Go to a counsel meeting and see if revenue is down or if they have to dip into reserves for basic functions. Everyone wasn't adversely affected by the recession (which if you haven't heard was viewed as over by some in June 09) Maybe they are doing better than they expected, as a lot of cities did defy the odds last year. I live in a different area but I got my COL increase last year and expect to this year as well. Huntsville I know definitely weathered the downturn well.
Anyhow, I hear what you are saying, but at the same time, the thought that government should only tax just enough to pay it's bills is frankly juvenile and is a big reason why a lot of cities ran into trouble during the downturn. You have to have a buffer, be it for acts of god, economic downturns or whatever. I'm not saying that they should have millions upon millions in the bank but enough if the worst happens. Have you looked to see what type of surplus they have, and why do you think it's excessive?