan would need to be revised with more cuts, inflated revenue assumptions or anticipated savings.

 
Bakersfield cuts special units due to hiring freeze
Bakersfield Californian (01/31/09)
The hiring freeze in Bakersfield city government has forced the police department to disband some of its specialized units to keep the patrol and traffic enforcement divisions fully staffed, Police Chief Bill Rector said.
The city has pulled officers out of schools and disbanded narcotics teams to redirect resources into core department functions. The department has lost 22 sworn positions, plus nine civilian positions since the city adopted its budget last summer. Nobody has been laid off, but employees who retired or left for other reasons haven’t been replaced. 
 
Union Forgoes Raises In Effort To Keep Firefighters' Jobs
WBNS TV (01/31/09)
The union representing Lancaster fire fighters voted unanimously to eliminate overtime and forgo a 3 percent pay raise in an effort to save the jobs of fellow fire fighters. The vote came after city council passed a budget cutting five fire fighting jobs. By agreeing to forgo raises and slash overtime, the city has $330,000 of the $390,000 it needed to keep the jobs. K.J. Watts, vice president of the Ohio Association of Professional Fire Fighters, said, "We have a pretty good working relationship with the city council of Lancaster and we've been working with them hand-in-hand to try to develop what we thought was a good proposal," Watts said.
 
Fewer Cops And Firefighters
New York Daily News (01/31/09)
In his FY 2010 budget proposal, Mayor Bloomberg is providing details of the latest round of agency "gap closing actions" he ordered in December that are expected to save the city close to $1 billion. They include reducing the NYPD uniform headcount by 1,000 (-$48.9 million) and eliminating companies in dual-company firehouses or axing the fifth fire fighter on 64 engines (-$17 million).
 
Wall Street's multi-year losses may hit $70 billion
Reuters (01/30/09)
Wall Street's losses may eventually total $60 billion to $70 billion, including the $47 billion that securities firms have lost in the last two years, said New York Mayor Michael Bloomberg. As many as 46,000 financial workers may lose their jobs by the second quarter of 2010, the mayor said at a news conference to unveil his new budget. Bloomberg, the billionaire who made his first fortune on Wall Street, stressed the pain the industry is inflicting on the city. As many as 300,000 people could lose their jobs as a result of the crisis, he said. If the current 30 percent drop in the pension fund's assets continues, the city will have to contribute $11 billion more through fiscal 2016. The mayor, who must close a $4 billion budget gap in the current election year, predicted a lengthy economic recovery for both the city and nation.
 
Budget crisis risks fewer police, firefighters
Associated Press (01/30/09)
Fewer police and fire fighters may be reporting for duty if Rhode Island lawmakers pass Governor Don Carcieri’s cost-cutting plan. Carcieri has proposed cutting state funding to cities and towns to close a $357 million budget deficit for the year ending in June. That’s nearly 11 percent of expected state spending. To help municipal governments facing cuts, Carcieri wants to ban police and fire fighters unions from reaching contracts specifying how many people must be on duty and how they are deployed. North Providence Mayor Charles Lombardi said his city could save about $650,000 in overtime pay by loosening the fire department’s staffing rules. Union officials argue the rules are designed to keep fire fighters and police officers safe while doing dangerous work.
 
Keokuk budget woes persist
Keokuk Gate City Daily (01/30/09)
Despite meeting for more than three hours, the Keokuk City Council is still facing a $366,964 deficit in the general fund for the new fiscal year starting July 1. The general fund covers such city services as public safety, public works, culture and recreation, economic development and general government. The projected general fund deficit is based on 2 percent departmental budget hikes. However, many departments have included 4 to 4.5 percent wage increases in their requests for 2009-10. In addition, the police union asked for an 8 percent increase in wages in its initial contract proposal. Negotiations with the fire fighters' union probably will begin next fall.
 
City of Dayton closer to approving grim 2009 budget
Dayton Daily News (01/29/09)
The Dayton City Commission moved closer to approving a grim, but balanced budget for 2009 that includes about 30 layoffs. No residents braved the ice and snowstorm to attend a public hearing to weigh in on the city's proposed spending for the year. A second public hearing will be on February 4 at City Hall, during the 6:00 p.m. City Commission meeting. As proposed, the $167 million general fund budget represents a 3.1 percent decrease over 2008 spending or $5.28 million less. Budget priorities included police, economic development and infrastructure. A proposed reorganization of the Dayton Fire Department, including demotion of 10 district chiefs, was built into the budget, but has not been implemented. Discussions with the Dayton Firefighters Union Local 136 are ongoing.
 
More police, firefighters included in Urbandale budget plan
Des Moines Register (01/29/09)
Despite an economic recession that is forcing many governments to cut their budgets, Urbandale leaders plan to add police and fire staffing next fiscal year. Urbandale City Manager Robert Layton recommended during a City Council budget work session that two to six new fire fighter/emergency medical technicians and one new police officer be hired. The new positions are to be added without increasing the city's property tax rate of $9.22 per $1,000 of valuation, in part because four of the fire fighter hires are contingent on the city receiving a grant from the Federal Emergency Management Agency. If approved, the federal money would pay for 90 percent of the cost of the fire positions in the first year of the five-year grant. The federal match decreases each year until the fifth year, when the city would assume total cost for the new positions.
 
Furlough of state workers must start now, court says
Los Angeles Times (01/29/09)
A state court has ordered government officials to immediately implement Governor Arnold Schwarzenegger's executive order requiring state employees take two days off without pay each month, denying claims by unions and the state controller that the order is illegal. The decision by Sacramento Superior Court Patrick Marlette clears the way for 238,000 state employees to be furloughed on the first and third Fridays of each month starting February 6. Marlette said in his ruling that the governor has the authority to implement such cuts during an emergency.
 
Unions agree to relinquish pay raises in budget crunch
San Diego Union-Tribune (01/29/09)
Chula Vista employee unions are giving up their next two pay raises to help city officials avoid layoffs as they grapple with a budget deficit. The first of the four unions to forfeit raises were the Chula Vista Employees Association and the engineers union. Next week, the firefighters union is voting and is also expected to agree to forgo raises.
 
Redlands firefighters to take unpaid furloughs
The Press Enterprise (01/29/09)
Fire fighters in Redlands have agreed to take 90 hours each of unpaid furlough time, a move that is expected to help the city slash nearly $3 million in expenses. The agreement between Redlands Professional Firefighters and the city will save more than $214,000. The fire fighters join Redlands police and other city employees who have agreed to take unpaid furloughs. Fire fighters also previously agreed to a 50 percent cut in comp time, saving about $80,000, said Terry Welsh, president of Redlands Professional Firefighters.
 
