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Issue date: October 25, 2000


Trust, finance big issues in Atherton council race Trust, finance big issues in Atherton council race (October 25, 2000)

Four candidates vie for two seats

By Anne H. Kim

Almanac Staff Writer

Against a backdrop of town controversy that succeeded in eroding Atherton residents' trust in their town government, four candidates have stepped up to the election plate, each pledging to help restore trust and confidence, if elected.

The four -- James Janz, Bob Jenkins with slate partner Kathy McKeithen, and Charles Marsala -- are running for two, four-year seats on the five-member council.

Big issues on this year's ballot include not only restoring faith in government, but also decisions on boosting the town's financial health.

New and returning council members will have to decide whether they want to strap residents with debt for the next 30 years to pay for long-awaited road and drainage repairs, whose costs preliminary reports have set at $20 million for "superior" roads and drainage. And they will likely face a tough parcel tax election next year.

This year's budget is balanced, despite losing $1.6 million -- nearly a quarter of the town's total revenue -- because attempts to renew the long-standing parcel tax failed. Money was squeezed out of the budget for employee raises, putting Atherton staff near the top compared with other Peninsula cities. But there isn't enough money to keep those salaries competitive next year and beyond.

Council members are considering placing another parcel tax measure on the March ballot to solve the salary dilemma and pay for capital improvements in town, such as building renovations.

But many say resurrecting the attempt to pass the parcel tax so close to next year's budget season is too risky. If it were to fail in March and again in June, the town may have to cut staff or dip into reserves -- or both.

James R. Janz

After 10 years on the Planning Commission, Mr. Janz decided to make his first run for City Council because, he said, it was time for a change. He said he's the best man for the job because he has much experience with city budgets and how cities work.

Restoring trust: Mr. Janz credits Interim City Manager Ralph Freedman for helping to move the town in the right direction. He pointed to Mr. Freedman's idea to separate the capital improvements budget from the operating budget as an example of his good work. Mr. Janz also noted that the slimmed-down police department was running much more efficiently.

Mr. Janz said he can't guarantee that mistakes won't be made, but said he would try to be more open with residents by listening to concerns, following up, then acting quickly to resolve them.

"I think the previous council has tended to deal with problems by ignoring them and hoping they'll go away," he said. "Sometimes they do, but sometimes they don't. It's not a good management technique."

Mr. Janz said hiring the "best, talented staff" would go a long way toward restoring trust and confidence. He said the council should spend the time to recruit more candidates if the right person for the job isn't found in the first round of interviews. But most importantly, he said, the town must "nail down financing sources."

"We've got to have a reliable source of revenue for operations and a reliable source of funding for whatever capital improvements we need to make," he said.

Operating budget: Mr. Janz said he supported the parcel tax in the past and would again, if residents want it, but has problems with a four-year tax.

"I think it's kind of crazy to have such a significant portion of your town revenues subject to a two-thirds vote every four years," he said. Mr. Janz disagrees with the idea that the tax could be used to measure council performance. He said residents shouldn't risk more budget cuts by voting down the tax just because they aren't happy with the council.

Roads and drainage: Mr. Janz hasn't advocated any one financing method for road and drainage repairs, because two street studies are still outstanding.

Despite that, Mr. Janz said the town has many options, including fixing the most serious road and drainage problems first, then fixing the rest when more money is available. He said the town could also be flexible with how it pays for the repairs.

If the total project costs $25 million, each of the town's 2,500 parcels would pay about $10,000. At a borrowing rate of 5.5 percent to 6 percent, Mr. Janz said, each parcel, if assessed evenly, would pay about $700 a year on a 30-year bond. Or the cost could be spread over four years with owners of the town's 2,500 parcels each paying $2,500 per parcel each year.

Whatever the final cost, Mr. Janz said, the town shouldn't rush into a decision without holding several public hearings to find out what residents want and how much they're willing to spend. He said he wouldn't support putting a bond measure on the March or June ballots.

Term limits: Mr. Janz said he generally opposes term limits, saying voters should be able to re-elect incumbents if they feel they're doing a good job. But he said he doesn't oppose limits on the council, if residents want them. However, he said residents and the council should consider what to do if no one steps up to replace an incumbent whose term is over.

Use of Holbrook-Palmer Park: Mr. Janz said he would prefer that the park not be rented out for weddings and corporate events, because the original bequest granting the park to the town prohibits commercial use. But he acknowledged that without that business, the town would have to pick up the park's maintenance tab.

