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HomeMy WebLinkAbout04/12/2011, B2 - STRATEGIC BUDGET DIRECTION council Mmug j 4-12-11 acEnaa wpoM CITY OF SAN LUIS O ISPO FROM: Katie Lichtig, City Manager Mary Bradley, Interim Director o Finance &Information Technology Michael Codron, Assistant City Manager Debbie Malicoat, Finance Manager SUBJECT: STRATEGIC BUDGET DIRECTION RECOMMENDATION Approve conceptual budget balancing strategy for 2011-13 and provide policy direction as requested. REPORT-IN-BRIEF The purpose of this report is to: 1. Discuss a strategy based on Key Sustainability Principles that will ensure the 2011-13 Financial Plan provides for real progress towards financial sustainability on a long- term basis; 2. Present updated fiscal context and an updated Five-Year General Fund Fiscal Forecast based on adherence to the strategy during the next two years; 3. Provide the City Council with recommendations on investment levels in the Five Year Capital Improvement Plan to protect vital City assets for the short and long- term; 4. Seek feedback from the City Council on recommendations on budget balancing components, such as Operating Program Reductions, Revenue Enhancements, and Personnel Cost Reductions consistent with the sustainability strategy; 5. Seek feedback and direction from the City Council on key policy questions so that the 2011-13 Financial Plan accurately reflects Council policy; and 6. Provide information about participation of enterprise funds in this process. When staff presented the Five Year Fiscal Forecast in December and then the Mid-Year Review to Council in March, the projected structural gap between revenues and expenditures in the General Fund was $3 million without any corrective action. At that time, Staff also indicated that there were a number of issues that were very likely to cause this structural gap to grow. These factors included the following: • Revised revenue projections including increased Sales and Transient Occupancy Taxes but decreasing Property Tax; B2-1 Strategic Budget Direction Page,2 • Enhanced investment in the City's existing assets (infrastructure, fleet, building facilities, and information technology); • Elimination of the anticipated revenue from mutual aid reimbursements; • Increased operating costs due to restoration of"stop gap" operating budget reductions for the current year in spite of significant savings due to employee concession; and • Increased operating costs due to State budget realignments These factors increase the structural gap to $4.4 million annually if no convective actions are taken. Staff will discuss the revised Fiscal Forecast, along with budget balancing recommendations, in more detail later in the report. At this time, staff is presenting the Council with a recommended path to follow toward financial sustainability and asking for concurrence (or course adjustment) on this strategic direction. Staff is not asking the Council to make final budget decisions; there are a number of budget workshops and hearings ahead for that purpose. However, in order to prepare the Preliminary Financial Plan (to be issued in May), Staff needs strategic guidance now regarding the approach. Staff is recommending that the City Council provide the following conceptual direction, along with any changes as may be directed by a majority of the Council: 1. Approve the Key Sustainability Principles discussed in the report as the basis for recommendations regarding a balanced 2011-13 Financial Plan; 2. Endorse the level of investment proposed for the Capital Improvement Plan is appropriate and consistent with Council Goals for Fiscal Health and Infrastructure Maintenance, and consistent with the Council's priorities for the use of Measure Y funds; 3. Concur with development of the 2011-13 Preliminary Financial Plan incorporating the following elements: Gene!pl Fund Budget Balancinq Elements 2011-12 20U-13 Revenue Enhancements $ 416,300 $ 551,300 Operating budget reductions 1,890,100 2,009,900 Personnel cost reductions 1,050,000 2,100,000 4. Support the one-time use of$1.6 million of excess reserves for one-time project expenses as recommended; and 5. Discuss and provide direction on the following additional policy questions: a. Should the Golf Fund be transitioned to a Special Revenue Fund, as recommended? b. Should staff consider organizational efficiencies and cost savings made possible by the proposal to freeze the vacant Recreation Manager position, including B2-2 Strategic Budget Direction Page 3 exploring the possibility to consolidate the Natural Resources Program with the Parks and Recreation Department? c. Should the City Clerk's Office remain as a division of the Administration Department following the Pilot Program started in 2009-10? DISCUSSION Focus on Sustainability The 2011-13 Financial Plan process presents both challenges and opportunities for the City. The effects of the recent Great Recession, coupled with increasing operating costs, have caused a structural gap between ongoing revenues and expenditures in the General Fund which will persist without long-term adjustments to our budget. While revenue available to operate the City has dropped significantly, expenses have continued to increase. Although our major revenues have, for the most part, reached bottom and started a slow, moderate climb, they are down from their recent peaks and in some cases, Staff do not expect them to return to past levels for some time. Since the size and shape of our "new fiscal reality" have become clear Staff has the opportunity to develop a financial sustainability strategy that will serve the City well into the future. Staff has developed a set of principles that we believe define sustainability, as discussed below. This strategy, when fully implemented, will identify and fund vital services that are important to the community, permit the implementation of the Major City Goals outlined by the Council on January 29, 2011, and allow us to maintain our infrastructure and provide the tools and equipment for out employees to deliver services in the most effective way. Key Financial Sustainability Principles. The following reflects the key principles used in preparing the 2011-13 Financial Plan and conceptual budget-balancing strategy: 1. Develop a budget that balances the City's delivery of essential services to the community with the resources available on an ongoing basis. 2. Identify a five-year capital improvement plan which reflects funds needed to maintain the City's essential infrastructure, fleet, building facilities, and information technology assets. 3, Engage the community and employees for development of financial sustainability ideas. 4. Explore streamlining and simplifying City operations and alternative service delivery models as appropriate. 5. Ensure service reductions are balanced and retain highest priority services. 6. Incorporate personnel cost savings, subject to the meet and confer process, and consider all elements of total compensation. Balance these savings with the need to attract and retain well-qualified employees to provide City services. B2-3 Strategic Budget Direction Page 4 7. Surface budget reduction options based on service priorities, not vacant positions. Use attrition or vacancies to create flexibility and mitigate the need for lay-offs if operationally feasible. 8. Maintain the General Fund Reserve at 20% of operations to deal with the many financial uncertainties facing us now and in the future. 9. Use any fund balance available above the required 20% of operations for one-time rather than on-going expenditures. 10. Stay true to and focused on the purpose of Measure Y priorities. Financial Context for the 201143 Financial Plan An updated General Fund Five-Year Forecast has been prepared which incorporates updated assumptions in several areas (Attachment 1). Key assumption changes include: • Incorporating operating budget savings due to employee negotiations for 2011 which resulted in significant savings • Removing fire mutual aid revenues as an ongoing source of funding • Favorable changes to the base budget assumptions for sales tax and transient occupancy tax • Eliminating COPS grant funding due to State budget balancing actions • Increased costs of booking fees from the County due to State budget balancing actions California Public Employees Retirement System (CaIPERS) employer rates, which have been established for 2011-12 and estimated for the future years, have also been reflected. The previous Fiscal Forecast included 1-2% of payroll to provide for a potential change in assumed investment rate of return, which has been removed in light of the recent CaIPERS Board decision to hold the return assumption at 7.75%. The proposed Capital Improvement Plan and Operating Program funding has been updated and included in the revised Fiscal Forecast. These changes have increased operating costs due to restoration of "stop gap" operating budget reductions for the current year in spite of significant savings due to employee concession. As mentioned, changes in assumptions since the Mid-Year Review caused the structural gap to increase to $4.4 million without corrective action. The budget balancing strategies which will be discussed later in this report address this gap and achieve reserves at policy levels. Developing the Financial Plan The strategy for developing a Financial Plan that can be sustained over the long term is analogous to fitting puzzle pieces together. Some of those shapes we have control over, and others not. As we continue on the journey of preparing the 2011-13 Financial Plan, we have worked to identify the resources necessary to achieve the Council's Goals and provide excellent service to the community on a sustainable basis. Input for the Financial Plan: In putting together our proposed budget-balancing strategy Staff considered a number of sources, including: B2-4 I Strategic Budget Direction Page 5 Community Feedback. As part of the budget process, there has been extensive community involvement through advisory bodies, surveys, letters, budget workshops and the Community Forum. This year we asked the community to identify their priorities for the next two years along with any areas that they believed might be able to be reduced to provide resources to achieve those priorities. This information was provided to the Council at their Goal Setting Workshop and Staff took the comments of the community into account in crafting our proposed budget- balancing strategy. Council. Staff has strived to be responsive to the results of the Council's goal-setting process. City Employees. Staff have extensively involved and engaged our employees throughout the organization, both in communicating the problem and in generating thoughtful solutions. This process resulted in over 650 budget-balancing ideas from employees from all departments in the City. Many of these can be implemented immediately and are reflected in the proposed budget- balancing strategy. Other ideas, which will require further review and more effort to implement, will be part of the work plan for the Preservation of Essential Services and Fiscal Health Major City Goal and may be implemented in the future. As noted earlier, employee groups and the City recently agreed that salary costs would remain unchanged in calendar year 2011. In addition, there was agreement that most employees would be responsible for a larger share of their health insurance costs as premiums rose. Department Heads. After receiving budget-balancing ideas from employees, Department Heads made specific recommendations to the City Manager on those they thought should be strongly considered as budget-balancers for 2011-13. In follow-up to this, the Department Heads and the City Manager held extensive discussions on these ideas and reached consensus on the general strategy reflected in this report. Service Categorization Proiect. Another resource used to determine the appropriate fit between the pieces in the puzzle is the Service Categorization Project. The Service Categorization Project is a new feature of the financial planning process. The Project is a resource that identifies and categorizes all of the activities identified in the 2009-11 Financial Plan. As a reference document it is intended to facilitate decision making about reductions needed to create a balanced budget for 2011-13 and beyond.. It is important to note that this project does not rank activities by their priority. Rather, it categorizes activities based on the established criteria that Council reviewed in December and it is a tool that facilitates comparison of activities across various City departments. Proposed Budget Balancing Strategy As a starting point for Council consideration, the proposed budget balancing strategy consists of the following elements,which are described in more detail later in this report: 1. Investing in the Capital Improvement Plan to ensure that our infrastructure, fleet, buildings, and information technology systems are maintained consistent with Council priorities (Attachment 2). B2-5 Strategic Budget Direction Page 6 2. Implementing selected new revenues or increased cost recovery as identified in Attachment 3. 3. Using the anticipated$1.6 million in one-time excess reserves for one-time projects and other non-recurring priorities. 4. Reducing operating program costs and related service levels by$2 million annually, while allocating resources sufficient to accomplish Major City Goals, Other Important Objectives, and Measure Y priorities (Attachment 5). 5. Reducing the cost of personnel by $2.1 million annually. Capital Improvement Plan An additional goal in preparing the 2011-13 Financial Plan was to provide sufficient funds to protect vital City assets for the short and long-term. For the first time this year, a five-year capital improvement plan was developed which represents a phased approach to funding the projects needed to maintain our infrastructure and building facility assets over the entire five-year period. This plan also identified needs in the area of the City's fleet and information technology infrastructure. CIP Development Process. The CIP Review Committee, which includes the Directors of Public Works, Utilities, Community Development, Parks & Recreation, Finance & Information Technology, the Police Chief and the Assistant City Manager, is responsible for reviewing all CIP budget requests and making recommendations to the City Manager. The Committee evaluated 199 project requests submitted by departments and made preliminary recommendations to the City Manager based on the following criteria: • Does it complete an existing project? • Is it mandated by the state or federal government? • Is there significant outside funding for the project? • Is it necessary to address a significant public health or safety concern that cannot be deferred beyond 2011-13? • Is it necessary to adequately maintain existing facilities, infrastructure,or equipment? • Was it previously scheduled in the 2009-11 Financial Plan? • Does it implement a high-priority Council goal for 20.11-13? • Does it support Measure Y priorities? • Will it result in significant operating savings in the future that makes a compelling case for making this investment solely on a financial basis? If yes, how can we ensure that these savings will in fact occur? Timing of the project was also taken into consideration in the capital funding recommendations. For example, certain City buildings are in need of repairs such as roofs which, if not done at the appropriate time, will cause further deterioration and increased cost. Street paving projects, if deferred, also can result in more expensive treatment in the future and thus, escalating costs. Information Technology projects such as equipment or software replacement were also scheduled B2-6 Strategic Budget Direction Page 7 in the year needed to ensure system reliability. Additionally, our capacity to successfully implement the capital plan was considered when making funding recommendations. Based on the requests submitted and the City's financial circumstances, the CIP Review Committee recommended General Fund projects that total $7 million for the 2011-13 Financial Plan and $22.4 million over the five year plan, including fleet projects. This number does not represent the optimal Capital Improvement Plan; approximately 29 projects were initially recommended for funding but were deferred by the Committee beyond the five years due to funding constraints. Nonetheless, the CIP funding recommended is more than was projected in the December General Fund Forecast and Staff believe that these projects represent a major step toward a responsible CIP that maintains our important infrastructure, building facilities, and fleet and information technology assets. Detailed information on each specific CIP project request will be included with the Preliminary Financial Plan and will be the focus of discussion at the special budget workshop scheduled for June 9, 2011. Therefore, it is not our intent to fully evaluate the General Fund CIP at this time. However, Staff have included a summary listing of proposed General Fund capital projects (Attachment 2) for Council's information and we do want to get Council concurrence on the underlying approach Staff are taking in focusing our capital plan on long-term sustainability. CIP Program Alternative Design and Construction Delivery As part of the overall budget review process this year, the CIP'Engineering staff in Public Works identified a way to save significant costs on CIP project design and construction management. After analysis, it is more cost effective to utilize temporary contract engineers in-house in place of outside consulting engineering firms. Therefore, savings from this approach in the amount of$200,000 in 2011-12 and $400,000 for 2012-13 are reflected in the Forecast. In addition to the lower costs, this new approach provides flexibility to respond to the changing needs of the CIP. Staff is currently reviewing the City's personnel policies and will make any changes needed to allow this new method to be implemented. This new delivery method will be reviewed again in the next two year Financial Plan along with the Capital Improvement Plan to ensure it is meeting its overall objectives. What's Not Included in the CIP? In some cases, while a project may have been meritorious, its cost relative to the resources available was so large that it has been deferred beyond the five-year CIP. There are three projects which are not recommended by the CIP Review Committee for inclusion in the five-year plan which are especially noteworthy: Laguna Lake Dredging In December of 2009, the City Council approved the environmental document for Laguna Lake Dredging. The completion of the environmental document showed there are no fatal technical flaws for the project, as described. However, while feasible, it is anticipated to be expensive to complete the work. The City Council directed staff to come back with a Capital Improvement Plan project submittal, including a funding mechanism, as part of the 2011-13 Financial Plan. That request was prepared and submitted for review by the CIP Committee and the City Manager as requested. The project request totaled$5.75 million. B2-7 Strategic Budget Direction Page 8 Funding remains the major hurdle for moving forward. In reviewing the large number of needs for Capital Improvement funds to maintain the City's infrastructure, building facilities, fleet and information technology assets, the CIP Committee believes that Laguna Lake Dredging did not show an immediacy of need that was compelling for placing it above other requests. Staff is recommending a citizen engagement program to help determine if there is enough community support for dredging and how much time and money the community is willing to spend on dredging versus other important priorities. A small project account balance of $28,000 still remains after the completion of the environmental document that can be used for the process. The information from such an effort would give the Council a better understanding of how high a priority this is for the community at large, and whether the City should move forward at this time. The process could also provide an informal gauge of support for a neighborhood assessment district. This funding mechanism was the recommended method from the Interim Finance and Information Technology Director. The City, as a lake front property owner, should consider its own response to such a question. The City would conceivably be responsible for half the cost as a lake front property owner. Over the years, the City has involved the community to varying degrees. This involvement included a committee in 1955 that discussed what should be done with the Lake and supported dredging and the Laguna Lake Study Committee in 1979, which assisted in development of the Laguna Lake Management Program. In 2004 the Parks and Recreation Commission held discussions on dredging and received public comment. At the Council's request, the survey in the spring of 2005 to gauge support for a revenue measure included a question that dealt with Laguna Lake Dredging. The survey indicated about 44% of the citizens may be supportive of spending some new revenue on a dredging project. However, in comparison to all the possible service issues presented to survey respondents, such as public safety, senior services, traffic congestion, street paving and flood protection, Laguna Lake dredging rated at or near the bottom of interest. The downside of proceeding with an engagement program is that it may appear the City is going to study dredging again and is not the intent of this effort. Nevertheless, given the economic climate,it is appropriate to reevaluate community support for this undertaking. South Street Medians A community effort for improving safety along South Street led to the addition of median islands on South Street and the reduction of travel lanes from four to two. The medians were constructed at the City's cost, but the work was overseen by Caltrans as part of the Highway 227 Rehabilitation project. The roadbed was removed within the planting area and soil substituted. Sleeves were installed.to facilitate future irrigation connections. The islands were filled with wood chips awaiting final planting by the City. The landscaping project was programmed to be designed as part of the 2007-09 Financial Plan; however, the project was later cut from the budget as part of the budget balancing activities of September 2008. As part of the 2009-11 Financial Plan process the Council expressed desire for the islands to be planted and requested staff to develop some low cost options to develop the B2-8 Strategic_Budget Direction Page 9 medians. Staff returned to Council in October of 2009 and at that time received direction to submit a Capital Improvement project as part of the 2011-13 Financial Plan to install native or drought tolerant plantings. That request was prepared and submitted for review by the CIP Committee and the City Manager as requested. Funding requested for the project totaled $1.1 million. As noted in the discussion of Laguna Lake Dredging, the CIP Committee was faced with many competing demands as it crafted the CIP recommendation for the City Manager's consideration. Landscaping of the South Street medians has not only capital expense costs for construction, but will also result in an estimated $3,600 annually of ongoing increased contract maintenance and utility costs. Ultimately the Committee felt it should wait for consideration to a future year beyond the fifth year of the CIP. City Hall Entrance Steps The concrete steps and landings at the main entrance to City Hall have cracked and spalled over many years and have become unsightly. The cracking was noted by staff in 2008. At that time, staff experimented with patching/sealing the wider cracks and creating new stress joints to allow further movement without reopening the jagged cracks. The entry apron was original to the building construction 60 years ago and was not designed or installed to today's building concrete standards. After addressing the cracking on a short term basis, staff prepared a CIP request to replace the step area as part of the 2009-11 Financial Plan. The project proposed removing all the concrete steps and landings and replacing them. The existing handrails would also be replaced with handrails complying with current ADA standards. The estimated cost in the proposal request was $110,000 (including design costs). In 2009 the CIP Committee reviewed the project and recommended that it not be reconsidered for at least 4 years, or as part of the 2013-15 Financial Plan. In spite of this recommendation because interest had been expressed this project was submitted as part of the five-year CIP plan for this current Financial Plan. However, given other competing needs, the Committee recommended that it move beyond the five years as the steps continue to be functional and the work addresses more of an aesthetic issue. Fleet and Information Technology Needs: Council is also aware that the City will be identifying replacement and funding schedules for fleet and information technology assets as part of the Preservation of Essential Services and Fiscal Health Major City Goal. Our current fiscal policy provides that the General Fund will maintain a Fleet Replacement Fund for the timely replacement of vehicles with a minimum balance of at least 20% of the original purchase cost of the fleet assets. The policy also provides that the annual contribution to the Fund will generally be based on the annual use allowance which is determined by estimated life and original cost ("depreciation"). Due to budget constraints in the last several years, a "pay-as- you-go" approach for fleet has been used, which is not ideal when crafting a sustainable financial plan. A more sustainable approach to providing adequate replacement funds for the longer term is the "depreciation" approach where smaller amounts are set aside on a systematic schedule to be available when replacement is due. This is particularly important in the case of expensive B2-9 Strategic Budget Direction Page 10 equipment such as fire apparatus and heavy duty trucks. Staff is currently making a first attempt to prepare a long-term replacement schedule for Fleet. Public Works is currently in the process of working with each user department to evaluate each vehicle in our fleet and will be recommending an amendment to our vehicle replacement policy to more accurately reflect the useful vehicle life that Staff can expect based on our maintenance program. Public Works is also reviewing use of each vehicle and has reduced the fleet as appropriate. Thus far, twenty vehicles, or 8% of the General Fund fleet, have been removed from our fleet inventory or put into a pool for shared use through this process. When the inventory and replacement schedule are completed, Staff will have a clearer idea of how much additional funding will be required to replace our fleet on an on-going basis. In the meantime, the General Fund Five-Year Forecast includes an initial contribution of $500,000 from the General Fund to begin to provide the needed resources to replace our fleet; this contribution increases by $50,000 each year in the five-year plan. Staff hopes that this will be a major step toward providing full funding over the long term. There is no adopted fiscal policy for the replacement of information technology assets. The proposed Capital Improvement Plan includes several essential information technology projects. Once the Information Technology Strategic Plan is completed, a replacement schedule will be developed, and the extent of our needs in this area will be known and can be incorporated into our fiscal plans. Public Art Policy. The City's public art policy calls for the City to invest 1% of the General Fund construction component of the CIP. Given the fiscal challenges facing us, Staff does not recommend funding public art at this level. On the other hand, in good times and bad, the City require the private sector to contribute '/2% of construction costs towards public art. Accordingly, we recommend continuing to fund public art in 2011-13, but at t/2% of construction costs, consistent with private sector obligations. This is the same level of public art investment that was adopted in the 2009-11 Financial Plan. Revenue Enhancements Staff has proposed seven revenue enhancements for the 2011-13 Financial Plan, as listed below. Revenne Fnhancements 2011-12 -1012-13 Enhanced code enforcement $ 741100 $ 74,100 Enhanced business tax/license enforcement 50,000 100,000 Lease of conduit space 40,000 40,000 Rent Ludwick Center computer room 11,000 11,000 School district funding for School Resource Officer 126,200 126200 Street sweeping services 85,000 170,000 Public Art administration from Public Art fund 5,000 5,000 Downtown activity support from Downtown Association 25,000 25000 Total Revenue Enhancement Options $ 416,300 $_ 551,300 B2-10 Strategic Budget Direction Page 11 The reasons for recommending these options are fully detailed in Attachment 3. The revenue recommendations are all consistent with the City's user fee cost recovery policy. Unlike the 2009-11 Financial Plan, revenue additions and enhancements do not play a major part in our budget balancing strategy for 2011-13. This is primarily because most of the legally available revenue options were already addressed in efforts undertaken over the past several years. It is important to underscore that Staff are not asking the Council to formally approve these added revenues at this time. Discussion of any changes will occur during the budget hearing process, with formal approval upon budget adoption in June. At this time, we are asking Council to let us know if they have reservations about any of these revenue enhancement proposals so that Staff can develop alternative budget balancing strategies. Use of$1.6 Million One-Time Excess Reserves Consistent with the City's adopted fiscal policy, Staff recommends using ending fund balance that exceeds the policy level on one-time non-recurring expenditures. It is currently estimated that the 2010-11 fiscal year will have $1.6 million in excess reserves at year end. In addition to the one-time Significant Operating Program Changes that are recommended, staff proposes that any remaining balance be allocated to one-time costs, including unforeseen realignment of services due to the State Budget crisis and those associated with the timing of implementing personnel cost reductions that must be negotiated. Staff further recommends an ongoing strategy of allocating one-time revenues to one-time costs, which will provide for additional capital projects, technology needs or fleet replacements. Operating Programs Rigorous Focus on "Base Budgets." In preparing the operating budgets, all departments took a deep look at their operations with a critical eye toward sustainability. Wherever possible, departments reduced their "base" budget, with a focus on areas where goods or services were no longer required or there were savings from renegotiating contracts. In some cases the "stop gap" reductions that were implemented in 2010-11 were restored; in other cases those measures have proven sustainable. At this point, General Fund Operating Program requests total $49.4 million, which is $386,000 more than estimated in the December General Fund Five-Year Fiscal Forecast update. This is primarily due to restoration of"stop gap" reductions, which were not intended to be on-going and increases in retirement costs. It is important to note that the operating program budget would be higher were it not for the employee cost containment measures accomplished with the most recent negotiations. Signiftcant Operating Program Changes. During the course of identifying sustainable operating budgets, departments were asked to identify significant changes to their budgets, both increases required to maintain basic services as well as reductions required to balance the budget. Additional resource needs were identified in several areas, some of which are one-time in nature, while others are ongoing. Consistent with the City's Fiscal Policies, the City Manager is recommending that one-time needs are funded with one-time resources, while ongoing needs are B2-11 Strategic Budget Direction Page 12 incorporated into ongoing operating budget assumptions. Details of these resource requests, called Significant Operating Program Changes (SOPC), are shown in Attachment 4. In general, the SOPC requests fall into two categories: those that support Major City Goal or Other Important Objectives and those that support operational effectiveness or needs. A summary of the City Manager's recommendations are presented below and amount to approximately $300,000 in annual ongoing requests and $700,000 in one time requests. General . SOPC Support of Major City Goals and Other Important Objectives $662,700 $277,600 Support of organizational effectiveness or need 245,200 108,800 Total $907,900 $386,400 Operating Budget Reductions. In addition to considering reasonable revenue options and developing a CIP program that is sustainable in reasonably maintaining our infrastructure and facilities, the other budget balancing methods is reducing operating costs. There are two ways of reducing operating costs: operating program cost reductions and personnel cost reductions. As proposed, assuming that the City Council conceptually endorses the other pieces of the budget- balancing puzzle, a financially sustainable budget requires operating program costs reductions equal to about $2 million annually as well as personnel cost reductions of about $2.1 million annually. Because operating cuts are the primary variable in our budget-balancing equation, Staff has devoted significant efforts over the past several months in surfacing operating reduction options in all departments. Summarized below and provided in Attachment 5, are the results of this process, which identifies $3.1 million in options from all General Fund departments. Within this list there are a number of significant service reductions. On the other hand, there are also creative responses to the times Staff are facing, including organizational restructurings. BUDGET OPTION SUMMARY BY DEPARTMENT Operating Cost Reductions Temp Regular Annual Savings StaflIng Staff 2011-12 2012-13 Administration 1.00 220,300 224,600 City Attorney 0.25 30,700 30,700 Community Development 2.00 218,000 218,600 Fire 1.25 602,600 606,900 Finance&Information Technology 199,400 154,700 Human Resources 147,700 147,700 Parks and Recreation 1.30 1.00 215,400 215,700 Police 6.00 851,900 974,800 Public Works 1 1.821 3.50 641,800 653,700 Total 1 3.121 15.001 3,127,800 3227,400 B2-12 Strategic Budget Direction Page 13 It is important to stress that these are options. Although the City Manager has made specific recommendations of about$2 million summarized below, these could change for several reasons: 1. First, do the other pieces make sense? If not, we will have to go deeper into the remaining options listed or develop more options. 