TKC EXCLUSIVE AND BREAKING NEWS!!! FINANCIAL CRISIS: KANSAS CITY'S GENERAL FUND BALANCE DROPS BELOW 3%!!!
There is devastating news circling around City Hall concerning Kansas City's finances.
THE MOST COURAGEOUS TKC TIPSTERS want readers of this blog to know about first, before it is spun by local politicos looking to duck responsiblity.
KANSAS CITY'S GENERAL FUND BALANCE IN NEARING 2% AFTER IT WAS ORIGINALLY BUDGETED AT 8%!!! THIS MEANS THAT KANSAS CITY'S CASH ON HAND IS DRAMATICALLY DWINDLING!!!
I hear the current fund balance is around 2.5%.
Once again there is enough blame to go around for everybody.
First and foremost this dire situation reflects horribly on City Manager Wayne Cauthen's ability to manage his office or the city's budget. Word around City Hall is that Wayne is simply out of control and moving money all over to finance his pet projects and to grant (some say political) favors.
Still, Mayor Funkhouser promised this would be an era when Kansas City was "Smart with the Money" and this failure belongs to him as well. If the Mayor wasn't hiding in Brookside, if he had some political capital, if he really made the budget a priority rather than playing the welfare fairy all over Kansas City's Eastside or posing for the media . . . Then he might have had a better chance in addressing this real world problem. Instead, he's nothing more than a City Hall tin man only useful for meaningless slogans.
Get it straight these numbers impact every aspect of life in Kansas City.
Again, The General Fund balance was budgeted at 8%. "Best practices" in local government usually dictate that the Fund Balance should stay at 8%. But increasing debt and so many Wayne's world shell games have produced a horrible state of affairs with Mayor Funky too politically crippled to make any change.
Make no mistake:
THIS NEWS COULD KILL KANSAS CITY'S BOND RATING!!!
City Hall is simply unable to manage this town's money. Something has got to give and now that City Council Committee shakeups are underway along with a lame new approach to the budget that strips away power . . . This situation only seems to be getting worse.
Never mind that there seems to be another round of recession and harsh economic times on the way or that any number of disasters could wipe out what's left of the General Fund Balance.
This news reported by AWESOME TKC TIPSTERS signals serious financial peril for Kansas City. This cowtown isn't about to become a Midwestern version of Portland, more like yet another Detroit.
Time and time again the people of this town are promised better stewardship of local finances and resources and this morning it is apparent that those promises have once again turned out to be false as Kansas City is clearly running out of cash.
UPDATE: From the Finance and Audit Committee meeting this morning . . . "It's like $27 million just disappeared."
Good job dude.
ReplyDeleteI am not sure. It seems like all of Cauthen's fault to me.
ReplyDeleteThis is what the City Council gets when they endorsed "Wayne's World" with his stupid contract.
ReplyDeleteA bond downgrade would be the best thing that could happen to KC. No more borrowing for worthless projects.
ReplyDeleteHey lets get Mr. Holland to buy us into the bond market for the HOTEL and let the whole city go up in a blaze of debtor glory.
ReplyDeleteEVERYBODY PANIC.
ReplyDeleteWhatever Tony. Probably just an accounting error.
City Hall isn't smart with anything. Near as I can tell there are about ten people working down there and everyone else is sucking up the gravy. That includes the council.
ReplyDeleteFear NOT.
ReplyDeleteI am good with the money.
We were supposed to get all the city's cash!! How did they manage to have 2% left? Terry Dunn, you are such a f.... up!!!
ReplyDeleteHow much tax revenue are we getting East of Troost Tony? That's a question you don't ask.
ReplyDeleteThey all must go the city manager, city council and mayor. They still have time to waste working on a city owned 1,000 room downtown hotel.
ReplyDeleteI guess they didn't put a rock on it.
ReplyDeleteyet another reason I am no longer associated with Save Mast! The City would have had an 'out' by blaming us if the citizens voted this down! I want to watch them squirm and wriggle when they realize there is no money, no plan, no way it is financially possible to take on over 300 new employees into the city pension, the city benefits, etc. EFFING MORONS!
ReplyDelete8:32... How much money does "East of Troost" bring into the City?
ReplyDeleteSomeone, please tell me why Cauthen is still around. For that matter why are any of these idiot council people still around? The 2011 election can't come too soon.
ReplyDeleteIt bothers me that people blame "the council" as if their decisions were unanimous. Several council members were opposed to extending Cauthen's contract and actually supported the idea of getting rid of him. The majority, more interested in putting down the Mayor than doing what was best, made the decision. Now they have to live with and defend it.
