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Chris Brown

Pension reform had the desired effect

It’s a good thing Houston got this done when it did. We couldn’t get it done earlier, and I don’t think we could get it done now.

Mayor Sylvester Turner

Now, nearly six years after Mayor Sylvester Turner shepherded a package of reforms through the Texas Legislature and the ballot box, the city’s pension systems face a far brighter future, according to business leaders, financial analysts and City Hall officials.

The city’s pension liability has shrunk to $2.2 billion, a quarter of what it was in 2017, according to City Hall figures. The city’s net financial position increased last fiscal year from $3.7 to $5.9 billion, an achievement Controller Chris Brown, the city’s independently elected financial watchdog, attributed to the reforms. And the city’s three pension systems have healthier funding levels, all while the city is on track to eliminate its debt in 30 years.

“My administration promised fiscal responsibility, and that is what we have delivered,” Turner said.

The results are not necessarily set in stone. Houston’s pension costs remain relatively high, and a market crash could test the reforms. The city faces other financial challenges, as well, from a structurally unbalanced budget to a pay dispute with firefighters. Still, the city’s pension picture unquestionably has improved from the crisis Turner inherited when he took office.

Turner’s reform package had three primary features: cutting benefits, infusing two of the pension systems with $1 billion in cash from voter-approved bonds, and recalculating the city’s payments.

The cuts, valued at $2.8 billion at the time, centered mostly on cost-of-living adjustments and survivability to descendants and family, instead of earned benefits for retirees. The cash infusion gave an immediate boost to the police and municipal systems. The recalculated city payments used more realistic projections of investment returns, shared risk if the market takes a downturn, and — most importantly — put the city on track to eliminate its debt.

Turner deemed the packages a “shared sacrifice.” The systems and their members took hits to their benefits and contributed more on their end, and the city had to issue more debt and start paying more in contributions.

“Whenever I go around the country, and I talk about this, it seems like Houston is the gold standard in pension reform for U.S. cities,” said Brown, a frequent critic of the Turner administration’s financial policies on other topics. “This should be a Harvard Business School case study in how to compromise in government.”

[…]

The state has codified Houston’s pensions systems into state law, meaning any reforms had to wind their way through the Legislature.  That was no easy feat, according to Greater Houston Partnership President Bob Harvey. The partnership first tried to tackle the pension debt in the Legislature in 2013, and found it would be a far more precarious enterprise than it first imagined. The idea of a shared sacrifice made it more feasible in 2017.

It is possible, Harvey said, that Turner was uniquely capable of getting these reform done, given his history and standing in the Texas House.

“I think that’s a fair statement,” Harvey said. “I think him doing it in his first year of office, when he has a 26-year history in the Texas House, that is what gave him the political equity to move something like this. It still wasn’t easy. There were times when it looked like this wasn’t going to be possible.”

I tend to think that Mayor Turner was the right Mayor at the right time to get this done, perhaps in part because it was so central an issue in the 2015 campaign. I don’t remember what happened in the 2013 session, but things can fail in the Legislature for any number of reasons. If this needed to happen this year, or in 2025 with a new Mayor, I’d be pretty doubtful about it. There’s too much general animus towards cities in general and Houston in particular, and not enough chamber-of-commerce-type Republicans to make up for it. The point is we got it done, it did what we hoped it would do, and we can turn our attention to other issues now.

January 2023 campaign finance reports: City of Houston

It’s late January, so you know what that means: It’s campaign finance report time again. The reports of the greatest interest will be for the city of Houston, but I’ll be checking in on HISD, HCC, and Harris County as well. The July 2022 reports are here, the January 2022 reports are here, and the July 2021 reports are here.


Candidate     Raised      Spent     Loan     On Hand
====================================================
Hollins      547,027    469,141        0   1,062,754
Edwards      567,005    195,257        0   1,044,338
Whitmire   1,148,015    249,142        0  10,100,086
Kaplan       465,180    177,578  200,000   1,164,527

Peck          10,750     13,940        0      20,729
Jackson        2,500     14,965        0      14,971
Kamin         52,080     12,255        0     238,337
 Scarbrough        0          0        0      14,810   
E-Shabazz     
L Dixon            0        254      100         254
Thomas        43,996     11,310        0      89,042
Huffman        5,850      3,624        0      35,012
Castillo      37,448      1,037   10,000      41,935
G Lindner      4,503          0        0       4,503
Martinez      78,605      6,130        0      52,187
Pollard       17,350     15,412   40,000     718,379
 Sanchez      30,140      4,201   20,000      25,938
C-Tatum       14,250     13,687        0     155,691

Hellyar       65,854      6,772        0      44,710
Coryat         5,626      4,063        0       1,562
Bess               0          0        0           0
Carter        85,926      9,456    4,000      78,768
Cooper        23,977     17,631        0       9,189
Plummer        4,125     10,309        0      24,741
 Morales      12,900        417    5,534      18,016
Alcorn       155,301     28,187        0     306,273

Martin         8,250     12,493        0     161,851
Kubosh        22,900      3,612  196,000      54,289

Wolfthal      43,812     16,683        0      24,953
Flickinger         0      1,933   50,000           0

Turner       228,862    186,942        0     842,484

Cisneros         250      7,215        0      31,128
Gallegos      21,787     13,500        0     133,471

Knox          16,175     20,914        0      14,231
Robinson      44,894     27,296        0     271,624

Brown              0      5,404   75,000      29,316

Laster             0      3,254        0     147,138

I have collected all of the reports for the people listed above, and you can find them in this Google Drive folder. I decided not to link to all of them individually just because it was more work than I felt like doing. Omitting that means I don’t have a complete listing, with full names and the office they are seeking, of all the candidates. I’ll be sure to at least mention everyone of interest later in the post.

I’ve grouped everyone in the table above as follows: First are the Mayoral candidates, then the candidates for district Council offices, listed in alphabetical order by office – Amy Peck is District A, Tarsha Jackson is District B, and so on. The open offices are Districts E, H, and I. There are so far two challengers to incumbent Council members, and I have indented their names to indicate them – Daphne Scarbrough (yeah, the same person who was a leading opponent of light rail on Richmond Avenue, here to scourge us again) is running against CM Abbie Kamin in C, and Ivan Sanchez, who was a Democratic candidate for CD07 in 2018, is running against CM Ed Pollard in District J. Martina Lemond Dixon is running in E, Mario Castillo and Janette Garza Lindner (2021 candidate for HISD district I) are running in H (my district), and Joaquin Martinez is running in I. The one person that did not have a report filed as of Friday was District D incumbent Carolyn Evans-Shabazz.

The next group is for the At Large seats, of which #s 1, 2, and 3 are open. Nick Hellyar, who ran for At Large #4 in 2019, is running for #2, as are Marina Coryat and Danielle Bess (former candidate for HD147 in 2022), and Twila Carter and Dannell Cooper are running for #3. No one has yet filed a finance report saying they plan to run for At Large #1. You can be sure that will change, and that all of these fields will be much larger by the time the filing deadline rolls around. Indeed, they may already be larger, as there are two candidates who didn’t specify an office in their reports; I’ll get to them in a minute. As above, a candidate opposing an incumbent is indented. Yes, that’s our old buddy Roy Morales running against CM Letitia Plummer in At Large #4.

Next we have the two term-limited Council members who are now running for City Controller, and following them are two candidates who did not specify an office on their report, Leah Wolfthal and Fred Flickinger. I met Leah Wolfthal at the January CEC meeting for HCDP precinct chairs, and I thought she told me she is running in At Large #2. Her website just says “for At Large City Council”, so better not to make any assumptions. I’ve put her in this group for that reason.

Everyone after that is not running for anything, from Mayor Turner to the four CMs to Controller Chris Brown. Former CM Mike Laster, who termed out in 2019, still has a decent amount of cash on hand. I assume the four people in this grouping who remain with over $100K on hand have some plan, perhaps vague and unformed but still existent, to do something with it. What that may be is not known to me, and possibly to them, at this time.

The Chron picks a few highlights from the Mayoral portion of the reports. The one thing I will add to that is that I must have missed Lee Kaplan’s July 2022 report, because I was surprised by his cash on hand total. Kaplan raised about $850K in the last period, which combined with a small amount of spending gives him the cash on hand total he has now. I have included Kaplan’s July 2022 finance report in that Google Drive folder as well.

There are candidates now who have not yet filed a finance report, and there are people who will be candidates that have not yet formally announced their candidacies. The July finance reports will tell us a much more complete story, though even then there will be room for more, as the filing deadline is not until August. This is what we know now. If you have anything to add, by all means please do so.

The first two candidates for City Controller

Two term-limited Council members are the first to toss their hats into the ring.

CM Dave Martin

Houston City Council members Dave Martin and Michael Kubosh on Tuesday confirmed their plans to run for city controller in November.

As the city’s independently elected financial officer, the controller certifies the availability of funds for the budget and all spending. It also processes payments, manages the city’s $4.5 billion investment portfolio, audits city departments, conducts the sale of municipal bonds and produces an annual report of the city’s finances.

Having served the maximum two terms, current Controller Chris Brown will step down at the end of this year.

District E Councilmember and Mayor Pro Tem Martin and at-Large Councilmember Kubosh previously had indicated their interest in the city controller position. They have not been able to announce their campaigns until now due to Texas’s resign-to-run law, which bars city council members from running for another office more than a year and 30 days before their term ends.

CM Michael Kubosh

Martin, who has been on council since 2012, cited his decades of experience in finance and accounting in the private and public sectors. Having worked for “Big Four” accounting firms earlier in his career and currently leading the Budget and Fiscal Affairs Committee at City Council, he said he is equipped to help Houston optimize its finances.

“I know more about city finance and general accounting and finance than any candidate that’s going to pop up in this race,” Martin said. “I’ll put my credentials up against anyone’s.”

Kubosh, who has served as the at-large position No. 3 council member since 2014, touted his experience running in city-wide elections. Calling himself an outsider and a political activist, he highlighted his successful effort to advocate for the removal of red-light cameras in Houston prior to his time in office. He said he would not shy away from confrontations if elected.

“I have a cross-section of voters throughout the city. (Martin) hasn’t run citywide. He’s only run in District E,” Kubosh said. “And I am very aggressive. I’ll speak up for the people.”

I’ve heard talk about CM Martin as a Controller candidate for some time now. CM Kubosh had been mentioned as a possible Mayoral candidate in the past but that had died down. For what it’s worth, as of the July finance reports, Martin had $151K on hand to $60K for Kubosh. The January reports will be out soon and we’ll see what they look like. There’s plenty of time to raise more money, though the Controller’s race usually doesn’t attract the big bucks.

I say these are the first two candidates for Controller because there’s just no way that they’re the only two. Given the demographics and politics of Houston, it would be mind-boggling in the extreme for there not to be at least one candidate of color in the race. In 2015 the field included MJ Khan, Jew Don Boney, Carroll Robinson, and Dwight Jefferson. Khan also ran in 2009; he and Pam Holm lost to Ronald Green. Just a stray, idle thought, but maybe this would be a good opportunity for a Latino candidate. Anyway, this is the time of the cycle where we start seeing a bunch of candidate announcements. I’m sure there will be plenty more soon enough.

A too-early look at who’s running for Houston city offices in 2023

Because it’s never not election season.

With the midterm elections behind us, city election season is now heating up. Next November, Houston will elect a new mayor, a new controller and 16 City Council members.

The campaigns actually got underway long before the midterm elections were over. State Sen. John Whitmire, the longest serving member of the Texas Senate, announced his plans to run for mayor way back in November 2021. Chris Hollins, the former Harris County clerk, announced in February, and former City Councilmember Amanda Edwards launched her campaign in March.

Those announcements, and the millions of dollars the mayoral candidates collectively have raised for their bids so far, have set Houston off on its earliest start to campaign season to date.

As the candidates start making more public appearances and vying for voters’ attention, here’s your early primer on city elections, and who is running so far:

[…]

Mayor Sylvester Turner is serving out his second and final term, which means Houston will elect a new mayor in 2023. Voters also will decide 16 spots on City Council — 11 members representing geographic districts, and five members elected citywide in at-large seats — to round out the City Hall horseshoe.

City Controller Chris Brown also is term-limited, meaning the city will have a new controller as well. The controller is the city’s independently elected financial watchdog.

Six council members face term limits, meaning their seats will be open. Ten council members are eligible for re-election and presumably running.

They have a list of the Council members who are not term-limited, as well as a list of people who claim they are running for something at this time. We’ll get some idea of who is serious and who is just a name when the January finance reports come out. From past experience, nothing is truly set in stone until the filing deadline, and we’re a long way away from that.

One more name that is out there as a potential Mayoral candidate is former Metro chair Gilbert Garcia. Don’t be surprised to hear of other names, though at this point it’s not very likely there will be any more high-profile names.

The incumbent Council members who are term limited include Dave Martin (District E), Karla Cisneros (H), Robert Gallegos (I), Mike Knox (At Large #1), David Robinson (AL #2), and Michael Kubosh (AL #3). I expect there to be a lot of At Large candidates, assuming At Large seats are still a thing next November.

There are also races for HISD and HCC boards of trustees. In HISD, Kathy Blueford-Daniels (District II), Dani Hernandez (III), Patricia Allen (IV), and Judith Cruz (VIII) are up for re-election. In HCC, the candidates whose terms are up are Reagan Flowers (Distrct 4), Robert Glaser (5), and Pretta VanDible Stallworth (9). Glaser is under accusation of sexual harassment, and as such I have to think there’s a decent chance he’ll choose not to run again. That is 100% fact-free speculation on my part, so take it for what it’s worth.

This is the situation as it stands now. As I said, we’ll know more when we see the January finance reports. If you know of someone not listed in the Chron story who’s running for something next year, please let us know in the comments.

July 2022 campaign finance reports: City of Houston

We’re still more than a year out from the 2023 election, but we are now up to three serious conteners for Mayor, plus two others in the wild, so the finance reports are beginning to generate some real interest. The January 2022 reports are here, the July 2021 reports are here.


