HomeMy WebLinkAbout6/1/2021 Item 6a, Scott Staff Agenda Correspondence
Council Agenda Correspondence
City of San Luis Obispo, Council Memorandum
DATE:June 1, 2021
TO:Mayor and Council
FROM: Rick Scott, Chief of Police
VIA:Derek Johnson, City Manager DJ
SUBJECT:Item # 6.a. Adoption of the 2021-23 Financial Plan
A few Councilmembers have asked about the Police Department budget and the purpose
of this memorandum is to provide an overview of the annual budgetsfrom FY 2010-11 to
FY 2020-21 (10-year overview), and some details on the upcoming 2021-23 Financial
Plan.
The department’s budget includes salaries and benefits for employees that are both
sworn and non-sworn; these employees belong to various bargaining units which include:
SLO City Employee’s Association (SLOCEA), Unrepresented Management Employees,
Police Staff Officers Association (SLOPSOA), and the Police Officers Association (POA).
In general, salaries are determined by pay scales and pay for performance (for the
Unrepresented Management Employees) as negotiated through collective bargaining.
Benefits include uniform pay, holiday pay, health insurance, and retirement contributions.
Both salaries and benefits have the ability to change based on MOA negotiations or City
contribution changes to health, PERS, etc.
In addition to salaries and benefits, the Police department’s budget includes “non-staffing”
accounts which are used to purchase items such as office supplies, safety equipment
(flashlights, gloves, flares, batteries, etc.), maintenance repairs, fuel, printer ink, utilities
(water, sewer, electricity, and gas), janitorial services, education and training,
investigative supplies, data processing, software maintenance, public outreach supplies,
and others. For the purposes of this communication, the department’s overtime budget
is included in thenon-staffing totals.
Over the last ten years, as shown in the chart below, the department’s budget for salaries
and benefits typically accountsfor about 93% of the totalpolice budget annually.
Police Department-10 Year Budget Trend Page 2
Because the department does not rely on a standard 2% CPI increase annually, the chart
below illustrates what that would look like versus what has occurred. Increases or
adjustments to the department’s budget are primarily based on service contract
increases, utility cost changes, MOU changes, City benefit adjustments, or increase in
staffing levels based on need and Council approval.
$5,000,000
$7,000,000
$9,000,000
$11,000,000
$13,000,000
$15,000,000
$17,000,000
$19,000,000
Approved PD Total Budget by FY
Includes salaries, benefits and non-staffing items
Total Actual Budget Salary & Benefit (93% Ave. of Total Budget)
On average,
salary &
benefits
account for
about 93% of
PD's annual
budget.
Police Department-10 Year Budget Trend Page 3
Looking at changes to the department’s total budget over the past 10 years, there was a
17.8% increase to the budget from 2010-11 to 2020-11.
$15,114,100$15,149,100$15,066,600$14,964,600$14,730,410$15,181,352$15,890,524$16,339,778$17,007,275$18,012,060$17,802,862$15,416,382
$18,424,004
$5,000,000
$7,000,000
$9,000,000
$11,000,000
$13,000,000
$15,000,000
$17,000,000
$19,000,000
Police Total Budget by FY versus
Assuming a 2% CPI Increase Annually
Total Actual Budget Budgeting a 2% increase based on CPI
Police Department-10 Year Budget Trend Page 4
Budget Reductions
As the chart above illustrates, there were also decreases to the department’s budget as
well. The decreases were a result of the City’s implementation of the Fiscal Health
Response Plan during specific fiscal years. Since 2010, the department achieved
budget reductions that totaled approximately $2.9 million (includes reductions to staffing
and non-staffing accounts).1
The chart below illustrates how some reductions were implemented to the department’s
budget over the last 10 years.
1 This does not account for the gains (i.e. new positions related to Major City Goals, etc.) that have been added to
the department’s budget over the same time frame of 10 years. In 2013-14 the department gained two officer
positions specifically for daytime downtown patrol. This addition was part of the Major City Goal work program
for Downtown Vitality. $15,114,100$15,149,100$15,066,600$14,964,600$14,730,410$15,181,352$15,890,524$16,339,778$17,007,275$18,012,060$17,802,862$5,000,000
$7,000,000
$9,000,000
$11,000,000
$13,000,000
$15,000,000
$17,000,000
$19,000,000
Police Total Budget by FY
Total Actual Budget
2010 compared to 2020
17.8% increase
Police Department-10 Year Budget Trend Page 5
-$912,000
-$467,100
-$578,100
$0 $0 $0 $0 -$10,000 -$33,000 -$33,000
-$958,087
-$1,200,000
-$1,000,000
-$800,000
-$600,000
-$400,000
-$200,000
$0Budget Reduction AmountPolice Budget Reductions
Position Reductions:
- 3 Patrol Officers
- 1 Traffic Sgt.
- 1 Admin. Lt.
- Crime Prevention
Outreach
- Graffiti Coordinator
- Half Time Records
Clerk
- Juvenile Diversion
Program Coord.
Position Reductions:
- 1 Dispatcher
- 1 SRO/DARE
Officer
- 1 Field Service Tech
- 1 SET Officer
Non-Staffing
Reductions and
adjustments to staffing
cost projections.
