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HomeMy WebLinkAboutItem 5c. Review of the Capital Improvement Program Progress Assessment completed by Management Partners Item 5c Department: Public Works Cost Center: 5101 For Agenda of: 2/1/2022 Placement: Consent Estimated Time: N/A FROM: Shelly Stanwyck, Assistant City Manager Prepared By: Emily Jackson, CIP Process Improvement Manager SUBJECT: RECEIVE AND FILE THE CAPITAL IMPROVEMENT PROGRAM PROCESS ASSESSMENT COMPLETED BY MANAGEMENT PARTNERS RECOMMENDATION Receive and file the 2021 Capital Improvement Program Process Assessment completed by Management Partners. REPORT-IN-BRIEF The City’s Capital Improvement Program (CIP) has grown significantly in the current year, due to an increase in available funding to maintain, enhance and expand City infrastructure. Most notable among the growth in various CIP funding sources is the passage of Measure G-20, which alone will generate approximately $25 million annually. For the General Fund, capital expenditures in FY 2021 -22 have increased by $18.5 million or 70% compared to FY 2020-21 when including American Rescue Plan (ARPA) funding. Absent the one-time ARPA funding, General Fund capital expenditures in the current year have increased by $14 million or 65% compared to the prior year. The growth of the CIP has exceeded the City’s existing organizational capacity to effectively deliver capital projects. To address this, the adopted 2021-23 Financial Plan includes budget augmentations of $500,000 in FY 2021-22 and $1 million in FY 2022-23 and beyond to “right-size” the organization to address the increased project workload. In 2021, the City contracted with Management Partners, a local government consulting firm, to perform an assessment of the delivery of the City’s CIP and provide both structural and process improvements to effectively and efficiently deliver the City’s CIP. The Management Partners assessment resulted in 53 recommendations covering all aspects of the City’s CIP to improve project delivery. Improving the City’s CIP process is a high priority and as a result, a CIP Process Improvement Manager reporting directly to the Assistant City Manager was recently hired to lead the implementation of the recommendations. Page 13 of 233 Item 5c As a part of the mid-year budget update, staff will request the addition of 4.00 regular FTE new positions to be funded with a portion of the $500,000 allocated in the current year budget. These staffing additions are in line with Management Partners’ recommendations and will help to build capacity to address the unprecedented CIP growth and support implementation of other recommendations over the coming year. DISCUSSION Background The City’s Capital Improvement Program (CIP) enables the City to plan, schedule, and finance capital projects over multiple years. Through the CIP, the City provides the infrastructure that is necessary to support the community including economic vitality, neighborhood wellness, housing, transportation, water and sewer, sustainability, active and passive recreation, public safety, cleanliness, and other basic amenities. As a part of the City’s Financial Plan, staff recommends a five-year CIP for Council consideration, and seeks appropriation of funding for the initial two years of the plan. As noted in the 2021-23 Financial Plan, the City’s CIP and associated budget has grown significantly due to the successful passage of Measure G-20, Senate Bill (SB) 1 transportation funding, SB 1090 Diablo Canyon Power Plant closure mitigation funding, and increased Enterprise Fund funded projects for Parking, Tra nsit, Water and Sewer. Measure G-20 alone will generate approximately $25 million annually, much of which will be used to maintain, enhance, and expand City infrastructure. The chart below shows CIP funding levels over the previous five years, compared to what is programed into the current CIP for the coming five years for only the General Fund: Page 14 of 233 Item 5c The capital improvement budget growth exceeds existing organizational capacity. To address this, the City contracted with Management Partners, a local government consulting firm, to perform an assessment of the City’s CIP. The assessment was broadly focused on the entire CIP—including a review of staffing levels, policies, and processes. The intended outcome of the assessment is to “right-size” the organization to address infrastructure maintenance, replacement, and significant legacy projects (the Palm/Nipomo Parking Structure, Prado Road Interchange, and Public Safety Facility replacement) which will serve City residents and support growth into the future. Management Partners Assessment The Management Partners Assessment (Attachment A) was completed in 2021 and includes 53 recommendations that are intended to develop the organizational capacity, policies, and processes to effectively deliver capital projects. The Assessment concluded the City has capable, engaged and qualified staff managing the program but that the unprecedented growth in its size and scale requires focus in four areas. The four primary areas of focus are: Development of the Assessment recommendations was based upon interviews with staff involved in the CIP process (including both Public Works staff as well as others throughout the City), a stakeholder survey, review of work processes, evaluation of project delivery methods and schedules, assessment of performance metrics and cost accounting systems, and examination of policies, procedures and CIP-related project reports. In addition to the Assessment, Management Partners prepared an Implementation Action Plan (Attachment B) to identify the relative priority of the recommendations and guide staff in next steps. Major Observations and Recommendations With a focus on efficiency, accountability and transparency, the Management Partners Assessment highlights the following ‘Major Observations and Recommendations’:  Selected data suggest many CIP projects are not being delivered on time or within budget.  Current CIP planning (scoping) and budgeting practices result in unrealistic schedules and understated cost projections.  Exclusion of staff costs in capital project budgets compromises accountability and performance and understates the true cost of delivering a project.  Additional quality assurance/quality control (QA/QC) review of project plans will help decrease the need for in-field changes.  Clarifying roles and mapping processes for transportation projects will improve delivery. Delivering projects on schedule Project scoping, budgeting, and execution Reporting, performance measurement, and management information systems Staffing and organizational structure Page 15 of 233 Item 5c  Current bimonthly CIP reports provide good information on the status of capital improvement projects and could be expanded and presented on a semi -annual basis to the City Council and public.  The CIP engineering team is relatively new, lacking in-depth experience and institutional knowledge. To address these observations, Management Partners developed recommendations which cover all aspects of the CIP, from increasing organizational capacity to enhancing reporting on projects. The recommendations are broadly summarized as follows: Staffing and Organization A. Add new staff positions to address increasing CIP workload, including use of consultants as needed. B. Create new job specifications for CIP program and project management. C. Clarify expectations and interactions between CIP staff and staff in other divisions or departments. D. Reassign some duties currently performed by Engineers to other staff. E. Evaluate Engineering compensation. Policy A. Update the Municipal Code and Charter to allow for alternative capital project delivery methods, if necessary. B. Update financial and purchasing policies to streamline administrative work related to capital projects. Work Processes and Responsibilities A. Use performance measures to increase organizational focus on on-time and on-budget project delivery and accountability. B. Implement procedures to require more time up-front for the scoping of projects in order to develop more accurate budget estimates and timelines, and conduct preliminary feasibility studies for large and potentially complex projects. C. Implement peer review processes to ensure coordination and broad input on projects from involved or impacted staff. In addition, require design consulting contracts to undergo a peer review process. D. Clearly identify and document roles and responsibilities of staff outside of the Public Works Department, particularly for projects that have environmental or permit requirements, and develop checklists to ensure consistency. E. Standardize criteria used to determine whether projects will be designed in-house or under contract. As a part of this, determine the fully burdened costs of all in-house staff involved in the design of capital projects to help determine whether City staff should do project design or if it should be contracted out. F. Retain consultants for specialized work including right-of-way and urban design. G. Standardize design processes, requirements and communication standards and communicate those to staff. H. Establish a 30-day timeframe to close out projects upon their completion. Page 16 of 233 Item 5c Finance and Budget A. Regularly allocate funding to complete a comprehensive update of the City’s CIP. B. Establish budgets to cover staff or consultant time spent identifying necessary capital projects as well as on-call cost estimating to develop complete budget estimates for complex projects. C. Implement CIP cost accounting to capture staff time spent on capital projects in order to identify and communicate the total cost of capital project delivery. D. Revise existing tracking systems to improve performance reporting related to project costs. Staff Training and Onboarding A. Identify the training needs of staff and provide opportunities for staff to develop proficiency in key areas of capital project delivery, including project management. B. Develop and standardize in-house training materials and processes to effectively onboard new CIP staff. C. Develop a training program for inspection staff, including knowledge sharing opportunities. D. Explore opportunities to partner with Cal Poly to create an internship and mentoring program for students and project and construction management for City staff. Communication and Reporting A. Document initial project scope and report on changes to project scope, budget, and timelines. B. Revise CIP reports to include information related to changes to project timelines and budget and include impacts of these changes in stakeholder communications. C. Expand the existing bimonthly ‘CIP Project Report’ provided to City Administration and make it publicly available on the City’s website. D. Expand the ‘Status of Current CIP Projects Report’ presented with the financial planning process. Proposed Approach to Implementation of Management Partners Assessment The Management Partners assessment and recommendations have generally been well received by staff and reflect current best practices in the industry. With the hiring of the CIP Process Improvement Manager, reporting to the Assistant Cit y Manager, staff are committed to the focused and prioritized implementation cross departmentally of the recommendations identified to provide for the delivery of the City’s capital projects consistent with the Council and community’s goals and objectives identified with the passage of Measure G-20. When the City’s current two-year Financial Plan was being developed in 2021 , it was known that significant changes to how the Capital Program was managed would be needed. With adoption of the 2021-23 Financial Plan, the City Council allocated $500,000 to support process improvement efforts in FY 2021 -22 and $1 million in FY 2022-23 and beyond. The first-year allocation is being used in part, to fund the CIP Process Improvement Manager to manage implementation of the process improvements over the coming year. Additionally, a portion of the initial year allocation is being used to fund consultant services which have been retained to manage several capital projects while the implementation is underway to increase project production and meet goals and objectives. Page 17 of 233 Item 5c Staffing Increase at Mid-Year Budget to be Proposed As identified in the Assessment, the significant growth of capital projects and inability for existing staff to keep pace results in the immediate priority to ‘right-size’ the organization to improve the City’s capacity to effectively manage all of the projects that are planned for the next several years. Based on their assessment, Management Partners has recommended the addition of 4.00 FTE positions and the reclassification of 1.00 FTE existing position, as shown in the proposed organization chart (Attachment C). Details of the recommended organizational changes include:  Add 1.00 FTE Capital Improvement Program Manager to head the CIP Engineering Division (new classification)  Add 1.00 FTE Supervising Engineer (existing classification)  Add 1.00 FTE Engineering Inspector III (existing classification)  Add 1.00 FTE Project Manager (new classification) Note that the reclassification of some existing vacant Engineer positions to Project Manager is also recommended (but does not change position count). Given the time that it takes to develop and fill new positions, staff will be requesting use of a portion of the $500,000 allocated in the current year to fund these new staff positions as part of the mid-year budget update on February 15th. The mid-year request will be for additional headcount only (4.00 FTE new positions), which will provide staff in Public Works and Human Resources the ability to develop new job classifications and the flexibility to determine the appropriate mix of Engineers and Project Managers to address CIP needs. Next Steps Once the recommendations related to additional staffing are in progress, the focus will shift to the evaluation of the policies, procedures, and processes which guide CIP project development and delivery. Many of the Management Partners recommendations reflect work efforts to improve communication and coordination on capital projects within the City organization through new practices. The City Council is anticipated to have future involvement in the process improvements as it relates to increasing the thresholds for projects requiring City Council approval for contract award and formal bidding process requirements, amending the Municipal Code to align with limits set forth in Public Contract Code, and approval of on-call contracts for project work (depending on the contract amounts). In general, staff supports the recommendations developed by Management Partners as presented. Implementation of the recommendations will be localized to best address the continuing evolution of the City’s CIP. The work to improve CIP processes will generally align with the priority order identified by Management Partners, but may deviate as st aff continues to dig into the work effort that it takes to implement the recommendations. Page 18 of 233 Item 5c Given the broad impact that the CIP has to the organization, most departments will contribute in some way to the process improvements, and all will benefit from them . There could be future staff resources identified as needed during this process as the impacts are identified and those would be presented to Council at the appropriate budgetary hearings (and would be within the funding available). As always, staff is c ommitted to communicating about the work being done in order to receive the necessary stakeholder input to improve capital project delivery overall. Policy Context There are no policy implications directly associated with this item. As noted earlier in this report, staff will seek future action from the City Council on recommendations which require City Council approval, per City policy. Public Engagement In developing the CIP Process Assessment Report, Management Partners conducted a survey of both internal and external stakeholders. External stakeholders consisted of non-City employees, including City commissioners and committee members, the SLO Chamber, SLO Coast Association of Realtors, and Downtown SLO, among others. Notably, increased communications internally and externally are a part of the priority recommendations. Public engagement focused on informing the public about capital projects will increase with this work effort and with added staffing resources. CONCURRENCE There is broad support throughout the organization to improve CIP processes and capacity. All City departments are impacted by the efficient delivery of capital projects. San Luis Obispo voters supported Measure G-20 in November 2020 to increase the local sales tax rate to keep public areas clean and safe, maintain streets, open space and natural areas, among other uses. In doing so, the community has signaled its support for the City’s ability to deliver on projects that will benefit residents, local businesses and visitors. ENVIRONMENTAL REVIEW The recommended action is not a “Project” under California Environmental Qualit y Act (CEQA) Guidelines Section 15378. Individual capital projects have varying environmental impacts that are reviewed in compliance with CEQA, but the recommended CIP process improvements in this report do not result in direct impacts or reasonably foreseeable indirect impacts to the environment. FISCAL IMPACT Budgeted: Yes Budget Year: 2021-22 Funding Identified: Yes Page 19 of 233 Item 5c Fiscal Analysis: Funding Sources Total Budget Available Current Funding Request Remaining Balance Annual Ongoing Cost* General Fund State Federal Fees Other: Capital Outlay Fund $ 500,000 N/A $ 157,072 $ 1,000,000 Total $ 500,000 N/A $ 157,072 $ 1,000,000 * Ongoing budgeted amount With adoption of the 2021-23 Financial Plan, $500,000 was allocated to support implementation of the CIP process improvements in FY 2021-22, and $1 million was allocated in FY 2022-23 (CIP Project #1000500). There is currently $157,072 remaining in the project budget for FY 2021-22 which is sufficient to cover staff’s recommendations, as it is anticipated that the new positions will not be filled until Spring of 2022 . To date, current year expenditures and commitments related to CIP process improvement efforts have totaled $342,928, as follows: Expenditure Amount 2021-22 Budget $ 500,000 Management Partners CIP Assessment $ (85,000) RRM Project Management for Mission Plaza concept plan and Public Safety Center replacement $ (136,720) CIP Process Improvement Manager (Contract) $ (117,600) Office Supplies for CIP Process Improvement Manager $ (3,608) Remaining Balance $ 157,072 ALTERNATIVES Not proceed with or delay implementation of CIP process improvements. The City Council may choose to not proceed with the CIP process improvements or delay implementation of the improvements identified by Management Partners (included in Attachments A and B). Staff does not recommend this alternative as the growth of the CIP has outgrown the City’s existing capacity to deliver projects within scope, on time, and on budget. Scaling up the City’s ability to deliver projects will help to increase community confidence by constructing tangible assets to support the San Luis Ob ispo community. ATTACHMENTS A - Management Partners Capital Improvement Program Process Assessment B - Implementation Action Plan C - Proposed CIP Organization Chart Page 20 of 233 August 2021 City of San Luis Obispo Capital Improvement Program Process Assessment ƚƚĂĐŚŵĞŶƚ Page 21 of 233 Page 22 of 233 1730 MADISON ROAD •CINCINNATI, OH 45206 • 513 861 5400 • FAX 513 861 3480 MANAGEMENTPARTNERS.COM 2107 NORTH FIRST STREET, SUITE 470 • SAN JOSE, CALIFORNIA 95131 • 408 437 5400 • FAX 408 453 6191 3152 RED HILL AVENUE, SUITE 210 • COSTA MESA, CALIFORNIA 92626 • 949 222 1082 • FAX 408 453 6191 August 30, 2021 Ms. Shelly Stanwyck Assistant City Manager City of San Luis Obispo 990 Palm Street San Luis Obispo, CA 93401 Dear Ms. Stanwyck: Management Partners is pleased to transmit this report on our assessment of the City of San Luis Obispo’s Capital Improvement Program (CIP) process as well as the staffing and organization structure of the CIP Engineering Division. The focus of this engagement was to improve the delivery of capital projects for the City. Our primary areas of focus were: x Delivering projects on schedule; x CIP scoping, budgeting and execution; x Reporting, performance measurement, and management information systems; and x Staffing and organization structure. In addition to delivering capital projects on-time and on-budget, there are many other important elements and aspects of a successful CIP and the manner in which projects are executed and delivered. Based on our observations, we believe that improving the methods by which the City plans and budgets for capital projects and ensuring that all project costs are included in each project, would not only be fiscally prudent and increase accountability, but would also position the CIP Engineering team for greater success in project delivery. In addition, the tracking and reporting on all capital projects, as well as the use of performance metrics in capital project reporting, would also bring about more accountability to the City’s process. However, process improvements alone will not be enough to deliver more capital projects, as the City will also need to enhance staffing resources as well as look at alternative ways to utilize contract services. We believe that the 53 recommendations contained in this report will improve the overall delivery of projects and will result in a more efficient and effective capital improvement program. We have appreciated the opportunity to serve the City and we would like to thank all the staff for their constructive suggestions. We stand ready to assist the City with implementation steps as needed. Sincerely, Jerry Newfarmer President and CEO Page 23 of 233 Page 24 of 233 Capital Improvement Program Process Assessment Table of Contents Management Partners i Table of Contents Executive Summary .................................................................................................................................. 1 Major Observations and Recommendations ................................................................................ 2 Organization of the Report ............................................................................................................. 4 Background ................................................................................................................................................ 5 Project Approach ....................................................................................................................................... 6 Interviews .......................................................................................................................................... 6 Stakeholder Survey Questionnaire ................................................................................................ 8 Documents ...................................................................................................................................... 12 Capital Improvement Process Assessment ................................................................................. 13 Capital Improvement Project Scoping, Budgeting and Execution ................................................ 14 Project Scoping and Budgeting .................................................................................................... 14 Project Design and Execution ....................................................................................................... 17 Alternative Delivery Options ....................................................................................................... 20 Delivering Projects on Schedule .......................................................................................................... 23 Performance Measurement, Reporting, Management and Information Systems ...................... 26 Performance Measurement ........................................................................................................... 26 Reporting ......................................................................................................................................... 28 Management and Information Systems ...................................................................................... 30 Staffing, Organizational Structure and Management Expertise .................................................... 32 Staff Vacancies .......................................................................................................................... 34 Centralize CIP Engineering Functions .................................................................................... 35 Development Engineering ........................................................................................................ 35 Staffing and Organization Structure............................................................................................ 36 Proposed Organization Structure ............................................................................................. 37 CIP Engineering Staffing ......................................................................................................... 39 Construction Inspection ........................................................................................................... 40 Training and Development ........................................................................................................... 41 Conclusion ................................................................................................................................................ 43 Attachment A – List of Recommendations ......................................................................................... 44 Page 25 of 233 Capital Improvement Program Process Assessment Table of Contents Management Partners ii Attachment B – San Luis Obispo Sample Projects ........................................................................... 48 Attachment C – Capital Improvement Program Performance Management Framework ......... 50 Appendix 1 – Mid March 2021 CIP Report ......................................................................................... 57 Appendix 2 – Example from Cupertino of Quarterly CIP Update ................................................. 58 Appendix 3 – Job Specifications for CIP Manager ........................................................................... 59 Appendix 4 – Job Specifications for Public Works Project Manager ............................................ 60 Page 26 of 233 Capital Improvement Program Process Assessment Table of Contents Management Partners iii Tables Table 1. List of City Staff Interviewed ............................................................................................. 6 Table 2. External Stakeholder Survey Responses .......................................................................... 9 Table 3. Internal Stakeholder Survey Responses ......................................................................... 11 Table 4. San Luis Obispo Sample Projects: Cost Increases/Decreases ..................................... 24 Figures Figure 1. Survey Respondent Affiliations with San Luis Obispo ................................................ 8 Figure 2. Internal Stakeholder Survey Respondents, by Department ....................................... 10 Figure 3. Internal Stakeholder Respondents, by Years with the City ........................................ 11 Figure 4. Existing Public Works Department Organization Chart ............................................. 32 Figure 5. Existing Functional CIP Organization Chart ................................................................. 34 Figure 6. Proposed CIP Organization Chart ................................................................................... 