Portsmouth police, fire depts. trying to tighten belts to zero increase
Foster's Daily Democrat (01/29/09)
Providing public safety could get much harder for the local police and fire departments which are trying to craft budgets that reflect the mayoral mandate of a zero budget increase. Both departments are battling with a scheduled 3 percent increase in health benefits, retirement costs and step raises, which essentially means they will have to look to cut 3 percent from their budgets to meet Mayor Tom Ferrini's mandate.
 
Tampa Gets Grant To Hire Firefighters
The Tampa Tribune (01/29/09)
The city's fire department plans to hire three dozen new fire fighters after being approved for a $4 million federal grant from the U.S. Department of Homeland Security. The funding will come from a Staffing for Adequate Fire and Emergency Response (SAFER) grant that can be used to hire and train fire fighters to be ready in case of natural disasters, terrorism or other catastrophes. Captain Bill Wade, a Tampa Fire Rescue spokesman, said the money will be used to hire 36 entry-level fire fighters at $35,000 a year with benefits. He said the department's efforts to bring staffing levels up to national standards have been constrained by budget cuts.
 
More police, firefighters included in Urbandale budget plan
Des Moines Register (01/29/09)
Despite an economic recession that is forcing many governments to cut their budgets, Urbandale leaders plan to add police and fire staffing next fiscal year. Urbandale City Manager Robert Layton recommended during a City Council budget work session that two to six new firefighter/emergency medical technicians and one new police officer be hired. The new positions are to be added without increasing the city's property tax rate of $9.22 per $1,000 of valuation, in part because four of the fire fighter hires are contingent on the city receiving a grant from the Federal Emergency Management Agency.
 
Budget cutbacks hit Pasadena Fire Dept.
Pasadena Star-News (01/28/09)
The city is exploring options to slash the budget of its fire department as part of a wider effort to close an estimated $10 million deficit. The city proposes eliminating bonus pay for fire fighters trained as paramedics. The fire fighters union will likely counter with a plan to cut department salaries by 1 percent across the board, union officials said. Each city department has been asked to cut 5 percent of its costs from last year. The Fire Department, however, will not come close to being able to meet that target, Fire Chief Dennis Downs said.
The cuts from each of the proposed plans would provide only 1 percent savings over last year, he said.
"The only way to get to 5 percent is if you start closing fire stations," Downs said. Under the city's proposal, 20 fire captains and engineers would no longer receive extra pay for acting as paramedics while riding on city fire engines. Though trained as paramedics, the fire fighters would instead be classified as Emergency Medical Technicians (EMTs).
 
Letter: Layoff notices a poor decision
Enterprise-Record (01/28/09)
I am concerned about the recent decision to lay off a number of fire fighters and reduce daily staffing levels. I have an extensive background in fire fighter negotiations representing the employer and developing standards for fire service response. Normally, employee groups are reluctant to give up pay and benefits that have previously been, in good faith, negotiated and agreed upon. The fact the leaders of the fire fighters union were able to get significant concessions from its membership was remarkable. I give my kudos to the union leadership and to the rank and file for being a team player in a time of need. The city is not in compliance with federal staffing and response standards. In the alternative to those nationally recognized standards, the city has not formally adopted its own "local" standards of coverage policy (minimum staffing being a part of that).
Reductions in staffing levels as a result of the layoffs would further exacerbate this problem and would increase the risk and danger to the citizens of this community, as well as increasing the risk to fire fighter safety.

 
Baltimore City pensions lose $600 million
Baltimore Examiner (01/28/09)
Mounting losses for Baltimore City's pension funds are forcing officials to brace for millions of dollars in increased contributions come July, further adding to the fiscal woes of a city facing declining tax revenues across the board. Actuaries have determined the city must increase its contribution to retirees' benefits by $20 million over the previous fiscal year -- a 15 percent increase. Taxpayers will have to make that up by either paying more or suffering service cuts. Or city employees must contribute more and get less. The rising costs stem in part from $600 million in combined loses through the first six months of fiscal 2009 for the city Fire and Police Employees' Retirement System as well the city Employees' Retirement System funds, pushing total contributions due July 1 to $126 million, a record amount for a city that contributed roughly $23 million to both funds as recently as 2000. "It's ugly, and based on the market performance it's going to get a lot uglier," said Thomas Taneyhil, executive director of the Fire and Police Pension fund that pays the retirement costs for city fire fighters and police. "There's no precedent for this type of market."
 
Pension cuts on table to balance budget
Providence Eyewitness News (01/28/09)
Thousands of local fire fighters and police officers face cuts to their pensions. The changes are on the table as lawmakers search for ways to blot the red ink in the current budget. There are no predictions how much the changes would save, if they're approved. The house finance was told a higher retirement age alone could save about four and a half million dollars. Retirement age would be pushed up by a year and disability allowances would get pushed back. Firefighters argue severance pay from what they say would be a mass exodus of fire fighters would cost communities more than the cuts would save. Paul Doughty from the Providence Firefighter union says, "There talking about co-pays when you retire. No healthcare until you reach 55."
 
Great Falls leaders agree to fund 16 additional firefighters
Montana's News Station (01/28/09)
Great Falls Fire Rescue will be adding 16 new fire fighters to their staff in 2009. The City Commission threw their support behind the move at a special meeting. Fire Rescue had to determine whether or not they would accept a federal grant worth $1.7 million. Along with that Homeland Security grant, the city must commit to local funding for the new hires, which will cost the city more than $3 million dollars over five years. The 16 additional fire fighters will bring Great Falls Fire Rescue up to national fire fighting standards.
 
Airport cuts round-the-clock paramedics
Beaver County Times (01/27/09)
The Allegheny County Airport Authority will stop paying to have a paramedic at Pittsburgh International Airport around the clock starting in February. The authority has paid $130,000 a year for the 24-hour paramedic service over the last six years. The move, however, shouldn’t affect emergency response times or compromise safety at the airport, said airport spokesman Jeff Martinelli. “We now have four-minute responses on average, and we’re looking to keep it that way or make it better,” Martinelli said. Martinelli said the authority’s fire department is still based on airport property, and its emergency medical technicians will continue to serve as first responders on all medical calls.
 
