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City Manager's 2005 Budget Memo Page 6 of 27 years especially, it has also become commonly expected that city governments will play a significant role as stewards for the economic development and redevelopment of their community. You can be safe, able to get around within a reasonably vibrant local economy that includes a framework of basic utility and new commu- nication technologies, yet have no sense of community or place. Lei- sure and recreation activities — sponsored, funded, or managed by cities -- help to build and sustain a healthy and wholesome sense of place and togetherness. Finally, none of these functions operates alone. Payrolls must be met, bills paid, budgets set. Sasic personnel rules for hiring, disciplining, or firing city employees need to be developed, revised, and applied. In addition, citizens increasingly expect broader and deeper commu- nication from and with their government about activities that may af- fect their lives. Elections must be held with scrupulous fairness. These are some of the vital support functions that require some level of city funding. B. Tax Levy Policies. The Council has a long-standing policy of not increasing on a cumu- lative basis the city's tax levy above the general rate of inflation. This is a great policy ... so far as it goes. Sut experience also suggests the need to supplement that policy: I believe we need a budgeting norm that says the city's tax levy should parallel the rate of inflation year- by-year so that the city does not find itself playing a losing game of "catch-up" with inflation. I believe this principle of paralleling inflation is consistent with the expectations of our residents and their willingness to pay for city services. Our residents understand, probably more than we give