2. What is the gap we're trying to close? Although we feel confident that our Forecast reflects our basic fiscal condition, circumstances will undoubtedly change somewhat before the Preliminary Budget is presented in May. 3. Council's direction on the role that employee group concessions and resulting staffing cost reductions play in balancing the budget. Each department director submitted their reduction options in priority order of service impact and the Department Head Team reviewed each option from a citywide perspective. The recommended options reflect our best professional judgment as to those reductions which have the least organizational and community impact. The table below summarizes recommended reductions by department. Operating Cost Reductions Temp Regular Annual Savings StaMng Staff' 2011-12 2012-13 Administration 1.00 220,300 224,600 City Attorney Community Development 1.00 109,000 109,300 Fire 1.25 169,900 212,400 Finance&Information Technology 182,500 137,800 Human Resources 81,700 81,700 Parkas and Recreation 1.30 1.00 190,400 190,700 Police 4.00 467,100 578,100 Public Works 1 1.441 2.001 469,2001 475,300 Total 1 2.74 1 10.251 1,890,1001 2,009,900 Personnel Cost Reductions Our financial sustainability journey concurrently considered appropriate levels of capital investment, service levels to achieve the needs of the community, operating reductions based on scaling programs or efficiencies and then considered balancing community and organizational needs. To that end, a reduction in personnel costs is unavoidable. As Council is aware, based on the report presented on April 5, 2011, there are a number of components that go into personnel costs and a number of reasons those costs have increased over the past several years. Retirement costs are a large driver of the increase and are projected to continue to escalate over the next five years. These costs are largely outside of the City's control as they are based on.the actuarial assumptions and investment returns of CalPERS. While the immediate budget balancing strategy relies on approximately $2.1 million in personnel cost reductions, Ca1PERS costs will continue to grow in the "out" years and add to overall staffing costs. Therefore, while the B2-13 Strategic Budget Direction Page 14 approximate reduction amount is identified, strategies for achieving these personnel cost reductions must be carefully developed and considered. Staff plans on completing the two-year Financial Plan and developing labor relations strategies simultaneously and anticipates providing Council those strategies in July or August. Additional Policy Direction on Key Issues Golf Fund The question has been raised as to whether the Golf Fund should continue to operate as an enterprise fund or be transitioned to the General Fund. Another option has been explored, which is to account for the operation of the Golf Course in an "other governmental type fund."It is our recommendation that the Golf Fund is most appropriately operated as a special revenue fund. This type of fund allows the revenues and expenses of the Golf Course to be accounted for separately, and yet recognizes that it is not a business which fully recovers costs. The City has traditionally accounted for the Laguna Lake Golf Course (LLGC) as an enterprise fund. However, the Course has historically not been able to cover all of its operating costs (a cornerstone of enterprise funds) and the General Fund has annually had to subsidize LLGC. The City's fiscal policies include the following policy statement regarding this: Golf program fees and rates should fully cover direct operating costs. Because of the nine- hole (now ten) nature of the golf course and with its focus on youth and seniors, subsidies from the General Fund to cover indirect cost and capital improvements may be considered by the Council as part of the Financial Plan process, along with the need to possibly subsidize direct operation costs as well. In 2009-10 golf fees covered about 80% of the Course's direct operational costs. LLGC does not cover its full costs largely because of the type of users it serves (youth and seniors), the nature of the facility, and the limited capacity for revenue enhancement. Pursuant to Generally Accepted Accounting Principles for Govertunent (GAAP), although the Golf Fund may function as an enterprise fund, it is not required to do so. In fact, GAAP provides that special revenue funds may be used in circumstances such as these. A special revenue fund is established to account for revenues generated for a specific purpose. Such funds provide an extra level of accountability and transparency as to how the revenues and expenditures are being allocated. If established, the special revenue fund for the Golf Course could only be used for the management and maintenance of the Course and there would be public reports associated with how the revenues collected are spent. This level of transparency would be lost were the Golf Course to be merged into the General Fund. In addition to this recommended transition in fund type, staff will continue to manage LLGC in as efficient and effective a fashion as possible. The primary objective is to continue to decrease the annual net subsidy from the General Fund. Lastly, Parks and Recreation staff will be analyzing opportunities for lowering maintenance costs and increasing operational efficiencies at the Course and making recommendations to the City Manager during 2011-12. B2-14 Strategic Budget Direction Page 15 Evaluation of Potential Reorganization involving Parks and Recreation Department and Natural Resources Program The Natural Resources Program, presently a program within the Administration Department, includes two full-time positions, the Natural Resources Manager and the City Biologist. Since the program's inception more than 15 years ago great strides have been made to acquire, preserve and protects natural resources in the City. While all City departments are involved in the support of City policies to preserve and protect the City's natural resources, the work associated with daily maintenance and management of the City's substantial portfolio of open space is performed by the Ranger Program within the Parks and Recreation Department. This portion of the work program includes mitigation projects, trail construction, trail maintenance, open space patrol, coordination of volunteers, and environmental education. Currently there is a vacant Recreation Manager position in the Parks and Recreation Department. One of the proposed budget reduction options for the City Council to consider is freezing the Recreation Manager position. Freezing this position allows for immediate cost savings, and provides time to evaluate potential efficiencies that could result from moving the Natural Resources Program into the Parks and Recreation Department.. The evaluation of that reorganization, the pros and cons, and the manner in which it could be accomplished is recommended to be undertaken during 2011-12. Once a thorough evaluation has been completed, and stakeholders, both internal and external have had time to provide input, staff can recommend the preferred outcome which could include: restructuring the Recreation Manager position as part of a reorganization with Natural Resources, filling the position as presently structured, or eliminating the Recreation Manager position. City Clerk Pilot Program The 2009-11 Financial Plan included a pilot program reorganizing the City Clerk's Office as a division with the Administration Department. Prior to 2009-10, the City Clerk's Office was a separate department with its own department head. Combining the activities of the City Clerk with the Administration Department has resulted in organizational efficiencies and cost savings for the City. The cost savings attributable to personnel between the last full year when the City Clerk was its own department (2008-09) and the current budget for the program (2010-11) is $129,900. These cost savings are realized because the City Clerk position was transitioned from the department head level to that of a division manager. In addition, administrative staff support in the City Clerk's Office has been reduced. The City Clerk has relied on temporary staffing to a greater degree when workload increases, such as during the 2010 election. These cost reductions have been realized without a substantial reduction in service because of the hard work and dedication of the City Clerk and staff. The reorganization of responsibilities provides the City Clerk with substantially more time to perform the functions of the Clerk's Office because the position does not have the additional obligations and time commitments of a department head. B2-15 . i 1 Strategic Budget Direction Page 16 The ability of the City Clerk to allocate more time to the office role, as opposed to an administrative role, has allowed for overall staffing in the office to be reduced. A succession plan that relies on employees outside of the Clerk's Office is being developed to address the potential that the Clerk may not be able to attend a City Council meeting. Currently, the next in line to fill in for the Clerk is the Administrative Assistant 11 who works in the Clerk's Office. However, additional staff members, such as the paralegal in the City Attorney's Office may also be available to fill in once the plan is completed. As administrative support is reduced in the Administration Department, the Clerk's Office has recognized the need for a more streamlined approach to delivering the Council agenda packet that is currently a labor-intensive effort. An effort is currently underway to develop and implement an electronic agenda process, which will reduce staff time spent preparing the agenda and provide a substantial improvement in customer service because of increased access to the agenda, minutes and video of meetings through the City's website. Proposed budget reductions to produce a balanced budget will impact the Clerk's Office. The Administration Department is proposing to eliminate a vacant Administrative Assistant III position. This proposed position reduction will be balanced by a new intern program that will be supported by increased temporary staff salaries. Temporary staff salaries are also proposed to be augmented to address work efforts relative to potential ballot measure verification efforts or other one-time activities that may arise. Total savings is expected to be over $70,000 annually going forward. Overall, staff is recommending that the City Clerk program be made a permanent division within the Administration Department beginning in 2011-12. Communication Strategies Although no Council direction is required at this time, Staff is including an update on the Budget Communication Strategy for Council's information. On March 1, 2011, the City Council reviewed a proposed Budget Communications Plan. The Plan was prepared by a consultant and included recommendations for the development of a more formal communications strategy to be led by the Assistant City Manager. After reviewing the report, the Council created a sub- committee including Council Members Carter and Smith. Staff met with the sub-committee on March 25th and additional meetings will follow. Although no funding is currently proposed to implement the communications strategy, the sub-committee may bring forward a recommendation to the Council to provide resources for future communications efforts. . What May Change About The Gap The projected annual gap for 2011-13 that is reflected in our update of the General Fund Forecast is our best estimate of the gap facing us at this time and it provides an important framework for our budget-balancing efforts. However, since the underlying factors driving this gap are not static, the gap itself cannot be static. Accordingly, it will most surely change based on better information when Staff issue the Preliminary Financial Plan in May —and continue to change afterwards. The most likely areas of change include: B2-16 Strategic Budget Direction Page 17 1. Sales tax, transient occupancy tax (TOT) and other major revenue estimates. 2. Funding for Major City Goals and Other Important Objectives (a separate topic of Council review at the April 12 meeting). 3. Adjustments that may result from changes to the State budget in the areas of public safety funding, notably in the COPS program and booking fees. While Staff have reflected a loss of COPS funding and an increase to booking fees to be paid to the County, it is possible that legislative action may have a favorable effect on these projections. On the other hand, with the stalemate currently existing over the State budget, it is also possible that further actions that might negatively impact our fiscal situation might be taken. 4. Additional costs that may arise from the County due to the State budget situation. For example, the Police Chief recently received a letter from the County Health Agency Director advising that effective July 1, 2011 the County will start seeking reimbursement from the cities for the cost of conducting forensic sexual assault exams on adult and child victims. Although the County has traditionally absorbed these costs,in light of State Budget costs they are now proposing to charge cities for the exams. Cities are legally responsible under the Penal Code for these costs. Estimated costs for the City are $20,000 per year. Staff is following this issue and will include it in the Preliminary Financial Plan. As discussed earlier, Staff believes that the 2011-13 Financial Plan reflects the City's "new financial reality" and provides a good base for our financial sustainability journey. Nevertheless, a number of uncertainties still remain. These include potential additional requirements for capital in the areas of fleet and information technology and building facilities and potential State and County budget impacts. Ca1PERS employer rate increases and the uncertainties associated with cash flow considerations and actuarial assumptions continue to be troubling. Staff is also closely monitoring our major revenues as they begin their moderate recovery to identify any variances from what Staff has estimated. These continuing uncertainties underscore the need to keep our reserves at minimum policy levels, since they are our first line of defense for any future financial challenges which may arise. The 2011-13 Financial Plan maintains our reserve policy of 20% of operations over the two year period. The first year of the Financial Plan dips slightly into the 20% reserve amount to reflect the fact that some of our budget balancing strategies will take some time to implement, By 2012- 13, the reserve returns to the full 20% level and is maintained at that level for the rest of the five- year period. Participation of the Enterprise Funds in this Process The enterprise funds — water, sewer, parking, transit, and golf— account for about 40% of the City's financial operations. While the focus of this report is on the General Fund, the enterprise funds have also participated in this process, examining operations and capital improvement programs in order to ensure their financial sustainability. Budget reduction options for the enterprise funds have been provided for your information. If the Council has concerns about any of these options, it would be helpful to understand these now. Otherwise, Council will be reviewing the budget and rate recommendations for the enterprise funds on June 14, 2011. B2-17 Strategic Budget Direction Page 18 Next Steps Based on the strategic budget direction that Staff receives from the Council at this meeting, Staff plan to finalize preparation of the Preliminary Financial Plan and issue it by May 26, 2011. This will be followed by four budget workshops and hearings. The following summarizes the key next steps for the Council in the 2011-13 budget process: Council Budget Review: Remaining Steps 1. Preliminary Financial Plan overview and General Fund operating programs. June 2 2. General and other non-enterprise fund CIP projects. June 9 3. Enterprise Fund operating programs, CIP projects, revenue and rates (water, sewer, June 14 parking, transit and golf). 4. Continued review and adoption of Financial Plan. June 21 SUMMARY The purpose of this step in the budget process is to present the Council with a conceptual strategy for balancing the budget for 2011-13. Its purpose is not "budget approval:" that process will begin with issuance of the Preliminary Financial Plan in May 2011, with four Council study sessions/hearings to follow before budget adoption. Moreover, there are still too many unknowns—both on the revenue and expenditure side—for a "final" plan at this point in the process. However, in preparing the Preliminary Financial Plan, Staff need "strategic" guidance from the Council on key pieces of the budget-balancing.puzzle. ATTACHMENTS 1. General Fund Five-Year Forecast Summary 2. Proposed Five-Year General Fund Capital Improvement Plan—No Fleet 3. Revenue Enhancement Options 4. Significant Operating Program Changes 5. Operating Cost Reduction Options T:\Council Agenda Reports\Finance&IT CAR\Finance\201 I\CAR Strategic Budget Direction-April 12 2011 v6.doc B2-18 Attachment 1 i 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 o e o oo v✓ R M O P 0` M 'n vl - O C' h h M h �D .- DO [� 00 �O O� l� M O O, O of O, O r p c N N M 00 O` w N h N N M O m O N ^ "' %Q T M wi 'n N N N - N W V N N N h 00 O O O 0 0 0 0 0 0 0 0 0 0 O O O O O O O O O O O O O O O O 0 0 0 0 0 0 O O O 0 0 0 0 00 0 ' 0 O0 0 0 O 0 0 O O O O O O O O O O O O 0 0 0 0 0 0 O O h M@ e+f 7 O DO - O\ O 00 O O �OO N ^ V1 V1 00 O M O \D 'n Ne N - .�+ w %D N V [� h O V 00 O M I� e, p w Vi O V1 �c M O O V O V1 O@ V1 T - N M h DD p O �D P N h oo M - �D O N ^ N M Q• M O N D\ h h O N.- O M C 'D M C O 00 N F O 0000000000 O O o O O O o = 000 O O O 0 0 0 0 0 0 0 0 O O O O 0 0 0 0 0 0 0 0 0 0 O 0 o O O O O O O O o O O O O O 0 0 0 0 0 0 O O Iq h o - O: @ %C� N h M o - - o0 % b O vt O O o M oc O O O M O V1 D` T %C 7 N u as 1 M M@ N -- l� O: N O O h - D\ O` h Ch �D w m O 00 O O N V' = O O O W M b W h w T R N h C O O O O o@ N 00 @ y D` - N h 10 o N N o O O 0 0 0 0 0 0 0 0 0 0 O 00 0 = 0 OOOOO O O O O 0 0 0 0 0 0 O O M C O 0 0 0 0 0 0 0 0 0 0 O 0 0 O O O 0 0 0 0 0 O O O O 0 0 0 0 0 0 O O O N - W h vt @ N 7 O M V O+ O� O� O h O h M r vt \C O� M t� N r N C N m �O w m w 0 ID 7@ T h h h N O � M -O m W M h V M a\ @ T M h vt 'n Q` 00 o O C� h 'n h h ID O\ h Q\ S T T '7 00 N O - \O h Vt N@ N N a N V 00 N 'n 00 M@ .1 N - - - - M O .N....N..� N Cr N O T Q [� O 000o = 00000 O O O 0 0 0 00000 O O 000000000 O O N O 0 0 0 0 0 0 0 0 0 0 O C 0 000 O O O O O O O 00 O 00 0 0 0 o O O N O e{ P C@ o - - O� " N O O t+1 ocM o 00 - O 00 1^ 'O @ \O N vl 'K 00 �6 - O m O N V M h �O 'n 'n �O N M O O - Y1 O - D\ M M O ' O w h O' 'n � e, '@ M �O 'M h @ O� 00 N Off'@ l� O O+ 'n Vl o O M �- =ION 'D h IlkN h '!' 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O O U O O o U N O CD Ln o 0 0 0 0 0 0 0 0 0 = a U y 0 0 0 0 0 0 0 0 0 0 00 0 0 0 0 0 0 0 ° 0 0 0 0 0 0 0 0 0 a B2-20 Attachment 2 'TI '� z :h 1%1 .,y 0 0 o cD 0rmn 'Cm N `Om 0v� va0� '0 -0 = = 'C 'C C1 1x0 CD CD o ww o w m w w w°. � a .0 0 0' 0 CD o 0 0 00 o Co o a O o o 7 o CD CD 0 0 0 0 bit7 Y0 xJ CD ?: 0 9 w 9 0 0 o s o °fD af°D aoC°D C°D " b w[" m Or C=D, wC7 0S ` ° w 0 o 0 0w 0wO a . o 0 c CEJ O o -°n �`' °n .°y o' o g UO o :h < 3 CL nC o ° = 0 co 0 Iwo CD CD DQ F " M• o " w c c s `' baro o =; 0 �. Q ° CCD CD 0 CrJ CD y 0 O O• -� 0 rp 0 O 0 a. .. o' O ' z 00 CD c ° 2. o .n 0 `° ^_ ,rNoc• c' � w w o C ° c° 3 O O 0. 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CD y T w 0 y " a o. c cD p -, CD N CD °Q N y ° x b7 .0 v`Q G7 CD ^� w w c o c" (D CD k) c s C�7 O Or�yy N CD R M CD CD 'r_X CD •* �T •O .+ � O � Iro COD (D D0y CD N foy 0 fo 0 _w a Qt N .�► W p � 00 ►+ O ►+ N N b N •A ►�+ J N O r W A � O O W O C) Q\ J U N N �O ON N O N O 00 O�y0 `- A NC ? •- 00 o VA O V1 00 O U O U ILACT cn 00 w w O O O O O O O O O O O O O 1 O O O O O O O O O •P � V1 •- N W Ull 0000 00 W 00 N O cn W J In O O N J J ? 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A N O O U O U C o w 0 0 0 0 a, a B2-23 Attachment 3 Enhanced code enforcement $ 74,100 $ 74,100 Enhanced business tax/license enforcement 50,000 100,000 Lease of conduit space 40,000 40,000 Rent Ludwick Center computer room 11,000 11,000 School district funding for School Resource Officer 126,200 126,200 Street sweeping services 85,000 170,000 Public Art administration from Public Art fund 5,000 5,000 Downtown activity support from the Downtown Association 25,000 25,000 Total Revenue Enhancement Options $416,300 $551,300 B2-24 REVENUE ENHANCEML.4TS CODE ENFORCEMENT COST RECOVERY Attachment _ Summary In 2004, City Council adopted Resolution #9558 which established cost recovery fees for the code enforcement program. Another intent of Resolution #9558 was to create a deterrent for the existence of code violations. In practice, the cost recovery fee was only assessed to the most egregious violators; therefore it has never been implemented as intended. This was discovered as staff was again researching cost recovery practices. Use of the fees as intended in 2004 could allow the code enforcement program to recover up to 27% of program costs. Key Objectives 1. What will this change accomplish? a. Using the fee as originally intended by Resolution #9558 will result in better cost recovery for the code enforcement program. b. A choice to require violators to pay fines as soon as the second notice of violation will result in 27 % cost recovery for the code enforcement program. c. City staff will have better tools to deal with violators which will help support upcoming Neighborhood Wellness Major City Goal efforts. Existing Situation: Factors Driving the Opportunity for Change Current practice related to use of approved code enforcement fees. Subsequent to the adoption of the code enforcement fees, changes occurred within the code enforcement program. During the 2007-09 budget process the Increased Building and Zoning Code Enforcement program was approved. Additional staff was added and the pro-active efforts at that time resulted in the staff of the Community Development Department adopting policies and practices that was a bit kinder to the violators. Because the majority of the cases were getting resolved staff did not apply the fees as quickly as the cost recovery resolution was approved for. The cost recovery fees are currently only assessed to the most egregious violations or the most recalcitrant violators. With neighborhood code enforcement still in need of improvement, the previously approved fees can be a part of a more rigorous compliance program. Neighborhood Wellness is one of four Major City Goals this year. Residents within local neighborhoods recently spoke out at public meetings and as a result of those discussions Council has adopted Neighborhood Wellness as a Major City Goal. It is apparent that based on testimony given at these recent meetings that community groups are supportive of better tools for code enforcement to promote neighborhood wellness. There is the feeling that the kinder approach of seeking voluntary compliance at all cost is not creating a deterrent to causing violations. The community groups want more action to be taken by city staff including being more pro-active to find violations and once discovered ensure there are deterrents from having a reoccurrence. The Police Department has recently brought forward several initiatives related to noise and unruly gathering nuisances and the community was supportive of the more strict fine structures and the effort has resulted in fewer occurrences of problems. It may be time to create a level playing field for how all violations are handled with swifter action regarding obtaining compliance and reducing the risk that there will be future violations. B2-25 REVENUE ENHANCEML,4TS CODE ENFORCEMENT COST RECOVERY Attachment 3 Current cost of providing the service. Based on the recent service categorization analysis the code enforcement program costs the City approximately $276,000. These costs include the salaries and overhead costs for all positions associated with investigating and resolving code enforcement violations. In addition to the 2 Code Enforcement Officers the program relies on the efforts of the Chief Building Official and Assistant Building Official who oversee and administer the program, 2 Building Inspectors are responsible for investigating and clearing building code violations and the Permit Technician provides administrative support.. Goal and Policy Links 1. Consistency with User Fee Cost Recovery Policy Consistent with adopted Council Resolution#9558. 2. Practices in Other Cities Many agencies rely on the investigation fee as allowed by the building code or they have adopted administrative citation policies that may apply. Seven communities out of the 16 surveyed have developed an alternate fee similar to the City of San Luis Obispo. These communities are marked with an asterisk in the table below. 3. Major City Goal for fiscal health Affirming that fees should be collected at appropriate times will take the City closer to complying with this goal. 4. Operating Program Goals Maintaining staffing levels within the Building & Safety Division and the Code Enforcement Office will help enable the City to fulfill the objectives of the work programs within this division and fulfill the objectives of the upcoming Neighborhood Wellness Goal. Service Categorization Criteria The operating programs within the Building&Safety Division are either legally mandated or related to public safety categories 1 and 2. Program Work Completed There have been increases in the number of code enforcement cases due to staffing increases and there may be a slight increase related to the more proactive efforts that are proposed through the new Neighborhood Wellness Major City Goal. B2-26 REVENUE 2 CODE ENFORCEMENT COST RECOVERY Aftachment 3 Practices in Other Agencies County Agencies Current Fee Benchmark City Current Fee City of Arroyo Grande None *City of Chico $300-$600 City of Atascadero Yes Davis $100-$1000 City of Grover Beach $100-$500 Monterey $500 per day *City of Morro Bay 2x Permit Fee+$100 Napa $100-$1000 *City of Paso Robles $495 *Palm Springs $100-$1000+$101/hr *City of Pismo Beach 2x permit+$125 Santa Barbara None *San Luis Obispo County $401 *Santa Cruz 2x permit+$100 Santa Maria 2x permit Ventura $400-$1200 * Altemative fee similar to City of SLO. Current Fee Proposed Fee City of San Luis Obispo 2x permit+ $309.30 2x permit+$309.30 Program Constraints and Limitations A significant factor regarding achieving the anticipated cost recovery is how cooperative code violators are. If everyone who receives a violations takes quick action to resolve the issue the City may not collect the cost recovery fee to the level predicted. The investigation fee will still be due and it could be assessed to achieve some recovery of costs. Stakeholders The major stakeholder associated with code enforcement efforts are the Police Department and members of Residents for Quality Neighborhoods (RQN). Chief Linden has reviewed the report and recommends approval. Based on comments received from RQN representatives at the recent budget workshops, this proposal would be supported by its members also. Implementation Task bate 1. . - 1. Begin applying previousl authorized fee in a consistent manner. July,2011 B2-27 2 REVENUE ENHANCEML.4TS CODE ENFORCEMENT COST RECOVERY Aftachment 3 Key Program Assumptions Code Enforcement activities have increased since the adoption of the fees.. Staff now deals with approximately 500 cases per year. However, on average 100 of these cases are related to sign enforcement and staff utilizes the administrative citation process to resolve these issues. The fees will apply as originally proposed in a three tiered system- Tier ystemTier 1 assumes the violation is self surrendered, therefore no fees would be assessed. Tier 2 would only double the permit fee because the violation is discovered by staff and a case is opened. Tier 3 would be assessed in addition to doubling the permit fees and would apply to recalcitrant violators after second notice or second offense violations for the same property owner. Tier 2 violations would be subject to a minimum$131.00 permit fee and an inspection fee equal to the permit fee or a minimum of$262.00. Because there was a cost of living adjustment factor applied to the Tier 3 fee the updated fee,as recently adopted, in the City's fee schedule is $309.30 and the minimum permit fee is $131.00. The current fee schedule shows the adopted fees related to code enforcement activities which is consistent with the intent of Resolution 9558 (2004 Series). Regarding the Tier 3 fees, approximately 40% of the code enforcement cases still require a second notice be sent. Deducting the 100 cases that involve sign violations, which are proposed to remain subject to administrative citations, although this higher fee could apply, would leave an average of 400 code enforcement cases that would be subject to normal processing. 40% of these 400 cases or 160 cases per year would likely be sent a second notice and be subject to the$309.30 fee for an annual estimate of approximately$49,500. Staff has been applying the Tier 2 fee to some cases since 2004, however if violators can clear violations within 7 days staff has not been assessing the double permit fee. Assuming 75 % of the total average cases will require a permit to resolve the violations and 50% of those amounts are already paying the Tier 2 fee. That means staff should be assessing fees on 188 more cases than is currently being done. That means there is potentially$24,600 in lost revenue that could be recovered based on the original intent of fee resolution#9558. Based on the Service Categorization analysis the code enforcement program is costing the City approximately $276,000 which includes costs for the estimated amount of time that the Building Official, Assistant Building Official, Plans Examiner,Building Inspectors, Code Enforcement Officers and the Permit Technician are utilized to help with code enforcement efforts. Following the cost recovery efforts that were established in 2004 would result in 27% cost recovery for the program. Alternatives Continue the Status Quo. Do nothing and staff will continue to only apply the cost recovery fee to the most egregious offenders, however this is not recommended because the cost recovery objectives will not be met and additional efforts to reduce code violations are still needed. Defer or Re-Phase the Request. B2-28 REVENUE ENHANCEMLATS __JE CODE ENFORCEMENT COST RECOVERY AftaChment Defer the request until more public outreach is done. Staff could implement changes after seeking feedback from community groups, however comments at recent Council meetings indicate that pro-active code enforcement is synonymous with use of deterrents such as charging fees for violations of the code. Change the Scope of Request. A choice could be made to charge the cost recovery fee in every circumstance when a violation has been discovered. Only cities with the most aggressive code enforcement tactics are doing this such as Azusa. This could result in collection of over$200,000 in cost recovery monies or 74 % of program costs. Collecting a lesser amount would result in a reduction of the cost recovery efforts. Implement in a Different Way. Staff could prepare an analysis and propose a new fee structure to achieve a higher level of cost recovery. This effort could be done in conjunction with the public outreach efforts that are planned for the implementation of the Neighborhood Wellness Major City Goal. Financial Analysis Revenue Potential Summary New Revenue 2011- Description Annual Activity Proposed Fee 12 New Revenue 2012.13 2x permit fee (inspection fee) 188 131 24,600 24,600 Cost Recovery Fee 160 309 49,500 49,500 Total Potential Revenue 74,100 74,100 B2=29 REVENUE ENHANCEMLATS ENHANCED BUSINESS TAX AND LICENSE ENFORCEMENT Attachment 3 Summary Increasing efforts to gain complete business tax and license ordinance compliance will increase General Fund revenue$50,000 in 2012-13 and$100,000 per year going forward. Key Objectives 1. Increase revenue by taking a more proactive approach to business tax and license ordinance enforcement. 2. Obtain full business tax and license compliance from all City businesses. Existing Situation: Factors Driving the Opportunity for Change Business tax and license revenues are an important part of the City general fund budget. Taxes paid provide vital public services that directly benefit local residents and businesses. It is also important to assure business owners who pay their fair share of taxes that the City is taking reasonable steps to ensure that.others are doing the same. Obtaining full compliance from all City businesses and collecting all tax and license revenue due to the City is in the best interest of the City organization and all of the City's residents and businesses. Historically the City has taken a reactive approach to business tax and license enforcement; it is has been limited to "tips" from the public and City employees about non-compliant businesses and information about new businesses from fictitious business name statements. Many cities take a more proactive approach to identify businesses that are not in compliance with their business tax and license ordinances. Some methods used by cities with more assertive enforcement programs are frequent site visits to look for new businesses and taking advantage ofthe Franchise Tax Board's AB63 Tax Discovery Program. In 2010-11, the Finance Department performed an enforcement effort focused on owners of residential rentals. Many rental property owners did not know that the City of San Luis Obispo Municipal Code requires that all operators of rental properties maintain a valid Business Tax Certificate (certificate). This focused effort resulted in the discovery of many more rental property owners operating without a certificate than expected and resulted in approximately 1,500 new certificates and $100,000 in new business tax and license revenue. The unexpected number of non-compliant businesses in one industry group has led City staff to believe that there are many other businesses throughout the City that do not have a certificate and are not paying their fair share of business tax and license fees. By proactively looking for these businesses rather than waiting for them to come to us, we hope to obtain full business tax and license compliance and increase general fund revenue. Goal and Policy Links 1. Implementation of 2011-13 Major City Goal: Preservation of Essential Services and Fiscal Health— enhancing current revenue sources 2. Municipal Code §3.01 Business Tax Certification Service Categorization Criteria Business license and tax is a service priority ranking#3; a high mid-range service as established by the Municipal Code. B2-30 REVENUE ENHANCED BUSINESS TAX AND LICENSE ENFORCEMENT A achment.1— Program Work Completed Registration to participate in the Franchise Tax Board's AB63 Tax Discovery Program has begun. Practices in Other Agencies Other agencies and governmental finance groups such as California Municipal Revenue and Tax Association (CMRTA) and California Society of Municipal Finance Officers (CSMFO) will be contacted as a part of developing the project plan. Program Constraints and Limitations There is an element of unknown; there may already be a high level of tax and license compliance in the business community. In this case, the second objective of this project, obtaining full business tax and license compliance from all City businesses, would be met but the first objective, increasing revenue by taking a more proactive approach to business tax and license ordinance enforcement, would not. Stakeholders Business tax and license revenues are an important part of the City general fund budget. Taxes paid provide vital public services that directly benefit local residents and businesses. Obtaining full compliance from all City businesses and collecting all tax and license revenue due to the City is in the best interest of the City organization and all of the City's residents and businesses. Before beginning the residential rental enforcement, the City issued a press release. This proved to be a successful way to forewarn the public that the enforcement would begin. Press releases and contact with business groups such as the Chamber of Commerce.will be an ongoing part of the City's new proactive approach to business tax and license enforcement. Implementation The project plan will outline how to begin and then maintain ongoing business tax and license enforcement efforts. Date 1. . - 1. Develop an Ongoing Project Plan. 08/01/11 2. Public Outreach. 10/15/11 3. Begin Enforcement Efforts based upon Project Plan. 11/15/11 Key Program Assumptions It is assumed that there are non-compliant businesses operating in the City and that the ongoing enforcement efforts will be able to be performed as a part of the regular business tax accounting assistant duties. Alternatives Continue.the Status Quo. This will lead to unrealized City revenues and businesses within the City that do not comply with the business tax and license ordinances. B2-31 REVENUE ENHANCEML.,dTS ENHANCED BUSINESS TAX AND LICENSE ENFORCEMENT Attachment 3 Financial Analysis This ongoing project will be accomplished with existing staff. The business license accounting assistant desk is cyclical; it is very busy during the summer renewal period but slows down for the rest of the year. This position, with the assistance of the Revenue Supervisor, will take on the new enforcement efforts during the slow time of year. Revenue Potential Summary Revenues are expected to be less in the first year for two reasons: 1. All businesses pay the minimum business tax and license fee the first year. They begin paying based upon gross receipts the first year that they renew their certificate which will be the second year of the financial plan for new businesses in the fust year, 2. As enforcement efforts continue it is expected that there will be still more new certificates issued in the second year. New Revenue 2011 New Revenue 2012- Description 012- Des ' tion Annual Activity Current Fee 12 13 Business License 735 $ 43 31,617 63,235 Business Tax 735 $ 25 18,382 36,765 Total Potential Revenue 50,000 100,000 B2-32 REVENUE ENHANCEMLATS DATA CONDUIT LEASING AftaChmentJ__ Summary Leasing air space in City-owned data conduits for fiber optic cables will increase General Fund revenue $40,000 in 2011-12 and 2012-13. Key Objectives 1. Increase revenue by utilizing a City-owned asset. 