Inside Out at City Hall

by Annise D. Parker

THREE HANDS REQUIRED

A new year brings budget challenges and other hurdles

It's a new year. Time to lose those extra pounds and join my elected colleagues around the country in a group gasp as big-budget axes begin falling. Almost every major city and most states face colossal budget crises fueled by falling sales and business property taxes, less convention business, more unfunded federal mandates, and dramatically rising insurance and contract costs. Last year, the city managed to balance the budget with across-the-board budget cuts and a hiring freeze, but without layoffs.

This year, we must cut even deeper as we face another $20-$30 million shortfall. Just to remind you, when we pass the city budget we estimate our revenue and expenses for the next year. Imagine trying to accurately estimate your household income and expenses for the next 12 months. A "shortfall" simply means that one of the estimates was off for some reason. We are required to maintain a balanced budget, so we adjust.

We now begin preparing for the budget we will pass in June. Council members are preparing to turn in their FY 2004 budget priorities. As I wrote a friend recently, government needs bold, creative people who can cut fat with one hand, introduce new revenue streams with the other, and navigate treacherous political waters with the other. (Yes, that adds up to three hands.)

As chair of two council committees, Fiscal Affairs and Neighborhood Protection and Quality of Life, I will be racing against the term-limits clock to push through numerous ordinances and plan for a smooth and productive budget process. This will be the last year of my third two-year term. Many elected officials barely learn the system well enough to get things accomplished before two short terms are over, and they begin job hunting as their final term begins.

Fiscal Affairs Committee

Here are my predictions for this year's budget. I don't see council supporting any tax increase. We haven't raised city taxes since 1994. But be prepared for discussions of a drainage fee to address our chronic flooding problems or a possible increase in water rates. I also expect a lot more attention on outsourcing and competitive bidding of services the city provides. About 73 percent of the city budget is in payroll and benefits, so it makes sense to consider whether the private sector can do something cheaper. While I have long supported both outsourcing and competitive bidding, achieving it isn't as simple as it sounds. Sometimes a low bidder isn't the most cost-effective bidder. For example, the bidder could take longer to accomplish the task, which causes a ripple effect of other problems. Or bidders don't provide a living wage or health benefits to their employees, so taxpayers end up paying their health care through the hospital district.

We will also look for other revenue sources. I believe the city could generate millions more in revenues if we followed the recommendations of a 1994 study of the city's grant applications. Some departments do well, but this is far from a coordinated effort.

NPQL Committee

Neighborhood protection has been one of my top priorities for two decades. Numerous issues will be discussed in the Neighborhood Protection and Quality of Life Committees during my last council term. I'll just mention four top priorities:

Historic Preservation

A slightly tougher historic preservation ordinance did not clear the October 28 Neighborhood Protection committee meeting. Committee amendments weakened the ordinance so much that the mayor has declined to move the amended ordinance to the full council. People are discussing ways to salvage something and move forward.

Council member Mark Ellis introduced a motion, which passed 7-4, to make participation in historic districts voluntary, even when the district is established through a petition process that requires the signatures of 67 percent of the property owners. Council member Michael Berry introduced a motion, which also passed 7-4, to permanently exempt religious institutions from the ordinance. This would allow churches located in historic districts to alter the exterior of any historic church without seeking a certificate of appropriateness, and would further allow a church to expand by purchasing and de-designating existing historic properties.

Houston has one of the weakest preservation ordinances among the country's 2,200 ordinances, and the city's seven historic districts make up less than 3 percent of the city's 626 square miles. Few 50-year-old-plus neighborhoods could ever qualify because they lack the necessary historic and cultural significance. The current ordinance simply cannot protect the historic character of districts such as the Old Sixth Ward that lack deed restrictions.

The Houston Archeological and Historical Commission, which spent almost two years revising the ordinance, recommended numerous changes, including doubling the 90-day waiting period before a historic structure could be demolished or altered if a certificate of appropriateness had been denied.

Deed restriction database

This has been one of my battle cries for five years. We now have a streamlined affidavit and notification system so that neighborhoods have a better chance of stopping any non-compliant construction before it gets too far along. But we desperately need a real database of the city's 800 deed restrictions so that a permit request can be stopped up front rather than making neighborhoods act as our watchdogs. The planning department has been trying to come up with a cost-effective way to create such a database.

Tree and shrub ordinance amendments

Amendments are designed to require developers to include more trees in their commercial and residential projects. This would be accomplished through stiffer requirements for preserving and replacing trees.

Last year, Council amended the ordinance to protect certain trees on city rights-of-way that are larger than 1.5-inch caliper.

Pooper scooper

Houston may be the only major city without a pooper-scooper ordinance. The health department planned to introduce one in 1994, but enforcement became a sticking point. Although such ordinances do have an effect, many cities have trouble enforcing ordinances that only require waste removal, and all such ordinances really depend on education and peer pressure to work.

Council member Mark Goldberg and I have signed on as the first sponsors. This ordinance would make walking a dog without carrying a waste removal bag or device a violation. I would prefer that the ordinance initially apply only to parks and public property so that enforcement and education can be more focused.

Controller's race

As many of you know, I plan to run for controller in the November 2003 election and sought the interim appointment to replace Sylvia Garcia.  After extensive discussions with Garcia about the current and future needs of the controller's office, I decided that Chief Deputy Controller Judy Johnson, who has been exceptional in her job, is the appropriate person to serve as interim controller. Therefore, I withdrew my candidacy for the interim post and nominated Johnson in December. A smooth transition is of utmost importance to the city, especially as so many cities and states face budget deficits.

Annise Parker is serving her third term in Houston City Council At-large Position 1. To receive her bi-monthly e-mail newsletter, contact annise.parker@cityofhouston.net or call 713/247-2014. Her website is www.ci.houston.tx.us/city govt/council/1.