Initiating Economic Improvements

By Ann Keighran

Burlingame has recovered from the dismal financial time in our Nation. The City has achieved this through shared sacrifices, and timely action.

There are three major sources of revenue for the City general fund budgeted in providing for the level of services needed by the Burlingame residents. Ranking those in the order of the General Fund budgeting are: 1- 35% from the transit occupancy tax paid by guests at our hotels, 2- 30% from the 17% of the tax paid on properties in Burlingame, and 3- 18% from sales transacted in our City.

The City has no direct means in generating money from the revenue sources. However, the City Council has been engaged in indirect assistance through the Economic Development Program, working with the Chamber of Commerce, and on a semi-annual basis keeping hotel staff informed of what their guests can enjoy in Burlingame, all of these activities have been my pleasure of performing on behalf of our City.

The City Council also has implemented action plans that are indirect means for increasing the funds generated through the revenue sources. For example, Burlingame needed to use the bond money from the Storm Drain and Water/Sewer measures to replace the 80 year old infrastructure on Burlingame Avenue. With in-put from 2 years of meeting with residents and other interested parties, the City convinced the Burlingame Avenue property owners to fund the many enhancements to the Avenue that we residents will be enjoying soon. The anticipated net result will be a continuation of the fact that Burlingame is a unique place to live with a variety of places to go to, and a destination spot for local and longer distance travelers. Thus, a location where people will come and support our economy by contributing to our three revenue sources.

To improve the City's bottom line of its budget both during the recent fiscal concern and into the future, the City Council has initiated adjustments. One of the first steps was to change a long-standing retirement benefit of employees from lifetime health care for employees and spouses to a retired health care savings account. Before working on this with the various employee groups for new hires, the Council reduced their own defined benefits. Thus, the reduction of the City's obligations was a shared sacrifice of the Council along with City employees.

The City will be obligated to make annual contributions on the unfunded future medical benefits for retirees. The present Council has taken steps to change the prior practice of paying those from the General Fund by implementing a practice of reserving money each year to pay the obligation when due.

Weathering the economic storm faced by Burlingame and so many other municipal governments in our Nation and being a contributor in the present Council's proactive steps that have resulted in an approximate 35% reserve of Burlingame's operating expenses has been a definite high point in my time on Council. My desire is to continue on your Burlingame City Council making additional economic improvements benefiting our community.