Reno wants unions to agree to reduced pay, less hours
Reno Gazette (01/27/09)
Reno officials said cutting $13.5 million from the budget would mean laying off up to 79 police employees and 90 fire employees, resulting in slower response times and closed fire stations. The City Council will consider cutting between $3.3 million and $13.5 million from the 2009-10 budget. At the highest number, that would mean laying off 210 employees if declines in sales tax and other revenues continue. Kevin Knutson, city community relations director, said the numbers are not meant as a threat to city unions who have been asked to give up cost-of-living raises. Reno police and fire union officials said they want the city manager to share revenue projections that would trigger employee layoffs before the unions agree to open their contracts to salary cuts. The unions also want a report on their proposals to cut costs before considering reduction in pay or hours.
 
Pension plan worse off than many
News-Leader (01/27/09)
The woes faced by Springfield's wounded police/fire pension fund are daunting, but by no means unprecedented. With current assets covering only about 33 percent of benefits promised its officers and fire fighters, the city's fund is worse off than many other systems, according to a study from the Center for Retirement Research at Boston College. The Boston College study, released last month, found many municipal pension systems in the country are healthy, with asset-to-liability ratios of 80 percent or higher.
 
Greenfield to lay off 4 firefighters
Chillicothe Gazette (01/27/09)
Buckskin Township Trustee Robert Wiley doesn't see the township being deeply impacted by the announcement of upcoming layoffs at the Greenfield Fire Department. Overall Greenfield city operations, however, will see significant changes now and, potentially, in the future if the economy does not turn around soon. Greenfield City Council approved budget cuts proposed by City Manager Charley Bowman that included the layoffs. Outlined in the proposal were the layoffs of one person in the finance department, four full-time fire fighters, two positions in the police department and a second position identified only as being "in the public service." Presently, the city provides fire protection to four townships: Madison, Buckskin, Paint and Perry. Collectively, the four fire protection contracts provide about 18 percent of the total revenue for the Greenfield Fire Department.
 
Budget Cut Showdown Nears
KRDO Colorado (01/27/09)
Fire fighters are concerned that some of their newest members may lose their jobs in the next round of city budget cuts. Nineteen fire fighters were in the last academy class. Union President Lt. Mike Smaldino says he understands the situation, but fears layoffs will affect response times, safety and efficiency for the fire department. Smaldino has met several times with the newest fire fighters leading up to cuts expected by the City Council. "There isn't a while lot we can cut," Smaldino explains. "We haven't been in this position. There's a lot of nervous fire fighters out there, and I can't blame them right now." 
 
Cut Costs at Fire Department
Telegraph-Journal (01/27/09)
Most fire halls in Canada would envy the number of fire fighters, fire stations and equipment in Saint John.
In a city with only 68,000 people, 161 full-time fire fighters operate out of seven stations with some of the best equipment available. The Insurers' Advisory Organization has deemed the level of protection so high, it has credited Saint John businesses with a coveted two rating. This positions the Saint John Fire Department as one of the top 20 fire services in the country. The high level of protection comes at a big cost. With a $20.4-million budget this year, the local fire department is by far the costliest in the province. That's nearly $300 for each person who lives in Saint John. It's stunning, then, that Saint John Mayor Ivan Court takes issue with people who complain about the price.
 
New Jersey Legislature committees back controversial plans to boost municipal finances
The Express Times (01/27/09)
Two legislative committees separately pushed through controversial measures intended to aid municipalities during the recession. One measure, approved 7-5 in the Assembly budget committee, would allow towns to cut in half their contributions to the public workers pension system due April 1. The bill would defer a portion of the payments over the next two years, with greater contributions due as early as 2012. The other bill, cleared 4-0 with one abstention in the Senate economic growth committee, would place an 18-month moratorium on charging commercial developers a 2.5 percent fee, which goes toward building affordable housing. Instead, the state would kick in money to make up for some of the lost revenue. In absence of state funding, affordable housing obligations would be suspended under the measure.
 
Mayor, EH unions meet over economic woes
Journal Inquirer (01/27/09)
Following the reduction of 19 town positions, including eight immediate layoffs, Mayor Melody A. Currey met with union heads to ask for input on how to weather the economic storm. Currey announced earlier that the town faces a $5 million hole as a result of revenue deficits directly related to the struggling economy. She responded by cutting the 19 positions from the budget with eight immediate layoffs. The rest of the changes will take place through retirements and by not filling posted vacancies.
 
Public pensions are weighing on taxpayers
Rochester Democrat and Chronicle (01/27/09)
Taxpayer support of state and local public employee retirement programs has increased more in New York than any other state except Arizona, recently released U.S. Census data show — and the Empire State's $486-per-resident cost in 2007 ranked highest in the nation.
 
Proposed city budget cuts would eliminate 11 positions
Newton daily News (01/27/09)
Fewer library hours, decreased parking enforcement, slower snow removal and taller grass on city property are just a few of the service changes that Newton residents could see under proposed budget cuts. Newton city department heads presented options for dealing with a roughly $800,000 budget shortfall the city will see in the upcoming fiscal year. Interim City Administrator Tom Wardlow previously instructed each department to illustrate for city council what 8 percent cuts would look like. The group put together options recommending $737,569 in cuts and revenue enhancements that would include losing 11 positions and cutting some hours for other employees. In all, the proposal includes eliminating three police positions, three fire positions, three public works positions, two part-time library positions and reducing parks department full-time employees to 38 hours a week. Wardlow indicated that the city would seek to use attrition wherever possible for the job cuts, including upcoming retirements in police and fire that could help meet the need.
 
Unions tell Atlantic City to look elsewhere for funding
Press of Atlantic City (01/27/09)
A coalition of eight labor unions in the resort appears unmoved by the city's attempts to save millions by reworking their contracts, and it dismissed at least one proposal from the Langford administration outright, according to a letter from a union attorney to city officials. The letter lists a number of areas where the coalition feels the city could save before asking for concessions from the labor groups. It also offers suggestions that would not cost workers money, such as four-day workweeks. "At this point in the process," union attorney Robert O'Brien wrote to city labor attorney Steven Glickman, "I have been asked to convey to you that none of the unions representing the city's employees are willing to modify their respective labor contracts."
 
Council approves budget laying off firefighters, eliminating jobs
Lancaster Eagle Gazette (01/27/09)
A local fire union representative asked the Lancaster City Council to save five fire fighters' jobs by using part of the income tax collected for a third medic. "We want to use the money in the right way," said President of International Association of Firefighters Local 291 K.J. Watts, who asked the Council to use $270,000 of the $800,000 unused medic fund. He said the money would be used in part to maintain the current level of service.
His request didn't matter as Council voted unanimously to approve the 2009 budget and to suspend the rules and waive the third reading of the budget resolution. The Council approved the $113,626,303.36 total budget, which includes the $25,664,460 general fund budget that was trimmed by $2 million since early January.
 