2. Provide additional fiber optic connections for local businesses. 3. Enhance the City's ability to attract technology firms. Existing Situation: Factors Driving the Opportunity for Change A local Internet Service Provider (ISP) has expressed interest in utilizing the City's data conduit space to run fiber optic cables between the Downtown corridor and the southern part of the City. It has been determined that this could be done with minimal impact to City resources. "Socks" can be placed within the data conduit, ensuring that the City can use any unallocated air space in the future or lease the conduit to multiple businesses or agencies. There may be other local or external businesses interested in leasing the fiber or utilizing the services provided by the ISP if this opportunity were available to them. The availability of this resource may enhance the City's image as an attractive place to locate technology funis, which could increase economic development activity and bring head-of-household jobs to the area. Goal and Policy Links 1. Implementation of 2011-13 Major City Goal: Preservation of Essential Services and Fiscal Health— enhancing current revenue sources 2. User Fee Cost Recovery Policy 3. Operating Program Goals Service Categorization Criteria Leasing conduit space is a service priority ranking#5 -Other. Program Work Completed Network Services staff have surveyed local businesses to determine the market rate for data conduit air space. Practices in Other Agencies Other comparable agencies do not lease out the air space in their data conduits at this time. Current Fee Proposed Fee City of San Luis Obispo n/a $40,000 B2-33 REVENUE ENHANCEML-.ATS DATA CONDUIT LEASING Attachment 3 Program Constraints and Limitations Businesses may be uninterested in leasing the space unless the conduit contains dark fiber. Stakeholders Network Services staff and Economic Development Program Implementation Task .. - 1. Issue Request for Proposal. October 2011 2. Award contract. January 2012 3. Make conduits ace available for vendor. February 2012 Key Program Assumptions At least one business or agency will lease the entire length of data conduit. It is possible that one or more bidders will be interested in leasing just the air space. Alternatives Implementation in a Different Way. The City could elect to pull dark fiber into the data conduit and then lease the fiber strands instead of the air space. This would allow the City more control over the use of the data conduit air space. However,this alternative is not recommended because it requires the availability of necessary funding. Financial Analysis Calculation of Costs Minimal Network Services staff time would be involved. Revenue Potential Summary New Revenue 2011New Revenue 2012 Description I Annual Activityl Proposed Fee 113 Conduit space lease 1 40,0001 40,0001 40,000 Total Potential Revenue 40,000 40,000 B2-34 z RENTAL OF OFFICE SPACE AT THE LUDWICK COMMUNITY CENTER A ChMWU Summary Renting office space (formerly the Boy Scout office) at the Ludwick Community Center (LCC) will generate revenue of approximately $11,000 per year. The space is currently underutilized; the current uses can be easily relocated. Key Objectives 1. Generate additional revenue for the Parks and Recreation Department. 2. Maximize utilization of the LCC. Existing Situation: Factors Driving the Opportunity for Change The LCC office consists of one main room, one private office and two bathrooms (male and female). The office is independent from the rest of the Center, has private access as well as an independent alarm system (not connected to the rest of the Center). In addition, ample parking is available (both on and off street parking utilizing the Center's lot). The proximity to downtown and transit center are added amenities. Currently,the LCC office is primarily utilized for the Computer Partners program (computer training for seniors). The Computer Partners program can be easily relocated to the Arts and Crafts room at the LCC to accommodate the rental. Goal and Policy Links 1. Consistency with User Fee Cost Recovery Policy 2. Major City Goal for fiscal health Service Categorization Criteria 3 =Facility Management. Program Work Completed A commercial real estate agency has been contacted to assist with best guess estimates of rental potential. Program Constraints and Limitations Renting out the LCC office will limit space available for potential City events/programs and outside user group rentals. Stakeholders Potential user groups may be affected; however, these groups can be easily accommodated at alternate facilities. B2-35 RENTAL OF OFFICE SPACE AT THE LUDWICK COMMUNITY CENTER Aflachmerl 3 Implementation Task Date 1. Begin advertising rental space June 2011 2. Move computers to Arts& Crafts Room for Computer Partners program June 2011 3. Finalize rental agreement with new renter July 2011 Key Program Assumptions Based on information received from a local commercial real estate agent, it is assumed that the revenue potential for rental of the space will remain the same or potentially increase. Alternatives 1. Continue the Status Quo. Forego potential revenue from long-term rental of LCC office, resulting in other budget reductions from Parks and Recreation operating budgets. 2. Defer or Re-Pltase the Request. Rental of the Computer Room could be delayed until 2012-13. Financial Analysis Calculation of Costs The cost to rent the facility is 6%of the total rent for the first five years and 3%thereafter. Revenue Potential Summary New Revenue 2011 NewRevenue2012- Description Annual ActivityProposed Fee 12 13 Renting of Computer Room at LCC 11,000 11,000 (1.25 per sq ft-6%Broker fees) - Total Potential Revenue 0 11,000 Offsetting Costs Net Revenue Enhancement 0 11,000 B2-36 • • - - FUNDING FOR SCHOOL RESOURCE OFFICER(HIGH SCHOOL) Aachmen$ 3 Summary A tentative agreement pending formal approval by the San Luis Coastal School District will generate approximately $126,200 in new revenue annually to fund 75% of the cost of a Police Department School Resource Officer. Key Objectives 1. Maintain School Resource Officer position with offset funding from school district 2. Continue to provide enforcement and education services to the high school Existing Situation: Factors Driving the Opportunity for Change The Police Department funds two School Resource Officer (SRO) positions that are responsible for various duties related to the K-12 schools in the City. The positions are filled by police officers who have been specially selected for the assignments. One SRO primarily handles issues related to the high school, including security planning, investigations involving students (on and off campus), early intervention meetings, curfew hearings, resource and liaison with school staff, and response to calls for service at the school. The Police Chief has been in communication with the San Luis Coastal School District Superintendent to discuss shared funding of one SRO position primarily dedicated to the high school. A tentative verbal agreement has been reached for the District to fund 75% of the cost of the position with the City funding the remaining 25%. If approved by the City Manager, the Police Chief will work with the Superintendent to formalize the funding agreement. The funding will help offset existing staffing costs to the General Fund. Goal and Policy Links 1. Major City Goal for fiscal health 2. Operating Program Goals Service Categorization Criteria The high school SRO position is included in the Investigative.Services division and was assigned service prioritization category 4(Mid-Range). Program Work Completed Discussions have been held between staff and the San Luis Coastal School District Superintendent and a tentative funding agreement has been reached pending formal approval. Practices in Other Agencies Staff is aware that many other police agencies in California that have SROs share the funding of the positions with their school districts. B2-37 FUNDING FOR SCHOOL RESOURCE OFFICER(HIGH SCHOOL) Anachmentl. Program Constraints and Limitations If at some point the District discontinues funding the City would either need to resume paying the full cost of the position or reduce or eliminate the program. Stakeholders. 1. Students and school staff at the high school 2. Parents of high school students Implementation 1. Implement partial funding for SRO(high schoolposition 1 7 77/ /11 Key Program Assumptions Revenue assumptions are based on a preliminary commitment from the San Luis Coastal School District; pending official approval,to provide funding for the SRO position. Alternatives 1. Deny request: Accepting funding from the San Luis Coastal School District to offset a substantial portion of the SRO position will allow the City to continue this valuable program at a significantly reduced cost. If the funding is not accepted, the Police Department will need to recommend elimination of this position and will need to place a filled position on its reduction option list which could result in the lay off of an existing officer. Therefore, staff does not recommend this alternative. Financial Analysis Calculation of Costs The following costs are estimated based on 2011-13 salary and benefit projections for current SRO. Costs may change due to officer assignment. Estimated Staffing Costs 201143 ; 2012-13 Salary 102,600 108,000 Benefits 65,700 72,000 Total 168,300 1-8-0,-0-0-0 Potential Offset Funding 75% $126,200 $135,000 Balance paid by General Fund S42,100 $45,000 B2-38 s � FUNDING FOR SCHOOL RESOURCE OFFICER(HIGH SCHOOL) AttaChment-l-- Revenue Potential Summary New Revenue New Revenue 2012 Description Annual Activity Proposed Fee 2011-12 13 Potential Funding for SRO position 126;200 135,000 undin 75%of salary and benefits) - Total Potential Revenue 126,200 135,000 Net Revenue Enhancement 126,200 135,000 B2-39 STREET SWEEPING Attachment 3 Summary Providing funding for street sweeping through trash billing will provide a regular income stream and generate $85,000 in revenues in 2011-12 and $170,000 annually thereafter. Key Objectives I. Transferring of the cost of sweeping from the General Fund to the trash billing will provide a more reliable income stream for sweeping which is an important element of clean water and required under the City's Stormwater Management Plan approved by the Regional Water Quality Control Board. 2. Transferring the cost allows General Fund revenue to be freed up to support Council Goals and Measure Y initiatives. Existing Situation: Factors Driving the Opportunity for Change 1. Street sweeping has moved from a nice service provided by the City to a mandatory stormwater activity. 2. Demands on the General Fund to support important community goals and desires is increasing. 3. Current costs to provide sweeping are estimated at $168,000, including one full-time regular staff person, annual equipment replacement and maintenance costs, fuel, disposal, and contract sweeping. Goal and Policy Links 1. This is a practice used by several other cities in the state 2. Major City Goal for fiscal health 3. Operating Program Goals to comply with Stormwater Management Plan requirements Service Categorization Criteria 1 =Mandated Program Work Completed Preliminary cost analysis was performed two years ago to estimate the trash customer billing rate. Practices in Other Agencies As part of the Public Works department assessment, the consultant identified this revenue enhancement and noted that it is a common practice in a number of cities, including Azusa, Belmont, Duarte, Lompoc, Mountain View, Redding, Redondo Beach, Sacramento, San Gabriel, San Jose, San Marino, San Mateo, South Pasadena, Sunnyvale and Whittier, and indicated there were others. Staff contacted other agencies in the county as well as the comparison cities that have been used in the past several years. The local cities typically fund sweeping out of their general fund. Of the seven comparison cities that responded, three fund it through trash and another is looking into making the shift. Another three have alternate funding sources including parking violation money (streets posted no parking for sweeping,) some bed tax, and stormwater assessment fees. B2-40 STREET SWEEPING Attachment 3 Program Constraints and Limitations There is significant public involvement that will be needed to implement the proposed transition of the sweeping costs from the General Fund to trash customers. The public may not be receptive to this change although the estimated annual cost is fairly low (ranging from $3 per year for residential properties to $15 for large users.) Some of the level of receptivity may be a function of this budget process and future employee concessions. Either way, time will be needed to finalize the exact amounts, determine if such a change requires voter approval, and complete the necessary work to actually include the costs on the billing. Stakeholders Trash customers will experience a cost increase as part of this change, ranging from and estimate $0.25 to $1.25 per month. Information will be provided through outreach in either the City or the trash company billing in addition to normal noticing,of informational meetings and Council hearings. Implementation Task -bate---- 1. Develop Project Plan—Including cost refinement, outreach,Council review, timeline for August 2011 implementation 2. Implement Project Plan Sept. 2011 3. Implement transfer if approved (If voter approval required—this date would be subject January 2012 to adjustment to meet available election timing) Key Program Assumptions The biggest assumption is that Council and the community will be supportive of the need to provide this solid revenue stream. Alternatives 1. Continue the Status Quo. Street Sweeping will continue to remain as a General Fund supported effort and compete with other community needs. 2. Change the Scope of Request. The transfer to trash billing could be for only a portion of the costs, reducing the impact to the trash customer. For example, if only half of the estimated costs were captured this way, cost would total $1.50 annually for a residential customer. B2-41 STREET SWEEPING Attac ' merit 3 Financial Analysis Calculation of Costs Description 'Effective January 1.20121 Item Rate Annual Amount 2011-12* 2012-13 Heavy Equipment Operator 89,682 1 44,900 89;700 Equipment Replacement 175,000 0.13 10,900 21,900 Life Equipment Repairs 25,000 0.13 1,500 3.100 Fuel 4.45 7,800 17,400 34,700 Contract Sweeping 3,565 1 1,800 3,600 ,Disposal 15,000 1 8,500 17,000 Total Revenue 85,000 $170,000 Revenue Potential Summary Providing funding for street sweeping through trash billing to provide a regular income stream will generate approximately $85,000 in year 2011-12 and $170,000 annually after that. Revenue is based on the initial review of current costs incurred by the City to complete street sweeping as shown above. B2-42 USE OF PUBLIC ART IN LIEU FEES FOR ADMINISTRATIVE COSTS AttaChMent 3 Summary The use a portion (5%)of the public art in-lieu fees(from private development and the CIP program)to cover administrative costs associated with the public art program is expected to generate net new revenue of approximately$5,000 a year. The amount of revenue collected will vary from year to year depending on the number and size of the CIP program and private development projects. To accomplish this. a change in the City's Visual Arts in Public Places policy is required. Key Objectives Offset administrative costs associated with the public art program. Existing Situation: Factors Driving the Opportunity for Change 1. Demand on the General Fund to support important community goals and desires is increasing. 2. Current staffing costs to manage this program are estimated at a total of$13,000 annually(10% of Recreation Manger salary). Goal and Policy Links 1. Major City Goal for fiscal health 2. Visual Arts in Public Place policy Service Categorization Criteria 5 =Other Program Work Completed None to date. Program Constraints and Limitations Adopted by Council in 1990, the Visual Arts in Public Places program instituted in-lieu fees that have resulted in the City acquiring and installing 36 pieces of public art. One hundred percent of the fees collected have been used toward the selection, acquisition, and installation of art. Since the program's inception, the management of the program has been absorbed by various Departments (CDD, Administration and Parks and Recreation). The Public Art Coordinator duties are currently intertwined with the filled Recreation Manger's duties in Parks and Recreation. Under this existing model, it is estimated that the management of the program is about 10% of the Recreation Manger's duties. In the 2009-11 Financial Plan,the CIP program allocation towards public art was reduced from the policy level of 1% to .5%. This proposal would further impact the funds available for public art projects. In addition, the proposal would require a change to the Visual Arts in Public Places Ordinance which reads: "... in-lieu fees are deposited in an account maintained by the City Finance Director and may be used for acquisition, installation, and improvement of public art in the City." R2-43 USE OF PUBLIC ART IN LIEU FEES FOR ADMINISTRATIVE COSTS Attach9if Ont Stakeholders ArtsObispo (San Luis Obispo County Arts Council),the Art in Public Places Committee, and other arts advocates are likely to disagree with this change as this would result in less money being allocated towards art. Implementation Task Date 1. Implementation of 5% cost recovery for administrative costs associated with the public July 2011 art program Key Program Assumptions Based on data from previous Financial Plans, it is assumed that the administrative cost recovery from private development will range from $2,500 to $10,000 for a two year budget. The cost recovery from the CIP would be a transfer of funds and not net new revenues. Staff assumes the policy would be applied to both private and pubic projects. Alternatives 1. Continue the Status Quo. Forego potential revenue. 2. Defer or Re-Phase the Request Revenue can be delayed until 2012-13, revenue potential can be phased (i.e. 3% in 2010-11 and 5% in 2011-12)or a flat fee can be instituted(i.e. $2,500 per year). Financial Analysis Calculation of Costs The revenue potential is based off of 5%of total public art in-lieu fees collected. Revenue Potential Summary New Revenue 2011- Description 011Descr tion Annual Activity Proposed Fee 12 New Revenue2012-13 5% of public art in lieu fees $100,000-$200,00 5.00% $2,500410,000 $2,500410,000 Total Potential Revenue $2,500-$10,000 $2,500410,000 Offseaing Costs Net Revenue Enhancement $2,500-$10,000 1 $2,500-$10,000 R2-44 DOWNTOWN ACTIVITY SUPPORT Summary Agreement with the Downtown Association on assistance in funding Farmer's Market activities and downtown cleanup will provide $25,000 in revenues annually. Key Objectives 1. Increasing the revenue from the Downtown Association to support the provision of restrooms and traffic control for Farmer's Market and general downtown cleaning will reduce the burden to the City's General Fund to provide these services. 2. Transferring the cost allows General Fund revenue to be freed up to support more Council Goals and Measure Y initiatives. Existing Situation: Factors Driving the Opportunity for Change 1. Demands on the General Fund to support important community goals and desires is increasing. 2. Current Contract Services for Downtown Street and Sidewalk Cleaning Services cost $89;500. This contract will be reduced by $29,000 with the elimination of sidewalk, barbeque site and trash container cleaning services to the Downtown as part of the 2011-13 Finance Plan budget reductions. Goal and Policy Links 1. Consistency with User Fee Cost Recovery Policy 2. 2011-13 Major City Goal for Preservation of Essential Services and Fiscal Health Service Categorization Criteria 3 =High Mid-Range Program Work Completed The Downtown Association has been approached regarding potential increases to their contribution for Downtown events and maintenance. The City has an existing agreement with the Downtown Association to provide a mechanism for payment. The City is currently in contract discussions with the Downtown Association. Program Constraints and Limitations The implementation of this cost recovery can be accomplished through the agreement with the Downtown Association. The primary constraint to implementation is the Downtown Association's ability to cover these costs with their current revenues. Downtown business owners would potentially be opposed to additional financial impacts to the Downtown Association's budget in this current economic climate. Stakeholders All of the Downtown businesses and those benefiting from other Downtown Association revenues will be affected by the redirection of this additional funding to the City to support events and maintenance. B2-45 1 DOWNTOWN ACTIVITY SUPPORT Attachment—I'l. The community may be affected by the degradation of the Downtown area should these services be reduced or eliminated by the City and not provided by the Downtown Association. Implementation Implementation would be completed through the Downtown Association agreement. Key Program Assumptions The primary assumption is that the Downtown Association can afford to pay the proposed revenue.amount. Funding from the Downtown Association will offset current City costs. Alternatively, the following reductions would need to be made to the budget: The regular and temporary staff positions in Park and Street Maintenance, which provide the Portable Restroom services and traffic control for Farmers Market, would be eliminated. These positions are responsible for the delivery, set-up, cleaning and maintenance of the portable restrooms and traffic control for Farmer's Market. The Downtown Association would need to provide restroom services through a private vendor if they wish to continue having them. Trak control services will have to be furnished via the Downtown Association if Farmer's Market is to continue as it is not an optional service. The Contract Service allocation in the Street and Sidewalk maintenance operating budget for Downtown Cleaning Services would be reduced or eliminated as part of the 2011-13 Financial Plan. Such a reduction would affect sidewalk, barbeque site, and trash container cleaning in the Downtown area. The half-time regular Street Maintenance Worker I position, which provides daily clean-up of the Downtown, may be reduced or eliminated. This staff position is responsible for the daily trash collection, graffiti and sticker removal, and weed abatement. Additionally this employee provides interface with businesses and the homeless in the downtown. The Downtown Association would need to provide these services on their own through a private vendor if they wished to have this effort continue. Alternatives 1. Continue the Status Quo. The contribution from the Downtown could remain at its current level, providing about half of the cost of traffic control for Farmer's Market. 2. Defer or Re-Phase the Request. Revenue increases could be phased in over the two year Financial Plan to allow more time.for the Downtown Association to adjust to the additional costs. 3. Existing Program Evaluation. The services could be provided directly by the Downtown Association through contract service providers. A service that would provide two of the trailer mounted type units, like the City's, cost about $400 per night which would total about $20,000 for the year. More commonly seen "blue rooms" are available for less. Restroom use in businesses and restaurants is considered to be less of an issue at this time then it was when the restrooms were originally purchased because the City was under severe water restrictions at that time. That has since changed. The current cost of this service by the City is $12,300, not including replacement costs. Traffic Control could be provided using a company that provides traffic control setup service. Based on B2-46 e 1 DOWNTOWN ACTIVITY SUPPORT Aftachment—L known hourly rates, it is estimated this service would cost approximately $18,000 per year. The current cost of this service by the City is $15,200 plus periodic sign replacement. If the additional traffic control set up, submitted under a separate SOPC to bring the event control up to current standards, is approved, the cost would double to approximately$36,000. The City's cost would also double. The costs associated with contract sidewalk scrubbing could also be transferred to the Downtown Association to manage. At this time, staff is uncertain of the cost to provide the daily walk down of the Downtown to remove trash, graffiti, and other items, through a contract service, as it is not a common service. Financial Analysis Calculation of Costs The costs below reflect the current temporary and regular salaries for the staff assigned to Farmer's Market and downtown maintenance, and contract service costs included in the Public Works budget. Line Item Description Account No. 2011-12 2012-13 Staffing ---- - Parks Maintenance-Portable Restrooms Temporary Salaries 50200-7014 12,000 12;500 Medicare 50200-7044 200 200 Unemployment Insurance 50200-7046 100 100 Streets Maintenance-Traffic Control &Downtown Cleaning Regular Salaries 50300-7010 31,000 31,000 Temporary Salaries 50300-7014 5,700 5,700 PERS 50300-7040 10,000 10,500 Insurance 50300-7042 1,600 1,600 Medicare 50300-7044 500 500 Unemployment Insurance 50300-7046 200 200 Contract Services: . _ 43,600, 43,600_ Downtown Cleaning Contract Services 1562064211 43,600 43,600 TOTAL OPERATING COSTS 104,900 105,900 Revenue Potential.Summary The costs to provide the downtown with restroom service, traffic control setup, daily downtown cleanup and sidewalk scrubbing are estimated at $104,900 in 2011-12 and $105,900 in 2012-13. If no revenue is achieved, there is a potential these services and staffing positions will be reduced or eliminated as part of the 2011-13 Financial Plan. The primary assumption is that the Downtown Association can afford to pay the proposed revenue amount The City is currently in contract talks with the Downtown Association. The potential revenue target is set at$25,000 annually. B2-47 Attachment 4 i Mme]:A 2 SUMMARY OF SIGNIFICANT OPERATING PROGRAM CHANGES 2011-1 2012-13 Administration Economic Development ■ Strategy for Infrastructure Phasing and Financing 85,000 10,000 City Clerk ■ Agenda management 15,000 Administration ■ Measure Y Renewal Activities 50,000 30,000 ■ Organizational analysis 37,500 37,500 Community Development Long Range Planning ■ Land Use and Circulation Elements Update-one time 367,500 67.500 Fire Training ■ Recruit Academy 46,800 TechnologyFinance and Information Network Services ■ Database Administrator Position 51,900 54,600 ■ Enterprise Storage Growth 30,00 Support Services ■ Copier Replacements 15,000 15,000 Police Support Services ■ Dispatch Center Uninterrupted Power Supply Maintenance 7,500 7,900 ■ Mobile Data Computer And In Car Video Warranty Extension 34,300 6 Neighborhood ■ Enhanced SNAP for Neighborhood Wellness 11,000 15,400 Street and Sidewalk ■ Farmer's Market Traffic Control Upgrade 27,300 16,300 Maintenance CIP Engineering ■ Capital Improvement Plan Delivery Support Services 32,400 Transportation Planning ■ Traffic Engineering Staff Position 111,700 117,200 and Engineering Parking Services ■ Contract parking officer-Neighborhood Wellness 53,900 87,200 ■ Planning Staff reallocation to Parking Services 64,700 64,900 B2-48 Attachment 4 SUMMARY.OF SIGNIFICANT OPERATING PROGRAM CHANGES 2011-1 2012-13 Utilities Administration ■ Exterior Painting of 879 Morro Street Building 14.000 Source of Supply ■ Water Reuse Electric Utility and Chemicals 6,700 9;300 Water Customer Service ■ Accelerated Water Meter Replacements 1,600 (2,100) Water Treatment ■ Electric Utility.Chemicals and Contract Servcies (2.300) 22,900 Water Reclamation ■ Maintenance Projects 30,000 Facility ■ Biosolids Composting Contract 15,000 ■ Utility Services and Chemicals (44,000) 17,800 Wastewater Collection ■ Laguna Sewer Lift Station Pump Maintenance 46.000 TOTAL 1,078,500 601,400 Summary By Fund General Fund Ongoing 313.300 288.900 One-time 594,600 97,500 Enterprise Funds Water Fund 13,000 30,100 Sewer Fund 39,000 32.800 IParking Fund 1 118,6001 152,100 TOTAL 1 1,078,5001 601,400 B2-49 Ask F.Al ITI I I Z I&I I MAI I L• e E STRATEGY FOR ECONOMIC DEVELOPMENT WORK PROGRAM Attachmen Request Summary 1. Authorize $60,000 in General Funds for contract services for the analysis associated with developing a strategy for infrastructure phasing and financing in the expansion areas in the initial year of the Financial Plan,2011-12. 2. Authorize $15,000 in General Funds for contract services for Strategic Planning for the Economic Development Program in the initial year of the Financial Plan, 2011-12. 3. Authorize $5,000 in General Funds for contract services for development and enhancement of the existing City-Chamber of Commerce Business outreach website. 4. Authorize $12,500 in General Funds for contract services to collect data in support of the Business Retention and Expansion Program. 5. Authorize $25,000 in General Funds for contract services for collaboration efforts between Cal Poly,County, City,and business community. Key Objectives 1. Implements Council adopted Economic Development Major City Goal for the 2011-2013 Financial Plan. 2. Develops an implementation plan for infrastructure in the Margarita and Airport Area specific plan areas to facilitate job creation. 3. Leverages completed specific plans in the Margarita and Airport areas. 4. Furthers work accomplished and addresses goals identified by the Collaboration Committee research under 2009-2011 Financial Plan. 5. Adds to existing Economic Development Contract Services budget to accomplish strategic plan and ongoing direction for the economic development program. Existing Situation: Factors Driving the Need for Change During the past decade, substantial City resources have been allocated to completion of specific plans for the City's main commercial expansion areas — the Margarita Area and the Airport Area. In addition, significant undeveloped acreage covered by these specific plans has been annexed to the City. With completion of the first phase of the Airport Area annexation and the specific planning process to guide land use in these areas, it is timely to begin to apply economic development efforts towards business expansion here. To accomplish this, an examination of the infrastructure costs, needs and potential tools for successful development of business attraction and expansion areas is proposed. In particular, there is a need to ensure that the requirements for infrastructure in the early stages of development in these expansion areas does not serve as an impediment to reasonable growth. Strategies that address the required phasing of infrastructure and financing of public improvements will be sought to ensure the timely implementation of the approved land use plans. In addition, the Economic Development Major City Goal sets out an aggressive work program to promote job growth using multiple strategies (see descriptions below). As detailed in the table following these program activities, the program is requesting a total of$95,000 of one-time additional funding over the next two years to accomplish these objectives. • Complete a Strategic Plan for ongoing economic development efforts based on research of best practices and grounded in community input and involvement in the process. Since the program's inception in 1995, the primary focus for the Economic Development Program has been relationship building, intelligence gathering, and development review facilitation. Now the Program finds itself at an B2-50 STRATEGY FOR ECONOMIC DEVELOPMENT WORK PROGRAM Attachment— _ important crossroads. In order to achieve the Major City Goal of creating and supporting head of household jobs, the program must put careful consideration into a long-term strategy. • Facilitate public-private partnerships to expand broadband fiber optic penetration to benefit economic activity throughout the City. Broad availability of fast internet service is commonly seen as a requirement of a vibrant business community. Over the past several years, the City has developed a strong partnership with Cal Poly and the County of San Luis Obispo to complete a "fiber-optic"ring for the benefit of government and the university. Now it is appropriate to bring private businesses into the fold to enhance the utility of this fiber-optic infrastructure as a way to improve the economic capacity of the community at large. The ability to use contract services to accomplish other aspects of the work program provides staff with time resources to complete this project in coordination with a new Finance and Information Technology Director, expected to be hired during 2011-12. • Continue collaboration efforts between Cal Poly, County,City and Business Community. An effort to assess the entrepreneurial ecosystem has been underway under aegis of the Collaboration Committee, a joint effort of Cal Poly, the County of San Luis Obispo, the City of San Luis Obispo and the business community. Research to determine the status of our entrepreneurial ecosystem was completed during the 2009-2011 Financial Plan period. The research indentified steps that need to be taken to bolster the area's effective ability to grow and attract entrepreneurial businesses. • Continue to undertake the efforts to develop local business enterprise through business retention and expansion. The business retention and expansion efforts started under the 2009-2011 Economic Development Major City Goal. During this period, other similar programs were examined to determine effective practices for this work. The most effective programs have dedicated staff. As this is not an alternative available to the City of San Luis Obispo at this time, the 2011-2013 Major City Goal Work Program for Economic.Development includes contracting with an outside party to provide the dedicated work and.make the program more effective. • Simplify the approval process for routine development review processes that affect businesses in the high growth clusters. In conjunction with private industry's efforts to implement the Economic Vitality Corporation's Clusters of Opportunity Strategic Plan, the City has an opportunity to focus efforts on businesses that offer the greatest job growth to assure that it is doing everything possible to meet the needs of companies that aim to locate and expand here. One way to achieve this is to identify routine development review processes that affect such businesses and then simplify them so that there is more certainty and reduced time to permit for the businesses involved in the growth clusters. This will be a staff led effort. The ability to use contract services to accomplish other aspects of the work program provides staff with time resources to complete this project in coordination with a new Community Development Director,expected to be hired during 2011-12. • Continue to support and enhance the joint City of San Luis Obispo and Chamber of Commerce Economic Development Website. This website was created during the 2009-2011 Financial Plan using funds allocated by the Promotional Coordinating Committee to enhance the intersection of tourism and job creation. Ongoing support of this website is desirable to maintain accurate and up-to-date information to promote business growth. B2-51 STRATEGY FOR ECONOMIC DEVELOPMENT WORK PROGRAM Attachment Fundin¢Reauest Summary Activity