Candidate     Raised      Spent     Loan     On Hand
====================================================
Turner       209,950    129,870        0     802,194

Peck          19,100     19,457    5,000      24,057
Jackson       17,400     11,330        0      33,436
Kamin         86,461     14,691        0     193,807
E-Shabazz      8,000      5,591        0      17,691
Martin         2,500     18,138        0     151,767
Thomas         5,750      2,887        0      51,761
Huffman       45,350     45,284        0      30,697
Cisneros      13,500      1,164        0      38,094
Gallegos      27,050     14,126        0     127,933
Pollard      286,341     11,800   40,000     716,441
C-Tatum       51,950     16,089        0     154,697

Knox          18,425     10,266        0      37,185
Robinson      67,675     17,595        0     247,700
Kubosh        14,000     31,141  196,000      59,273
Plummer                   6,417    8,175      33,010
Alcorn        38,305     17,321        0     178,429

Brown            500      4,849   75,000      34,861

Hollins    1,123,316    138,079        0     941,155
Edwards      789,227     96,378        0     712,066

As a reminder, no links to individual reports here because the city’s system generates PDF downloads, and I don’t have the time to rename and upload and share them. Next year, when there are candidates, I’ll do that. Not this time.

All of the current officeholders submitted reports in a timely fashion this period. The only oddity was with the report for CM Letitia Plummer, which did not list an amount raised on either the summary or section totals pages. She clearly did raise some money, as a perusal of the rest of the report shows, but didn’t include a total for it anywhere. I didn’t feel like tallying it up myself, so I left the mystery in place. The only non-officeholders of interest to file reports are the two 2023 Mayoral candidates listed at the bottom, who made a decent splash with their unprecedented totals for this point in the cycle. While he did not file a city of Houston report yet, and while there is some uncertainty about how much he can move from his state account, Sen. John Whitmire had $9.7 million on hand as of July 15. Even if he can only transfer, say, 25% of that, it’s a lot of cash to start out with.

We must once again talk about the finance report for Ed Pollard, who I will say again must be planning something for his future because there is absolutely no need for this level of fundraising for his re-election campaign in District J. I had speculated that maybe he was aiming for a Mayoral campaign, but at this point that seems less likely – I can’t rule it out, but there’s already a big field of well-financed players, and Pollard would be the least known and tied for least-funded among them. Maybe next time, or maybe something in 2024? Or maybe he just really likes fundraising? Who knows.

Other than that, honestly kind of a boring set of reports. Things should start to get more interesting with the January 2023 reports – if nothing else, I’d expect to see a few new names. I’ll skip the HISD and HCC reports this cycle so look for those next January as well. I’ll round up a few state reports of interest for next time. Let me know what you think.

January 2022 campaign finance reports: City of Houston

January finance reports are always worth a look, if only as a ritual to start the new year. We’re a year out from election season truly beginning for Houston, but as we now have two brand name contenders for Mayor already, we should check in and see how our current electeds are doing in the fundraising department. I last looked at these reports in July of 2021. Let’s see what folks have been up to since then.


Candidate     Raised      Spent     Loan     On Hand
====================================================
Turner       311,976    156,329        0     723,455

Peck          25,620     13,989    5,000      27,442
Jackson        2,775      8,725        0      27,367
Kamin         14,620      7,824        0     124,434
E-Shabazz      8,440     13,625        0      15,282
Martin        56,350     32,011        0     162,311
Thomas        
Huffman       21,550     24,921        0      27,040
Cisneros       9,495      2,033        0      25,758
Gallegos      50,355     16,218        0     114,905
Pollard      151,275     12,946   40,000     441,900
C-Tatum       10,000      8,576        0     118,827

Knox          13,385      5,227        0      17,884
Robinson      50,595     11,758        0     189,134
Kubosh        33,200     31,914  196,000      73,174
Plummer       14,191     22,440        0      25,473
Alcorn       153,700     26,652        0     158,067

Brown          3,000      6,067   75,000      38,887

As a reminder, no links to individual reports here because the city’s system generates PDF downloads, and I don’t have the time to rename and upload and share them. Next year, when there are candidates, I’ll do that. Not this time.

Mayor Turner is the biggest recipient of campaign cash, which is usually how it is. He won’t be on the 2023 ballot, but we will have at least two charter referenda in our future, and I’m sure he’ll want to be able to have some influence over them. As was the case with Mayor Parker and term limits in 2015, he might want to add one or two more to that list, on policy matters that have been discussed but not yet addressed. I’m thinking of the stupid revenue cap, and a second try at an equal rights ordinance, this time for the charter. I have no special insight on these matters, just a long memory and a searchable archive, both of which I endeavor to use for good and not evil.

The fact that we have two high-profile Mayoral candidates in place (well, as much as one can be at this early hour) doesn’t mean that there aren’t other potential Mayorals out there. Last time I noted CM Ed Pollard’s prodigious fundraising, in which he amassed an amount that far outstripped his possible need for re-election in his district, and noted that he has been on some people’s lips as a possible candidate for Mayor. His January finance report does nothing to turn that speculation down, though also as noted before he may have his eye on some other prizes as well.

On the other end of that spectrum is the one person I had felt most confident about as a 2023 Mayoral candidate, and that’s City Controller Chris Brown, who seemed a natural fit for the Mayoral candidate role and who has demonstrated fundraising prowess in the past. Not these past six months, though, and his cash on hand total is looking awfully paltry. Does that mean anything? It’s too early to say. But now that John Whitmire and Chris Hollins are out there doing Mayoral candidate things, the time to decide whether or not one wants to join them in that is not far off. Michael Kubosh, who is currently doing Michael Kubosh things, falls in between the two of them in fundraising action. He’ll be facing the same decision as well.

A person who turned it up several notches after a sedate second half of 2021 is CM Sallie Alcorn, who was a top fundraiser for her initial election and now seems to be preparing for her second race. Note that in recent years, the old “blackout” period for fundraising was eliminated, so incumbents can get a head start on building up their treasuries. Fewer of them have need to do that now, as about half of them are term-limited. Some of those term-limited folks will be leaving with a decent amount of cash in their kitties – I’m thinking Dave Martin, Robert Gallegos, and David Robinson. It’s not clear to me what if any office they might use those funds for in the future – maybe one of them has an eye on Controller – but they have them if they want them.

Not much else of note. Greg Travis is now filing state reports, so he’s been swapped out for Mary Nan Huffman, who still has a few bucks in her account. I did not find a report for Tiffany Thomas. I’ll do HISD and HCC next to finish this off. Let me know what you think.

July 2021 campaign finance reports: City of Houston

PREVIOUSLY: Congress, Harris County

As we know, this is not an election year for city of Houston offices. That usually makes for a pretty dull summary of finance reports, since it’s just incumbents and about half of them are term-limited and thus not really motivated to do much. But I had last checked on these in January 2020, which was the conclusion of the 2019 election cycle, and I didn’t want to wait till next year for a first look. And you never know what you might find.


Candidate     Raised      Spent     Loan     On Hand
====================================================
Turner       185,055     76,357        0     522,058
Peck          14,915     10,892    5,000      18,072
Jackson       19,700     14,126        0      33,317
Kamin         79,860     10,697        0     115,828
E-Shabazz     36,000     19,879        0      20,468
Martin             0      3,473        0     130,577
Thomas        
Travis        34,950      5,886   21,000      76,500
Cisneros       1,000        456        0      18,296
Gallegos       2,075      8,620        0      77,372
Pollard      280,908     11,371   40,000     303,572
C-Tatum       58,718      6,847        0     117,013
Knox          11,685      4,571        0      16,510
Robinson      58,983     16,085        0     149,046
Kubosh        60,910     24,318  206,010      65,667
Plummer       30,770      6,417    8,175      33,010
Alcorn         3,200      5,251        0      31,013
Brown         24,550      3,892   75,000      19,281

Edwards            0      2,580        0      45,081

Sorry, no links to individual reports this time – the city of Houston’s reporting system spits out downloaded PDFs, which I have to rename and upload to Google Drive to be able to provide links for them, and it ain’t worth the effort at this point. I’ll do that in 2023, when things heat up.

One of these things is not like the others. I’ve been asking folks who they think will run for Mayor in 2023, partly to see how my own speculations have turned out. One name that has come up a lot is that of Ed Pollard, the first-term Council member in District J. Let’s just say his July report does nothing to temper that kind of talk. To put it mildly, one does not need $300K to run for re-election in a low-turnout district like J, and that’s more than two years out from the actual election. Pollard may have his eye on something else, of course – he ran for HD137 in 2016, and who knows what opportunities the next round of redistricting may present – but if one is being mentioned when the question of “who is thinking about running for Mayor” comes up, this is the kind of finance report that supports such talk.

Other names that come up when I bring up the question include Michael Kubosh, Chris Brown, and Amanda Edwards. Neither of the first two has raised all that much, though they both have the capability. Kubosh has knocked $60K off his loan total, which may have contributed to his lower cash-on-hand total. As for Edwards, she’s the opposite of Pollard at this point.

The one person who has been openly talked about as a candidate – by someone other than me, anyway – is Sen. John Whitmire, who has enough cash in his treasury to not sweat the small stuff. He recently announced his intent to run for re-election in 2022, which is completely unsurprising and not in conflict with any 2023 speculation. Mayor Turner ran for and won re-election in HD139 in 2014 before officially beginning his Mayoral campaign in 2015.

Beyond that, not a whole lot to report. Mayor Turner has some money on hand if he wants to influence a charter amendment or two. CM Tiffany Thomas did not have a report that I could find – sometimes, the system is a little wonky that way. The only other number of note was for term-limited CM David Robinson, who has added over $100K to his cash on hand since last January. Maybe that’s a sign that he has his eye on another race, and maybe that just means that some people are good at fundraising. I’ll leave that to you. Next up, HISD and HCC. Let me know what you think.

Here comes our boring budget

Save the drama for the budget amendments.

Mayor Sylvester Turner

A few months into the COVID-19 pandemic, Mayor Sylvester Turner painted a dire picture of the city’s finances as he laid out his plan to balance last year’s $5 billion city budget.

Like other cities across the country, Houston’s sales tax revenue had plunged as the public stayed home, and Turner was proposing to make up the loss by furloughing 3,000 municipal workers, deferring police cadet classes, cutting the library budget and draining the city’s emergency reserves.

“These are financially difficult times, and it’s simply unavoidable,” Turner said of the cuts.

One year later, the city is emerging from the worst of the pandemic with its finances largely unscathed. Thanks to a payout of more than $1 billion in federal aid, Turner and city finance officials avoided the projected furloughs, reinstated the police cadet classes and are heading into the next fiscal year with replenished emergency reserves and a rare budget surplus.

Still, as City Council prepares to consider Turner’s $5.1 billion annual spending plan Wednesday, not everyone agrees on how the city should use its newfound wealth. Since prior mayoral administrations, city officials have passed annual budgets that spend more than the city takes in through recurring revenue, such as taxes. They have made up the difference by selling city-owned land, deferring hundreds of millions of dollars in maintenance on city buildings, dipping into cash reserves and using other one-time fixes. Turner has attributed much of the budgetary struggles to the city’s revenue cap, which limits annual growth in property tax revenue to 4.5 percent or the combined rates of inflation and population, whichever is lower.

City Controller Chris Brown and a number of council members have urged the mayor to use the relief money to address the long-standing budget issues, warning that added costs will leave the city in a precarious position when the federal money runs out. Eventually, the thinking goes, the city will run out of land to sell, while city infrastructure will continue to deteriorate and demand for city services will keep rising faster than the revenue used to fund them.

“The challenge is when that money runs out, if we add too many of the wrong things, i.e. recurring expenditures, it’s only going to exacerbate this structural imbalance in the future and make it that much worse,” Brown said.

Houston received a $304 million haul this year from the federal stimulus package approved by Congress in March, and it is set to receive the same amount in 2022, on top of a $400 million allotment it received last year from the first round of COVID aid. Turner is asking city council on Wednesday to approve a spending plan that uses $188 million of the aid to close most of the city’s projected budget deficit, and a chunk of the remaining funds to increase pay for Houston firefighters by 6 percent when the new fiscal year begins July 1.

See here for the previous entry. I tend to lean towards what Controller Brown is saying, but we’ll see what the details of this budget are, and go from there. I know that my calls to trim the police budget while we still can went unheeded, but I’d welcome an amendment to that effect from one or more Council members. We have two years to make good use of these federal funds. Let’s do what we can to get the most out of them and put the city on a stronger financial footing going forward.

Houston gets to have a boring budget

Thanks, President Biden and all you voters in Georgia!

Mayor Sylvester Turner

Mayor Sylvester Turner plans to use an influx of federal cash to give firefighters a “raise the city can afford,” expand the Houston Police Department and replace lost revenue from the COVID-19 pandemic, according to the mayor’s $5.1 billion annual spending plan.

Turner’s budget proposal relies on roughly $304 million in federal relief money that was set to be deposited into the city’s coffers this week. The administration would use $188 million of that money to close most of the city’s projected $201 million deficit for the upcoming fiscal year, while fully replenishing the $20 million rainy day fund ahead of hurricane season.

“Without this flexibility, the city would be facing catastrophic cuts across all services,” Turner said, a nod to the city’s estimated $178 million in lost revenue during the pandemic, mostly driven by sales tax.

The proposed spending plan largely would leave the city’s $214 million in reserves, which officials have relied on in recent years to help balance the annual budget, untouched. Turner also did not account for $112 million of the city’s stimulus funds in his initial spending plan, leaving the door open for other initiatives that he declined to detail Tuesday.

A portion of the extra federal aid likely will cover the firefighter raises, which Turner did not include in the budget as proposed Tuesday. The mayor declined to reveal the size of the firefighter pay increase, saying only that he plans to implement raises over three years, starting July 1, when the 2022 fiscal year begins.

[…]

Without the firefighter raises, Turner’s spending plan represents a 4.7 percent increase from last year’s budget. The tax- and fee-supported general fund, which pays for core city services, would total $2.58 billion next year, up 3.9 percent. The largest increase would come from the police department, which would see its budget rise to $984 million, about $33 million more than city officials expect to spend this year.

