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FROM THE MAYOR...
 In May I had the opportunity to speak at the Annual O’Fallon-Shiloh Chamber of Commerce Breakfast. It is always a pleasure to participate in this event. It gives me a chance to connect with not only our local business people, but also our community leaders. The presentation this year focused on the State of the Country, State and City. This article will cover some of the major points in the
presentation, but you can access the entire PowerPoint slideshow from our web site at www.ofallon.org.
Our Founders had the concept of citizen rights which became an important theme in America’s founding documents. It is that notion of personal rights that helps keep society from deteriorating into either a type of dictatorship or mob rule. Personal rights allow us to pursue our dreams while charging us with the obligation to be responsible citizens. Our government is there to ensure those personal rights for us, but not to take over our obligation to be a responsible person. Yet, today, more and more Americans believe that any proposal that is deemed “good”, should be provided by our government. They look upon government as the source of happiness and material stability. They have forgotten George Washington’s warning, “Government is not reason, it is not eloquence. It is
force. And like fire, it is a dangerous servant and a fearful master.” Wisdom like that prompted Washington and our other Founders to write a Constitution that contained the Bill of Rights, separation of powers, checks and balances and dozens of “thou shall not’s” directed at government itself. They knew, like many Americans today, that a government without rules or boundaries, that does anything for anybody, that confuses rights with wants, will yield intolerable tyranny. We seem to have tossed away the instruction book, and until we find it and give it life and meaning in our public lives, we will drift from one intractable financial crisis to the next. Something more important than any handbook from the State--namely, our liberty--hangs in the balance.
State of the Country
Unemployment is 9.9% and the country is faced with plummeting revenues and increased deficits. The stimulus funding was no panacea for cities. The funding is now gone and states and cities will have to lay off workers. The City of O’Fallon received virtually no stimulus funding, so we have taken care of this by not rehiring as employees resign. An interesting fact is that 47% of your fellow Americans paid no income tax last year. In early May, recovery from the World Financial Crisis took a hit due to the Greek tragedy. National debt is soaring and recovery is anemic. Record breaking debt continues to hold back the recovery. As a result, taxes will rise and economic growth will be slow.
State of the State
The state is currently $13.5 billion in debt. Possible ways that have been identified to manage the debt include: skipping payments (long-term funding gap of $80 billion in state pensions), delaying payments (approx. $6 billion in overdue bills at end of fiscal year), letting Governor Quinn decide (cut state spending up to $400 million or tap into special funds), raiding funds (borrow about $1 billion and repay within 18 months), granting amnesty (to non-taxpayers), selling future revenue (half of tobacco lawsuit proceeds sold for $1.2 billion check now), taxing cigarettes (raise tax per pack to $1.98), cutting costs (Governors proposal was $2 billion in spending cuts with $1.3 billion coming from education).
State of the City
Our FY 2010 budget ended in the black with a small surplus after cutting approximately $1.5 million when sales tax revenues declined. We had no additional employee layoffs and 13 positions (12% of workforce) remain unfilled. This was our 13th year for a balanced budget in spite of the fact that in late May, the state owed us $1,020,000 in income tax payments. Since August 2008, we have reduced our budget by more than $3 million. At this time, no employee layoffs are expected in FY2011. Due to health cost sharing by employees, health care premiums increased by only 5% (industry standard = 12.5-13%). We also discovered that the Census missed 300 homes which amounts to $1 million over ten years. The Census Bureau assures us that these 300 homes will be counted.
In summary, according to Ameren, Cap and Trade will increase your energy costs by 50%. Congress is working on a banning of junk food--where is that in the Constitution? Our financial mess can be laid directly at our Congress and State Legislatures. They are the only people who can spend money and they tell us they didn’t have anything to do with the problem! This isn’t a Republican or Democrat issue, it is out of control government spending. How do you balance your budget?
It is an honor to serve you, and I appreciate being given the opportunity to work for the residents of O’Fallon. I am willing to meet one on one with anyone who has a concern about any issues related to our city. I welcome your suggestions and comments and encourage you to contact me at 624-4500. It is through your input and dialog on important issues that we will make O’Fallon an even better place to live and work.
Gary L. Graham
*Excerpts from various articles and publications are included in this article
The Mayor and City Council
place great value on O’Fallon residents’ opinions and ideas
and invite citizens to attend City Council meetings to take part in the planning and development of our great City.
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