37 Page 27 of 233 Page 28 of 233 Capital Improvement Program Process Assessment Executive Summary Management Partners 1 Executive Summary Management Partners was retained by the City of San Luis Obispo to analyze and make recommendations regarding the City’s Capital Improvement Program (CIP) process as well as the staffing and organization structure of the CIP Engineering Division. The engagement involved interviewing City staff, conducting a stakeholder survey, reviewing work processes, evaluating project delivery methods and schedules, assessing performance metrics and cost accounting systems, and examining policies, procedures and CIP-related project reports. The goal of this assessment was to identify recommendations that position the City’s CIP function to operate in an efficient and effective manner, relying on best practices to deliver projects that contribute to the fabric of the community, while administering a program that engenders trust and accountability with residents. There are many important elements to a successful CIP. Aside from the question of whether a capital project is well-designed and well-built, there are a number of other fundamental questions that should be evaluated, such as how well projects meet budgets and schedules, and how performance metrics on projects are being tracked. These are just some of the variables that Management Partners assessed during this engagement. Performance metrics and data that show what projects actually cost to deliver are essential components to managing any capital project. Management Partners believes that close attention to the execution of the capital improvement program – having tighter, more rigorous management oversight – will produce measurable improvements in performance. The axiom, “What gets measured is what gets done,” is apt here -- put a spotlight on performance, and chances are high that project delivery will improve. Given the amount of resources devoted to capital programs in the City of San Luis Obispo, we believe that even modest improvements in project delivery will produce substantial savings. Savings can be generated by avoiding the negative impact of construction cost increases on project costs associated with delay, in addition to other factors. For example, Page 29 of 233 Capital Improvement Program Process Assessment Executive Summary Management Partners 2 taking into consideration the anticipated $128 million in planned CIP projects over the next two years, a 2% improvement in performance by way of faster delivery of projects could save the City over $2.5 million, in projected construction inflation costs, a substantial amount that would become available for other projects. Moreover reducing delay is relatively straightforward by taking steps to measure relevant metrics, fostering accountability using such tools and investing in people and tools to increase productivity. When implemented, the recommendations contained in this report will help the CIP Engineering Division be even more effective in the execution of capital projects and be better positioned to address the ambitious capital improvement program the City has planned for the future. It should be noted that the observations and recommendations found in this report are based on those projects that are primarily major capital- related and do not include those routine maintenance, fleet or information technology-related projects. Attachment A contains a summary of our recommendations. Major Observations and Recommendations Through our data gathering and analysis, we made numerous detailed observations described further in this report. Major observations that inform our recommendations are as follows: x Selected data suggest many CIP projects are not being delivered on time or within budget. x Current CIP planning (scoping) and budgeting practices result in unrealistic schedules and understated cost projections. x Exclusion of staff costs in capital project budgets compromises accountability and performance and understates the true cost of delivering a project. x Additional quality assurance/quality control (QA/QC) review of project plans will help decrease the need for in-field changes. x Clarifying roles and mapping processes for transportation projects will improve delivery. x Current bimonthly CIP reports provide good information on the status of capital improvement projects and could be expanded and presented on a semi-annual basis to the City Council and public. x The CIP engineering team is relatively new, lacking in-depth experience and institutional knowledge. Page 30 of 233 Capital Improvement Program Process Assessment Executive Summary Management Partners 3 We believe the City needs to perform an in-depth review of its current capital improvement projects with respect to scope and delivery schedules. By instituting performance metrics and taking into consideration all project costs, the City will have more realistic estimates of the cost of project delivery as well as more accurate projections on how long it takes to deliver projects. When a project is approved within the CIP, the budget and schedule should be seen as a commitment to the City Council and the community. In that regard, an “On-time, On-budget" culture should be cultivated within the CIP engineering team and within all supporting functions throughout the organization. We have provided 53 recommendations that are detailed throughout this report and summarized in Attachment A. Our major recommendations that should receive priority focus include the following: x Establish performance measures and expectations for the design and delivery of capital projects. x Develop a comprehensive methodology for preparing budget estimates to include: ƒ Direct and indirect staffing and consultant costs; ƒ Design and construction contingency; and ƒ Detailed construction estimates. x Implement a comprehensive cost accounting system that documents all project costs, including staff costs. x Ensure a peer review process prior to construction to address QA/QC issues. x Create service-level agreements with internal customers to clearly define roles and responsibilities for project definition, scoping, design, and execution. x Modify the existing bimonthly CIP Report to require: ƒ Regular updates by all staff; ƒ Additional status narratives for each project with schedule and budget risks; ƒ Estimated and projected costs; and ƒ Updated delivery dates. x Increase staffing, contract services and management. Implementing the recommendations in this report will require a significant commitment of staffs’ time and other resources. Management Partners fully understands the challenges associated with executing these recommendations. However, investing staffs’ time in implementing the recommendations will have lasting operational impacts for the City and Page 31 of 233 Capital Improvement Program Process Assessment Executive Summary Management Partners 4 will significantly improve the delivery of capital projects in the years to come. In addition, implementing the recommendations will not only bring about more accountability to the existing CIP process, but will also make good on the City’s commitment to the community to maintain and enhance public infrastructure which will engender trust and good will amongst its residents. Organization of the Report This report is organized into the following major sections. • Executive Summary • Background • Project Approach • Capital Improvement Project Scoping, Budgeting and Execution • Delivering Projects on Schedule • Performance Measurement, Report Management and Information Systems • Staffing, Organization Structure and Management Expertise • Conclusion Page 32 of 233 Capital Improvement Program Process Assessment Background Management Partners 5 Background San Luis Obispo is well known for its commitment to community engagement. After years of outreach efforts, community forums, public education and informational meetings, the City Council placed Measure G-20 on the November 2020 ballot. On November 3, 2020, the voters approved the new local sales tax measure, resulting in the City having an overall 1.5% local sales tax rate. The new tax measure results in more than $21 million projected revenues annually for the City. Previous local sales tax proceeds were split, with approximately 70% budgeted for capital infrastructure projects and the remaining 30% budgeted for operating program costs. Since operating program costs usually help support the implementation of some CIP projects, the City appropriately retained some amount for operating support activities. According to the City’s FY 2021-23 Financial Plan, the City has budgeted 75% of the local sales tax proceeds toward capital-related projects and the remaining 25% toward operating costs. However, in future years, there is an expectation that the split will be closer to 85% capital expenditures and 15% operating expenditures. This additional financing, coupled with SB1 and SB1090 revenues, as well as increased parking, water and sewer project funding, will expand an already sizeable capital improvement program, resulting in a substantial increase in workload for City staff, especially in the area of project delivery. While the number of projects may not be substantially increasing, the size, scope and complexity of anticipated capital projects will require more time and effort to deliver projects on time and within budget. To address this increase in workload, improvements to the existing CIP process as well as additional staffing resources will be needed to ensure that the City is well-positioned to deliver its CIP. Page 33 of 233 Capital Improvement Program Process Assessment Project Approach Management Partners 6 Project Approach Management Partners held a kickoff meeting on April 13, 2021 with the Assistant City Manager and key leaders from the Department of Public Works who work on the City’s capital improvement program. The purpose of the meeting was to gain a high-level overview and insight as to how the program is structured as well as obtain a thorough understanding on the program’s current operating environment. Following this initial meeting, we interviewed key Public Works personnel as well as other City employees who are directly involved in the CIP process to gain a more in depth understanding about the City’s CIP process and how capital projects are delivered, from the initial planning stages up through completion of construction. Interviews To inform our analysis, Management Partners interviewed the following 23 City employees who were available at the time of this engagement, as indicated in Table 1. These employees were recommended by city management. Table 1. List of City Staff Interviewed City Leadership Management Operating Staff Assistant City Manager City Attorney City Manager Director of Parks and Recreation Director of Public Works Accounting Manager/Controller Acting City Engineer Acting Supervising Engineer Construction Engineering Manager Deputy Director of Community Development Interim Deputy Director of Engineering and Planning Transportation Manager Recreation Manager Engineer II (2) Engineer III (3) Principal Budget Analyst Senior Civil Engineer Supervising Civil Engineer Wastewater Collection Supervisor Water Distribution Supervisor The purpose of these interviews was to identify areas where CIP project delivery is effective, where there are obstacles, and where opportunities exist to improve delivery. Page 34 of 233 Capital Improvement Program Process Assessment Project Approach Management Partners 7 The major themes from these interviews are summarized as follows: 1. The CIP Engineering team is comprised of a young, dynamic, intelligent group. They are flexible in their approach, and they take responsibility and ownership of their projects. 2. The CIP Engineering team knows the Public Contract Code well and believes they are good at delivering projects. 3. A number of the engineers would prefer to do design work as opposed to managing outside design consultants. 4. The CIP Engineering team believes they are unable to meet project demands with current staffing levels. 5. The CIP Inspection team is short-staffed, as they are handling both private housing development and CIP inspections. 6. There are difficulties in easily and quickly accessing project funding information. 7. There is a lack of quality assurance/quality control on plans. 8. Project milestones are traditionally scheduled with the first year for design work and the second year for construction. 9. Better communication between internal customers, i.e., planning and engineering, would improve project delivery. 10. Project scoping issues have resulted in modifications to projects which, in turn, causes delays. 11. Administrative tasks are assigned to engineers that could be done by other staff. 12. Information technology staff provide strong support to the engineering team and implement the technology required to deliver their projects. 13. The assistance of a landscape and urban design consultant is needed to improve the aesthetics of projects. While this report focuses mostly on ways to improve the City’s CIP process, Management Partners heard positive comments in our interviews and follow-up discussions with City leaders, operating departments, as well as internal team members regarding the following: x CIP Engineering staff members are a committed group of employees who are engaged and who want to do good work; • Good communication amongst CIP Engineering staff members encourages a lot of knowledge sharing; • CIP Design and Construction Guideline documents are very informational and are up-to-date; • Public Works management is very approachable and supportive of staff; Page 35 of 233 Capital Improvement Program Process Assessment Project Approach Management Partners 8 • CIP Engineering staff currently have good working relationships and communicates well with Utilities and Transportation staff; and • Parks personnel and the CIP Engineering staff work well together in the delivery of parks-related projects with the CIP Engineering staff responsible for the design work and Parks staff in charge of community engagement. Stakeholder Survey Questionnaire Management Partners developed a survey for City staff, key stakeholders, community leaders, residents, business owners, appointed officials, as well as a number of City employees from other operating departments who have familiarity with and exposure to various capital improvement projects. Those (non-City employee) stakeholders included City Commissioners and Committee Members, the SLO Chamber, SLO Coast Association of Realtors, and Downtown SLO to name a few. The survey was conducted in an effort to understand how the delivery of capital projects is viewed and received by those outside the department and the City organization, as well as hear about any suggested areas for improvement. A total of 29 responses were received, with 13 responses from external stakeholders (non-City employees) and 16 responses from City staff. Figure 1 shows survey respondent affiliations with the City. Figure 1. Survey Respondent Affiliations with San Luis Obispo 5 1 16 5 2 0 2 4 6 8 10 12 14 16 18 Elected or appointed City official Business owner City employee Resident Other (please specify) Page 36 of 233 Capital Improvement Program Process Assessment Project Approach Management Partners 9 External Stakeholder Responses Table 2 contains responses to each of the questions provided by external survey respondents, e.g., non-city employees. The question with the highest number of “disagree” responses indicated that some respondents do not feel that construction-related impacts are adequately communicated to the public. At least 50% of survey respondents selected “Strongly Agree” or “Agree” for each question. Statements to which 50% or more of respondents selected “strongly disagree” or “disagree” are highlighted in orange. Table 2. External Stakeholder Survey Responses Answer Choices Strongly Agree Agree Disagree Strongly Disagree Don't Know Strongly Agree / Agree Strongly Disagree / Disagree Public Works CIP staff do a good job communicating project timelines. 1 (11%) 6 (67%) 2 (22%) 0 (0%) 4 (31%) 7 (78%) 2 (22%) The public is provided a point of contact at the City to call or email should they have questions or concerns about a project. 1 (10%) 7 (70%) 2 (20%) 0 (0%) 3 (23%) 8 (80%) 2 (20%) Projects are generally completed according to the original schedule. 1 (14%) 5 (71%) 1 (14%) 0 (0%) 6 (46%) 6 (86%) 1 (14%) If there are construction-related impacts, the impacts are adequately communicated to the public in advance. 1 (13%) 3 (38%) 4 (50%) 0 (0%) 5 (38%) 4 (50%) 4 (50%) If there are material changes made during the project, the public is notified of these changes in advance. 1 (14%) 5 (71%) 1 (14%) 0 (0%) 6 (46%) 6 (86%) 1 (14%) With increased projects expected with Measure G-20, the CIP team is adequately organized and staffed to get them done according to schedule. 0 (0%) 3 (75%) 1 (25%) 0 (0%) 9 (69%) 3 (75%) 1 (25%) The following additional comments were provided by survey respondents: x Better coordination and streamlining between departments would be a fantastic improvement! x From a resident perspective, it seems that projects take a long time to complete. x It seems wise at this point to invest in a public information officer. x Host town hall meetings and lots of opportunity for public input, as has been done with budgeting and community vision. Page 37 of 233 Capital Improvement Program Process Assessment Project Approach Management Partners 10 x The priority of each CIP project should be made public, as well as the criteria and method for prioritizing projects. x It does not seem that the CIPs address Diversity, Equity and Inclusion or Housing in terms of spending, even though these are top City goals. ... I think a better job needs to be done to communicate how the CIPs and expanded infrastructure help make an impact on these major city goals. Overall, the survey results from those external respondents indicate that the public believes that capital projects are done on time, communication is good, and that the department is adequately staffed. However, there were mixed results on whether or not construction-related impacts are adequately communicated to the public in advance. Internal Stakeholder Responses The survey was distributed to City staff from every department who regularly interface and deal with capital improvement projects. Figure 2 indicates the departments in which the respondents work. Figure 2. Internal Stakeholder Survey Respondents, by Department Figure 3 indicates how long respondents have worked for the City of San Luis Obispo. 0 0.5 1 1.5 2 2.5 3 3.5 4 4.5 Page 38 of 233 Capital Improvement Program Process Assessment Project Approach Management Partners 11 Figure 3. Internal Stakeholder Respondents, by Years with the City Table 3 contains responses to each of the questions provided by internal survey respondents. As with Table 2, statements to which at least 50% of survey respondents selected “Strongly Agree” or “Agree” for each question are highlighted in yellow and statements to which 50% or more of respondents selected “Strongly Disagree” or “Disagree” are highlighted in orange. Table 3. Internal Stakeholder Survey Responses Answer Choices Strongly Agree Agree Disagree Strongly Disagree Don't Know Strongly Agree / Agree Strongly Disagree / Disagree Public Works CIP staff do a good job communicating project timelines. 1 (7%) 14 (93%) 0 (0%) 0 (0%) 1 (6%) 15 (100%) 0 (0%) The public is provided a point of contact at the City to call or email should they have questions or concerns about a project. 1 (13%) 5 (63%) 2 (25%) 0 (0%) 8 (50%) 6 (75%) 2 (25%) Projects are generally completed according to the original schedule. 1 (8%) 8 (62%) 2 (15%) 2 (15%) 2 (13%) 9 (69%) 4 (31%) If there are construction-related impacts, the impacts are adequately communicated to the public in advance. 3 (27%) 3 (27%) 5 (45%) 0 (0%) 5 (31%) 6 (55%) 5 (45%) If there are material changes made during the project, the public is notified of these changes in advance. 1 (17%) 2 (33%) 3 (50%) 0 (0%) 10 (63%) 3 (50%) 3 (50%) 0 1 2 3 4 5 6 0-2 years 3-5 years 6-10 years 11-15 years 16-20 years Page 39 of 233 Capital Improvement Program Process Assessment Project Approach Management Partners 12 Answer Choices Strongly Agree Agree Disagree Strongly Disagree Don't Know Strongly Agree / Agree Strongly Disagree / Disagree With increased projects expected with Measure G-20, the CIP team is adequately organized and staffed to get them done according to schedule. 2 (15%) 2 (15%) 5 (38%) 4 (31%) 3 (19%) 4 (31%) 9 (69%) Communication between departments on CIP projects is good. 1 (7%) 8 (53%) 6 (40%) 0 (0%) 1 (6%) 9 (60%) 6 (40%) The following additional comments were provided by survey respondents: x We have good people, but I do not believe we have adequately experienced or trained people to handle the heavy lift they have in front of them. x I would love to have a better understanding of the process of closing out CIPs that are tied to our department. x Invest in the underground infrastructure that has been neglected for years due to the “out of sight, out of mind” mentality. x Provide a clear line of communication for contact to each department. x Internal communication amongst departments. x Provide updates on project design schedule with an emphasis on delays and the reasons why. x Increased communication with City Attorney's Office early would be helpful. Specifically, advance notice and context for issues that arise would be appreciated. x Communication, budgeting, estimating, and project management skills need improvement. Based on the provided responses, internal respondents believe City staff do a good job in communicating project timelines, and projects are generally completed according to original schedules. However, there are concerns about staffing levels, as well as how staff communicate to the public regarding material changes in capital projects. Documents Management Partners reviewed a range of documents to help inform our analysis. These included: 1. CIP-related policies, procedures, reports, manuals, and agreements Page 40 of 233 Capital Improvement Program Process Assessment Project Approach Management Partners 13 2. Public Works, Utilities and Community Development organization charts 3. Detailed listings of current and previous CIP Projects 4. CIP Process Gantt and Flow Charts 5. CIP Design & Construction Guide 6. Project and Program Assignments 7. Class Specification Bulletins and Job Descriptions 8. Previous and current Financial Plans and Major City Goals 9. City Charter Article IX and Municipal Code Title 3 10. Engineering design proposals and contracts Reviewing these data figures enabled us to put the City’s CIP operation and system into perspective. While analyzing these data figures, our project team relied on experience working with other jurisdictions throughout the United States, as well as our knowledge of best practices in local government capital project management to identify the most important areas that require improvement in the City’s CIP process. Capital Improvement Process Assessment After interviewing City staff, reviewing survey data and analyzing many CIP-related reports, information and data, Management Partners focused our assessment on opportunities to refine and improve the City’s existing CIP process in four major areas: • Capital improvement project scoping, budgeting and execution • Delivering projects on schedule • Reporting, performance measurement, and management information systems • Staffing, organization structure and managerial expertise Page 41 of 233 Capital Improvement Program Process Assessment Capital Improvement Project Scoping, Budgeting and Execution Management Partners 14 Capital Improvement Project Scoping, Budgeting and Execution Currently, the City has a five-year CIP with the first two years of projects being budgeted in the City’s two-year Financial Plan. Limited engineering work is done to develop scopes and budgets for these projects, and the schedules for these projects typically call for design in the first year of the budget, and construction in the second year. In order to be more successful at delivering high-quality projects on time and within budget, a greater investment in the very early phases of capital projects is warranted. A more refined project scoping process will produce projects that are constructable, will consider challenges such as land acquisition or utility conflicts early in the project scoping, and will result in more accurate budgets and realistic project schedules. With the City’s desire to produce visible and measurable results from the passage of the G-20 Tax Measure, the project delivery culture within the CIP Engineering team and throughout the entire City organization needs to develop a greater urgency to deliver projects and provide the support, tools and staffing to ensure projects keep moving. Project Scoping and Budgeting Management Partners observed that there are no criteria established within the City for determining when a project is designed in-house and when it may be cost effective or more efficient to outsource it to a design firm. Additionally, CIP Engineering does collect data that would allow them to compare the cost of preparing designs in-house versus using an outside design firm. Such a comparison would include not only fully burdened staff costs (salaries and benefits), but also: x Availability of internal or consultant resources; x Needed skillsets and expertise; x Project complexity; x Scheduling; and x Neighborhood/business district or policy sensitivities or issues. Project design decisions should not necessarily be based on cost alone; while outside design costs may sometimes be more expensive, scheduling and expertise may warrant contracting for such services. Page 42 of 233 Capital Improvement Program Process Assessment Capital Improvement Project Scoping, Budgeting and Execution Management Partners 15 Determine the fully-burdened costs of all in-house staff involved in the design of capital projects and use those data figures to determine the total costs of in-house project design versus that of contract design firms. Develop criteria to guide decision making regarding whether projects will be designed in- house or under contract. Projects budgeted without detailed scopes and with minimal information about complexity and potential unknown conditions often result in increased costs and delays. Budgets are often quickly developed by a staff engineer with very little time and limited information. In our experience, it is a best practice to have construction cost estimates completed by an on-call cost estimating firm for initial budgeting of larger, more complex projects. The City should ensure that it takes into consideration and identifies all potential costs associated with a project such as inadequate soil conditions, property acquisition, extensive community outreach or utility conflicts well before finalizing the scope, budget and schedule. Capital engineering staff should take the time to ensure budget estimates are inclusive of all design costs, utility costs, project management, inspection services, permitting, land acquisition, and environmental clearance costs, contingencies, as well as internal costs for legal support, information technology, etc. Implement a policy and procedure to require more time for scoping individual projects before a budget estimate and schedule are provided. Budget estimates should be all inclusive and based on a comprehensive assessment of what it will take to complete the project. Establish an annual budget to support an on-call cost estimating firm to develop fully inclusive budget estimates for more complex projects. Conduct a preliminary feasibility study for large and potentially complex projects before finalizing cost estimates and schedules. Factors such as soil conditions, property acquisition, extensive community outreach or utility conflicts need to be well understood before finalizing the scope, budget and schedule. Project scopes are often not firm and, especially with utility projects, may expand as the design progresses. Sometimes this is justified due to Page 43 of 233 Capital Improvement Program Process Assessment Capital Improvement Project Scoping, Budgeting and Execution Management Partners 16 unforeseen conditions during design; however, it is not always well documented in relation to its impact on the project’s budget and schedule. A best practice employed by many municipalities is to establish a Preliminary Engineering Fund to pay for staffs’ time or consultant fees that are expended in connection with potential capital projects that have not yet had a project budget established. Since some projects may not move forward to implementation, the City is able to capture staff and consulting expenses in this Preliminary Engineering Fund. For those capital projects that do move forward, once the project budget is approved, any associated engineering costs are reimbursed to the Preliminary Engineering Fund and actual project costs are fully captured. Initial project scopes should be well documented, and any amendments made to the scope during the remainder of the project should also be documented. In addition, the resulting impacts to a project’s budget and schedule should be communicated in a CIP Report distributed to the City Council (discussed later in this report). Establish a Preliminary Engineering Fund to pay for staffs’ time or consultant fees in connection with potential capital projects prior to establishing a project budget. Document the initial project scope and amendments made to the scope during the duration of the project, as well as the resulting impacts to the budget and the schedule. We heard that project scopes and budgets appear to be limited to functional designs to achieve the utilitarian use of the improvement, such as building a non-descript restroom facility. The addition of urban design and landscape architect expertise would improve the aesthetics of the City’s projects. In that regard, the City should take into consideration the urban design of highly visible capital projects during the initial scoping and preliminary engineering phase so that the scopes include not only functional project requirements but also community design and aesthetic features of projects. Contract with an on-call urban design firm during the scoping and preliminary engineering phase of highly visible capital projects. Measure G-20 capital projects are included in the City’s two-year Financial Plan and are part of the five-year CIP Program. These projects are reviewed by a revenue enhancement oversight committee prior to inclusion in these documents. It is a best practice for municipalities who Page 44 of 233 Capital Improvement Program Process Assessment Capital Improvement Project Scoping, Budgeting and Execution Management Partners 17 sustain major capital improvement programs to have a five-year capital improvement program like San Luis Obispo’s. While projects generally need to be reviewed on an ongoing basis, CIP Engineering should also establish a process of doing an in-depth review (scoping, budget and schedule) of all capital projects at least six months before any new five- year plan moves forward for policy consideration. Allocate funds at least every five years to complete a comprehensive update of the City’s CIP. Project Design and Execution Some CIP engineers indicate a strong preference for design work while others prefer to manage engineering consultants. While these skillsets are different, both are needed to expedite the completion of projects. Project assignments, along with a clear understanding as to how the design will be handled, can be tailored to the preferences of existing staff members. This could be done as new employees are hired (there is currently one vacancy as well as one soon-to-be-vacant engineer position) by converting vacant engineering positions into project manager positions. Ideally, the ultimate ratio would be four engineers and four project managers within the division with two engineers and two project managers assigned to each supervising engineer. Some existing staff may be more proficient in project management and will want to shift their emphasis and/or focus in this regard. Such project managers would be recruited based on different skillsets, such as project management, construction management, public speaking and presentation skills. The use of project managers and project management training is discussed more in-depth later in this report. Transition the CIP Engineering staffing strategy toward a mix of project managers and design engineers. The number of projects identified in the FY 2021-23 Financial Plan are essentially the same as in previous years, although the cost, scope and complexity is