The additional police spending would fund six cadet classes instead of the usual five, and cover a 2 percent raise for officers. The city’s contract with police officers has expired and the two sides have not agreed on a new one, but an evergreen clause in that deal secured the raise. The raise accounts for $11.7 million of the added funds.

The Houston Fire Department also would see a modest budget increase, with funding for four cadet classes. The initial $515 million HFD budget includes funding for 3,648 classified firefighters, according to city finance officials, about 76 fewer than the current budget.

For now, the two public safety departments account for roughly a quarter of the mayor’s proposed budget for the next fiscal year and half the general fund costs.

Controller Chris Brown said the federal stimulus money bailed the city out of a truly dire scenario — Houston’s worst-ever deficit, which could have resulted in as many as 2,500 layoffs.

“I’d breath a sigh of relief and look at the fact that the city really dodged a bullet this budget cycle,” Brown said, adding that his biggest concern is the city’s continuing structural imbalance. Its recurring expenditures outweigh revenues, meaning the city usually has to employ stop-gap measures such as land sales and deferrals to balance its books.

See here and here for the background. It’s hard to remember now, but a year ago things were looking really bad. The CARES Act helped, but the American Rescue Plan provided more money with fewer strings attached. It also provided money for the next fiscal year, by which time hopefully the city’s sales tax revenue will have bounced back. Not having this money would have made the next budget so much worse than it was in 2010. We still have challenges ahead, but at least the hole didn’t get exponentially bigger.

(As for the increase to the police budget, well, I didn’t expect anything different. Here’s hoping the Lege fails to carry that ball across the goal line.

Mayor Whitmire 2.0?

Buried in this story about the recent departure of HPD Chief Art Acevedo for Miami is the following tidbit:

Sen. John Whitmire

Houston insiders knew that the 56-year-old Acevedo had been considering a mayoral run once Sylvester Turner reached his term limit in 2024. But as Acevedo started prospecting for supporters, the response wasn’t good. Despite public grandstanding after George Floyd’s death—posing for photo ops with local protesters, changing his Twitter profile image to one of Floyd, granting countless TV interviews—his support in the Black community was thin, owing at least partly to ongoing animosity toward the HPD’s record on policing minority communities. Houston politicos also told me that the Mexican American community was lukewarm at best on the Cuban American police chief.

Even stranger, Acevedo’s support among non-Hispanic white Houstonians risked fracture. The police chief had made a gentleman’s agreement with John Whitmire, dean of the Texas Senate, not to run against him, should the Houston lawmaker seek the mayor’s office, as has been speculated. “Art and I are the best of friends, and he and I agreed months ago that we both wouldn’t be in the race,” said Whitmire, who conceded that, while he will run for reelection to the state Senate in 2022, he has been exploring a mayoral run.

I had neither Chief Acevedo nor Sen. Whitmire on my speculative list of 2023 Mayoral candidates. I’m actually a little more surprised to see Whitmire’s name in that story than I am to see Acevedo’s, if only because it’s hard to imagine the Texas Senate without Whitmire. On the other hand, it can’t be any fun to serve as a Democrat with Dan Patrick holding the gavel – there’s a reason why Rodney Ellis took the first chance to bail out for the seat on Commissioners Court – and the prospect of being the big fish who can actually get stuff done has to have a lot of appeal. As Campos notes, Whitmire already has a crap-ton of money, and the list of establishment politicians and civic leaders who would put their name on a list of his supporters is already multiple pages long. Whitmire would (largely) clear the field in a way that no one else could. If he wants to do this, he’d start out as the favorite.

Whether he would, and whether he should, are different questions. If Dems can finally break through at the statewide level in 2022, especially if they can beat Patrick, that might make staying in the Senate a lot more appealing, even as a member of the minority. Houston has a number of tough long-term challenges, and if the Senate continues to be an inhospitable place those challenges will be greater since the Legislature is much more interested in sticking it to the big cities than in helping them in any way. Whitmire may prevent some other potential candidates from entering the race against him, but he hasn’t had a real electoral challenge in a long time, and city politics are a lot different than state politics. Mayor of Houston is a powerful and prestigious job, but I guarantee it’s a lot harder and a much bigger time commitment than any state political gig. This is not a decision to be made lightly, that’s all I’m saying.

For what it’s worth, from my privileged position of armchair quarterback, I would like to see someone who sees themselves as a future statewide candidate be the next Mayor of Houston (*). Mayor of Houston would be a pretty good springboard to a statewide candidacy, and we’re going to need as deep a bench as we can get as statewide races become truly competitive. I specifically mentioned Sen. Carol Alvarado in this context when I came up with my theoretical candidates list last year, and I stand by that. Other people on my list – Amanda Edwards, Abbie Kamin, Chris Brown – also fit that bill, and one name suggested to me afterward who also would fit it is Michael Skelly. Nobody who is thinking about running for Mayor now has any reason to care about that, but I’m a blogger so it falls to me.

Anyway. We knew Mayor Turner was seriously running in 2015 well in advance, and I suspect we’ll know what Sen. Whitmire is thinking early on as well. In case you were wondering, by the way, Sen. Whitmire is the former brother-in-law of Mayor Kathy Whitmire; she is the widow of his brother. John Whitmire would make a very strong Mayoral candidate if he chooses to run. We’ll see what he decides.

(*) If you really want to think long-term, the next person elected Mayor will most likely serve through 2031. John Cornyn’s Senate seat will be on the ballot in 2032, and the next Governor’s race would be in 2034. One could mount a statewide campaign while halfway through one’s first term in the 2026 election, though I would not advise it, or one could run either as a one-term Mayor or midway through one’s second term in 2030. Sen. Whitmire is currently 71 years old.

What the American Rescue Plan means to Houston

First and foremost, no layoffs.

Mayor Sylvester Turner

Houston and Harris County are expected to receive more than $1.5 billion through the stimulus bill approved by Congress Wednesday, providing a massive cash injection that city officials say will help close a budget shortfall widened by the pandemic for the second year in a row.

The measure provides local governments with their most generous round of COVID-related funding yet, and it comes with fewer spending restrictions than last year’s aid. Houston will receive an estimated $615 million, putting the city at more than $1 billion in direct federal relief during the pandemic, while Harris County is projected to receive $914 million — more than double its allotment from the first round of local aid last March.

“I’m hopeful and optimistic that we will be able to use this money to, essentially, bail the city out of a very dire financial situation,” said City Controller Chris Brown, who monitors the spending of Houston’s more than $5 billion city budget.

[…]

Local governments will receive half their federal aid within 60 days of Friday, when President Joe Biden will sign the bill into law, according to White House press secretary Jen Psaki. They will receive the second half of the funds at least a year later.

That means Houston will receive more than $300 million to offset its revenue losses next fiscal year, along with any potential shortfall before the current fiscal year ends June 30. [COVID recovery czar Marvin] Odum said the city finance department is projecting a budget gap of between $160 and $200 million next year, while Brown — whose office generates its own estimates separate from Turner’s administration — said he expects the shortfall to be even higher.

Brown noted that while finance department projections assume the city will see a less-than-1 percent reduction in sales tax revenue this year, the actual decrease has been 7 percent.

“The (Turner) administration, I don’t think, has properly evaluated the reductions in sales and property tax,” Brown said. “There’s a $40 million variance between us and (the) finance (department) in sales tax alone.”

Brown estimated city officials will have to lay off about a dozen city employees for every $1 million trimmed from the budget, meaning Houston could have been looking at more than 2,000 layoffs without any federal aid.

Instead, Houston’s relief will far exceed its budget deficit. The city also is expected to devote a chunk of the aid to direct COVID relief, such as testing and vaccinations. Turner’s administration exhausted the previous round of aid, totaling $405 million, in December. Those funds covered contact tracing efforts, city workers whose jobs were consumed by COVID, and relief to renters and small businesses, among other areas.

As the story notes, the ARP aid comes with fewer restrictions on how the money can be used than the CARES Act did, though the city was able to plug its deficit last year with those funds as well. The need for more funding has been known for a long time, and it’s only happening now because of the Presidential election and those two Georgia Senate runoffs. Elections have consequences, y’all.

The cities still need COVID relief

Just a reminder, in case you’d forgotten.

Mayor Sylvester Turner

As Congress resumes work on a new coronavirus financial relief package, nearly 100 Texas mayors are pressing the state’s congressional delegation for more funding to address revenue losses incurred due to the economic downturn brought by COVID-19.

Texas received $11 billion in funds from the Coronavirus Aid, Relief and Economic Security Act, which were distributed among the state, counties and cities. Some Texas mayors said these have to be spent before the end of the year and for expenditures related to the pandemic response — and don’t address government entities’ losses in anticipated revenues related to decreased economic activity. Others said there’s been conflicting information about how the money can be spent.

Since March, the economic slowdown has directly hit cities’ revenues. According to the state comptroller, local sales tax allocations for cities in June dropped by 11.1% compared with the same month last year.

“The budget calamity looming over local governments is real and it requires extraordinary measures,” said a letter signed by 97 Texas mayors and directed to members of Congress. “We therefore fear that state and local revenue is going to take time to rebound. We also fear that if we do not stabilize our economy, we could see a drop in property tax revenue next year.”

In the letter, which included signatures of leaders from urban, suburban and rural areas, the mayors asked for “direct and flexible fiscal assistance to all cities.”

“What we’re asking [is] for direct assistance for state and local governments. Not for things like pension measures, none of that, but as a result of lost revenue as a result of coronavirus itself,” Houston Mayor Sylvester Turner said at a press conference Monday. “We are the infrastructure that supports the public and private sector, and at this point in time, we are needing direct assistance.”

We’ve known this for awhile, and the need is still there even if the city of Houston was able to kick the can down the road with this year’s budget and existing CARES funds. The simple fact is that cities – and counties, and the state, and to a lesser extend school districts – didn’t do anything to cause the problems they’re facing now. The analogy that some have made to a natural disaster is apt, and the effect will long outlive the original cause of the problem if it isn’t addressed. The US House passed a large bill a couple of months ago that would address these needs, but of course it has to get through the Senate, and you know what that means. If we had a functional state government, it would be advocating on behalf of the cities as well, because the loss of many thousands of municipal jobs will not do anything to help the state’s economic recovery. Our state leaders don’t see it that way, unfortunately, so the cities are on their own. It doesn’t have to be this way.

On a tangential note, the Slate podcast “What Next: TBD” did a segment on this very topic last Friday, and spoke to City Controller Chris Brown as part of their reporting. Check it out.

There won’t be furloughs after all

A slightly confusing bit of good news.

Mayor Sylvester Turner

Houston will not need to furlough roughly 3,000 city employees nor cancel its police cadet classes in the upcoming budget year, Mayor Pro Tem Dave Martin announced during a city council budget committee meeting Tuesday.

Instead, the city will use federal coronavirus relief funds to help bridge its projected $169 million shortfall in the fiscal year that begins July 1.

“No employee in the (City of Houston) will be furloughed,” Martin said.

The administration has updated Mayor Sylvester Turner’s initial budget proposal, eliminating many of the most dire consequences attributed to the revenue gap. The revised budget plan eliminates furloughs and adds back five cadet classes for police, Martin said.

It also adds another fire department cadet class, giving that department four classes. The new proposal also adds $15 million back into the city’s rainy day fund as hurricane season gets underway; Turner’s original spending plan would have exhausted that fund entirely.

The changes comes as the city has weighed how it can spend $404 million in federal funds it received through the CARES Act, part of a stimulus package approved by Congress.

The administration plans to use roughly $19 million of those funds to cover expenses for redeploying city employees from their normal duties to address the coronavirus pandemic, freeing some budgetary space. It is not clear if the city plans to use additional federal funds to cover the remaining costs of the budget revisions.

See here, here, and here for some background. I’ve said all along that the city could avoid all of the issues for this year if it could use that federal money for previously budgeted items. Apparently, they have decided that they can, or at least that there’s enough of the money available to fill other needs to make the math work. I can’t tell from this story what may have changed to go from apocalyptic warnings about layoffs and furloughs to this – maybe the city got clarity from the feds, maybe they came to this conclusion on their own, maybe there was enough wiggle room to allow for budget items to get moved around, who knows? This is the outcome that should have been from the beginning. Remember, a large part of budgeting is determined by the calendar – if these federal dollars had been allocated earlier, there wouldn’t have been so many “previously budgeted items” to worry about. I’m a little worried that someone is going to come along and try to stop the city from doing this, maybe by lawsuit or some other decree, but until then, I’m glad they worked this out. There are plenty of things to worry about going forward, like sales tax revenues, but buying a year’s time before that reckoning allows for another CARES Act or other positive development to occur. Sometimes kicking the can down the road is all you need to do.

Still trying to avoid total budget disaster

That federal money sure would help.

Mayor Sylvester Turner

As the prospect of mass furloughs and severe spending cuts looms over the city’s next budget, Houston officials are sitting on a pile of coronavirus stimulus money that amounts to more than double the shortfall projected by Mayor Sylvester Turner.

The rub, at least for now, is that the strings attached to the $404 million Houston received from the so-called Coronavirus Relief Fund — a $150 billion trove sent to states and local governments as part of the roughly $2 trillion Coronavirus Aid, Relief and Economic Security Act — bar officials from spending the aid on expenses they already had budgeted.

Mayors, governors from both parties, congressional Democrats and even some Senate Republicans have pushed for looser restrictions that would allow sales tax-deprived governments to use the money to plug budget holes, instead of limiting them to expenses tied directly to the pandemic.

Meanwhile, as Congress weighs a second stimulus package for local and state governments that may earmark funds for lost revenue after all, Turner is under pressure to squeeze as much money as possible out of the initial round of CARES Act aid.

Prompting the tension was the Treasury Department’s April 22 guidance that eligible spending includes payroll expenses for public safety, public health, health care and other employees “whose services are substantially dedicated to mitigating or responding” to the pandemic.

Last week, City Controller Chris Brown penned a letter to Finance Director Tantri Emo and Turner-appointed COVID-19 recovery czar Marvin Odum in which he urged the administration to craft a spending plan for the funds. He told city council members last week that officials in other Texas cities have begun determining how much of their public safety expenses are directly related to COVID-19.