One-Time or Ongoing 2011-12 2012-13 Infrastructure Strategy One-Time $60,000 $0 Strategic Plan One-Time $15,000 $0 Website/Welcome Mat Ongoing $5,000 $5,000 Business Retention and Expansion Ongoing $12,500 $12,500 Collaboration Efforts Ongoing $25,000 $25,000 Totals - $117 500 $429500 Currently Available - $32,500 $32,500 SOPC Request - $85,000 $10,000 Goal and Policy Links 2011-13 Major City Goal, Economic Development Service Categorization Criteria Service Category 4 Program Work Completed • The business retention and expansion efforts started under the 2009-2011 Economic Development Major City Goal provide a foundation of experience and information on which to continue the work. • The Finance and 1'T Department has prepared an RFP for the first steps in implementation of a program that will facilitate expansion of the utility of the fiber-optic infrastructure. Environmental Review N/A Program Constraints and Limitations Adequate financial resources are required for successful completion of the Council's Major City Goal work program. Stakeholders The Administration Department has the largest stake in this effort. Community Development and Public Works Departments will play a consulting role in developing the expansion area infrastructure strategy. The Community Development Department will take a lead role in examining the development review process for a simplification strategy. The Finance and IT Department will be the co-lead in development of tools to increase access to broadband infrastructure. Stakeholders include the Chamber of Commerce, the business community and the residents of the City who all benefit from economic development efforts. Implementation Expansion Area Infrastructure Strategy B2-52 • D • N - ECU,40MIC DEVELOPMENT STRATEGY FOR ECONOMIC DEVELOPMENT WORK PROGRAM Attachment Administration staff(30%F&TT Analyst)will circulate the RFP for the analysis that will inform the program formulation. Completion of this analysis is expected to require an additional $60,000 during the fust year of the two year Financial Plan. Following completion of the analysis,the Analyst will formulate an action plan of strategies that address the required phasing of infrastructure and financing of public improvements in accordance with the analysis. Ultimately,a strategy that addresses the required phasing of infrastructure and financing of public improvements will be brought to Council during the 2011-2013 Financial Plan. Capacity exists for this work program by redirecting and fully utilizing the 30%F&TT Analyst assigned to the Economic Development Program with oversight of this effort by the Economic Development Manager utilizing 10% of available time to, this effort. Website Enhancement Administration staff will identify and hire the assistance of an outside contractor to complete updates and enhancements to the joint website. This effort will require$5,000 in each of the two years in the Financial Plan. Funds for this effort exist in current allocations to Contract Services for Economic Development allocated in the 2009-2011 Financial Plan.The capacity exists for this effort because the work of forming the website has been accomplished. Remaining work will consist of actions that build on what already exists and is expected to consume 5% of Economic Development staff time. Business Retention and Expansion Administration staff will identify and hire the assistance of an outside contractor to do the day-to-day business retention and expansion activities. Current Economic Development Staff will retain responsibility for personal outreach in a manner similar to the evolution of the program during the 2009-2011 period. The effort will require $12,500 in each of the two years of the Financial Plan.Funds for this effort exist in current allocations to Contract Services for Economic Development allocated in the 2009-2011 Financial Plan. Capacity exists with the Economic Development staff,with particular reliance on the F&IT 30%Analyst to assist with preparation and management of the RFP process,to complete this task. It is estimated that it will take 20% of the time of the Economic Development Manager to oversee the consultant and perform the personal outreach. Strategic Planning Administration staff will identify and hire the services of an outside consultant to help evaluate the City's Economic Development Program against industry best practices, as well as identify opportunities and constraints towards implementing best practices. The cost for these services is$15,000 during the first year of the Financial Plan period only. Capacity of the existing Economic Development staff is estimated to be 40% of total job capacity. It is assumed that the 30%F&TT Analyst assigned to economic development will assist with preparation and management of the RFP process. Through heavy reliance on external sources of expertise, it is expected that the current Economic Development Program has the capacity for accomplishing this work program.The remaining 25%of available capacity in the Economic Development Manager's time will be allocated as follows: • 5%to assisting with the permit streamlining effort • 10%to assisting with the broadband effort • 10%to the Collaboration efforts as well as other existing duties Key Program Assumptions Assuming that this additional funding for contract services is approved, the Administration Department will proceed with the contract services during the first year of the two year financial plan. Since the consultant's B2-53 ANIL STRATEGY FOR ECONOMIC DEVELOPMENT WORK PROGRAM Attachment 4 work will be put under contract during the first year, allocations for the second year will decrease. It is assumed that the current contract services unallocated budget of$37,500 will be utilized entirely during the financial plan. Program Manager and Team Support The Economic Development Manager will provide program oversight. Specific elements of the work program will be assigned to the 30% Finance & IT Analyst assigned to Economic Development. Additionally, support from City staff in the Development Review process will be critically important to the successful implementation of this work program. Alternatives Reduce the scope of the Major City Goal Work Program. Reducing the scope of the Major City Goal to exclude the task to develop strategies for infrastructure phasing and financing would allow for the majority of the work program to move forward, but would not fully implement the Major City Goal, which identifies infrastructure and head-of-household-jobs as two key purposes for pursuing the goal. Shift Resources from other portions of the Major City Goal Work Program. If the Infrastructure analysis portion of the work program takes priority, reprioritizing or eliminating other efforts in the work program is possible. The result would be reductions in other portions of the work program for the 2011-13 Major City Goal for Economic Development, such as the Economic Development website or the Business Retention and Expansion Program. This alternative is not recommended because the City has already invested in the website and business retention and expansion programs.Not continuing to develop these programs would compromise the effectiveness of the investment the City has made in these programs. Operating Program Administration—Economic Development (11200) B2-54 STRATEGY FOR ECONOMIC DEVELOPMENT WORK PROGRAM Af t8Chment Cost Summary Lme Item Desc ' tion Account NoF 2011-12 2012-13 Staffing Contract Services Consultant-Financial Analysis 100-11200-7227 85,000 10,000 Reduction in Contract Services Other Operating Expenditures 0 0 Minor Ca ital_ 0 — 0 Total Operating Costs 85,000 10,000 QjfF se![ing Costs Savings or Revenues (Enter as a negative number. If there are none, delete this row in the table. Net Operating Costs 85,000 10,000 B2-55 GENERAL GOVERNMEo, ELECTRONIC AGENDA MANAGEMENT AttaS:hment-.�— Request Summary Providing funding for an electronic agenda management system will cost $15,000 for annual maintenance, beginning in 2012-13. Key Objectives 1. Identify areas that could lead to increased agenda process efficiencies. 2. Create a database application that will streamline the preparation of staff reports, ordinances,resolutions and contracts. 3. Implement a workflow-based system for document drafting, review and approval, with the aim of streamlining the staff report preparation process. 4. Create tracking capabilities of documents and files entered into the system, along with creation of unique document numbers(C1-1,PHI-1,B1-1 etc.). 5. Provide video on-demand and live streaming capabilities to improve public access to meeting minutes. Existing Situation: Factors Driving the Need for Change The City's current agenda production process meets the requirements of law and public access. However,this process requires labor-intensive administrative review, approval, and tracking amongst many City departments and does not provide the level of transparency that is expected from the community. To accomplish this, an examination of the costs,needs and potential tools for successful development of an agenda management system is proposed. The initial project will be funded during the 2010-11 fiscal year and will be implemented during 2011-12. Annual maintenance costs of$15,000 would begin in 2012-13. Goal and Policy Links 1. City Clerk's operating program goal to increase productivity and exceed customer service levels. 2. Major City Goal; Fiscal Health. Over time the development of an electronic agenda process is expected to save the City money in the form of reduced printing costs and reduced time spent managing the agenda, and will improve the quality of the work because the electronic agenda process supports collaborative editing of agenda reports. Immediate savings of $70,000 annually is expected to come from elimination of an Administrative Assistant III position in the Administration Department. Service Categorization Criteria Service Category 3 Program Work Completed A Project Team has been formed to review and recommend improvements to the City's agenda development, distribution and tracking process. Environmental Review No environmental review required. B2-56 GENERAL GOVERNMEi'l I' ELECTRONIC AGENDA MANAGEMENT Attachment-. Program Constraints and Limitations The selected Electronic Agenda Management system will be scalable and will initially be implemented with only the agenda management functions. It is anticipated that the City will upgrade the new system to include more components as each module is successfully implemented and new functionality is desired. Research and implementation of an Electronic Agenda Management system will place additional time constraints on the day to day operations of the Clerk's and IT staff. However,the amount of time spent in these initial phases will be more than compensated by a.new process that is more efficient and time saving. Stakeholders Internal stakeholders include staff in departments responsible for writing,reviewing, approving and tracking staff reports. External stakeholders include all community members as the objective is to improve transparency. Implementation Task Date 1. After implementation of electronic agenda system through the selected vendor,maintain July 2012 system and upgrade as additional functions are desired. Key Program Assumptions 1. Vendor services and related resources will be necessary in achieving objectives. 2. Costs will vary based on the scope of the services selected for the initial launch and vendor selected. Program Manager and Team Support Program Manager. City Clerk Project Team. Assistant City Manager, Administrative Assistant lI (City Clerk), Principal Administrative Analyst (Administration), Utilities Analyst, Deputy Community Development Director, and other City stakeholders involved in the agenda management process. Alternatives 1. Continue the Status Quo. This is not recommended because the electronic agenda process will support more efficient use of reduced staff resources in the Clerk's Office. Proposed staffing reductions would not be possible if an electronic agenda management system is not implemented. 2. Defer or Re Phase the Request The request could be deferred; however, savings from staffing reductions will not be realized until this process is implemented. B2-57 GENERAL GOVERNME-. ELECTRONIC AGENDA MANAGEMENT A tachment 3. Change the Scope of Request. This request could be decreased or increased depending on the scope of the initial project launch. The size of the savings can not be determined until the vendor selection process is concluded. Operating Program Administration and Records(20 100) Cost Summary Line Item Des ion I Account No. 1 2011-12 2012-13 Contract Services 1 100-20100-7227 1 1 15,000 B2-58 GENERAL s MEASURE Y RENEWAL ACTIVITIES Attachment Request Summary Providing funding for Measure Y renewal efforts, including public opinion research and community education/outreach,will cost$50,000 in 2011-12 and$30,000 in 2012-13. Key Objectives 1. Hue consultant to provide insight and guidance on timing of ballot measure and educational messaging 2. Survey public opinion of City services and level of support for Measure Y renewal 3. Assess likelihood of successful Measure Y renewal in 2012 or 2014 4. Provide Measure Y outreach/education to community in preparation of ballot measure Existing Situation: Factors Driving the Need for Change Although experts have declared the "Great Recession"over, the General Fund is still suffering from its economic impacts. While revenue available to operate the City has dropped significantly, expenses have continued to increase. Major revenues have, for the most part, reached bottom and started a slow, moderate climb. Unfortunately, while revenues are finally increasing, they are down from their recent peaks and in some cases, they are not expected to return to past levels for some time. Also, although the City has continued efforts to prepare for the new economic reality; key challenges to fiscal sustainability remain. These include: adverse state fiscal outlook; increased retirement costs; and ongoing infrastructure and asset maintenance needs. A substantial budget gap is projected to persist should no corrective action take place. On November 7, 2006, the citizens of the City passed Measure Y, the San Luis Obispo Essential Services Measure. This was a general purpose measure that provides for a half-cent sales tax increase and passed with support from 65% of the voters. Measure Y revenues have been a key success factor in the City's ability to maintain essential services for the community. This additional $5-6 million in General Fund revenue is used to maintain and restore essential services like street paving,traffic congestion relief,public safety, flood protection, senior citizen services and facilities, neighborhood code enforcement, open space preservation and other vital general purpose services. At the same time, given the very difficult economic circumstances,the City has avoided deeper cuts in other key services that would have otherwise been required without Measure Y revenues. Measure Y was approved for a period of eight years and will sunset in 2014. A sustainable budget is one that is focused on Measure Y priorities, and other essential services, because renewal of Measure Y is the City's most important resource for long-term fiscal sustainability. The next two years are critical for the renewal of Measure Y. Public opinion research. A public opinion survey will surface the level of citizen satisfaction with City services, as well as the likelihood of support for Measure Y renewal. It is crucial to understand the community's views on the City's use of current revenues because if they do not believe that funds are spent wisely,they are not likely to support renewal of this important revenue source. It is also important to understand community priorities and what programs voters want to support through renewal of Measure Y funding. A critical component of the proposed public opinion research is tracking questions that were asked of the public in 2005 and again in 2010 to gauge how community sentiment may have changed over time. In May 2010 64% of the respondents indicated support for renewing Measure Y. The principal from the Public Opinion Survey suggested that these results combined with other indicators suggested that a November 2012 ballot to renew B2-59 GENERAL GOVERNMEN MEASURE Y RENEWAL ACTIVITIES Attachment Measure Y may be appropriate. However he also suggested that more current data collected in 2011 would be needed for the City Council to make a data-driven decision. From the results of this research, the City can evaluate the optimal timing to place the Measure's renewal on the ballot. Although the measure does not sunset until 2014,it may make sense to place its renewal on the ballot in 2012. If this is the decided course of action, a portion of the $30,000 for community education/outreach may be spent in 2011-12 rather than 2012-13. Community outreach/education. Providing accurate and comprehensive educational information about the uses and need for these revenues is appropriate and allowed by law. A focused and comprehensive communications strategy must be developed to educate the community on the importance of Measure Y revenues in maintaining essential City services. The community will also have the opportunity to actively participate in discussions regarding the use of the revenues generated by Measure Y. To maintain community support for this critical revenue source, the City must show accomplishments towards meeting Measure Y objectives and commit to fiscal responsibility. The refined budget process and consistent messaging on Measure Y issues will help educate the community about this commitment. Goal and Policy Links 1. Passage of Measure Y in November 2006 2. 2011-13 Major City Goal for Preservation of Essential Services and Fiscal Health Service Categorization Criteria Measure Y renewal is a category#2—High because Measure Y revenues are used to fund both essential services and health and safety. Program Work Completed A citizen satisfaction survey was conducted in May 2010 by Fairbank, Maslin, Maullin, Metz & Associates (FM3) to gauge citizen satisfaction with City services and provide input into the long-term financial sustainability and budget process, including satisfaction with objectives and accomplishments associated with Measure Y. An analysis of the results was presented to Council on July 20, 2010, including the fmding that 64% of voters would likely support the measure's renewal. Environmental Review No environmental review required. Program Constraints and Limitations 1. This effort requires significant public involvement and coordination issues with business,community and neighborhood groups. 2. Level of public support for Measure Y renewal may have decreased since the last survey was conducted. 3. Financial and staffing resources are limited. 4. Optimal timing of ballot measure is currently unknown. B2-60 GOVERNMEN MEASURE Y RENEWAL ACTIVITIES Attach ent 4 Demonstrating transparency in City spending and a commitment to long-term financial sustainability will be key in garnering public support for Measure Y renewal. Stakeholders Internal stakeholders are all City staff who will be affected by the outcome of the ballot measure. External stakeholders include organizations and community groups involved in the education efforts, as well as all community members since renewal of the measure will help the City continue to provide high quality delivery of critical services for the public. Implementation Task Date 1. Hire consultant to conduct public opinion research. July 2011 2. Present survey results and analysis to Council. October 2011 3. Determine optimal timing of ballot measure. November 2011 4. Initiate public information/outreach program if on 2012 ballot January 2012 Key Program Assumptions 1. Optimal timing for ballot measure can be determined based on results of public opinion survey. Program Manager and Team Support Program Manager. Assistant City Manager. Project Team. Finance&Information Technology Director; Finance staff, Administration staff. Alternatives 1. Defer the Request This alternative is not recommended as Measure Y will sunset in 2014 and staff must begin preparation for the ballot measure during the 2011-13 Financial Plan. 2. Change the Scope of Request This alternative is not recommended due to the critical nature of Measure Y funds to the fiscal sustainability of the City. Operating Program Administration(10100) Cost Summary B2-61 • MEASURE Y RENEWAL ACTIVITIES Attachment f. Line Item Description Account No.F 201142 2012-13 Contract Services 50,000 0 Public opinion research 100-10100-7227 50,000 0 Other Operating Ex uditures 0.. __._30,000 Education/outreach materials 100-10100-7227 0 30,000 Total Operating Costs 50,000 30,000 B2-62 GENERAL GOVERNMEN-i ORGANIZATIONAL REVIEW CONSULTANT SERVICES Attachment.L Request Summary Comprehensively reviewing selected functions throughout the organization on an ongoing basis to thoroughly analyze performance in meeting service level objectives in the most cost-effective manner will cost $37,500 annually. Key Objectives 1. Provide detailed evaluation of various departments or functional areas and the services provided. 2. Identify areas of strength and weakness. 3. Provide a methodology for building on strong points and addressing deficiencies. 4. Provide an overview and analysis of the department's or functional area's performance in meeting service level obligations. 5. Provide an analysis of current facilities, staffing and equipment. 6. Identify opportunities to improve efficiencies and/or increase revenues. Existing Situation: Factors Driving the Need for Change Over the years the City has engaged in formal efforts to analytically and objectively review City operations on an ongoing basis to ensure high service levels, performance and efficiency. The City's past approach was not to attempt completing one, organization-wide assessment but-to focus on one or two major functional areas(such as public utilities and development review)or departments per year. The need for this type of review is included in the City's Productivity Policy(page B-25 of the 2009-11 Financial Plan),which calls for"periodic formal reviews of operations on a systematic,ongoing basis." These organizational reviews have varied from comprehensive strategic or master plans, conducted by consultants, to other less formal efforts, such as benchmarking or "best practices" reviews completed by City staff. Regardless of the approach, the City has periodically supported organizational reviews and found them to be beneficial in identifying new and innovative ways of doing business and organizing work in more effectively and efficiently providing services. Ongoing formal reviews help ensure that the City is focused on key priorities and provide the foundation for long-term planning. Organizational reviews can focus on core services, efficiencies, as well as group effectiveness. For example, in 2010-11, the Public Works Department contracted with a consultant who conducted an assessment of the department's activities. The "shelf-life" of an organizational assessment can be several years as the focus is strategic,not tactical. At one time, the Human Resources operating program budgeted for ongoing organizational reviews. The Human Resources operating program no longer has funds allocated for this purpose and in recent years, individual departments have budgeted for such reviews. This lack of consistent funding has resulted in reduced focus on this important method of formally evaluating organizational effectiveness. Compared with efforts to perform these types of reviews by in-house staff, regular organizational reviews by external consultants help ensure objectivity; a thorough assessment and fresh look at current practices; a broader perspective of both private and public sector best practices; the added resources needed to perform this type of review on a timely basis in light of day-to-day work loads; and independent recommendations that facilitate break-through performance. B2-63 ORGANIZATIONAL REVIEW CONSULTANT SERVICES Atteichment—L As proposed, it is likely that two departments would be reviewed in 2011-13.Most recently,reviews of the Parks and Recreation and Public Works departments were completed. Goal and Policy Links 1. 2011-13 Major City Goal — Preservation of Essential Services and Fiscal Health. Adopt a budget that sustains the city's short and long-term fiscal health, preserves public health and safety and other essential services in line with residents' priorities, and includes cost reduction strategies. 2. Budget and Fiscal Policies: Human Resource Management; Productivity; and Contracting for Services. Program Work Completed The Major City Goal Work Plan has been written to include two structured organizational reviews. Environmental Review No environmental review required. Program Constraints and Limitations 1. Significant staff time is necessary to prepare for a comprehensive organizational review. Typically consultants require documentation ahead of a site visit as well as several interviews with internal and external stakeholders depending upon the scope of the review. 2. Some level of temporary disruption may occur as stakeholders may feel threatened by an outside examination of programs,processes, staffing levels and methods. 3. Implementation of consultant's.recommendations may be limited by the need to meet and confer with represented employee groups. 4. Council,community and organizational support will be required to fully benefit from recommendations. Stakeholders Internal stakeholders include staff in departments and/or functions chosen for review, employee groups, as well as Administration, Human Resources, and Finance staff who may be involved in evaluating and implementing recommendations. External stakeholders include all community members as the objective of these reviews is to ensure high quality delivery of critical services, improved productivity and lower costs. B2-64 GENERAL GOVERNMEN-l' ORGANIZATIONAL REVIEW CONSULTANT SERVICES Aftachment Implementation Task bate 1. . - 1. Identify functional areas for review,prepare request for proposals and present for August 2011 Council approval. 2. Evaluate proposals, select consultant and begin work. October 2011 3. Complete review and present results to the Council. June 2012 Key Program Assumptions 1. Consultant services and related resources will be necessary in achieving objectives. 2. Costs are based on the lower range of similar work in the past. Costs will vary based on the scope of the review and consultant selected. 3. We will use the same consultant for the first and second year reviews. However, depending on the departments selected for review, different consultants may be selected if the areas of expertise needed are significantly different. 4. Implementing recommendations identified in organizational reviews may be subject to meet and confer with represented employee groups. 5. Any significant organizational change is difficult and recommended improvements in productivity as well as other cost reduction strategies will need to be managed using fundamental organizational change principles, including: meaningfully engaging employees in developing solutions to create as much buy-in as possible and surface a broad range of ideas; communicating extensively and frequently the need for change; listening and acting upon input from employees; celebrating successes; and broadly sharing"lessons learned." Program Manager and Team Support .Program Manager. Assistant City Manager Project Team. Will be determined based on departments and/or functions analyzed. Alternatives 1. Continue the Status Quo. This is not recommended because organizational reviews provide necessary constructive feedback to improve efficiency and reduce costs long-term. 2. Defer or Re-Phase the Request The request could be deferred; however, critical input regarding organizational performance would also be deferred. 3. Change the Scope of Request This request could be decreased or increased and the number and scope of organizational reviews revised accordingly. In balancing other workload priorities with making reasonable B2-65 ORGANIZATIONAL REVIEW CONSULTANT SERVICES Attachment progress in achieving improvement and cost reduction goals, we believe that one major functional,area annually is about the right pace. 4. Implement with In-House Resources. While it is possible for this work to be performed by in-house staff, this is not likely to be effective. As noted above, external consultants help ensure objectivity; a thorough assessment and fresh look at current practices; a broader perspective of both private and public sector best practices; the added resources needed to perform this type of review on a timely basis in light of day-to-day work loads; and independent recommendations that facilitate break-through performance. Believing that similar success can be achieved with in-house staff is wishful thinking, and reflects the triumph of hope over experience. Operating Program Administration(10100) Cost Summary Line Item Descriprdon Account No. 1 2011-12 2012-13 Contract Services 100-10100-7227 37,500 37,500 B2-66 �COMMUNITY DEVEL0P1v.r_'NT LAND USE AND CIRCULATION ELEMENTS UPDATE Attachment Request Summary Updating the Land Use and Circulation Elements will cost$367,500 in 2011-12 and$67,500 in 2012-13 for consultant services and contract staffing. Key Objectives 1. Leverages$880,000 in grant funds awarded for the Land Use and Circulation elements update effort. 2. Implements an Other Important Council Objective for the 2009-2011 and 2011-2013 Financial Plans. 3. Fulfills the City's obligation under the State Government Code to have a current and responsive General Plan to guide and plan for the City's growth and development.. 4. Is responsive to recent legislative changes and regional planning efforts such as AB 32, SB 375, Housing Element mandates and the regional Blueprint process. 5. Implements climate action planning efforts anticipated to be concluded by the end of calendar year 2011. Existing Situation: Factors Driving the Need for Change o For the last two Financial Plans,the Planning Commission and City Council have expressed the desire to update the Land Use and Circulation Elements. In 2009-2011,the City updated its traffic modeling program as a first step toward updating the elements. Because of a$880,000 grant from the Strategic Growth Council(SGC)the City will be able to take the next steps in the update in the 2011-13 financial planning period. The Council has . established an"Other Important Objective"concerning this project that states,"Within the scope of the grant, undertake an update of the Land Use and Circulation Elements; including"Healthy Cities"policies and creating a Pedestrian Circulation Plan". Updating the Land Use and Circulation Elements will require the City to prepare an environmental impact report(EIR). The grant funding will not cover all of the costs of preparing this EIR. This means that additional funding from the General Fund will be needed. Staff reviewed information from 25 jurisdictions that have updated their General Plans over the last seven years. The average amount spent was approximately $900,000 for both the update and EIR. The least expensive was for the City of Pleasanton which spent$250,000 for an EIR and noise study. The most expensive was$2 million for the City of Ontario. Most jurisdictions spent between $500,000 to $1.1 million on their updates and associated EIR's (17 out of the 25 jurisdictions). Staff also spoke with two firms that have led numerous General Plan update efforts over the years to get a sense of how much in additional funds will be required to complete an EIR for the update being proposed by the City. Based on these comparisons and the scope of work used to acquire the grant, staff is estimating a cost of about$1.1 million for the Land Use and Circulation Element update and the EIR. This requires augmenting the$880,000,grant with$300,000 in additional funding to complete the EIR. In addition to the EIR work, two City departments have indicated the need to augment existing staff resources in order to fully participate in the project: Public Works has identified $65,000/year in contract.services will be required to offset other priorities and the Fire Department has identified $2;500/year in contract staffing to assist in this effort. Goal and Policy Links Adopted Goals&Policies(Category 2 and 3 activities) B2-67 MEOW COMMUNITY DEVELOPit,ciNT LAND USE AND CIRCULATION ELEMENTS UPDATE AttachmenU. 