expected to increase. Additional interest and public scrutiny will increase pressure on City staff to complete capital projects in less time and within budget. Consequently, the city organization as a whole will need to have greater urgency in its completion of projects. During this engagement we learned that the roles of some supporting departments are not clearly defined. Service levels and responsiveness are not defined or documented, often causing delays. Establishing service-level agreements between operating departments would reduce Page 45 of 233 Capital Improvement Program Process Assessment Capital Improvement Project Scoping, Budgeting and Execution Management Partners 18 internal delays and ideally would also result in building better teamwork with project ownership. Ideally, the organization should get to a place where anyone that is part of a project’s delivery, from an attorney reviewing contracts to an analyst who reviews project funding, will develop personal pride from their role in the successful delivery of that capital project. Establish Service Level Agreements with other departments to establish and clarify internal service arrangements. Examples include planning permit facilitation from the Community Development Department, review deadlines and time agreements with the City Attorney’s Office, or position recruitment timelines with Human Resources. While the staff involved in the delivery of the CIP are working hard, it was not clear to us from interviews that there is a true sense of urgency to complete projects on time and on budget. By emphasizing a higher priority on the timely delivery of capital projects by implementing performance measurements, staff would be able to clearly demonstrate to the City Council and the community that their new tax dollars are being spent as efficiently as possible. Elevate the organizational emphasis of on-time and on-budget project delivery and accountability through the use of practical performance measures. Public Works makes use of outside consultants to perform project design services and maintains an updated list of eligible engineering firms. As project levels fluctuate and increase in size and scope, in an effort to reduce project completion time, continued and increased use of outside consultants will be needed. However, this does not mean that all projects need to be outsourced. The need to expedite project schedules and the expanding role of contract engineering firms needs to be positively communicated to staff. Using outside design firms will also provide learning and professional development opportunities for internal staff and represents a viable path to ensure success of the entire capital program. In order to have an effective project design, emphasis on Quality Assurance/Quality Control also needs to be addressed early in the process. Some staff noted that there is a lack of thorough Quality Assurance/Quality Control on project plans and specifications, meaning that inspection staff will often catch mistakes or have to deal with them in Page 46 of 233 Capital Improvement Program Process Assessment Capital Improvement Project Scoping, Budgeting and Execution Management Partners 19 the field. Ensuring that a peer review process, to be established prior to construction, should raise the quality and constructability of project plans and specifications. Ensure a peer review process that includes staff from design, construction, and other sections that have a vested interest in a given project is established. Require design consulting contracts to include a peer review, conducted by another on-call firm for large complex projects. Management Partners heard that plans developed in-house lack uniformity, even within the same plan set, depending on who is preparing them. And while the City has drafting and computer-aided design (CAD) standards, when multiple staff work on a single set of plans the work product appears piecemealed. Standardize plan layouts, notes, details, symbols, and nomenclature and train and communicate standards to all design staff. In our interviews with staff, we noted several practices that had the effect of slowing the completion of capital projects. For example, approved projects have frequently been returned to various oversight commissions and to the City Council, sometimes multiple times, to approve changes that could have been avoided with better up-front planning. Completing the environmental assessment and permitting process influences project schedules and costs. Best management practices include making an early determination as to the environmental documents required and incorporating them into the schedule. We believe that better initial project scoping and due diligence of project requirements for projects by the citywide CIP team are needed. Each project needs to be reviewed for environmental and permit requirements. The process of environmental documentation, permitting and the subsequent handoff to CIP Engineering needs to be clarified. Establish a checklist of potential environmental and permit requirements and examine each project scope against the list early in the planning process. Prepare written agreements or Memoranda of Understanding (MOUs) between project participants, especially for projects that require Page 47 of 233 Capital Improvement Program Process Assessment Capital Improvement Project Scoping, Budgeting and Execution Management Partners 20 environmental or permit requirements. Such agreements should include tasks, the responsible party, timeframe and notification to other parties. We were informed that there are times when multiple commissions reviewed a project, resulting in multiple scope changes. It is well known that the later a change occurs in the construction process, the more costly the change is. These practices also result in project delays. The City should limit scope changes to early stages of design and reduce the number of detailed project reviews to a single commission during the initial stages of a project. Limit the review of projects to early stages of design and reduce project reviews to a single commission. In many cases, funding for a project has been diverted after work was begun. Sometimes such delays are unavoidable; however, any time project funding is delayed, transferred, adjusted or held, it affects the schedule and leads to delays in project completion. The effect on the project schedule (and cost) needs to be defined and communicated so that impacts of delays are costed, documented and understood. Communicate to client departments and decision makers the effect on project schedules (and future costs) whenever funding is delayed, adjusted or held. In several examples that we selected for review, right-of-way issues played a significant part in project delays. Right-of-way acquisition is a specialized field and the City needs to identify areas where right-of-way assistance will be needed and subsequently use consultants who specialize in this area so as to expedite the right-of-way process. Involve on-call right-of-way consultants immediately upon determination that property acquisition will be needed. Many things can cause delays; however, when there is an apparent risk of that happening, elevation of the issue within the organization is needed to mitigate that risk or to develop a recovery plan. This will be addressed in our staffing recommendations below. Alternative Delivery Options With the addition of the new Measure G-20 funding along with other financing resources, it is anticipated that the City’s CIP will be growing, Page 48 of 233 Capital Improvement Program Process Assessment Capital Improvement Project Scoping, Budgeting and Execution Management Partners 21 not necessarily in the number of projects, but in the size and scope of projects. For larger, more complex projects, it is incumbent on the City to explore all project delivery options at its disposal to achieve the optimal project delivery method. In addition, the City could also explore the possibility of establishing local preferences as well as tiered incentives in design review contracts to get faster turnaround times. All local agencies in California have the ability to use design-build delivery under specific criteria; however, general law cities typically have more restrictions than charter cities. Since San Luis Obispo is a charter city, it has more flexibility in this area. According to our interviews and research, the City has never employed anything other than the traditional design-bid-build methodology. A design-build contract involves the award of a single contract for both the design and construction of a structure or public improvement. The primary advantage of awarding a project on a design-build basis is that the project will likely be completed sooner and for less cost than if two separate contracts are awarded for design work and construction work. Design-build projects can offer benefits including greater flexibility in awarding a contract, higher quality work, greater cost certainty, and fewer claims. A downside to design build projects is the loss of some control over many design details. Typically for projects valued less than $5 million, design-build is the best project delivery strategy, but for some larger projects other methodologies may offer an accelerated schedule or less risk of cost overruns. Currently the City mostly follows the California Public Contract Code. To use the additional flexibility that comes with the use of design-build, the City would need to amend its municipal code to allow for the design- build method. The City Attorney’s Office should be consulted as to any required changes to the City Charter. As a charter city, the City may also consider other methods of project delivery such as construction-manager-at-risk or public-private- partnerships. Both of these methodologies are best suited for projects that are large and for sites where collaboration with a private developer is beneficial. Public-Private-Partnerships (PPPs or P3s) may offer beneficial delivery and financing compared to general obligation bond or certificate of participation financing. Construction-Manager-at-risk delivery involves hiring a construction management firm after the design has been completed to take responsibility for the construction of the project. Generally, the Construction Management (CM) firm agrees to deliver the completed Page 49 of 233 Capital Improvement Program Process Assessment Capital Improvement Project Scoping, Budgeting and Execution Management Partners 22 project to the owner for no more than a guaranteed maximum price. The CM will then award contracts to individual trade contractors to perform specific portions of the construction work. The CM can select trade contractors on whatever basis it prefers (lowest bidder, qualifications, familiarity, etc.). Public-Private-Partnerships involve a private entity financing and constructing a fee-generating facility such as a toll road or a commercial building and operating it for a set number of years in exchange for a percentage of the revenues generated. At the end of the agreement, the possession and operation of the facility is transferred back to the public agency. This approach allows an agency to construct a project it might not otherwise have the funding for, allows the contractor to profit from the revenues generated, and creates valuable infrastructure for use by the public. Consider alternative design delivery methods such as design-build and other delivery methods legally allowed by the State. Work with the City Attorney’s Office to amend the municipal code and the city charter, if necessary, to allow for alternative capital project delivery methods. Page 50 of 233 Capital Improvement Program Process Assessment Delivering Projects on Schedule Management Partners 23 Delivering Projects on Schedule A municipality’s ability to deliver capital projects on time and within available resources is a fundamental goal of any CIP. Planning and scoping projects are critical to delivering projects within the estimated budget and timeframe; doing so can save municipalities a significant amount of money. Construction cost escalation is almost always present in the construction economy, although the amounts vary based on the state of the overall economy and specific factors in the construction industry. In the last several years it has averaged between two and four percent per year, although for a brief window during the Great Recession construction costs fell slightly. Another source of cost escalation is property cost increases associated with right-of-way acquisition. Similar increases may occur for other costs in the CIP process, from labor to supplies. In some projects a significant driver of cost increases can be increased local match requirements applicable to grant-funded projects. State and federal grant matches are often made on a “not to exceed” or capped basis. In other words, a grantor will agree to fund some percentage of costs but cap its share of costs based on a point in time. To the extent a project is delayed beyond the point in time estimate, a local government may incur additional costs in the local match, which can be significant as state and federal sources may constitute a majority of anticipated project funding. The key to delivering projects on time is constant monitoring and intervention to head off delays when possible. Adequately tracking projects, though, is not always done well by many public works departments. When projects are not delivered on time, construction costs escalate which then invariably impact financial resources available for other projects. Delivering capital projects on time and within budget is an essential component of any effective capital program. To illustrate the importance of addressing project delivery timeframes, Management Partners examined several City capital projects in detail. We Page 51 of 233 Capital Improvement Program Process Assessment Delivering Projects on Schedule Management Partners 24 selected ten CIP projects from the October 2018 CIP Report to analyze the funding and project schedules for each of these projects. Attachment B shows the data collected for each project. The sample includes six projects that addressed major city goals; the remaining four were selected from the listing of projects that addressed other important City objectives. In addition, we selected projects that were managed by different divisions, including those from Transportation and Utilities. Table 4 below shows the change in project costs for these capital projects over time. For these projects alone, costs increased a total of $8.2 million. Table 4. San Luis Obispo Sample Projects: Cost Increases/Decreases Spec no. Project Name Financial/CIP Plan (initial) Original Projected Construction Cost Revised Estimated Construction Cost Cost Increase/ (Decrease) 91658 Sinsheimer Irrigation and Drainage1 2015-17 $140,000 $500,0002 $360,000 91503 California Taft Roundabout 2017-19 $1,260,000 $2,360,000 $1,100,000 91607 Marsh and Broad Traffic Signal Upgrade 2017-19 $175,000 $231,000 $56,000 90480 Bridge – Marsh at Santa Rosa Replacement 2011-13 $6,700,000 $8,342,900 $1,642,900 91375 Bike-Railroad Safety Trail Taft to Pepper 2011-13 $1,900,000 $4,653,700 $2,753,700 91511 Streets – Madonna and Los Osos Valley Rd. 2017-19 $3,230,700 $2,900,000 ($330,700) 91376 Streets – Safe Routes to School Implementation Foothill Crossing 2017-19 $345,000 $595,894 $250,894 91439 Building - Mission Plaza Restroom 2015-17 $510,000 $1,195,000 $685,000 91584A IT – Fire Station 2 Tower 2019-21 $250,000 $200,000 ($50,000) 91214A Sanitary Sewer – Margarita Sewer Lift Station 2011-13 $600,000 $2,318,535 $1,718,535 TOTAL $15,110,700 $23,297,029 $8,186,329 AVERAGE $818,633 Sources: 2011-13, 2013-15, 2015-17, 2017-19, 2019-21 Financial Plans, October 2018, 2019, 2020 CIP Reports, March 2021 CIP Report 1Council paused/delayed project 2Estimated bid costs Project delays and cost increases occur for many reasons. Some project delays are the result of working with other entities (such as Union Pacific, or the Regional Water Quality Control Board); thus, project delays can be both unavoidable and avoidable. Others may result from scope changes, unexpected design requirements, addressing community expectations, and even a pandemic, resulting in the need to seek additional financial resources. However, some project delays are within the city’s control and with additional staff and the use of metrics to track the work and provide greater accountability, improved project delivery will occur. Page 52 of 233 Capital Improvement Program Process Assessment Delivering Projects on Schedule Management Partners 25 If San Luis Obispo could reduce its average project delivery delay by 16 months, down to an average of 12 months, it could have saved (on those projects evaluated) approximately $1.6 million just in construction cost inflation alone. Such a delay can also have a corresponding impact on grant funding, resulting in higher local match requirements for both state and federal requirements. Delays in project completion also negatively impact community perceptions and expectations. These include delays in the delivery of safety improvements, construction impacts negatively affecting business and economic development opportunities, as well as delayed community benefits such as improving the aesthetics of an area to attract additional tourism or foot traffic. Accordingly, improving the delivery of capital projects not only makes financial sense, but benefits the organization and community in general. It is important that local government managers and policy makers recognize the very real costs of CIP delay. This recognition can generate the justification to invest in the people and systems which support this work, and over time yield millions of dollars in cost savings, not to mention the timelier delivery of projects which are often integral to overall public safety. The largest cities in California have long understood this reality, and they have collectively invested in the California Multi-Agency CIP Benchmarking Study since 2002, which examines performance metrics, including project delivery. This effort has led to the development of many of the best practices recommended in this report. Page 53 of 233 Capital Improvement Program Process Assessment Performance Measurement, Reporting, Management and Information Systems Management Partners 26 Performance Measurement, Reporting, Management and Information Systems The setting of performance metrics, the accurate reporting on the status of capital projects, and the proper use of management and information systems in the delivery of capital projects are essential to any efficient CIP delivery function. This section will explore and examine these three elements and provide suggested improvements in these areas. Performance Measurement The City has a CIP tracking and reporting system, but it needs to be expanded. For example, there is no system in place to track anticipated project costs (at the beginning of the project) to actual project costs (at completion of the project). For accountability and transparency, the City needs to have a system in place that tracks specific measures for each project and tracks the execution of the overall capital improvement program. There is no clear, simple management tool for measuring or tracking the execution of a capital improvement program. Although high visibility projects often get a lot of attention (e.g., the city’s downtown parking structure), the majority of day-to-day projects do not. Often the result is that a large number of projects are carried over from one fiscal year to the next because they did not get done. Many jurisdictions, including San Luis Obispo, use project management software to manage their capital projects. However, this software is used for individual projects rather than for the capital improvement program in the aggregate. Since there is no management system for tracking the quality of the execution of the capital program as a whole, it is not possible to answer the question of whether the CIP was executed more or less efficiently and timely compared to prior year(s). How well the projects are executed against the planned budget and planned schedule are the primary variables that management can and should be managing. Page 54 of 233 Capital Improvement Program Process Assessment Performance Measurement, Reporting, Management and Information Systems Management Partners 27 Closer attention to the execution of the capital improvement program, including tighter, more rigorous management, will likely produce measurable improvements in performance. Since most jurisdictions, including San Luis Obispo, do not have a management system for measuring performance for the CIP as a whole, (excepting individual projects), there is minimal attention to the execution of the CIP as a whole. Implementation of a comprehensive capital improvement program management system can be the basis for evaluating the management of two key elements of the CIP – time and project budgets. Attachment C provides a performance management measurement framework as an example of the kinds of information that should be gathered to evaluate performance against expectations. The major elements include: Cost x Estimated Design Cost versus Actual Design Cost x Engineer’s Estimated Contract amount versus Contract Award x Total Project Cost x Budget estimate versus actual project cost x Revised estimate versus actual project cost x Construction Cost - Revised Estimate versus Actual Cost Schedule x Planned Design Time versus Actual Design Time x Planned Bid Opening Date versus Actual Bid Opening Date x Planned Notice to Proceed Date versus Actual Notice to Proceed Date x Revised Estimated Construction Completion versus Actual Construction Completion x Planned Project Completion Date versus Actual Completion Date Aggregated CIP management information is outlined in Attachment C. Use of these metrics will assist city management in gauging the specific indicators for each project as well as the effectiveness of the management of the CIP overall. In addition, the City should be able to utilize its existing systems (Oracle and Microsoft Project) to obtain this information. Revise the current tracking system to include cost and scheduling metrics to inform management and executive staff about capital Page 55 of 233 Capital Improvement Program Process Assessment Performance Measurement, Reporting, Management and Information Systems Management Partners 28 improvement performance and delivery, including developing a procedure to track and report anticipated and actual project costs. The CIP engineers track their time spent on projects in CIPAce (City’s project tracking platform), but engineers’ hours are charged to the general fund and not specifically to projects (there are a few exceptions, such as charges to grants or to enterprise funds, when those hours are charged to these specific accounts). Thus, the City currently has no way of determining the complete cost of delivering a project, nor is management able to assess staffs’ performance with respect to the hours expended to deliver a project and staff project work overall. Most design firms and municipal engineering functions believe that design, construction inspection and project management staff should be charging from 60 to 80% of their time to project work of one kind or another (there is an ebb and flow, depending on a range of variables). Most municipalities with comprehensive capital improvement programs track hours and require staff to charge their time to an actual project, not the general fund. Without these data figures, it is not possible to estimate hours required to deliver a project or understand the true cost of a project or compare and make data-driven decisions on whether to use in-house or contract consultants for various components of a project. Implement a capital improvement project specific cost accounting system to track staff costs for all staff eligible to charge against a project. Include fully burdened staff costs and appropriate overhead costs (legal support, community development review and permit processing, internal real estate services, public information costs, etc.), from engineering estimates to design and project execution. Reporting City staff currently prepares a bimonthly CIP Project Report (developed in a Microsoft Excel spreadsheet) to provide status information to executive management. An example of the current CIP Project Report is shown in Appendix 1. This spreadsheet is provided to the City Manager who identifies those projects to be presented in a quarterly update report (PowerPoint presentation) for his review each quarter. The current bimonthly CIP Project Report is the responsibility of the supervising engineer who receives updates from each project engineer. However, the CIP Project Report apparently is not always updated by those engineers outside the core CIP Engineering team. Some of the Page 56 of 233 Capital Improvement Program Process Assessment Performance Measurement, Reporting, Management and Information Systems Management Partners 29 current projects have no baseline or actual dates even though the project is in progress, and duration variances reported are often inaccurate. The bimonthly CIP Project Report includes a baseline start and finish date with actual start and finish dates; however, when projects are delayed, sometimes the baseline dates are adjusted, which skews the tracking data comparison. Baseline dates should not be revised unless the project start date is reset by the City Council. Ensure that the CIP Project Report baseline start and finish dates remain consistent and that all fields are reported accurately and on an up-to-date basis. Project delays also need to be identified and communicated. And while there are legitimate reasons that cause projects to veer off schedule, such as utility company delays, these should be regularly reported and added to the report in the schedule notes column for better tracking and accountability. Management Partners recommends that the bimonthly CIP Project Report be expanded to include data differentiating between project budget and project cost and provide this report to the City Council on a semiannual basis. This semiannual report should also highlight those projects that are either delayed or at risk of going over budget. An example of a CIP Report that highlights such projects can be found in Appendix 2. Because projects do not change that quickly, generating the report semiannually should provide all parties with current information regarding a project’s status, and reduce the chances that a project is inadvertently dropped off the project schedule due to a delay. In addition, this report should be uploaded to an easy to find area of the City’s website (main homepage) and on its social media platforms. Provide an expanded version of the bimonthly CIP Project Report to the City Council on a semiannual basis and post it on the City’s website. Include in the CIP Project Report (Schedule Notes column) an explanation of any anticipated delays or required budget adjustments. In addition, add the responsible project manager’s name to the report for better accountability. CIP staff also presents (every other year) a written Status of Current CIP Projects Report to the City Council as part of the financial planning process, providing an update on all capital projects completed over the Page 57 of 233 Capital Improvement Program Process Assessment Performance Measurement, Reporting, Management and Information Systems Management Partners 30 last 18-month period. We believe this report also needs to be expanded to include the original project budget for each of the completed projects, the time involved in delivering those completed projects, and projects that are either delayed or are at risk of exceeding budget. By presenting this type of report, greater transparency and accountability regarding project delivery would be established. Provide an expanded version of the Status of Current CIP Projects Report presented with the financial planning process. The expanded version should include original project budgets for each of the completed projects, the time involved in delivering those completed projects, as well as projects that are either delayed or are at risk of exceeding budget. Management and Information Systems Signature thresholds for CIP projects, according to the Financial Management Manual, have not been adjusted in many years and bidding levels are currently at lower levels than State Code requirements. Updating these would reduce the need to return for Council approvals, which contributes to project delays. The following recommendations are intended to modernize the City’s approval levels consistent with best practice fiscal policies and procedures. Amend Exhibit 202-A of the Financial Management Manual for public projects and the Purchasing Process document published October 1, 2018 to authorize the CIP Manager to approve contracts between $7,500 to $44,999 after approval by the Fiscal Officer. This threshold currently requires approval by the Director of Public Works. Authorize the proposed CIP Manager to approve Contract Change Orders (Section 225 of the Purchasing Process Manual and the Purchasing Process document) for greater time efficiency. Adjust the threshold of projects that require City Council contract award approval from $175,000 to $200,000 or more, as allowed by charter city status. Adjust the threshold for requiring a formal public bidding process from $49,999 to $60,000, in Page 58 of 233 Capital Improvement Program Process Assessment Performance Measurement, Reporting, Management and Information Systems Management Partners 31 accordance with the California Public Contract Code Section 22032. Amend the Municipal Code to continually match the limits set forth in Public Contract Code, Section 22032, or set a higher threshold as allowed by the City’s charter city status. Staff stated that the Oracle system is difficult to use to monitor project funding status. Engineering staff report expending a lot of time finding available project balances. Additional training and the use of support staff to assist in project funding duties should be increased to free up engineers’ time spent on determining project balances. Provide additional training on the use of the Oracle system and develop expertise in use of the Oracle system within the department