Friday, February 13, 2009

Who Can Do The Math ?
Mayor Larry thinks the city needs a committee to oversee its finances. Good idea. Even Citizen Ellie, who considers herself to be a mathematical genius, is having trouble with all the numbers floating around in conjunction with the bus strike.
Early on in the strike, Ottawans were told the city was saving $3.5 million each week the buses didn't run. The strike lasted 53 days -- just short of eight weeks. Let's say seven weeks weeks at $3 million -- that would mean a saving of $21 million. Ratepayers were delerious at the thought some of this saving might be passed on to them in the form of a property tax rebate ! Alas, it was not to be.
The $3.5 million figure was put out by OC Transpo boss Alain Mercier. It turns out he is badly in need of a new calculator as he now says his original figure of $3.5 million was a "rough estimate." He now has a "more realistic" estimate but what it is, no one knows. Was there a saving ? Inquiring minds want to know.
Then there's the $13.4 million figure initially attached to the cost of compensation and incentives to get people back on the buses. Apparently that number wasn't correct -- the package apparently cost closer to $10 million, some $7.6 million of which has already been collected on bus passes not used during the strike. This leaves $2.4 million to pay for the compensation/incentive package -- but apparently that figure is wrong too. The package cost has been re-estimated at $1.5 million .
Magic calculators ? Smoke and mirrors ? The old shell game ? Just what is going on here ?
Yes, a finance and audit committee is badly needed to oversee city finances. But a committee only made up of councillors and city staff smacks too much of putting the fox in charge of the henhouse.
Some independent third parties -- i.e. taxpayers --should be on that committee too. Here's a tip, Larry: find people who know how to add and subtract, multiply and divide, and read a balance sheet !
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Smart Folks
The Citizen Ellie Good Judgement Award this week goes to the Renfrew County Council whose members recognize their constituents are having a tough time in the recession and that they should set an example.
They've decided not to send anyone to the annual Federation of Canadian Municipalities meeting this spring in Whistler, B.C. and have passed a one-year moratorium on attending conventions.
What a contrast to the haste about a dozen Ottawa councillors demonstrated in signing up to attend this convention ! Country mice are pretty smart.
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