1. Other Council Objective: Land Use and Circulation Elements update 2. Government Code Sections 65300-65302—General Plan 3. AB 32, SB 375, SB 97,RTP 4. State Government Code—Planning and Zoning Law 65100 Local Planning/CEQA Service Categorization Category An Environmental Impact Report is required under the Public Resources Code Section 21000, et seq. As such it is a Category 1 activity. Program Work Completed The update to the traffic circulation model has been completed. A draft of the Climate Action Plan has been reviewed by staff and will be released for public review in the next three months. Analysis of the existing policies and programs of the Land Use and Circulation Elements is underway and a project plan for a neighborhood identification effort has been drafted. Departmental Review The Community Development, Public Works, Utilities, Parks and Recreation, Finance and IT, Fire, Police, and Administrative Departments will be impacted to varying degrees by this effort and will need to be involved in the update process. Program Constraints and Limitations Community Development Fiscal constraints will determine whether consultant assistance can be hired to conduct the EIR work. If the EIR work is not funded, it would require one additional full time employee (FTE) to conduct the EIR work and this work would occur sequentially instead of concurrently, thereby delaying the process by two years or more. Limited resources in the Long-Range Planning Program will require that several existing assignments be completed before allocating a FTE to this update. It is estimated that one full time staff equivalent will be required to manage the update process in addition to the consultant assistance for both the update and the EIR work. Public Works Department It is estimated 0.50 full time staff equivalent in the Transportation division will be needed for this work effort. Because the Transportation division is currently operating above capacity, $65,000 in contract services will be needed to offset Public Works Department staffing necessary for this project. If this funding request cannot be granted and the project is approved, the division's ability to fulfill regulatory requirements associated with operations and safety would be significantly diminished. Utilities Department For FY 2011-13, the Utilities Department currently has a recommended capital project in its program of work to undertake a Wastewater Collection System Master Plan. A key work effort contained in the proposed master plan project is to hydraulically model the community's wastewater collection system. This project will be of direct benefit to the Land Use and Circulation Elements Update. Therefore, staffing resources for a significant portion of the department's work associated with this update is already programmed. B2-68 COMMUNITY t • ' LAND USE AND CIRCULATION ELEMENTS UPDATE Attachment-L It is assumed Year 1 activities related to this project will require an additional 100 hours and Year 2 activities will require an additional 200 hours of the Utilities Project Manager's time over and above the wastewater collection system master plan project requirements. The hours required for full participation in the Land Use and Circulation Elements Update will be absorbed by the Utilities Project Manager,but will most.significantly impact the project manager's capacity to participate in any new initiatives or emergency projects and ability to provide overall departmental support related to routine duties, especially in Year 2. The department will plan to mitigate these impacts either by reducing other assignments to the project manager,delaying work until the capacity exists to accomplish it,or assigning the work to other staff. Fire Department Currently the Fire Department does not have the resources to assign personnel to this project. Contract services will be required to attend team meetings. It is estimated that the cost will be$2,500. Finance&IT Department A Fiscal Impact Study will need to be prepared and analyzed. Current staffing levels and expertise do not exist to accomplish this in-house and a consultant will be required. The grant funds are anticipated to be used for this study. Administration(Natural Resources& Economic Development) Both the Natural Resources Manager and the Economic Development Manager will be involved in the update process. Staff anticipates being able to participate in the update within the scope of their existing workload. Parks&Recreation Department Parks and Recreation staff will be available to provide input to those updates within its area of expertise. Due to the presently frozen Recreation Manager position the capacity for this work is limited at this time and other projects may have to be re-prioritized in order to assist Community Development with this time sensitive project. Parks and Recreation staff will assist in the coordination of meetings and outreach to the Parks and Recreation Commission. Stakeholders The following City departments are stakeholders in this effort in addition to affected regulatory agencies, interested members of the community, advisory bodies and decision-makers. Community Development Public Works Department Utilities Department Fire Department Police Department Finance&IT Department Administration(NR&ED) Parks&Recreation Department Implementation Community Development B2-69 -COMMUNITY • ' LAND USE AND CIRCULATION ELEMENTS UPDATE Attachment ± Staff will circulate a Request for Proposal (RFP) for both the General Plan update and the EIR preparation (if funded). Staff anticipates that consultants will most likely bid on the entire project (General Plan update and EIR) due to the economies of scale and familiarity with the project as it evolves. If funding is not acquired to hire the EIR consultant, the project manager will work with the General Plan consultant team in order to conduct the EIR work. This will entail delaying EIR work until the bulk of the General Plan update is drafted, thereby delaying consideration of the draft by the decision-makers by up to two years. This may also impact the timing of the financial analysis of the draft plan. Public Works Department Assuming funding for contract services is approved, the Transportation division would partner closely with the Community Development Department on the Land Use and Circulation Elements update. Finance and IT Department The Director of Finance and IT and the Finance Manager will work closely with the project manager and the consultant hired to provide the fiscal impact analysis. Administration (NR&ED) Natural Resources staff will be available to provide input to the updates in those fields within its purview. This will primarily be in identifying and reviewing areas of environmental concern or of environmental impacts resulting from implementation of the Land Use and,Circulation changes.. Key Program Assumptions The Land Use and Circulation Elements update will proceed starting in 2011-2013. Program Manager and Team Support The Long Range Planning Division Manager will be the program manager with staff support from all other departments including Public Works, Utilities, Fire, Police, Finance and IT, Administration, and Parks and Recreation. Alternatives 1. Retain an Associate Planner position within the Community Development Department Rather than eliminating a frozen position,retain an Associate planner to coordinate the EIR work. This option would still require some funds for studies not able to be funded through the grant. The disadvantage to this approach is that the work is related to a time-limited project with completion envisioned within three to four years. This position is a permanent one and the on-going cost plus the cost of the environmental studies would exceed that of a consultant team to conduct the work. 2. Hire a contract planner to complete the environmental review. This alternative is not recommended because the cost of the environmental studies and contract staff costs will most likely exceed the cost of including the environmental review as part of the update effort. In addition, consultants responding to a RFP for the update and EIR will have access to more personnel with areas of expertise than may be found in a single contract planner. B2-70 COMMUNITY • P LAND USE AND CIRCULATION ELEMENTS UPDATE Attachment 3. Reduce the scope of the project. Reduce the scope of the project to address house-keeping items only and address policy and program updates as staff resources are available. Defer larger update until the next Financial Plan. This alternative is not recommended because the grant funds for the update process will not be available for a substantially reduced scope. Future grant funds are uncertain and the City will not be assured of a future award for a competitive grant. Operating Program Long Range Planning(40400) Cost Summary Line Item Description I Account No.1 2011-12 2012-13 Staffing 2,500 2,500 Fire Department contract staffing 100-85100-7012 1 2,500 2,500 Contract Services 365,000 65,000 EIR consultant 100-40400-7227 300,000 Public Works contract services 100-50500-7227 65,000. 65,000 Total Operating Costs 367,500 67,500 B2-71 IPUs FIRE DEPARTMENT RECRUIT ACADEMY Request Summary Training four replacement Firefighters in a recruit academy will cost an additional $46,800 in 2011-12 (or 2012- 13 depending on vacancies). Key Objectives 1. Provide mandated entry-level training for recruit Firefighters at the Fire Department. 2. Fill vacancies at the firefighter's rank when at least three exist. 3. Produce an"economy of scales"academy. Existing Situation: Factors Driving the Need for Change 1. When three vacancies exist at the firefighter rank a need to fill these positions is triggered due to efficiency of operations and overtime reduction. It is estimated that this situation will exist in 2011-12 due to retirement eligibility of existing employees. 2. Before Firefighters are hired, vacant positions exist in fire station crews. Because of constant staffing, overtime is required to fill those positions using salary savings from the vacant positions to offset costs until new Firefighters are hired. When the new Firefighters are hired,vacant positions no longer exist,yet the new recruits are required to participate in a training academy. Until the recruits are ready to be placed on shift, overtime is needed to backfill the shift positions. 3. A typical firefighter recruit academy is six to eight weeks in length. The Fire Chief plans on hiring or "lateraling" experienced firefighters from other departments allowing an abbreviated, four week academy. A two week "lateral" academy was used in 2009 and was too short resulting in placement of firefighters on emergency responses and other duties before they were completely trained. A four week academy is planned. Reducing the academy from eight weeks to four weeks will save $45,000. Savings in overtime is $43,000 and $2,000 in training materials. Goal and Policy Links Preservation of Essential Services and Fiscal Health Effective training delivery system to maintain personnel at a high level of competence(G.O.501.01) Service Categorization Criteria 2-High Program Work Completed An analysis of overtime costs for four additional Firefighters and one instructor plus training materials has been completed. Environmental Review No environmental review required. B2-72 LIC SAFETY O FIRE DEPARTMENT RECRUIT ACADEMY Attachme t Program Constraints and Limitations The figures are based upon anticipated attrition of Firefighters. If additional Firefighters retire, the overtime requested would be insufficient. Stakeholders Fire Department and public we serve. Implementation Task Date 1. . - l. Firefighter Academy February 2012 2. Place Firefighters in service March 2012 Key Program Assumptions This four week, abbreviated academy is based on the assumption that we hire four experienced lateral hires which will result in savings over a typical six to eight week academy. Program Manager and Team Support Program Manager. Fire Training Officer Project Team. Fire Department,Human Resources, Police Department Alternatives 1. Negotiate different staffing level in the contract that expires 12/31/2011 thus eliminating the need to hire replacement employees. This would result in a decrease in public safety services delivered by the Fire Department. 2. Do not hire new firefighters and fill the vacancies with overtime. This would result in a net budget savings but increase overtime that firefighters eam. Additionally, operations are negatively affected when more than three vacancies exist. 3. Provide a three week academy saving $11,500 in overtime salary costs. It is questionable whether all training could be completed during the three week training. 4. Provide a two week academy saving $21,000 in overtime salary costs. The previous two week academy resulted in firefighters being placed on regular duty before they were completely trained and presented some major issues the first year. Operating Program Fire Department Training Services(85400) B2-73 PUBLIC FIRE DEPARTMENT RECRUIT ACADEMY Attachment 4 Cost Summary Line Item Mscr' tion Account No. 2011-12 _ 2012-_13 Staffing 43,600 0 Overtime(four regular 56hr/week duty shift) 100-85400-7020 35,600 Overtime instructor 40/hr week x4 1100-85400-7020 8,000 Other Operating Expenditures 3,200 0 Training Aids 100-85400-7909 3,200 Total Operating Costs 46,800 0 Net Operating Costs 46,800 0 B2-74 m • m IGENE DATABASE ADMINISTRATOR POSITION Attach ent 3' Request Summary Eliminating a three-quarter time GIS Specialist II position and adding a full-time Database Administrator in the Finance and Information Technology(IT)Department will cost$51,900 in 2011-12 and $54,600 in 2012-13. Key Objectives 1. Provide technical expertise during major software implementation projects. 2. Administer City's software applications. 3. Maintain and upgrade City website. 4. Maintain and upgrade City Channel 20 broadcasting. 5. Act as a technical resource for City staff. Existing Situation: Factors Driving the Need for Change The City is currently implementing numerous new software systems, including EnerGov, IntelliTime, Laserfiche and Telestaff, which will replace the old, unsupported Visual FoxPro software. Other new software projects include: utility billing system; asset management software in the Utilities Department; fleet management software; and street signs and signals software. These new software programs will increase program efficiency and organization within the City. However, with the implementation of these programs must come a change in how technological resources will be managed in the City in order to meet the ongoing needs of staff and the community. It is necessary for a Database Administrator (DBA) to maintain these software systems once they are in place in order to protect the City's investment in technology and ensure proper functionality and usage. However,the City does not have a full-time DBA on staff. In the past, Bonnie McKee, an independent consultant, filled this DBA role on a much smaller scale. After Ms. McKee's death in spring 2009, the City began to utilize existing staff to perform these tasks. Currently, a.staff member classified as a three-quarter time Geographic Information Services (GIS) Specialist II is performing these duties in the Network Services Division, as approved by the City Manager in January 2011. To mitigate the effects of this shift in the GIS Specialist's workload, the GIS Division has been utilizing existing staff to complete work previously assigned to him. After the implementation of the new EnerGov software, the GIS workload will be re-evaluated to determine the appropriate level of staffing resources in this division. Due to the large scope and increased workload from the FoxPro Replacement Project, specifically the EnerGov software implementation, as well as the many upcoming new software system installations and the need to provide a sustainable solution to managing the City's database and software needs, we propose hiring a full-time DBA. This position will provide the technical expertise necessary to navigate changes in technology, ensure a smooth transition to new software systems, and manage the increased workload that maintaining these systems will entail. This position will also be responsible for maintaining and upgrading the City website and Channel 20 broadcasting. However, although the establishment of a full-time DBA position will fill an essential staffing need in Network Services, it is important to note that ongoing staffing needs still exist. Another high priority includes the need for a desktop support level position, such as an IT Technician, to manage minor technical tasks which will allow the Network Administrators to focus on network maintenance. Currently, Network Services utilizes two temporary staff members and an Administrative Assistant to complete the work of an IT Technician. B2-75 GENERAL • s DATABASE ADMINISTRATOR POSITION Attechment..LL Goal and Policy Links 1. IT Strategic Plan 2. Operating Program Goals Service Categorization Criteria The activity"New Systems and Application Installation Support"is a service priority ranking#3 -High Mid- Range because it is an internal system that supports base City operations and is necessary for proper organizational management. Program Work Completed The impact of eliminating a GIS Specialist II position has been evaluated. Staff have also discussed the essential nature of the new position and provided an estimate of the annual cost of a Database Administrator. Environmental Review No environmental review required. Program Constraints and Limitations No significant constraints or limitations exist. Stakeholders IT and GIS staff; all City employees Implementation Task D- F1. Conduct EOP for position July 2011 2. Recruit for position August 2011 3. Hire successful candidate September 2011 4. Eliminate GIS Specialist II position September 2011 Key Program Assumptions 1. The GIS Division will utilize existing staff as well as interns to complete work previously assigned to the GIS Specialist H. Their ability to perform mapping projects for City staff in a timely manner may be impacted. 2. The cost estimates for the position are based on salary class code 4366 (Network Administrator) and current benefit costs. Program Manager and Team Support Program Manager. Information Tecnology Manager B2-76 DATABASE ADMINISTRATOR POSITION Attachments Project Team. Network Services staff, Human Resources Department Alternatives 1. Continue the Status Quo. The Network Services Division will continue to prioritize workloads using existing staff. This alternative is not recommended because of the increased technical demands placed on staff due to the number of new software implementations occurring in the City. 2. Implementation in a Different Way. This alternative is not recommended. With the implementation of new Citywide EnerGov/Laserfiche software applications, it is imperative that the City hire a full-time DBA to maintain and upgrade the applications, and act as the point of contact between the City and vendors. In the past, Bonnie McKee, an independent consultant, filled this role on a much smaller scale. Due to Ms. McKee's death in spring 2009,the City must utilize existing staffing resources to perform these tasks. 3. Existing Program Evaluation. This SOPC request does not increase staffing.The proposal is to reduce GIS staff by one GIS Specialist R position and add a DBA to Network Services. All Human Resource policies will be adhered to for the staff reduction and addition. Contracting out the DBA position duties is not a recommended alternative due to the high cost. Additionally, utilizing EnerGov to perform all upgrades, maintenance and application modifications would be cost prohibitive. Operating Program Network Services(25300) Cost Summary The Public Works Department currently funds '/4 of the GIS Specialist II position to conduct work for the stormwater program. However,this project is complete and now requires only maintenance work to be performed by GIS. Due to the project completion, this funding has been eliminated for the 2011-13 Financial Plan. This is a funding reduction of $27,100 in 2011-12 and $27,200 in 2012-13 and will not negatively impact funding for remaining GIS staff. From a net General Fund perspective comparing current year funding to next year funding this is a request that will cost$24,800. The pay scale for a DBA is the same as the Network Administrator. B2-77 GE-NERAL GOVERNMENA" DATABASE ADMINISTRATOR POSITION Attachment Line Item Description Account No.T 2011-12 2012.13 Staffing 103,500 97,900 Database Administrator Regular staffing 100-25300-7010 70,000 73,700 PERS 100-25300-7040 22,700 24,200 Health insurance 100-25300-7042 9,500 9,500 Medicare 100-25300-7044 1,000 1,100 Unerrployment 100-25300-7046 300 300 Total Operating Costs 103,500 108,800 Offsetting Costs Savings or Revenues GIS Specialist II Regular staffing 100-25450-7010 (35,000) (36,800) PERS 100-25450-7040 (11,300) (12,100) Health insurance 100-25450-7042 (4,700) (4,700) Medicare 100-25450-7044 (500) (500) jUnemployment 100-25450-7046 100 100 Net Operating Costs 51,900 54,600 B2-78 O GENERAL GOVERNMEN , ENTERPRISE STORAGE GROWTH Attach ��� Request Summary Increasing the City's enterprise storage capacity to meet growing electronic data storage needs will cost $30,000 in 2011-12. Key Objectives 1. Ensuring that Network Services has the resources to comply with the City's electronic data back-up policy. 2. Providing the increased enterprise storage capacity necessary to meet needs caused by the growth of the City's data. 3. Ensuring that employee productivity is not adversely affected by enterprise storage limitations. Existing Situation: Factors Driving the Need for Change The NetApp centralized data storage system was initially purchased in 2006 as a solution for the City's data storage needs. At that time, the Finance and Information Technology Director projected that the City's data storage needs would level off or decrease. However, data growth has increased by approximately 50% per year and is expected to exponentially increase as the City expands its use of computer automation. The recently purchased Ener-Gov, Laserfiche, Telestaff, IntelliTime and Springbrook software systems will all provide increased automation at the cost of increased storage growth. Many of the City's computer systems, including those mentioned above, require a minimum amount of free storage capacity so data can be moved as necessary. Once all the storage capacity is used, these systems will cease to function reliably. It is anticipated that the City will need this increased storage capacity before the end of 2011. Network Services currently projects that the additional storage purchased will last for one year. Converting to the Microsoft Office 2010 file formats will decrease the data growth. However, if the proposed Microsoft Office Replacement capital improvement project(CIP)is phased or rejected,this storage will be insufficient to meet the needs of the City. Over the past five years, the City has spent an average of$107,100 per year for enterprise storage. During this time, funding has primarily come from carryover funds and new technology project accounts. However, it is not anticipated that Network Services will have the ability to fund additional storage needs in the future from the sources previously utilized because of anticipated operating program budget cuts and the delay of capital improvement projects. The recommended Dell Compellent storage system is highly scalable and can meet the City's needs at a lower cost than the City's current NetApp storage systems. Goal and Policy Links 1. 2001-05 Information Technology Strategic Plan. 2. Information Technology Policy and Procedures Manual. 3. Network Service's goal of using reliable technology to increase productivity and meet customer service levels. B2-79 GENERAL GOVERNMEN ENTERPRISE STORAGE GROWTH Attachments Service Categorization Criteria Information Technology's policies and standards,along with the New Systems and Application Installation Support activities,are a service priority ranking#3 -High Mid-Range because these are internal systems that support base City operations and are necessary for proper organizational management. Program Work Completed The base storage controllers and systems are in place so Network Services does not anticipate the need for professional services to increase the City's storage capacity. Environmental Review No environmental review required. Program Constraints and Limitations 1. Limited financial resources to purchase additional storage. 2. Possibility of unanticipated data storage needs arising in the future. 3. Increase of data storage needs if the Microsoft Office 2010 conversion CIP is rejected or phased. Stakeholders Stakeholders include the Network Services staff who will complete the project and all City employees, who will not be able to continue to create electronic data without additional storage. Implementation The City's Network Administrators will install and integrate the network storage equipment needed to expand the City's enterprise storage system. Additionally,the IT Manager will create a file purging policy to establish longevity and size guidelines for the storage of electronic data. Task Date 1. Get quote for additional storage. July 2011 2. Purchase additional storage. July 2011 3. Install additional storage. August 2011 Key Program Assumptions The City's data will continue to grow and will soon exceed the available storage space. Converting to the Microsoft Office 2010 file formats will decrease the data growth. However, if the Office 2010 conversion CII' is rejected or phased, the amount asked for in this SOPC will be insufficient to meet the City's expected needs. If the City's data grows substantially more than expected, the amount of enterprise storage capacity will be insufficient to meet the City's needs. B2-80 !GENERAL • ENTERPRISE STORAGE GROWTH Attachnent� Program Manager and Team Support Program Manager. Network Services Supervisor Project Team. Network Services staff Alternatives 1. Continue the Status Quo. This is not recommended because at the current rate of data growth, the City will run out of enterprise data storage capacity in less than a year. At that point,no new data can be created. 2. Defer or Re-Phase the Request. This is not recommended because Network Services expects the City to run out of enterprise storage capacity in less than a year. 3. Change the Scope of Request. This is not recommended because $30,000 is the best estimate for the cost of the storage capacity needed to meet the expected City's data growth. If the requested amount is reduced, the smaller data storage capacity would not be sufficient to meet the expected growth of the City's data in the near future. Operating Program Network.Services(25300) Cost Summary Line Item Description Account No.1 2011-12 2012-13 Other Operating Expenditures 30,000 Enterprise Storage 100-25300-7413 30,000 Total Operating Costs 30,000 0 B2-81 GENERAL . • COPIER REPLACEMENTS AMC Request Summary Providing funding for copier replacements will cost$15,000 in 2011-12 and 2012-13. Key Objectives Provide adequate resources to ensure that the City's in-house copying requirements are met. Existing Situation: Factors Driving the Need for Change The vast majority of our "black and white" copier printing is performed via off-site contract services under agreements with Poor Richards and FedEx Office. Nonetheless, the City has copier needs that can only be met by reliable, on-site copiers that are reasonably accessible on an on-demand basis. In meeting the City's reproduction needs, the City has adopted standards for both high-volume (off-site) and low-volume (on-site) copying, which include replacement guidelines for in-house copiers. Copier Inventory mmary Age Number In meeting our in-house copying needs in accordance with these guidelines, More than 10 years 5 the City has 21 copiers in 14 locations as summarized below. The 8-10 years 1 guidelines for copier replacement were revised in 1999-01 to extend the 4-7 years 13 useful lives by 50% from 40 to 60 months. Currently, 13 City copiers have 0-3 years 2 been in use for five or more years. Total 21 Because of the age of the copier inventory, several of these copiers are experiencing frequent maintenance problems. Funding should be available to replace copiers once it is no longer feasible to repair them. Accordingly, we recommend appropriating funds to replace three copiers per year on a case-by-case basis, which is significantly less than budgeting for the replacement of copiers on a targeted cycle basis. Based on our favorable experience over the past five years,replacements will be with refurbished copiers, which are about half the cost of new machines. Goal and Policy Links Copier replacement guidelines Service Categorization Criteria Copier replacements are a service priority ranking#3 -High Mid-Range because maintaining a fleet of functioning copy machines is necessary for proper organizational management. Program Work Completed An assessment of the age and service history of all copiers with our service vendor as well as estimated pricing has occurred. Environmental Review No environmental review is required. B2-82 GENERAL GOVERNMEI,, COPIER REPLACEMENTS Attachment Program Constraints and Limitations The budget allows for replacement of three copiers in each fiscal year. Should more than three copiers fail during the fiscal year, additional budget will be required to address the unexpected replacement of those copiers. Stakeholders City staff in departments with aging copiers. Implementation Copiers will only be replaced upon failure; we will not make"pro-active"replacements based on age or use. Key Program Assumptions 1. Assumes a cost of$5,000 for refurbished,networkable copiers. 2. Assumes replacement of 3 copiers in 2011=12 and 3 in 2012-13. 3. Assumes no other replacements. Program Manager and Team Support Program Manager. Administrative Analyst Project Team. Department Administrative Assistants and other key staff.. Alternatives 1. Do not fund any replacements. Reliable, reasonably accessible copiers are an important part of effective service delivery and high levels of productivity. As such, it would be unwise not to replace copiers that fail beyond repair. Accordingly, given the age of our current inventory, some level of funding for copier replacements is necessary to maintain reasonable productivity and service levels. 2. Fund replacements at a lower level. Given the age of our current inventory, we believe that lower funding levels will simply mean supplemental appropriations later. 3. Fund replacements on a proactive basis on estimated useful lives of 60 months. We have been successful in extending useful lives beyond this target and reducing replacement costs. 4. Lease versus purchasing copiers. We Have analyzed "lease versus purchase" several times in the past. The break-even point is at 36 months. Accordingly, as long as we continue to retain copiers far beyond that, it is more cost effective to purchase rather than lease; moreover,we retain greater control over our costs. Operating Program Support Services(26 100) B2-83 GENERAL GOVERNMEk. I' Attachment-2---7- COPIER REPLACEMENTS Cost Summary Line Item Description I Account No. 1 2011-12 2012-13 Minor Capital _ _ 15;000_ 15,000 Copier replacement:Three per year @$5,000 each 100-26100-7953 15,000 15,000 Total 15,000 15,000 Copier Inventory New or Location Model Seed* Refurbished Acquisition Date Admin/Attorney IR 5000 High Refurbished June 2006 City Clerk IR 5020i High Refurbished September 2008 Comm Dev/919 Palm IR 5020i High Refurbished July 2006 Corporation Yard IR 5000i High Refurbished March 2007 Finance&IT IR 5000i High Refurbished June 2005 Fire Station No. 1 IR 5000 High Refurbished November 2006 Fire Station No. 3 IR 5000 High New AugjLst 1999 Parking Admin Offices IR 50201 High Refurbished June 2007 Parks&Rec Admin IR 5020i High Refurbished June 2007 Human Resources IR 50001 High Refurbished May 2007 Planning C GP200 Low New August 1999 Police-Records IR 5000 High New May 2003 Police-Admin C GP200 Low New August 1998 Police-Investigations IR 2200 Low Refurbished June 2006 Police-Records IR 50001 High New May 2004 Police C GP200 Low New August 2000 Public Works IR 50201 High Refurbished July 2006 Utilities IR 5000i High Refurbished May 2007 Water Reclamation IR 3300 Med Refurbished I September 2007 Water Treatment IR 2200 Low Refurbished July 2008 Whale Rock Reservoir C GP200 Low New August 1999 *High=50 pages/minute 14 in inventory Medium=30 pages/minute 1 in inventory Low =20 pages/minute or less 6 in inventory B2-84 IPUBLIC SAFETY DISPATCH CENTER UNINTERRUPTED POWER SUPPLY MAINTENANCEAftaChMent_J_ Request Summary Purchasing maintenance for the Public Safety Communications Center Uninterrupted Power Supply (UPS) system will result in an ongoing cost of$7,500 in 2011-12 and$7,900 in 2012-13. Key Objectives 1. Provide "maintenance only" of existing police technology and equipment in order to maintain essential public safety services in our community. 2. Ensure reliable and effective information technology and equipment to support basic, mission critical and state mandated public safety service functions in our community. Existing Situation: Factors Driving the Need for Change In general,a UPS system serves as a safeguard for critical systems against power outages, surges, sags, brownouts, and over-voltage conditions. As part of the Public Safety Communications Center technology design, a UPS system was installed in order to protect and maintain the integrity of mission critical servers, storage, workstations and network systems housed at the center. The UPS system is comprised of two independent devices(Unit A and Unit B), and when units sense a compromise in power conditions(that would likely have an adverse affect on the technology and/or equipment)an alarm is sent to IT staff for follow up. The maintenance contract would include the following: corrective maintenance coverage which includes inspection and repair of the electronic portion of the UPS; travel expenses for contract staff,necessary parts replacement; adjustments; and repairs. The contract would also include technical support seven days a week, twenty-hour hours a day. The maintenance for the UPS system will be an ongoing cost associated with the dispatch center.Eventually the hardware will require replacement(anticipated in five years);however,a maintenance agreement will be required long term. Goal and Policy Links 1. Police Operating Program goal to maintain basic public safety service levels. 2. 2001-05 Information Technology Strategic Plan. 3. Information Technology Policy and Procedures Manual. 4. Information Technology goal of using reliable technology to maintain productivity and customer service levels. Service Categorization Criteria This request correlates to the department's Support Services program. Support Services encompasses Record Keeping and Communications Services. The activity Communications Services was assigned service prioritization category 2(High—Health and safety; essential services). Program Work Completed No project work has been completed at this time. B2-O5 PUBLIC SAFETY DISPATCH CENTER UNINTERRUPTED POWER SUPPLY MAINTENANCE Attachment Environmental Review No environmental review is required. Program Constraints and Limitations None Stakeholders Information Technology and Police Departments Implementation Task Date 1. - 1. rr Staff to initiate and purchase ongoing maintenance agreement July 2011 Key Program Assumptions Cost projections were obtained by requesting price quotes from vendors. Program Manager and Team Support Project Manager Information Technology Manager Project Team Information Technology Alternatives Deny the Project. The outcome would result in higher costs for repair or replacement since there would not be a maintenance agreement in place. Operating Program Although the cost will be allocated to Police Support Services,IT staff will manage the maintenance contract and equipment. B2-86 PUBLIC DISPATCH CENTER UNINTERRUPTED POWER SUPPLY MAINTENANCEAttachment Cost Summary Line Item Description Account No.1 2011-12 2012-13 Contract Services 7,500 7,900 UPS System Maintenance Cost 100-80400-7227 7,500 7,900 Total Operating Costs 7,500 7,900 B2_Q PUBLIC SAFETY MOBILE DATA COMPUTER AND IN CAR VIDEO WARRANTY EXTENSIOachmen Request Summary Extending our current warranty for public safety mobile data computers and the police in-car video system will cost$34,300 in 2011-12. Key Objectives 1. Provide continued maintenance of existing public safety equipment. 2. Ensure reliable and effective information technology and equipment to support basic public safety service functions to the community. Existing Situation: Factors Driving the Need for Change The current mobile data computers and in-car video equipment were installed in 2007; the replacement of this equipment is expected to occur in 2014-15. Warranties were purchased with the equipment and are set to expire May 2013. In order to maintain warranty coverage, staff is requesting to extend current coverage another twelve months to May 2014. By purchasing the extended warranty this year,staff can assure costs will reflect the current quote. If the purchase is delayed until next year,the City could incur an increase of up to 15%. This hardware is used by both police officers and fire staff who work 24/7 shifts; providing continued warranties will help keep repair costs low for the next three years. Goal and Policy Links 1. Police operating program goal to maintain basic public safety service levels. 2. 2001-05 Information Technology Strategic Plan. 3. Information Technology Policy and Procedures Manual. Service Categorization Criteria This request primarily correlates to the Patrol Services program and involves the activities of general patrol, directed patrol,and traffic enforcement,all of which were assigned a service prioritization category of 2(High- health and safety; essential services). Program Work Completed No program work has been completed at this time. Environmental Review No environmental review is required. Program Constraints and Limitations If equipment fails and IT staff cannot locate replacement parts,costs could be incurred. B2-88 PUBLIC SAFETY Attachment �- MOBILE DATA COMPUTER AND IN CAR VIDEO WARRANTY EXTENSION Stakeholders Police,Fire Departments and the community. Implementation Task Date FI . - I TT staff to purchase extended warranty July 2011 Key Program Assumptions Costs are based on vendor quote. Program Manager and Team Support Program Manager Information Technology Manager Project Team Information Technology, Police, and Fire staff Alternatives Defer or Re phase the Request. Police and IT staff would have to contend with equipment without warranties or support for critical operations and more staff time would be required of IT and fleet staff to keep this equipment functioning.Repair costs could significantly increase. Operating Program Support Services(80400) Cost Summary Line Item Description I Account No.1 2011-12 2012-13 Contract Services 34,300 _ 0 MDC/In-Car Video Warranty Extension 1 100-80400-7227 1 34,300 0 Total Operating Costs 34,300 0 B2-89 IPUBLIC SAFETY STUDENT NEIGHBORHOOD ASSISTANCE PROGRAM—NEIGHBORHOOD WELLNESS MAJOR CITY GOAL Affachment Request Summary Hiring additional Student Neighborhood Assistance Program (SNAP) employees to support the Neighborhood Wellness Major City Goal will cost$11,000 in 2011-12 and$15,400 in 2012-13. Key Objectives 1. Coordinate efforts with other City departments to enhance neighborhood wellness in the community. 