Outsource It – Must Watch Video!

Thanks to Harold for finding this SHOCKER of a video…

After you watch it, come back and lets talk.

I believe this is possible for Chico. Several years ago we brought you a similar story about New Zealand. They were mired in debt and taxes had hit a point of resistance, they were maxed out. Then a daring politician decided the socialist model was all wrong and he convinced the taxpayers they need to look at privatizing almost everything. They agreed, thinking it probably couldn’t be any worse, so they gave their politicians the green light…REFORM EVERYTHING! And that they did!

Government jobs were cut back or eliminated as private sector jobs were created. A great job shift took place and of course some folks were forced to change careers or create small businesses because they were completely phased out of government service.

It didn’t take long for NZ to start paying off their massive debt. New projects got done quickly, it was incredible to see so much change, and it seemed everything was being done better than before. The people were thrilled and amazed…and it was all done thanks to one basic concept, almost everything can be done better, faster and cheaper in the private sector. It just requires the will, a little effort and some courage to trust in capitalism.

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19 Responses to Outsource It – Must Watch Video!

  1. Libby says:

    No, don’t watch the video. Go read the wiki entry for Sandy Springs. It borders on Atlanta, fer pity’s sake. They got tax revenue up the ying-yang, and you ain’t in their league … at all. They’ve not outsourced their police or fire. They’re running one very hoity traffic control system … and:

    “Sandy Springs is home to over 8,000 business and the headquarters of 3 Fortune 500 companies. United Parcel Service,[26] Newell Rubbermaid,[27] and First Data are all headquartered in Sandy Springs. Global Payments, Inc., Mirant Corp., and Spectrum Brands which are Fortune 1000 companies, are also based in the city. The city is also home to Children’s Healthcare of Atlanta, InterContinental Hotels Group, IBM Internet Security Systems, Northside Hospital, Porsche Cars North America and Saint Joseph’s Hospital.[citation needed]

    “The city’s largest business district is the Roswell Road corridor and Perimeter Center (although Perimeter Mall itself lies in adjacent DeKalb County). Perimeter Center, which is the biggest edge city in the Atlanta area, includes many high-rise buildings, including the 570-foot (170 m) Concourse Towers, which are often identified locally as the “king and queen” towers because of their distinctive architecture. Just south of this business district, across I-285, is a major medical center, anchored by Northside Hospital, Children’s Healthcare of Atlanta, and Saint Joseph’s Hospital.[citation needed]

    “AFC Enterprises (owner of Popeye’s Chicken) and Focus Brands (owner of Cinnabon) have their headquarters in Sandy Springs.[28][29][30] Church’s Chicken has its headquarters in Sandy Springs.[30][31] First Data has its headquarters in Sandy Springs. Cox Enterprises and subsidiary Cox Radio are headquartered in Sandy Springs.”

    All you got is the University (but are you grateful?) and a lot of corporate aggers who’d rather pay lawyers than pay taxes.

  2. Tina says:

    What a great town! No debt…stuff getting done. The sense that tax dollars are being spent and managed well.

    It was a lot easier starting with a newly incorporated town…and they will have to be vigilant to keep it 🙂

    Thanks for this great uplifting story guys…I needed a good story tonight.

  3. Princess says:

    I’m not so sure about that. It seems to me that privatizing prisons hasn’t saved money. We have privatized part of the military and that hasn’t been more cost efficient.

    It seems to me that if you sell to the lowest bidder you get crummy service, but the service we get from public entities for our millions isn’t great either.

    Did you know that the DMV in Chico does not have a public restroom? People can wait there forever and there isn’t even a bathroom in a public building. I find that ridiculous, especially since I went to the DMV office in
    Red Bluff and they do have a bathroom for the public to use.

    I know I don’t want to privatize law enforcement or fire protection because I don’t trust that it will be as well done.

    Just some thoughts.

  4. Zed says:

    Excellent. Is anyone (besides the usual gang of progressives) surprised this is so successful?

  5. Sue says:

    Wow, could this work for Chico? We need to get this video to all of our conservative candidates for Chico City Council.

