State: Want Aid? Tighten Controls

After reading the new state rules for transitional aid (formerly extraordinary state aid), I can see why the administration may not want to apply.

Localities have to demonstrate strict fiscal prudence, meaning no discretionary spending and curtailing costs for city services. Click here to read the full document.

The city spent the last six months of FY2010 under similar controls due to a Memorandum of Understanding that was tied to the $250,000 in aid received. The city had asked for $3.5 million. All municipal spending on food and parties had to be halted, among other constraints.

Without new restrictions, the administration can resume its pattern of adding food to public events such as the annual Holiday Tree Lighting and many others. Meanwhile, the city still lacks the two key employees that are mandated to examine and guide spending, a chief finance officer and a finance director.

Although the administration said the reason for the decision not to seek aid was to speed budget passage, Councilman Adrian Mapp correctly pointed out the other side of the coin: No reins on spending for food, parties and other amenities. The only thing the governing body can do is raise objections, but the administration will have the last word, unless citizens also demand an end to the partying.

--Bernice Paglia