“The potential exists for these costs to be offset by CARES Act funds, which could help alleviate added pressure placed on the General Fund,” Brown wrote, referring to the city’s $2.5 billion tax-supported fund that pays for most day-to-day core operations, including public safety, trash pickup, parks and libraries.

See here for some background. Let’s be clear, it’s more than just Houston facing this kind of problem. Every city, every county, every state has been affected. Federal funds, and a lot of them, are going to be needed. All this caterwauling you hear from haircut-freedom-fighters and grandma-sacrificers about getting the economy going again, none of it means anything if they aren’t willing to save local and state governments from making devastating cuts, which among other things will cause loads of people to lose their jobs and act as a huge drag on any economic recovery. If we could be sure we’d get this in the next round of stimulus then fine, use this money for whatever other purposes it’s intended for. But really, why wait? Let’s get a bit of certainty to bolster confidence.

Did we mention that the next city budget is gonna suck?

Because it is, in case we hadn’t mentioned it before.

Mayor Sylvester Turner

Houston Mayor Sylvester Turner said Monday that the coronavirus crisis will impact “every facet of city governance” and require furloughs of city workers, though he declined to say how many employees would be forced to take unpaid leave.

Even before U.S. oil reached a lowpoint of minus-$40 a barrel Monday, city officials were preparing for Houston’s tightest budget ever, thanks to a precipitous drop in sales tax revenue and an already sharp plummet in oil prices.

The fresh collapse of the oil market prompted Turner for the first time to acknowledge that city employees would be furloughed, and the city would defer a number of payments, for the fiscal year that begins in July.

“It’s not any more unique than what other cities are facing across the country. But it’s real in the city of Houston,” Turner said. “I’m not trying to hide it. These are the realities. This will be the worst budget that the city will deal with in its history.”

Turner declined to provide further details about the scale of the furloughs or what level of budget cuts he expects city departments to undergo. He did say cadet classes would be deferred due to the economic crisis but did not specify whether he was referring to fire cadets, police cadets or both.

Houston Controller Chris Brown said the city’s budget situation likely will prove “equal to or worse than” the Great Recession in the late 2000s. In the fiscal year that began in July 2011, then-mayor Annise Parker laid off 764 city employees to close a $100 million budget gap.

We’ve known this is coming. We won’t have a starting point for exactly how bad it is until the Comptroller releases the March sales tax data, but I think we can all agree that it will be Very Bad. We need sufficient testing so we can begin to reopen things in a safe manner, but the only way out of the hole we’re in is going to be help from the federal government. Which, if we learned anything from the 2009 recession, should be obvious, in that the resulting deep cuts to state and local governments in the years following the initial downturn acted as a huge drag on the economic recovery, offsetting stimulus efforts to a large degree. There’s still hope for that to happen in another round of coronavirus response money, if only because keeping the economy from completely capsizing is in the Republicans’ interests in a way it wasn’t in 2009-2010. But until then, expect there to be a whole lot of doom and gloom.

Cities and counties are going to need their own bailout

This story is about the rough financial future that the city of Houston faces as we go through the coronavirus shutdown, but it’s not just Houston that is in this position.

Mayor Sylvester Turner

As Mayor Sylvester Turner’s administration continues efforts to slow the spread of COVID-19 in Houston, another dire challenge looms for City Hall: its budget.

The economic downturn caused by the pandemic and plummeting oil prices has thrown an already cash-strapped spending plan into more arduous territory, raising the specter of the first furloughs or layoffs of city employees since 2011.

Controller Chris Brown, who recently finished a recession stress test for the city’s coffers, has said he thinks the situation is likely to rival the recession that began in 2008, approaching the test’s worst-case scenario: a budget deficit in excess of $300 million.

He told council members Tuesday they should begin dusting off the recession playbook.

“Unfortunately, they had to do some furloughs and cut some expenses and things like that, because you can’t control the revenue right now,” said Brown, the city’s independently-elected financial watchdog. “These are tough decisions that are going to have to be made, I think.”

Turner said budgeting is always difficult under a revenue cap, but the city in the past has forged its way through challenging deficits and will do so again.

The mayor would not say whether he thinks layoffs will be necessary, but he sees other actions that can help cut the deficit. Turner plans to use some of the city’s current fund balance, which is projected between $187 and $203 million. The rainy day fund, he pointed out, will also have $15 million when it comes time to adopt the budget.

Some job vacancies have already gone unfilled, he said.

“We always assume there is going to be a budget shortfall with the revenue cap,” Turner said, referring to Houston’s voter-imposed ceiling on increased property tax revenue. “There’s always some elephant in the room. The elephant here now is the coronavirus and the impact on your sales taxes.”

The city’s two largest streams of money are property and sales taxes. All eyes are on the latter, which are expected to take an unprecedented hit as most businesses have been ordered to close and the region’s residents have been told to stay home in a bid to slow the virus’ spread.

It’s not just sales tax revenue, which will hammer the state budget as well. No one’s flying into or out of the airports, no one is staying in hotels or renting cars or booking conventions. All of those things affect the enterprise fund, which is a part of the city’s budget that is largely not subject to the revenue cap. And as noted, it’s not just Houston. Every city, in Texas and elsewhere, will be facing this. Part of the solution here, very simply, needs to be a federal relief package for local and state governments, all of which would otherwise have to lay people off and drastically cut back on services, all of which would just further exacerbate the recessionary effects we are now feeling. Just as we expect business activity to more or less return to normal once everyone can leave their homes again, we should expect local tax revenues to more or less return to normal. All of that assumes that the business are still there to return to, which is why we needed the first stimulus bill, to prevent them all from suffocating in the meantime. We all want to return to normal, but we have to do everything we can to preserve what was normal until we can get back to it. That’s what the federal government can do, and what it needs to do.

But we should also recognize that forcing cities and counties and states to observe “balanced budget” requirements at a time like this is not only ridiculous, it’s self-mutilating. Mandating an artificial deadline for when one number must be shown to equal or exceed another is beyond stupid and pointless, and that’s even more so if we not-unreasonably assume that the feds will eventually come in with a check to make up for the sales taxes that did not happen. The single best thing Greg Abbott could do with his emergency powers once we’re at or near a point where we can begin to think about easing up on the stay-at-home rules is to declare that all “balanced budget” requirements are suspended for the next two budget cycles, along with the revenue cap that was passed in the last Lege. That won’t be carte blanche for cities and counties to start spending like crazy – they’ll still have to get their budgets to “balance” later on – it will just be a recognition that this was something entirely beyond their control, and they deserve a chance to recover from it. It won’t happen, of course – I’m sure Greg Abbott and the entire army of financial ghouls he has behind him are salivating at the prospect of forcing their local nemeses to slash their budgets – but it should. I will never stop beating this drum.

January 2020 campaign finance reports: City of Houston

We’re done with the 2019 Houston election cycle, but there are still things we can learn from the January 2020 campaign finance reports that city of Houston candidates and officeholders have to file. Other finance report posts: My two-part look at the State House was here and here, Harris County offices were here, statewide races were here, and SBOE/State Senate races were here.


Candidate     Raised      Spent     Loan     On Hand
====================================================
Turner       359,567    780,735        0     293,503
Peck           1,075     17,435    5,000          72
Davis          4,000     14,164        0     139,068
Kamin         24,158     93,810        0      18,717
E-Shabazz     14,394     18,965        0       2,145
Martin        14,600     48,754        0     148,989
Thomas        20,263     21,642        0      11,675
Travis         9,850     70,904   21,000      51,484
Cisneros      15,050     44,687        0      24,169
Gallegos      16,850     46,055        0      76,776
Pollard        4,525     25,007   40,000       1,882
C-Tatum       16,250      8,520        0      71,747
Knox           6,900     29,075        0       4,302
Robinson      11,625     82,515        0      40,735
Kubosh        14,770     31,570  276,000      94,540
Plummer       71,168     83,491   21,900      11,068
Alcorn        21,535     76,313        0      16,374
Brown          1,650    102,340   75,000      14,128

Bailey             0      2,400    2,600          70
Jackson       43,845     18,338        0      28,343

Buzbee         1,903    460,888        0      63,531
King          29,925    161,047  420,000      11,567
Parker             0     38,750        0      26,184
Laster             0     12,579        0     162,209
Salhotra      24,010     75,837        0       9,060
Sanchez       40,056     92,678        0      10,636
Edwards          499    109,812        0      89,987

HouStrongPAC       0     10,000        0      51,717

Nominally, this period covers from the 8 day report before the November election (which would be October 27) to the end of the year, but for most of these folks it actually covers the 8 day runoff report to the end of the year, so basically just the month of December. In either case, this is the time when candidates don’t raise much but do spend down their accounts, as part of their GOTV efforts. For those who can run for re-election in 2023, they will have plenty of time to build their treasuries back up.

Mayor Turner will not be running for re-election again, but it’s not hard to imagine some uses for his existing (and future) campaign cash, such as the HERO 2.0 effort or the next round of city bonds. He can also use it to support other candidates – I’m sure he’ll contribute to legislative candidates, if nothing else – or PACs. That’s what former Mayor Parker has done with what remains of her campaign account. Nearly all of the $38,750 she spent this cycle went to the LGBTQ Victory fund, plus a couple of smaller contributionss to Sri Kulkarni, Eliz Markowitz, and one or two other campaigns. Tony Buzbee has restaurant bills to pay, and those endless emails Bill King spams out have to cost something.

Others who have campaign accounts of interest: As we know, Jerry Davis has transferred his city account to his State Rep campaign account. I’ve been assuming Mike Laster is going to run for something for years now. The change to four-year Council terms may have frozen him out of the 2018 election, when he might have run for County Clerk. I could see him challenging a Democratic incumbent in 2022 for one of the countywide offices, maybe County Clerk, maybe County Judge, who knows. It’s always a little uncomfortable to talk about primary challenges, but that’s what happens when there are no more Republicans to knock out.

Other hypothetical political futures: Dave Martin could make a run for HD129 in 2022 or 2024, or he could try to win (or win back) Commissioners Court Precinct 3 in 2024. If Sen. Carol Alvarado takes my advice and runs for Mayor in 2023, then maybe State Rep. Christina Morales will run to succeed her in SD06. If that happens, Robert Gallegos would be in a strong position to succeed Morales in HD145. Michael Kubosh wasn’t on my list of potential Mayoral candidates in 2023, but maybe that was a failure of imagination on my part. As for Orlando Sanchez, well, we know he’s going to run for something again, right?

You may be wondering, as I was, what’s in Amanda Edwards’ finance report. Her activity is from July 1, since she wasn’t in a city race and thus had no 30-day or 8-day report to file. Her single biggest expenditure was $27K to Houston Civic Events for an event expense, and there were multiple expenditures categorized as “Loan Repayment/Reimbusement” to various people. Perhaps she has transferred the balance of her account to her Senate campaign by this time, I didn’t check.

Most of the unsuccessful candidates’ reports were not interesting to me, but I did want to include Raj Salhotra here because I feel reasonably confident that he’ll be on another ballot in the short-term future. The HISD and HCC Boards of Trustees are both places I could see him turn to.

Last but not least, the Keep Houston Strong PAC, whose treasurer is former Mayor Bill White, gave $10K to Move to the Future PAC. That’s all I know about that.

Who might run for Mayor in 2023?

Mayor Sylvester Turner

So Election 2019 is (modulo District B) safely in the books, and Sylvester Turner is in office for his second and final term. In years past at this time I’d be taking a look ahead at the next city election – who’s termed out, who could be vulnerable, who might be priming for a run, etc – but with the next election not until 2023 that seems like a stretch. We can start thinking about who might throw their hat into the ring for Mayor, however. The field in 2015 was quite large, and I’d expect something similar in 2023. Houston Mayor is a prime gig, and it doesn’t come open very often.

I’m going to run down a list of names that seem like potential contenders. I want to stress that this list is entirely the product of my imagination. I have no inside knowledge of anyone’s intentions, and I make no warranty on any of these claims. I’m just thinking out loud. So with that in mind…

Chris Brown – He’s the current City Controller, he’s won twice citywide (which among other things means he’ll be term-limited and thus would need to run for something else, if he wants to stay in city elected office), he’s a strong fundraiser, he’s got a long history in city politics. Annise Parker and Kathy Whitmire were both Controllers before they were Mayors. He does have a bit of baggage, and his win over Orlando Sanchez was not by much, but if there’s one person on this list who would surprise me by not running, it would be Chris Brown.

State Sen. Carol Alvarado – Served three terms as Council member in District I and was Bill White’s Mayor Pro Tem before winning election to the Lege in 2008, and continues to be involved with city issues as a legislator. If she has statewide ambitions – and as a young Senator looking at a Democratic-trending state, she should – Mayor of Houston would enable her to run from a bigger base. Legislators have been elected Mayor in various cities recently, including Dee Margo (El Paso), Eric Johnson (Dallas), and of course Mayor Turner. As an incumbent, she’d be in a strong position to build up a campaign treasury in advance of running, as Turner did in 2015. The main negative here is the old story of Latinos having a hard time winning citywide elections, but someone is going to break through, and being a veteran establishment Democratic elected official is a good way to get there.

Amanda Edwards – OK, sure, she’s running for US Senate now, but so are multiple other viable candidates, only one of whom can survive the primary, never mind the uphill battle that would follow. While she would certainly prefer to be well into her first term in Washington, it’s hardly crazy or insulting to say she might be available for this race. She was an At Large Council member, one who I thought would have been in a decent position to run for Mayor this year anyway before she changed course, with a strong fundraising history. Running statewide, especially for a federal office, is a great way to vastly expand your donor base. She may well be done with city politics regardless of what happens this year, but I’d be remiss if I left her off this list.

State Rep. Sarah Davis and State Rep. Jim Murphy – Both are incumbent Republican State Reps, and I’m lumping them together here. Davis has a decent chance of losing this year, and while Murphy will be a favorite to win in 2020, he may find himself in the House minority, and decide it’s not to his liking. Houston is a Democratic city, but as establishment, business-friendly, moderate-by-modern-GOP-standards Republicans, you could imagine one of them at least making it to a runoff in the way Bill King did in 2015, and if things broke right, they could win. As with everyone else on this list they can raise plenty of money, and if Texas is still run by Republicans in 2023 they could argue that they’re better positioned to defend our local autonomy better than any Dem running.