  6. Post Scripts says:

    “No, don’t watch the video.” Libby

    What harm could it do to watch the video? It’s only about cost savings.

    Libby it doesn’t matter what Fortune 500 companies are located in the city. This is merely about what they were spending and getting for their money. They changed the way they do business and now they are happy with the end results. You really should allow yourself to watch the video…it won’t hurt you.

  7. Tina says:

    The state of Louisiana is a good case study on prisons, private vs. public:

    http://204.62.19.52/offenders/ocjrc/97_98/Cost%20Effectiveness%20Comparisons.PDF

    The state of Louisiana built three identical medium maximum security prisons in the late 1980s. The first to open was the state operated Avoyelles Correctional Center on June 19, 1989. Winn Correctional Center, operated under contract by Correctional Corporation of America to the Louisiana Department of Corrections, was the next to open on March 19, 1990. Last to open was Allen Correctional Center on December 4, 1990, operated by Wackenhut Corrections Corporation under contract to the Louisiana Department of Corrections. In effect, the state of Louisiana created a field experimental laboratory for the study of privately operated versus publicly operated prisons. However, the state did not plan for any systematic collection of data that could be used to evaluate the comparative effectiveness of these three prisons. Consequently, in order to structure a cost-effectiveness evaluation of these three prisons, it was necessary to use secondary data which were derived from formal reports submitted by each prison to the Louisiana Department of Public Safety and Corrections and from budgetary/auditing records of the DOC.

    Some of the results make for an interesting comparison:

    Significant differences were found in numbers of employees hired, the proportion and distribution of female staff, and the proportion of minority staff:

    Avoyelles employed 384 correctional personnel24% female and 18.5% minority;

    Allen employed 335 correctional personnel37% female and 32% minority;

    Winn employed 340 correctional personnel42% female and 50.3% minority.

    All three prisons were found to adequately satisfy the goal of protecting the public in terms of protecting visitors to the facility and preventing escapes. However, Avoyelles reported zero escapes for 36 months of reported data, while Allen reported four escapes for 44 months of data, and Winn reported five escapes for 46 months of data.

    The two private prisonsAllen and Winn Correctional Centerssignificantly out performed the publicly operated Avoyelles Correctional Center on the vast majority of measures used to compare the three prisons. Both private prisons were found:

    To be significantly more cost-effective to operate by between 11.69% to 13.8%, based on the average for the past five fiscal years; Allen cost $22.93 per inmate per day, Winn cost $23.49, and Avoyelles cost $26.60

    The private prisons also reported safer work environments, fewer critical incidents, and more inmates completing educational, literacy and vocational training courses.

    Not only were private prisons less expensive to run they were also more effective in dealing with prisoner problems and needsmore bang for the buck.

    Privatizing some military operations is a subject of great debate. This link below offers both perspectives.

    http://static.ilsr.org/voice2004/privatization/militarypriv.html

    I imagine it boils down to some operations being more cost effective when done privately. This has been going on since the Clinton administration. By now they should have some idea which operations to privately contract. If they don’t…well, we all know about the incompetence and waste in government. At least when the government agrees to a contract if the private company ends up spending more and making less in profit it is their problem.

  8. Joseph says:

    Chico desperately needs something like this.

    I suggest we start by outsourcing the new city manager.

    That could save us a quarter million dollars a year in salary alone. Throw in benefits and the other costs to employ this person and the real cost is probably double that.

    Next we should abolish all the Schwabsicle task forces and bureaucracies. And no more of this idiocy with “art.” This would literally save the city a fortune.

  9. Libby says:

    Well, I could have more clearly said, “don’t stop at the video, which is all happy talk.” Go further and make some factual investigation into the particulars.

    Facts: Police & Fire are the big ticket items in any muni budget. Sandy Springs does not outsource these functions. So what are we talking about, really? Not much, really.

    Except … the opportunity to vent along Joseph’s line. Joseph, if you want someone to “city manage” Chico for $50k … you’ll have to do it. You game?

    The city council probably isn’t though … it would be very irresponsible of them.

