Lawsuits Expected as Fiscal Year Ends

It’s the final day of the fiscal year, which means many people who work for the city, county and state will be out of a job starting tomorrow. It also means lawsuits are on the way.

Of the hundreds being laid off here in San Jose are 70 police officers, almost all of whom make up the youngest demographic of the force.

George Beattie, president of the Police Officers Association, penned a scathing letter blaming city officials for not putting public safety first and endangering citizens. He notes that Mayor Chuck Reed put aside $3 million for pension reform ballot measures that could have saved the jobs of 27 officers. Almost everyone at City Hall—the mayor, councilmembers, City Attorney Rich Doyle—admits any ballot measures to reduce retirement benefits will likely lead to lawsuits.

But with controversial budget decisions being made at the state level, San Jose is planning to become a plaintiff in another lawsuit. Gov. Jerry Brown signed a bill that is expected to eliminate the state’s 398 redevelopment agencies, and Reed reportedly said the city plans to join the California Redevelopment Association and the League of California Cities in their legal challenge to the bill.

Last month, Harry Mavroegenes announced he was resigning from his executive director role with the San Jose Redevelopment Agency as it transitions to an eight-person staff that will do little more than manage its properties’ finances.

Josh Koehn is a former managing editor for San Jose Inside and Metro Silicon Valley.


  1. He blatantly lies and says that the rise in crime has nothing to do with fewer police.  I wonder how many Kool-Aid drinkers are going to come on and try and defend that position. The percentage of pie-eyed Reed believers will steadily diminish over time as the city slides farther and farther into a cesspool though.  Hell, even the Assistant Chief of Police recognized that it was a good time to accept a job elsewhere and she’s going to Hayward.  Smart move since the captain (Chief of Police) has to ride the ship to the bottom.

  2. “From very reliable sources, REED is being investigated by the Fed’s along with other City Administrators.  Something about Cooked Books…..”

    I hope what you are saying is true. I’ve been saying all along that there needs to be an investigation to find out how this city, which SHOULD be very wealthy, is broke. It does not mesh, no matter HOW you look at it. The unions did not do this, but Chuck is pointing the blame at the unions to throw off the hound dogs as to the REAL cause of San Jose’s financial problems. Something else caused it and someone needs to find out how it REALLY happened. I truly hope what you have stated is true because everyone needs to know the truth. Those responsible needs to pay for what they have done to this city. Mayor Reed should be so proud that under HIS watch, the City of San Jose, for the first time in history, is broke and had to lay off police officers. First time in history. What a loser.

  3. First I would look into how the PD was consistently forced by City Hall to make sure their stats supported the “Safest Big City” designation year after year.  That only collapsed when the numbers couldn’t be fiddled with enough to keep San Jose at the top.  Then I would look at all the money shuffling being done at City Hall to keep all these entitlements afloat.  Third, I would look at the back room deals being made to facilitate this ball park, and quite frankly the HP Pavilion back when. 

    Reed and Figone have lied to and misled the citizens of San Jose long enough.  Somebody needs to bring down this dictator and his band of thugs.  He has completely convinced the public that he is slashing services for their own long-term benefit.  The only people benefiting from Reed and Figone’s Draconian measures are themselves.  Time to send Mayor Skeletor and George Burns sister packing.

  4. I see you have done the math.  San Jose has a HUGE tax base but yet no money is left for services.  How could a city with such a large tax base have no money, it’s not from large retirements of it’s workers.  I think REED needs to look at his glass house and the rocks that he throws.  Yes other people are very aware of REED’s antics and they too can’t figure out why a city of this size and as affluent that it claims to be has no money to operate with. 

    As REED is a shyster and is used to lies and deceit, he can’t expect to keep up this game any longer.

    I will certainly Tivo the proceedings for posterity. 

    Actually the City is not broke, REED wants you to think that.  Then when enough time has passed, he will declare that his “plan” worked and claim victory as to fixing the fiscal dilemma all by himself.  He will show the other set of books that him and “Dragon Lady” Figone have hidden away which will show how much money the city has in reserves.