Abbie Kamin – I know, she was just elected to District C, and incumbent Council members don’t have a strong track record in Mayoral races (Dwight Boykins, Steve Costello, Peter Brown, Orlando Sanchez, Chris Bell, Helen Huey, Gracie Saenz…you get the point), but in both the November and December races her performance was impressive, she was one of the best fundraisers of the cycle, and having District C as your base is a pretty good jumping off point, especially in a multi-candidate field where the goal is to make it to round 2. Like I said, this is just me thinking out loud.

Orlando Sanchez – Yeah, him again. You just know he’s going to keep running for things. He has name recognition, he did better than expected in losing to Chris Brown, and hey, the third time was the charm for Sylvester Turner. Why not Orlando?

The field – Not every Mayoral contender is visible from a distance. Every recent competitive race has featured at least one wealthy non-politician type, some more successful than others (Bob Lanier, Bill White, Rob Mosbacher, Gene Locke, Ben Hall, Bill King, that guy from 2019). I’ll be surprised if 2023 is an exception, but I have no idea who that person may be at this time. Similarly, every competitive race has had at least one strong black candidate, and if Amanda Edwards sits it out, someone else will step up. One or more people that no one is thinking of now will be on the radar in 2023. Ask me again in a couple of years and we’ll see who that might be.

That’s my list. Who would you add?

Precinct analysis: 2019 Controller

Back to the precinct data. This one’s easy, as there are only two candidates.


Dist Sanchez   Brown
====================
A      8,771   7,059
B      4,507  10,779
C     17,652  21,540
D      7,391  15,225
E     14,505  10,672
F      4,798   4,559
G     18,093  13,451
H      7,174   6,579
I      6,089   4,834
J      3,482   3,213
K      7,286  10,680
		
A     55.41%  44.59%
B     29.48%  70.52%
C     45.04%  54.96%
D     32.68%  67.32%
E     57.61%  42.39%
F     51.28%  48.72%
G     57.36%  42.64%
H     52.16%  47.84%
I     55.74%  44.26%
J     52.01%  47.99%
K     40.55%  59.45%

You have to hand it to Orlando Sanchez. He’s been around forever – he was first elected to City Council, in At Large #3, in 1995, the year Griff Griffin started running for office, but he had run unsuccessfully for District C in 1993. He ran for Mayor in 2001 after serving his three terms on Council and nearly won, then ran again in 2003 and didn’t do quite as well. No worries, he jumped at an opportunity to run for County Treasurer in 2006, and was on the county’s payroll till the end of last year. Why not run for office again? Man needs a job, you know. He won everywhere except the three African-American districts and District C, a pretty fine showing for a nondescript Latino Republican, but it wasn’t quite enough. In a county that’s a bright shade of blue and a city where the next elections are in 2023, is this the last we’ll hear of him? I kind of don’t think so. One of the first things he did after losing last year was cheerlead for the TEA to take over HISD, which makes me wonder if he might angle for a spot on the Board of Managers. Water finds its level, and Orlando Sanchez finds opportunities, is what I’m saying. Don’t count him out just yet.

As for Chris Brown, here’s how he did in the 2015 runoff against Bill Frazer. As you can see, better in the Republican districts and District C, less well in the Democratic districts. It’s still a win this way, but he didn’t exactly build on his success from four years ago. Campos thinks he should have done better, and that he failed to get a leg up for a potential future run for Mayor. I think there’s something to that, but I also think no one will remember these numbers even one year from now. If Mayor is next on his agenda, then the most important numbers he’ll need are fundraising numbers. A little more visibility wouldn’t hurt, either. I have to think some of what happened this year is due to Orlando Sanchez’s name recognition, but it shouldn’t have taken that much on Chris Brown’s part to overcome that. It’s not like he’s some no-name generic, after all. A win is a win, and in the end that’s what matters. But probably no other potential future Mayoral candidate is quaking in their boots right now.

Final results are in

Here they are. Refer to my previous post for the initial recap, I’m going to be very minimalist. Let’s do this PowerPoint-style, it’s already been a long day:

Mayor – Turner fell short of 50%, landing up a bit below 47%. He and Buzbee will be in a runoff. Which, if nothing else, means a much higher turnout for the runoff.

Controller: Chris Brown wins.

District A: Peck versus Zoes.
District B: Jackson versus Bailey.
District C: Kamin versus Kennedy. Gotta say, it’s a little surprising, but quite nice, for it to be an all-Dem runoff. Meyers came close to catching Kennedy, but she hung on to second place.
District D: Brad Jordan had a late surge, and will face Carolyn Evans-Shabazz in the runoff. If Evans-Shabazz wins, she’ll need to resign her spot on the HCC Board, so there would be another new Trustee if that happens.
District F: Thomas versus Huynh. Other than the two years we had of Richard Nguyen, this seat has pretty much always been held by a Republican. Tiffany Thomas has a chance to change that.
District H: Cisneros verusus Longoria.
District J: Pollard versus Rodriguez. Sandra Rodriguez had a late surge and nearly finished ahead of Pollard. Very evenly matched in Round One.

At Large #1: Knox versus Salhotra. Both candidates will benefit from the Mayoral runoff, though I think Raj may be helped more.
At Large #2: Robinson versus Davis, a rerun from 2015.
At Large #3: Kubosh slipped below 50% and will face Janaeya Carmouche in overtime.
At Large #4: Dolcefino versus Plummer. We will have somewhere between zero and four Republicans in At Large seats, in case anyone needs some non-Mayoral incentive for December.
At Large #5: Alcorn versus Eric Dick. Lord, please spare me Eric Dick. I don’t ask for much.

HISD: Dani Hernandez and Judith Cruz ousted incumbents Sergio Lira and Diana Davila. Maybe that will make the TEA look just a teeny bit more favorably on HISD. Kathy Blueford Daniels will face John Curtis Gibbs, and Matt Barnes had a late surge to make it into the runoff against Patricia Allen.

HCC: Monica Flores Richart inched up but did not make it to fifty percent, so we’re not quite rid of Dave Wilson yet. Rhonda Skillern-Jones will face Kathy Lynch-Gunter in that runoff.

HD148: A late surge by Anna Eastman gives her some distance between her and Luis La Rotta – Eastman got 20.34%, La Rotta 15.84%. The Republican share of the vote fell from 34% to 32%, right on what they got in this district in 2018.

Now you are up to date. Go get some sleep.

2019 election results: Houston and Metro

Unfortunately, we have to start with this:

Results of Tuesday’s election could take until 2 a.m. Wednesday after the Texas Secretary of State issued a new regulation that upended plans by the Harris County Clerk’s Office to speed vote counting.

The first tubs containing electronic ballot cards from across Harris County arrived at central count just before 9:30 p.m., where election judges and poll watchers waited to see the vote count in action.

Dr. Diane Trautman said she had hoped to have votes come in from 10 countywide drop-off locations, fed in through a secured intranet site, leading to faster results on election night.

Instead, Secretary Ruth R. Hughs ordered on Oct. 23 that law enforcement officers would instead escort the ballot box memory cards from each of the 757 polling sites to the central counting station.

That change, made nearly two weeks before Election Day, led to a major delay that left voters wondering for hours how races up and down ballot would turn out.

Early election results trickled in shortly after 7 p.m., but remained virtually unchanged for hours Tuesday.

Here’s the County Clerk’s statement about that order. I don’t know what was behind it, but it sure did gum things up. In the end, final results were not available till quite late, with no more partial results after midnight because producing those was slowing down the input process. Here’s the later statement on when results would be expected. Suffice to say, this was a mess, and no one is happy about it all. Expect there to be an extended fight between the County Clerk and SOS offices.

Anyway. I’m still groggy from a late night, so I’m going to hit the highlights, and we’ll get final results later. Here we go.

Mayor: Turner leads, is close to a majority.

Mayor Sylvester Turner held a wide lead over Tony Buzbee in limited early returns late Tuesday and was within striking distance of an outright re-election win, though it was unclear at press time if he would secure enough votes to avoid a runoff.

Buzbee, a millionaire trial lawyer, jumped out to an early second-place lead that he appeared likely to retain over Bill King, an attorney and businessman who narrowly lost a 2015 runoff to Turner but struggled this time to compete financially with Buzbee, his main rival for conservative votes.

With a small share of Election Day precincts reporting, Turner remained a shade under the majority vote share he would need to avoid a December runoff against Buzbee.

Councilman Dwight Boykins, who competed with Turner for the support of Democratic and black voters, trailed in fourth place, while former councilwoman Sue Lovell was further behind in fifth. Seven other candidates combined for the remaining share of the vote.

Adding in the Fort Bend results, and we get the following:


Turner     63,359  47.28%
Buzbee     39,361  29.37%
King       17,878  13.34%
Boykins     7,848   5.86%
Lovell      1,433   1.07%
The Rest    4,121   3.08%

Three things to think about: One, Turner has at this point more votes than Buzbee and King combined, so if we do go to a runoff that’s not a bad position to start with. Two, the Election Day results reported so far came mostly from Districts A, C, E, and G, so they would be more favorable to Buzbee and King than the city as a whole. And three, the election polling was pretty accurate, especially at pegging the support levels for Boykins and Lovell.

Oh, and a fourth thing: Tony Buzbee’s drunken Election Night speech. Yowza.

Controller: Incumbent Chris Brown leads

It’s Brown 62,297 and Sanchez 54,864 adding in Fort Bend, and again with mostly Republican votes from yesterday (Sanchez led the Election Day tally by about 1,700 votes). Barring a big surprise, Brown has won.

City Council: Most incumbents have big leads, and there’s gonna be a lot of runoffs. To sum up:

District A: Amy Peck has 44.3%, George Zoes 16.8%
District B: Tarsha Jackson 21.0%, Renee Jefferson Smith 15.1%, Cynthia Bailey 13.7%, Alvin Byrd 10.7%
District C: Abbie Kamin 30.8%, Shelley Kennedy 15.8%, Greg Meyers 14.4%, Mary Jane Smith 14.0%
District D: Carolyn Evans-Shabazz 19.0%, Carla Brailey 12.3%, Brad Jordan 11.9%, Rashad Cave 11.4%, Jerome Provost 10.4%, Andrew Burks 10.3%
District E: Dave Martin easily wins
District F: Tiffany Thomas 39%, Van Huynh 24%, Richard Nguyen 18%
District G: Greg Travis easily wins
District H: Karla Cisneros 38.9%, Isabel Longoria 27.5%, Cynthia Reyes-Revilla 24.0%
District I: Robert Gallegos easily wins
District J: Edward Pollard 32.4%, Sandra Rodriguez 26.4%, Barry Curtis 19.7%
District K: MArtha Castex-Tatum easily wins

At Large #1: Mike Knox 38.1%, Raj Salhotra 21.1%, Yolanda Navarro Flores 16.3%, Georgia Provost 14.7%
At Large #2: Davis Robinson 38.9%, Willie Davis 28.8%, Emily DeToto 18.8%
At Large #3: Michael Kubosh 50.8%, Janaeya Carmouche 20.6%
At Large #4: Anthony Dolcefino 22.9%, Letitia Plummer 16.4%, Nick Hellyar 12.8%, Ericka McCrutcheon 11.3%, Bill Baldwin 10.5%
At Large #5: Sallie Alcorn 23.2%, Eric Dick 22.0%, no one else above 10

Some of the runoff positions are still very much up in the air. Michael Kubosh may or may not win outright – he was only at 46% on Election Day. Name recognition worth a lot (Dolcefino, Dick) but not everything (both Provosts, Burks). Not much else to say but stay tuned.

HISD: Davila and Lira are going to lose

Dani Hernandez leads Sergio Lira 62-38, Judith Cruz leads Diana Davila 64-36. Kathy Blueford Daniels is close to fifty percent in II but will likely be in a runoff with John Curtis Gibbs. Patricia Allen, Reagan Flowers, and Matt Barnes in that order are in a tight battle in IV.

HCC: No story link on the Chron front page. Monica Flores Richart leads the execrable Dave Wilson 47-34 in HCC1, Rhonda Skillern-Jones leads with 45% in HCC2 with Kathy Lynch-Gunter at 26%, and Cynthia Lenton-Gary won HCC7 unopposed.

Metro: Headed to easy passage, with about 68% so far.

That’s all I got for now. Come back later for more.

8 Day finance reports: Mayor and Controller

The Erik Manning spreadsheet is here, the July reports from Mayoral candidates are here, the July reports from Controller candidates (which in this case was just Chris Brown) are here, and the 30 day reports for both Mayorals and Controllers are here. All of the reports that I have downloaded and inspected can be found in my Google folder, and any reports that were filed non-electronically can be found here. Finally, the Chron story about the 8 day reports is here.

I’m not going to run through the 8 day reports for all of the races and candidates, as I have done for July and 30 day reports. Too many candidates, not enough time, and honestly not that much of interest for most of these campaigns. Though I may check out a couple of the Council campaigns, just because I’m curious about them. Anyway, the first reports are mostly about raising money, but the 8 day is mostly about spending it – ads, canvassers, calls and texts (note to campaigns: I’ve already voted please stop texting me kthxbai), signs to post at EV locations, etc etc etc. Keep that in mind as we examine these reports.


Candidate     Raised      Spent     Loan     On Hand
====================================================
Turner       376,947  1,260,650        0     787,331
Buzbee             0  2,866,445        0   1,300,780
King          87,344    193,980  410,000     141,287
Boykins       20,250     38,308        0      29,969
Lovell        
Baker          1,500      2,000        0       3,419
Broze          4,472      1,560        0       2,955
Houjami        1,377        273        0          38


Brown         37,010    211,379   75,000     108,907
Sanchez      107,581     81,350        0      66,299

Sue Lovell did not have a report posted as of Tuesday. She was one of the last to post a 30 day report, so I’m guessing it will be there eventually. Some day, I hope a bright young political science student will embark on a study of why anyone would be donating to an obviously going-nowhere campaign like one of Baker/Broze/Houjami, in particular in the end days before the actual election, when there can be no doubt that to do so is to light that money on fire. Beyond the scope of this post, and this blog, but I’m putting it out there into the universe to see what I may get.