among support staff. Project close out reports are reportedly not up to date, resulting in the delay of project-related data and a reallocation of fund balances. When unavailable, the data from completed projects cannot be used for future engineering estimates and project planning. The department is currently working on improving this process. Institute a 30-day time from completion of project in which to prepare close out reports for capital projects that have been completed. Page 59 of 233 Capital Improvement Program Process Assessment Staffing, Organizational Structure and Management Expertise Management Partners 32 Staffing, Organizational Structure and Management Expertise The Public Works Department is one of eleven city departments and is organized into the following program areas: Administration, Engineering (including Transportation and Inspection), Maintenance, Parking and Transit. In FY 2020-21, the Department had 83.64 full-time employees (FTEs). With supplemental, contractual and added staff positions, the department’s total staffing was 107.54. Figure 4 includes FY 2021-22 FTE staffing for the department. Department staffing for FY2021-22 is essentially the same at 108.3 FTE. Figure 4. Existing Public Works Department Organization Chart Public Works Director (84 FTEs, 3 vacant, 1 frozen) Acting City Engineer/ Deputy Director (26 FTEs, 2 vacant) Parking Manager (11 FTEs, 1 vacant, 1 frozen) Maintenance Operations Manager (41 FTEs) Transit Manager (3 FTEs) Construction Engineering Manager (7 FTEs, 1 vacant) Acting Supervising Civil Engineer (9 FTEs, 1 vacant) Transportation Manager (8 FTEs) CIP Administrative Assistant (1 FTE) Corp Yard Administrator (1 FTE) Administrative Assistant (1 FTE) Public Works Analyst (1 FTE) Fleet Supervisor (5 FTEs) Urban Forest Supervisor (3 FTEs) Streets Supervisor (12 FTEs) Parks Supervisor (12 FTEs) Facilities Supervisor (7 FTEs) Parking Supervisor (7 FTEs, 1 vacant) Parking Administrator (3 FTEs, 1 Frozen) Page 60 of 233 Capital Improvement Program Process Assessment Staffing, Organizational Structure and Management Expertise Management Partners 33 The CIP Engineering group, staffed by 9 FTEs, has primary responsibility for delivering the CIP. The construction inspection staff (7 FTEs) are responsible for ensuring construction of public improvements and capital projects consistent with approved plans. Engineering staff in Transportation (in Public Works) and in Utilities (a separate department) also design and manage CIP projects, which are more specialized in nature. In addition, development engineering staff oversee a great deal of public improvements, but these improvements are typically designed and constructed by private developers. Management Partners conducted a high-level assessment of the staffing and organization structure associated with the CIP process. Because of the scope of our engagement, we did not conduct a detailed workload analysis of the support staff of the CIP Engineering team (i.e., the engineering technician, administrative assistant or public works analyst). The city engineer oversees all of the engineering functions (CIP engineering, construction and transportation) of the department. This position is currently filled by the supervising engineer who is acting in the position until the position is permanently filled. The supervising engineer oversees the CIP Engineering staff and the design and project management functions. This position is currently filled by one of the engineers who is acting in the position until that position is permanently filled. There are seven engineers and one engineering technician position in the CIP Engineering section. One of the engineer positions is currently vacant. A second position is expected to be vacant shortly. Most of the staff in this program have only a few years of public sector experience. Until recently, the department also had a vacant administrative analyst position that had responsibilities related to the CIP. This position has been filled within the last 60 days. This position reports to the business manager in the City Manager’s office. Figure 5 below shows the functional organization chart of the CIP group. Page 61 of 233 Capital Improvement Program Process Assessment Staffing, Organizational Structure and Management Expertise Management Partners 34 Figure 5. Existing Functional CIP Organization Chart Public Works Director Acting City Engineer/ Deputy Director Construction Engineering Manager (7 FTEs, 1 vacant) Acting Supervising Civil Engineer (9 FTEs, 1 vacant) Engineer III (1, vacant) Engineering Inspector III (4) Engineering Inspector IV (1) Engineering Consultant (1 - supplemental) Engineering Inspector III (1 - contract) Engineer II (2) Engineer III (4) Engineer I-III (1, vacant) Engineering Technician II (1) Administrative Assistant III (1 FTE) Deputy Director – Engineering and Planning (3 FTEs) Interim Utilities Engineer (1) Utilities Project Manager (1) Utilities Director Assistant City Manager Functions Construction contract management CIP construction inspection Private development construction inspection Functions Capital project management Plan preparations and specifications Project scoping Right of way acquisition Functions Capital projects prioritization and budgeting CIP planning and specification review Utility infrastructure master planning Functions Administrative support Contract processing Records maintenance Transportation Manager (8 FTEs) Active Transportation Manager (1) Signal Technicians (2) Traffic Planner-Engineers (4) Functions Active transportation planning and design Construction traffic control review Signal and streetlight maintenance and repair Traffic operations engineering Transportation capital project management Transportation development review Engineering Development Review Supervising Civil Engineer (5 FTEs) Engineering Technician (1) Permit Technician (1) Senior Civil Engineer (2) Community Development Director Functions Development review Encroachment permit issuance Subdivision improvement plans Subdivision map recordation Business Manager1 (2 FTEs) Public Works Analyst (1 FTE) Functions Administrative support Budgeting Financial reporting Note: Titles in italics are temporary, supplemental, or contract 1Not part of CIP team Staff Vacancies Because of the current number of CIP-related capital projects, vacancies in the engineering operation have contributed to project delays. Staff report that the city has historically had difficulty in filling engineering positions and currently there are several positions that are vacant. This may be due in part to the compensation offered. Local governments across the state are experiencing significant challenges in recruiting and retaining civil engineers; thus, competition is fairly fierce, and choices are often made on compensation. A citywide classification study is scheduled for FY2021-22 and is tentatively scheduled to be completed in early 2022; however, comprehensive studies often take longer than originally planned due to labor and employee relations issues. Delaying the classification study for engineers until 2022 will likely further impede recruitment success in filling the current vacancies. There are a number of steps the city can take now to reduce the impact of vacancies. Developing on-call agreements with firms that offer engineering or inspection services to augment city staff or expanding the use of supplemental, leased or other temporary employees (such as retired annuitants) to fill in the gaps are two possible strategies. Contract and temporary employees may be used as project levels fluctuate. Supplemental, leased or other temporary employees (such as retired annuitants) may also be used as deemed necessary. Page 62 of 233 Capital Improvement Program Process Assessment Staffing, Organizational Structure and Management Expertise Management Partners 35 Advance the compensation study of the engineering series to ensure that salary and benefits offered are competitive. This series should be done prior to the work on the citywide compensation study which could take considerable time to complete and implement. Centralize CIP Engineering Functions Through our interviews, we noted that CIP engineering and project management tasks are currently performed in three separate operations – in the CIP Engineering Division, Transportation Division, and in the Engineering and Planning Division of the Utilities Department. The decentralization of these engineering tasks can result in coordination issues, overlapping of functions, the lack of accountability, and inconsistency in how procedures are implemented. To build a first-rate CIP organization, we recommend placing responsibility for engineering in a single division and in a single department with the CIP Engineering team taking the lead role on the design and management of projects, with Transportation and Utilities staff providing project scoping and preliminary engineering. Due to the specialized nature of transportation, water and sewer projects, additional technical expertise will be needed on the CIP Engineering team to design and manage these projects. The City should evaluate the engineering functions in the Transportation and Utilities operation and transfer those personnel who possess the required technical expertise to the CIP Engineering team or have them serve in a matrix reporting relationship to the City Engineer with respect to designing and executing capital projects. Centralize responsibility for the design and project delivery of all capital projects within the Public Works CIP Engineering team. Evaluate which staff from Transportation and Utilities should be transferred to the CIP Engineering team or serve in a matrix reporting relationship to the City Engineer in order to provide the needed specialized technical expertise. Development Engineering Development Engineering is located in the Community Development Department with no formal reporting relationship to Public Works or the City Engineer. This group is responsible for the review of proposed public infrastructure (streets, sewers, storm drains, utilities, etc.) within Page 63 of 233 Capital Improvement Program Process Assessment Staffing, Organizational Structure and Management Expertise Management Partners 36 private development for compliance with public right-of-way requirements. The group is also responsible for construction standards for infrastructure and assets that will ultimately become the maintenance responsibility of the Public Works, Utilities, and Parks divisions. This unit also oversees other engineering functions, such as the City’s floodplain management, stormwater, and National Pollution Discharge Elimination System (NPDES) work. The City Engineer is ultimately responsible for ensuring that public infrastructure and associated standard specifications for its construction comply with city policies and the municipal code. While we understand the benefits of having the development engineering group physically reside in the Community Development Department for coordination and streamlining development review, we believe it is important that this functional group have a formal reporting relationship to the city engineer. We understand there is a Memorandum of Understanding (MOU) in place (from 2014) defining the current roles and responsibilities of the Public Works and Community Development Departments with respect to development engineering. We recommend that this be reviewed to reassign the formal reporting of this group to the city engineer, while retaining the functional role and services within the Community Development Department. Doing so will also provide professional development opportunities for engineering staff, enable staff to more easily cross functional boundaries, and ensure that policies and procedures with respect to public infrastructure are consistent. Reassign the reporting relationship of the development services engineering group to the City Engineer. Review and revise the 2014 MOU addressing roles and responsibilities of the Public Works and Community Development Departments to ensure development engineering services continues to effectively and efficiently serve development applicants. Staffing and Organization Structure The number of projects assigned to CIP Engineering identified in the FY 2021-23 budget are essentially the same as in previous years, although the cost, scope and complexity is expected to increase. Additional interest and public scrutiny will result in increased pressure to complete these projects in less time and within budget. Thus, in order to be in a position to address a more ambitious CIP, in addition to procedural and process improvements, additional staffing is also warranted. Page 64 of 233 Capital Improvement Program Process Assessment Staffing, Organizational Structure and Management Expertise Management Partners 37 Proposed Organization Structure Management Partners observed that the City has been delivering less than half of their slated CIP projects on schedule. With a larger CIP program anticipated in the years to come, based on additional revenues, the need to expedite the delivery of capital projects, especially with heightened public expectations, will require the City to augment its existing CIP staff. Figure 6 shows the proposed organization chart and recommended staffing which reflects the addition of four new positions and the reclassification of one existing vacant position as well as one soon-to-be vacated position. Recommended new positions are shown in red. The estimated annual cost for these new positions is anticipated to be approximately $590,000 or less. A description of the recommended position changes is outlined below. Figure 6. Proposed CIP Organization Chart Public Works Director City Engineer/Deputy Director Construction Engineering Manager (8 FTEs) Capital Improvement Program Manager (12 FTEs) Engineer III (1) Engineering Inspector III (5, 1 new) Engineering Inspector IV (1) Engineering Consultant (1, supplemental) Engineering Inspector III (1, contract) Administrative Assistant III (1 FTE) Deputy Director – Engineering and Planning (3 FTEs) Utilities Engineer (1)2 Utilities Project Manager (1) Utilities Director Assistant City Manager Functions Construction contract management CIP construction inspection Private development construction inspection Functions Capital projects prioritization and budgeting CIP planning and specification review Utility infrastructure master planning Functions Administrative support Contract processing Records maintenance Transportation Manager (8 FTEs) Active Transportation Manager (1) Signal Technicians (2) Traffic Planner-Engineers (4)2 Functions Active transportation planning and design Construction traffic control review Signal and streetlight maintenance and repair Traffic operations engineering Transportation capital project management Transportation development review Supervising Engineer (5 FTEs) Engineer I-III (3)3 Project Manager (1) Supervising Engineer (6 FTEs) Engineer I-III (3)3 Engineering Technician I-II (1) Project Manager (1) Functions Capital project management Plan preparations and specifications Project scoping Functions CIP report preparation Landscape design services Overall CIP program delivery Right of way acquisition Urban design services Functions Capital project management Plan preparations and specifications Project scoping Engineering Development Review Supervising Civil Engineer (5 FTEs) Engineering Technician (1) Permit Technician (1) Senior Civil Engineer (2) Functions Development review Encroachment permit issuance Subdivision improvement plans Subdivision map recordation Business Manager1 (2 FTEs) Public Works Analyst (1 FTE) Functions Administrative support Budgeting Financial reporting Note: Titles in italics are temporary, supplemental, or contract. 1Not part of CIP team 2One or more to be moved to Capital Improvement Division 3As vacancies occur, transition existing engineers to project manager positions until there are four engineers and four project managers. This will result in two engineers and two project managers assigned to each Supervising Engineer. Page 65 of 233 Capital Improvement Program Process Assessment Staffing, Organizational Structure and Management Expertise Management Partners 38 In order to bring a more heightened awareness and priority to the delivery of capital improvement projects, Management Partners is recommending the addition of a management position, CIP Manager. This position would be solely responsible for the City’s capital improvement program and to guide the CIP delivery process, to resolve issues that arise that impede project delivery, and to communicate project status with management, policy makers and the public. Since the passage of Measure G-20 was such a significant priority for both the City Council and the community, having a dedicated individual responsible for the entire CIP (including long-term capital projects and Measure G-20 funded programs) would bring a higher level of accountability to the City’s delivery of capital projects. In addition, this new position would relieve the City Engineer of some supervisory responsibilities and provide the City Engineer with more capacity to focus on citywide engineering functions, including planning for the future and building an integrated team. This position should be charged to projects since the delivery of projects will be their sole focus. A sample position description is shown in Appendix 3. The CIP Manager would be responsible for supervising development and implementation of the CIP, including communicating project status to policy makers and the public. This position should be given the authority to quickly escalate any interdepartmental or cross-departmental project disagreements or delays for department or City Manager’s Office resolution. This person should have strong technical (engineering background), managerial, and communication skills. Develop a job specification for and hire a CIP Manager to head the CIP Engineering Division. The supervising engineer currently supervises eight engineering-related positions which is not only a large span of control but results in significant responsibility for a large number of projects. Due in part to the incumbent’s acting capacity in the position, the incumbent also directly manages a number of projects. Based on the recommended staffing additions (two in this division), a heightened emphasis on timely project delivery, and additional project documentation, one position will be insufficient to handle the resulting workload. The addition of another supervising engineer is needed and would result in a more manageable span of control. Under this staffing plan, each supervisor would have four or five direct reports, thereby splitting the (proposed) project managers, engineers and technician between the two positions. This would result in two engineers and ultimately two project Page 66 of 233 Capital Improvement Program Process Assessment Staffing, Organizational Structure and Management Expertise Management Partners 39 managers assigned to each supervising engineer. The department might consider configuring the staffing so that one supervisor specializes in managing external design consultants while the other supervises the internal design work. The additional Supervising Engineer as well as the existing Supervising Engineer would report to the CIP Manager. Add one additional supervising engineer. CIP Engineering Staffing As previously discussed, Management Partners is recommending the introduction of a project manager classification to assist in the delivery of capital projects. Project managers have broad oversight responsibilities for project delivery, including scheduling, preparation and evaluation of bid and request for information (RFI) documents, managing contractors, ensuring work is designed according to requirements, tracking issues and coordinating solutions, and presenting project information to the public. Having this broader classification would shift many of the project-related responsibilities away from engineers, allow them to focus on projects design, and would provide professional development opportunities for existing staff who are interested in more varied responsibilities. In addition, all project managers would be charged to the capital projects they manage. Currently, the department has one vacant engineer position and another engineer is reportedly planning to leave the city. We recommend converting the vacant position to a project manager and as other engineering positions become vacant, reclassify those positions to project managers until the division has a mix of engineers and project managers, four of each. At the time this report is being written, the County of San Luis Obispo is recruiting for a project manager position. A copy of their recruitment flyer is shown in Appendix 4 and can serve as an example for developing a job specification for the project manager position. Add one project manager and reclassify the existing engineer vacancies to project manager positions. As additional engineering positions become vacant, convert them to project manager positions until there are four engineers and four project managers in the division. Engineers are currently performing a number of administrative tasks that could be assigned to specified support staff, e.g., Administrative Page 67 of 233 Capital Improvement Program Process Assessment Staffing, Organizational Structure and Management Expertise Management Partners 40 Assistant III and Administrative Analyst, thus providing more time to engineering tasks and activities. Tasks that could be provided by such staff include additional assistance with research and drafting staff reports, tracking right-of-way requirements, assisting with bid advertisements and openings, contract processing, project close-outs, and research on project funding. The recent hiring of an administrative analyst may provide sufficient capacity to assist with these tasks, along with the increased project monitoring and reporting recommended in this report. The existing administrative assistant and engineering technician may also be able to assist with some of these tasks. In addition, the City intends to embark on a very ambitious public communication strategy as it pertains to keeping the public informed about the status of capital projects. An interactive map on the City’s website as well as more social media posts are anticipated to provide the public with real-time information on the status of capital projects – all of which can be performed by non-engineering and technical support staff. Monitor the workload of technical and professional support staff to eliminate appropriate administrative (non-engineering related) tasks assigned to engineers. Consider adding additional support staff in the future should there not be the capacity to assume these additional duties by existing administrative staff. Construction Inspection Inspection staff handle private development and CIP inspections and are not currently able to meet demands with existing staffing levels. Most inspection staff members also have less than two years of experience and lack expertise with complex projects. Most of their experience has been under Covid-19 pandemic protocols, so training has been lacking. In addition, more opportunities for mentoring/knowledge sharing amongst these employees would be beneficial. Until current inspectors are appropriately trained, independent and efficient in their duties, the city should contract with consultant inspectors or retired annuitants to augment staff. As the CIP expands, the addition of one inspector will likely be needed in order to deliver timely projects. Construction management training would also be of benefit to staff in the inspection section. The department should establish an internship and mentoring program, in addition to a recruitment relationship with Page 68 of 233 Capital Improvement Program Process Assessment Staffing, Organizational Structure and Management Expertise Management Partners 41 California Polytechnic University’s Construction Management Program, in order to develop a training ground for entry-level inspectors. Develop a training program for inspection staff and knowledge sharing opportunities as well as seek other available options for any outside training. Augment inspection staff with consulting inspectors as needed, especially on those larger more complex capital projects. Add one additional inspector as the complexity of projects increases and workload demands necessitate. Develop a relationship with California Polytechnic University to create an internship and mentoring program. Training and Development Ongoing software training for CIP Engineering staff on computer-aided design and drafting (CADD), Bluebeam, and Oracle software would benefit staffs’ productivity by helping them keep up with changes and improvements and increase efficiencies in the use of these applications. Additional exposure to urban design elements employed in other cities/counties would also broaden design staffs’ expertise. Training in contract management would also be beneficial in working effectively with design consultants. Survey existing CIP Engineering staff and city management to determine training needs, including proficiency in adopted technologies, contract management, project management, construction management, and on internal processes and procedures. Explore opportunities to enroll new and existing staff in project management academies or bootcamps focused on public works projects. Evaluate partnerships with California Polytechnic University to provide project and construction management training. Seek out opportunities to job shadow in other cities, to include a broad design focus to expand urban design knowledge. Page 69 of 233 Capital Improvement Program Process Assessment Staffing, Organizational Structure and Management Expertise Management Partners 42 A number of the newer employees have spent the majority of their time in San Luis Obispo under Covid-19 protocols which has resulted in the lack of on-boarding, shadowing, and process training. It is worth noting that the City has a substantive CIP Design and Construction Guidelines document which is exceptional and helpful to new engineers and project managers. However, the City needs a better on-boarding and orientation process for new engineering and inspection staff so all internal and external resources are identified, and all processes made clear. This will reduce the time required for new employees to become proficient in existing practices and will help expedite the delivery of projects. Develop an orientation program, training binder, online tools and possibly videos to assist in ensuring new staff are trained in understanding processes, procedures and internal and external resources. Page 70 of 233 Capital Improvement Program Process Assessment Conclusion Management Partners 43 Conclusion Since the passage of Measure G-20, there is now a heightened awareness and expectation in San Luis Obispo to see more capital projects completed and delivered on time, as taxpayers want to see how their tax dollars are being spent. The residents put their trust and financial support behind the City by passing Measure G-20, so the challenge is now on City staff to produce and deliver more capital projects efficiently and with an improved aesthetic design. To successfully meet this challenge, the City will need to be more efficient and effective in their delivery of capital projects, and accountable for the results. As recommended in this report, we believe it is essential that the City improve the manner in which they plan and budget for capital projects and ensure that all project costs are included in each project. In addition, we believe City staff need to make a more concerted effort to track and report on capital project status, including the introduction of performance metrics which will ultimately lead to better accountability in both project delivery time and costs. However, process improvements alone will not be enough to deliver more capital projects, as the City will need to enhance their staffing at both the line and management levels as well as utilize more contractual services in order to be more effective in delivering timely projects. Improving the City’s project delivery culture by developing more project accountability in both project tracking and project costs will result in a more efficient and effective overall capital improvement program. Page 71 of 233 Capital Improvement Program Process Assessment Attachment A – List of Recommendations Management Partners 44 Attachment A – List of Recommendations Determine the fully-burdened costs of all in-house staff involved in the design of capital projects and use those data figures to determine the total costs of in-house project design versus that of contract design firms. Develop criteria to guide decision making regarding whether projects will be designed in-house or under contract. Implement a policy and procedure to require more time for scoping individual projects before a budget estimate and schedule are provided. Establish an annual budget to support an on-call cost estimating firm to develop fully inclusive budget estimates for more complex projects. Conduct a preliminary feasibility study for large and potentially complex projects before finalizing cost estimates and schedules. Establish a Preliminary Engineering Fund to pay for staffs’ time or consultant fees in connection with potential capital projects prior to establishing a project budget. Document the initial project scope and amendments made to the scope during the duration of the project, as well as the resulting impacts to the budget and the schedule. Contract with an on-call urban design firm during the scoping and preliminary engineering phase of highly visible capital projects. Allocate funds at least every five years to complete a comprehensive update of the City’s CIP. Transition the CIP Engineering staffing strategy toward a mix of project managers and design engineers. Establish Service Level Agreements with other departments to establish and clarify internal service arrangements. Elevate the organizational emphasis of on-time and on-budget project delivery and accountability through the use of practical performance measures. Ensure a peer review process that includes staff from design, construction, and other sections that have a vested interest in a given project is