Columbus Firefighters Agree To Delay Pay Raises
10 TV News (01/26/09)
The union representing city fire fighters has informed Mayor Michael Coleman's Office that its members will accept a pay raise delay. Mayor spokesman Dan Williamson told 10TV News that Coleman was reviewing the union's offer and would issue a statement later in the day. "This is an unprecedented action by our fire fighters, but it was necessary for their life safety through 2009," said union President Jack Reall. "With no economic relief in sight and no plans for revenue generation, fire fighters were concerned about fire and police layoffs that would jeopardize their safety at emergency scenes." 
 
Fulton hiring back 5 firefighters, 1 captain
The Atlanta Journal-Constitution (01/25/09)
A half-dozen Fulton County fire fighters who lost their jobs in October are coming back to work in early February. Fulton County laid off 33 fire fighters last fall because of budget concerns. But thanks to several retirements and financial moves by county officials, six are coming back to work, said fire fighters union spokesman Wayne Hines. “We’re just so happy to bring these guys back,” Hines said. “We’ve got these six in the pipelines to come back and, hopefully, all 33 will be back by the end of the year.”
 
Councillors face salary freeze
Toronto Star (01/23/09)
With austerity talk all around, Toronto councillors will be asked to freeze their own salaries this year. Councillor Case Ootes, who is proposing to hold councillors' annual salaries at 2008 levels said politicians need to show leadership as plants close and workers lose their jobs. "It's a small sacrifice. It's really no sacrifice," said Ootes. "It would give a message to the public and taxpayers that we take the terrible economic climate seriously."
 
No pay raise in ’09 and ’10 for Maumee municipal employees
Toledo Blade (01/23/09)
For the first time in at least 20 years, municipal employees in Maumee will not be getting a pay raise this year or next. Maumee City Council approved new three-year labor agreements with the International Association of Firefighters Local 4536, which represents about 20 fire fighters, paramedics, and fire inspectors, and the American Federation of State, County, and Municipal Employees Local 649, which represents about 55 clerical workers and public works employees.
 
Duffy won't ask N.Y. for more money for Rochester
Rochester Democrat and Chronicle (01/23/09)
With his city facing a potential $32 million budget deficit next year, Rochester Mayor Robert Duffy passed on asking the state legislature for more money, instead asking their help in giving the city new ways to raise money and hold down expenses. "We are fully aware of the current economic environment," Duffy told lawmakers at a hearing in Albany on Governor David Paterson's budget plan. "These conditions are worse than at any time in recent memory. That is why I am not asking for additional funding this year." Instead, he said he wants more of a chance to exercise "control, focus and accountability" over the city.
 
Columbus sending out 130 layoff notices
Columbus Dispatch (01/23/09)
Columbus is sending out layoff notices to 130 employees, its third round of job cuts in three months. Meanwhile, Mayor Michael B. Coleman awaits answers from five unions he has asked to give up 2009 pay raises. Coleman proposed the latest layoffs in November as part of his plan to bridge what has since grown into a $95.9 million budget gap for 2009. City Council members have yet to approve a budget, but the mayor's decision to move ahead with layoff notices locks them into a major portion of his plan. Columbus laid off 42 workers in October and eliminated another 60 vacant jobs. Another 60 city employees took a retirement incentive and left their jobs in December. The latest group will lose their jobs on February 22 but keep their health coverage through the end of March. Police officers and fire fighters don't face layoffs in the current round of cuts, nor have they in the previous two.
 
As fears rise, Atlanta seeks funds to end cuts in police, firefighters
The Atlanta Journal-Constitution (01/23/09)
The Atlanta City Council unanimously agreed to look for money in the city budget to end recent cuts in work hours for police officers, fire fighters, 911 operators and corrections officers. The idea comes largely in response to growing concerns in Atlanta neighborhoods that crime is becoming a severe problem. The recent shooting death of a bartender in southeast Atlanta has sparked complaints from residents about crime and whether the city has enough police officers. “We’re going down a slippery slope,” Councilman C.T. Martin said of the furloughs. “Somebody is going to get hurt.” Mayor Shirley Franklin last month ordered four-hour-a-week furloughs —- which resulted in 10 percent pay cuts —- in most city agencies as part of her plan to fill a projected $50 million budget shortfall. The mayor also is taking the pay cut. The council’s public safety committee last week approved a resolution asking Franklin to restore police officers and fire fighters to their prior work schedules.
 
City can’t afford more firefighters
Chronicle-Telegram (01/22/09)
Mayor Bill Grace said the city can’t afford to increase staffing at the fire department regardless of what an outside consulting firm finds concerning the department’s personnel levels. Grace was responding to arguments made by Elyria Firefighter’s Union President Dean Marks that the fire department is already understaffed and if the administration begins demoting officers to save money, staffing will never get up to a safe level.
 
Mason City Fire Department Looks at Budget
kimt.com (01/22/09)
When the fire alarm rings, fire fighters say there are two things that matter. "Time and personnel are critical to our job," said Tom Wollner, president of the Mason City Firefighters Association. Right now, Mason City fire fighters said one of those could be compromised. The city council is asking the department to cutback on their overtime hours. Each day the department is staffed with eleven fire fighters. In order to save money, when one person calls in sick, they won't be bringing in a replacement. Working with only 10 fire fighters is raising concerns.
 
Montgomery County fire fighters to help save county $7M
Washington Business Journal (01/22/09)
More than 1,000 fire fighters and paramedics employed by the Montgomery County government -- which make up the Montgomery County Career Fire Fighters Association -- are taking hits to their paychecks to help the county close its looming budget gap. The association reached a tentative budget deal to save the county more than $7 million over the next two fiscal years. Under the agreement, which needs ratification by the association’s membership, members will forego negotiated holiday pay benefits and will defer a scheduled 4 percent pay increase for three months, from July 2009 to October 2009. That would save the county more than $5 million in fiscal year 2010. In addition, the association agreed to a six-month deferral of a scheduled 3.5 percent pay increase, from July 2010 to January 2011. That would save the county nearly $2 million more in fiscal year 2011.
 
Budget Cuts Burn Firefighters
MSNBC (01/22/09)
The Possum Kingdom fire station had just moved to a new building when the old one caught fire. Someone driving by in the middle of the night saw the smoke and called it in. Luckily, the new station was right around the corner. The men and engines were there in enough time to, as Chief Ken Taylor put it, "have a chance to save it." Instead, those fire fighters stood and watched the building burn.
 