We’ve known all along that the Buzbee finance reports are weird since he’s not actually raising any money but just writing himself bigger and bigger checks, thus rendering the “Raised” and “On Hand” fields useless. The main thing we learn here is that he apparently hasn’t written any more checks since September 27. One reason why Mayor Turner may really really want to avoid a runoff with Buzbee is because he’s going to have to raise a bunch of money in a very short time frame to be able to compete with Buzbee on the air. The good news is that contribution limits are reset for runoffs, so any currently maxed-out donors can be tapped again, but it still takes time and effort. Or maybe it doesn’t matter that much – maybe it’s all about GOTV and running yet another attack ad will just turn everyone’s stomach and not actually affect anything.

On the Controller side, Orlando Sanchez raised quite a bit, no doubt making up for lost time due to his late entry into the race. Chris Brown has pressed his financial advantage, spending quite a bit in this period, but maintaining a financial edge afterwards. I was a bit surprised to see an attack ad by Brown on Sanchez during Monday Night Football, which was essentially a retelling of the financial dominatrix story, and oh yes I am very glad to have the opportunity to use the phrase “financial dominatrix” again. Brown had been running positive, accomplishments-and-biography ads before now. I don’t know if this is a sign that he’s worried, or just a pre-emptive strike, but either way it took me by surprise. I guess life doesn’t hand you that many chances to run that kind of ad, so you may as well go for the gusto when you can.

Endorsement watch: Turner and Brown

The Chron saved its biggest endorsement editorials for the Sunday edition. I did expect them to endorse Mayor Turner for another term, and they delivered, with more of an emphasis on the campaign than I would have thought.

Mayor Sylvester Turner

Bats aren’t blind. The Great Wall of China is not really visible from space. And vaccines do not cause autism.

Many people believe these myths because they’ve heard them repeated enough times. Statements that are familiar start to feel right, regardless of accuracy.

It’s called illusory truth effect. And it’s been a powerful weapon in Houston’s rough-and-tumble mayoral race.

Houstonians have been told – at forums, in news articles, and in a barrage of TV ads – that Mayor Sylvester Turner’s tenure has been mired in corruption, that Houston has grown into a dangerous place under his watch, that he ignored the will of the people on firefighter raises.

If true, this editorial board would have no qualms about recommending that voters throw the bum out.

But facts – the real ones, scrutinized thoroughly by the Chronicle’s reporters in the newsroom – show a different picture.

While weak ethics rules make pay-to-play politics a perennial concern in Houston and Harris County politics, Turner’s opponents have failed to land a bombshell that proves he has abused his power. The most high-profile attempt to discredit Turner, involving a $95,000 “executive internship” created at the airport for a man who called Turner his mentor, fizzled after it was reported that the salary was in line with the employee’s experience and education, including three degrees.

While Houston’s violent crime has risen 6 percent during Turner’s tenure, FBI data show the rate of nonviolent crime has fallen 9 percent and overall crime has dropped 6 percent. Houston, like many major cities across America, has experienced a significant drop in crime over the past 30 years.

On Prop B, the voter-approved measure that granted firefighters pay parity with police – and, on average, a 29 percent raise in a cash-strapped, revenue-capped city – the mayor made good on his word to implement the measure, and the consequences, including layoffs, before the police union successfully overturned it in court.

[…]

Bats aren’t blind and neither are we. Prop B showed Turner was willing to do the right thing even when it was the hard thing. That’s the vision Houston needs, and it’s why we recommend Sylvester Turner, once again, for mayor.

It’s a solid editorial, and obviously I agree with its conclusion. We could have a conversation about the media’s role in those “myths” – the KPRC story about the “intern” was an embarrassment – but what’s done is done. And if as the polls suggest Turner wins and we never have to hear the words “Tony Buzbee” again, then I’ll live with it.

Over in the Controller’s race, the Chron endorses Chris Brown, in a less ringing fashion.

Chris Brown

In a city where the mayor’s office holds as much power as it does in Houston, checks and balances to that power ought to be nurtured and protected.

One of the biggest — and let’s face it, one of the few — checks on the Houston mayor’s office is the city controller. That office, elected independently every four years, is responsible for reviewing the city’s finances and reporting on their soundness without fear or favor.

Just as important, the controller has sole discretion to decide which areas of government — from the police to affordable housing to garbage collection, or any of the hundreds of functions of City Hall — should be subjected to performance audits.

Orlando Sanchez, the former City Council member and three-term Harris County treasurer, argues that incumbent Controller Chris Brown has failed to make adequate use of his auditing authority and thus provide the vitally important independent check on Mayor Sylvester Turner.

Sanchez, who was voted out as Harris County treasurer in 2018, raises a legitimate concern: A review of audits authorized by Brown reveals mostly efforts to find ways City Hall can save money — always a welcome goal — and few sweeping assessments of high-profile city departments, which could help hold the administration accountable.

Consider how many of the major debates involving the races for mayor and Council have turned on questions about operations at major city departments — from police use of body cameras and no-knock warrants to the city’s use of drainage fee revenues and how Turner processed Harvey recovery funds.

But while Sanchez promises to use the audit function more aggressively, he has no experience doing so. As county treasurer, he mostly focused on writing checks and managing the county’s bills. The kind of aggressive, independent audit function he promises would be an entirely new role for him.

Honestly, the cold statement that Orlando Sanchez has no relevant experience after twelve years in elective office is all you really need. Use that paragraph in any future story that mentions Orlando Sanchez, if there ever is a need for there to be a story that mentions Orlando Sanchez. And vote for Chris Brown, he’s fine.

Chron overview of City Controller race

It’s rerun season.

Chris Brown

It has attracted far less attention than the rowdy mayoral race, but the contest for the city’s second-highest office has intensified in recent weeks as Controller Chris Brown — the independently elected financial watchdog — finds himself battling to keep his seat against a familiar name on the ballot.

Orlando Sanchez, a former city councilman, mayoral candidate and Harris County treasurer, filed to challenge Brown in August with an hour to spare before the Aug. 19 deadline. He has pledged to conduct more audits and make the controller’s office more transparent. And, Sanchez alleges, Brown is too closely aligned with Mayor Sylvester Turner to serve as a check on his power.

“While it’s nice to have a cordial relationship with the mayor, I don’t think you need to act as an employee of the mayor,” said Sanchez, 61. “You are independently and in a sovereignly elected position that should answer all and any questions that the community has — the business community, the mayor’s office, the City Council.”

Brown, who served as deputy controller before his election in 2015, scoffed at Sanchez’s critiques. The controller’s office has conducted 39 audits during his tenure and prizes large-scale audits instead of smaller, more frequent ones, Brown said, adding that he has striven to distance himself from Turner on such issues as the mayor’s push to sidestep the voter-imposed revenue cap after Hurricane Harvey and his changing cost estimates for Proposition B, the voter-approved measure to link firefighters’ pay to that of similarly ranked police officers.

“I work for the taxpayer,” said Brown, 44. “If you look at my record over the last four years, whether that’s auditing, whether that’s going to the mat when the administration tried to raise taxes on taxpayers after Harvey, I went to the mat, I fought for the taxpayer and I won. From that standpoint, it’s vitally important for the controller to be independent.”

[…]

The race also has broken down along sharply partisan lines, despite both candidates’ insistence that the office should remain nonpartisan. Conservative support has coalesced behind Sanchez, a Republican who has raised about $45,000, with contributions from Republican congressional candidate Kathaleen Wall and state Rep. Dan Huberty, R-Houston. Democratic officials — including former city controllers Sylvia Garcia and Annise Parker — are lining up behind Brown, who last month endorsed Julián Castro for president. He had $274,000 cash on hand at last count, compared to Sanchez’s $24,000 war chest.

The Controller’s race gets less attention than the Mayor’s race for the same reason why most Council races get less attention: The office has far less power, and there’s far less spending in those elections. For what it’s worth, in the clearly partisan 2015 runoff, Brown not only defeated Republican Bill Frazer, he did so by a considerably wider margin than Mayor Turner had over Bill King. Orlando Sanchez basically coasted for a dozen years on the county’s off-year partisan lean, before running out of luck last year. I’m not too worried about this one.

30 Day finance reports: Mayor and Controller

All right, I’ve made some progress in the endless number of city candidate finance reports. We’re in crunch time, and the 30 day reports can tell us not just what kind of momentum candidates have had, but also whether the later entrants into the races have gained any traction. Let’s get down to it.

To set the table, the Erik Manning spreadsheet is here, the June reports from Mayoral candidates are here, and the reports from Controller candidates (which in this case was just Chris Brown) are here. All of the reports that I have downloaded and inspected can be found in my Google folder, and any reports that were filed non-electronically can be found here.


Candidate     Raised      Spent     Loan     On Hand
====================================================
Turner       733,324  2,235,523        0   1,618,015
Buzbee     2,500,000  3,475,058        0   4,167,503
King         281,829    550,022  410,000     263,448
Boykins      130,105    141,779        0      58,103
Lovell        28,493     10,929        0      17,564
Baker         20,000     16,340        0       3,919
Broze          3,620      3,782        0       1,027
Houjami        1,324      1,490        0         111

Brown        100,990     61,079   75,000     274,291
Sanchez       45,057     33,207        0      23,651

Some of this we’ve already covered. As a reminder, Buzbee hasn’t actually “raised” any money, he’s just written himself a check for whatever amount it is he’s reporting. Which we know will be even bigger for the 8 day report. Nobody else is in the same league as Buzbee or Mayor Turner. I have to wonder if Bill King will write himself a big check this month just so he can get some ads on the air. As for Dwight Boykins and Sue Lovell, I don’t know what they expected when they entered this race, but I’m guessing this wasn’t it. I don’t see any changes in their fortunes ahead.

Chris Brown was a strong fundraiser in 2015, and he’s a strong fundraiser this year. I’ve seen more of his ads on TV than I’ve seen for Bill King. Orlando Sanchez is Orlando Sanchez, which mostly means his campaign signs are littering the empty lots and freeway overpasses again. I don’t have anything more to say than that. More finance reports will be coming soon.

The 2019 lineups are set

Barring any late disqualifications or other unexpected events, we have the candidates we’re getting on our 2019 ballot.

More than 125 candidates turned in paperwork to run for city office by Monday’s filing deadline, setting up a packed November ballot likely to leave every incumbent with at least one opponent.

The unusually crowded field is driven largely by the city’s move in 2015 to extend term limits, allowing officials to serve two four-year terms instead of three two-year terms, said Rice University political science Professor Bob Stein.

“It used to be that you just wouldn’t run against an incumbent. You would wait until they term-limited out,” Stein said. “Candidates are no longer getting the two-year pass.”

Thirteen candidates have filed to run for mayor, including incumbent Sylvester Turner, who is running for a second four-year term. Turner’s challengers include his 2015 runoff opponent, Bill King, lawyer and business owner Tony Buzbee, Councilman Dwight Boykins and former councilwoman Sue Lovell.

By Friday evening, the city’s legal department had approved applications from at least 97 candidates. Another 28 candidates had filed for office and were awaiting approval from the city attorney’s office, and an unknown additional number of candidates filed just before the 5 p.m. deadline.

Ten candidates were officially on the ballot for mayor, with three others awaiting legal department approval by the close of business Monday.

Early voting begins Oct. 21 and Election Day is Nov. 5.

Late additions include retreads like Orlando Sanchez, who I guess hasn’t found steady work since being booted as Treasurer, and Eric Dick, seeking to become the next Griff Griffin, who by the way also filed. Sanchez is running for Controller, while Dick is in At Large #5, and Griff is once again running in At Large #2.

And there’s also HISD.

Two Houston ISD trustees filed paperwork Monday to seek re-election and will each face a single challenger, while several candidates will jostle to fill two other open seats on a school board that could soon be stripped of power.

HISD Board President Diana Dávila and Trustee Sergio Lira made their re-election runs official hours before Monday’s afternoon deadline, while trustees Jolanda Jones and Rhonda Skillern-Jones will not seek another term.

Thirteen newcomers will aim to unseat the two incumbents or win vacant spots on the board. The prospective trustees will square off in a November general election and, if necessary, runoff elections in December.

So much for them all resigning. You can read each of the stories in toto to see who gets name-checked, or you can peruse the Erik Manning spreadsheet, which is fortified with essential vitamins and minerals. Note also that in the HCC races, Monica Flores Richart has the task of taking out the reprehensible Dave Wilson, while Rhonda Skillern-Jones faces Brendon Singh and Kathy Lynch Gunter for the trustee slot that Wilson is abandoning in his desperate attempt to stay on the Board, and Cynthia Gary appears to have no opposition in her quest to succeed Neeta Sane. Leave a comment and let us know what you think of your 2019 Houston/HISD/HCC candidates.

On to the next big financial issue for the city

It’s always something.

Mayor Sylvester Turner

Four years ago, the main source of Houston’s deteriorating financial health — billions of dollars in unfunded pension obligations — loomed over the race for mayor, promising a massive test for the winner.

Now, Mayor Sylvester Turner, having overhauled the city’s troubled pension systems, is running for re-election and touting the reforms as his signature policy accomplishment. He faces several challengers, including Bill King, the businessman he defeated four years ago, millionaire lawyer and self-funder Tony Buzbee, City Councilman Dwight Boykins who has clashed with the mayor over firefighter pay and former Councilwoman Sue Lovell, as well as a handful of lesser known candidates.

Whoever wins will be forced to confront another simmering financial problem: Houston’s $2.4 billion unfunded liability for retiree health care costs, the result of years of deferred contributions, an aging city workforce and, experts say, growing medical costs that outpace the city’s revenue.

The total has grown in recent years by an average of $160 million a year, or more than $400,000 a day. That is less than the $8.2 billion unfunded pension liability’s $1 million-per-day growth rate, but enough to require swift and sweeping changes, experts and local officials say.

“We’re in the earlier stages in this. It’s not a crisis by any means, but it would be better to address it now,” Controller Chris Brown said. “We don’t want to let this thing grow to another $8 billion unfunded liability. … Let’s pay a little now instead of paying a lot later.”

