October 30, 2008

Behind the 2009 Budget

This series of posts over the next few days will examine spending in the 2009 Grand Chute budget

I've had a few emails regarding the $15,000 in professional fees "for professional assistance to assist the new town administrator in negotiations with the town's bargaining units."

This line item jumped out as a red flag when I first reviewed the budget, and I questioned the reasoning at the budget workshops.

What this article doesn’t explain is that all three unions (police, fire, and public works) are up for contract negotiations next year. With the state of the economy, it is reasonable to assume the town will want to limit concessions at the collective bargaining table. If the union and town refuse to come to an agreement, both parties must go to arbitration. The town is responsible for legal costs associated with arbitration, including retaining a judge.

This $15K is set aside in a contingency fund, and is only to cover such costs in the event of arbitration.

Realizing "professional assistance" did not mean hiring a consultant to show the new administrator "the ropes", but rather paying legal costs associated with arbitration, I agreed to the contingency fund.