established. Require design consulting contracts to include a peer review, conducted by another on-call firm for large complex projects. Standardize plan layouts, notes, details, symbols, and nomenclature and train and communicate standards to all design staff. Establish a checklist of potential environmental and permit requirements and examine each project scope against the list early in the planning process. Page 72 of 233 Capital Improvement Program Process Assessment Attachment A – List of Recommendations Management Partners 45 Prepare written agreements or Memoranda of Understanding (MOUs) between project participants, especially for projects that require environmental or permit requirements. Limit the review of projects to early stages of design and reduce project reviews to a single commission. Communicate to client departments and decision makers the effect on project schedules (and future costs) whenever funding is delayed, adjusted or held. Involve on-call right-of-way consultants immediately upon determination that property acquisition will be needed. Consider alternative design delivery methods such as design-build and other delivery methods legally allowed by the State. Work with the City Attorney’s Office to amend the municipal code and the city charter, if necessary, to allow for alternative capital project delivery methods. Revise the current tracking system to include cost and scheduling metrics to inform management and executive staff about capital improvement performance and delivery, including developing a procedure to track and report anticipated and actual project costs. Implement a capital improvement project specific cost accounting system to track staff costs for all staff eligible to charge against a project. Ensure that the CIP Project Report baseline start and finish dates remain consistent and that all fields are reported accurately and on an up-to-date basis. Provide an expanded version of the bimonthly CIP Project Report to the City Council on a semiannual basis and post it on the City’s website. Include in the CIP Project Report (Schedule Notes column) an explanation of any anticipated delays or required budget adjustments. Provide an expanded version of the Status of Current CIP Projects Report presented with the financial planning process. Amend Exhibit 202-A of the Financial Management Manual for public projects and the Purchasing Process document published October 1, 2018 to authorize the CIP Manager to approve contracts between $7,500 to $44,999 after approval by the Fiscal Officer. Authorize the proposed CIP Manager to approve Contract Change Orders (Section 225 of the Purchasing Process Manual and the Purchasing Process document) for greater time efficiency. Adjust the threshold of projects that require City Council contract award approval from $175,000 to $200,000 or more, as allowed by charter city status. Adjust the threshold for requiring a formal public bidding process from $49,999 to $60,000, in accordance with the California Public Contract Code Section 22032. Amend the Municipal Code to continually match the limits set forth in Public Contract Code, Section 22032, or set a higher threshold as allowed by the City’s charter city status. Page 73 of 233 Capital Improvement Program Process Assessment Attachment A – List of Recommendations Management Partners 46 Provide additional training on the use of the Oracle system and develop expertise in use of the Oracle system within the department among support staff. Institute a 30-day time from completion of project in which to prepare close out reports for capital projects that have been completed. Advance the compensation study of the engineering series to ensure that salary and benefits offered are competitive. Centralize responsibility for the design and project delivery of all capital projects within the Public Works CIP Engineering team. Evaluate which staff from Transportation and Utilities should be transferred to the CIP Engineering team or serve in a matrix reporting relationship to the City Engineer in order to provide the needed specialized technical expertise. Reassign the reporting relationship of the development services engineering group to the City Engineer. Review and revise the 2014 MOU addressing roles and responsibilities of the Public Works and Community Development Departments to ensure development engineering services continues to effectively and efficiently serve development applicants. Develop a job specification for and hire a CIP Manager to head the CIP Engineering Division. Add one additional supervising engineer. Add one project manager and reclassify the existing engineer vacancies to project manager positions. Monitor the workload of technical and professional support staff to eliminate appropriate administrative (non-engineering related) tasks assigned to engineers. Develop a training program for inspection staff and knowledge sharing opportunities as well as seek other available options for any outside training. Augment inspection staff with consulting inspectors as needed, especially on those larger more complex capital projects. Add one additional inspector as the complexity of projects increases and workload demands necessitate. Develop a relationship with California Polytechnic University to create an internship and mentoring program. Survey existing CIP Engineering staff and city management to determine training needs, including proficiency in adopted technologies, contract management, project management, construction management, and on internal processes and procedures. Explore opportunities to enroll new and existing staff in project management academies or bootcamps focused on public works projects. Evaluate partnerships with California Polytechnic University to provide project and construction management training. Page 74 of 233 Capital Improvement Program Process Assessment Attachment A – List of Recommendations Management Partners 47 Seek out opportunities to job shadow in other cities, to include a broad design focus to expand urban design knowledge. Develop an orientation program, training binder, online tools and possibly videos to assist in ensuring new staff are trained in understanding processes, procedures and internal and external resources. Page 75 of 233 Capital Improvement Program Process Assessment Attachment B – San Luis Obispo Sample Projects Management Partners 48 Attachment B – San Luis Obispo Sample Projects Spec Number Project Name Financial/CIP Plan (initial) Original Projected Construction Cost Funding Source Revised Estimated Construction Cost Financial Plan – Project Completion Date Status as of March 2021 Months Behind Schedule Notes Primary Reason(s) for Delay 91658 Sinsheimer Irrigation and Drainage 2015-17 $140,000 Local Revenue Measure $500,0001 June 2020 82% complete 9 months + $450,000 budgeted in 2020-21 Council paused/delayed project Insufficient funding appropriated due to increases identified in design. Deferred in supplemental budget. Soil issues that increased cost. Out for bid and due to construct in 2021-22. Baseline should have been reset with Council’s funding deferral. 91503 California Taft Roundabout 2017-19 $1,260,000 General Capital Outlay Impact Fees Grants $2,360,000 June 2019 25% complete. Project on hold 21 months + x $2,360,000 debt financed in 2019-20 Construction funds not available until summer 2022. Delay in ROW acquisition. Debt financing didn’t occur. Defunded in June 2020. 91607 Marsh and Broad Traffic Signal Upgrade 2017-19 $175,000 Urban State Highway Account Grant $231,000 June 2019 25% complete 21 months + $231,000 budgeted in 2019-21 Added costs required after design. Rolled this project into larger project, resulting in delay. Delayed in supplemental budget. Construction now scheduled for 2023. 90480 Bridge – Marsh at Santa Rosa Replacement 2011-13 $6,700,000 Measure Y, Sewer Fund Highway Bridge, R&R Grant $8,342,900 June 2015 95% complete 69 months + Completed. Took a long time to design. Permitting took long time for RWQCB. Missed season (weather) in 2019. Property acquisition issues and easement delay Project management was lacking 91375 Bike-Railroad Safety Trail Taft to Pepper 2011-13 $1,900,000 General, Traffic Impact, Existing Grant/CDGB, Future Grants $4,653,700 June 2014 70% complete 81 months + Large grant funding and admin. with Caltrans. Design modified by Council. ROW challenges with Union Pacific, State, private delays w/foreign owner. Reassigned to Transportation group 91511 Streets – Madonna and Los Osos Valley Rd. 2017-19 $3,230,700 Local Revenue Measure $2,900,000 December 2017 Completed Feb 2018 < 2 months Combined with other streets No delays 91376 Streets – Safe Routes to School Implementation Foothill Crossing 2017-19 $345,000 Senate Bill 1 $595,894 June 2018 Completed Jan. 2020 19 months 2015-17 Phase 1: $45,000 for design Started as a planning study. Disconnect between planning phase and capital project phase tracking. 91439 Building -Mission Plaza Restroom 2015-17 $510,000 Local Revenue Measure $1,195,000 June 2018 On hold pending Downtown Concept Study 31 months + Project revised several times. Construction expected in 2022-23 Assigned to new staff member. No guidance from Planning in initial phase. Now going through several commissions and Council. Entitlements and public input is expected to delay construction until 2023. Project includes café. Page 76 of 233 Capital Improvement Program Process Assessment Attachment B – San Luis Obispo Sample Projects Management Partners 49 Spec Number Project Name Financial/CIP Plan (initial) Original Projected Construction Cost Funding Source Revised Estimated Construction Cost Financial Plan – Project Completion Date Status as of March 2021 Months Behind Schedule Notes Primary Reason(s) for Delay 91584A IT – Fire Station 2 Tower 2019-21 $250,000 Local Revenue Measure $200,000 December 2019 23% complete in Oct 2020. Scope change. Project on hold. N/A- Project on hold. Determining if project is needed. Cal Poly may provide access to their tower. 91214A Sanitary Sewer – Margarita Sewer Lift Station 2011-13 $600,000 Sewer fund $2,318,535 June 2016 Completed Feb. 2019 32 months Utilities managed project. Delays in property acquisition Bids higher then Eng. estimate Sources: 2011-13, 2013-15, 2015-17, 2017-19, 2019-21 Financial Plans, October 2018, 2019, 2020 CIP Reports, March 2021 CIP Report 1 Estimated bid costs Page 77 of 233 Capital Improvement Program Process Assessment Attachment C – Capital Improvement Program Performance Management Framework Management Partners 50 Attachment C – Capital Improvement Program Performance Management Framework There is no clear, simple management tool for measuring or tracking the execution of a capital improvement program. Although high visibility projects often get a lot of attention (e.g., the city’s downtown parking structure), the majority of day-to-day projects do not. Often the result is that a large number of projects are carried over from one fiscal year to the next because they did not get done. Since there is no management system for tracking the quality of the execution of the capital program as a whole, it is not possible to answer the question of whether the CIP was executed more or less efficiently and timely compared to prior year(s). How well the projects are executed against the planned budget and planned schedule are the primary variables that management can and should be managing. Many jurisdictions use project management software to manage their capital projects. Almost always, however, they are used for individual projects rather than for the capital improvement program in the aggregate. Management Partners believes that close attention to the execution of the capital improvement program – including tighter, more rigorous management oversight – will produce measurable improvements in performance. The axiom, “What gets measured is what gets done,” is apt here -- put a spotlight on performance, and chances are high that project delivery will improve. Given the amount of resources devoted to capital programs in public agencies, even modest improvement will produce substantial savings. For example, a 2% annual improvement in performance in executing an annual CIP of $5-millon would save $100,000 in a single year, a substantial amount that would become available for reprogramming. Usually, the execution of the capital program is left by city and county managers to their public works directors, sometimes overseen by a generalist manager. Since jurisdictions do not have a management system for measuring performance for the CIP as a whole, (excepting individual projects), there is minimal attention to the execution of the CIP. Implementation of a sound management system to address this concern could represent a major step forward in local government management. Page 78 of 233 Capital Improvement Program Process Assessment Attachment C – Capital Improvement Program Performance Management Framework Management Partners 51 CAPITAL IMPROVEMENT PROGRAM PERFORMANCE MANAGEMENT GOAL: Maintain a system that will be the basis for evaluating the quality of management for the two key elements of the Capital Improvement Program: 1. Managing against time of scheduled completion 2. Managing against project budgets METHODOLOGY & DEFINITIONS: New projects are approved in the adopted Capital Budget. For each project, the following are estimated at the time of formal project approval: x Total Project Cost, including o estimated design cost o estimated construction cost x Schedule x Project Start Date x Planned Bid Opening Date & Notice to Proceed Date x Planned Completion Date (date facility to be placed in service) After adoption, the management process should entertain revisions to the original estimates for Total Project Cost and Planned Completion Date to create a current work plan. During the bidding phase, the following information becomes available: x Actual Design Cost x Engineer’s Estimate and Contract Award Amount x Revised Estimated Construction Cost x Revised Estimated Project Cost and Schedule x Actual Start Date x Actual Bid Opening Date x Notice to Proceed Date x Revised Estimated Project Completion Date When the facility is placed in service (the point of substantial project completion), we learn the following: x Actual Construction Cost x Actual Project Completion Date Management should receive regular reports that reflect current performance in each of these areas, as well as an actual Total Project Cost once all pending items are completed and reconciled. Page 79 of 233 Capital Improvement Program Process Assessment Attachment C – Capital Improvement Program Performance Management Framework Management Partners 52 SUMMARY OF MEASURES: For each project, the following measures gauge performance against cost and schedule objectives: Cost: x Estimated Design Cost versus Actual Design Cost x Engineer’s Estimated Contract amount versus Contract Award x Total Project Cost o Budget estimate versus actual project cost o Revised estimate versus actual project cost x Construction Cost - Revised Estimate versus Actual Cost Schedule: x Planned Design Time versus Actual Design Time x Planned Bid Opening Date versus Actual Bid Opening Date x Planned Notice to Proceed Date versus Actual Notice to Proceed Date x Revised Estimated Construction Completion versus Actual Construction Completion x Planned Project Completion Date versus Actual Completion Date Page 80 of 233 Capital Improvement Program Process Assessment Attachment C – Capital Improvement Program Performance Management Framework Management Partners 53 AGGREGATE DATA FOR CIP MANAGEMENT DURING THE YEAR Primary Recommended Measures: COST OF COMPLETED PROJECTS Project Budget versus Actual Cost Total Project Budget: ______________ Total Project Cost: __________ Net $ Under (Over): _-_____________ % Variation: ______________ Number of Projects Under/On Budget: _______________ Number of Projects Over Budget: ________________ Percentage of Projects Under/On Budget: ________________ SCHEDULE OF COMPLETED PROJECTS Planned Completion Date* versus Actual Completion Date Number of Projects Ahead of Schedule: ______________ Average # of Days Ahead: _____________ Number of Projects On Time: _______________ Number of Projects Behind Schedule: _______________ Average # of Days Behind: ______________ Percentage of Projects Ahead or On Time: _______________ *For those projects which passed schedule milestones during the fiscal year. Page 81 of 233 Capital Improvement Program Process Assessment Attachment C – Capital Improvement Program Performance Management Framework Management Partners 54 AGGREGATE CIP MANAGEMENT DATA (continued) Additional Recommended Measures PROJECT COST PERFORMANCE Revised Estimated Cost Comparison Total Revised Project Estimate: ________________ Total Actual Project Cost: _______________ Net $ Under (Over):_______________ % Variation ______________ Number of Projects Under/On Budget: _______________ Number of Projects Over Budget: ________________ Percentage of Projects Under/On Budget: ________________ Construction Cost Total Revised Budget Construction Cost: __________________ Total Actual Construction Cost: ________________ Net $ Under (Over): _______________ % Variation: _________________ # of Projects Under Budget: ____________ Over Budget: ___________ Percentage of Projects Under Budget: _______________ Design Cost Budgeted Design Cost: __________________ Actual Design Cost: ________________ Net Variation: ______________ % Under (Over) Budget: _______________ # of Projects Under Budget: ____________ Over Budget: ____________ Percentage of Projects Under Budget: _______________ Page 82 of 233 Capital Improvement Program Process Assessment Attachment C – Capital Improvement Program Performance Management Framework Management Partners 55 AGGREGATE CIP MANAGEMENT DATA (continued) Additional Recommended Measures PROJECT SCHEDULE PERFORMANCE Construction Schedule Number of Projects Ahead of Schedule: ________________ Average # of Days Ahead: _______________ Number of Projects On Schedule: ________________ Number of Projects Behind Schedule: ________________ Average # of Days Behind: ________________ Percentage of Projects Ahead of or On Schedule: _________________ Bid Opening Date Performance Number of Projects Ahead of or On Schedule: ________________ Average # of Days Ahead: _______________ Number of Projects On Schedule: ________________ Number of Projects Behind Schedule: ________________ Average # of Days Behind: ________________ Percentage of Projects Ahead of or On Schedule: _________________ Design Time Schedule Performance Number of Projects Ahead of Schedule: ________________ Average # of Days Ahead: _______________ Number of Projects On Schedule: ________________ Number of Projects Behind Schedule: ________________ Average # of Days Behind: ________________ Percentage of Projects Ahead of or On Schedule: _________________ Page 83 of 233 Capital Improvement Program Process Assessment Attachment C – Capital Improvement Program Performance Management Framework Management Partners 56 AGGREGATE CIP MANAGEMENT DATA (continued) Other Potential Measures PROJECT COST PERFORMANCE Engineer’s Estimates versus Awarded Contracts Total Engineer’s Estimated Project Cost: __________________ Total Actual Contract Awards: ________________ Net $ Under (Over):_______________ % Variation:_________________ # of Projects Under Budget: ____________ Over Budget:___________ Percentage of Projects Under Budget: _______________ PROJECT SCHEDULE PERFORMANCE Notice to Proceed Performance Number of Projects Ahead of Schedule: ________________ Average # of Days Ahead: _______________ Number of Projects On Schedule: ________________ Number of Projects Behind Schedule: ________________ Average # of Days Behind: ________________ Percentage of Projects Ahead of or On Schedule: _________________ Page 84 of 233 Capital Improvement Program Process Assessment Appendix 1 – Mid March 2021 CIP Report Management Partners 57 Appendix 1 – Mid March 2021 CIP Report Page 85 of 233 No. Client Specification No. ProjectProject ManagerTotal Project BudgetLocal Revenue Measure FundingCurrent Completed PercentageBaseline Start Baseline Finish Start FinishDuration Variance DaysSchedule Notes1 Parks Maint 1000021 Bike - Meadow Park Pathway Maintenance Hai Nguyen $120,000.00 Yes 75 2/8/2018 8/20/2019 2/8/2018 10/28/2021 800 Duration variance due to funding issues. Preparing 90% plans2 Streets Maint 1000167 2021 Downtown Pavement Improvements Project Brian Rodriguez $2,895,000.00 Yes 40 7/1/2020 12/2/2021 7/1/2020 12/2/2021 0 Working on 100% PS&E 3/15/213 Streets Maint 1000184 679 & 699 Monterey Street Improvement Hai Nguyen $100,000.00 Yes 0 7/1/2020 10/1/2021 7/1/2020 10/1/2021 0 routing 90% plans4 CIP Project Eng 91203 Bridge - Prado Road Bridge Widening 2018 (Spec #91203) Wyatt Banker-Hix $15,000,000.00 No 10 7/1/2016 12/2/2024Wallace Group working on creek hydraulic analysis and completing environmental tech reports5 Transportation Plan and Eng Bike - Bob Jones Trail Prefumo Creek Connection to Oceanaire Adam Fukushima $216,000.00 Yes 06 Transportation Plan and Eng 91375 Bike - Railroad Safety Trail Taft to Pepper - 2018 Bryan Wheeler $4,653,700.00 Yes 70 1/1/2015 9/30/2021 6/1/2020 8/16/2020 ROW Clearance certified. 100% PS&E being reviewed for Caltrans Encroachment permit. Project on schedule.7 Transportation Plan and Eng 91394 Bike - Bob Jones Trail Octagon Barn Connection Bryan Wheeler $206,000.00 Yes 1008 Transportation Plan and Eng 91610 Sts - Higuera Street Widening: Fontana to Chumash Hai Nguyen $365,500.00 Yes 52 7/3/2017 11/7/2019 8/28/2018 3/21/2022 865 Currently undergoing 75% plans design. Duration variance due to the need for right of way acquisition.9 Transportation Plan and Eng 91611 Sts - Orcutt Tank Farm Roundabout Design Jennifer Rice $213,050.00 No 45 7/3/2017 3/25/2021 8/2/20213/25/2022 45Final PS&E to be complete by March2021. PG&E relocation engineering complete, waiting to be scheduled for construction. Jurisdictional permits being applied for and on schedule to be complete by May 2021. Tentative construction 2021. Variance due to coordination with applicant to coordinate project components.10 Transportation Plan and Eng 91695 Bike - Railroad Safety Trail Pepper to Train Station Jennifer Rice $30,000.00 Yes 14 7/3/2017 11/11/2019 2/13/2018 11/11/2019 109 35% design complete for two alternatives. Project on hold pending update of Active Transportation Plan. Public Engagement effort will be scheduled once general alignment is final.11 Transportation Plan and Eng 91503 Sts - California Taft Roundabout Jennifer Rice $1,260,000.00 Yes 25 11/1/2016 7/1/2021 11/1/2016 12/1/2022 345 PROJECT ON HOLD DUE TO REPRIORITY OF FUNDING DUE TO COVID-1912 Transportation Plan and Eng 91609 Ped - Broad Street Corridor PHB Jennifer Rice $270,000.00 Yes 87 7/1/2017 11/25/2019 6/7/2021 9/24/2021 494 Contractor awarded. Pre-Job complete. Equipment ordered. Projected construction start date June 2021. Variance due to delay in funding being budgeted.13 Transportation Plan and Eng 91378 Bridge - Santa Fe at Tank Farm 2018 Luke Schwartz $45,000.00 No14 Transportation Plan and Eng 91294 Sts - Higuera at 50 Higuera Widening Matt Crisp $947,500.00 No15 Transportation Plan and Eng 91607 Marsh & Broad Traffic Signal Upgrade Matt Crisp $175,000.00 Yes 25 10/1/2018 6/21/201916 Transportation Plan and Eng 91613 Sts - Prado Road Interchange Wyatt Banker-Hix $57,000,000.00 No 25 9/1/2017 1/12/2024 9/1/2017 7/23/2024 365 In PAED Phase. Updating project team on status. Work to begin on Elks Lane/Corp Yard portion of work17 Stormwater and Flood Control 90480 Bridge - Marsh Street Bridge Replacement Project Wyatt Banker-Hix $8,342,900.00 Yes 95 11/29/2010 11/22/2019 11/29/2010 7/23/2021 Construction activities complete. Complete right of way agreement and reimbursement from Caltrans. Permit closeoutDURATION VARIANCE MEAN 33218 Parks Maint 91439 Bldg - Mission Plaza Restroom - 2019 Richard Burde $105,000.00 Yes 15 7/3/2017 7/8/2019 7/3/2017 10/18/2019 -44 Initial Study will need to be completed prior to presenting to PC.19 Stormwater and Flood Control 90649 SW - Mid-Higuera Bypass 2017Brian Nelson $7,000,000.00 No 30 7/1/2010 1/10/2020 7/1/2010 11/4/2022Consultant delivered 90% Plans. Currently no construction budget; working on Grant Funding Finish date reflects design finish only.20 Stormwater and Flood Control 91513 SW - Buchon and Santa Rosa Storm Drainage Improvements Project Brian Rodriguez $250,000.00 Yes34 7/3/2017 6/29/2021 7/3/2017 6/2/2021 101 90% PS&E are being produced. Construction will be done when funding is available. (7-23-20)21 Natural Resource Protection 91392 OS - Laguna Lake Dredging and Sediment Management Project Implementation Richard Burde $490,000.00 Yes 97 7/1/2015 4/29/2022 54 Construction is expected to start July 202122 Water Resource Recovery 91219 WWT - Facility Upgrade 2017 Miguel Barcenas $140,209,000.00 No 50 9/16/2020 12/16/2023 Construction of the membrane facility is underway. Certain improvements of the WRRF are constrained by rainy seasons.23 Wastewater Collection 91133 SS - Calle Joaquin Siphon and Lift Station Replacement Jennifer Metz $3,300,397.22 No 60 1/6/2020 6/30/2022 1/4/2021 6/30/2022 Scheduled to bid when permits and property acquisition are complete.DURATION VARIANCE MEAN 3124 Network Services 91584 IT - South Hills Radio Site Upgrades Shelsie Kloepper $1,001,873.00 Yes 98 2/14/2018 10/14/2019 2/14/2018 12/17/2020 308 Construction Complete. Working on project closeout procedures. Will do separate contract for FAA required changes to tower design.25 Parks Maint 1000188 Mitchell Park Pickleball Courts Hai Nguyen $200,000.00 Yes 0 1/25/2021 2/25/2023 1/25/2021 2/25/2023 753 50% PSE26 Parks Maint 91658 Park - Sinsheimer Irrigation & Drainage Hai Nguyen $140,000.00 Yes 82 10/2/2017 12/23/2019 10/2/2017 11/30/2021 108 Duration Variance due to the fiscal impact of COVID-19. Preparing 100% plans27 Parks Maint 91633 Park - Sinsheimer Court Entrance Hardscape Richard Burde $60,000.00 Yes 70 7/3/2017 9/24/2019 7/3/2017 7/30/2019 -45 Project has been place on hold until funding is made available28 Swim Center Maint 91653 Bldg - MFR: Swim Center Co-generation Plant Shelsie Kloepper $85,000.00 Yes 24 4/3/2018 1/26/2021 4/3/2018 8/5/2022 398 Sustainability team working on solar design. Pending approval of solar design and installation. Once solar is in place and operational the Cogeneration unit will be removed.29 Urban Forest Services 1000003 Park - JOC Tree Maintenance 2018 Brian Rodriguez No 54 7/2/2018 1/12/2022 7/2/2018 4/25/2022 73 Project is on schedule and under construction. Task Orders identified will be performed for the next 3 years (until 4/25/2022)30 PW Facilities 91643 Bldg - Corporation Yard Tenant Improvement Brian Rodriguez $50,000.00 No 73 4/23/2018 3/18/2020 4/23/2018 6/18/2021 327 100% PS&E being reviewed by PW (Bluebeam Due Date 8/14/20)31 PW Facilities 91632 Bldg - MFR: Corp Yard Fuel Island Siding Brian Rodriguez $14,750.00 Yes 47 5/16/2018 10/29/2019 5/16/2018 7/1/2022697 Consultant has not provided 100% Construction Documents (7/23/20). Funding not available until FY2022-23.32 PW Facilities 91647 Bldg - Fire Station #1 HVAC Michael McGuire $21,800.00 Yes 55 7/2/2018 1/24/2020 7/2/2018 2/14/2020 0 With equipment delivery delays, construction to tentatively start November 9, 2020.33 CIP Project Eng 91532 Bldg - City Hall Landing Repair Brian Rodriguez $25,000.00 No 5090% PS&E complete. PROJECT ON HOLD 7/23/2034 CIP Project Eng 91665 SW - Old Garden Creek Retaining Wall Brian Rodriguez $175,000.00 Yes 0 10/15/2018 10/16/2020 5/15/2018 5/16/2020-104 Site visit has taken place, and scoping memo is being prepared. PM Transition.35 CIP Project Eng 91156 SW - Broad and Leff Culvert Repair Richard Burde $10,000.00 Yes 80 8/29/2011 4/19/2019 8/29/2011 6/21/2019 -45 100% PS&Es have been finalized and funding is pending36 Transportation Plan and Eng 91293 Walks - Railroad Crossing Upgrade - California & Foothill Bryan Wheeler $740,000.00 No 10 1/1/2018 12/1/2021 Awaiting environmental documents and agreement from Caltrans. Once received, project will continue design phase.37 Parking Admin 91545 Parking Access Revenue Control System Tim Bochum $763,000.00 No 95 9/1/2018 12/1/2018 9/1/2018 3/31/2020 Project has been plagued by a series of issues with contractor installation of equipment and service needs.38 Stormwater and Flood Control 91667 SW - WoodbridgeRichard Burde $25,000.00 No 0 7/3/2017 4/16/2019 7/3/2017 4/16/2019 0 Project to mitigate low flow spring runoff and resulting slippery algae on neighborhood street. Site visit has taken place and design considerations are being discussed39 Stormwater and Flood Control SW - Sacramento Culvert near Ricardo Richard Burde $0.00 No 5 11/1/2017 8/1/2019 11/1/2017 8/1/2019 0 Project will be designed this year and scheduled for construction in 2021 and is dependent on the completion of the silt removal at the same site.40 Water Distribution 91368 WT - Reservoir No. 2 Replacement 2017 Brian Rodriguez $5,750,000.00 No 37 7/1/2015 3/18/2021 7/28/2015 4/3/2025 1055 Environmental Constraints Analysis (ECA) for Highway 1 Site is being evaluated by SWCA consultant.41 Water Distribution 1000067 WD - Craig, Christina, Jaycee Waterline Replacement Hai Nguyen $2,160,000.00 No 71 7/1/2019 1/28/2021 7/1/2019 11/25/2021 301 Project to be re-advertised.42 Water Distribution 1000066 WD - Bee Bee, Cuesta, Loomis Waterline Replacement Hai Nguyen $1,750,000.00 No 75 7/1/2019 1/28/2021 7/1/2019 8/31/2021 215 Bid opening 3/12/202143 Water Distribution 91425 WD - Terrace Hill PRV Shelsie Kloepper $607,892.00 No 94 7/3/2017 8/30/2019 7/3/2017 6/7/2021 461 Delays from scope changes in project. Project in construction.44 Wastewater Admin and Eng 1000091 WWC - Verde Luneta Ramona Sewer Replacement Project Hai Nguyen $1,392,000.00 No 50 7/1/2019 11/1/2021 7/1/2019 1/6/2022 66 Preparing 90% plans. Additional Sewer replacement added on Ramona and Broad45 Wastewater Admin and Eng 1000090 WWC - Tassajara, Cerro Romauldo, Jeffrey, Westmont Sewer Hai Nguyen $1,320,000.00 No 71 7/1/2019 1/28/2021 7/1/2019 10/4/2021 249 Project to be re-advertised.46 Wastewater Collection 91639 SS - Chorro/Murray Sewer Replacement Hai Nguyen $444,000.00 No 63 1/1/2018 5/6/2019 1/1/2018 8/23/2022 1205Currently undergoing 90% plans review. Duration Variance due to PM handover and easement issues. Easement acquisition required for sewer main at 551 Murray47 Recreation Admin 91683 Park - North Broad Street Neighborhood Park Shelsie Kloepper $740,000.00 No 53 7/2/2018 12/15/2020 7/2/2018 12/31/2021 273 Delay due to rezoning process. Council approved rezoning. Need to finish reviewing 90% design.48 Recreation Admin 91562 Bldg - Parks and Recreation Interior Office Rehabilitation Shelsie Kloepper $455,000.00 No 61 3/5/2018 2/28/2020 3/5/2018 1/12/2022 488 Project scheduled pushed back because construction funding was on hold during pandemic. Working on preparing final plans. Move forward with construction Fall 202149 Police Admin 91365 Bldg - Police Station Replacement Richard Burde $80,000.00 Yes 40 3/1/2019 10/29/2020 12/6/2021 10/29/2020 0 Progress on sematic design is on hold until council provides guidance on moving forward50 IT Support Services 1000112 IT - Fire Radio Receive Site at Fire Station #4 Shelsie Kloepper $106,875.00 Yes 0 7/1/2020 8/19/2022 7/1/2020 5/22/2023 0 IT reviewing coverage needs due to recently constructed South Hills Radio Site Upgrades. Design on hold.51 Public Works Admin 1000043 Job Order Contract for Streets and Sidewalk Maintenance 2019 Lyle Nemeth $701,010.00 No 25 7/1/2019 6/30/2022 7/1/2019 6/30/2022 On Schedule52 Parks Maint 1000108 Park - Meadow Park Par Course Shelsie Kloepper $20,000.00 Yes 00 Project Budget Deferred byFY20/21 Supplemental Budget. Dates TBD upon funding appropriation.53 Parks Maint 1000107 Park - Vista Lago Mini Park Playground Shelsie Kloepper $40,000.00 Yes 00 Project Budget Deferred by FY20/21 Supplemental Budget. Dates TBD upon funding appropriation.Major City Goal2017/19 Multimodal TransportationOther Important ObjectiveRegular Priority2017/19 Downtown Vitality2015/17 Neighborhood Wellness2015/17 Laguna Lake Restoration2013/15 Infrastructure Maintenance2011/13 Infrastructure Maintenance Page 86 of 233 No. Client Specification No. ProjectProject ManagerTotal Project BudgetLocal Revenue Measure FundingCurrent Completed PercentageBaseline Start Baseline Finish Start FinishDuration Variance DaysSchedule Notes54 Parks Maint 1000110 Park - Cheng Park Revitalization Shelsie Kloepper $50,000.00 Yes 15 7/1/2020 2/28/2022 7/1/2020 8/9/2022 116 Delay trying to define final scope. Working on hiring design consultant.55 Swim Center Maint 1000111 Bldg - Swim Center Therapy Pool Boiler Shelsie Kloepper $15,000.00 Yes 39 7/1/2020 10/12/2021 7/1/2020 10/22/2021 8 90% PS&E Submitted. Project under review by building division, engineering, and building maintenance staff56 PW Facilities 1000055 Bldg - Council Hearing Room TI Brian Rodriguez $60,000.00 No 66 4/1/2019 6/22/2020 4/1/2019 5/14/2021 234 Memo to File: No Construction Budget Available, Final Construction Documents have been completed. 