He said he was pleased with the outcome of Menlo-Atherton Little League's proposal to build a baseball diamond in the park, but said the council should have returned the matter to the Park and Recreation Commission after a new location in the park was found.

Mr. Janz said he wouldn't be against an arts center in the park, if residents want it, as long as it supports itself. He said the center should be housed in existing buildings to protect open space in the park.

Robert L. Jenkins

Mr. Jenkins, 68, is making a second run for City Council, this time with slate partner Kathy McKeithen, because, he said, the town needs good management, and "that's my background." Mr. Jenkins works as a turnaround and crisis-management consultant.

If elected, Mr. Jenkins said, he would run the town like a business, with the council acting as the "board of directors," focusing on policy and strategy. Commissions and committees would act as corporate staff groups, conducting detailed analysis and making recommendations to the council. Department managers would then carry out the council's direction, much like chief operating officers in business.

Restoring trust: Mr. Jenkins said the town is moving in the right direction, mostly due to Mr. Freedman. He said that running the town like a business and hiring a permanent management team would help prevent the mistakes of the past.

Hiring qualified people would help assure that the mistakes of the past aren't made again, he said, adding that the finance department is currently understaffed. He said offering adequate compensation will be the key to getting good people. Setting management goals and offering bonuses might be a way to keep employee performance high.

Operating budget: Unlike his opponents, Mr. Jenkins said the town may not need more money to pay for operating expenses. He said the budget is "break even" this year, and that new and increased fees are expected to bring in more money.

But those revenues are only assumptions at this point, and the only way to know for sure whether the town will need money, and how much, is to conduct quarterly budget reviews, he said.

If the town decides to use parcel tax revenues to supplement the operating budget, he said, revenue should definitely go toward keeping employee salaries competitive.

Roads and drainage: With two street studies outstanding, Mr. Jenkins also said it's too early to say whether he supports bonds to finance roads and drainage repairs. But despite voting against it twice, Mr. Jenkins said he's leaning toward a restricted parcel tax, one that could be used only for capital improvements, even though he has some reservations.

Mr. Jenkins said he voted against the tax before because he said the council was mishandling the money by siphoning off most of it to pay for operating expenses instead of capital improvements.

He said he didn't like the tax because it was unequally levied, with those who own less than an acre paying about $480 a year and those who own more than an acre paying about $650. He also was was unhappy that educational and religious institutions don't have to pay the parcel tax, even though they consume just as much of town services as residents. If elected, he said, he would work to close that loophole.

On the plus side, Mr. Jenkins said the parcel tax would provide a mechanism for the town to report on capital improvement spending as the tax comes up for renewal every four years.

"It's not the amount of the parcel tax," he said. "It's the use of it. People need to know the money is being spent right and they need to be shown that at regular meetings."

Term limits: Forcing incumbents off the council may provide that push to get other residents more involved in town government by seeking their own term on the council, said Mr. Jenkins. That's why he supports a limit of two, four-year terms on the council. Use of Holbrook-Palmer Park: Mr. Jenkins said the demographics in town are changing, contributing to a wide range of interests for the park. Given that, he said, he supported the Little League diamond in the park and would support using public funds for an art center, if that's what residents want.

He said the park is underused now, and sees New York City's Central Park as a model.

"That's highly utilized for a wide range of things, and nobody's pushing to commercialize it," he said.

Charles Marsala

Many younger families are moving into town, but not enough of them are getting involved in town affairs, said Mr. Marsala. But as an active volunteer and a new resident, Mr. Marsala said he's uniquely positioned to help build consensus and get more people involved in town affairs.

"Right now we're at a point where we desperately need to build community," he said. "'United we stand, divided we fall' really applies in Atherton."

Restoring trust: Like his opponents, Mr. Marsala said he believes the mistakes of the past have been cleaned up thanks to Mr. Freedman.

He said he's happy with staff levels at the police department, although he said he would like to see a school resource officer and another detective. He said that at least two more officers are needed so that shifts can be covered if officers are ill.

But in order to continue on the town's upward trend, Mr. Marsala said, council members must communicate better with residents; he said a good example was Menlo Park, whose mayor used to hold informal Saturday meetings with residents. He thought Mr. Freedman's periodic Tuesday night "listening sessions" were also a good idea.

Attending neighborhood association meetings and talking with residents on a regular basis might be the job of the vice mayor, he said. If elected to the council and to the vice-mayor position, Mr. Marsala said, he would take on that responsibility.

Operating budget: Mr. Marsala said he voted for the parcel tax in past elections, but said he doesn't like that the tax had to be renewed every four years. He said that puts employee salaries at risk too often.

