By Art Gallagher
Declaring that it was not a partisan issue but an individual decision, Highlands Mayor Anna Little again joined the two Democrats on Highlands Council in approving a amendment to the Highlands PBA contract, over the objections of her Republican successor, Council President Frank Nolan, and her Republican predecessor, Councilman Rick O’Neil.
In introducing the resolution to the public, Little distributed the statement she posted on her facebook page over the weekend.
Little said that the new agreement would result in a saving of $500,000 to Highlands taxpayers vs. a net savings of $34,000 had the resolution failed, which would have resulted in layoffs of three police officer. During her remarks, Little admitted the numbers in her statement were her “beliefs” and the result of assumptions regarding police overtime of $18,000 per month provided by the Police Chief. She admitted that her numbers had not been certified by the Chief Financial Officer.
Little addressed the penalties in the new agreement only after Nolan brought them up. Nolan asserted that Little’s calculations were off by at least $300,000, which she disputed. Nolan argued that the council should not accept the penalities knowing that there will very likely layoffs necessary that will trigger the penalites. At that point Little scolded Nolan for speaking out of turn regarding Executive Session matters that council had not agreed to make public.
Posted: December 15th, 2010 | Author: Art Gallagher | Filed under: Anna Little, Frank Nolan, Highlands, Highlands PBA | Tags: Anna Little, Frank Nolan, Highlands, Highlands PBA | 2 Comments »
By Art Gallagher
Highlands Mayor Anna Little issued the following statement on her facebook page and in an email to MMM this morning:
The following is an explanation of the facts regarding a decision of the Highlands Borough Council on December 1, 2010.
The Borough Council asked the Highlands PBA to agree to a wage freeze to allow the Borough to evaluate our budgetary circumstances in light of the 2.0 cap imposed by the State of NJ upon Municipal budgets. After analysis of the Borough’s budget, the Borough Council asked the PBA to find $420,000 in savings. The Highlands PBA contract had already been finalized and there was no obligation on the part of the Highlands PBA to negotiate. The Highlands PBA reviewed the State Health Benefits Plan recommended by the Borough and agreed to accept it. The Highlands PBA and the Highlands Chief of Police have regularly reduced overtime during my tenure as Mayor. Younger officers were hired in order to reduce exorbitant overtime costs necessary to cover State mandated shifts round the clock in the Borough. As of December 1, 2001 the Highlands PBA has agreed to forego overtime completely in exchange for compensatory time. This will guarantee over $100,000 permanent savings to the Borough per year.
The Agreement with the Highlands PBA for which I voted on December 1, 2010 includes:
1. Highlands PBA concession to accept the State Health Benefit Plan, amounting to $320,000 in savings to the Borough of Highlands.
2. Overtime savings in this budget of $66,668.
3. Court time savings in this budget of $8,140.
4. Overtime savings in 2011-2012 budget $106,205.
5. Court time savings in 2011-2012 budget $13,000.
6. Waiver of Retroactive contractual wages that the Borough owed the PBA from July 1, 2010 to December 1, 2010, a savings in this budget of $140,000.
7. The single raise of 4.25% for a six month period from January 1, 2011 until June 30, 2011 allows retirement eligible officers to retire at a wage level less than but nearer to what they would have received under the contract to which the Borough was obligated. This concession also produced a savings to the Borough in the 2011-2012 budget. If retirements which have been mentioned actually occur as verbally represented, substantial savings to the Borough will result.
In conclusion, we must support Governor Christie’s tool kit. Toward that end we must ensure that in the 2011 election cycle, WE THE PEOPLE deliver to Governor Christie a State Legislature that will work with him on the Tool Kit and other tax saving initiatives. Until the Tool Kit is in place, agreements with bargaining units are the ONLY way to ensure savings to municipalities. Layoffs of three police officers in the Borough of Highlands surely would have resulted in additional overtime costs to the Borough because of State mandates. Initial calculations indicated that the Borough might have been charged up to $18,000 per month in overtime.
Therefore, the PBA Agreement for which I voted on December 1, 2010 and which secured savings to the Borough of $654,000 (not including the contractual reduction in raises and expected retirement of senior officers) was in the best interests of the People of the Borough of Highlands. It is the People and only the People whom I serve during my tenure in elected office.
Little’s statement begs scrutiny.
She says the Highlands Borough Council requested the PBA come up with budget savings in light of the 2% cap imposed upon municipal budgets by the State. However, Highlands fiscal year runs from July 1 through June 30. The first Highlands budget governed by the cap will not take effect until July 1, 2011. The deal Little joined her Democratic colleagues on the Council in approving impacts the current budget, retroactive to July 1, 2010. It would seem that the PBA deal impacts deficits in the current budget.
Highlands Mayor-elect Frank Nolan, the Republican Council President, told MMM that the PBA negotiations were part of an effort to plug a $400,000 hole in the current budget. Nolan said he proposed a no layoff pledge through the current fiscal year in exchange for the PBA foresaking their 4.25% salary increase and switching health insurance plans. He said Little and Democrats Chris Francy and Rebecca Kane approved the PBA’s counteroffer which carries into the 2011-2012 budget that is subject to the 2% cap and includes retroactive penalities that would benefit all union members should even one officer need to be laid off.
Nolan said that Little was absent from 40% of the Council’s meeting since March when she started running for Congress and is not up to speed on all that has gone on during the negotiations with the PBA.
Little’s statement does not address the penalties to the Borough should layoffs be necessary.
Nolan said that Highlands CFO Steve Pfeffer is on record advising the Council that there is a 60% chance that additional layoffs will be required in the current fiscal year. Nolan does not understand why Little, Francy and Kane would approve an agreement that imposes penalties for layoffs when they know such layoffs will be necessary.
Nolan said that Highlands fiscal crisis has been caused in large measure by the fact that the Borough has spent its entire surplus of $1.2 million since Little became Mayor. Nolan was on the Council during Little’s first year as Mayor, 2008. He was defeated in his reelection bid in the Obama wave of 2008 and elected again in November of 2009. He has been Council President since taking office again in January of this year and will be sworn in as Mayor on January 1st.
The Highlands deal with the PBA will not take effect until approved by the Mayor and Council at their December 15, 2010 meeting or a subsequent meeting.
Posted: December 4th, 2010 | Author: Art Gallagher | Filed under: Anna Little, Frank Nolan, Highlands PBA | Tags: Anna Little, Frank Nolan, Highlands PBA | Comments Off on Little Addresses The Highlands PBA Deal