2. Enhance pro-active enforcement of the Neighborhood Enhancement Ordinance (NEO) and parking violations in the neighborhoods. Existing Situation: Factors Driving the Need for Change Overall coordination of the City's efforts related to neighborhood wellness is accomplished by the Neighborhood Services Team, comprised of City staff from many different Departments and led by the Neighborhood Services Manager in the Police Department. The Police Department Office of Neighborhood Services, through the Student Neighborhood Assistance Program (SNAP), addresses violations of the City's Neighborhood Enhancement Ordinance (NEO) that are visible from the public right of way, such as trash can placement, debris in yards, overgrown shrubbery and weeds. SNAP employees are also responsible for enforcing residential parking standards, illegal front yard parking, and noise ordinance violations. Enforcement is a multi-step process, consisting of an initial assessment of the situation to determine if a violation is occurring and the issuance of a Notice to Correct the violation. SNAP re-checks the location after 72 hours and if the violation has not been corrected,photographs are taken to document the violation and the case is referred to the City Attorney's Office for further action. If compliance is not achieved after contact by the City Attorney, violators are subjectto administrative citation. Currently, SNAP employees conduct NEO enforcement an average of 16 hours per week from September through May and eight hours per week during the summer months. Enforcement is conducted during the daytime to allow better observation and photo documentation of violations from the public right-of-way. In order to increase enforcement of NEO violations, as well as neighborhood parking violations (including front yard parking), staff is requesting to increase SNAP enforcement hours to a total of 40 hours per week from September through May and 30 hours per week during summer months. This will allow increased pro-active education and enforcement throughout City neighborhoods in a very cost-effective manner. Goal and Policy Links Neighborhood Wellness Major City Goal 2011-13 Service Priority Ranking Student Neighborhood Assistance Program: 3 (High Mid-Range) Enforcement of Neighborhood Enhancement Ordinance: 3 (High Mid-Range) B2-90 IPUBLIC SAFETY STUDENT NEIGHBORHOOD ASSISTANCE PROGRAM—NEIGHBORHOOD WELLNESS MAJOR CITY GOAL Attach left � Program Work Completed As mentioned above, SNAP currently focuses on NEO enforcement about 16 hours per week. SNAP responds to complaints and conducts pro-active enforcement. Other neighborhood issues, such as noise complaints,have been addressed through increased education and enforcement and will continue to be a focus of neighborhood efforts. Environmental Review No environmental,review is required. Program Constraints and Limitations Increasing NEO and parking enforcement in the neighborhoods is likely to generate complaints from neighborhood residents who have not been subject to regular enforcement of these types of violations. Some residents may feel the enforcement is inappropriate and intrusive. Recently, staff has received complaints regarding the new trash can regulations for this reason. Additionally, increased enforcement of code violations will increase the workload of the City Attorney's office in processing violations that are not corrected after a warning is issued. Staff will examine the processes involved to determine if any streamlining is possible. Reduction in resources of the City Attorney's office could result in delayed action against violators. Stakeholders External stakeholders include neighborhood residents, neighborhood associations and groups, property owners and managers, and student groups. Internal stakeholders include the City departments of Community Development, Police, Administration, Parks and Recreation,Public Works, Utilities and the City Attorney's Office. Implementation 1. Hire additional SNAP personnel and purchase uniforms. November 2011 Key Program Assumptions The ability of increased enforcement hours dedicated to NEO violations is dependent on the Police Department's ability to hire and retain approximately three additional SNAP employees to staff the additional enforcement shifts. Staff will coordinate with Cal Poly and Cuesta College to enhance recruitment efforts. Shift hours will be flexible to accommodate the changing schedules of student employees. Existing Police Department vehicles can be used by the additional staff assuming the Police Department fleet is not reduced. B2-91 -PUBLIC SAFETY STUDENT NEIGHBORHOOD ASSISTANCE PROGRAM-NEIGHBORHOOD WELLNESS MAJOR CITY GOAL Attachment LI- Program Manager and Team Support Program Manager. Neighborhood Services Manager Alternatives 1. Deny Request Denying the request would restrict SNAP from increasing NEO enforcement to support the Major City Goal. Although enforcement would still occur, efforts to be more pro-active would be diminished. 2. Increase of Reduce the Request. The number of hours added for NEO enforcement is scalable. Additional hours may be added at increased cost, or hours may be reduced at a lesser cost. The amount of pro-active enforcement would be expanded or curtailed accordingly. Operating Program Neighborhood Services (80500) Cost Summary Line Item Description Account No. 2011-12 2012-13 Staffing 10,000 14,400 Temporary Staffing 100-80500-7014 9,800 . 14,200 Medicare 100-80500-7044 100 100 Unemployment Insurance 100-80500-7046 100 100 Other Operating Expenditures __ 15000 1,000 Employee Recognition 100-80500-7417 200 200 Uniform 100-80500-7913 800 800 Total Operating Costs 11 po 159400 B2-92 TRANSPORTATION FARMER'S MARKET TRAFFIC CONTROL UPGRADE Attachment Request Summary Acquiring new traffic control equipment to meet State and Federal requirements for street closures, and installing it every week for Farmer's Market will cost$27,300 in 2011-12 and$16,300 in 2012-13. Key Objectives 1. Compliance with State and Federal requirements for street closures. 2. Improved safety for Farmer's Market pedestrian and vehicular traffic. Existing Situation: Factors Driving the Need for Change 1. Concern exists that the existing Farmer's Market closure plan does not provide adequate discouragement for vehicles to enter the Market area. 2. The Farmer's Market traffic control plan and devices do not meet the current State and Federal regulations. New requirements have been adopted by the Federal Highway Administration & State Department of Transportation since the current traffic control plan for Farmer's Market was approved. Goal and Policy Links 1. 2011-13 Major City Goal-Traffic Congestion Relief 2. Federal Highway Administration Code of Federal Regulations,23 CFR 655, Subpart F 3. Street and.Sidewalk Program Objective to provide Special Event Support Service Categorization Criteria 1 =Mandated Program Work Completed Staff has completed design work on a traffic control plan which satisfies State&Federal requirements. A CIP request has been submitted for the 2011-13 Financial Plan to install a barrier end treatment for the north end of the Farmer's Market. Environmental Review n/a Program Constraints and Limitations The proposal is constrained by the tight financial budget situation and the availability of additional staff time to implement the street closures. B2-93 TRANSPORTATION FARMER'S MARKET TRAFFIC CONTROL UPGRADE Attachment Stakeholders In general,the Street and Sidewalk operating program within Public Works, which manages the Farmer's Market street closures, will be affected by the need to deploy more staff resources and equipment each time the closure occurs. The Downtown Association and general public attending the weekly Farmer's Market events will be the potential beneficiaries of implementing the updated State and Federal requirements. Implementation The current and proposed Farmer's Market traffic control plans are provided as Attachments A and B. The current Farmer's Market setup consists of 23 signs and 13 barricades. In order to comply with new State and Federal mandates, the proposed Farmer's Market traffic control plan will consist of 66 signs, 43 barricades and 100 traffic cones. Acquiring the new traffic control equipment to achieve State and Federal requirements for street closures will begin in August 2011. Staff resources needed to deploy this new equipment will start in the fall of 2011 and will be on-going. =Staffffadditionall and purchase equipment August 2011 eployment effort and training September 2011 equipment October 2011 Key Program Assumptions Costs are based on current salary tables for regular and temporary staff anticipated for deployment, in addition to the cost of new equipment in the first year and equipment maintenance thereafter. Program Manager and Team Support Program Manager. Street Supervisor Project Team. Transportation Engineering Staff Alternatives 1. Continue the Status Quo. The City may continue Farmer's Market closures under the current traffic control plan with the same devices. However staff does not recommend this as this will increase the City's liability exposure. An example of this exposure is an incident where an elderly man drove through a Farmer's Market closure injuring 63 people and killing 10; the City was ultimately deemed partially liable for not maintaining traffic control which meets current State and Federal requirements. 2. Implementation in a Different Way. The City could negotiate a contract with the Downtown Association to assume the costs associated with the traffic control for Farmer's Market. City staff would continue to provide the traffic control services as required by State and Federal requirements for street closures for improved pedestrian safety for Farmer's Market. This service provided by a private contractor is estimated to cost$18,000 on top of the existing costs for traffic setup. The total would be $36,000 to complete the full set up via contract. B2-94 TRANSPORTATION FARMER'S MARKET TRAFFIC CONTROL UPGRADE Attachment Operating Program Street and Sidewalk Maintenance(50300) Cost Summary To upgrade traffic control for Farmer's Market will require an initial investment in additional traffic control equipment and an increase in temporary staffing hours to install the added devices. Acquiring new traffic control equipment to meet State and Federal requirements for street closures, and installing it every week for Farmer's Market will cost$27,300 in 2011-12 to double staffing resources(2 to 4) and purchase additional equipment, and $16;300 in 2012-13 and per year after that for staffing resources to install the expanded traffic control. Line Item Desc ' 'on Account No. 2011-12 2012-13 Staffing _ ___ _--- _15,300 _ _- 15,300 Temporary Salaries 100-50300-7014 15,000 15,000 Medicare 100-50300-7044 200 200 Unemployment Insurance 100-50300-7046 100 100 Mino r Ca pita) 12,000 11000 Traffic Control Equipment 100-50300-7843 12,0001 1,000 TOTAL OPERATING COSTS .__ 27,300 16,300 B2-95 TRANSPORTATION AttaChmd FARMER'S MARKET TRAFFIC CONTROL UPGRADE y Attachment A: Proposed Farmers Market Traffic Control Plan j= ................ —. yyy^p:. 4I�a!g�; s�54 3 01104N g ne 1 No b ? CD T O y n PPP qa id Y { - y Z 1 d uu I r 3 N30M `• � ,;s ... oaaoHa Fn 70 y �s OMion 3 0 Soso II �� B2-96 TRANSPORTATION FARMER'S MARKET TRAFFIC CONTROL UPGRADE Attachment 4 Attachment B: Current Farmers Market Traffic Control Plan V-1w is 0WOdIN AL X1.11 -T 74— to, TisgavNi is T9 — IS OBSOHO F-T Is SLISO-.. 3t --------- 7-7- lilt tlN A F-A, f 41 i! 1S Ni tl1NtlS B2-97 �TRANSPORTATION FARMER'S MARKET TRAFFIC CONTROL UPGRADE Attachment.L Attachment B: Current Farmers Market Traffic Control Plan # I = NRI NL) IB 551 y=NL,RIGHT TON ONLY, IB; 5::NL,LEFT TuRW ONLY,a8 lk7=NL, #q = DouaZ aKRoUJ, 6 CIAss a 410=3B, -ti«cr — ,v NR - NO RIGHT NL :-NO LEFT Ky BARRICADE97) if B2-98 COMMUNITY DEVELOPMENT. o CAPITAL IMPROVEMENT PLAN DELIVERY SUPPORT SERVICES Attachment_.L Request Summary Extending the full-time contract position that provides CIP Engineering project support and assistance, from July 1, 2011 through December 31,2011,will cost$32,400. Key Objectives 1. Implement Major City Goal for Infrastructure Maintenance, Traffic Congestion Relief by ensuring efficient delivery of CIP projects associated with those goals 2. Ensure Measure Y accountability of funding provided for CIPs 3. Ensure the planned delivery of the CIP workload by engineering staff is not hampered by lack of administrative support. 4. Ensure that CIP project construction administration complies with all legal and procedural requirements 5. Maintain customer service to bidders and contractors on CIP projects 6. Maintain accurate and useful files and information for CIP projects Existing Situation: Factors Driving the Need for Change For the past four years, administrative support services for the CIP Engineering program has been provided by a full-time, benefited contract position within the Public Works Administration program. Prior to this, the administrative support function was provided by a full-time regular Administrative Assistant II position. Upon retirement and dissolution of this staffing position, it was determined that the need for support remained, even more so with the passage of Measure Y and increase in capital projects designed and constructed. In response, a contract staff position was created and utilized for this support. This current contract position has been funded in part by one-time salary savings from within the Public Works Administration program, and contract services funding from the Utilities Department. Funding for this position is one-time in nature and will be ending upon the expiration of the employment contract on June 30, 2011. Staff has used these past four years to take an in-depth look at both current and future impact of Measure Y, the CIP workload, available administrative support staff from other areas of the department, and reorganization of support staff.The goal was to establish needed regular staffing levels within the Public Works Department. Staff has identified that this CIP support position has been an integral part of the delivery of the Capital Improvement Program as it has helped to ensure the planned delivery of the CIP workload has not been hampered by a lack of administrative support. Once a CIP project is designed and ready for construction, a certain level of administrative assistance is required to guide it through bidding, construction, and closeout phases. Regardless of the size and cost, each project on average required about 90 hours of administrative assistance during the two-year financial plan cycle for a wide variety of tasks,as detailed in Table 1 at the end of this request. Major administrative CIP support tasks include: 1. Setting up and maintaining all capital project job files and associated paperwork 2. Processing reports for advertising and award of various project aspects 3. Copying and distributing project plans and specifications 4. Submitting advertisement.for project Request for Proposals(RFP) 5. Maintaining the City's a-bid board on all projects submitted for RFPs 6. Obtaining signed contract agreements,bonds,and insurance documents from successful bidders 7. Coordinating full execution of contract agreements B2-99 COMMUNITY • ' CAPITAL IMPROVEMENT PLAN DELIVERY SUPPORT SERVICES Attachment 8. Scheduling pre job meetings;preparing pre job meeting documents 9. Monitoring for continuing insurance and bond compliance during contract 10. Furnishing contractor's payroll records to labor compliance agencies. 11. After the required retention period,purging job files and scanning and sending purged files to storage Anticipated Workload Even with the fluctuation of new CIP projects and carryover projects with each Financial Plan, there remains a consistent need for CIP support services to ensure the delivery of these projects. These administrative support services are required for the proper management of these projects. These services would include scheduling, coordinating advertising and bids, processing pay estimates, ensuring appropriate level of insurance for all vendors and contract compliance. Should the CIP Engineering staff be required to absorb and individually provide these support services per each project, it would decrease the productivity level for in-house design work, delay project scheduling, and reduce efficiencies that have been previously achieved through the streamlining of work efforts. Additionally, the CIP Engineering design staff are professionally certified Engineers and receive pay commensurate with their Professional Engineer(PE) certifications. Requiring a certified PE to perform administrative-type support duties would reduce the time available for engineering design work and not only delay CIP project delivery but may also be perceived as an inefficient use of general fund monies. Given that the 2011-13 Financial Plan draft CIP is the lowest sustainable CIP as determined by the CII' committee, it is unlikely that the CIP will be so significantly reduced from the current level in future years as to completely eliminate the need for any administrative support. The 2011-13 CIP is a combination of both General Fund and Enterprise Fund projects. The Enterprise Fund work gives the plan additional stability, given the fluctuations in the General Fund. Even in prior lean CIP years, a dedicated administrative staff person was consistently needed to provide this support. Staff is requesting an extension of the current contract staffing funding for six months(from July 1, 2011 through December 31, 2011)to provide time to analyze staffing resources department-wide which may be used in support of these services and to implement recommendations provided as part of the Matrix Consulting Group organizational assessment. This contract extension would be necessary to limit any disruption of CIP assistance and delivery of capital projects during this time of transition. Goal and Policy Links 1. Passage of Measure Y in November 2006, including Neighborhood Street Paving, Traffic Congestion Relief and Flood Protection 2. 2011-13 Capital Improvement Plan 3. 2011-13 Major City Goal for Traffic Congestion Relief 4. 2011-13 Other Important Objectives for Infrastructure Maintenance 5. Adopted Human Resources Personnel Management Policy Service Categorization Criteria 2=High (CIP Project Design, Construction Management and Private Development Inspection) B2-100 ICOMMUNITY DEVELOP CAPITAL IlVIPROVEMENT PLAN DELIVERY SUPPORT SERVICES Attachment Program Work Completed Public Works has prepared an analysis of the various CIP administrative assistance tasks and the average time required for each task. This calculation has been averaged over a two-year period as it assumes a project would be initiated and completed within the typical 2-year Financial Plan time frame. This analysis has been used to establish a benchmark for administrative assistant support. The CIP support task force has concurred with the method of analysis used. In 2010, the Public Works Department conducted an organizational and management analysis of the Department through the use of a consultant. In October 2010, an independent consultant, Matrix Consulting Group, was awarded a contract to provide an in-depth review and organizational and efficiencies assessment for the Public Works Department. It is anticipated that, as a result of this efficiencies analysis, the consultant would provide the final recommendations of improvements for existing operations, staffing, and service levels, along with an implementation plan for improvement. In the draft assessment report, the following areas were evaluated by Matrix and supported with either a recommendation for a change in practice or to continue with current practices. The evaluated functional areas were: core and priority services, organizational & management structure, outsourcing/insourcing opportunities; current operations, technology, best management practices, trend analysis, customer service and recommendations. The draft final assessment, provided by Matrix, has supported findings consistent with that of staff with the recommendation of a full-time regular administrative staff position for the CIP Engineering program. This administrative staff position is tied directly to capital support and is noted as critical in providing the necessary support.services integral to the delivery of capital projects. The final organizational and efficiencies assessment report by Matrix is anticipated to be presented to Council in May 2011. Environmental Review No environmental review required. Program Constraints and Limitations 1. Adequate financial resources available to support staffing needs. 2. This request conflicts with the adopted Human Resources Management policy which states how contract employees shall be utilized. The CIP is an on-going,regular part of City operations and services. While the City could opt to maintain a contract with an employee for this support, it is not in accordance with the City's adopted Human Resources policy which states; "Contract employees will generally be used for medium-term projects, programs, or activities requiring specialized or augmented levels of staffing for a specific period. " The CIP program is not a limited-term program that might signal the use of a contract employee to be appropriate. A regular full-time administrative support staff will be the core workforce and the preferred means of staffing ongoing,year-round CIP program activities. Stakeholders J 1. Council members and City staff committed to the delivery of Measure Y CIP projects 2. The community with the expected delivery of CIP projects and use of Measure Y funds B2-101 COMMUNITY • ' CAPITAL IMPROVEMENT PLAN DELIVERY SUPPORT SERVICES AttaChnent-L 3. Project managers,engineers,and project proponents in other departments 4. Bidders and contractors on CII'projects- 5. rojects5. Public Works Administration staff members Implementation 1. Administrative support for CIP Engineering projects has been provided over the past four years by a full- time, benefited contract position. This contract is set to expire on June 30, 2011. The request would extend contract staffing dollars from July 1, 2011 through December 31, 2011. The intent is to limit any disruption of CIP assistance and delivery of projects while the Department works to implement recommendations provided as part of the Matrix Consulting Group organizational assessment. 1. Extend contract of employment for CIP Support Services from July 1, 2011 through July 2011 December 31,2011. 2. Conduct department-wide analysis of administrative functions and efficient and effective December 2011 deployment. Present results to City Manager for decision Key Program Assumptions 2. Assumes the lowest responsible CIP program with 81 (61 new, 20 carryover) projects in the 2011-13 Financial Plan. 3. Each CIP project will require an average of 90 hours of administrative assistance. 4. Administrative assistance for CIP projects will be ongoing year-round work; will only vary slightly with seasons. 5. The recommendations provided as part of the Matrix Consulting Group organizational assessment will be implemented by December 31,2011. Program Manager and Team Support Program Manager. City Engineer Project Team. CIP Engineering and Administrative Services Alternatives 1. Continue the Status Quo. The status quo is the use of one full-time contract position, funded partially through Utilities, to keep the CIP program moving. General Fund support was one-time in nature and will not be available following the expiration of this employment contract on June 30, 2011. Without a permanent source of funding to support the contract position, all support for the CIP program will diminish to an unsustainable level and Engineering Design staff will be required to independently provide these support services for CII'projects. 2. Use existing Engineering staff. One alternative to new staffing is to shift an engineering technician from project development work to support work. This translates into a reduction in the number of projects that the CIP Engineering section,can deliver and the outsourcing of design work. Both staff and the independent consultant providing the Department's organizational B2-102 'COMMUNITYtt • ' CAPITAL IMPROVEMENT PLAN DELIVERY SUPPORT SERVICES !i"t ttachm6nt.L assessment do not support this alternative as it would be an inefficient use of staff time and resources to allocate a professional or certified staff position to perform administrative-type duties. 3. Implementation in a Different Way. Staff has discussed the ability of contracting with a Staffing Agency to provide temporary assistance for CIP support. The work involved for CIP support is not typical receptionist or clerical type work. This work requires knowledge of State and Federal guidelines for prevailing wages, construction documentation, request for information standards (RFI)and legal compliance with public records requests. Tracking and document requirements are very specific to keep the City in compliance with federal and state legal requirements on contract administration. Temporary staffing services would not be able to provide the City with any assurance that they could provide consistent staff for the program. Additionally, in-house staff would not be available for repeat trainings resulting in frequent turn-over of temporary services staffing. Operating Program Public Works Administration(50 100) Cost Summary The current full-time, benefited contract position is paid equivalent to an Administrative Assistant II, Step 4 rate. Extending the contract of employment from July 1, 2011 through December 31, 2011 will cost approximately $32,400. Line Item D escription Account No. 2011-12. 2012-13 Staffing 32400 0 Contract Salaries(Admin Asst 11-Step 4) 100-50100-7012 19,800 Retirement Contribution 100-50100-7040 7,300 - Health& Disability Insurance 100-50100-7042 4,800 - Medicare 100-50100-7044 400 jUnerriployment Insurance 100-50100-7046 100 - B2-103 TRANSPORTATION o • - TRAFFIC ENGINEERING CONTRACT POSITION Aftachment.L Request Summary Continuing the full-time Engineer II benefited Contract staffing position to provide Traffic Program support for the Transportation Planning and Engineering division will cost$111,700 in 2011-12 and$117,200 in 2012-13. Key Objectives 1. Restore funding and support resources for the Traffic Program, traffic safety, Traffic Congestion Relief Major City Goal (MCG)and neighborhood wellness. 2. Provide staffing support necessary to continue the City's Annual Traffic Safety, Bi-Annual Traffic Operations, and Neighborhood Traffic Management programs. 3. Implement the 2011-13 Major City Goals for Traffic Congestion Relief and Neighborhood Wellness. 4. Fulfill regulatory and Municipal Code requirements. 5. Fulfill State&Federal regulatory requirements for traffic control devices and operations. Existing Situation: Factors Driving the Need for Change As part of the 2009-11 Financial Plan, a temporary budget reduction strategy was adopted eliminating the City Traffic Engineer position, and converting a regular full-time equivalent (FTE) Engineer III position to a contract Engineer It position with funding half from State grant funds and half from City General Funds. By December 2011, when the available grant fimding is expected to be exhausted,the City will have saved approximately$300,000 from this overall strategy. However, with the grant funding now almost exhausted, General Fund monies now need to be restored in order to maintain the current levels of support for the Traffic program and associated regulatory requirements. This position is essential to allow the Traffic Engineering workgroup to accomplish the MCG of Traffic Congestion Relief and to assist on the Neighborhood Wellness MCG. In addition, this position plays a crucial role in providing support services for the Transportation Operations Manager so that that position can focus on more technical duties such as the traffic signal system, program oversight and management, and consultant services for the City's Other Important Objective of the Circulation Element. The Engineer position is essential for maintaining current service levels, programs, and regulatory obligations. Based on industry standards and historical operating levels, it is estimated that (with acquisition of Hwy 227) the Transportation division is currently operating at approximately 103% of its staffing capacity. If the Engineer staff position is not restored,the Transportation division will be operating at approximately 134% of its staffing capacity in terms of annual staff hours. Over the last nine years,significant new staff resource demands have been added to the Transportation division with no increase in staffing resources. Notable new demands include 14 new traffic signals, approximately 7 new centerline miles, a new traffic operations software program and database, expansion of the traffic safety & Neighborhood Traffic Management (NTM) programs, converting signal operations and travel demand modeling to in-house staff,and the annexation/development of new residential,commercial and industrial areas. Background As part of the 2009-11 Financial Plan budget reduction strategy,the Transportation division eliminated two full-time regular positions,the City Traffic Engineer and Senior Transportation Engineer,as well as contract services funding. To off-set the staffing reductions, a new Transportation Operations Manager position was created to provide the planning and traffic project over-sight and division supervision. In addition, funding was provided for a benefited B2-104 NEW— P. . TRAFFIC ENGINEERING CONTRACT POSITION contract Engineer position and temporary staffing to support various traffic management programs as mandated by State and Federal regulations. This reorganization of staffing resources was presented as a one-time only interim reduction with the assumption that the Engineering staffing position would be re-established as a regular full-time position. Duffing the 2009-11 financial plan period, the interim reduction was made permanent as part of a decision to permanently accept the interim reductions and lower the base budget. In order to sustain the current level of services and traffic programs, it is critical that the Transportation Planning and Engineering division maintain the minimum staffing levels to fulfill its core services,projects and programs. As part of the 2011-13 Financial Plan, the Transportation division is further reducing its staffing levels. Approximately .5 FTE Principal Transportation Planner staff position will be reduced in the Transportation division and added to the Parking Services division to provide direct support to Parking Services. This staffing resource transfer is already occurring, but formalizing it will save the General Fund approximately $64,700 annually. In addition, temporary staffing used for paid interns in the Transportation division will be further reduced saving approximately$33,500 annually. With the most recent budget reductions and the transfer of resources to the Parking Fund, staffing in the Transportation Planning and Engineering division will be reduced by almost 1.0 FTE, or $100,000. If for some reason the Contract Engineer staffing position is not extended, staffing levels in this division will be reduced, requiring core services to be reprioritized. This reduction to such low staffing levels would cause a functional deficiency in the core service deliveries of the Transportation division. This would result in an inability to effectively manage various transportation facilities or maintain regulatory requirements, ultimately leading to increased City-wide traffic congestion, potentially higher collision rates,increased liability, and possible jeopardy of State and Federal funding due to a diminished ability to fulfill mandates which are prerequisites for receiving various state and federal funds. In addition, if the staffing resource is not restored in some manner, Major City Goals and Other Important objectives cannot be accomplished because the Transportation Operations Manager and Principal Transportation Planner will need to assume the line level duties and will not be able to oversee the higher level functions needed to accomplish the City's goals. Service Categorization Criteria 2=High Goal and Policy Links 1. 2011-13 Major City Goal for Traffic Congestion Relief 2. 2011-13 Major City Goal for Neighborhood Wellness 3. Measure Y Objective: Traffic Congestion Relief 4. Circulation Element Objectives 1.6 Thru 1.11 5. Circulation Element Policies&Program Standards 6.1 Thru 9.1 6. City of San Luis Obispo Municipal Code Titles 10& 12. 7. California Vehicle Code Section 21400 8. Title 23 U.S. Code, Sections 109(d), 114(a),217, 315, &402(a) 9. Title 23 Code of Federal Regulations 655.603, Sections 1.48(b)(8), 1.48(b)(33),& 1.48(c)(2) B2-105 TRANSPORTATION TRAFFIC ENGINEERING CONTRACT POSITION Attachment-2L Program Work Completed The Engineer staff position supporting traffic programs has been ongoing in the Transportation division for more than ten years. As part of the 2009-11 Financial Plan Budget Reduction Strategies, this regular full-time Engineer position was converted to a Benefited Contract staff position, with partial funding support from State grants. Prior to State grant support, the Engineer position was supported fully through General Fund monies. The contract of employment for the Engineer position is set to expire on June 30, 2011 and will not continue without additional funding. Environmental Review No departmental review will be necessary if the position is maintained. Program Constraints and Limitations 1. This request assumes the fiscal constraints of General Fund support this position. 2. If the Engineer position is not re-established as a regular staffing position, or maintained as a contract position, it will significantly impact the department's ability to implement the Major City Goal of Traffic Congestions Relief, and possibly require suspension of services the Transportation division provides to other divisions and departments. Of these, the most impacted would be the CIP Engineering division, Community Development,Utilities,Police and Fire Departments. 3. The Draft final Public Works Organizational Assessment recommends funding for a full-time Contract Engineer staff position. The final organizational and efficiencies assessment report by Matrix is anticipated to be presented to Council in May 2011. Stakeholders This position is essential for providing services to internal City customers such as Police and Fire Departments. Other stakeholders, such as the California Polytechnic University(Cal Poly)and public agencies such as State of California Department of Transportation (Caltrans), San Luis Obispo Council of Governments (SLOCOG) and the County of San Luis Obispo would be affected by the inability of staff to provide core and high priority services to the community. Implementation Engineering support for Traffic Programs has been provided over the past three years.by a full-time benefited contract position. This contract is set to expire on June 30, 2011 and no additional funding is currently available for extension of this contract. Staff is requesting Contract Salaries funding in support of a benefited Contract staff position to provide Engineer II level support for the Transportation division. A contract position will provide flexibility with staffing resources during the implementation of Department-wide recommendations provided as part of the Matrix Consulting Group organizational assessment. This contract staffing position will be necessary to limit any disruption of Transportation Engineering assistance and delivery of traffic capital projects during this time of transition. B2-106 TRAFFIC ENGINEERING CONTRACT POSITION Aftschnd an >� I1. Extend contract of employment for Engineer II Traffic Program Support Services from July 2011 Jul 1,2011 throu June 30,2012. Key Program Assumptions 1. Assumes General Fund financial support. 2. Staff will solicit grants where possible to assist in funding constraints and to help reduce General Fund support for the position. 3. Engineering assistance for Traffic Programs will be ongoing year-round work; will only vary slightly with seasons. 4. The Engineering assistance required for Traffic programs will be performed primarily within the Engineering I-111 career series. 