"We definitely need a long-term funding vehicle so staff salaries aren't going to be lost every four years," he said.

He also said the council has too much to do and doesn't have enough time to campaign every four years for the parcel tax. He said he would support a long-term parcel tax.

Roads and drainage: Like his opponents, Mr. Marsala said he hasn't decided yet which funding measure would be the best to fix the town's roads and drainage system, and wants to wait until results of two street studies are complete before deciding.

However, he said if he had to choose a long-term funding method, he would choose an "ad valorem" bond, or one that is based on the assessed valuation of properties "so not all properties are hit with the same amount," he said.

Term limits: Mr. Marsala said the council has too much to do to think about setting term limits, but if residents want them, he would support them too.

As for himself, he said he doesn't plan to make City Council his career, and said he would stay on a maximum of eight years.

Use of Holbrook-Palmer Park: The park is one of a few public parks in the state that doesn't receive state or federal funds, said Mr. Marsala. As such, he said, the rental business in the park should continue.

"Families have great memories there," he said. "These aren't just commercial enterprises, they're somebody's special events."

Mr. Marsala said he didn't support Little League in the park at first, but was happy with the ultimate approval of the ball field. He said having the sports organization in the park might be one way to get more people involved in other park activities, such as art shows.

The park should be better used, he said, and he wants to see the return of concerts. He said the town should work with other similar communities such as Woodside or Portola Valley to encourage those residents to use the park for joint town activities. He also suggested working with Menlo Park's Recreation Department for activities that use Holbrook-Palmer Park.

Kathy McKeithen

Unlike her slate partner, Bob Jenkins, Mrs. McKeithen is making her first run at public office and is running on a platform of change.

Disturbed by what she characterized as an unresponsive and disrespectful council, Mrs. McKeithen and a group of residents late last year uncovered evidence of sloppy management at town hall.

Although she said most of those problems have been resolved, there is still much to be done, and she said she is the best person to do the job.

"I think I can bring open government, restore respect, and make people understand that they can play a part in town government," she said. "To some extent, I think I've done that."

Restore trust: Mrs. McKeithen said she was satisfied with how things were moving in town and credited the new police chief, interim finance director and interim city manager with helping to move the town in the right direction.

After talking with the police chief, she said the department may need another management person to help with administration, but overall she believes the police officers are happy.

"I think that department is no longer sloppy and dysfunctional," she said. "It's a leaner, meaner department and a happier one."

To assure that the mistakes of the past don't happen again, Mrs. McKeithen said, the council must have better oversight over town staff and listen to residents' concerns. She also wants to televise council meetings so residents know what and how decisions are being made.

Operating budget, and roads and drainage: Mrs. McKeithen said the town should consider all its financial needs -- roads, drainage and operating budget -- together and look into all options to meet those needs.

She said no one knows how much money the town will need for roads and drainage, because two street studies aren't in yet. She also said that because past budget expectations were wrong, the town can't be sure how much money, if any, the town will need to keep employee salaries competitive, and pay for other capital improvements.

Residents may not want a bond issue because it would tie up their properties in debt, "and this is a town that doesn't like debt," she said. Bonds also can't be used for maintenance, she noted. Government funding should also be an option, she said.

Mrs. McKeithen said she may advocate a dedicated parcel tax, one that would be used only for capital improvements and/or operating expenses, even though she voted against it before. She said the town could try for a four-year tax at first, and if residents approve of how their tax dollars are being spent, they could then approve a longer parcel tax.

But before any decisions are made, Mrs. McKeithen said, the council should hold several meetings to find out what residents want and how much they're willing to spend, because, she said, it's really the residents' decision. She said the town should distribute as much information as it can about the town's financial needs and financing options.

"After full disclosure, the city gets to prioritize, not the council," she said.

Term limits: Mrs. McKeithen supports term limits.

Use of Holbrook-Palmer Park: Mrs. McKeithen said she wants the park to be more of a community park that is used by residents of other towns, not just Atherton residents.

She said she approves of renting out the park's facilities for weddings and small events because those events pay to maintain the park. But she's against expanding the park for commercial use.

Mrs. McKeithen said she didn't have a position on Little League before a baseball diamond in the park was approved. But now, she said, the town could make it work for all groups -- for and against it -- by making sure it adheres to the restrictions placed on it.

She said she was pleased that the council asked the Park and Recreation Commission to develop a master plan for the park, and an art center should be part of that planning process.




 

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