From the MJ:

Smith criticized again for ‘embarrassing’ behavior

Councilman told to choose between seat, his personal beliefs.

By Jessica Heffner, Staff Writer 11:39 PM Tuesday, April 5, 2011

MIDDLETOWN — Councilman A.J. Smith found himself under fire again Tuesday night as another Council member said he must choose between his seat and personal beliefs.

During council member comments at Tuesday night’s meeting, First Ward Councilman Dan Picard told Smith he must choose between his personal beliefs and his obligation as a councilman. To date, Picard said he has been “impressed by (Smith’s) mature behavior and at times embarrassed to sit on the same council.”

Picard said he felt compelled to publicly confront Smith after the city was forced to provide extensive police security at Mayor Larry Mulligan’s State of the City address Thursday.

Before the speech, Smith was part of a rally against Ohio Senate Bill 5 and Mulligan’s support of some portions of the bill. It was staged out front of the Pendleton Art Center, where the address was held. The AFL-CIO — the same group Smith rallied to attend a December City Council meeting that addressed collective bargaining rights — held the event.

The event required increased security and four days of meeting and planning by city staff — costs Picard said Middletown can ill-afford at the expense of Smith’s political beliefs.

“As a councilman I don’t think that is appropriate given what we have discussed tonight,” Picard said.

There have also been other personal and financial costs to the city, Picard said, by Smith’s public run-ins with police and continual requests for extensive information from city staff. While City Council has no power to remove him — only a petition by the 2nd Ward, which Smith represents, can do that — Picard said Smith has not been able to put his “personal crusades” before the best interest of his constituents.

“For the benefit of all the citizens of Middletown it is time for you to decide,” Picard said during the meeting.

Smith said he does not intend to step down and that he is not on council for any “personal or self-gratification.”

Smith said his recent actions against Senate Bill 5 have been on behalf of his constituents — the middle- and working-classes — and he will continue to be their advocate.

“There are going to be some things you are going to be uncomfortable with, there are going to be things other people on this dais are going to be uncomfortable with. That is just the way it is,” he said.

Mulligan ultimately got in the last word about the rally when he subtilely tied the rally and Smith to Middletown’s budget issues — and the $1 million in deficit spending outlined for this year.

“We do not make light of it with demonstrations and other outside events that degrade the importance of it,” Mulligan.

Cuts may be ahead

During the Council work session, members received information that the city is facing a negative cash flow in 2011 due to rising personnel costs and decreasing revenues. The city will lose more than $221,000 this year and another $664,000 in 2012 due to state cuts to the local government fund.

Finance Director Russ Carolus said those losses coupled with the potential end of the quarter-percent public safety levy decimate the approximate $6 million Middletown has in its reserve fund and can lead to a loss of more than $1.8 million by 2013 if something isn’t done.

The public safety levy brings in roughly $2 million annually for the police and fire divisions through income taxes. It expires at the end of 2012. While councilmembers have indicated they will likely ask voters to renew that levy, it’s passage is uncertain.

Councilman Josh Laubach said the levy would be a hard sell to residents given that cuts to public safety may be unavoidable given the city’s financial state. He said the city’s personnel costs — about $24 million of the city’s total budget — are of particular concern.

“It’s not so much a revenue issue as an expense issue,” Laubach said. “We are spending far more money than we are supposed to.”

City Manager Judy Gilleland stressed that the city cannot afford to liquidate its reserve fund past 15 percent if Council hopes to foster projects such as a new Cincinnati State branch campus. A lower balance would negatively impact the city’s financial rating and ability to borrow funds.

Council set a special work session to discuss the budget May 5 at 5 p.m.