Youngstown Firefighters Get Raises
ABC WYTY (01/22/09)
Youngstown City Council has approved a three percent pay raise for its fire fighters, but the City's Board of Control will have the final say. Council members okayed the contract six months after 20 fire personnel took early retirement buyouts to save the city money and avoid layoffs.
 
In recessions, federal grants are key to recovery for states
Economic Policy Institute (01/21/09)
Virtually all states are required by law to have a balanced budget, meaning that each year a state can only spend as much as it receives in taxes. Because of the current recession, revenue from taxes is very low and most states now face troubling budget shortfalls.
 
Staffing for fire, police targeted
Providence Journal (01/20/09)
With encouragement from several vocal mayors and municipal organizations, Governor Carcieri has mounted a legislative bid to keep police and fire fighters unions from securing contractual requirements for minimum staffing on work shifts. If it wins passage, the proposal, long advocated by municipal leaders across the state, would change arbitration laws and eventually make it easier for cities and towns to work with reduced personnel levels, share public safety resources and pay less overtime. Critics, including various union leaders, say that such staffing cuts could jeopardize public safety. The change is among a handful of proposals that Carcieri has put forward at the request of the Rhode Island League of Cities and Towns and several mayors. It is attached to his legislation for cutting state spending and slashing aid allocations to cities and towns.
 
Minneapolis May Turn Down SAFER Grant
Minneapolis Star Tribune (01/20/09)
The Minneapolis Fire Department, which for years has pursued a federal grant that could help beef up its fire fighter ranks, now is recommending that it be turned down. The grant could become another casualty of pending cuts in state aid to cities. The $1.3 million grant would require that the city pick up a gradually increasing share of the cost of the 12 extra firefighters that would total $3.8 million. It also would require that the city keep the newly hired firefighters on the payroll for five year or repay the grant. The last time the state cut aid, the city laid off 42 firefighters. The department was authorized to hire 493 people as recently as 2000, but now is budgeted for 450.

 
Stamford pension funds lose millions in weak market
Stamford Advocate (01/18/09)
The faltering economy has wiped out $182 million from city employee pension funds, meaning Stamford will have to contribute more taxpayer money in coming years to meet its obligations to retirees. The latest reports show the four retirement funds took a beating, collectively losing $62.5 million since September. The steady decline began in the first half of last year, before the financial meltdown. Overall, the pensions lost nearly 30 percent of their value since June 2007. That likely means the city will be required to contribute more money than in previous years to keep the pensions "fully funded" -- able to meet the obligations of current and future retirees. Union contracts require the city to "fully fund" the pensions, which cover fire fighters, police, custodians and all other workers, known as classified employees, separately. Union leaders said the numbers are worrisome, but they are confident the pensions will recover over the long term.
 
West Palm faces challenge of big budget shortfall
The Palm Beach Post (01/18/09)
Possible new motto for the city: "Brother can you spare 80 million dimes?" No need to panic yet, but that's the preliminary estimate of the revenue shortfall facing city officials as they assemble a 2010 budget in the midst of a recession: $8.2 million. Mayor Lois Frankel said West Palm Beach is coping with declining property tax revenues by tightening belts and reorganizing departments. "Keeping our city fiscally sound without sacrificing important services that you expect and deserve is a high priority," she said.
 
Fire fighters thanked for help with budget
Sarasota Herald Tribune (01/17/09)
Mayor Wayne Poston bestowed his annual Mayor's Award to two fire fighters. Douglas Huffman and Rocco Salvatori represented the fire fighters union during last year's contract negotiations. They were said to be instrumental in convincing the fire fighters not to press for pay raises while the city cut its budget because of declining revenues.
 
Lancaster budget calls for firefighter layoffs
The Columbus Dispatch (01/17/09)
Five fire fighters will be laid off and five vacant police officer positions won't be filled under the 2009 general fund budget. The Lancaster City Council expects to approve the budget January 26. "It's sad," fire fighter K.J. Watts, president of Local 291 of the International Association of Fire Fighters, said. He and police officer Jim Marshall, who leads the local Fraternal Order of Police bargaining unit, said they are prepared to ask their members to consider wage concessions in an attempt to save jobs. The layoffs and unfilled positions affecting the city's public-safety forces emerged as Mayor David S. Smith rolled out a new, revised general fund budget that totals $25.6 million.
 
Police, fire fighters begin personal push for tax hike
KY3 News (01/17/09)
Beginning January 17, police and fire fighters from Springfield Firefighters Local 152 and the Springfield Police Officers Association will begin walking neighborhoods in Springfield to encourage citizens to vote in the election on February 3. The men and women representing their associations will brave the chilly temperatures to distribute information on the Police and Fire Pension Plan Sales Tax Proposal that will appear on the ballot. The 1-percent sales tax would generate approximately $40 million a year that is dedicated to eliminating the pension plan shortfall. The sales tax will expire in five years, or earlier if the plan reaches a fully funded level.
 
Winnipeg fire department cited as model
Winnipeg Sun (01/16/09)
The Winnipeg Fire Department's methods of saving lives has been deemed a model for others. An Ontario Fire Service study highlighted Winnipeg's strategy to have fire fighters trained as licensed paramedics ride on each truck, which it was the first large city in Canada to do, as a step in the right direction. The Winnipeg Fire Department says these changes have locally cut response times in half and minimized costs by saving an expected 10,000 ambulance calls per year. The report forecasts this will add up to about $8.5 million in savings for the city.
 
Burris touts sales tax increase
News Leader (01/16/09)
Martha Gaither said she'll vote for a one percent sales tax February 3 to boost the city's financially troubled police/fire pension fund. "I will support my fire fighters and my police officers," she said. "I think many people are disappointed in the management of the city, but we support our police officers and fire fighters 100 percent." Springfield police and fire fighters have accrued pension benefits totaling $295 million, but the pension fund currently has only $97 million in assets --a funding shortfall of $197 million. The ballot language makes it absolutely clear that the sales tax money -- which the city estimates will be about $40 million a year -- will only go into the pension fund. The sales tax automatically expires at the end of five years, or sooner, if the pension plan reaches a 100 percent funded level, meaning it has 100 percent of the assets it needs to pay retiree benefits. Many people don't know that police officers and fire fighters don't pay into Social Security and don't get Social Security benefits when they retire.
 
Fiscal crisis dominates governor’s speech
Tahoe Daily Tribune (01/16/09)
Describing California’s monumental budget deficit as “a rock upon our chest,” Governor Arnold Schwarzenegger broke from tradition in his State of the State address with a blunt vow not to advance any policy agenda this year other than resolving the state’s fiscal crisis. As lawmakers sat before him in the Assembly chamber, Schwarzenegger said they had put their partisan beliefs above the interests of Californians, and he asked them to forgo their own salaries if they fail to pass the next budget by the deadline in June.
 