ReplyDeleteAll along, there have been members who saw Cauthen for what he is (and is not) -- they just can't muster a majority. So, do not cast aspersions on the entire council -- target those who made the horrible decision to keep and endorse Cauthen.
You say that as if there's something WRONG with killing Kansas City's bond rating.
ReplyDeleteThe things that people really want to make a priority, they'll find a way to pay for. Paying for things *politically* through mandatory taxes and monopolistic/bureaucratic city government programs isn't the only way to do so -- and it's often easy to show that way is the dumbest and most counter-productive way to do so.
If the systemic problems of the political method lead to a budget crisis that raises awareness of alternatives, we'll be better off in the long run.
Yet there's enough cash to give over $1,000,000.00 to a fucking church.
ReplyDeleteAwesome.
This whole city government is utterly fucked. Nuke it from orbit. It's the only way to be sure.
To anon 11:57, There are many circumstances, ordinances, expenditures, pay-outs and back room deals that have led to our current fiscal crisis. All council members, the mayor and the city manager have contributed and should share the blame equally. Case in point: the H&R Block debacle was allowed to occur under full knowledge and with ample warning to all the city leadership. They did nothing to prevent the orchestrated release of $14 million to an undeserving developer/contractor. They allowed it to happen. Not one of them has come out with a statement on this decision. That's just one reason why they should all go. Anybody care to submit other examples?
ReplyDeleteNext election: Clean House
ReplyDeleteYou make a good point Anonymous 02:35:00 PM. OK Mayor, Councilmembers and Wayne, what say you? We know you read TKC, don't deny it. The public wants to know your answer. If you don't come forward, expect these questions as you try to get re-elected or hired somewhere else as in Wayne's case.
ReplyDeleteTo Anon 2:35:00 --
ReplyDeleteI have no problem with evaluating council members for things they do or fail to do. If you want to blame one or more councilmembers for not doing anything about the H&R Block matter, fine -- so long as it is true they "did not do anything." (I question whether the council could do anything or whether it was the TIF Commission's job, but that's a valid debate).
At least then you would be blaming the councilmembers for their individual (in)actions, not their collective (in)actions. My point is: while the council as a whole supports Wayne's Wacky World, not all of them do. So, if you want to complain about Wayne's Wacky World, you cannot fairly or logically blame all the councilmembers precisely because some of them disagree(d) with and oppose(d) his new and unjustified contract.
I would also add: expecting elected leaders to do exactly what you want 100% of the time will lead to disappointment. All you can do is evaluate the number and nature of the "mistakes" and see where it stands. No official I back has ever done exactly what I wanted all of the time -- and a single difference would have to be pretty major to make me turn away.
I say let's call for a Federal Investigation. Our prisons could always make room for corrupt politicians.
ReplyDeleteTo anon: 3:11, $14 million is not major enough for you? Are you one of the council members?
ReplyDeletezzzzzzzzz
ReplyDeleteAnyone reading these comments NOT in the media and not either working, used to work or wanna work at shitty hall, pls to raise your hand.
So this is where TKZ gets his 500 readers?
Radioman KC, you are an awkward and embarrassing presence. Stick to your own site.
ReplyDeleteYou didn't answer the question... or are you TKC hisself?
ReplyDeleteThe innerworkings of city hall are so deadly boring... but I'm sure all the awesome tipsters want to see this continue for it gives them power, snitch power.
and truthfully, its a good thing... for as we know from watching New Orleans and the Picayune, that when the paper's in bed with the government, then dikes don't get built and the city gets destroyed.
And it shouldn't come back, no matter how politically correct it is to do so.
Cauthen is still around because Funk went after him like a jilted lover rather than a public servant.
ReplyDeleteWe need them both to leave please.
ReplyDeleteI second the motion by 8:12.
ReplyDeleteTo anon 3:18 -- lol, no I am not a council member. However, with respect to the H&R Block matter (assuming we are talking about the same thing) -- I can legitimately not be concerned that $14 million went to H&R Block even though they failed to meet minority hiring objectives. I can also legitimately believe it was not the council's job or power to do anything. You can legitimately believe otherwise. We can debate that. Finally, even if I agree that a councilmember should be "blamed," I can legitimately conclude the councilmember does enough I agree with that they deserve my continued support.
ReplyDeleteHowever -- there can be no debate that certain council members want Wayne gone, and they should not be blamed for his continued presence. That was the extent of my original point.