5. It is assumed that adequate staffing and resources will be available to do the work. 6. The recommendations provided as part of the Matrix Consulting Group organizational assessment will be implemented within the 2011-13 Financial Plan. Program Manager and Team Support Program Manager. Transportation Operations Manager Project Team. CIP Engineering and Public Works Administration divisions Alternatives 1. Continue the Status Quo. Currently the work is being supported by a contract Engineer position which is set to expire June 30, 2011. There is no additional funding identified to support these staffing services beyond this date. If funding is not re-established and the staffing position is lost, the Annual Traffic Safety, Bi- Annual Traffic Operations,and Neighborhood Traffic Management Programs cannot be maintained and must be suspended in some form due to a lack of staff resources. In addition, loss of this staffing position will diminish customer service levels and support services provided to other City departments such as Police, Fire, Community Development, and Parks &Recreation.The loss of this staffing position would put the City in jeopardy of non-compliance with State and Federal traffic safety obligations. 2. Defer or Re-Phase the Request Currently the work is being supported by a contract Engineer position which is set to expire June 30, 2011. There is no additional funding identified to support these staffing services beyond this date. If local funding is deferred and the staffing position not retained, the City will experience the same impacts as if funding is denied. Once staffing levels are reestablished additional costs and delays reinitializing the programs would be incurred due to recruitment and re-training of a new staff. The loss of this staffing position would put the City in jeopardy.of non-compliance with State and Federal traffic safety obligations. 3. Implement in a Different Way. The City could establish this position as a full-time temporary position. The current work has been supported by a Contract Engineer. The alternative of himinga temporary staffing position would reduce the overall staffing costs of this position. However, this recommendation is not B2-107 'TRANSPORTATION TRAFFIC ENGINEERING CONTRACT POSITION preferred based upon the need for this position and the conflict with the adopted Human Resources Management policy which states how temporary employees shall be utilized. "Temporary employees will generally be used for medium-term projects,programs, or activities requiring specialized or augmented levels of staffing for a specific period." This work has been ongoing for more than ten years and is critical for providing essential services and mandated State and Federal regulatory obligations and therefore should be established as a regular full-time staffing position. Operating Program Transportation Planning&Engineering(50500 Cost Summary The staffing costs projected below are based upon an Engineer II, Step 3 rate at $34.63 per hour. Adding a benefited Contract staff position to provide Engineer II level support will cost$111,800 in 2011-12 and$117,200 in 2012-13. Line Item Description Account No. 2011-12 2012-13 Staffing 111,700 _ .117 200 Contract Salaries(Engineer Q -Step 3) 100-50500-7012 72,000 15,800 Retirement Contribution 100-50500-7040 23,300 24,900 Health&Disability Insurance 100-50500-7042 15,100 15,100 Medicate 100-50500-7044 1,100 1,100 ,Unetriployment Insurance 100-50500-7046 200 300 Total Operating Costs 111,700 1117,200 B2-108 ITRANSPORTATION PARKING ENFORCEMENT OFFICER—NEIGHBORHOOD WELLNESS MAJOR CITY GOAL u8'!l i. Request Summary Hiring a full-time, benefited contract Parking Enforcement Officer to support the Neighborhood Wellness Major City Goal will cost$53,900 in 2011-12 and$87,200 in 2012-13. Key Objectives 1. Participate with other City departments to enhance neighborhood wellness in the community. 2. Implement a more pro-active enforcement of parking violations in City neighborhoods. Existing Situation: Factors Driving the Need for Change Public Works-Parking Services participates with the overall coordination of the City's efforts related to neighborhood wellness at Neighborhood Services meeting. Current Parking Services officers enforce parking in' the downtown, at Railroad Square and in residential permit parking districts Monday through Saturday, 9 am to 6 pm. Other parking enforcement is done on a random basis or in response to a call for service. Due to higher density of parking violations and vehicles in the Downtown area, Parking Services has not been able to provide enough parking enforcement in all residential neighborhoods. Typically neighborhood parking violations include residential permit violations, red curb violations, parking in the yard violations,blocking sidewalk/driveway violations, fire lanes,and assisting with 72 hour parking notices. Parking officers also provide information on Neighborhood Enforcement Ordinance (NEO) violations and code enforcement violations they observe from the public right of way. In order to increase and enhance parking enforcement in neighborhood areas this contract position will be used exclusively to patrol all neighborhood areas while looking for NEO and code enforcement violations. The goal of this position is to obtain compliance with city ordinances and State Vehicle code violations. A two-year contract position is being used to determine whether sufficient parking fine revenues will be achieved to cover the costs of the officer. At the conclusion of the two-year term, staff can evaluate the effectiveness before deciding to make this permanent. Goal and Policy Links 1. 2011-13 Major City Goal: Neighborhood Wellness Service Categorization Criteria 3=High Mid-Range(Revenue Management) Program Work Completed The Public Works Parking Services enforces parking violations in neighborhoods with residential permit districts and by random patrol or by complaint in other neighborhood areas. Parking Services has increased reporting of NEO violations and other code enforcement violations to other City departments. Parking Services actively participates with the Neighborhood Services Team meeting and other coordination efforts by other departments. B2-109 TRANSPORTATION PARKING ENFORCEMENT OFFICER-NEIGHBORHOOD WELLNESS MAJO TY C L Existing parking officers work Monday through Saturday from 9:00 AM to 6:00 PM. Currently, they usually respond to complaints and conduct pro-active enforcement of parking violations in neighborhoods in the morning hours prior to addressing parking problems in other areas of the City. High enforcement demand in retail areas of the City limits the amount of time parking officers are available to patrol the neighborhoods, where violations are less frequent. Police Department SNAP employees conduct enforcement of residential parking district violations during dedicated parking enforcement shifts and on a continual basis as they are conducting their other duties. Environmental Review No environmental review is required. Program Constraints and Limitations 1. Increasing parking enforcement in the neighborhoods is likely to generate complaints from neighborhood residents who have not been subject to regular enforcement of these types of violations. Some residents may feel the enforcement is inappropriate and intrusive. 2. The revenue generated by the additional parking officer is not likely to off-set the cost of the new position and associated equipment. Generally, parking violations in neighborhoods are less frequent and sporadic than in retail areas and, once citations are issued, compliance by residents tends to be relatively high. In addition,parking violations and associated revenue has declined in recent years due to increased fine amounts driven by State surcharges on parking citations. 3. There is currently no funding to provide a vehicle for this staffing position to use for the additional neighborhood enforcement. Fleet Maintenance will reassign an under-utilized fleet vehicle to Parking Services.. Stakeholders City residents,business owners, motorists,pedestrians and bicyclists are stakeholders in additional transportation program support. Implementation The addition of a contract Parking Enforcement Officer position will take effect at the implementation of the 2011-13 Financial Plan, effective July 1,2011. Actual hiring for employment is expected to take effect by November 1, 2011. 1. Approve a full-time contract benefited staff position to prove Parking Enforcement July 2011 Officer duties for the Parking Services division _ 2. Establish EOP process and/or recruit August 2011 3. Interview and Hire September 2011 4. Training November 2011 Key Program Assumptions B2-110 e • s • PARKING ENFORCEMENT OFFICER—NEIGHBORHOOD WELLNESS MAJOR CITY GOAL A ESdbm,a,hrKmerw�y� The key program assumptions include no additional duties being assigned to the Parking Services division because this request addresses a current staffing deficiency. Program Manager and Team Support Program Manager. Parking Services Manager Project Team. Public Works Administration Alternatives 1. Continue the Status Quo. Currently there are three full-time equivalent (FTE) Parking Enforcement Officers who provide parking enforcement duties for the City of San Luis Obispo. To continue with current staffing levels, one Parking Enforcement Officer would need to be reassigned to residential neighborhoods to increase the dedicated parking enforcement in the neighborhoods and provide expanded parking enforcement in neighborhoods during the daytime,nighttime and on weekends. 2. Defer or Re-Phase the Request This staffing request could be delayed or deferred until the second year of the Financial Plan in 2012-13. This would reduce estimated costs by $53,900. However, parking enforcement in these neighborhoods would remain the primary function of the Police Department SNAP employees who currently conduct enforcement of residential parking district violations. 3. Change the Scope of the Request. A half-time contract benefited position could be allocated to the Parking Services division for increased parking enforcement of these residential neighborhoods. However, with part-time staff, only a portion of the key objectives for Parking identified above could be accomplished. Operating Program Parking Services(50600) Cost Summary Adding a full-time, benefited contract position to assist with Parking Enforcement Officer duties in the Parking Services division will cost approximately $53,900 in 2011-12 (estimated for a hire date of November 1, 2011) and$87,200 in 201243. B2-111 TRANSPORTATION PARKING ENFORCEMENT OFFICER—NEIGHBORHOOD WELLNESS MAJOR CITY GOAL Line Item Description Account No. 2011-12 2612-13 Staffing_ _43,506 _ 731100 Regular Salaries(Parking Enf Officer) 510-50600-7010 27,100 46,300 Retirement Contribution 510-50600-7040 8,800 15,200 Health&Disability Insurance 510-50600-7042 7,200 10,800 Medicare 510-50600-7044 300 700 Unemployment Insurance 510-50600-7046 100 100 Contract Services _ 6,700 . 9,100 Contract Services-citation processing 510-50600-7227 6,700 9,100 Other Operating Expenditures 39700 _ 59000 Uniform 510-50600-7259 300 400 Printing 510-50600-7283 3,400 4,600 Total Operating Costs 539900 87400 B2-112 TRANSPORTATION PARKING TRANSPORTATION PLANNING STAFF Attachnsnt..L Request Summary Adding a .5 Full-time Equivalent (FTE) Principal Transportation Planner staff position (currently filled in the Transportation Planning and Engineering division)will cost the Parking Fund$64,700 in 2011-12 and$64,900 in 2012-13. Key Objectives The .5 FTE management level position would be reduced in the Transportation Planning&Engineering Division and transferred over to the Parking Services Enterprise Fund to support the Parking division by: 1. Assisting with the responsibilities recently added by the creation of the"Downtown Champion".. 2. Implementing parking projects such as the Palm Nipomo parking structure: 3. Assisting with the increased management duties resulting from the operation and maintenance of the recently constructed 919 Palm Street parking facility. 4. Assisting with staff supervision and management of eight regular and ten FTE temporary positions. 5. Addressing requests to redevelop City parking lots(i.e. Chinatown and Garden Street Terraces). 6. Responding to special programs needs such as new technologies and rate strategies. 7. Responding to special project needs such as downtown residential parking. 8. Staffing City committees such as the Neighborhood Services Team. 9. Maintaining desired levels of customer service and community support. 10. Developing and implementing strategies to make maximum use of existing parking spaces and reduce the use of single occupant vehicles. Existing Situation: Factors Driving the Need for Change Since 2005, the Parking Services division has added 25 parking lot spaces, 240 garage parking spaces, one residential permit parking district, and the duties of the "Downtown Champion". Additionally, the City has added three residential properties to its inventory and is considering two private development proposals to redevelop existing City parking lots. Due to the increased workload, the Principal Transportation Planner in the Transportation Planning and Engineering division has already been assisting the Parking Services Manager by overseeing the Palm Nipomo parking structure project, collaborating on revenue enhancement strategies, and participating in parking management and demand reduction efforts. With the reduction of an .50 FTE Principal Transportation Planner staff position from the Transportation Planning and Engineering division, and subsequent transfer over to the Parking Services division, the long-term staffing commitment of the Transportation Planner will be.assured for Parking Services. Current development review technical planning functions will be transferred to the Traffic Operations Manager. Goal and Policy Links 1. 2011-13 Major City Goal: Neighborhood Wellness 2. 2011-13 Major City Goal: Traffic Congestion Relief 3. 2011-13 Other Important Goals: Infrastructure Maintenance 4. 2011-13 As Resources Permit Goal: Climate Protection 5. General Plan Circulation Element B2-113 TRANSPORTATION PARKING TRANSPORTATION PLANNING STAFF �� ���� 6. Parking and Access Management Plan 7. Revenue Management Operating Program 8. Parking Management and Demand Reduction Operating Program Service Categorization Criteria 4=Mid-Range (Parking Management and Demand Reduction) Program Work Completed The Principal Transportation Planner staff position has already been assisting the Parking Services Manager by overseeing the Palm Nipomo parking structure project, collaborating on revenue enhancement strategies, and participating in parking management and demand reduction efforts. Environmental Review No environmental review is required. Program Constraints and Limitations With the reduction of this .5 FTE staff position and other budget reductions, the Transportation Planning and Engineering division will be limited in its ability to fulfill its commitments. Stakeholders City residents,business owners, motorists,pedestrians and bicyclists are stakeholders in additional transportation program support. Additionally,the Downtown Association and its members will be affected by this request. Implementation The addition of a .5 FTE Principal Transportation Planner will take effect with the implementation of the 2011- 13 Financial Plan,effective July 1,2011. 1. Reduce Principal Transportation Planner staff position by .5 FTE in the Transportation July 2011 division 2. Add .5 FTE Principal Transportation Planner staff position in the Parking Services July 2011 division Key Program Assumptions The key program assumptions include no additional duties being assigned to the Transportation Planning and Engineering Services division because of current staffing levels. Program Manager and Team Support B2-114 'TRANSPORTATION• s , PARKING TRANSPORTATION PLANNING STAFF Program Manager. Parking Services Manager Project Team. Transportation Planning&Engineering and Public Works Administration Alternatives 1. Continue the Status Quo. The Principal Transportation Planner could remain a 1.0 FTE staff position with the Transportation Planning and Engineer division. However, this would not assist in the key objectives of reducing the operating budget nor provide additional support services to the Parking Services division. 2. Defer or Re-Phase the Request Deferring this request will result in Parking Services not receiving the additional staff resources that are currently needed. 3. Change the Scope of Request If a .25 FTE Principal Transportation Planner position is allocated to Parking Services, only a portion of the key objectives identified for Parking above could be accomplished. Additionally a non-management position could not fulfill a majority of the key objectives identified above. Operating Program Parking Services (50600) Cost Summary The staffing costs projected below are based upon the current pay of the Principal Transportation Planner position. Reducing the current Principal Transportation Planner staff position by .5 FTE in the Transportation Planning and Engineering division and adding the .5 FTE position to the Parking Services division will cost approximately$64,700 in 2011-12 and$64,900 in 2012-13. Line Item Description Account No. 2011-12 2012-13 Staffing _ 64,700 64,900 Regular Salaries(Princ Tranp Planner) 510-50600-7010 44,100 44,100 Retirement Contribution 510-50600-7040 14,300 14,500 Health& Disability Insurance 510-50600-7042 5,000 5,000 Medicare 510-50600-7044 600 600 Unemployment Insurance 510-50600-7046 200 200 PARS 510-50600-7041 5001 500 Total Operating Costs 64,7001 64,900 B2-115 PUBLIC UTILITIES ADMINISTRATION: EXTERIOR PAINTING OF 879 MORRO STREET BUILDING Request Summary Painting the exterior of the Utilities Administration building to waterproof and recoat exterior walls, trim and the external stairway will cost$14,000 in 2011-12 to extend the service life of the building. Funding sources for this project are$7,000 (50%)Water Fund and$7,000(50%) Sewer Fund. Key Objectives 1. Protecting and maintaining physical assets. 2. Waterproofing exterior stucco to prevent deterioration. 3. Preventing internal structural damage. 4. Extending the service life of the building. 5. Enhancing the appearance of the building. Existing Situation: Factors Driving the Need for Change 1. The exterior of the Utilities Administration building has not been painted since its renovation in 1999, which was 12 years ago. The exterior surfaces are showing signs of deterioration including cracks in the stucco surface that allow absorption of moisture that could lead to internal structural damage. Additionally,the paint is failing on the metal external stairway and exterior doors located at the rear of the building and the metal rooftop vents.The failing paint results in exposed metal,which is showing signs of deterioration. 2. Painting the exterior of the Utilities Administration building includes cleaning and retexturing stucco holes and cracks and resealing around windowpanes, seams, and metal rooftop vents for waterproofing to prevent internal structural damage. Wood trim and fascia boards will be prepared, primed and painted. Metal surfaces, including rain gutters and exterior doors,will be spot primed and painted with enamel paint. 3. A capital improvement plan (CIP)request was submitted in 2007-09 for this project, with funding forecasted for 2009-10. Later, in 2009-11 a CIP request was considered for this project with costs estimated at $18,000 based on a 2009 cost proposal. At that time the CIP review committee recommended deferral of this request to 2011-12. Based on an updated proposal in the current 2011 bidding climate, this project is now estimated to not to exceed $14,000 which is below the CIP funding level. For this reason, exterior painting of the Utilities Administration building is proposed as a Significant Operating Program Change, under Minor Capital which is intended for capital maintenance projects between$5,000 and$15,000. Goal and Policy Links 1. Other Important Objectives: Infrastructure Maintenance 2. Building Maintenance Program Goal: maximize facility service life 3. 2009-11 Financial Plan,Appendix B,Page3-102 4. 2007-09 Financial Plan,Appendix B,Page 3-120 Service Categorization Criteria Public Works Building Maintenance is ranked 2—High. B2-116 PUB-LIC UTILITIES UTILITIES ADMINISTRATION: EXTERIOR PAINTING OF 879 MORRO STREET BUILDING lJk}4r8 ehe raeR'M'1 d Program Work Completed The Public Works Building Maintenance Supervisor outlined the scope of work, coordinated an on-site evaluation of the building with painting contractors, resulting in photographs documenting the current condition of the stucco and paint failures and obtained a current 2011 cost estimate for budget development purposes. Environmental Review No environmental review required. Program Constraints and Limitations The project start and completion date could be influenced by the weather. To minimize impacts to the community and traffic flow, City project management will include: (1) communications with residents of the neighboring apartment complex, and; (2) coordination with Public Works Parking Division staff to schedule the optimal day of week and period of time when the northern exterior wall is painted since this wall is adjacent to the parking structure entrance/exit for parking pass-holders. Stakeholders The general public, neighboring residents, Utilities Administration building occupants, Building Maintenance staff,and Parking Division staff. Implementation At this time, the general assumption is for project completion in 2011-12. A project timeline will be determined after budget adoption When building maintenance related workload and staff resources are known. At that time workload will be prioritized and scheduled including implementation steps. Key Program Assumptions The project cost is based upon estimates from two contractors for budget development purposes. Staff will seek at least three cost proposals as part of the contract awarding process. Actual cost proposals may vary to some degree from the current cost estimates. Program Manager and Team Support Program Manager. Building Maintenance Supervisor Project Team. Building Maintenance staff, and Utilities Administration staff Alternatives 1. Continue the Status Quo. This alternative is not recommended as the existing paint will degrade further with time and water wicking will create damage. B2-117 PUBLIC UTILITIES ADMINISTRATION: EXTERIOR PAINTING OF 879 MORRO STREET BUILDING 2. Defer the Request This project was forecasted in the 2007-09 Financial Plan, and later requested in the 2009-11 Financial Plan and, at that time, deferred for consideration in 2011-12. During this time of deferral, the condition of the building exterior has further degraded and the construction bidding climate has become more favorable. Deferring this project further is not recommended. Operating Program Water Administration/Engineering(55 100) Wastewater Administration/Engineering(55300) Cost Summary Painting the exterior of the Utilities Administration building to waterproof and recoat exterior walls,trim and the external stairway will cost$14,000 in 2011-12 to extend the service life of the building. The funding sources for this project are 50%Water Fund and 50% Sewer Fund. Line Item Description Account No. 2011-12 .2012-13 Minor Ca 'tal 14000 0. Capital Maintenance Projects-Water 500-55100-7957 7,000 Capital Maintenance Projects-Wastewater 520-55300-7957 7,000 Total Operating Costs 14,000 0 B2-118 PUBLIC SOURCE OF SUPPLY: WATER REUSE ELECTRIC UTILITY AND CHEMICALS nuuuur�unn — Request Summary Increasing electrical and chemical usage and projected utility service rate changes for production and delivery of recycled water will cost an additional $21,300 in 2011-12 and $23,900 in 2012-13. Off-setting electrical cost savings of$14,600 annually in the Water Distribution program will result in a net additional operating cost of $6,700 in 2011-12 and$9,300 in 2012-13. Key Objectives 1. Increasing the City's safe annual yield by utilizing recycled water for non-potable purposes, thereby offsetting the use of potable water. 2. Maintaining compliance with local, State and Federal regulations. 3. Providing recycled water to meet future non-potable demand. Existing Situation: Factors Driving the Need for Change 1. Electrical Utility —Recycled water production requires a great demand on electricity. Electricity is utilized to drive motors and pumps of various sizes that deliver recycled water to the City's customers.. Based on current and projected usage trends the production of recycled water will increase. Additionally, electrical rate increases are projected to increase 3.6% in 2011-12 and 4% in 2012-13. Therefore, funds are needed for electrical service due to additional system demand as well as increased electrical rates. Staff estimates a total increase of $12,000 in 2011-12 and $14,600 in 2012-13 to respond to additional demand and projected electrical rate increases. Off-setting electrical cost savings of $14,600 annually from the Water Distribution program is due to the replacement of the Alrita Pump Station which operates at a higher level of energy efficiency and modifications completed at the Bishop Pump Station, which reduced the electrical demand significantly at that facility. When considering the electrical increase for production of recycled water and the implementation of electrical efficiency improvements for potable water distribution, the net change is an electrical cost savings of$2,600 in 2011-12 and no net change in electrical costs in 2012-13. 2. Chemicals—Recycled water production utilizes chemicals for its treatment processes. Sodium Hypochlorite plays a vital role in recycled water treatment and more specifically in meeting goals detailed in the Water and Wastewater Management Element of the General Plan, Section B 3.1.1 for recycled water. Based on current. and projected trends, the production of recycled water will increase along with chemical cost increases. Therefore, funds are needed for chemicals due to additional system demand as well as increased chemical costs. Staff estimates a total increase of$9,300 in 2011-12 and $9,300 in 2012-13 to respond to additional demand and projected chemical cost increases. Water Reclamation staff is currently working on ways to reduce chemical usage while still meeting local, State and Federal regulations. Goal and Policy Links 1. Water and Wastewater Management Element of the General Plan Section B 3.1.1 and 3.1.2 2. Adopted Urban Water Management Plan 3. Approved Water Reuse Master Plan 2004 B2-119 PUBLIC SOURCE OF SUPPLY: WATER REUSE ELECTRIC UTILITY AND CHEMICALS Service Categorization Criteria The treatment of recycled water is ranked 1 —Mandated. Program Work Completed The electric utility service is an ongoing cost that is associated with increase in market pricing and an increase in recycled water production. Chemical bids have been obtained and chemical contracts are awarded for 2011-12. Environmental Review No environmental review is required. Program Constraints and Limitations Currently there are no significant constraints or limitations for this program. Stakeholders Water Reclamation Facility Supervisor and Staff, Utilities Project Manager, Utilities Conservation Manager, Water Distribution Supervisor and Staff and Recycled Water Customers. Implementation Task bate 1. . - 1. Electric Utility Increase in Water Reuse July 2011 2. Electric Utility Decrease in Water Distribution July 2011 3. Chemicals Increase in Water Reuse July 2011 Key Program Assumptions All projections are from either bids received or official utility source cost information Program Manager and Team Support Program Manager. Water Reclamation Supervisor Project Team. Water Reclamation Facility staff Alternatives 1. Continue the Status Quo. Adequate funding for electrical utilities and chemicals is critical to the ongoing production of recycled water. This is not recommended. 2. Defer or Re-Phase the Request. Electrical costs are set by the provider. Re-bidding chemical costs would mean canceling existing contracts and rebidding chemicals. The results would be predictably the same. This is not recommended. B2-120 PUBLIC SOURCE OF SUPPLY: WATER REUSE ELECTRIC UTILITY AND CHEMICALS 3. Existing Program Evaluation. Recycled water is produced at the Water Reclamation Facility. In 2010 two separate energy audits were conducted at the Water Reclamation Facility (WRF). Several suggestions came from those audits. The WRF staff, along with PG&E representatives, are currently working on how to best implement energy savings at the WRF. Staff continues to investigate and implement the most efficient usage of chemicals for treatment processes while still meeting all local, State and federal regulations. Operating Program Source of Supply(55110) Cost Summary Electrical and chemical usage trends and projected utility service rate increases for production and delivery of recycled water will cost an additional $21,300 in 2011-12 and $23,900 in 2012-13. Off-setting electrical cost savings of $14,600 annually in the Water Distribution program will result in a net operating cost increase of $6,700 in 2011-12 and$9,300 in 2012-13. Line Item Description Account No.1 2011-12 • 2012-13 Other Operating Expenditures 21,300 23,900 Electric Utility-Water Reuse 500 55110-7605 12,000 14,600 Chlorine 500-55110-7777 9,300 9,300 Total Operating Costs 21,300 23,900 Offsetting Costs Savings Electric Utility-Water Distribution 500-55160-7605 (14,600) (14,600) Net Operating Costs 6,700 9,300 B2-121 PUBLIC WATER CUSTOMER SERVICE: ACCELERATED WATER METER REPLACEMENTS AN em P,a.rrv.-a Request Summary Replacing aged and poorly performing water meters will cost an additional $7,600 in 2011-12 and $9,900 in 2012-13. Projected off-setting revenues are estimated at$6,000 in 2011-12 and$12,000 in 2012-13,resulting in a net operating cost of$1,600 in 2011-12 and net operating savings of$2,100 in 2012-13. Key Objectives 1. Replacing aged water meters to accurately record water usage and utility billing charges. 2. Maintaining and increasing revenue stability. Existing Situation: Factors Driving the Need for Change The current water meter replacement schedule does not allow for replacing water meters at the industry standard of 10-15 years. Meters are mechanical devices and an aged meter can let more water pass through than is recorded for billing purposes. Replacing water meters at the 10-15 year mark allows for increased meter accuracy as older meters may not record usage as accurately. New water meters can also provide an improvement in fire protection to homes with sprinkler systems due to design improvements. Continuing accelerated water meter replacements will require an increase of$7,600 in 2011-12 (from$68,600 to $76,200) and $9,900 in 2012-13 (to $78,500). At current meter costs,an investment payback of 24 years is expected. In addition, corresponding increases to revenues in the sewer fund, which rely on the water meter to record water usage for sewer billing, are anticipated. A projected sewer revenue increase is not provided due to the number of variables with the volume based sewer rate structure and associated sewer caps. Goal and Policy Links The water meters are needed to accurately capture water usage and apply water charges, maintain and increase revenue stability, and improve efficiency of meter reading as well as continuing to meet the goals of the City of San Luis Obispo Urban Water Management Plan. Service Categorization Criteria Water Customer Service is ranked 3-High Mid-Range. Program Work Completed A review and evaluation of existing facilities has been conducted. Cost estimates for water meters have been researched by staff. A revenue estimate from increased accuracy in recording of water use,based on replacing f- inch water meters,has been estimated using current water rates. Environmental Review No environmental review is required to implement this request. B2-122 PUBLIC WATER CUSTOMER SERVICE: ACCELERATED WATER METERREPLACEMENTS Amchntem..L Program Constraints and Limitations Replacing water meters will result in increased water meter accuracy and increased revenues. Depending on changes in water usage by individual customers, it is possible that replacement of water meters may not generate the projected revenues on an on-going basis. Stakeholders Increasing water meter accuracy provides fair and equitable billing. The City's water and sewer customers as well as the Utilities Department are primary stakeholders. Implementation Task Date Order water meters On-going 2. Continue accelerated replacement of water meters. On oin Key Program Assumptions Replacing aging water meters will produce an increase in revenue for the Water Fund and potentially the Sewer Fund. An estimated 2% to 4% accuracy improvement is predicted with new water meters which would result in increased accuracy in utility billing charges. Additionally, increased revenues would be realized in the General Fund from utility user taxes and franchise fees. Program Manager and Team Support Program Manager. Water Distribution Supervisor Project Team. Water Customer Service Team,Finance Utility Billing Alternative Continue the Status Quo. Water meter replacements will increase water meter accuracy, ensuring accurate revenues are collected from users of the water and wastewater systems. Accelerating the replacement of meters provides a strong return on investment, Associated General Fund revenues will also be optimized. Continuing the Status Quo is not recommended. Operating Program Water Customer Service(55170) B2-123 PUBLIC WATER CUSTOMER SERVICE: ACCELERATED WATER METER REPLACEMENTS Cost Summary Replacing aged and poorly performing water meters at the anticipated rate will cost an additional $7,600 in 2011- 12 and $9,900 in 2012-13. Projected off-setting revenues are estimated at $6,000 in 2011-12 and $12,000 in 2012-13,resulting in a net operating cost of$1,600 in 2011-12 and a net savings of$2,100 in 2012-13. Line Item Description Account No. 2011-12 2012-13 Other Operating E nditures 7,600 9,900 Water Meters 500-55170-7919 7,600 9,900 Total Operating Costs 7,600 9,900 Offsetting Revenues 500-56100 (6,000) (12,000) Net Operating Costs 1,600 (2,100) B2-124 PUBLIC WATER TREATMENT: ELECTRIC UTILITY, CHEMICALS AND CONTRACT SERVICES Request Summary Ensuring regulatory compliance and maintaining a high level of potable water quality requires an additional $39,900 for chemicals in 2011-12 and an additional $48,800 for electric utility service and chemicals in 2012-13. Off-setting budget reductions in electric utility, chlorine chemicals and contract services of$42,200 in 2011-12 and $25,900 in 2012-13, will result in a net operating budget reduction of $2,300 in 2011-12 and a net cost increase of$22,900 in 2012-13. Key Objectives 1. Ensuring compliance with Federal and State regulations. 2. Ensuring the ability of the Water Treatment Plant (WTP) to continue to provide uninterrupted high quality water treatment. Existing Situation: Factors Driving the Need for Change 1. Electric Utility — Although an initial evaluation of electrical use indicated a 6.5% cost decrease, due to projected rate increases, there is an estimated net cost decrease of$13,600 in 2011-12 (from $432,600 to $419,000) and increase of$3,200 in 2012-13 (to$435,800) 2. Aluminum Sulfate — Net cost increases for aluminum sulfate are 7.3% in 2011-12 and estimated at 5% for 2012-13 and are due to a predicted increase in usage primarily from Nacimiento raw water's higher dosage need although there is an offsetting savings from a lower bid price of 18.9%. This will result in cost increases of$4,100 in 2011-12 (from$56,000 to$60,100)and$7,100 in 2012-13 (to $63,100). 3. Chlorine—Cost decreases for chlorine are 20.5% in 2011-12 and estimated at 5% for 2012-13 and are due to a lower calculated usage and a lower bid price of 17.7%. This will result in cost reductions of$14,000 in 2011-12(from$68,300 to$ 54,300)and$11,300 in 2012-13 (to$57,000). 4. Filter Aids—Cost increases for filter aids are 202% in 2011-12 and estimated at 5% for 2012-13 and are due to a predicted increase in usage primarily from Nacimiento raw water's higher dosage need. This will result in cost increases of$35;800 in 2011-12 (from$17,700 to$53,500) and$38,500 in 2012-13 (to$56,200). 5. Contract Services—With the completion of the 2008 Water Treatment Plant Upgrade Project and issuance of new operation permit, it is expected that California Department of Public Health fees will decrease and result in cost reductions of$14,600 annually for 2011-13 (from$26,600 to$12,000). Goal and Policy Links 1. Ensuring compliance with Federal and State drinking water regulations. 