Unemployment may still be above 10 percent, but San Jose still leads the nation as the second best place to find a job, just behind Washington, DC.

The City of San Jose is facing a whopping $100 million deficit for fiscal year 2010-11. Something’s got to give. Actually, a lot more than “something” has got to give, be cut, and/or taxed.

The Wall Street Journal recently ran a front page story that questioned the way in which American cities will be run and defined in the future.  In his piece, reporter Conor Dougherty raised a number of issues that need to be addressed here in San Jose.  Dougherty highlighted the troubles and travails of Mesa, Arizona.  He cited Mesa Mayor Scott Smith’s belief that city service levels for his city will not return to prerecession levels for a long time, “if ever.”  In an effort to cut costs, the City of Mesa has gone as far as to hire civilian investigators to do some after-crime reports and investigations, tasks previously done exclusively by police officers.  “‘We are redefining what cities are going to be,’ says Mayor Smith.”

No one questions whether Peter Friess did a great job turning San Jose’s Tech Museum of Innovation around. He might claim that much of that is thanks to the work of Birgit Binner, a graphic designer he hired as a consultant, whose job was “to establish The Tech Museum as an immediately recognizable brand.” The problem is that Birgit Binner, who receives a $400,000 salary for her two-year contract, is also Friess’s wife.

Last week, Metro’s Fly reported that Sarah Palin might be coming to San Jose to speak before the Silicon Valley Chamber of Commerce.  One San Jose Inside blogger promised to bring a “box of tomatoes” if she does. If Sarah Palin really does come to San Jose, should we bar our doors and hide the children?

Dear Santa,

I know this is an unusual request from someone far too old to believe, but I truly want to think that you can help. The situation is dire and no one else seems to have the answers. See, Santa, our public school system is vulnerable to collapse if we do nothing to make it brighter. The children you do so much to make cheery this time of year continue to wallow in a school organization stuck in mediocrity. And that is not good enough, especially today.

The Council punted the Redevelopment Agency (RDA) budget last week to February 2010. As has already been highlighted in the news, the state is taking $75 million away from San Jose’s RDA. We need to pay the State off in May and identify where the money is coming from in March (no negotiation or payment plans on this matter are allowed by the State). The legislature, recognizing that this payment would be difficult for all RDA agencies, allowed for borrowing from affordable housing money which is 100-percent funded from RDA. Twenty percent of all RDA money goes off the top to the Housing Department in San Jose.

Ever get the feeling that there are way too many potholes in San Jose? Despite all the stimulus money pouring into Silicon Valley for shovel-ready projects, the region still has the second-worst roads in the country, topped only by Los Angeles—though it is tied with San Francisco and Honolulu. A report just released by the National Transportation Research Group claims that 61 percent of Silicon Valley’s roads and highways are in a state of disrepair.

Fly has heard that the San Jose Silicon Valley Chamber of Commerce is pushing to nail down none other then Caribou Barbie herself, Sarah Palin, as the main speaker at their 2010 Annual Legends and Leaders gala. The event is the Chamber’s premier fundraising shindig, attracting hundreds of the valley’s key leaders to the Fairmont each year.

Last week, KLIV Radio reported that NBC Sports has learned that the National Football League is encouraging both the 49ers and the Raiders to play in the proposed Santa Clara Stadium.  Will the Raiders and 49ers both call Santa Clara home?

The possibility of the Raiders (or another team) making partial or full use of the Santa Clara Stadium is not really “news.”  The E.I.R. and Stadium Term Sheet both allowed for the possibility.  The Stadium Term Sheet reads, “49ers Stadium Company will have the right to enter into a sublease with a second NFL team, on terms and conditions consistent with and subject to the stadium lease.  Conditions of repayment to the city, forgiveness of advances, and additional revenues to the City of Santa Clara are defined in the term sheet’s outline of conditions.

Whoa! The achievement gap continues to be a very controversial topic to many SJI posters. I was the guest of my wife, Chris, last Wednesday at San Jose’s Downtown Rotary Club. She invited me because County Superintendent Weis was the luncheon speaker presenting about SJ2020 (a City and school district initiative to close the achievement gap), currently in its embryonic stages. When Superintendent Weis participated in the Q & A immediately following his 20-minute talk, the first question from the audience was predictable

The City of San José is facing yet another year of budget deficits. The projected deficit for FY 2010-2011 is over $100 million. We have cut the fat out of our budget and have laid off City and Redevelopment Agency employees. Our situation has been further exacerbated by the terrible job the state legislature did of closing their deficit by taking funding from local municipalities. Unfortunately for the City, we cannot do the same. We must make difficult decisions and have the courage to change our approach to budgeting.

Last Tuesday at the council meeting, we spent approximately 90 minutes discussing the Teamsters Union at the Convention Center. Long story-short, this is a labor dispute between two different union locals that will be settled by the National Labor Relations Board. However, in the meantime, the Convention Center (which is the largest source of the City’s hotel tax receipts and drives airport traffic) is getting negative PR which is affecting prospective convention business in San Jose.

Happy Hanukkah. This is San Jose Inside’s weekly open forum, where comments and opinions on any topic are welcome. What’s on your mind?

The problem isn’t the police; it’s the people. That’s the underlying theme of a controversial editorial that appeared in Protect San Jose earlier this week. The piece was written by attorney Terry Bowman, who represents one of the officers involved in the videotaped beating of Vietnamese student Phuong Ho this September.

As complaints about the San Jose Police Department’s use of force play out in both the traditional and the social media spheres, calls continue for the resignation of “the man we all love to hate,” as state NAACP president Alice Huffman introduced San Jose’s police chief at a community event on Saturday, Dec. 5.

For Rob Davis, who is fighting to keep his job, winning this latest round means shifting attention away from the actions of his officers and towards a more nuanced discussion about public policy, community attitudes, media missteps and the ambiguity of grainy video clips.

Chuck Reed is expected to announce today that he plans to run for a second term as mayor of San Jose. In a prepared statement Reed will announce that he plans to continue focusing on developing the city’s economy and promoting it as a center for clean tech development. He also intends to bring greater transparency to City Hall and overcome the achievement gap in the city’s schools.