A grassroots effort to restore fiscal sustainability to local government is underway in San Luis Obispo. Citizens for SLO, a group comprised of San Luis Obispo community members, has begun a campaign to repeal binding arbitration and allow City Council to make changes to pensions.

Members of this group have all joined the fight against powerful public safety unions to ensure the future of San Luis Obispo remains vital. The group now has three co-chairs: Lauren Brown, a retired biotechnology entrepreneur and founder of JBL Scientific (now Promega Biosciences); John Ewan, a former San Luis Obispo City Council Member and local business owner; and April Strong, a local physical therapist.

“We believe in fair pay for city employees, but mandatory binding arbitration and the language in the city’s charter regarding pensions are fundamentally inflationary and flawed. Local taxpayers simply can’t afford to keep the current City Charter provisions in place,” Brown said. “We need to put local control back into the hands of local people.”

Last week, the City Council voted 4-1, with Councilman John Ashbaugh casting the only dissenting vote, to set a mail-only ballot for Aug. 30 to let voters decide to (1) repeal binding arbitration and (2) change a charter section that denies elected officials the right to make changes to employee pensions without first seeking voter approval.

A provision in the city charter allows police and fire unions to call in a third-party, outside arbitrator to decide on city/union contracts if the unions and city can’t reach an agreement after negotiations. This arbitrator, who has no local ties and does not have to worry about how taxpayers will pay for the reward, only decides one side over the other, and the arbitrator’s decision is mandatory.  

“Arbitrators are not mediators,” Brown said. “An outside arbitrator who is not accountable to SLO voters has arbitrarily decided SLO police officers should be given a 30 percent pay increase, which is costing the city $2.5 million annually in funds it doesn’t have. This is the problem with arbitration. There was no accountability, and we are stuck footing the bill.”

Another portion of the city’s charter requires that voters approve any downward changes in pensions. This provision forbids the City Council from applying common sense to the growing pension problem San Luis Obispo faces.

“A yes vote on both of these issues on the August ballot is the only way we can change this,” Brown explained. “We have to allow our local elected officials to do their job. Currently, they’re unable to make the financial changes necessary to let San Luis Obispo thrive.”

More information on these issues can be found at www.citizensforslo.org.