Nutter: 5-year gap grows by $1 billion more
Philadelphia Inquirer (01/16/09)
Mayor Nutter said that the city faces a second $1 billion budget deficit, a fiscal gap so huge it seems certain to lead to layoffs, tax increases and further spending cuts of 10 to 30 percent in most if not all city departments.
The latest five-year deficit estimate comes on top of the $1 billion budget gap announced just three months ago. The two deficits combined top $2 billion, and budget officials warned that the city still may not have hit bottom. It is now possible for Philadelphia to finish its current fiscal year, which ends June 30, in the red.

 
City Island Gets Reprieve for Fire Unit Facing Cuts
The New York Times (01/16/09)
Ladder Company 53, which was one of four companies citywide scheduled to be closed at night from 6:00 p.m. to 9:00 a.m. as a cost-cutting measure expected to save about $8.9 million a year, may stay in service. The closures were widely opposed, but particularly so on City Island, where residents say the nearest ladder company, in the mainland Bronx, is too far away to handle an emergency. Another company on the island, Engine Company 70, would remain open at night. But the citywide system for staffing all the department’s battalions, engines, ladders and rescue companies may bring a brief reprieve to Ladder 53.
 
Here come the cuts to local aid
Worcester Telegram (01/15/09)
The House and Senate agreed to give the governor authority to make emergency cuts to the state budget, setting the stage for up to $500 million in local aid cuts that could force the layoff of thousands of teachers, police and fire fighters, as well as cutbacks in municipal services across the state. Governor Deval L. Patrick, who cut $700 million from the budget in October without touching local aid, asked for the emergency budget-cutting authority in light of further declines in state tax revenue, which he said will force as much as another $1 billion in state budget cuts.
 
Public safety escapes most proposed budget cuts
Ahwatukee Foothills News (01/15/09)
The proposed city budget includes cuts totaling more than $270 million, including elimination of the after-school program, slashed library hours, elimination of the service counter at the Pecos Park Community Center, less park and street maintenance, rotating closures of city pools, cuts to the ALEX schedule, 1,200 positions being eliminated and much more. What it doesn't include are reductions to the public safety budget, which will actually see a $6.7 million increase. But that is a drop in the bucket compared to the increased cost of living or personnel costs the police and fire departments would normally have received.
 
Police, fire pension funding to include $130 million in bond issues
Lexington Herald-Leader (01/15/09)
Mayor Jim Newberry and the police and fire pension board reached an agreement that will help the city avoid severe cuts in services next year while fully funding the pension system by 2015. The agreement calls for the city to issue $130 million in bonds over the next three years to help pay off the $246 million unfunded liability in the pension fund. "Although we will still have painful budget cuts, we will be able to avoid cuts that would cripple crucial city services," Newberry said in a news release. Newberry and the Policemen's and Firefighters' Retirement Fund Board have been at odds since November when the board set the city's contribution rate for the fiscal year that begins July 1 at 46.63 percent of the total payroll for police and fire fighters. The 46.63 percent amounts to about $30 million.
 
Coleman to unions: No raises, or else
The Columbus Dispatch (01/15/09)
More city workers will face layoffs if their unions don't accept pay freezes for 2009, Mayor Michael B. Coleman said. Coleman asked the leaders of five unions representing about 7,000 city workers to give up pay raises and bonuses that he said would save Columbus $10 million of the $13 million that still needs to be cut from a new city budget. He gave the unions until January 23 to respond to his ultimatum. If they agree, he said, he won't add to the 130 layoffs already planned. If they don't, all bets are off. The request to forgo pay raises -- and the threat to cut more jobs -- includes police officers and fire fighters, whose ranks have been spared until now.
 
Firefighters, administration at odds over staffing issues in Bedford
The Plain Dealer (01/15/09)
A gulf is growing between Bedford and its fire department that one observer said "could grow ugly" before very long.  The issue is minimum staffing in the city's lone firehouse and leaders of the union representing the fire fighters said they are concerned that plans to cut minimum staffing could compromise the safety of the city and its residents.  The problem has been simmering for about a year since retirements left Bedford with two fewer fire fighters than the 27 the union said are needed to adequately staff the firehouse. The city has not filled those two vacancies in an effort to cut costs in the face of what it describes as diminishing revenue. That resulted in the need to pay overtime to fire fighters who came in when shift staffing fell below six fire fighters. But now the administration, with the approval of City Council, has reduced minimum required staffing to five fire fighters.
 
Howard executive braces for zero revenue growth
Baltimore Sun (01/14/09)
Howard County officials are bracing for zero revenue growth next fiscal year, a prospect that has led County Executive Ken Ulman to ask department heads for two versions of their budget requests: bad and worse. The prosperous county is not experiencing a shortfall this year, but Ulman today told more than 400 people at an annual Chamber of Commerce luncheon that the coming year will be a test and that state cuts to local governments are still coming. "A flat budget in the real world means cuts," he said in his annual State of the County speech. "Basic costs of doing business are still rising, after all." Given the economic climate, Ulman said he has asked department heads to prepare two budget plans: one with no increase in spending and another with a 5 percent cut.
 
Assembly speaker proposes 'balanced approach' to handling state budget woes
Las Vegas Review (01/14/09)
Assembly Speaker Barbara Buckley told a business group that continuing to “cut, cut, cut” the state budget in response to revenue shortfalls will damage Nevada in the long run. Echoing a presentation she’s been giving at town halls around the state for several months, Buckley, D-Las Vegas, told the North Las Vegas Chamber of Commerce a “balanced approach” that doesn’t cut teacher salaries will be necessary to get the state out of its current hole. Buckley didn’t go into specifics about what she plans to propose, especially when it comes to increasing state revenue -- raising taxes -- to avoid an estimated $2.4 billion in cuts to current state service levels over the coming two years for which the Legislature budgets.
 
Gary mayor makes financial plea
Munster Times (01/14/09)
Gary Mayor Rudy Clay issued a statement summing up his city's financial woes and explaining why he is seeking an exemption from new state property tax caps. "If Gary is not afforded relief from the state at this time, the city will be unable to guarantee adequate public safety since we will immediately be forced to drastically reduce the scope and size of our public safety apparatus," Clay wrote. Gary officials went before the state's Distressed Unit Appeals Board to request four years to cope with the full brunt of the tax caps. A city consultant estimates the caps will sap about $36 million this year from the city, its bus agency, sanitary and stormwater districts and Gary/Chicago International Airport. Clay notes that police and fire protection services consume about $31 million of the $65 million general fund budget the city had prior to the tax caps.
 
