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Saving Money in County Government
Posted 07-16-2001
Westmoreland County government spent the first half of the year carrying out
an early retirement program that was an effort to reduce the payroll through
a voluntary effort. The bi-product of the early retirement was an
elimination of vacated jobs. Together, the two actions were successful in
making the payroll smaller.
The early retirement program
saw the participation of 94 out of 210 eligible employees. The total wages
of those participants was $2.778 million, plus an additional $129,518 in
longevity pay. Some of the 94 participants were in positions that we had to
fill such as nursing, or they were employed by the courts or elected row
officers who do their own hiring. In most cases, the replacements were hired
at lower wages, thus creating savings even in positions that were refilled.
So, we did not see a net
elimination of 94 jobs. But at the end of June's Salary Board meeting, we
did eliminate from the county payroll 28 positions that were under the
Commissioners. Those 28 jobs were worth more than $400,000 in wages, not
including longevity. With another 30% in benefit costs, we are saving over
$500,000 in wages and benefits.
Those savings are a positive
step in tackling the county budgetary challenges, but they hardly solve the
problem. From a philosophical standpoint, they set the tone that county
government must make changes, and overcoming the budget challenge is
something that is already in the works. One of the most difficult parts of
managing an institution as large and entrenched as county government is
changing the culture of "things have always been that way". But, hopefully,
the message is sinking in.
There are many good and
prudent things county government does. But frankly, faced with future
deficits without any new spending increases, change is still inevitable.
There is often talk about running government like a business. However,
government just isn't a private business, and county government is burdened
by many archaic regulations imposed by the Commonwealth and the federal
government. Without the state and federal government giving us the ability
to shape county government in a manner that fits current circumstances,
we'll never be completely like a business.
What we must take from
business is a demand for increased productivity. That is what fueled the
national economy, and it can allow us to provide quality services at a
better price. We also must continue to demand better deals from the vendors
that do business with the county. Too often, there is a mindset that
government is a cash cow, and we won't demand the best price possible.
We've also continued to
implement ways of increasing revenue that could help reduce our dependence
on real estate property taxes. Implementing user fees is a difficult and
sometimes painful process. But without tax reform, we have little
alternative but to look for additional sources of revenue. Additional
revenue DOES NOT mean new spending; it is just a way of paying the bills
that we know already exist.
The real challenge is to
ensure government does make progress, while becoming more cost-effective. I
do not advocate the dismantling of county government because the services we
provide are almost all absolutely essential. Helping children, seniors, and
special needs citizens, providing public safety, and the administration of
justice are important public services. The public rightfully expects quality
services, and they rightfully expect those services to be provided as
cost-effectively as possible. Since taking office, my management of county
government has been driven by a commitment to those expectations, and I will
continue to be guided by them until I'm done serving. If there is a similar
commitment from everyone in county government, we can meet the public's
expectations and make Westmoreland County government all it should be. |
