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Thursday, August 21, 2008

Simple statements on CDC realities (as opposed to fantasies)


The Borough's five-year, $125,000 per year extension of its professional services agreement with the Main Street-Community Development Corporation should be understood in light of the following facts:
1. The agreement is between organizations. It is not an agreement between the Borough and Barry Cassidy.
2. Barry Cassidy is an employee of the CDC. Barry Cassidy is not an employee of the Borough. If Borough Council has something it wishes done by the CDC, the CDC must assign it to its staff.
3. Mary Foote's remarks before Council were exactly correct: Mr. Cassidy serves the CDC "at will." If there's a problem with Mr. Cassidy, that problem should be brought to the CDC, not the Borough.
4. Mr. Cassidy does not make $125,000 per year. The money to the CDC from the Borough is not designated for his salary, but does obviously include it. It also includes the salary of a second employee in the office, and some program funds.
5. The $125,000 is the first contribution in a larger fundraising campaign the CDC is pursuing – with emphasis on corporate funders. It is likely that the 2009 CDC budget will be multiple times larger than the $125,000. Salaries and other expenses will come out of the entirety of CDC operating funds.
6. The Borough's $125,000 for each of the next five years is an answer to questions posed by private money to public: Is the Borough itself committed to revitalization? How? How deeply? Over what period of time?
Posted by
G.E. “Skip” Lawrence

6 Comments:

Blogger Ed Jones said...

OK - It is still taking my tax money for development (read improvement) of the downtown area.

How about using some of my tax money for improvement of my neighborhood other than fixing roads, and water and sewer lines that come out of other taxes and budgets.

August 22, 2008 6:18 AM  
Blogger The Chicken Cacciatore Project said...

You're right, Cassidy's salary is not $125,000 a year.

The CDC's 990 for 06-07 states that his compensation for that period was only $112,528 ($93,333 salary and $19,195 benefits). Subtracting that from $125,000 leaves $12,472.

Anyone wishing a copy of the CDC's entire 990 should go to their office, where they are required by law to make it available for public inspection.

Or email to

morechickencacciatore@yahoo.com

with "CDC 990" in the subject line.

August 22, 2008 7:34 AM  
Blogger Jeff Senley said...

I find this posting somewhat misleading.

My responses to the 6 bullet points are as follows:

1. The agreement is indeed between organizations; however, it exists in its current state only due to Barry Cassidy's request, supported by the CDC.

2. Barry is an employee of the CDC; however, the Borough of Phoenixville pays his salary and benefits (see item 4.).

3. Mary Foote's remarks were in conflict with Robb Frees' prior remarks.

4. The allocation of the $125,000 was indicated to us as for two and only two items: "Salary for the CDC Executive Director" and "Benefits for the CDC Executive Director". None of this funding is targeted for any projects or other staff. This is supported by the current 990 form which shows Barry's annual compensation in 06-07 as $112,528 (in fact more than the $111,111 contributed from the Borough).

5. Good to hear. If there is so much funding in the pipeline, the Borough taxpayers' requested contribution doesn't sound all that vital.

6. This "feel-good" statement does not change the fact that the CDC was never intended to be a taxpayer-funded entity.

August 22, 2008 10:21 AM  
Blogger Karen said...

As presented on the Phoenixville Borough website:

"Borough Council and Responsibilities Source: The Pennsylvania Borough Handbook

Election to the governing body of any Pennsylvania municipality conveys a great deal of power and responsibility. This power is granted by various laws and codes vesting certain corporate and specific powers in council. Corporate powers legalize the action of the municipality and provide elected officials authority to act on behalf of the municipality.

The Borough Code enables council to function in the best interest of the borough. Specific powers provide authority to council to enact legislation covering governmental functions such as health, fire, police protection, and taxation. Specific powers granted to the borough are intended to provide council with the capability needed to legislate for the benefit of the municipality and its citizens.

Council is empowered to make and adopt all ordinances, bylaws, rules and regulations deemed necessary for the proper management and control of the borough in order to maintain good government and protect the safety and welfare of its citizens.

Borough Council is involved primarily in a legislative role. They may also act in an administrative, executive or supervisory role to a lesser extent. The legislative role is of primary importance because the actions taken by Council in deciding the laws governing the borough will affect not only the people within the borough, but those outside the borders as well."

END

Nowhere in my admittedly outdated copy of the PA borough code does it state that any borough council can, could, should DONATE TAX DOLLARS to an organization engaged in FUND RAISING as noted in Skip Lawrence's article #5 (The $125,000 is the first contribution in a larger fundraising campaign the CDC is pursuing – with emphasis on corporate funders.)

"Contract" with the CDC aside, the admission that the CDC considers the $625,000 the first DONATION, the question becomes is this legal?

With regards to item #6, "..questions posed by private money to public: Is the Borough itself committed to revitalization? How? How deeply? Over what period of time?"

THIS is the mind-set which must be kicked to the gutter. What would make anyone think that I, as an already over-burdened taxpayer, have ANY desire to have my tax monies committed to private money as an "investment" which has not shown one cent of financial return to me or any other resident of Phoenixville?

Let the private sector fund it's programs privately.

Let the local government focus on providing the administration and services required.

The public-private relationship/partnership is nothing more than an empty and over-used PR phrase which drains our tax dollars away from necessary obligations to the residents.

This is the Council which turned down a 5 year fixed rate trash removal contract and other flawed decisions, and is again indication of the fact that the majority of Phoenixville Borough Council have forgotten they are OUR public servants.

We have given the "private money" in this town enough.

August 22, 2008 12:32 PM  
Blogger The Chicken Cacciatore Project said...

The fewer the facts


The larger the font

August 22, 2008 2:44 PM  
Blogger Phys_Ed said...

Skip -
Where did you get your facts?

August 23, 2008 6:50 AM  

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