Despite skepticism by some city councilmembers that the mayor’s idea for outsourcing city services would save money, the San Diego City Council voted 7-1 Monday night to let voters decide the issue on November 7.
The vote followed hours of debate and opposition by city labor unions who fear the measure could cause more city workers to be laid off if the mayor is allowed to hire outside firms to perform maintenance in parks, or custodian services in city facilities.
Mayor Jerry Sanders calls the outsourcing idea as “managed competition” and frequently refers to it as reform.
The Council also voted 7-1 to let voters approve future pension increases for city employees. That measure was less controversial. District 2 Councilman Kevin Faulconer made the motion to put both proposals on the ballot. District 8 Councilman Benjamin Hueso voted against both measures.
Shortly after the 7 p.m. vote, Sanders returned to council chambers and thanked the council for placing both measures on the ballot.
“I’d like the thank the council. I think this will help our reform. It’s a tool we’ll use judicially,” he said.
Had the City Council not approved both measures, a costly signature gathering campaign would have resulted. Approximately 90,000 signatures are needed for initiatives to qualify for ballot placement.
Councilwoman Donna Frye said “I’m not particularly fond” of the outsourcing proposal, but added she voted in favor of it because Sanders won the mayoral election and “he’s entitled to place it on the ballot.”
“I would have done it differently,” Frye said. “I will be giving the mayor the courtesy and having the voters decide the issue. I don’t think it will solve the unfunded (pension) liability.”
Councilman Tony Young said he didn’t believe there would be any savings by outsourcing.
“When I hear people say we ought to run the city like a business, I say, ‘This is not Wal-Mart. Nobody does it better than city employees,” Young said.
Hueso said he opposed the measure because it might turn out that city workers did jobs better, but after firing them, asked, “How do we get our city staff back?”
“Managed competition is something I don’t think we need,” Councilwoman Toni Atkins said.
“We need reform and this is one of the ways we are doing it,” Councilman Brian Maienschein said.
The mayor has said that laid off city workers should be high on the list to get their old jobs back if they work at a firm being considered for outsourcing.
Carl DeMaio, who is president of The Performance Institute, told the council they “stood in the way of reform” if they voted the measures down.
Another speaker, Andy Berg, said “managed competition is not a bad idea ” the concept is sound.”
“This is going to affect every employee,” said attorney Ann Smith, who represents one of the labor unions.
“These two ballot measures are a slap in the face of the unions,” said Hud Collins, who added the city is “already outsourcing” by hiring outside legal representation in the ongoing financial investigation.