IN YOUR CORNER
There are many ways to obtain higher performance per tax dollar from
government. One of these is to encourage staff to be more
entrepreneurial. This is easier said than done. All of us in both
private and public sectors try to avoid unnecessary risks; however,
government cannot provide as clear a correlation between taking more
risks and obtaining more rewards as the private sector does. For
example, providing a bonus to a high performing employee in the private
sector is easy, but unions, union contracts, and strict pay grades are
an obstacle in the public sector.
Business people ask why government is not run "more like a business".
Many mechanisms in government have evolved to protect taxpayers from
unethical or illegal practices. The Sunshine Law, for example, requires
nearly all government decisions be made in open public meetings. This
is good for open government, but presents an obstacle to buying goods
and services at the same price the private sector can obtain. Other
laws designed to make government purchasing fair to all parties
ultimately tend to benefit the seller more than the buyer.
Nevertheless, there are ways government can be more entrepreneurial to
both save money and speed construction of capital projects. And some of
the side effects of this may be surprising.
For example, two years ago the City of Stuart wanted to purchase Stuart
Trailer Town (just north of the downtown Post Office) and construct a
retention pond for water quality improvements. The standard government
approach would be to obtain several appraisals, contract with the land
owner and buy the land, then negotiate separate agreements with each
resident to sell his or her trailer, hire a consultant to design the
improvements, then bid the improvements and hire a contractor to build
them. This approach maximizes control at each stage of the project, yet
also maximizes the total cost and time required to go through all the
these steps.
The City took a different approach. They purchased the land completely
cleared with the retention area built, all at much lower cost, and much
faster, than typical government purchasing procedures could have
produced. One of the parties involved estimated the City saved $500,000
and 2 years of time.
The requirements for entrepreneurial activity of this nature are fairly
obvious. The City Commission trusted staff enough to approve a unique
contract. The staff trusted its private consultants to negotiate a
complicated agreement that was fair to all the parties. The seller
trusted the City to hold up its end of the deal and close on the project
when it was complete.
Just as in private business dealings, this example of public/private
partnership depended on people cooperating to achieve a project with
"value added" none could achieve alone. The City of Stuart seems to
obtain this kind of result more often than most local governments. Part
of the reason is practice and success. Part is necessity, as the City
has a relatively small budget and must stretch its dollars further.
We also suspect that a major part of the City's success comes from
having a stable government that tends to return Commissioners to office
and keep good staff happy.
It seems to us that the risks of entrepreneurial activity by local
governments may be rewarded more subtly and less directly than in the
private sector, but the rewards can be large and fulfilling to those
involved. Good performance in turn helps build better governments. The
taxpayers end up with the best of all worlds. Our money well spent,
good projects completed promptly, and value added to the community.
We urge our elected officials and government staff to explore
entrepreneurial approaches to problem solving, and gain experience and
trust in the process. We can all benefit in the end.
**
At this time of year, under the guise of New Year's Resolutions, we like
to list a few of our hopes for the future:
The City of Stuart and the government of Martin County will complete an
interlocal agreement making the two Fire/EMS departments cooperate to
the benefit of all taxpayers.
The new Martin County Commission will take as much interest in fiscal
responsibility as in growth vs. no growth.
Local governments will stop letting increased real estate valuations pad
the annual budget and begin giving some of our money back by rolling
back the millage rate.
Capital improvement programs will be sorted into three categories:
"must have", "would like to have", and "would be nice". This should be
done with a focus on the first category, and a few of the latter
categories.
The prospect of a sustainable future for our county will not be held
hostage by political squabbles.
Martin County will find a way to curb the expansion of 20-acre ranchette
development outside the Urban Services Boundary. This type of
development especially hurts taxpayers. We simply cannot afford to
support that kind of sprawl.
The new School Board works well with itself and the Superintendent. The
Superintendent does not bail out on her responsibilities.
Critical road improvement projects get started in the Spring and
finished in the Fall.
Local governmental budgets are made clear and understandable to all.
Happy Holidays to everyone and a healthy and prosperous New Year !!