Monterey Looks To Cut Budget By 20%
KSBW News (01/14/09)
After a dismal holiday season for tourism and shopping, Monterey is looking to cut the city budget by about 20 percent. City leaders are preparing for a worst-case scenario after disappointing hotel and business sales in November and December. About 55 percent of the city’s general fund revenues come from tourism dollars.
The state has also pulled $440,000 from the city and is looking to take another $800,000 in funding as it deals with its own fiscal emergency. Monterey has already initiated a hiring freeze and delayed construction projects to deal with budget woes.
 
San Jose Mayor Reed warns of city layoffs, offers hope for recovery
San Jose Mercury News (01/14/09)
San Jose Mayor Chuck Reed cited progress in growing the local economy in hard times, but his third state-of-the-city speech also delivered sobering news. "Regrettably, we are having to prepare for layoffs," Reed said. "We will have a general fund budget shortfall of more than $60 million." Though Reed was vague about the timing of the city's first job cuts since the early 1990s — the deficit he cited is in the upcoming budget year that begins in July — layoff notices are already being sent to dozens of planning, building and code enforcement employees.
 
Menino proposes wage freeze to avoid “painful layoffs”
Daily Free Press (01/14/09)
Tough decisions face Boston leadership as a $140 million budget shortfall gapes in 2009, Mayor Thomas Menino said last night. Menino delivered a somber State of the City annual address in Faneuil Hall. After a moment of silence for fire fighter Lt. Kevin Kelley, who died January 9 when his fire truck crashed in Mission Hill, Menino began. He refrained from announcing new spending, as he has in his past addresses, in order to address how the city of Boston will deal with the recent national financial crisis. “We are confronting great economic challenges that Boston did not create, but we will deal with them,” Menino said in his address. “We need courage and urgent action to solve these problems.” The city’s $140 million budget gap for the 2010 fiscal year, due to a decrease in revenue and an increase in costs, will lead to tough decisions, Menino said.
 
Planned city layoffs could include police, firefighters
Sacramento Bee (01/14/09)
The Lincoln City Council gave the green light to a plan to lay off 43 employees, including nearly a dozen police officers and fire fighters. At a meeting attended by more than 250 people, the council authorized the city manager to continue to negotiate with the city's six labor groups to avoid layoffs. The layoffs are part of efforts to close a projected $2.1 million budget shortfall for the year. Two fire captain positions on the layoff list may be safe after the fire fighters union agreed to postpone pay raises for two years. The city's police union, however, agreed to defer only part of its entitled pay raises the next two years.
 
Board trims public safety department
The Jackson Citizen Patriot (01/14/09)
The Leoni Township Board continued its efforts to eliminate a nearly $800,000 projected budget shortfall by approving three layoffs in its Department of Public Safety. The department lost a fourth employee with the resignation of Director Bill Lenaghan before the board meeting. Board members also voted against recommendations from the police and fire board to lay off two fire fighters, opting to keep its seven-member fire staff intact.
 
$17 million budget shortfall looms for city
Anchorage Daily News (01/14/09)
The city of Anchorage faces a $17 million budget shortfall this year and must find ways to save money, particularly labor costs, Acting Mayor Matt Claman said. The city had planned to spend $433 million this year, based on a budget approved by the Assembly in November, but says it has less cash than expected.
City officials mostly blamed the deficit on the faltering national economy.
 
St. Paul / City will ask 180 workers to retire
Pioneer Press (01/14/09)
About 180 longtime St. Paul city workers will be asked to retire voluntarily before the end of the month as Mayor Chris Coleman attempts to reduce costs. The administration also will continue its hiring freeze, encourage workers to voluntarily reduce their hours or take unpaid leaves, reduce overtime and freeze the wages of non-union workers, including Coleman.
 
Mayor Asks Employees To Give Up Raises
NBC 4 (01/14/09)
Columbus Mayor Michael Coleman is asking city employees from five city unions, including police and fire fighters to give up their pay raises for 2009. In a letter to unions, Coleman detailed his need to cut $13 million in order to balance the city’s budget. He said it’s the only way he can avoid more layoffs and service cuts.
In addition to pay raises, the mayor is asking employees to give up their service credit pay for the numbers of years they’ve worked for the city.

 
ESCONDIDO: City labor union making 11th-hour effort to avoid layoffs
North County Times
(01/13/09)
In a last-minute attempt to avoid 31 layoffs, leaders of a city labor union are meeting with City Manager Clay Phillips about voluntary 5 percent pay cuts that would make the layoffs unnecessary, city and union officials said. The meetings are taking place one day before the City Council is slated to approve the layoffs as part of $3.2 million in emergency budget cuts. Those cuts have been prompted by estimates that plummeting sales tax revenue has increased the city's projected budget deficit from $1.7 million to $6 million since July. Leaders of the union, the Escondido City Employees Association, said they expect to reach an agreement with city officials land then present the pay cuts to the union's 187 members at a special meeting.
 
NY firefighters vote to work a shift for free
Newsday (01/13/09)
Fire fighters in suburban New York City have agreed to work a shift without pay to help save money and restore the positions of colleagues who were fired or demoted. Their union approved the plan as part of a deal to save $450,000 and restore the jobs or ranks of 12 fire department members in Yonkers, about 15 miles northeast of midtown Manhattan. The 12 were laid off or demoted because of budget cuts.
 
San Jose pension costs soar with added benefits
The Mercury News (01/13/09)
As San Jose police battle for enhanced retirement benefits they say are crucial to recruitment and retention, a series of earlier sweeteners has helped push the city's pension costs for officers and firefighters up 167 percent since 2000.
 
Select Board ask police, fire to cut
Bennington Banner (01/12/09)
The Bennington Select Board began its budget deliberations, and in an effort to level-fund the 2010 fiscal year budget, asked the Bennington police and fire departments to make significant cuts. Bennington Police Chief Richard Gauthier came into the meeting proposing a 3 percent increase over last year. Fire Chief Brian Billert's budget was about 3 percent lower. But, overall, the proposed town budget for 2010 is about 4 percent above last year -- a number some select board members said was too high.
 
