I agree with #1. Seen it firsthand. No one knows who's in charge, so they spend much of their time talking back & forth, not getting anything done. For example of new Columbia bridge.
Gutting the Office of Management and Finance is exactly what I would do if I didn't want any fiscal accountability...Our bondholders and auditors may vote with their feet.
The city is way top-heavy on mid-managers anyway, they could stand to trim some mid-management fat.