News Blip

Just the Facts, Ma’am

Unemployment is stuck at a rather high 4.8% for the last 5 months in SD County, 5.6% in CA and 4.7% in the US. Hospitality & leisure jobs increased by 4,100 and construction jobs dropped by 5,500. Financial activities lost 900 jobs, including real estate financing. As usual, of late, the jobs that pay a living wage are replaced by underpaid service jobs. Who has the figures for RE agents & brokers leaving the business?

Muni bonds downgraded: Standard & Poor’s downgraded the insurer ACA Capital and hundreds of municipal bonds that it had insured. Fitch Ratings warned of similar actions. As insurers struggle, the already endangered bond market suffers. Many asset backed securities are heavily tied to subprime mortgage loans. Fitch, S&P and Moody’s Investors Service have all downgraded billions of dollars worth of debt over the past six months. Our cities are already struggling with reduced property tax income, increased unfunded mandates from the State, and now reduced ability to borrow. We all face some difficult times ahead.

Fire prevention still an issue: San Diego Association of Governments’ (SANDAG) board voted 19-0 to direct its regional planning committee to open talks with federal and state wildlife agencies on the matter early next year. It is hoped that vegetation clearing may exceed the usual 100 feet where warranted, but wildlife habitat must also be protected. Expect a bureaucratic delay in any actual changes, but ultimately we will probably be safer from fires.

Water supply: good news & bad. You probably know that because of an endangered fish in Sacramento, we expect to lose 30% of our water from that source. The latest ruling of a federal judge upholds that decision but the State is still reviewing the matter. The good news is that after 2 1/2 years, regional officials from CA, AZ and NV are agreeing upon a water allocation plan for the Colorado river water. Despite an 8 year drought, Southern California will receive a generous allocation and a large share of water stored in Lake Mead if necessary. It’s clear that we will have to cut water use. Citrus farmers are already feeling the pain. It’s not clear that anything will be done to reduce new housing development and additional strain on our limited resources.

The City of Lemon Grove is considering the purchase of a historic (no official designation) building adjacent to City Hall to be used as additional office space. There are pros & cons. Pro: the City needs more space; could preserve the building; would have help from the Historic Society… Con: it’s expensive- likely $2M+ to purchase, renew & equip; there may be less costly alternatives; it’s uncertain how much space the City will actually need. Public discussion was calm at the Council meeting with the Historical Society in favor of the purchase. Further consideration and professional assessment are expected.

East County areas such as Spring Valley are governed by the County with the guidance of Planning Committees. These committees have no authority, but their intimate knowledge of the local area is valuable to County Planners who make decisions about zoning, road building and other infrastructure considerations. If you are considering residence in a County area, you may wish to consult the local planning committee members for advice and background on the area.

Regarding County Planning, particularly the 9 year old project called the 2020 Plan, there is much controversy. It should have been finished by now and heads are rolling.Deputy Director Ivan Holler left this year for another job. Planning Director Gary Pryor was given an hour to clear his office after Supervisor Dianne Jacob became unsatisfied with progress. Pryor retaliated, insinuating the Supervisors were delaying progress to grant waivers to certain citizens. In any event, property owners and developers are in limbo, unable to build under existing liberal rules knowing that they will change unpredictably at an unknown future time.