Government
Feb. 10, 2012
Municipal outsourcing increasingly attractive
Municipal outsourcing offers cities and counties a way to provide services to residents during austere times, but it can carry a host of legal and political difficulties.
Daily Journal Staff Writer
It was 2009, and San Carlos was in a tight spot.
The city of 30,000 residents faced a $3.5 million budget shortfall, the result of fiscal problems stretching back nearly a decade to the bursting of the dot-com bubble. Sales, property and hotel tax revenues were down, and the city had steadily chewed away at its reserves.
"Each year, the city would make cuts and then use reserves for the b...
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