With Poll: Ann Arbor officials wonder: Do residents care more about parks than public safety?

"It's amazing to me, for example, that other than a few thinly disguised firefighters on the blogs, there was not a whole lot of conversation in the community about our potential layoff of firefighters," he said. "And we took 20-some police officers out of the organization last spring and - except for Main Street expressing their concern about bike patrols - we've had very little other input into what happened in terms of safety services.

"But as soon as we started talking about the opportunity or the idea of selling parks, we got a blaze of e-mails from concerned citizens about 'how dare you consider that,' and we understand that that's the politics of our town. It's a little befuddling at some times, but that's really the community that we live in."

As the Ann Arbor City Council met for another budget working session Monday night, Fraser was joined by Jayne Miller, the city's community services area administrator, to present information on a list of "big ideas" being considered to cut costs. Some of the ideas include selling parks and reducing maintenance.

Ann Arbor has more than 160 parks totaling more than 2,000 acres, and two millages dedicated to funding them - one for parkland acquisition and one for park improvements. But city parks also require about a $4.2 million annual subsidy from the general fund, a cost that's being closely examined as the city looks for ways to address a $5.2 million deficit in the next fiscal year starting in July.

"I don't want to see us harm the parks or the recreation system," Fraser said. "I think we've got more parks than we need, but I don't think we have enough recreation, and that concerns me."

The council informally gave direction Monday night to have city staff start the process of issuing a request for proposals to find a company willing to enter into a public-private partnership to operate the Huron Hills Golf Course. Miller said that will give the city solid financial information upon which to base its decision.

Because Monday's meeting was purely for discussion, no votes were taken on any issues, nor were any official decisions made.

Council Member Sabra Briere, D-1st Ward, said she thinks the "big ideas" presented by Fraser are actually small ideas that are aimed at making a case for a city income tax.

Ryan J. Stanton | AnnArbor.com

The joint presentation by Fraser and Miller was generally well-received by council members. But at least one, Sabra Briere, D-1st Ward, left the meeting questioning whether the cost-cutting options being considered are really "big ideas."

"I think these are a lot of small moves that are intent on pushing us into endorsing a new revenue source - I think it's a city income tax," Briere said. "I think the idea of having us look for revenue from selling parks is a one-time shot and not going to work, so the other possible revenue source we have been offered is a city income tax.

"But there are other revenue sources possible, including going back for a Headlee Amendment adjustment - not even suggested. I don't know why," she said. "Coupled with some changes in structure, it could bring in all the money we need."

A chart Fraser handed out Monday shows that, of $81.46 million in expenses projected for next year ($5.2 million of which needs to be cut), $64.8 million is discretionary - meaning the City Council has the authority to decide how it is spent. About 55 percent of that figure - or nearly $36 million - goes to police and fire.

Absent cuts to public safety, Fraser said, the impact on the rest of the city budget would be additional cuts of about 18 percent. Pragmatically, he said, the city can't hold safety services harmless.

Miller spoke on the topic of eliminating general fund support for parks, suggesting the city repurpose the park improvement millage to allow it to fund park operations. That millage, which brings in about $5 million a year, comes up for renewal in November 2012. In addition to asking voters to allow spending the millage revenues on operations, Miller said the city might consider asking voters to increase the millage.

City Administrator Roger Fraser says he doesn't want to make cuts that harm parks and recreation.

Ryan J. Stanton | AnnArbor.com

Fraser acknowledged he's hoping some of the budget changes being proposed get the attention of community residents. He said he thinks they won't realize the need for change if the city continues business as usual.

Fraser pointed out the city has trimmed more than $25 million in payroll costs from the budget over the last eight years by eliminating 239 positions.

Fraser also presented information Monday on annual payments the city receives from the University of Michigan. The payments amounted to $8.9 million last year, about $7.7 million of which was for water and sewer services.

Fraser said he's still counting on the city's labor unions to volunteer to take a 3 percent pay cut. He said it would save $1.275 million in the general fund, and about $2.245 million across all city funds.

At one point, Fraser criticized the failed policies of the Bush administration for contributing to the mess cities like Ann Arbor are in. He said Bush placed higher priority on investing in war than on domestic spending. Fraser said the federal philosophy of less government started with the Reagan administration and has trickled down to local governments that now are struggling to provide basic services.

Greg Hollingsworth, the city's interim fire chief, stepped to the podium briefly to say he and other senior city staff members continue to look at proposals for restructuring the fire department if staffing reductions occur. On the table is a potential elimination of 20 of the 94 positions in the department. 

Hollingsworth said that may force the department to take one truck out of service or possibly close a fire station.

"We know that there are communities in other parts of the country that are provided what appears to be adequate fire service without doing it exactly the way we do," Fraser said. "So my belief is that we ought to be in a position to explore alternatives, and some of those may be with fewer people."

Ryan J. Stanton covers government for AnnArbor.com. Reach him at ryanstanton@annarbor.com or 734-623-2529.