7/23/2057 PW Facilities 1000172 Bldg - Fire Station #1 Administration/Fleet Maintenance Roofs Michael McGuire $101,500.00 Yes 10 7/1/2020 12/31/2021 Design update meeting November 10th.58 PW Facilities 1000173 Bldg - Fire Station 3 Roof Replacement Michael McGuire $50,000.00 Yes 10 7/1/2020 12/31/2021 Starting Design.59 Streets Maint 1000019 Sts - JOC Striping, Curb Painting, and Signage Maintenance 2018 Brian Rodriguez No 51 12/10/2018 8/2/2022 12/10/2018 8/2/2022 0 JOC is in a 3 year term with Toste Construction until 8/2/2022.60 Streets Maint 1000101 Walks - Downtown Renewal Broad Street West Side Higuera to Marsh Brian Rodriguez $850,000.00 Yes 25 7/1/2019 9/9/2020 7/1/2019 2/9/2021 109 Working on 90% PS&E 7/23/2061 CIP Project Eng 1000025 Fire Station 1 - Solar Installation Aaron Glauch $100.00 No 0Project on hold due to Bus Yard upgrades. Solar installations are all tied together by contractor. Expect 2021 construction.62 CIP Project Eng 1000095 Swim Center - Solar Installation Aaron Glauch $100.00 No 0Project on hold due to Bus Yard upgrades. Solar installations are all tied together by contractor. Expect 2021 construction.63 CIP Project Eng 1000026 Transit Yard Solar and Parking Study Brian Rodriguez $74,467.00 No 97 7/1/2019 8/31/2020 7/1/2019 8/31/2020 Consultant is working on Draft Report64 CIP Project Eng 1000153 Bldg - City Hall Lighting 2019 Michael McGuire $175,000.00 No 0 4/5/2019 12/31/2020 Project deferred.65 CIP Project Eng SW - Silt Removal 2021 Richard Burde No 10Preliminary design has begun. 5 sites are being scheduled66 CIP Project Eng 1000037 South Street Landscape Richard Burde Yes 2067 CIP Project Eng 1000183 SLO Creek Repair at Johnson Ave Wyatt Banker-Hix Yes 0 11/25/2020 10/31/2022 11/25/2020 10/31/2022 Seeking On-call services68 CIP Project Eng 1000192 Buena Vista OC Repairs Wyatt Banker-Hix $100,000.00 Yes 0 3/1/2021 4/22/2022 3/1/2021 4/22/2022 Project initiation69 CIP Project Eng 1000053 Bus Wash Replacement Wyatt Banker-Hix $75,000.00 Yes 0 7/1/2021 12/14/2022 7/1/2021 12/14/2022 Project not initiated. Project delayed due to lack of grant funding70 CIP Project Eng 1000116 Park Major Maintenance 2021 - Railroad Bike Path Fencing Wyatt Banker-Hix $150,000.00 Yes 0 7/1/2021 12/16/2022 7/1/2021 12/16/2022 Project not initiated. Construction Monies available 202271 CIP Project Eng 1000141 Nipomo Street Reconstruction Wyatt Banker-Hix $750,000.00 Yes 60 8/20/2019 6/30/2021 8/20/2019 12/30/2021 90% plans routing72 Transportation Plan and Eng 91612 Sts - Buchon Street Traffic Calming Bryan Wheeler $143,200.00 No 50 6/1/2019 6/4/2020 6/5/2020 8/27/2020 Currently undergoing 100% design comment revision with consultant. Duration variance due to projected project cost increase. Midyear budget supplement has been requested for project.73 Transportation Plan and Eng 1000171 Higuera Street Paving Hai Nguyen No 60 7/1/2020 4/26/2021 7/1/2020 5/26/2021 30 100% PSE74 Transportation Plan and Eng 91619A Bike - Anholm Neighborhood Greenway Phase 2 Jennifer Rice No 20 7/1/2019 7/1/2021 7/1/2019 7/1/2021 0 PROJECT ON HOLD DUE TO REPRIORITY OF FUNDING DUE TO COVID-1975 Transportation Plan and Eng 1000069 Pedestrian Crossing Improvements Justin Wong $40,000.00 Yes 20 9/4/2019 8/30/2020 9/4/2019 GHD selected as project consultant. Designs for Broad/Islay and South/King crossings in preliminary stages.76 Parking Admin 1000102 Pkg - Bus Yard Parking Lot Maintenance (Grant Funds through Transit) Brian Rodriguez $500,000.00 Yes 0 7/1/2019 1/21/2022 7/1/2019 1/21/2022 0 PROJECT IS ON HOLD. Will resume after Solar and EV Chargers have been installed 3/15/2077 Parking Admin 1000105 Pkg - Fire Station 2 Parking Lot Maintenance Brian Rodriguez $45,000.00 Yes 0 7/1/2019 1/21/2022 7/1/2019 1/21/2022 0 Scope Project78 Parking Admin 1000103 Pkg - French Park Parking Lot MaintenanceBrian Rodriguez $80,000.00 Yes 0 7/1/2020 1/21/2022 7/1/2020 1/21/20220 Working on 50% PS&E 7/23/2079 Parking Admin 90435A Bldg - Palm Nipomo Garage Richard Burde $1,581,989.15 No 35Parking demand and parking fund forecasts are being developed by Brigitte and Gaven which will help inform construction scheduling revisions.80 Parking Structures 1000050 871 Marsh Street - Parking Structure Maintenance Aaron Glauch $800,000.00 No 0Scoping phase to commence. Schedule dates to be determined.81 Parking Structures 1000051 Parking Structure Maintenance 842 & 919 Palm Aaron Glauch $200,000.00 No 0Scoping phase to commence. Schedule dates to be determined.82 Parking Structures 1000049 Parking Structure Maintenance (All Structures) Aaron Glauch $1,000,000.00 No 0 10/1/2020 12/31/2021 10/1/2020 12/31/2021 Beginning design phase. Anticipating construction in 3-4Q 202183 Parking Structures 1000060 Energy Efficient Lighting Retrofits Aaron Glauch $100.00 No 17 1/27/2020 12/22/2020 1/27/2020 3/26/2021 -23 Installation delayed due to EcoGreen & PG&E availability.84 Stormwater and Flood Control 1000147 Storm Drain System - Trash Capture Devices Aaron Glauch $25,000.00 No 0Project deferred due to updated city budget.85 Water Treatment 1000126 WTP Backup Generator Cori Burnett $2,200,000.00 No 10 3/12/2020 12/31/2021 3/12/2020 12/31/2021 10 Project is currently in 90% design phase86 Water Treatment 91566 WTP Energy Efficiency Project Cori Burnett$14,750,000.00 No 40 11/21/2019 7/21/2021 12/20/2019 7/21/2021 This project is a design-build so the schedule will reflect final details on the design during the construction phase.87 Water Distribution 1000034A Reservoir 1 Cover Replacement Aaron Glauch $780,000.00 No 0 7/14/2020 6/30/2021 7/14/2020 6/30/2021 Bid opening scheduled for March 11, 202188 Water Distribution Highland Waterline Replacement Jennifer MetzNo 089 Wastewater Collection 1000079 Sewer Lift Station Replacement - Foothill Jennifer Metz $1,890,000.00 No 0 7/1/2019 12/31/2021 1/6/202012/31/202090 Wastewater Collection 91369 Sewer Lift Station Replacement - Airport Jennifer Metz $2,130,000.00 No 0 7/1/2019 6/30/2023 The design of the gravity sewer system will be coordinated with the realignment of Santa Fe Road.91 Wastewater Collection 1000083 Sewer Lift Station - New Buckley Station Miguel Barcenas $1,780,000.00 No 50 3/9/2020 7/1/2021 Kick off meeting was held by Avila Ranch, but expect to have a pre-construction meeting in June.92 Recreation Admin 1000190 Park - Emerson Park Fitness Equipment Wyatt Banker-Hix $150,000.00 Yes 00 Project initiation93 Parks and Rec Facilities 1000146 Poinsettia Creek Walk - Park Maintenance Aaron Glauch $100.00 Yes 0Drafting 90%. Project budgeted for 21-22 FY.94 Fire Admin 1000045 Air Compressor Replacement - Fire Station 1 Wyatt Banker-Hix $90,000.00 Yes 70 7/1/2019 8/31/2021 8/28/2019 9/10/2021 Air Compressor ordered. Review of plans in building departmentDURATION VARIANCE MEAN 172LegendArt Art ProjectsSS Sanitary SewerBike Bicycle ProjectsSts StreetsBldg Building or StructureStscapeStreet Furniture / SignsBridge BridgeSW Stormwater including Creeks & DrainageFleet FleetTank TanksIT Information TechnologyTree TreesMisc MiscellaneousUD Underground DistrictsOS OpenspaceWalks SidewalksPark Parks & LandscapingWD WaterPkg ParkingWR Water ReuseServ On-Call or Maintenance Contract ServiceWT Water TreatmentSignal Signals, Flashers, Ped XingsWWT Wastewater TreatmentPage 87 of 233 Capital Improvement Program Process Assessment Appendix 2 – Example from Cupertino of Quarterly CIP Update Management Partners 58 Appendix 2 – Example from Cupertino of Quarterly CIP Update February 5, 2015 Honorable Mayor and members of the City Council: Subject: January Status Report on F 14/15 Approved CIP I am pleased to provide you the following comprehensive quarterly document that includes descriptions and the status of all current projects. Below is a summary of any notable changes in schedule, scope, or budget that have occurred since the previous update in October 2014. As always, I would be very happy to meet with you to go over this document or to discuss any specific projects. • McClellan Road Sidewalk Improvements – Phase 1 This was scheduled for completion in winter 2014 and is now rescheduled to early 2015. • Monta Vista Storm Drain System This was scheduled for a neighborhood meeting in January and is now moved back to February. • Portal Park – Collins School Cricket Batting Cage Replacement Continued use of the existing school site for the cricket practice facility is under consideration by the school district. Project work is on hold until decision on the location is finalized. • Quinlan Community Center Fiber Installation This project was schedule for completion in late 2014, but was completed in January 2015, in time to allow live broadcast of the 2015 State of the City event. • Wilson Park Renovation Master Plan This project was schedule to initiate in winter 2014/15 but is now proposed to be deferred until after completion of a city-wide park master plan. • Monta Vista Recreation Center – Pre-School Play Area Improvements Subject to resource availability, this project was intended to initiate in spring 2015, however due to fluctuating participation at pre-schools, this project will be reconsidered in the proposed FY 2015/16 budget. The most current Construction Update Report, routinely presented to the City Council, will continue to be available as a link from the City’s home webpage. Respectfully submitted, Timm Borden Director of Public Works Page 88 of 233 Capital Improvement Program Process Assessment Appendix 3 – Job Specifications for CIP Manager Management Partners 59 Appendix 3 – Job Specifications for CIP Manager Page 89 of 233 Close this window CIP Manager Class Code: 2211 CITY OF MILPITAS Revision Date: Sep 12, 2019 SALARY RANGE $130,079.30 - $182,125.32 Annually DEFINITION: The Capital Improvement Projects Manager is responsible for the City's Capital Improvement Projects and will oversee, manage, and implement the City's projects. EXAMPLES OF DUTIES: The Capital Improvement Projects Manager shall work with the City Manager, the City Engineer, Assistant City Engineer, and other staff, to develop and implement the City's Capital Improvement Program (CIP). Assist in the development and application of the Design & Construction section policies, following general guidelines or professional and administrative standards in accomplishing assignments. Perform project management of design and construction of major and minor capital improvement projects. Prioritize and direct the work of the City CIP and be responsible for quality, schedule and cost control; work closely with the City Engineer and the Assistant City Engineer to coordinate CIP work. Interpret and apply relevant codes, ordinances, rules, and regulations. Meet and confer with developers, contractors, engineers and the general public relative to City policies, regulations, and procedures; coordinate discrepancies and problem situations with outside parties. Prepare and/or review improvement agreements. Administer and/or oversee the administration of contracts; review and approve all payments and billing for contracted services. Review work with and present to the City Council, various Commissions, and City management showing alternative courses and making recommendations for policy decision. Prepare and Issue Requests For Proposals (RFPs) to engage qualified consultants in contracts, and administering contracts, preliminary design, design, cost-estimating, scheduling, bidding and constructing, and reporting on all City CIP projects and programs. Oversee land and easement acquisition activities, and assist in identifying and defining City infrastructure needs for private development projects. Coordinate activities with other departments and divisions as appropriate. Serve as staff representative to a variety of City and outside commissions, boards and committees as assigned. Review, approve and sign engineering drawings. Conduct special engineering studies relative to assigned area of responsibility; prepare appropriate reports and analyses. Perform field investigations, construction site field reviews, and inspections. Progress reports shall be prepared and presented in both written and verbal format to the Council, City Manager and others and include updates on scheduling, budgeting, and issue resolution alternatives. Hire, train, supervise, and evaluate employees. Perform other related duties as assigned TYPICAL QUALIFICATIONS: Knowledge of: Principles and practices of engineering as applied to new development and municipal public works, including working knowledge of the California Public Contract Code. Practical knowledge and experience using computer programs such as spreadsheets, graphics presentation, CPM scheduling, and word processing. Applicable laws and regulatory codes related to development and construction. Methods and techniques used in the design and construction of a variety of public works projects. Principles of organization, administration, budget, and personnel management. Ability to: Interpret and apply applicable codes, ordinances, rules, and regulations related to design, construction and contracting of public works infrastructure projects. Interpret, review, and analyze project studies, plans, and specifications. Perform professional and technical support services relative to assigned area of responsibility. Communicate effectively orally, and possess excellent writing skills. Establish and maintain harmonious and effective work relationships with developers, contractors, engineers, City staff, and the general public. Supervise, train, evaluate and provide quality leadership to assigned staff. EXPERIENCE AND EDUCATION Any combination of experience and education that would likely provide the required knowledge and abilities is qualifying. A typical way to obtain the knowledge and abilities would be: Minimum Educational Qualifications A Bachelor's Degree from an accredited college or university in Civil Engineering. Experience: A minimum of five (5) years of significant and progressive Civil Engineering experience. Experience should include acting as the lead in the successful completion of several major capital improvement projects, including buildings, bridges, roadways, parks, utilities, and related municipal improvements. Experience must include preparation and analysis of schedules and budgets for major capital improvement projects. License Requirements The following licenses must be held at the time of appointment and maintain throughout employment: Registration as a Professional Civil Engineer in the State of California; and A valid California Drivers License Experience Qualifications Other Requirements: Work is performed primarily in an office environment and exposure to outdoor elements when conducting field reviews at existing city facilities, proposed project sites and construction sites; extensive use of the telephone, radios, and computers with repetitive keyboarding; ability to walk on uneven ground; drive to various locations daily; ability to work safely in a hard-hat construction zone; some exposure to construction and Municipal public works related chemicals and products. SUPPLEMENTAL INFORMATION: Supervision Received and Exercised Receives direction from the Assistant City Engineer and the City Engineer. Exercises direct and indirect supervision over professional, technical and clerical staff including Civil Engineers, land surveyors, project managers, consultants and other staff members. CONFLICT OF INTEREST Incumbents in this position are required to file a Conflict of Interest Statement upon assuming office, annually, and upon leaving office, in accordance with Resolution No. 8833. In compliance with the Americans with Disabilities Act, the City of Milpitas will provide reasonable accommodation to qualified individuals with disabilities and encourages both prospective and current employees to discuss potential accommodations with the Human Resources Department. The City of Milpitas is an Equal Opportunity Employer. Page 90 of 233 Close this window Capital Improvement Programs Manager Bargaining Unit: Unrepresented Employees Class Code: 234H CITY OF CUPERTINO Revision Date: Aug 1, 2020 SALARY RANGE $70.87 - $86.14 Hourly $12,283.79 - $14,931.04 Monthly $147,405.44 - $179,172.45 Annually FLSA: Exempt DESCRIPTION: Definition Under general direction of the Director of Public Works, this senior management position supervises development and implementation of the City's Capital Improvement Program. Oversees engineering/construction project management work for capital projects and facility upgrades. Directs and supervises assigned staff and consultants. Ensures that project schedules, cost and overall quality performance objectives are met across a diverse range of capital improvement projects. Coordinates, manages, and monitors the progress of assigned projects and programs at all stages of development to ensure timely/efficient/cost effective projects, and performs related work as required. Timely communicates and coordinates with operators of facilities impacted by capital projects. Develops public outreach plan for projects as needed to solicit public input and provide education. The CIP Manager may serve as the acting department head in the absence of the Public Works Director and the Assistant Director. ESSENTIAL DUTIES: Management reserves the right to add, modify, change, or rescind the work assignments of different positions and to make reasonable accommodations so that qualified employees can perform the essential functions of the job. Work with the Director of Public Works and other staff to develop and implement the City's CIP. Manage Public Works projects including the planning, permitting, environmental, design, and construction of buildings, parks, streets, utilities and other facilities owned and operated by the City. Interpret and apply relevant codes, ordinances, rules, and regulations. Assist in the development and application of City project delivery policies, following general guidelines or professional and administrative standards in accomplishing assignments. Prioritize and direct the work of the City CIP and be responsible for quality, schedule and cost control. Work closely with the Director of Public Works to coordinate CIP work. Supervises engineering review of CIP requests and proposals during the annual budget process. Assign projects to staff or consultants. Set priorities, adjust workload and make budget recommendations accordingly. Perform the contract administration activities which include, but are not limited to, plan and specification preparation and reviews, contract preparation and execution, contract change order approval, payment approval, dispute resolution, acceptance and bond release approval. Perform construction management activities which include, but are not limited to, planning, preparing and communicating schedules and progress of project activities and expenditures, assisting others in establishing project schedules and milestones. Developing critical path or project flow diagrams, setting and evaluating progress on project tasks. Hire and supervise consultants retained to provide particular expertise in project studies, environmental, programming, development, design or management. Participate in, or manage the selection, hiring, and development of contracts with consulting firms. Negotiate contracts with outside consultants. Act as owner's representative for the City in directing consultants and having them be responsible for work product quality and timeliness. Evaluate operations and activities of assigned responsibilities. Recommend improvements and modifications. Prepare reports of operations and activities. Plan, prepare and communicate schedules and progress of project activities and expenditures, and assist others in establishing project schedules and milestones. Develop critical path or project flow diagrams to plan, set and evaluate progress on project tasks. Coordinate closely with Finance and Director of Public Works budget preparation and administration. Prepare cost estimates for budget recommendations. Submit justifications for staff, supplies, materials and equipment. Monitor and control expenditures. Oversee the preparation of technical reports and designs for approval/acceptance. Monitor engineering aspects of facility start-ups. Ensure project start-up plans and required documentation are completed and coordinated with Operations and Maintenance Department personnel. Prepare staff reports for City Council, Planning Commission, and other advisory bodies. Make presentations to the City Council, boards and commissions, and advisory committees and citizen groups. Participate in the selection of staff. Provide or coordinate staff training. Frequently monitor employees to evaluate performance and correct performance deficiencies. Timely implement progressive disciplinary actions as required. Plan, prioritize, assign, supervise and review the work of staff. Build and maintain positive working relationships with co-workers, other employees and the public using principles of good customer service. Perform related duties as required. QUALIFICATIONS: Knowledge of: Project management principles and techniques. Procedure for planning and establishing plans, specifications, construction and inspection for Public Works projects. Design and construction principles, methods, materials and equipment used on Public Works construction. Principles and practices of public administration. Budget preparation and administration. Applicable laws and ordinances, computers, various software packages, or ability to learn, standard office equipment. Principles and practices of supervision and personnel management. Contract language administration and content. Potential for legal implications of various actions, safety and legal documentation required for implications. Accounting and budget principles. Environmental laws and regulations typical for public work capital projects. Permitting of capital projects. Eligibility of grants and other external funding sources for capital projects. Effective management of assigned personnel and methods to maximize productivity. Effective methods of public outreach. Ability to: Coordinate, manage, and track multiple project activities on several projects concurrently. Plan, assign, lead and review the work of subordinate staff. Prepare plans, specifications and technical reports. Anticipate and evaluate project risks, identify mitigating factors, and resolve problems among staff, contractors, other agencies, industry representatives and the public. Analyze and interpret social, economic, population and land use data and trends. Direct and review the work of consultants and staff. Manage multiple minor or major construction projects. Detect flaws in design, construction methods and materials to insure compliance with contract plans and specifications, permits, codes, regulations and laws. Develop recommendations and implications of different alternatives to resolving problems. Interpret laws, legislative ordinances, administrative policies and procedures. Prepare concise and comprehensive reports, internal memoranda, letters, agreements and responses to contractor claims, and maintain detailed records related to capital projects. Effectively supervise and train staff in areas related to capital projects. Administer change orders and contract laws. Prepare and present clear and concise administrative and technical reports. Coordinate and facilitate community workshops. Perform technical research and give reliable advice on engineering projects. Prepare clear and concise reports on technical material. Organize, implement, and direct operations and activities of the assigned staff, consultants and contractors. Supervise, train, and evaluate assigned staff on a continuous basis, sit at a desk for long periods of time. Intermittently, bend, squat, climb, kneel and twist while performing occasional field work. Intermittently twist to reach equipment surrounding desk. Perform simple grasping and fine manipulation. Use telephone, and write or use a keyboard to communicate through written means, and lift or carry weight of 10 pounds or less. Interpret and explain pertinent city and department policies and procedures. Assist in the development and monitoring of an assigned program budget. Develop and recommend policies and procedures related to assigned operations. Establish and maintain effective working relationships with those contacted in the course of work. Work across City departments to increase coordination and collaboration. Education and Experience Equivalent to a Bachelor's degree from an accredited college or university with major course work in civil engineering, architecture, landscape architecture, construction management or a related field. Seven years of increasingly responsible experience in project management work involving public works projects and facilities, including three years in a supervisory capacity. Licenses and Certifications The following licenses must be held at the time of appointment and maintained throughout employment: Possession of a valid Certificate of Registration as a Professional Civil Engineer or Licensed Architect or Licensed Landscape Architect in the State of California; Valid California Motor Vehicle Operators License. Page 91 of 233 BUILD A GREAT COMMUNITY TOGETHER ABOUT THE CITY The City of Redwood City is a San Francisco Bay Area community located in the heart of Silicon Valley, the technology-rich region extending from the San Francisco shoreline to the foothills of the Santa Cruz Mountains. Redwood City is the third largest city within the County of San Mateo, with over 86,000 residents. The city enjoys an average of 255 sunny days a year, which it boasts via the city slogan: "Climate Best by Government Test". We are a community that believes in working together to maintain and improve our quality of life. In fact, the City Council of Redwood City formally adopted a "Core Purpose" -Build a Great Community Together. This represents our commitment to community building, which is a crucial part of how we do business every day. Become a part of the team and join us in building a great community! ABOUT THE POSITION The City of Redwood City’s Administrative Services Department invites you to apply for the newly established position, Capital Improvement Program (CIP) Manager. Under general direction of the Assistant City Manager / Administrative Services Director, the Capital Improvement Program (CIP) Manager provides fiscal oversight and analysis of capital projects; serves as the lead for information and activity related to the citywide Capital Improvement Program (CIP) and individual capital projects; oversees development and production of the Five-Year CIP budget document; leads the CIP decision-making process and collaborates with department heads and staff regarding capital project prioritization; works with Finance staff on debt issuance for capital projects; and provides highly complex and responsible support to the Assistant City Manager in areas of expertise, and performs related work as required. The Administrative Services Department is comprised of four divisions, Finance, Human Resources, Revenue Services, and Information Technology. Working together, these divisions manage much of the City’s organizational infrastructure – its financial processes and system, its technology, and its people, ensuring that the City’s employees have the tools and environment they need to provide the community the best possible service. Typical duties include: x In collaboration with department heads and related staff, leads the development and production of the annual Five-Year CIP budget document. x Performs annual review and assessment of the Five-year CIP document and makes recommendations for improvements or changes. x Facilitates the effective flow of communication among the City Manager’s Office, Community Development Department, Finance Division, Public Works Services Department, and