The future of 12 Hollister employees is in the hands of the City
Council as it votes Monday whether to cut their positions and face
a projected $913,000 deficit or keep them and absorb a $379,000
loss next fiscal year.
The future of 12 Hollister employees is in the hands of the City Council as it votes Monday whether to cut their positions and face a projected $913,000 deficit or keep them and absorb a $379,000 loss next fiscal year.
They’re the remaining employees out of 36 approved layoffs who haven’t departed the city for other jobs or accepted early retirement. As part of early budget talks, the Council decided it would choose one of two proposed plans – or a combination of both – at its meeting Monday.
Members of the city union showed up at a budget meeting Wednesday and their local leader John Vellardita blasted the Council for leaning toward cutting many or all of the 12 remaining employees.
Most council members say they must remain as conservative as possible because the city still has a projected $4 million to $5 million deficit in 2005-06. But union leaders say Hollister’s financial bind was previously overstated and cutting so many employees and services would be too drastic.
City union officials, including President Luis Aguilar, say a recently released independent study of city finances paints a brighter picture than former City Manager Dale Shaddox’s dire projections.
“They never trusted the Harvey Rose report,” Aguilar said of council members, “which is the real truth of the financial status of the city.”
Mayor Tony Bruscia, however, insists while the report shows some minor differences from previous estimates, it’s consistent in showing a severe structural deficit. That report projected a $11.8 million debt at the current pace by 2009, but some calculations were off and the figures are being adjusted.
Wednesday, Bruscia called the layoffs a “first step.” And the city will continue considering further cuts and revenue enhancements, he said.
“I would love to see alternatives (from the union),” Bruscia said.
Vellardita has targeted Bruscia, who supported cutting all 12 positions. The local Services Employees International Union supports interim City Manager Clint Quilter’s advice to keep all 12 employees, a notion three council members scoffed at Tuesday. Councilwoman Pauline Valdivia, whose daughter’s clerical job is at stake, supported Quilter’s position.
“We’re now here six months later, and you’re still in that mode of cut, cut, cut,” Vellardita told council members Wednesday.
Vellardita said he believes Bruscia has dismissed the independent study, which the city and union split the cost to fund.
“I think he misses the whole boat,” Vellardita said Thursday.
Councilman Robert Scattini said Thursday it’s too early to predict the number of layoffs. Employees will still have the chance to offer concessions, such as foregoing pay raises, before the final budget approval, he said.
But Scattini said the added pressures of union workers packing the council chambers won’t affect the final outcome. He called it a “business situation.”
“The bottom line is, we’ve got to make these tough decisions,” Scattini said.
Kollin Kosmicki can be reached at 637-5566, ext. 331 or at
