Mayor sees union health costs as issue
By
Thomas J. Prohaska
LOCKPORT — Mayor Michael W. Tucker said during his State of the City message Tuesday that the city’s financial situation demands union concessions on the cost of health insurance.
“This year all five union contracts are up, and the health care issue will be on the table, will be the focus,” Tucker told a luncheon meeting of the Lockport Rotary Club in the Lockport Town and Country Club.
“We must find a common ground that is acceptable to both the unions and the taxpayers, and I am confident that we will,” he said. “I am asking the leadership of the city’s unions to reflect on the world today, and ask them to work with me to be reasonable and open to new ideas so we are not forced to look at the alternative.”
Tucker didn’t mention layoffs, but in a departure from his prepared text, he said, “We will do what we have to do.”
In a brief interview after the speech, Tucker, a former United Auto Workers official when he worked at Delphi, indicated that the city won’t start the bargaining from a position of hostility toward the unions.
“I have a good relationship with them. They have a good relationship with me,” the mayor said.
“We’re months away from sitting down at the table,” said Kevin Pratt, president of the Lockport Professional Fire Fighters Association. The union contracts don’t run out until Dec. 31, and Pratt vowed not to negotiate in the media.
“Negotiations are best served at the table. Mike Tucker and I have agreed on that for years,” Pratt said.
He added that the fire union and Tucker have a track record.
“It was the unions 10 years ago that brought significant savings on health care to the City of Lockport,” Pratt said. “[Former Mayor] Tom Sullivan rejected it for four years, and Mike Tucker did it within eight months of taking office. That saved the city $3 million in the first four years.”
Tucker said the city’s financial condition is good now, marked by the highest bond rating in Lockport history. But he said, “We must consider to monitor our surpluses, as they are approaching levels that we need to watch closely, and we must continue to keep a very watchful eye on spending.”
The mayor said, “Our operating budget continues to go up each and every year, and the overwhelming majority of this increase is directly attributable to health care, pension and legacy costs for employees.”
Noting that the city has 23 fewer employees than it had 18 months ago because of a retirement incentive, Tucker said any budget problem is “not a staffing issue, it’s a health care issue, and it must be addressed.”
On the positive side, Tucker touted the success of the privatized garbage and recycling program, which he said reduced refuse costs by $113,000 in its first three months, compared with the same period a year ago.
“This program is a savings machine,” he said, adding that total savings for 2012 “will likely exceed the projected savings of $428,000.”
City residents are recycling 22 percent of their trash, he said, and total waste generation, the sum of garbage and recycling, is down 12 percent from a year ago.
Mayor gives State of the City speech
LOCKPORT — The City of Lockport government is smaller than it was 18 months
ago but is in a stronger financial place, Mayor Michael W. Tucker said in his
annual State of the City address.
Speaking to the Lockport Rotary Club on
Tuesday, Tucker said the city has been able to overcome challenges despite the
economic situation the state finds itself in.
“It is not common to be as
financially sound as we are and these things don’t happen just by luck,” Tucker
said. “In our case, they’ve happened because of responsible planning by the
Common Council and our department heads.”
The city will continue to keep
a watchful eye on spending in 2012. That will be important, Tucker said, as
national and state leadership will continue to shift a considerable amount of
financial burden onto the backs of local governments. And tax increases must be
avoided, the mayor said.
“We understand times are tough,” Tucker said.
“And we are proud of the fact that the tax rate has decreased the last two
years.”
He added Lockport is operating with 23 fewer employees than 18
months ago, the lowest staffing numbers in decades.
The operating
budget’s increase is largely because of health care, pension and legacy costs
for city employees. Tucker said city contracts with all five unions are up this
year, negotiations will go on throughout the year.
Healthcare costs for
the city will approach $6 million, Tucker said. And that will be the focus in
contract talks.
“We must find a common ground that is acceptable to both
the unions and taxpayers,” Tucker said. “And I am confident we will.”
The
mayor did bring up some of the city’s accomplishments over the past year. First
on the list was the curbside recycling and privatized garbage
program.
“While it made for an interesting election, we stuck to our
belief that this is what was best for the city,” Tucker said.
Overall
garbage costs have been reduced by $113,000, compared to a year ago. Tucker said
he expects the city to see more than the projected savings of $428,000 for
2012.
About 600 tons of recyclables have been collected, with city
residents recycling about 22 percent of their average household waste. Citywide,
total waste is down 12 percent, meaning 34 percent of the city’s garbage is not
being sent to a landfill.
Tucker said a goal of his was to draw tourists
to the city. He said 250,000 people came to Lockport in 2011 because of city
attractions, and an economic report said a restored Flight of Five could draw as
many as 230,000 people, so it will continue to be a priority.
Improving
Lockport’s standing in tourism will continue to be a goal in 2012, the mayor
said.
“Last month, I took information gathered from a meeting in the
council chambers from all the tourism related business in our city and formed a
tourism task force,” Tucker said.
The task force will take those ideas
and form a tourism plan for the city.
Representatives for the National
Trust for Historic Preservation visited Lockport in October.
“And they
loved it,” Bob Hagen informed the rotary club members.
Going into 2012,
Tucker said another goal is the Lockport Ice Rink Project. The long proposed
arena would go into the old Jubilee building on Chestnut Street.
“Recent
developments have given us reason to believe that this project will become
reality and I am committed to making that happen,” Tucker said.
The city
will continue on improving housing throughout the city and addressing housing
code violations, the mayor said. Initiatives such as Lockport Canal Homes, the
Historic Preservation Board’s historic district and the Main Street Program will
help home and property owners as well as businesses succeed.
Tucker said
the city must remain financially prudent while balancing the budget with
delivery of services.
“I am confident that our best days lie ahead,”
Tucker said.
Really Mike? We're in sound fiscal shape? If sound fiscal shape means spending all your savings and using your credit cards to pay the bills, then yes, I guess we are!
Oh, and by the way Mike, I don't care about the 'tax rate', I care about my tax bill and user fees. You can lower the rate all you want, but if at the end of the day I'm spending more for my services, then guess what, you've increased my taxes!
Here's a little tip for you Mike- 'If you planning on negotiating with the City's 5 unions and you really want to get some concessions, you probably shouldn't say that the City is in great financial shape'. Oh, that's right, he still has to pay the Police and Fire unions back for their endorsements, he doesn't really want concessions, he doesn't care about you!