individual operating departments during the annual CIP budget preparation. x Leads and coordinates CIP-related meetings. THE CITY OF REDWOOD CITY INVITES APPLICATIONS FOR: CAPITAL IMPROVEMENT PROGRAM (CIP) MANAGER #2586 SALARY: $11,422 - $13,702 monthly Closing 12/14/18 at 5:00pm or upon receipt of the first 100 applications (Opened 11/16/18) Application Process Apply online at www.CalOpps.org Member Agency: Redwood City Candidates with a disability, which may require special assistance in any phase of the application or selection process, should advise the Human Resources Division upon submittal of application. Selection Process Oral Board Interviews tentatively scheduled for February 1, 2019 All applications will be reviewed for completion, relevant education, experience, training and other job related qualifications.Those who best meet the stated qualifications and requirements for the position will be invited to participate in the selection process. The specifics of the selection process will be communicated to those selected candidates. Page 92 of 233 BUILD A GREAT COMMUNITY TOGETHER x TracksUtility Users Tax (UUT) revenue and remains informed of UUT trends and how much will be available for the CIP including UUT related revenue enhancements; collaborates with the Revenue Services Manager on UUT fiscal developments, and coordinates with departments regarding grant-funded projects. x Monitors SB1 funding allocations and developments at the state level ensuring the annual maintenance of effort (MOE) reporting is completed accurately and timely and advising department heads if required levels of MOE activities are not met and implications for funding received/to be received. x Serves as a lead manager on the project team for debt issuance for capital projects. x As related to the CIP, plans, directs, implements, and evaluates the preparation and distribution of periodic financial statements, budgets, forecasts and trend analyses, revenue and expenditure projections, cash management and cash flow analyses, and other financial activities in accordance with Generally Accepted Accounting Principles (GAAP) and Federal, State, and Local laws and policies. x Attends and participates in professional group meetings; stays abreast of new trends and innovations related to the areas of assignment; researches emerging products and enhancements and their applicability to City needs. THE IDEAL CANDIDATE The ideal candidate is expected to have substantial project management and budgetary experience, having worked on complex projects that required critical analysis and the use of independent judgement and initiative. This is a new position for the City, and as a result, the person selected has an exciting opportunity to work collaboratively with colleagues across the organization and develop new citywide processes and procedures. The position will be expected to offer creative solutions to challenges, and will implement a new citywide CIP selection process and Five-Year CIP document. The ideal candidate has excellent oral and written communication skills and is approachable and flexible. The position also requires someone who is very organized, detail-oriented, and has strong financial acumen. Ideally, this person will have worked on departmental budgets or project budgets. A good balance of technical and relational skills is necessary. The candidate will work closely with Finance division staff, as well as staff in the City Manager’s Office, Community Development Department, and the Public Works Services Department. This position, therefore, requires a candidate with excellent interpersonal skills who is focused on building successful and collaborative relationships with department heads and departmental staff. MINIMUM QUALIFICATIONS Any combination of experience and training that would likely provide the required knowledge and abilities are qualifying. A typical way to obtain the knowledge and abilities would be: Experience Five years of increasingly responsible professional-level experience in one or more aspects of financial administration, preferably in local government, which includes at least two years of experience working in project management in a municipal or similar setting. Education Graduation from an accredited four-year college or university with major coursework in business administration, finance, accounting, political science, engineering, construction, or a related field. BENEFITS The successful candidate will enjoy the following benefits: x Public Employees Retirement System (PERS) 2%@60 for classic members, 2%@62 for PEPRA members. x Opportunity to select from a variety of health plans that are administered by PERS; Maximum City contribution is $1,705/month x 401(a) Deferred Compensation plan with City-paid 2% contribution x Auto allowance of $200/month x Dental & vision insurance x Employee Assistance Program x Vacation leave: l0-25 days per year x Sick leave of 12 days per year x 14 paid holidays per year x Fitness center access at City facilities x Commuter program available (6 minute walk from Caltrain) CITY VALUES Our Core Purpose: Build a Great Community Together The values that guide us are: x EXCELLENCE: Passion to do our best in each moment. x INTEGRITY: Do the right thing, not the easy thing. x SERVICE: We care and it makes a difference. x CREATIVITY: Freedom to imagine and courage to act. Page 93 of 233 BUILD A GREAT COMMUNITY TOGETHER Licenses & Certificates x The incumbent may be required to travel between various locations during their scheduled work shift. x Possession of a valid California Driver License with a satisfactory driving record is required. Knowledge of: x Applicable Federal, State, County and local laws, regulatory codes, ordinances, and organizational policies and procedures relevant to the assigned areas of responsibility. x Organization and management practices as applied to the development, analysis, and evaluation of programs and operational needs of the assigned functions. x Project and/or program management, analytical processes, and report preparation techniques for construction projects. x Basic principles and practices of cost benefit analysis, public agency business writing and budget development, and administration for construction projects. x Capital project terminology, principles and practices. x Budget management and construction economics. x General principles of municipal planning, facility development and project administration. x Relationships among federal, state and local planning programs. x Public administration and management principles. x Environmental regulations, laws and restrictions. x Recent and on-going developments, current literature, and sources of information related to the operations of the assigned functions. x Recordkeeping and reporting principles and procedures. x Modern office practices, methods, and computer equipment and applications related to the work. x English usage, grammar, spelling, vocabulary, and punctuation. x Techniques for effectively representing the City in contacts with governmental agencies, community groups, and various business, professional, educational, regulatory, and legislative organizations. x Techniques for providing a high level of customer service by effectively dealing with the public, vendors, contractors, and City staff. Ability to: x Interpret, apply, explain, and ensure compliance with Federal, State, and Local policies, procedures, laws, and regulations pertinent to the assigned areas of responsibility. x Coordinate and oversee programmatic administrative, budgeting, and fiscal reporting activities. x Perform responsible and difficult administrative work involving the use of independent judgment and personal initiative. x Prepare clear and concise reports, correspondence, policies, procedures, and other written materials. x Conduct complex research projects, evaluate alternatives, make sound recommendations, and prepare effective technical staff reports. x Effectively represent the department and the City in meetings with governmental agencies, community groups, and various businesses, professional, and regulatory organizations, and in meetings with individuals. x Establish and maintain a variety of filing, recordkeeping, and tracking systems. x Organize and prioritize a variety of projects and multiple tasks in an effective and timely manner; organize own work, set priorities, and meet critical time deadlines. x Operate modern office equipment including computer equipment and specialized software applications programs. x Use English effectively to communicate in person, over the telephone, and in writing. x Perform accurate and complex mathematical calculations. x Use tact, initiative, prudence, and independent judgment within general policy, procedural, and legal guidelines. x Communicate clearly, concisely and persuasively both orally and in writing. x Establish, maintain, and foster positive and effective working relationships with those contracted in the course of work. Page 94 of 233 BUILD A GREAT COMMUNITY TOGETHER Physical Demands: Employees must possess the ability to lift, carry, push, and pull materials and objects up to 25 pounds. A City application including a supplemental questionnaire is required.Prior to appointment, candidates will be required to pass a background check (at no cost to the candidate) including the following: x Criminal History Check x DMV Check x Credit Check x Fingerprinting ___________________________________________________________________________________________ SUPPLEMENTAL QUESTIONNAIRE CAPITAL IMPROVEMENT PROGRAM (CIP) MANAGER #2586 CITY OF REDWOOD CITY ____________________________________________________________________________________________________ Please answer the following questions. 1. Please describe a project you managed that you are the most proud of. What was the project, your role, the process you employed, and the outcome? 2. Please describe your experience managing, analyzing, or administering departmental budgets or project budgets. 3. Please describe your experience influencing others who do not directly report to you. The City of Redwood City is proud to be an Equal Opportunity Employer! The Immigration Act of 1986 requires proof of identity and eligibility for employment at date of hire. Any provisions contained in this bulletin may be modified or revoked without notice. Page 95 of 233 Capital Improvement Program Process Assessment Appendix 4 – Job Specifications for Public Works Project Manager Management Partners 60 Appendix 4 – Job Specifications for Public Works Project Manager Page 96 of 233 Close this window Public Works Project Manager Bargaining Unit: Unrepresented Employees Class Code: 212H CITY OF CUPERTINO Revision Date: Aug 1, 2014 SALARY RANGE $62.29 - $75.72 Hourly $10,797.54 - $13,124.51 Monthly $129,570.48 - $157,494.06 Annually FLSA: Exempt DESCRIPTION: Definition This job class performs a varied range of management functions. Under minimal supervision, the incumbent plans and implements the delivery of capital improvement and/or other assigned projects. At any given timeframe, this job class may be responsible for one or more projects, or assigned aspect(s) of a larger project, of varying scope, diversity, and complexity. The incumbent manages, through collaboration, coordination, planning, and the provision of direction, the formulation and implementation of all activities within assigned project(s). The incumbent develops project objectives, schedules, and budgets; prepares and delivers graphic, written and oral reports and presentations; prepares technical documentation to ensure delivery of intended product; tracks and manages expenditures; establishes and implements quality controls; maintains accurate project records; and ensures compliance with design intentions, regulatory requirements, and technical contract documents. This includes, in consultation with assigned project team members, the creation of objectives, priorities, budgets, and schedules required to achieve maximum production and efficiency in the project. ESSENTIAL DUTIES: Management reserves the right to add, modify, change or rescind the work assignments of different positions and to make reasonable accommodations so that qualified employees can perform the essential functions of the job. Manage Public Works projects including the planning, design and construction of buildings, parks, streets, utilities and other facilities owned and operated by the City. Assist in the development and application of City project delivery policies, following general guidelines or professional and administrative standards in accomplishing assignments. Assist CIP Manager and other colleagues to evaluate operations and activities of assigned responsibilities; recommend improvements and modifications; prepare reports of operations and activities. Prioritize and direct the work of project assignments and be responsible for quality, schedule and cost control; work closely with the supervisor to coordinate project work. Regularly report to supervisor and others in the City organization on the status of projects and other assignments; suggest, discuss and implement strategies to improve project delivery services. Perform project management activities which achieve, but are not limited to, planning, establishing, and executing: project performance and design objectives, schedules and budgets; regulatory compliance; process and project documentation; reporting the status. Evaluate the work effort required for project and identify the resources to provide that work effort; prepare and execute plan to retain required staff and/or consultant skills. Hire and supervise consultants retained to provide particular expertise for project studies, programming, development, design or management; participate in, or manage the selection, hiring, and development of contracts with consulting firms; negotiate contracts with outside consultants; act as owner's representative for the City in directing consultants. Plan and assist others in establishing project schedules and milestones; prepare, and communicate schedules and report on progress of project activities; develop critical path or project flow diagrams to plan, set and evaluate progress on project tasks; timely communication of deviations from project schedule and propose alternatives to align project activities with planned schedule. Plan and assist others in establishing project budgets; track and report on project expenditures; timely communication of deviations from project expenditure plan and propose alternatives to align expenditures with budget. Participate in budget preparation and administration; prepare cost estimates for budget recommendations; submit justifications for staff, supplies, materials and equipment; monitor and control expenditures. Interpret and apply relevant codes, ordinances, rules, and regulations. Oversee the preparation of project technical reports and design for approval/acceptance. Perform the contract administration activities which include, but are not limited to, plan and specification preparation and reviews, contract preparation and execution, contract change order approval, payment approval, dispute resolution, acceptance and bond release approval. Monitor engineering aspects of facility start-ups; ensure project start-up plans and required documentation are completed and coordinated with Operations and Maintenance Department personnel. Prepare project staff reports for City Council, Planning Commission, and other advisory bodies. Make presentations to the City Council, boards and commissions, and advisory committees and citizen groups. Participate in the selection of staff; plan, prioritize, assign, supervise and review the work of assigned staff; provide or coordinate training and staff development opportunities; work with employees to correct performance deficiencies; implement disciplinary procedures. Build and maintain positive working relationships with co-workers, other employees and the public using principles of good customer service. Perform related duties as required. QUALIFICATIONS: Knowledge of: Principles and practices (General knowledge of) civil engineering and/or landscape architecture and/or architecture; capital improvements. Principles and practices of project management. Principles and practices of management and supervision. English punctuation, syntax, language mechanics and spelling. Contract negotiation and administration; conflict resolution techniques. Principles of budget development and monitoring including development of control measures to remain within budget. Personal computer systems and applications. Principles and techniques for persuasive presentation of ideas and concepts in both oral and written formats. Ability to: Prepare and administer departmental budgets; negotiate and administer a variety of contracts. Develop and maintain positive relationships with community leaders, organizations, businesses, and staff; coordinate a variety of projects and activities inter-departmentally and with outside agencies. Plan, organize, direct and coordinate a variety of functional specialties with overlapping work areas. Analyze and solve problems of a complex nature; analyze complex technical and administrative information and problems, evaluate alternative solutions, and recommend or adopt effective courses of action. Supervise and direct subordinate professional and support staff; interpret and enforce administrative/operational polices, practices and procedures. Maintain knowledge of and adherence to city and departmental and state safety standards. Communicate effectively and persuasively in both oral and written format. Speak in large and small group settings; conduct staff meetings. Prepare and analyze comprehensive reports. Exercise sound independent judgment within general policy guidelines. Establish and maintain effective work relationships with those contacted in the performance of required duties. Education and Experience Any combination of training and experience that would provide the required knowledge, skills and abilities is qualifying. A typical way to obtain the required qualifications would be: Equivalent to a Bachelor's degree from an accredited college or university in civil engineering, landscape architecture, architecture, construction management, or other relevant degree; and three years of increasingly responsible technical and professional work experience with complex municipal design and construction projects, including two years of performing increasingly responsible project management functions and including two years in a supervisory capacity. Licenses and Certifications The following licenses must be held at the time of appointment and maintained throughout the tenure of employment: Valid California Motor Vehicle Operator's (Driver's) License. Page 97 of 233 Close this window PROJECT MANAGER II Bargaining Unit: SLOCEA - Public Services Class Code: 00000615 COUNTY OF SAN LUIS OBISPO Established Date: Jan 9, 2018 Revision Date: Dec 15, 1999 SALARY RANGE $37.62 - $45.73 Hourly $6,520.80 - $7,926.53 Monthly $78,249.60 - $95,118.40 Annually DEFINITION: Classes in this series perform a variety of tasks within the Public Works Department, including the planning, organization, communication and management of capital and maintenance projects to meet customer expectations within agreed upon time and budget constraints; performs other related work as required. TYPICAL TASKS AND REPRESENTATIVE DUTIES: (Not in order of importance) Prepares project initiation documents and reports and manage capital improvement and maintenance projects process from concept through project close-out; Develops and schedules project development and steering committee meetings; creates agendas; provides updates and reports on project status and responds to inquiries and action items; Prepares construction drawings and specifications or directs consultants and reviews consultant prepared documents; Performs technical computations and critical thinking decision making; Creates project development and construction cost estimates for a wide variety of projects and delivery methods; Coordinates preparation of construction contract documents and administers public bidding, including responding to RFI's, preparation of addenda, evaluation of bid results, and recommendation for award; Assists Construction Manager / Resident Engineer during construction of projects; Analyzes problems, makes viable and sound technical recommendations, and ensures design features are Coordinates with environmental planning staff to facilitate preparation of environmental documentation and environmental permit processing; Ensures compliance with storm water run-off requirements and energy guidelines; Communicates with stakeholders by providing regular project status updates; engages with consultants by conducting regular meetings, routine communication and clarifying progress steps; Obtains final review of construction documentation by ensuring work is compliant with codes and ADA regulations; review drawings, cost estimates, specifications and finish materials; conducts final review with customer, administration, maintenance and parks; ensures that all permit applications have been submitted and develops plan check corrections; Tracks project issues, coordinates problem solving, conflict resolution, and performs follow-up to ensure issues are resolved and properly communicated; Manages vendors and contractors to ensure they are performing to their statement of work before they are authorized for payment; manages change requests and vendor invoices; conducts site visits; develops punch lists and verifies completion of as-built drawings; Performs contract negotiations and updates to agreements; closes out project by processing notice of completion to consultants and processes any requests for final payment; May train or mentor others in project management, such as answering questions and/or performing analysis/audits of projects or vendor proposals. DISTINGUISHING CHARACTERISTICS: Projects Manager I: This is the entry level position in the series. Under general supervision, incumbents perform or assist in the performance of project manager duties for a wide variety of capital and maintenance projects, performing architectural and/or engineering functions as required, and/or hires and manages consultants to perform tasks. Incumbents perform in a trainee capacity to the journeyworker level. Projects Manager II: This is the journeyworker level within the series. Under direction, incumbents act as project managers for a wide variety of capital and maintenance projects, performing architectural and/or engineering functions as required, or hires and manages consultants to perform tasks. Incumbents at this level are responsible for managing multiple small-to-mid level projects. May take responsibility for managing more complex, larger scope and sensitive projects that have a higher consequence of error. Prepares effective memoranda and Board of Supervisor correspondence. May assist in making presentations to the Board of Supervisors, committees, or commissions to facilitate project goals. Projects Manager III: This is the advanced-level position in the series. Under general direction, incumbents have the primary responsibility for scope, schedule and budget decision making for any and all assigned projects, assuring the design and construction documents for assigned projects are biddable and buildable, and meet project goals and applicable standards. Incumbents at this level prepare and present items to the Board of Supervisors, committees or commissions to facilitate project goals and objectives. In addition, incumbents may act as a leadworker and provide technical or project management oversight to other Project Managers or staff, as assigned. EMPLOYMENT STANDARDS: Knowledge of: Principles, practices and techniques used in managing capital and maintenance projects; Building and/or infrastructure materials and construction methods; Architectural and/or Civil Engineering planning and design practices; Mechanical, electrical, plumbing, structural, and Civil Engineering; Construction cost estimates; Codes applicable to alterations and construction of public buildings; Program development and management; Project management software such as Microsoft Project, Microsoft Office applications such as Word and Excel, the Internet and other related computer applications such as Autocad; Administrative procedures and methods; Public bid process and contract negotiation; Principles and practices of technical problem solving; Public Works Department's strategic direction and goals. Ability to: Plan, organize, prioritize and manage capital improvement projects; Review detailed plans and specifications; Prepare contract documents for construction and remodeling; Prepare cost estimates; Analyze space requirements and utility impacts; Provide project direction and train project staff; Manage resources within budget and policy parameters; Recognize and resolve problems, develop recommendations and solutions; Effectively facilitate meetings, create and deliver presentations and build consensus Work effectively in a dynamic, changing environment; Negotiate and influence mutually beneficial project objectives; Work effectively with others including those of diverse perspectives; possess strong interpersonal skills such as listening, speaking, advisory, mediation, reconciliation and consensus building; Maintain positive working relationships; Communicate effectively, both orally and in writing with resources managers, customers, vendors, peers, subordinates, other government agencies and the public; Foster a spirit of teamwork and advocacy when meeting with staff and members of departments; Travel to off-site meetings and project locations; Maintain a safe and orderly work area. EDUCATION AND EXPERIENCE: All levels: Graduation from an accredited college with a Bachelor of Science degree in Architecture, Civil Engineering, Construction Management, Business Administration, City & Regional Planning, Organizational Leadership or a related field. (Job-related experience may be substituted for the education requirement on a year-for?year basis.) In addition: Projects Manager I: No experience required. Projects Manager II: Two (2) years of project management experience in building or infrastructure design and/or construction management, or work equivalent to Projects Manager I. Projects Manager III: Either A: Four (4) years of experience in building or infrastructure design and/or construction management that included at least one year of project management, OR B: Two (2) years of experience performing duties equivalent to a Projects Manager II. LICENSES AND CERTIFICATES: A valid driver's license is required at the time of application. A valid CALIFORNIA driver's license is required at the time of appointment and must be maintained throughout employment. Project Management Professional (PMP) certification from the Project Management Institute (PMI) is desired. OTHER SPECIFICATIONS: SPECIAL SUBCLASS RECRUITMENT: Recruitments for this classification may be conducted according to the special division or programs in which the vacancy exists and the requirements of the position, including any specialized licensure. This class specification generally describes the duties and responsibilities characteristic of the positions(s) within this class. The duties of a particular position within a multi-position class may vary from the duties of other positions within the class. Accordingly, the essential functions of a particular position (whether it be a multi-position class or a single-position class) will be identified and used by medical examiners and hiring authorities in the selection process. If you have any questions regarding the duties or the working conditions of the position, please contact the Human Resources Department at 805.781.5959. Page 98 of 233 City of San Luis Obispo Capital Improvement Program Process Assessment DRAFT IMPLEMENTATION ACTION PLAN September 2021Attachment BPage 99 of 233  Making the Most of the Draft Implementation Action Plan  Management Partners has developed this draft Implementation Action Plan to assist the City of San Luis Obispo with the phasing and scheduling of 53 recommendations. We understand and acknowledge that the work involved in implementing these recommendations will be in addition to the other work assigned to the Department of Public Works, as will be the assignment of the appropriate staff member responsible for overseeing its completion and the identification of specific planned completion dates. The draft Action Plan begins that process with guidance about a recommended priority assignment. Priority 1 recommendations are those that we believe are the most important to accomplish without delay or are easy to accomplish. Priority 2 recommendations have less importance in the near term, have an added element of complexity to complete, or require a significant amount of resources (perhaps internal and external) to assist with completion. Priority 3 are the least urgent to complete, either because they require action by a third party over which department staff has no direct control, or due to complexity, or their relative importance to department goals.  We suggest that you use this document to prepare a final Action Plan. In doing so, the management team will need to identify specific target dates for implementation completion. Additionally, you may want to modify the described activities for implementing an individual recommendation based on internal knowledge of what will be required for completion, or to adjust the assignment of responsibility based on pending or future workload or other considerations. Prudent implementation of most recommendations requires “circling back” after the work of completing strategies has begun and fine‐tuning the results based on experience. The step to do that is not spelled out for each recommendation in this document on the assumption that it would be part of your normal management system.   To turn this draft into the Action Plan you can use to manage implementation, replace the column entitled “Priority” with the dates for planned completion. A target date can be specific (e.g., March 1) or by month or quarter (e.g., 3Q 2022), as appropriate to the individual action.  