Hopedale braces for steep cuts
Milford Daily News (01/11/09)
Facing the prospect of large cuts in state aid, the Finance Committee and selectmen have told all town departments to prepare budgets for next fiscal year with an overall 10 percent cut. The committee is projecting a deficit of $1.5 million next fiscal year. Fire Chief Scott D. Garland said if he actually had to cut his budget by 10 percent, he most likely would have to eliminate one full-time fire fighter. That means there would be 42 fewer hours per week where only one full-time fire fighter was staffing the station, requiring them to wait for a second on-call one to arrive before responding to ambulance calls, he said.
 
Five Chico Firefighters Laid Off
KHS TV California (01/11/09)
After a year of failed contract negotiations, the Chico city officials announced five fire fighters will be laid off February 9. The news comes about six months after three fire fighter positions were eliminated. In total, staff levels have been reduced from 69 to 60. Cuts have been made to all city departments in an attempt to fix a hefty budget deficit. The fire department was asked to lower annual salary increases from 4 percent to one percent and take a reduction in health care benefits. Fire fighters offered to forego salary increases and take a reduction in the starting salary for new hires in exchange for a guarantee the city would not cut any more staffing. But, city officials said no.
 
Leoni police, fire services could be ended
The Jackson Citizen Patriot (01/10/09)
Leoni Township's police and fire services may be in jeopardy due to a lack of funds. Township officials projected significant public safety budget shortfalls by the end of the fiscal year June 30 to the tune of nearly $800,000.
Fire fighters were informed of the possibility that the entire fire staff could be laid off as of January 27, fire union President and fire Captain Chris Huttenlocker said. Police also were told of possible layoffs effective the same date, Leoni Township Public Safety Sgt. Tom Bertram said. "It's unbelievable that they would do away with both departments that are needed by the community," Bertram said.
 
Tempe unions agree to delay pay raises
The Arizona Republic (01/09/09)
As Tempe deals with a budget deficit projected to reach $50 million by June 2010, employees of three of the city's unions offered up their pay raise to help the city manage its financial woes. The unions would have received pay raises but voted to amend their contracts with Tempe and forgo the money.
 
RI cities fear layoffs, taxes due to budget crisis
Associated Press (01/09/09)

Leaders of cities and towns across Rhode Island are making hasty plans to cut their budgets after Governor Don Carcieri proposed a budget eliminating millions of dollars in promised state aid. Carcieri is depending on those cuts to help close a $357 million budget deficit, or nearly 11 percent of expected state spending for the fiscal year ending in June. Carcieri said further cuts may be necessary, and lawmakers expect an even larger deficit in the coming year.
 
Corporate America faces big pension shortfalls
Reuters (01/08/09)
Collapsing stock prices have created shortfalls in pension plans in dozens of large U.S. companies, which may require them to pump in tens of billions of dollars, hurting earnings. With corporate America facing pension plan shortfalls totaling several hundred billions of dollars, more companies need to ensure they can handle commitments to retirees.
 
City of Rockford Faces $4.8 Million Deficit
WIFR.Com (01/08/09)
It won't be easy, but Rockford city leaders think they'll be able to end 2009 with a balanced budget. Rockford Mayor Larry Morrissey says most likely all city departments will be effected, with the most dramatic changes occurring within the police and fire departments.
 
Brevard cities enact pay freezes, slow hiring
Florida Today (01/08/09)
West Melbourne employees won't see pay raises this year, and their co-workers who leave won't be replaced unless their job is essential to public safety. And some city employees will see a rollback in pay after the West Melbourne City Council enacted a wage and hiring freeze to cope with the ongoing recession.
 
Cutbacks Possibly to Blame for Death
Marin Independent Journal (01/07/09)
Federal fire fighters say cost-saving measures taken by the Golden Gate National Recreation Area may be to blame for the death of a 71-year-old woman found ailing on the beach. Though fire fighters and paramedics treated her within minutes, an ambulance had to come from five miles away due to budget cuts.
 
Possible Budget Cuts Could Affect Public Safety
WBAL-TV (01/07/09)
Baltimore Mayor Sheila Dixon has to make tough decisions that will impact public safety and city services, and some plans have fire and police union officials upset. The mayor sent target letters to all department heads requesting their cost-cutting ideas to offset a $65 million budget shortfall.
 
Yonkers Fire Fighters Would Avoid Layoffs Under Plan
The Hudson Journal News (01/07/09)
Yonkers union and city officials have come to a tentative agreement to restore the jobs of six Yonkers fire fighters who were laid off and six lieutenants who were demoted to the rank of fire fighter last week. The agreement would require fire fighters and fire officers to work one shift without pay by the end of the fiscal year on June 30, producing a savings of at least $450,000.
 
City Fire Department Shutdowns Begin
The Philadelphia Inquirer (01/06/09)
Seven Philadelphia fire companies have ceased operations as part of Mayor Nutter's budget-cutting plan, but not without rancor, as the head of the firefighters' union claimed that "people will die" because of the closures.
 
Workers Bail Out Barre City
Times Argus (01/06/09)
Barre city officials have opted to end their long-time association with Blue Cross Blue Shield of Vermont in favor of buying health insurance through the Vermont League of Cities and Towns' Health Trust. There was enough support among the city's union and non-union employees to justify a change that could collectively save employees and taxpayers as much as $250,000 next year.
 
Vancouver Fire Fighters Vote to Forgo Pay Raise
The Seattle Times (01/05/09)
Fire fighters in Vancouver say they will forgo a 4 percent pay increase in 2009 because of the tough economic times facing the city. The Vancouver Firefighters Union says its 164 members voted 91 percent in favor of giving up the pay hike, for a savings estimated at $700,000.
 
Police and Fire Fighters in Galveston Cut Pay
The New York Times (01/05/09)
Galveston police and fire fighters’ unions have agreed to take a 3 percent pay cut to help the city avoid layoffs and save $600,000. About 40 percent of the 880-member municipal work force — police and fire fighters — belong to unions that had to vote on whether to give up raises they were given in October.
 
Concessions Foreshadow a Tough Year for Unions
The Wall Street Journal (01/04/09)
Unions are forgoing previously negotiated wage increases and reopening contracts early, as they face pressure to help private and public employers conserve cash in the recession. The givebacks are setting the stage for what is expected to be one of the toughest years in recent memory for labor negotiations, with several big contracts expiring. Moreover, the federal bailout of Detroit's Big Three auto makers and anticipated concessions by the United Auto Workers could darken the bargaining environment in auto-related industries.
 
Pension Fight Signals What Lies Ahead
The New York Times (12/26/08)
In a preview of political battles to come over the state’s mounting fiscal problems, Republican lawmakers and labor union leaders are voicing opposition to Governor Jon S. Corzine’s proposal to allow county and municipal governments to skip $584 million in pension fund payments in the coming year.
 
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