  5. Cold?  REED is so stiff you could use him as a Surfboard.  His day is coming, soon he will be doing lots of jail time with Bernie Madoff.  From very reliable sources, REED is being investigated by the Fed’s along with other City Administrators.  Something about Cooked Books….. 

    San Jose has had a MAJOR Fiscal Meltdown since REED and his cast of Court Jesters have taken charge.  I am sorry to hear about the Cops that were laid off.  George Beattie hit the nail on the head with his article. 

    Good Luck Chuck, you have made more enemies than just the cops.  Think about the TAXPAYERS FOOL! 

    Welcome to East Palo Alto, Oakland, Richmond, Detroit, South Central LA.  REED has turned San Jose into the next murder capitol of the US, Excellent work REED. 

    Outsource,  Outsource   Outsource!

  6. As much as most of you dont know, chuck reed was a consultant for the City of San Diego to do away with Binding Arbitration. He screwed up that city and now San Jose is next. If you live in that city, get out is going down fast and no one is going to save it, sure not the Police or Firefighters.  Just watch the murders go up and Fire damage go up! I have left, if you were smart you would too!

  7. I have read the commentaries by the previous authors and I am appalled to the degree uniformed people, using aliases, can spew libelous and or other defamatory remarks without being held accountable.

    I have often disagreed with Mayor Reed’s policies, opinions and decisions.

    For example; there were numerous other positions that could have been sacraficed to save the sixty-seven (67) Police Officers. Mayor Reed could have eliminated the six (6) Senior Policy Advisors (including a sitting Milpitas Councilmember) from his Office budget. He has steadfastly refused to do so.

    Mayor Reed also wants to maintain the “quality of life” as he sees it for the taxpayers without having the money to accomplish this mission. So, he rearranges the budget without concern for the Police or the Fire Departments. Mayor Reed gets to do this because, unlike others, including myself; we did not get elected to be the Mayor and have the ability to convionce five (5) other Councilmembers to vote his way.

    As to the retirement debacle, Mayor Reed should fess up on his own. Afterall, he has had twelve years and counting on making decisions not to fund “unfunded liabilities”. Now, without “projected revenues” coming in, his administration is in a world of sewage and the city is teetering on the edge of bankruptcy on this issue alone.

    Further, Mayor Reed should also make declaratory statements of fact representing how much taxpayer money he voted to give “special interests” like Community Based Organizations. I believe last fiscal year the sum was $36 Million while knowing full well of the impending budget deficit.

    We could also talk about the “botched Team San Jose” cost overruns-no one was fired for this scandal. How about July 1 with $40.2 Million for interest payment alone on the Airport expanison-that is if the debt service was not restructured on one of the last Council meetings in June.

    Of course if the previous authors were to really get peeved, they should have commentaries on how Mayor Reed voted for Redevelopment projects like the land aquisitions for a baseball stadium or even trying (in vain) to stop the death sentence of all Redevelopment Agencies by Gov. Brown.

    I could add my pet peeve of the Mayor loading up the “Consent calendar” with forty (40) plus items and only giving a citizen two (2) minutes to speak for the entire contents on the “Consent calendar”. But, this as well as the aforementioned, in their entireties, are decisions made by Mayor Reed and some of them are just blantanly wrong decisions.

    But, wrong decisions and or decisions I don’t agree with, do not attack the Mayor’s steadfast character in that I have never known his Honor to; “Lie, Cheat or Steal, or to have anything to do with anybody who does.” Further, he is a good and decent American, a good family man whose daughter is a bonified war heroine, and a patriot whose service record to the nation is above reproach. His service to San Jose, well, it is not over yet.

    To the previous authors whose uniformed, libelous and defamatroy comments were made, a caution is hereby given and an invitation to attend all six (6) standing Committe meetings, City Councilmeetings and any other “special” meetings at city hall and report back on your findings after a few seasons.

    Mayor Reed is a “good guy”, he just makes mistakes from time to time, just like all the rest of us.

    David S. Wall

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