  10. Joseph says:

    Shivering Schwabsicles, Libby!

    We don’t need a city manager that costs us a quarter million in salary alone and when you add in benefits and other costs it’s probably double that.

    You would have a line of qualified candidates at less than half the compensation.

    The goal of your beloved gummit bureaucrats shouldn’t be to walk out of government employment as multi-millionaires.

  11. Joseph says:

    Except … the opportunity to vent along Joseph’s line. Joseph, if you want someone to “city manage” Chico for $50k … you’ll have to do it. You game?

    If I could fire the woman who refuses to produce the monthly finance reports, shut down nonsense like the STF and the other Schwabsicles, I’d take the job for no pay.

  12. Tina says:

    Re: not outsourcing fire and police and these being the “big ticket items”.

    Maybe not. Do we know whether their police and fire are union and even if they are were they reasonable in their negotiations for salary, pensions, and medical?

    It may very well be that the city was smart enough to bargain keeping the taxpayer (employer) in mind and watching the bottom line.

    And get Libby… defending big city manager (CEO) compensation.

  13. Libby says:

    “You would have a line of qualified candidates at less than half the compensation.”

    But you didn’t. Right?

    We’re all getting very tired of all this snivelling about how it should be, when you won’t exert yourself to make it so. Will you take the job for $50k? Could you persuade anyone you were competent to do the job … even for $100k?

    If you can’t do the job … and those who can demand the market rate … at least $200k … what is all your whining about? … just a lot of pointless resentment … and we, being Americans will graciously consent to listen … and then tell you that you are wasting your energies, and our time.

  14. Joseph says:

    But you didn’t. Right?

    How would we ever know? Did our local politicians even try to offer the job for half the compensation? It seems they were too busy giving away the store to this our new bureaucrat.

  15. Libby says:

    I’m gonna say it again. If you want to be a player, in on all the gory details, run for the council.

    To expect such a candidate search to be conducted in broad daylight is very idealistic but, alas, unreasonable. Prospective candidates cannot be expected to jeopardize their current position, in the search of a uture position. Prospective employers don’t want to slammed for poaching. It’s a delicate business, requiring the prudence, discretion and integrity of professionals … not the stomping and whining one sees in other venues.

  16. Joseph says:

    I’m sorry Libster but we can’t afford these bureaucrats.

    Maybe if everyone were a limousine liberal with a fancy pants skull mug (sound familiar?) the story would be different but most people are just plain folks.

    We are paying a fortune for these bureaucrats. The pensions alone for Lando, Burkland and now the new bureaucrat are unsustainable.

    It’s bad enough that we can’t afford what they already shovel at us BUT they keep making it more expensive:

    “The other night the Chico City Council signed a new city manager at $217,000 a year, plus benefits. Thats an increase of about 14 percent over retiring city manager Dave Burklands salary. Meanwhile, the median American income, according to the census bureau, has fallen by 7 percent. In Chico, the 2010 figure for median income was about $38,000. Seven percent would be a hit of over $2500. OUCH!”

    http://chicotaxpayers.wordpress.com/2012/08/23/measure-j-thats-ann-schwab-sliding-her-hand-into-your-purse/

    And guess what, Libster? Hemet (where the new bureaucrat used to work) just hired themselves a city manager for much less than what Chico is paying this new bureaucrat.

    Everyone of the city council members should be recalled over this new hire.

  17. Libby says:

    We’ll be looking for you outside the TJ’s with your clip board!

  18. Post Scripts says:

    Libby, I am meeting tonight with some local citizens to find ways we can help our candidates for city council. They need all the help they can get, because they are up against a tough group of liberals, some of them are determined to win by any means.

    Morgan, Schhindelbeck, Coolidge, Evans and Donnan. They are all decent people and would make great council people if they can be elected.

  19. Libby says:

    “…some of them are determined to win by any means.”

    Please. Don’t you know how … silly … that sounds?

    If your candidates can get themselves out and about … and make some sense (as opposed to the paranoid hyperbole we’re all getting really tired of), they’ll get votes.

    Enough votes? Well, it’s a college town. Thinking people live there.

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