The unfunded liability refers to the city’s obligations in the coming decades for retired employees’ medical, life and prescription drug insurance, commonly called other post-employment benefits, or OPEB. Houston has covered its OPEB expenses through a pay-as-you-go system, akin to making a minimum credit card payment while the balance grows.

[…]

“We have also been in discussions with the employee groups working toward consensus, while keeping in mind the sacrifices employees have made to help us achieve the city’s historic pension reform,” Turner said.

The proposals align with recommendations from a separate firm, Philadelphia-based PFM, which said in its 10-year Houston financial plan the city should eliminate OPEB coverage altogether for retirees or dependents who have access to other coverage.

Other cities have taken a similar approach, limiting cuts for retirees and older employees who were promised certain benefits, while requiring bigger sacrifices from younger and future employees with more time to prepare.

The good news here is that the city doesn’t need to go through the Lege to fix this, and the basic plan for a fix is already in the works. Mayor Turner will be proposing his plan later in the year, and most likely that will put the city on a path towards containing this problem. There’s still a big piece of the puzzle missing, though.

Even after reigning in the city’s OPEB liability, Brown said, the city faces numerous looming financial problems, including annual deferred maintenance and, in the recent city budget, recurring spending that outstrips recurring revenue. In addition, Houston has been operating under a voter-imposed cap on property tax revenue since 2004 and has trimmed its tax rate to avoid collecting more money than allowed.

“This is another piece of the larger problem that’s looming for the city of Houston, which is the structurally imbalanced budget,” Brown said. “Essentially, we want to be paying for all of our current expenses in the fiscal year in full. And we don’t want to defer anything out, i.e. kick the can down the road.”

Yes, the revenue cap, which costs the city many millions of dollars for no good purpose. There’s a lot the city can do to control costs, but not everything is within its power. Some things just get more expensive over time, and if the city is not allowed to reap the benefit of economic growth, it cannot deal with those expenses. If we can get past this issue, and Mayor Turner gets re-elected, then maybe, just maybe, we can get a rev cap repeal measure on the 2020 ballot. There will never be a friendlier electorate to deal with t.

Previous interviews with current candidates

I’ve said a few times that I’m going to be doing just a few interviews this fall. I will start publishing them tomorrow. I may pick up some more for the runoffs, but for now my schedule just does not accommodate anything more than that. But! That doesn’t mean you can’t listen to past interviews with some of the people on your November ballot. Many of the people running now have run for something before, and in many of those cases I interviewed them. Here then is a list of those past interviews. The office listed next to some of them is the office they now seek, and the year in parentheses is when I spoke to them. Note that a few of these people have been interviewed more than once; in those cases, I went with the most recent conversation. Enjoy!

Mayor:

Sylvester Turner (2015)
Bill King (2015)
Dwight Boykins (2013)
Sue Lovell (2009)

Council:

Amy Peck – District A (2013)
Alvin Byrd – District B (2011)
Kendra Yarbrough Camarena – District C (2010)
Carolyn Evans-Shabazz – District D (2017)
Richard Nguyen – District F (2015)
Greg Travis – District G (2015)
Karla Cisneros – District H (2015)
Robert Gallegos – District I (2015)
Jim Bigham – District J (2015)
Edward Pollard – District J (2016)

Mike Knox – At Large #1 (2013)
Georgia Provost – At Large #1 (2013)
David Robinson – At Large #2 (2015)
Michael Kubosh – At Large #3 (2013)
Letitia Plummer – At Large #4 (2018)

Controller:

Chris Brown – City Controller (2015)

HISD:

Sergio Lira – District III (2015)
Jolanda Jones – District IV (2015)
Judith Cruz – District VIII

HCC:

Monica Flores Richart – District 1 (2017)
Rhonda Skillern-Jones – District 2 (2015)

July 2019 campaign finance reports: Incumbents and challengers for Council and Controller

Let me start by saying that I began this post before Amanda Edwards became a candidate for Senate. I’m going to keep the AL4 race in here, in part to include Edwards’ June report totals, and in part because I’m just stubborn that way. I did add in the candidates who have jumped into AL4, so this is as up to date as I am. Feel free to tell me who I’ve missed.

As before, my look at the January 2019 finance reports for Houston candidates is here, and all of the finance reports that I have downloaded and reviewed are in this Google folder. Except for the reports that were filed non-electronically, which you can find here. Erik Manning’s invaluable spreadsheet remains my source for who’s in what race.

Dave Martin – District E
Sam Cleveland – District E
Ryan Lee – District E

Greg Travis – District G

Karla Cisneros – District H
Isabel Longoria – District H
Cynthia Reyes-Revilla – District H

Robert Gallegos – District I
Rick Gonzales – District I

Martha Castex-Tatum – District K

Mike Knox – At Large #1
Michelle Bonton – At Large #1
Georgia Provost – At Large #1
Raj Salhotra – At Large #1

David Robinson – At Large #2
Willie Davis – At Large #2
Emily Detoto – At Large #2

Michael Kubosh – At Large #3
Janaeya Carmouche – At Large #3
Marcel McClinton – At Large #3
Goku Sankar – At Large #3

Amanda Edwards – At Large #4
Christel Bastida – At Large #4
Tiko Reynolds-Hausman – At Large #4
Ericka McCrutcheon – At Large #4
Jason Rowe – At Large #4
Nick Hellyar – At Large #4
Letitia Plummer – At Large #4

Chris Brown – Controller
Amparo Gasca – Controller


Candidate     Raised      Spent     Loan     On Hand
====================================================
Martin        49,450     18,939        0     151,184
Cleveland
Lee

Travis        68,234     15,749   21,000     131,691

Cisneros      54,325      8,959        0     109,471
Longoria
R-Revilla     19,408      1,859        0      17,130

Gallegos      65,100     25,016        0     145,090
Gonzales         400      3,627    3,510         400

C-Tatum       37,200     13,664        0      40,128

Knox          40,295     45,555        0      41,171
Bonton
Provost
Salhotra     220,377     30,340        0     178,539

Robinson      88,616     27,043        0     262,221
Davis         10,250      3,051    3,000         807
Detoto         2,600      2,660      500         439

Kubosh        43,875     20,319  276,000     122,870
Carmouche      8,950      5,397    1,000       3,706
McClinton     25,823     21,739        0       8,675
Sankar

Edwards       73,807     42,179        0     192,791
Bastida        1,103         51      200         750
R-Hausman
McCrutcheon    5,100      7,225    5,000
Rowe               0          0        0           0
Hellyar       37,017     34,446        0      20,501
Plummer       64,519     36,356        0      43,795

Brown         66,611     36,522   75,000     234,350
Gasca

I know Tiko Reynolds-Hausman and Isabel Longoria entered their races in July, so they have no reports yet. That may be true for some others as well, but if so I’m not aware of them.

Let’s get the easy ones out of the way first. Greg Travis and Martha Castex-Tatum don’t have opponents. Chris Brown, Dave Martin, and Robert Gallegos may as well not have them, either. I know, there’s still a few months to go before the election, but none of the purported challengers appear to be doing much. Heck, only Sam Cleveland even has a website, though Ryan Lee and Rick Gonzales do at least have Facebook pages. So yeah, nothing to see here.

David Robinson and Michael Kubosh have opponents who have been a bit more active – Willie Davis is a repeat candidate, having run in 2015 against Robinson – but so far don’t appear to pose too much of a threat.

The threat to Karla Cisneros is greater, and potentially severe. I’ve already seen a couple of signs for her opponents in my neighborhood, and while Isabel Longoria hasn’t had a chance to post a finance report yet, Cynthia Reyes-Revilla’s totals are OK. Not terrifying if you’re the incumbent, but not nothing. Keep this one in your back pocket, and we’ll revisit when the 30 day reports are posted.

Had Amanda Edwards decided to stay in Houston and run for re-election, I’d have grouped her with the not-really-challenged incumbents. With AL4 now an open seat, and the field likely to expand further (*checks the Manning spreadsheet one last time to make sure no one else has entered the race*), it’s also open in the sense that there’s no clear frontrunner. Nick Hellyar and Letitia Plummer, who had started out in other races, have the early fundraising lead, but not enough to present a significant obstacle. Hellyar has picked up multiple endorsements from current and former elected officials, which ought to boost his coffers, but we’ll see what that means in practice. We really don’t know anything about this race right now.

And then there’s At Large #1. If you knew nothing about this election and I told you that Raj Salhotra was the incumbent and Mike Know was a challenger, you’d believe me based on their numbers. I can’t recall the last time an incumbent was so thoroughly outclassed in this regard. That’s great for Salhotra, whose biggest challenge isn’t Knox as much as it is Georgia Provost, who nudged past four better-funded candidates as well as ultra-perennial candidate Griff Griffin to make it into the runoff in 2015. She’s going to get her share of votes, especially if the voters don’t know the other candidates on the ballot. Salhotra is well on his way to having the resources to run a sufficient citywide campaign and introduce himself to the electorate. In what should be a prelude to another runoff, he just needs to finish in the top two. So far, so good.

I’ll break up the open seat races into two or three more posts. Did I mention there were a crap-ton of candidates this year? Let me know what you think.

Here’s the Mayor’s budget

A lot of people won’t like it, but this is what happens when you heap a big expense on top of an already tight fiscal situation.

Mayor Sylvester Turner

Mayor Sylvester Turner on Tuesday proposed to close Houston’s $179 million budget gap for the upcoming fiscal year by tapping into the city’s reserves, eliminating more than 60 vacant positions and laying off more than 300 city employees.

Turner’s proposal would reduce the overall budget of city departments by about $36 million, a figure that includes layoffs of firefighters, fire cadets and municipal workers, all of whom have received pink slips.

The mayor’s budget also would draw $116 million from the city’s reserves, which Turner said the city can afford because it will end the 2019 fiscal year with a higher-than expected general fund balance. The next fiscal year begins July 1.

Laying out the final budget proposal of his first term, Turner framed the financial plan as conservative and said his administration “scrubbed every department” in search of places to trim costs. The budget also uses a conservative projection for the amount of new property tax revenue Houston may take in, Turner said.

[…]

Turner said a large chunk of the 2.2 percent increase in general fund spending is driven by the cost of Proposition B, the voter-approved charter amendment that grants firefighters the same pay as police of corresponding rank and seniority. The raises will cost $79 million during the next budget year, Turner said.

District E Councilman Dave Martin agreed with Turner’s fiscal assessment of the budget, contending that the city has faced a challenging situation with small revenue growth projections — about 2 percent in property taxes and 1 percent across all sources — amid large added costs such as Prop B.

“We’ve been working on this for nine months, accumulating a healthy fund balance, not filling slots that were available for employment,” said Martin, who chairs the council’s Budget and Fiscal Affairs Committee.

Under Turner’s proposal, public safety — which includes the fire and police departments, the municipal courts and emergency operations — would make up about 58 percent of the general fund budget, at a cost of $1.5 billion. The fire department’s budget would increase to $558 million, a 4.5 percent boost over how much the city estimates it will spend on the department this year.

The fire department was allocated $503 million in the current budget. Total projected spending, however, has grown to about $534 million with the city covering Prop B raises retroactive to Jan. 1. Turner said the adjusted paychecks would go out Friday.

[…]

Controller Chris Brown, the city’s elected budget watchdog, said he does not feel confident that Turner has accurately projected Prop B’s cost because the mayor has yet to supply his office with financial data backing up the $79 million estimate. Brown also wants to generate his own independent figure, which he said he cannot do without certain incentive pay data.

Turner told reporters Tuesday that the city attorney, Ron Lewis, had determined the city’s interpretation of Prop B would withstand legal challenges.

Still, Brown said the city has little breathing room if a judge rules the firefighters are owed more. He noted that the budget would dip the city’s target fund balance within striking distance of the minimum level allowed by city policy. The city’s reserves must make up at least 7.5 percent of the city’s general fund budget, and the 2020 budget target would leave the balance at $171 million — 7.9 percent, $9 million above the threshold.

“What if a judge says, ‘You know what, we think that this is $100 million,’ and we need to pay immediately this additional money?” Brown said. “Where is that money coming from?”

I see on Twitter that some firefighters have highlighted the above quote from Controller Brown, while in this article Marty Lancton again complains that Mayor Turner isn’t implementing Prop B exactly the way he wants it to be implemented. Well, someone has to talk about the cost of Prop B. As for Brown, he’s just doing his job. And the possibility that the cost of Prop B could go up on a judge’s order is a good point and more than a little disturbing.

From here, the budget goes through Council, where they can propose amendments and do whatever they’re going to do with it. I’ll be very interested to see if any of the ones that voted against the layoffs have anything constructive to suggest for how to avoid, or at least reduce them. The budget vote is scheduled for June 5, so mark your calendar.