Management Partners remains available to consult with you in this process in whatever way we can be helpful. All of the work to implement the recommendations is in addition to the normal work of involved city staff. Management Partners can provide extra capacity to expedite completion of many of the recommendations. Please do not hesitate to contact Rick Haydon at 805‐878‐4282 if we can be of assistance. Rick can also be reached by email at rhaydon@managementpartners.com.  Please note that the discipline of successful project planning is basic to successful execution of the work ahead. We hope that you find the draft Action Plan useful in that regard. Page 100 of 233 City of San Luis Obispo Capital Improvement Program Process Assessment Draft Implementation Action Plan  Management Partners  1 Rec No. Recommendation Implementation Steps Priority1 Person Responsible Comments 1  Determine the fully burdened costs of all in‐house staff involved in the design of capital projects and use those data figures to determine the total costs of in‐house project design versus that of contract design firms.  Calculate fully burdened hourly staff costs, including salaries and benefits, department and city overhead for all in‐house staff involved in the design of capital projects  Review project hour data collected by CIP Engineering to calculate in‐house project design costs for similar past projects  Compare in‐house project design costs with contracted project design costs Priority 1  Public Works Director  2  Develop criteria to guide decision making regarding whether projects will be designed in‐house or under contract.  Draft criteria and guidelines for determining whether to use in‐house staff or a contracted design firm  Consider such factors as availability of personnel resources, needed skillsets, project complexity, and scheduling  Review guidelines with the engineering staff   Distribute guidelines to CIP staff Priority 1  Acting City Engineer/Deputy Public Works Director  3  Implement a policy and procedure to require more time for scoping individual projects before a budget estimate and schedule are provided.  Determine the amount of time that should be spent scoping different types of projects  Draft a policy and procedure that specifies the time frame that should be used to conduct a comprehensive project scope  Specify that budget estimates should be all inclusive and based on a detailed assessment of the project  Distribute the policy and procedure to staff Priority 1  Acting City Engineer/Deputy Public Works Director  4  Establish an annual budget to support an on‐call cost estimating firm to develop fully inclusive budget estimates for more complex projects.  Research costs of on‐call cost estimating firms  Determine an annual budget amount that would cover the costs of using an external firm, based Priority 1  Acting City Engineer/Deputy Public Works Director   1 Priority 1: Important to accomplish without delay and/or easy to accomplish   Priority 2: Second tier of importance to accomplish and/or may involve some complexity or time to complete   Priority 3: Least urgent to complete and/or may take longer to set‐up or to execute Page 101 of 233 City of San Luis Obispo Capital Improvement Program Process Assessment Draft Implementation Action Plan  Management Partners  2 Rec No. Recommendation Implementation Steps Priority1 Person Responsible Comments on historical volume of complex projects that are estimated  Review research findings and budget costs with department directors  Gain budget approval 7  Document the initial project scope and amendments made to the scope during the duration of the project, as well as the resulting impacts to the budget and the schedule.  Create a procedure to ensure that the initial project scope, any amendments made to the scope, and resulting budget and schedule impacts during the project are documented  Inform staff of the new procedure Priority 1  Acting City Engineer/Deputy Public Works Director  8  Contract with an on‐call urban design firm during the scoping and preliminary engineering phase of highly visible capital projects.  Research potential urban design contractors  Estimate contractor costs  Specify the capital projects that require urban design consultation   Communicate new practice of contracting with these firms for highly visible projects to staff Priority 1  Acting City Engineer/Deputy Public Works Director  10  Transition the CIP Engineering staffing strategy toward a mix of project managers and design engineers.  Determine preferences for design work versus project management among CIP Engineering staff  Tailor project assignments to employee preferences  Convert vacant engineering positions to project management positions, as needed, to establish optimal ratio of project managers to engineers Priority 1  Public Works Director Requires collaboration with Human Resources 11  Establish Service Level Agreements with other departments to establish and clarify internal service roles and response times.  Draft Service Level Agreements to clarify the roles and responsibilities of internal supporting departments, such as Community Development, the City Attorney’s Office, and Human Resources   Review Service Level Agreements with department heads  Finalize Service Level Agreements  Communicate the purpose/objectives for using Service Level Agreements to department staff Priority 1  Public Works Director Requires support from the City Manager Page 102 of 233 City of San Luis Obispo Capital Improvement Program Process Assessment Draft Implementation Action Plan  Management Partners  3 Rec No. Recommendation Implementation Steps Priority1 Person Responsible Comments 12  Elevate the organizational emphasis of on‐time and on‐budget project delivery and accountability through the use of practical performance measures.  Determine which performance measures will be tracked (i.e., workload, efficiency, and effectiveness measures)  Review the list of performance measures with department head  Set up mechanisms/systems to track and report performance measures  Communicate the purpose and objectives of tracking costs and timeliness of projects to staff Priority 1  Assistant City Manager  16  Establish a checklist of potential environmental and permit requirements and examine each project scope against the list early in the planning process.  Develop a checklist that includes all possible environmental assessments and permitting requirements  Add a step early in the project design process that includes reviewing the checklist and making determinations as to environmental and permitting documents that will be required  Hold a meeting with CIP staff to clarify when in the process the new checklist will be referenced  Priority 1  Acting City Engineer/Deputy Public Works Director Requires collaboration with Community Development Director 19  Communicate to client departments and decision makers the effect on project schedules (and future costs) whenever funding is delayed, adjusted or held.  Establish a practice to draft a memorandum that explains the effects on project schedules and overall costs when changes to project funding are being considered.  Provide the memorandum to client departments and decision makers before final decisions are made. Priority 1  Public Works Director  25  Ensure that the CIP Project Report baseline start and finish dates remain consistent and that all fields are reported accurately and on an up‐to‐date basis.  Communicate to all staff with access to the CIP Project Report data that the start and finish dates must remain consistent (unchanged) unless the project start date is revised by Council  Hold staff accountable for not including a start or finish date or for changing the start date Priority 1  Acting City Engineer/Deputy Public Works Director  Page 103 of 233 City of San Luis Obispo Capital Improvement Program Process Assessment Draft Implementation Action Plan  Management Partners  4 Rec No. Recommendation Implementation Steps Priority1 Person Responsible Comments 26  Provide an expanded version of the bimonthly CIP Project Report to the City Council on a semiannual basis and post it on the City’s website.  Determine the fields needed on the CIP Project Report to provide greater clarity to the public and policymakers  Add the identified fields to the CIP Project Report  Communicate the changes to the report to staff and ensure they update all fields moving forward  Ensure the report is provided to Council on a semi‐annual basis  Post the report to the City’s website Priority 1  Acting City Engineer/Deputy Public Works Director  27  Include in the CIP Project Report (Schedule Notes column) an explanation of any anticipated delays or required budget adjustments.  Communicate to staff the need to include an explanation of any anticipated delays or required budget adjustments in the CIP Project Report  Include the responsible project manager’s name in the report for better accountability Priority 1  Public Works Director  35  Institute a 30‐day time from completion of project in which to prepare close out reports for capital projects that have been completed.  Modify the close‐out process to ensure reports for capital projects are completed within a 30‐day time frame  Update the procedures manual to reflect the modified process  Inform staff of the modified process Priority 1  Acting City Engineer/Deputy Public Works Director  36  Advance the compensation study of the engineering series to ensure that salary and benefits offered are competitive.  Request that the compensation study for the engineer series begin immediately and completed prior to the work on the citywide compensation study Priority 1  Assistant City Manager Requires collaboration with Human Resources 41  Develop a job specification for and hire a CIP Manager to head the CIP Engineering Division.  Prepare the job description and classification for the position, in consultation with Human Resources  Obtain City Council authorization, if required  Advertise position  Review and interview top applicants  Offer position and finalize paperwork Priority 1  Public Works Director Requires collaboration with Human Resources Page 104 of 233 City of San Luis Obispo Capital Improvement Program Process Assessment Draft Implementation Action Plan  Management Partners  5 Rec No. Recommendation Implementation Steps Priority1 Person Responsible Comments 42  Add one additional supervising engineer.  Update the job description, in consultation with Human Resources  Obtain City Council authorization, if required  Advertise position  Review and interview top applicants  Offer position and finalize paperwork Priority 1  Public Works Director Requires collaboration with Human Resources 43  Add one project manager and reclassify the existing engineer vacancies to project manager positions.  Prepare the job description and classification, in consultation with Human Resources  Reclassify the vacant engineer positions to project manager positions  Obtain City Council authorization, if required  Advertise for three project manager positions  Review and interview top applicants  Offer positions and finalize paperwork Priority 1  Public Works Director Requires collaboration with Human Resources 46  Augment inspection staff with consulting inspectors as needed, especially on those larger more complex capital projects.  Research and identify costs for consultant inspectors  Create an on‐call agreement with identified consultants to provide inspection services as needed Priority 1  Public Works Director  5  Conduct a preliminary feasibility study for large and potentially complex projects before finalizing cost estimates and schedules.  Specify the types of projects that require a preliminary feasibility study  Develop a preliminary feasibility report template that includes factors for considerations such as soil conditions, property acquisitions, community outreach, utility conflicts, etc.   Communicate the practice of conducting a preliminary feasibility study before finalizing a project’s scope, budget and schedule to staff Priority 2  Acting City Engineer/Deputy Public Works Director  6  Establish a Preliminary Engineering Fund to pay for staffs’ time or consultant fees in connection with potential capital projects prior to establishing a project budget.  Collaborate with the Finance Department to establish a preliminary engineering fund  Dedicate resources to the preliminary engineering fund to pay for staff’s time or Priority 2  Assistant City Manager  Page 105 of 233 City of San Luis Obispo Capital Improvement Program Process Assessment Draft Implementation Action Plan  Management Partners  6 Rec No. Recommendation Implementation Steps Priority1 Person Responsible Comments consultant fees in connection with potential capital projects  Ensure expenditures from the engineering fund for projects that move forward are reimbursed 13  Ensure a peer review process that includes staff from design, construction, and other sections that have a vested interest in a given project.  Identify which positions from engineering and inspection will be responsible for conducting peer reviews of project plans and specifications   Ensure that peer review occurs in the project design process  Communicate the purpose and objectives of the peer review process to staff Priority 2  Acting City Engineer/Deputy Public Works Director  14  Require design consulting contracts to include a peer review, conducted by another on‐call firm for large complex projects.  Modify consulting contracts to require that contractors use on‐call firms for peer review of large or complex projects Priority 2  Acting City Engineer/Deputy Public Works Director  17  Prepare written agreements or Memoranda of Understanding (MOUs) between project participants, especially for projects that require environmental or permit requirements.  Develop a policy to prepare written agreements or MOUs for projects that require environmental or permit requirements  Ensure such agreements include tasks, responsible party, timeframe and notification to other parties  Inform staff and project participants of the new policy Priority 2  Public Works Director Requires collaboration with Community Development Director  18  Limit the review of projects to early stages of design and reduce project reviews to a single commission.  Review the list of multiple commissions that have reviewed project plans in the past  Determine the most appropriate commission to review capital projects, and limit project reviews to that single commission  Add/clarify a step early in the project design process that includes commission review and limit reviews to the early stages of design Priority 2  Assistant City Manager  20  Retain on‐call right‐of‐way consultants and involve them  Research and maintain a list of potential on‐call right‐of‐way consultants Priority 2  Acting City Engineer/Deputy  Page 106 of 233 City of San Luis Obispo Capital Improvement Program Process Assessment Draft Implementation Action Plan  Management Partners  7 Rec No. Recommendation Implementation Steps Priority1 Person Responsible Comments immediately upon determination that property acquisition will be needed.  Adopt the practice of involving the consultants in the early stages of right‐of‐way acquisition projects to expedite the process  Communicate new practice to staff Public Works Director 21  Consider alternative design delivery methods such as design‐build and other delivery methods legally allowed by the State.  Explore the possibility of establishing local preferences and tiered incentives in design review contracts  Research other design delivery models that would be optimal for the City, such as construction‐manager‐at‐risk and public‐private‐partnerships, for large projects where collaboration with a private developer is beneficial  Present research findings to city leadership Priority 2  Public Works Director Requires collaboration with the City Attorney’s Office  23  Revise the current tracking system to include cost and scheduling metrics to inform management and executive staff about capital improvement performance and delivery, including developing a procedure to track and report anticipated and actual project costs.  Document the specific changes to the tracking system needed to ensure actual and anticipated project costs and schedules are accurately tracked and reported (reference Attachment C of the CIP Program Assessment report)  Meet with Finance and IT staff (if needed) to discuss the feasibility of expanding existing systems (Oracle and MS Project)  Implement and test software changes  Develop a policy and procedure that specifies the frequency/schedule for producing and reviewing the reports  Train staff on how to use the new tracking and reporting mechanisms  Priority 2  Acting City Engineer/Deputy Public Works Director Interface needed with Finance 24  Implement a capital improvement project specific cost accounting system to track staff costs for all staff eligible to charge against a project.  Calculate fully burdened staff/overhead costs  Modify the City’s CIPAce system to enable time to be charge to specific projects  Train staff and communicate the expectation that time be charged to specific projects Priority 2  Public Works Director  Page 107 of 233 City of San Luis Obispo Capital Improvement Program Process Assessment Draft Implementation Action Plan  Management Partners  8 Rec No. Recommendation Implementation Steps Priority1 Person Responsible Comments  Set a regular schedule to review data and estimate the time and cost to deliver projects 28  Provide an expanded version of the Status of Current CIP Projects Report presented with the financial planning process.  Update the Status of Current CIP Projects Report to include original project budgets for: o Each of the completed projects,  o The time involved in delivering those completed projects; and  o Projects that are either delayed or are at risk of exceeding budget  Provide this expanded report during the financial planning process Priority 2  Acting City Engineer/Deputy Public Works Director  29  Amend Exhibit 202‐A of the Financial Management Manual for public projects and the Purchasing Process document published October 1, 2018 to authorize the proposed CIP Manager to approve contracts between $7,500 to $44,999 after approval by the Fiscal Officer.  Amend Exhibit 202‐A of the Financial Management Manual for public projects and Purchasing Process as indicated  Inform staff of the change to the manual Priority 2  Assistant City Manager Requires collaboration with the Department of Finance 30  Authorize the proposed CIP Manager to approve Contract Change Orders (Section 225 of the Purchasing Process Manual and the Purchasing Process document) for greater time efficiency.  Provide authorization to the CIP Manager to approve contract change orders and update Section 225 of the Purchasing Process Manual and Purchasing Process documents  Inform staff of the change to the Process Manual and process documents Priority 2  Assistant City Manager Requires collaboration with the Department of Finance 31  Adjust the threshold of projects that require City Council contract award approval from $175,000 to $200,000 or more, as allowed by charter city status.  Determine an appropriate City Council approval threshold for contracts as allowed by charter  Update the threshold for City Council approval  Inform staff of the updated threshold Priority 2  Assistant City Manager Requires collaboration with the Department of Finance and City Attorney’s Office 32  Adjust the threshold for requiring a formal public bidding process from $49,999 to $60,000, in accordance  Adjust the threshold for requiring a formal public bidding process as indicated Priority 2  Assistant City Manager Requires collaboration with the Department of Finance and City Attorney’s Office Page 108 of 233 City of San Luis Obispo Capital Improvement Program Process Assessment Draft Implementation Action Plan  Management Partners  9 Rec No. Recommendation Implementation Steps Priority1 Person Responsible Comments with the California Public Contract Code Section 22032.  Update purchasing policy and procedure documents to reflect the change  Seek City Council authority  Inform staff of the updated threshold for requiring formal public bids 33  Amend the Municipal Code to continually match the limits set forth in Public Contract Code, Section 22032, or set a higher threshold as allowed by the City’s charter.  Collaborate with the City Attorney’s Office to create an amendment to the municipal code to continually match the limits set forth in Public Contract Code, Section 22032, or set a higher threshold as allowed by the City’s charter city status  Create a report for City Council describing the rationale for the change  Obtain City Council approval for amending the municipal code Priority 2  Assistant City Manager Requires collaboration with the City Attorney’s Office 34  Provide additional training on the use of the Oracle system and develop expertise in use of the Oracle system within the department among support staff.  Identify staff for whom Oracle training would be beneficial, including engineering and support staff  Identify resources for the training  Contract with Oracle to provide staff training Priority 2  Public Works Director Requires collaboration with the Department of Finance and Information Technology 37  Centralize responsibility for the design and project delivery of all capital projects within the Public Works CIP Engineering team.  Collaborate with Human Resources to reorganize engineering staff into a single division, or use a matrix reporting relationship to the City Engineer with respect to designing and executing capital projects  Update the organization chart to reflect the operational changes  Update position descriptions, if necessary, to reflect the operational changes  Inform staff of the organizational changes Priority 2  Assistant City Manager Requires support from the City Manager and collaboration with Human Resources 38  Evaluate which staff from Transportation and Utilities should be transferred to the CIP Engineering  Identify staff in the Transportation and Utilities division most suited to be transferred to provide support to the CIP Engineering team Priority 2  Public Works Director Requires support from the City Manager and collaboration with Human Resources Page 109 of 233 City of San Luis Obispo Capital Improvement Program Process Assessment Draft Implementation Action Plan  Management Partners  10 Rec No. Recommendation Implementation Steps Priority1 Person Responsible Comments team or serve in a matrix reporting relationship to the City Engineer in order to provide the needed specialized technical expertise.  Determine if changing their organizational placement or creating a matrix reporting relationship would better suit the organization  Modify the organization chart and inform staff of the operational changes 40  Review and revise the 2014 MOU addressing roles and responsibilities of the Public Works and Community Development Departments to ensure development engineering services continues to effectively and efficiently serve development applicants.  Review the 2014 MOU and determine what revisions to roles and responsibilities are necessary to ensure development engineering services continues to effectively and efficiently serve development applicants  Negotiate revisions to the MOU  Revise the MOU to reflect the negotiated changes Priority 2  Assistant City Manager  Requires support from the City Manager and Director of Community Development 44  Monitor the workload of technical and professional support staff to eliminate appropriate administrative (non‐engineering related) tasks assigned to engineers.  Develop a process to track the administrative workload of technical and professional support staff  Identify those tasks being performed by engineers that could be performed by professional support staff  Reassign administrative tasks currently performed by engineers to support staff where workload allows Priority 2  Acting City Engineer/Deputy Public Works Director Consider adding additional support staff in the future should there not be the capacity to assume these additional duties by existing administrative staff. 47  Add one additional inspector as the complexity of projects increases and workload demands necessitate.  Update the job description, in consultation with Human Resources  Obtain City Council authorization, if required  Advertise position  Review and interview top applicants  Offer position and finalize paperwork Priority 2  Public Works Director Requires collaboration with Human Resources 48  Develop a working relationship with California Polytechnic University to create an internship and mentoring program.  Determine the benefits of an internship and mentoring program with Cal Poly   Identify the relevant staff at Cal Poly with whom to discuss creating an internship and mentoring program Priority 2  Public Works Director Requires collaboration with Human Resources Page 110 of 233 City of San Luis Obispo Capital Improvement Program Process Assessment Draft Implementation Action Plan  Management Partners  11 Rec No. Recommendation Implementation Steps Priority1 Person Responsible Comments  Reach out the identified staff member and discuss the creation of an internship and mentoring program  Collaborate with Cal Poly to develop an internship and mentoring program 49  Survey existing CIP Engineering staff and city management to determine training needs, including proficiency in adopted technologies, contract management, project management, construction management, and on internal processes and procedures.  Create a survey tool  Identify a medium to deploy the survey (e.g., SurveyMonkey, Google Forms)  Deploy the survey  Analyze the survey results  Report the results  Schedule training Priority 2  Public Works Director  50  Explore opportunities to enroll new and existing staff in project management academies or bootcamps focused on public works projects.  Research options for project management academies or bootcamps focused on public works projects  Identify costs for the various options  Determine those options most suitable for SLO  Identify financial resources and determine which staff to send to the identified academies or bootcamps Priority 2  Public Works Director  51  Evaluate partnerships with California Polytechnic University to provide project and construction management training.  Discuss a potential partnership with Cal Poly to provide project and construction management training Priority 2  Public Works Director To be done in conjunction with Recommendation #48 53  Develop an orientation program, training binder, online tools and possibly videos to assist in ensuring new staff are trained in understanding processes, procedures and internal and external resources.  Identify those processes, procedures, and internal and external resources that are necessary for new hires to understand during the onboarding process  Develop an orientation program, training binder, online tools and possibly videos to assist new hires with understanding identified processes, procedures, and internal and external resources  Update the orientation materials as needed Priority 2  Public Works Director Requires collaboration with Human Resources Page 111 of 233 City of San Luis Obispo Capital Improvement Program Process Assessment Draft Implementation Action Plan  Management Partners  12 Rec No. Recommendation Implementation Steps Priority1 Person Responsible Comments 9  Allocate funds at least every five years to complete a comprehensive update of the City’s CIP.  Establish a process for CIP Engineering to conduct an in‐depth review of all capital projects at least six months before a new five‐year plan is z  Estimate time and costs associated with conducting the review  Gain budget approval for allocating funds  Priority 3  Public Works Director  15  Standardize plan layouts, notes, details, symbols, and nomenclature and train and communicate standards to all design staff.  Determine standard protocols for plan layouts, notes, details, symbols, and nomenclature  Document standards  Hold a training session to distribute standards document and review uniformity expectations Priority 3  Acting City Engineer/Deputy Public Works Director  22  Work with the City Attorney’s Office to amend the municipal code and the city charter, if necessary, to allow for alternative capital project delivery methods.  Research peer agencies’ municipal codes and/or city charters for use of alternative project delivery methods  Schedule a meeting with the City Attorney’s Office to determine which amendments to the municipal code and city charter are needed  Priority 3  Public Works Director Requires collaboration with the City Attorney’s Office 39  Reassign the reporting relationship of the development services engineering group to the City Engineer.  Collaborate with HR to update the organization chart to reassign the reporting relationship of the development services engineering group to the City Engineer  Communicate the change to affected staff Priority 3  Assistant City Manager Requires support from the City Manager, the Director of Community Development and collaboration with Human Resources 45  Develop a training program for inspection staff and knowledge sharing opportunities as well as seek other available options for any outside training.  Identify best practice training procedures for inspection staff  Create a training program using the identified best practices  Encourage staff to share knowledge at regular meetings  Identify additional training that would be beneficial for SLO inspection staff provided by third parties Priority 3  Public Works Director Requires collaboration with Human Resources Page 112 of 233 City of San Luis Obispo Capital Improvement Program Process Assessment Draft Implementation Action Plan  Management Partners  13 Rec No. Recommendation Implementation Steps Priority1 Person Responsible Comments  Contract with outside training consultants to provide additional training 52  Seek out opportunities to job shadow in other cities, to include a broad design focus to expand urban design knowledge.  Connect with colleagues in various cities to determine if SLO staff can shadow their staff for a period of time  Communicate the desired outcome of the job shadowing to both colleagues and SLO staff  Identify a mutually agreeable schedule for job shadowing Priority 3  Public Works Director   Page 113 of 233 Page 114 of 233 Attachment C Figure 6. Proposed CIP Organization Chart Recommended new positions are shown in red. Page 115 of 233 Page 116 of 233