There were officers at
top step that had
retired or were no
longer working for the
department. These
positions were replaced
with entry level which
attributed to the
savings (reductions).
Police Department-10 Year Budget Trend Page 6
Increases to Budget - Related to Salary and Benefits
A closer look at the department’s salary and benefits budget since 2010 shows that
there has been an increase in benefits related accounts by approximately 36%.
Conversely, there has been an increase in only salaries by approximately 9%. So,
overall, the increases the department has seen related to staffing in general, have been
significantly related to benefits.
Specifically, PERS Unfunded Liability has had the most noteworthy impact on the
budget and is primarily responsible for the jump in benefit costs.
Salaries have also changed since 2010, as shown in the chart above. Salary changes
can be attributed to MOU negotiated adjustments, and also recent changes to account
structure. For example, budgeting for holiday and uniform amounts are now grouped in
with regular salaries (this is after the implementation of Oracle in 2018), whereas prior
to 2018, these were specific accounts that would have been lumped with other benefit
type accounts.
Police Department-10 Year Budget Trend Page 7
Taking a closer look at MOU adjustments related to just the Police Officers Association
over the past 10 years are shown below. The percentage increase/decrease to salary
is by FY.
Police Staffing and Calls for Service
Since 2010, Police calls for service (CFS) have increased by 16%. The total number of
police officer positions was 45 in 2010 and increased by 2 with the addition of an officer
to backfill for the School Resource Officer (the SRO is funded by the school district) and
another for the cannabis detective position. This represented a 4% increase in total
officer positions.
Although not a sworn position, the department also added a second Field Service
Technician in FY 2019-20.
It is important to note that this number will decrease by 1.0 FTE due to the impending
reduction of the cannabis detective position in FY 21-22. With this reduction in police
officer positions, this results in a 2% increase in officers from 2010 to 2020.
Police Department-10 Year Budget Trend Page 8
Benchmark Cities
Department staff reached out to other benchmark city police departments for data on
budget, calls for service and staffing. Data reflected in the chart below is showing the
comparison (by percentage) between FY 2010-11 and 2020-21.
Change between FY 2011 and FY 2021
As of January 5, 2021
Benchmark City Police Budget %
Increase
Change in Police Officer
Positions
% Increase/Decrease
Calls for Service
% Increase/Decrease
Monterey 53% 6% -7%
Santa Barbara 36% 6% -31%
Davis 48% -16% -19%
Santa Maria 84% 32% 83%
Paso Robles 40% -19% 48%
Santa Cruz 2% Data unavailable 19%
Napa 77% 11% Data unavailable
Palm Springs 142% 23% 6%
AVERAGE: 60% 6% 14%
SLOPD 17.80% 4% 2 16%
2 This will be reduced to 2% after the cannabis detective position is eliminated.
0
10
20
30
40
50
60
0
5,000
10,000
15,000
20,000
25,000
30,000
35,000
SLO Police Calls for Service by FY &
Officer Positions
Total CFS Police Officers Only
Police Department-10 Year Budget Trend Page 9
Preliminary Budget for FY 2021-22 and 2022-23 (as of 4/23/21)
On April 20, 2021, departments presented preliminary budget figures to Council for
consideration as part of the FY 2021-23 Financial Plan. As shown in the Council
Agenda Report, from packet page 106, table 6 illustrates the City’s core services
operating budget allocations (without recommended SOBCs).
Here is a closer look at the police department’s budget from the table above, each chart
illustrates the breakdown of the budget by year:
20-21: $17,802,862
Breakdown by Category
21-22: $18,960,959
Breakdown by Category
22-23: $19,823,240
Breakdown by Category
53.83%
3.95%
6.15%
36.07%
FY 20-21
Regular Salaries Overtime
Non-Staffing Benefits
53.53%
3.69%
6.01%
36.77%
FY 21-22
Regular Salaries Overtime
Non-Staffing Benefits
52.84%
3.53%5.71%
37.92%
FY 22-23
Regular Salaries Overtime
Non-Staffing Benefits
Police Department-10 Year Budget Trend Page 10
The chart below shows the detail of change in the department budget each year.
FY 20-21 FY 21-22
% change
from 20-21 FY 22-23
% change
from 21-22
Regular Salaries 9,583,321 10,150,114 5.91% 10,473,791 3.19%
Overtime 703,488 699,614 -0.55% 699,614 0.00%
PERS Unfunded Liability 3,716,340 4,048,617 8.94% 4,543,589 12.23%
Retirement Contributions 1,209,541 1,293,064 6.91% 1,333,053 3.09%
Employee Group
Insurance 1,057,523 1,183,953 11.96% 1,184,964 0.09%
Retiree Healthcare 299,070 307,305 2.75% 313,451 2.00%
Medicare 139,535 138,152 -0.99% 142,629 3.24%
Non-Staffing 1,094,044 1,140,140 4.21% 1,132,149 -0.70%
Total 17,802,862 18,960,959 6.51% 19,823,240 4.55%
The most significant contributor to the increase in overall budget is directly related to
benefits.
% change
from 20-21
% change
from 21-22
All Benefits 29.57% 20.64%
Regular Salaries 5.91% 3.19%
Non-Staffing 4.21% -0.70%