January 2019 finance reports: City of Houston

It’s January, and you know what happens in January: Campaign finance reports get posted. This is a city of Houston election year, so first order of business is to look at the city of Houston finance reports. I’ve put all the candidate reports I could find from the city’s finance reporting site in this Google Drive folder, so they should all be visible. Now let’s look at the numbers:


Candidate   Office     Raised      Spent       Loan    On Hand
==============================================================
Turner       Mayor  1,240,587    633,726          0  2,853,986
Buzbee       Mayor          0    541,957  2,000,000  1,458,042
King         Mayor          0      1,677    110,000    108,516

Stardig PAC      A     16,204     22,507          0    112,005
Peck             A          0        750      5,000      4,250
Davis            B     20,700     13,976          0    153,846
Cohen            C     12,155     17,533          0     51,885
Hellyar          C     26,663      5,398          0     19,957
Nowak            C      5,426      1,356          0      4,069
Kennedy          C     10,355         20          0     10,331
Boykins          D     14,680     89,412          0     22,829
Martin           E     11,750     22,922          0    121,055
Le               F     48,425      7,787     30,823     51,207
Travis           G     49,250     21,020     21,000     86,307
Cisneros         H     25,250      5,645          0     68,167
Gallegos         I     46,525     22,944          0    102,335
Laster           J      8,500     16,174          0    170,823
Castex-Tatum     K     28,710     15,913          0     16,593

Knox           AL1     32,975     15,352          0     87,083
Robinson       AL2     58,850     17,126          0    205,926
Kubosh         AL3     33,875     16,035    276,000    102,700
Edwards        AL4     60,346     45,727          0    168,581
Christie       AL5      7,513     27,448          0      5,983
Alcorn         AL5    145,906      9,483          0    134,922
Boone          AL5          0          0          0          0

Brown   Controller     91,547     17,145     75,000    199,405

McNeese          ?          0          0          0          0
Adriatico        ?      5,300      1,186      5,000     10,350

All Houston Mayors raise a lot of money, and Sylvester Turner is no exception. He also has the distinct advantage of not having a blackout period, as previous Mayors and Council members had, so he has a running start on 2019. Tony Buzbee has already loaned himself $2 million. Well, technically, he contributed it to himself. I can’t remember if you’re allowed to do that, or if he mis-filed this as a contribution when it’s really a loan that he doesn’t necessarily intend to pay back. Whatever the case, expect that he will continue to self-finance. As for King, he hasn’t really gotten started yet. I’ll need to go back and review his finance reports from 2015, but I do know that he loaned himself $650K in that race, and wasn’t that big a fundraiser outside of that. He wasn’t bad, just not in Turner or Adrian Garcia or Steve Costello’s league. My guess is he writes himself another check, but I don’t know how much of one he cuts. He can’t outraise Turner and I don’t see him out-spending Buzbee. I’m not totally sure where that leaves him, but we’ll see.

The Council group can be sorted into three buckets: Term-limited incumbents, incumbents up for re-election, and non-incumbents. I’m going to save the first group for a separate post, as they have the bigger question of “what next” to ponder. The incumbents who are running for re-election are by and large all in pretty good financial shape. Martha Castex-Tatum has the least on hand, but she also ran in recent memory. Dwight Boykins can self-fund if he wants to. He spent the most by far, with the single biggest expense being $6K for a holiday party. Everyone else is about where I’d expect them to be. No incumbent had an opponent who was in position to file a finance report as of January. As noted before, Raj Salhotra has filed for At Large #1; I am aware of some people who are considering At Large #3 and District F. The July finance reports will tell us much more.

Three of the four-so-far contenders for District C have reports – Nick Hellyar, Bob Nowak, Shelley Kennedy; Abbie Kamin didn’t announce till January. It’s too early to tell who might have a leg up on the field. Amy Peck was just getting started in recent weeks in District A. Keep an eye on Sallie Alcorn in At Large #5, who posted big league numbers in this report. Fundraising isn’t destiny, but it does help to get your name out, especially in a citywide race. I’ve also been told that Laurie Robinson will not be running after all, so Alcorn has a big head start. Marvin McNeese and Nelvin Adriatico did not indicate what office they were seeking in their reports.

As for Controller, Chris Brown did the top two things to smooth his path – he raised decent money, and he avoided doing anything that generated negative press. I won’t be surprised if he gets at most token opposition.

I’ll have some thoughts about the outgoing incumbents tomorrow, and I’ll post about the HISD and HCC reports in the coming days. In the meantime, let me know what you think.

We’ll have to wait a little longer for the inevitable Prop B lawsuit

It’s still coming, just not, like, today.

Mayor Sylvester Turner

Mayor Sylvester Turner on Wednesday said he would delay a City Council vote to hire a law firm to represent the city in possible litigation over Proposition B, the ballot item passed by voters to grant Houston firefighters pay parity with police.

City Council had been set to consider a contract with Norton Rose Fulbright for $1.3 million. The contract would set aside $250,000 for the firm to handle litigation over real estate purchases in connection with infrastructure projects, with the rest set aside for a court fight over the parity measure approved Tuesday.

Meanwhile, Turner said he will look to Fire Chief Samuel Peña to restructure the fire department to absorb the measure’s additional cost, which both Turner and City Controller Chris Brown say will total more than $100 million in its first full year.

Turner said Wednesday he does not know “how we’re going to pay for it,” but he made clear initial layoffs would come from the fire department. For months, Turner has warned that the city would need to make cuts if voters approved Proposition B. It passed with 59 percent of the vote.

The measure would tie firefighters’ pay to that of police of corresponding rank and seniority. City Council, which is not meeting Thanksgiving week, agreed to bring the item up at its Nov. 28 meeting.

“I don’t know the answers,” Turner said. “I don’t know how we’re going to balance the books when we have been given an added bill of $100 million each year.”

He added: “The tough decisions start now. They start right now.”

The mayor said the fire department “restructuring” would include a reduction from four shifts to three, as well as other methods of reducing costs.

See here (at the bottom) for the background. I suppose one possible path to brokering a peace treaty might include an agreement to get everyone possible on board for a push to repeal – not amend, repeal – the stupid revenue cap, which would at least prevent the city from losing revenue for no good reason. There can’t be a vote on that before May of 2021, however, so that may be too long-term for any benefit, but one way or another this needs to be tackled, and it’s in both sides’ best interests for it to go away. I’m just spitballing here. The smart money is still on a lawsuit being filed, and after that who knows.

The pay parity proposal debate that wasn’t

Let’s not get ready to rumble!

Mayor Sylvester Turner

Houston’s firefighters union has withdrawn from a Saturday debate with Mayor Sylvester Turner on their proposal to seek pay “parity” with police officers, saying the event’s host, the Harris County Democratic Party, had given the mayor too much control over the event.

The hour-long event would have marked the first time the mayor and the union addressed the contentious issue on the same stage.

“We looked forward to the debate,” Houston Professional Fire Fighters Association President Marty Lancton said in a Wednesday morning statement, “but we recognize that party insiders failed to stop the manipulation of the ground rules to advantage the mayor. We are disappointed in the HCDP’s acquiescence to the mayor, but are grateful for the support of HCDP precinct chairs and the many Houstonians they represent.”

Among the union’s complaints were that Houston Chronicle opinion editor Lisa Falkenberg was to serve as moderator (the editorial board expressed opposition to the parity proposal in July 2017), and that Democratic Party officials did not agree to let Lancton address precinct chairs or let them vote on whether to endorse the proposition.

Alas. Here’s the earlier story announcing the event that was the original basis of this post. I am not able to be there for this not-a-forum, but perhaps you can be.

County Democratic Party Chair Lillie Schechter said the party engaged in “extensive conversations” with both camps on the format of the discussion but respects the union’s decision to withdraw.

“The event details appeared in a Facebook announcement seen and approved by all parties last week. It is unfortunate the firefighter’s union has determined these details do not meet their needs,” she said. “We regret voters will not hear from the firefighter’s union at this time. Mayor Turner and Lisa are welcome to use the full hour we have allotted for this event.”

The party’s leadership committee, after hearing from the fire union at a recent meeting, Schechter said, voted to schedule the debate to hear from both sides. She said the gathering was never envisioned as ending in a vote, saying such votes only occur at quarterly gatherings of all precinct chairs, the last of which was held Sept. 13.

Yes, speaking as a precinct chair, that’s how our rules work. Precinct chairs vote to endorse or not endorse ballot measures like this at our quarterly meetings. We endorsed the flood bond referendum at the June meeting, for instance. There were members from the firefighters’ union at the September meeting, talking up their proposal, but no motion for an endorsement vote. Which I have to say would have been contentious, and because of that I’m glad it didn’t come up. I don’t know what may or may not have happened behind the scenes, but I do know they could have made a pretty big fuss about this at the meeting if they had wanted to.

Personally, I think an event like this, aimed at the general public, rather than an agenda item for a normally dry meeting of precinct chairs, would be a much better way to allow both sides to air their views (I’m assuming that if Lancton had been given time to address us, then Mayor Turner or a representative from his office would have been given time as well). But hey, whatever. Perhaps the Mayor and Lisa Falkenberg can discuss the cost of this referendum.

The cost of Houston firefighters’ push for pay parity with police of corresponding rank and seniority could be 14 percent cheaper than what Mayor Sylvester Turner’s administration has estimated, city Controller Chris Brown said Tuesday.

Brown’s office estimates that the proposal, which will appear as Proposition B on the Nov. 6 ballot, will cost $85.2 million a year, lower than the $98.6 million figure Turner has used. Neither estimate includes the 7 percent raise police would receive over the next two years if the city council approves a new proposed contract this week. That would increase the cost if voters decide to link fire and police salaries.

Brown acknowledged his analysis required a series of assumptions related to how the parity proposal would be implemented, and said the estimate shows the cost of the proposal would be “unsustainable.”

“The controller’s office believes that a sustainable solution exists but can only be achieved through negotiation in the collective bargaining process,” Brown said while presenting his estimate to the city council’s budget committee. “It’s through that process that the men and women of HFD should be able to negotiate a well-deserved raise, but also a well-deserved raise the city can actually afford over the long term.”

Houston Professional Fire Fighters Association President Marty Lancton viewed Brown’s analysis as vindication of his view that Turner’s estimate is inflated.

“As the city controller proved today, the mayor’s Proposition B claims cannot be trusted. His math, like his judgment, is driven by an obsession with punishing Houston firefighters,” Lancton said.

[…]

Brown and Turner’s estimates are nearly identical on the projected increase to firefighters’ base salaries and the associated increase in retirement benefits: that roughly 20 percent increase would cost about $65 million per year.

The two estimates differ mostly on various incentives and allowances known as “special pays,” some of which firefighters receive now but which parity would increase, and some of which firefighters would receive for the first time if voters approve the measure.

Not sure how a reduction in the cost estimate from $98 million to $85 million is a vindication of the firefighters’ case, especially when $85 million is still a pretty damn big number and Controller Brown calls it “unsustainable”, but maybe that’s just me. I continue to believe this thing is going to pass so I sure hope the cost estimates we are seeing are overblown, but all things being equal I’d rather not have to find out. Be that as it may, if you don’t know what to make of all this, go attend the not-a-forum and see what you think.

July 2018 finance reports: City of Houston

Every level of government requires finance reports in January and June, whether or not there is an active election cycle in that year. That includes the city of Houston, whose january report data we inspected here. Our next election is in 2019, and while this is still traditionally a little early for there to be much activity, there are the finance reports. Here’s what we’ve got:


Candidate       Office    Raised      Spent     Loan    On Hand
===============================================================
S Turner         Mayor   585,267    137,758        0  2,260,407

C Brown     Controller    13,070     17,650        0     59,164

M Knox      At Large 1    28,225     12,691        0     62,856 
D Robinson  At Large 2    61,650     21,468        0    162,079
M Kubosh    At Large 3    72,475     23,841  276,000     82,360
A Edwards   At Large 4    40,345     26,349        0    147,883
J Christie  At Large 5     3,263      6,055        0     25,918

B Stardig       Dist A    56,439     24,738        0    116,794
J Davis         Dist B    22,750     12,487        0    147,300
E Cohen         Dist C    33,990     18,591        0     57,264
D Boykins       Dist D   126,000     55,556        0     96,400
D Martin        Dist E    43,900     17,226        0    123,730
S Le            Dist F     4,000      6,445   30,823     10,570
G Travis        Dist G    69,468     81,775   21,000     56,571
K Cisneros      Dist H    34,399      5,660        0     49,176
R Gallegos      Dist I    32,875     21,319        0     80,288
M Laster        Dist J    20,330      7,524        0    173,358
M Castex-Tatum  Dist K    15,375        339    3,788     43,822

A Parker                       0     10,383        0     82,854
L Green                    5,500     42,118        0     40,492
Lift the Cap PAC               0          0        0      3,987
Citizens to Keep               0      1,803        0     47,564
 Houston Strong

As you may recall, there wasn’t much in the way of fundraising for anyone except Mayor Turner last time. I don’t know if it’s due to the time of year, the approach of the next election, or the overall political climate, but as you can see nearly all of our elected officials have been busy. The report for Martha Castex-Tatum, who was elected in May to succeed the late Larry Green, is in a shorter period than everyone else since she had to post 30-day and 8-day reports for her cycle; the others are all for the full January through June time frame.

Looking at these numbers, only Jack Christie has acted like the term-limited Member that he is. Brenda Stardig, Jerry Davis, Ellen Cohen, and Mike Laster have been more or less business as usual. I’ve speculated before about the possible future ambitions they may have, and I don’t have anything to add to that. I’m sure there’s a reason why the three non-Cohen members have been stockpiling the loot like this, but until they do something tangible it’s hard to say what that might be.

Which doesn’t mean we can’t speculate at all. I look at what Dwight Boykins and David Robinson are doing and I wonder a little. Both are on the ballot next year for their final terms (as always, modulo future rulings in the interminable term limits litigation), and while Robinson had to fend off four challengers and win in a runoff in 2015, Boykins cruised home unopposed. It could be that Robinson is merely gearing up for the next battle while Boykins is doing his best to keep potential opponents at bay. It could also be that they’re looking beyond their next term to a time when both the Mayor’s office and the Controller’s office will be open seats. I have no idea and no evidence – like I said, I’m just speculating. Dave Martin is also in that “one more term and has a lot of cash” group, but we don’t tend to elect Mayors who fit Martin’s political profile, though perhaps Controller might appeal to him.

Be all that as it may, this is the first time since we switched to four-year terms and no blackout period for fundraising that we’ve seen incumbents establish a clear financial advantage for themselves. No one on the outside has yet taken a concrete step (like designating a campaign treasurer and raising their own money) towards running for a Council seat, but do keep in mind there are several now-former candidates for Congress in town who likely have some cash remaining in their coffers (sorry, I’m only checking on still-active candidates). Surely it would not be a surprise if one or more of them decided to act more locally next year. Given that possibility, it’s hard to blame any of the members who are up for re-election next year to take precautions.

The remaining reports I included because they’re there. As we learned after the death of El Franco Lee, the remaining funds in Larry Green’s campaign account are to be distributed by his campaign treasurer, whose name is Kevin Riles. As we see from Lee’s July report, there’s no particular rush to do whatever that turns out to be. I don’t remember what Citizens to Keep Houston Strong was about, but Bill White is their treasurer. I’m sure we’ll see plenty more PACs and PAC activity as we move towards referenda for firefighters’ pay parity and the revenue cap.