Top Stories: July 1, 2009

By Staff (Jul 01, 2009 )

Seven Santa Clara School Districts May Fail to Meet Financial Obligations
School districts in the southern Bay Area face a bleak financial future, according to California Superintendent of Public Instruction Jack O’Connell. At a talk given at San Jose’s Franklin McKinley School District, O’Connell reported that seven local school districts have qualified certification status, meaning that they will not be able to meet their financial obligations over the coming year or the following two years. He added that in the past two years the number of schools statewide with negative or qualified certification has quadrupled.

Local officials are investigating a variety of steps to overcome their budgetary problems, including increased class sizes and the cancellation of summer school programs. Read More at KCBS.

Decline in Traffic at Mineta Airport Likely to Lead to Further Budget Cuts
More budget cuts are likely for San Jose’s Mineta Airport, according to a report by the City Manager’s Office. Passenger traffic at Mineta this May was 19 percent lower than last year. Overall, traffic has been 15 percent lower this year, resulting in budget cuts and a 25 percent reduction in traffic. Read More at the Business Journal.

Green Jobs the Solution for At-Risk Youth
In an effort to help at-risk youth, the San Jose/Evergreen Valley Community College District’s Workforce Institute has received over $1 million in Recovery Act fundings. The money will be used to offer green job training and help them enter the workforce despite high unemployment figures. The program is one of eleven in the state to receive Recovery Act funding.

Other local recipients of funding include San Jose’s Opportunity Fund, which will receive $2 million. The Opportunity Fund offers needy local residents financial education, matched savings accounts, and affordable housing. Last month, the fund announced that it will be partnering with Kiva to introduce online microlending to local business initiatives. Read More at KLIV and the Business Journal.

Civil Rights Groups Protest Outside City Hall
About 75 activists called for “Conversation, not confrontation” in a protest outside San Jose City Hall yesterday afternoon. The demonstrators denounced what they regard as growing tension between the San Jose Police Department and minorities, who claim they are subject to more aggressive treatment by the local police. One of the organizers, Silicon Valley activist Raj Jayadev, had recently been mocked in a Youtube video posted by the San Jose Police Officers’ Association.

Many of the demonstrators wore T-shirts reading “THUG” as an acronym for “Trust builder, Healer, Uniter and Generator of Solutions.” A spokesman for the Police Officers’ Association recently called some of the SJPD’s critics “thugs.”

Mayor Chuck Reed, Police Chief Rob Davis, and two City Council members have agreed to meet with the protesters to discuss their grievances, but Jayadev said that he really wants to me with POA president Bobby Lopez. Lopez eventually agreed to meet Jayadev, but added that “I think he’s disingenuous” and condemned him for “ratcheting things up.” Read More at the Mercury News.

The Midas Touch
Attorney General Jerry Brown is suing the owner of 22 Bay Area Midas Muffler shops owned by Mike Glad of Modesto for $222 million. According to the charges, the shops ran a “bait and switch” advertising campaign to attract customers, and then charged them for unnecessary repairs and parts. Undercover agents who investigated the shops found that, on average, $300 in excess charges. Apart from penalties, the enormous sum sought by the attorney general is intended to cover costs and reimbursements to customers. Read More at KCBS.

Distinctive Neighborhood Wins Support of City Council
The San Jose City Council voted to continue working on a proposed Distinctive Neighborhood program. The program would allow local residents to vote to become a “Distinctive Neighborhood” in order to preserve the residential neighborhood’s historic character. Should residents votes to become a historic neighborhood, they would have a greater say in local zoning, including the replacement of small homes with larger buildings and the expansion of existing homes by more than one story. Opponents claims that it would infringe on homeowners’ property rights.

The City Council is now debating what percentage of local residents would be needed for the program to be implemented in their neighborhoods. Some, led by Councilman Sam Liccardo say it should be at 50 percent, while Councilman Pierluigi Oliverio suggests that this be raised to a two-thirds majority in order to protect local property rights. Read More at the Mercury News.

A New Tax on Marijuana?
Despite the raging controversy over the legalization of marijuana, Oakland may become the first city in the U.S. to impose a tax on local medical cannabis dispensaries. According to its supporters, the proposed tax could raise as much as $400,000 annually, a significant boon to the cash-strapped city.

Medical marijuana dispensaries currently pay $1.20 in municipal taxes for every $1,000 of marijuana sold. The proposed 1.8 percent gross receipts tax would increase this to $18 per $1,000. Councilwoman Rebecca Kaplan that this could save the jobs of 5-6 police officers.

The tax proposal will appear on the Oakland ballot next month. Read More at KABC.