2. Meeting the goals of the City of San Luis Obispo Water and Wastewater Management Element of the General Plan. Service Categorization Criteria Water Treatment is ranked 1 —Mandated. B2-125 PUBLIC UTILITIES WATER TREATMENT: ELECTRIC UTILITY, CHEMICALS AND CONTRACT SERVICES Program Work Completed Chemical bids for 2011-12 have been received. Environmental Review No environmental review required. Program Constraints and Limitations There are no significant program constraints or limitations. Stakeholders Water Treatment Plant staff Implementation Task Date I Operatin . - eratin Expenditures On-going Key Program Assumptions Chemical costs were derived from the current chemical bids received in December 2010. Increases for 2012-13 are estimated at 5%. Program Manager and Team Support Program Manager. Water Treatment Plant Supervisor Project Team. Utilities Administration staff and Water Treatment Plant staff Alternatives Defer or Re-Phase the Request This is not an option for chemical costs as the City currently applies best management practices to reduce costs in these areas. Operating Program Water Treatment(55150) Cost Summary Ensuring regulatory compliance and maintaining a high level of potable water quality requires an additional $39,900 for chemicals in 2011-12 and an additional $48,800 for electric utility service and chemicals in 2012- 13.0ff-setting budget reductions in electric utility, chlorine chemicals and contract services of$42,200 in 2011- 12 and $25,900 in 2012-13, will result in a net operating budget reduction of$2,300 in 2011-12 and a net cost increase of$22,900 in 2012-13. B2-126 PUBLIC UTILITIES WATER TREATMENT: ELECTRIC UTILITY, CHEMICALS AND CONTRACT SERVICES Line Item Description Account N o.1 2011-12 2012-13 Other Operating E xpe ndiures 39,900 48,800 Electric Utility Service 500-55150-7605 0 3,200 Aluminum Sulfate 500-55150-7755 4,100 7,100 Filter Aids 500-55150-7801 35,800 38,500 Total Operating Costs 39,900 48,800 Offsetting Costs Savings Electric Utility Service 500-55150-7605 (13,600) 0 Chlorine 500-55150-7777 (14,000) (11,300) Contract Services 500-55150-7227 (14,600) (14,600) Net Operating Costs (2,300) 22,900 B2-127 PUBLIC WATER RECLAMATION FACILITY: MAINTENANCE PROJECTS Request Summary Implementing one-time minor capital projects at the Water Reclamation Facility to ensure optimal operation of processes and maintaining compliance with local, State and Federal regulations will cost$30,000 in 2011-12. Key Objectives 1. Improving operational control at the Water Reclamation Facility(WRF). 2. Maintaining compliance with local, State and Federal Regulations. 3. Protecting human and environmental health along San Luis Obispo Creek. Existing Situation: Factors Driving the Need for Change 1. Install Recirculation Island Wet Well Level Indicator System — The entire flow of the WRF must pass through this wet well and in storm conditions, when the flow exceeds ten million gallons per day, the recirculation island wet well can reach critically high levels. If process adjustments are not made in a timely manner by operations staff, a treated secondary sewage spill can occur. Currently the SCADA system has no alarm capabilities and cannot give staff a real time wet well level. Staff must physically inspect the wet well to note the level and make process adjustments. In storm conditions staff has multiple responsibilities and may not be able to physically inspect the wet well level in a timely manner. This new system will greatly enhance staff response time to make process adjustments to help prevent spillage. The cost of installing a new wet well indicator system will be $15,000 in 2011-12. 2. WRF Stormwater Infrastructure—The WRF operates under a State-issued Industrial Stormwater Permit. As the permit requires,WRF staff monitor, sample,report, and implement Best Management Practices related to stormwater at the facility. When it rains, stormwater is carried through a conveyance pipe to the creek, allowed to percolate back into the ground in a bioswale, or returned to the WRF headworks if it falls within a secondary containment area. Bioswales, where appropriate, have been shown to be a superior method for implementing Low Impact Development building practices. By using drought tolerant plants and proper signage, these areas can also serve as interpretive sites for demonstrating sustainability practices during tours. There is currently an opportunity to convert an existing creek discharge location near the solids unit of the WRF into a bioswale. A bioswale in this area would help to remove sediment from reaching the creek while allowing stormwater to more slowly percolate back into the ground. This change would also significantly reduce the possibility of any spilled wastewater entering the creek at this point and would in turn save money if the site were to require effluent sampling and testing. The cost of installing a new bioswale and performing needed maintenance on the existing stormwater drainage system at the WRF will be $15,000 in 2011-12. Goal and Policy Links 1. Compliance with local,State and Federal mandated regulations 2. Wastewater treatment that meets or exceeds regulatory requirements and ensures the protection of public health and the environment. 3. Implement Water Reclamation Facility Master Plan consistent with regulatory requirements. Service Categorization Criteria Wastewater treatment and stormwater water management are both ranked 1 —Mandated. B2-128 PUBLIC UTILITIES WATER RECLAMATION FACILITY: MAINTENANCE PROJECTS Attachment Program Work Completed 1. Design and project planning for a recirculation island wet well level indicator system has been completed. 2. Staff is currently working with a Cal Poly Landscape Architecture student in the design of WRF stormwater infrastructure. 3. Staff has researched the implementation of both projects and what effect they will have on maintaining compliance with local, State and Federal regulations. Environmental Review No environmental review required. Program Constraints and Limitations Installing the reclamation island wet well level indicator system and WRF stormwater infrastructure will need to be accomplished during the summer months. This schedule can be achieved without any significant constraints and limitations. Stakeholders 1. Water Reclamation Facility Supervisor and Staff. 2. Industrial Waste Manager and Staff 3. City Biologist and related Staff from City Stormwater Team. Implementation Task Date 1. . - 1. Recirculation Island Wet Well Level Indicator System July 2011 2. WRF Stormwater Infrastructure July 2011 Key Program Assumptions During storm conditions the response time to make process changes to avoid treated secondary sewage spills will improve. The WRF will maintain compliance with local, State and Federal regulations by the implementation of both projects. The costs are based on quotes received or official utility source cost information. Program Manager and Team Support Program Manager. Water Reclamation Supervisor. Project Team. Water Reclamation Facility Staff,Industrial Waste Manager and Staff. Alternative Defer or Re-Phase the Request While this project could be deferred to 2012-13,this alternative should only be chosen if absolutely necessary. For a relatively low investment, these projects reduce the risk of discharge violations and increase staff efficiency. B2-129 PUBLIC UTILITIES WATER RECLAMATION FACILITY: MAINTENANCE PROJECTS Operating Program Water Reclamation Facility(55330) Cost Summary Implementing one-time minor capital projects at the Water Reclamation Facility to ensure optimal operation of processes and maintaining compliance with local, State and Federal regulations will cost$30,000 in 2011-12. Line Item Description Account No.1 2011-12 2012-13 Minor Ca ital 30,000 0 Machinery and Equipment 520-55330-79531 30,000 0 Total Operating Costs 30,000 0 B2-130 PUBLIC WATER RECLAMATION FACILITY: BIOSOLIDS CONTRACT AND LABORATORY SERVICES Request Summary Maintaining the Biosolids Composting Contract at the Water Reclamation Facility(WRF) will cost an additional $18,000 in 2011-12 and $33,000 in 2012-13. Off-setting costs savings of $18,000 annually in Laboratory Services and Supplies for the Water Reclamation Facility will result in no net increase in 2011-12 and a net cost increase of$15,000 in 2012-13. Key Objectives 1. Managing biosolids to optimize operational flexibility and efficiency at a competitive cost. 2. Remaining current with existing contract agreement. 3. Maintaining good customer relations with contractor. 4. Continuing to support a favorable environmental use of WRF biosolids. Existing Situation: Factors Driving the Need for Change 1. Biosolids Composting Contract- In January 2006 the City of San Luis Obispo entered into a contract to haul biosolids from the WRF to a composting facility in Santa Maria, California. This contract was amended for an additional five years by Council in November of 2010. The contract provides for yearly Consumer Price Index (CPI) and fuel charge adjustments to allow for a reasonable price for the contractor and a reasonable rate for the City.While a CPI adjustment has not been requested by the contractor this year,recent significant increases in the price of diesel fuel have resulted in an escalation of the fuel surcharge. The fuel surcharge contributes to the overall price per ton and in the past the City has experienced the haul rate rise and fall dependent upon the price of diesel fuel. This request incorporates an increase in pricing based on fuel cost projections over the next two years. If fuel prices fall, then the fuel surcharge will decrease along with the cost per ton the City pays for biosolids hauling and composting. A recent survey of biosolids hauling costs of other County agencies show these costs continue to be reasonable and consistent. The City's contractor offers excellent customer service and regulatory compliance, handling and composting of this material in an environmentally appropriate and sustainable manner. Continuing the biosolids composting contract will cost an additional $18,000 in 2011-12 (from $137,000 to $155,000) and $33,000 in 2012-13 (to $170,000). Off-setting costs savings in the Water Quality Laboratory Budget results in no net increase in 2011-12, and a net cost increase of$15,000 in 2012- 13. 2. Laboratory Services and Supplies — Off-setting cost savings are available in the Water Quality Laboratory program, by reducing the Laboratory Services budget $5,100 annually in 2011-13 and the Laboratory Supplies budget $12,900 annually in 2011-13 for a total reduction of $18,000 annually. The laboratory budget reduction is due to completion of pilot studies on alternative disinfection and chlorine dioxide methods and associated lab analyses which have been met for the Water Reclamation Facility. Goal and Policy Links 1. Compliance with Federal and State mandated regulations. 2. Water and Wastewater Management Element of the General Plan, Section 12. 3. Conservation and Open Space Element, Section 5.5.2. B2-131 PUBLIC WATER RECLAMATION FACILITY: BIOSOLIDS CONTRACT AND LABORATORY SERVICES Service Categorization Criteria Biosolids management is ranked 1 —Mandated. Program Work Completed The contract for biosolids removal is in place. Environmental Review Section 503 of the Code of Federal Regulations governs the handling of biosolids. The City is meeting its regulatory requirements. The biosolids contractor is obligated to meet those regulatory requirements that govern its operation. Program Constraints and Limitations The biosolids removal contract contains a yearly CPI and fuel adjustment. Stakeholders Water Reclamation Facility Staff, WRF Supervisor, United States EPA. Annual Biosolids reports are submitted to the EPA each February. These reports cover regulatory sampling and analysis required of the WRF per the Code of Federal Regulations Section 503. Implementation Biosolids hauling is an ongoing activity at the Water Reclamation Facility. Key Program Assumptions Biosolids must be periodically hauled from the WRF and managed per Federal and State regulations. Program Manager and Team Support Program Manager. Water Reclamation Facility Supervisor. Project Team. Water Reclamation Facility Staff. Alternatives 1. Continue the Status.Quo. Inadequate funding will result in stockpiling of the material with more staff resources being diverted to biosolids management and handling operations and the eventual removal of the biosolids at a later date at a probable higher cost. 2. Change the Scope of Request. In 2001 Council chose biosolids composting as the preferred method of beneficial use for the materials. Changing the scope should only be done if composting biosolids is no longer the preferred method of beneficially using the materials. B2-132 PUBLIC UTILITIES WATER RECLAMATION FACILITY: BIOSOLIDS CONTRACT AND LABORATORY SERVICES uu Operating Program Water Reclamation Facility(55330) Cost Summary Maintaining the Biosolids Composting Contract at the Water Reclamation Facility will cost an additional $18,000 in 2011-12 and $33,000 in 2012-13. Off-setting costs savings of $18,000 annually in Laboratory Services and Supplies for the Water Reclamation Facility will result in no net increase in 2011-12 and a net cost increase of$15,000 in 2012-13. Line item Description Account No.1 2011-12 2012-13 Contract Services _ 18,000 33,000 Contract Labor-Biosolids Contract 1 520-55330-7225 18,000 33.000 Total Operating Costs 18,000 _ 33,000 Offsetting Costs Savings Laboratory Services 520-55350-7255 (5,100) (5,100) Laborator Su lies 520-55350-7831 12,900 12,900 Net Operating Costs 0 15,000 B2-133 PUBLIC WATER RECLAMATION FACILITY: UTILITY SERVICES AND CHEMICALS Request Summary Analyzing electrical and natural gas usage trends, projected utility service rates, and current chemical contract bids and supply needs results in a cost savings of$44,000 in 2011-12 and a projected cost increase of$29,800 in 2012-13 at the Water Reclamation Facility. With off-setting cost savings in electric utility usage for Wastewater Collections, and also for wastewater treatment chemicals based on current usage trends at the Water Reclamation Facility,this results in a cost savings of$44,000 in 2011-12 and a net cost increase of$17,800 in 2012-13. Key Objectives 1. Maintaining all Water Reclamation Facility(WRF)processes at optimal operation. 2. Maintaining compliance with local, State and Federal regulations. 3. Protecting human and environmental health along San Luis Obispo Creek. Existing Situation: Factors Driving the Need for Change The significant operating program changes summarized in this request include a combination of both cost savings and projected costs increases. The cost summary table at the end of this request provides the reader with a quick "snapshot"of the overall costs savings, cost increases and net fiscal impacts. 1. Electric Utility—Wastewater processes demand a great deal of electricity and are in constant operation. All processes utilize electricity to drive motors and pumps of various sizes. Projected electric utility rate increases include 3.6%in 2011-12 and 4%in 2012-13. Based on an evaluation of recent electrical usage trends for wastewater services and when considering current wastewater flows, the new Tank Farm Lift Station which replaced two aged lift stations (old Tank Farm and Rockview)will result in an electrical cost-savings of$5,000 annually in 2011-13 in the Wastewater Collection program. Based on current wastewater treatment processes and electric utility budget levels at the WRF, electric utility services will not require a budget adjustment in 2011-12; the projected electric rate increase will cost an additional $20,800(4%) in 2012-13 at the plant(from$520,000 to$540,800). Offsetting costs savings in wastewater collection results in a cost savings of$5,000 in 2011-12 and a net cost increase of$15,800 in 2012-13. In 2010 there were two separate energy audits conducted at the Water Reclamation Facility. Several suggestions came from those audits. WRF staff is currently working with PG&E engineers to determine the best approach to implementing energy savings at.the WRF. 2. Chemicals — The WRF utilizes four chemicals for its treatment processes; Sodium Hypochlorite, Sodium Bisulfite, Sodium Hydroxide, and Ferrous Chloride. Each of these chemicals plays a vital role in wastewater treatment and more specifically in meeting the discharge limits as set forth in the City's NPDES (National Pollutant Discharge Elimination System) permit. On a yearly basis the City solicits bids for chemicals for water and wastewater treatment. Based on chemical contracts for the term of February 1, 2011 thru January 31, 2012 and assuming a 5% chemical cost increase for February 1, 2012 thru January 31, 2013, current wastewater treatment processes and associated chemical and chlorine supply needs will result in an overall cost savings of$32,000 in 2011- 12, and a projected chemical (Sodium Bisulfite) cost increase of$9,000 (5% from $181,000 to $190,000) in 2012-13, with offsetting chemical cost savings of$7,000 resulting in a net increase of$2,000 in 2012-13. B2-134 PUBLIC WATER RECLAMATION FACILITY: UTILITY SERVICES AND CHEMICALS ����� ��� 3. Gas Utility — Based on projected gas utility rate changes of zero in 2011-12 and 2% in 2012-13, current wastewater treatment processes and associated natural gas usage,there is a one-time cost savings of$7,000 in 2011-12,with no budget adjustment needed in 2012-13. Goal and Policy Links 1. Compliance with regulatory requirements to maintain public health and protection of water quality. 2. Water and Wastewater Element of the General Plan, Section 12. Service Categorization Criteria Wastewater treatment is ranked 1 —Mandated. Program Work Completed This is an ongoing cost driven by market pricing. Chemical bids have been received. Environmental Review No environmental review is required. Program Constraints and Limitations Currently there are no constraints or limitations for this program. Stakeholders Water Reclamation Facility Supervisor and Staff Implementation Date 1. Electric Utility decrease in Wastewater Collection July 2011 2. Gas Utility decrease at the Water Reclamation Facility July 2011 3. Chemicals decrease at the Water Reclamation Facility July 2011 4. Electric Utility increase at the Water Reclamation Facility July 2012 5. Chemical increase at the Water Reclamation Facility July2012 Key Program Assumptions All projections are from either bids received or official utility source cost information. Program Manager and Team Support Program Manager. Water Reclamation Facility Supervisor Project Team. Water Reclamation Facility Staff B2-135 PUBLIC UTILITIES WATER RECLAMATION FACILITY: UTILITY SERVICES AND CHEMICALS A� Upmhnut ard—�— Alternatives 1. Defer or Re-Phase the Request Electrical costs are set by the utility provider. Re-bidding chemical costs would mean canceling existing contracts and re-bidding chemicals. The results would be predictably the same.This is not recommended. 2. Change the Scope of Request Chemicals purchased without a set contract price would vary with the market value making budgeting very difficult and bidding more frequently would require significant staff resources. Electrical costs are driven by the current supplier of electricity. 3. Existing Program Evaluation. In 2010 there were two separate energy audits conducted at the WRF. Several suggestions came from those audits. The WRF is currently working with PG&E engineers on how best to implement energy savings at the WRF. Staff continues to look at ways to cut electrical costs at the WRF. Operating Program Water Reclamation Facility(55330) Cost Summary Based on current wastewater service operations and costs associated with utility services and chemicals for wastewater treatment, there will be an operating cost savings of$44,000 in 2011-12 and a projected net operating cost increase of$17,800 in 2012-13. Lme Item Description Account No.1 2011-12 2012-13 Other Opmting OperatingExpendiures 0 29,800 Electric Utility Service 520-55330-7605 0 20,800 Chendcals-Sodium Bisulfite 520-55330-7815 0 9,000 Total Operating Costs 0 29,800 Offsetting Costs Savings Electric Utility Service-WW Collections 520-55310-7605 (5,000) (5,000) Gas Utility Service 520-55330-7609 (7,000) 0 Chemicals 520-55330-7775 (15,000) (7,000) Chlorine 520-55330-7777 (17,000) 0 Net Operating Costs (44,000)1 17,800 B2-136 PUBLIC UTILITIES WASTEWATER COLLECTION: LAGUNA SEWER LIFT STATION PUMP MAINTENANCE Request Summary Maintaining the Laguna sewer lift station in reliable operational use will cost 546,000 in 2011-12 for pump repairs, shipping, overtime,and pump rental equipment. Key Objectives 1. Supporting adequate funding to maintain and operate the station. 2. Ensuring station reliability. Existing Situation: Factors Driving the Need for Change The Laguna Lift Station is a critical facility transferring approximately 25% of the City's total wastewater flow to the Water Reclamation Facility and was put into service in October 2002. The lift station has three, ten-inch vertical turbine solids handling pumps that run on variable frequency drives and a trench style, self-cleaning wet well design. Since the station was put into service there have been numerous pump and operational failures due to the design issues and pumps not meeting specifications. This facility has experienced on-going maintenance and operational issues related to catastrophic pump failures and clogging. The failures have resulted in the station being unreliable,pumps having to be removed and requiring major expensive repairs,the periodic use of emergency by- pass pump contractors and excessive staff resources. The Utilities Department has submitted a CIP request in the 2011-13 Financial Plan for the replacement of the Laguna Lift Station and will be developing a Request for Proposal to abandon this facility and construct a replacement station for fiscal year 2011-12. This request is for adequate funding to maintain the existing Laguna Lift Station until its replacement becomes operational. Goal and Policy Links 1. Major Council Goal to adequately maintain infrastructure. 2. Uninterrupted sewage flow without health hazard is a primary goal of the Wastewater Collection program. Service Categorization Criteria Lift station operation and maintenance is ranked 1 —Mandated. Program Work Completed The station requires on-going operation and maintenance. Environmental Review No environmental review required. B2-137 PUBLIC UTILITIES WASTEWATER COLLECTION: LAGUNA SEWER LIFT STATION PUMP MAINTENANCE Program Constraints and Limitations There are no program constraints and limitations. Stakeholders Wastewater Collection Supervisor and staff. Implementation Task Date 1. . - 1. Staff Overtime On-going 2. Pump Repairs On-going 3. Crane Services On-going 4. Shipping On-going Key Program Assumptions The Laguna Lift Station was commissioned in October 2002. There have been ongoing expenditures exceeding expected normal operational and maintenance conditions and staff has exhausted all operational alternatives and remedies. The additional requested operational costs are estimated based on past expenses collected from extensive wastewater collection maintenance records. Program Manager and Team Support Program Manager. Wastewater Collection Supervisor Project Team. Wastewater Collection Staff. Alternatives Continue the Status Quo. Extensive on-going maintenance and repair of the Laguna Lift Station has had a negative impact on the operational budget. Continuing the status quo would not be recommended. Operating Program Wastewater Collection(553 10) Cost Summary Maintaining operations of the Laguna Lift Station will require pump maintenance and repairs, requiring an additional $46,000 in 2011-12. Increased operating costs assumes 120 hours of staff overtime in the amount of $5,000; contract services in the amount of$20,000 for crane rental to pull and reset pumps, shipping services to transport pumps for major pump repairs, and rental of temporary pumps and equipment to continue to maintain reliable wastewater collection services, and; other operating expenditures in the amount of$21,000 for special equipment replacement parts needed to repair major pumps and motors. B2-138 do PUBLIC WASTEWATER COLLECTION: LAGUNA SEWER LIFT STATION PUMP MAINTENANCE This operating cost summary assumes that the 2011-13 Capital Improvement Plan project request to replace the Laguna Lift Station in 2011-12 will move forward, as such the increased operating and maintenance budget for the existing lift station is for 2011-12 only. Line Item Description AccoantNo. 2011-12 2012-13 Staffing _ _5,000 _ 0 Overtime 1 520-55310-70201 5,000 Contract Services 20,000 __ 0 Contract Services 1 520-55310-72271 20,000 Other Operating,Expenditures 21,000 0 Special Equipment Re lacement Parts 520-55310-7889 21,000 Total Operating Costs 46,000 1 0 B2-139 I Attachment 5 2011-13 Financial Plan BUDGET ■ • OPTION SUMMARY Recommended Operating Cost Reductions Temp Regular Annual Savings Service Det Staffing Staff 2011-12 2012-13 Category Admin Reduce contract services in Administration 29,000 29,000 3 Admin Reduce print cost for agenda packages in Clerk's budget 3,000 3,000 3 Admin Reduce Contract Services in Community Promotions 115,000 115,000 5 Admin Keep PAC contribution on 2009-10 levels 4,000 4,000 5 Admin Eliminate Administrative Assistant in Clerk,net of temporary staffing 69,300 73,600 3 CD Eliminate Planning Review Assoc.Planner 1.0 109,000 109,300 1 FD Eliminate vacant.Administrative Assistant II position 1.0 74,000 78,300 3 FD Backfill three vacant firefighter positions with overtime 48,900 70,500 2 FD Reduce the fulltime Fire Inspector III position to.75 time 0.25 30,900 31,100 1 FD Reclassify Training Officer to Captain 16,100 32,500 2 F&IT Eliminate travel to CSMFO board meetings 1,000 1,000 3 F&IT Reduce miscellaneous expenses(Support Services) 500 600 3 F&IT Eliminate custom design software contract 4,200 4,300 3 F&IT Reduce paper utility bills - 13,000 3 F&IT Eliminate subscriptions(GIS) 300 300 5 F&IT Eliminate operating materials(GIS) 300 300 5 F&IT Reduce repair/replacement of calculators 300 300 3 F&IT Reduce printing(Fin Admin) 1,000 1,000 3 F&IT EPCR printing via USB 3,000 3,000 2 F&IT Reduce analog lines in City 7,400 19,200 2 F&IT Reduce paging services 4,200 4,200 2 F&IT Reduce Pentamation program enhancement hours 4,300 4,300 2 F&IT Change external DNS providers 5,100 5,100 2 F&IT Reduce monthly cost of City air cards 13,000 13,000 2 F&IT Re-negotiate maintenance contracts(IT) 80,000 10,000 2 F&IT Reduce number of replacement printers City-wide 5,000 5,000 2 F&IT Extend computer replacement lifecycle 18,500 18,600 2 F&IT Reduce Citywide postage 2,700 2,700 3 F&IT Reduce trips&meetings(GIS) 300 300 3 F&IT Reduce conference attendance(Finance&GIS) 5,000 5,000 3 F&IT Eliminate Temporary staffing(GIS) 7,100 7,100 5 F&IT Reduce Temporary staffing(Accounting) 9,000 9,000 5 F&IT Eliminate cellular phone accessories 3,500 3,500 2 F&IT Eliminate RIM BES server maintenance 3,800 3,900 2 F&IT Eliminate Shoretel new yser licenses 3,000 3,100 2 HR Reduce misc.office expenses 3,300 3,300 3 HR Reduce existing Contract Services to reflect actual cost 700 700 3 HR Eliminate funding for a Learning Management System 7,700 7,700 3 HR Eliminate budget for updating Safety Policies. 2,700 2,700 1 HR Reduce recruitment related expenses. 13,000 13,000 3 HR Eliminate the City contribution to PACE. 3,100 3,100 5 HR Reduce education and training. 4,700 4,700 3 HR Eliminate temporary staffing in Wellness Program. 16,000 16,000 5 HR Reduce Employee Recognition budget to only provide one event. 5,500 5,500 5 HR Eliminate SLO Rideshare Lucky Bucks Program and Mone Incentives. 5,0001 5,000 5 B2-140 Attachment 5 Temp Regular Annual Savings Service Det Staffing Staffing 2011-12 2012-13 Category HR Reduce Grants in Aid awards. 20,000 20,000 4 P&R Reductions in SCMAF memberships 200 200 5 P&R Batting Cages Supplies 1,500 1,500 4 P&R Batting Cages Alarm 1,600 1,600 4 P&R Senior Newsletter Postage 1,500 1,500 4 P&R Softballs 2,500 2,500 4 P&R Scorekeepers for Adult Softball 0.7 14,000 14,000 4 P&R DOJ Fingerprinting for Scorekeepers 300 300 4 P&R SLOYSA Grant 20,000 20,000 5 P&R Paperless Activity Guide 11,000 11,000 5 P&R School District Fee Savings 6,700 6,700 4 P&R Swim Temp Staffing(Physical Therapy Program) 0.2 4,000 4,000 4 P&R Recreational Sports temporary positions 0.4 4,000 4,000 4 P&R Recreation Manager 1.0 123,100 123,400 3 PD Reduction in various Operating Materials 600 600 2 PD Elimination of Annual Fee-Verizon 800 800 2 PD Reduction in Custom Design Software 300 300 2 PD Elimination of Haines telephone directory 1,300 1,300 2 PD Reduction in Spillman annual maintenance 900 - 1 PD Reduction in Operating Supplies 2,500 2,500 2 PD Consolidate Bio Hazardous Waste Con_tainerw/Fire Dept 1,000 1,000 1 PD Consolodate Bio Hazardous Waste Removal w/Fire Dept 1,400 1,400 1 PD Reduction in Locks/Flags/Holding Cells Blanket cleaning 500 500 3 PD Reduction in Postage-On Trac 200 200 3 PD Reduction of Employee Recognition 1,000 1,000 1 PD Reduction in Janitorial Services 1,000 1,000 3 PD Reduction in Trips/Offsite Meetings 700 700 1 PD Reduction in Onsite Meetings 300 300 1 PD Reduction in Printing&Reproduction-Thermal Paper 4,000 - 3 PD Reduction in Water service 1,500 1,100 3 PD Reduction in Sewer Service 2,200 1,900 3 PD Reduction in Electricity-Public Safety Comm.Center 11,000 8,900 3 PD Reduction in Electricity-Police station& 1016 Walnut office 16,000 13,400 3 PD Reduction in Weapons Inspection costs(will do in- house) 1,000 1,000 2 PD Reduction in Protective Clothing/Utility Uniform 1,200 1,200 2 PD Reduction in Gun Belts and Accessories purchases 1,000 1,000 2 PD Reduction in Tactical Helmet purchases 600 600 2 PD Reduction in POST Training 10,000 10,000 1 PD Reduction in Contract Services-polygraph exams 1,800 1,800 1 PD Reduction in Contract Services-psych testing 4,000 4,000 1 PD Eliminate Field Service Technician(vacant in year 2) 1.0 118,800 3 PD Eliminate vacant Police Officer position(reduce SORT team) 1.0 146,700 147,800 2 PD Eliminate vacant Police Officer position(eliminate SRO/DARE programs at elementary schools) 1.0 146,700 147,800 4 PD Eliminate vacant Communication Technician position 1.0 106,900 107,200 2 PW Public Works Admin division Reduce Operating Materials&Supplies 400 400 3 B2-141 Attachment 5 Ternp Regular Annual Savings Service Det Staffing Staffing 2011-12 2012-13 Category PW Public Works Admin division Eliminate Data Processing 400 400 3 PW Building Maintenance division Eliminate Data Processing 400 400 3 PW Streets Maintenance division Eliminate Insecticides& Herbicides 200 200 2 PW Signal and Lights division Eliminate Cement& Concrete Mix 300 300 3 PW Streets Maintenance division Reduce Small Tools 1,000 1,000 2 PW Public Works Admin division Reduce Postage 1,000 1,000 3 PW Signal and Lights division Reduce Electrical Supplies 1,000 1,000 1 PW Public Works Admin division Eliminate Overtime 1,000 1,000 3 PW Signals and Lights division Reduce Operating Materials&Supplies 1,500 1,500 1 PW Streets Maintenance division Eliminate Data Processing 1,700 1,700 2 PW Fleet Maintenance division Reduce Special Equipment Installation 1,900 1,900 2 PW Streets Maintenance division Reduce Paint Supplies 2,000 2,000 2 PW Streets Maintenance division Reduce Signs 2,000 2,000 2 PW Streets Maintenance division Reduce Construction Equipment 2,000 2,000 2 PW Building Maintenance Eliminate Office Equipment 3,900 3,900 3 PW Streets Maintenance division Eliminate Sidewalk Repair Contracts 5,000 5,000 2 PW Building Maintenance division Reduce Gas Utility 5,300 5,300 3 PW Signal and Lights division Reduce Equipment Maintenance 5,000 5,000 1 PW Building Maintenance division Reduce Electrical Utility 15,000 15,000 3 PW Building Maintenance division Reduce HVAC Contract Services 15,700 15;900 3 PW Street Maintenance division Reduce Trash Services 20,000 20,000 2 PW Storm Water division Reduce Temporary Salaries for GIS Intern 0.18 4,600 4,600 1 PW Storm Water division Reduce Regular Salaries for GIS Specialist position 0.25 27,200 27,200 1 PW Development Review division Reduce Temporary Salaries 0.16 27,000 27,100 1 PW Public Works Admin division Eliminate Publications& Subscriptions 600 600 3 PW Streets Maintenance division Eliminate Professional Conferences 400 400 2 PW Public Works Admin division Reduce Education& Training 500 500 3 PW Public Works Admin division Reduce Association Dues 1,100 1,100 3 PW Streets Maintenance division Reduce Trips&Meetings 600 600 2 PW Signals and Lights division Reduce Education& Training 700 700 1 PW Building Maintenance division Reduce Trips& Meetings 800 800 3 PW Streets Maintenance division Reduce Education& ITraining 800 1 800 1 2 B2-142 Attachment 5 Temp Regular Annual Savings Service Det Staffing Staff' 2011-12 2012-13 Cateeory PW Public Works Admin division Reduce Printing& Reproduction 1,600 1,600 3 PW Signals and Lights division Reduce Equipment Replacement Parts 20,000 20,000 3 PW Tree Maintenance division Reduce Regular Salaries by Eliminating 1.0 FTE PW Maintenance Supervisor position 1.00 59,600 59,900 3 PW Public Works Admin division Reduce Employee Recognition 2,500 2,500 3 PW Building Maintenance division Reduce Contract Services for Janitorial Services (task reduction) 3,200 3,200 3 PW Building Maintenance division Reduce Contract Services for Janitorial Services(Frequency Reduction @ City Hall) 6,300 6,500 3 PW Building Maintenance division Reduce Contract Services for Janitorial Services(Frequency Reduction @ various locations) 11,400 11,600 3 PW Public Works division Reduce Office Supplies 1,700 1,700 3 PW Transportation Division Reduce Regular Salaries by.5 FTE(Principal Transportation Planner transferred to Parking Enterprise Fund) 0.50 64,700 64,900 4 PW Development Review division Reduce Regular Salaries by.25 FTE Permit Technician Position 0.25 18,300 18,300 1 PW Reduce Laundry&Linen Service Contracts for Public Works General funded programs 19,300 19,300 3 PW Public Works Admin division Reduce Temporary Salaries 0.35 23,400 23,500 3 PW Parks Maintenance division Reduce City Water Services by 10% 52,700 57,500 3 PW Transportation Division Reduce Temporary Salaries 0.75 33,500 33,500 1 Total Recommended Operating Cost Reductions 1 2.741 9.251 1,890,100F$-2,009,9001 B2-143 2011-13 Financial Plan Attachment 5 BUDGETREDUCTION OPTION SUMMARY_ Operating Cost Reductions-Not Recommended CA Eliminate memberships in 3 professional organizations 300 300 1 CA Eliminate all legal services 1,500 1,500 1 CA Eliminate all education&training 1,400 1,400 1 CA Eliminate all except 2 publications&subscriptions 2,000 2,000 1 CA Reduce staff. full time paralegal from 1.00 FTE to.75 FTE 0.25 24,200 24,200 3 CA Eliminate all trips&meeting 1,300 1,300 1 CD Eliminate Long Range Planning Associate Planner 1.00 109,000 109,300 2 FD Temporary Closing of Fire Station 3 432,700 394,500 2 F&IT Reduce city cell phones 2 F&IT Eliminate payment to Parking Fund for employee use o parking in designated City lots&structures 16,900 16,900 5 HR Eliminate City funding of Wellness blood draw analysis 3,300 3,300 5 HR Reduce Grants in Aid by an additional$31,000 than already offerred 31,000 31,000 4 HR Reduce Employee Recognition by another$5000 to not provide any events 5,000 5,000 5 HR Eliminate all funds for City-wide training and development activities 13,200 13,200 3 HR Eliminate the Educational Reimbursement program 13,500 13,500 3 P&R Eliminate Teacher Work Day and Spring Break camps 3.000 3,000 4 P&R Eliminate Program X(Teens Program) 22,000 22,000 4 PD Eliminate vacant Sergeant position(eliminate SORT supervisor&team) 1.0 185,300 194,200 2 PD Eliminate vacant Police Officer position(eliminate SORT team) 1.0 146,700 149,700 2 PD Eliminate employee recognition for SNAP employees 400 400 5 PD Reduce employee recognition for regular employees 3,000 3,000 5 PD Eliminate SLO Solutions Community Program 14,800 14,800 5 PD Eliminate Bicycle Rodeo education progam 4,600 4,600 4 PD Reduce crime prevention,education,&outreach 15,000 15,000 3 PD Reduce training&professional associations 15,000 15,000 1 pW Parks Maintenance Reduce Temporary Salaries that provide the Downtown Farmer's Market Portable Restrooms 0.38 12,300 12,700 3 PW Streets Maintenance division Eliminate Contract Services for Downtown cleaning 29,000 29,600 2 pW Streets Maintenance division Reduce Regular staffing by.5 FTE Maintenance Worker providing Downtown street cleaning 0.50 31,400 31,500 3 PW CIP Engineering division Reduce Regular Salaries by Eliminating 1.0 FTE PW Engineering Inspector osition 1.00 1 99,900 1 104,600 1 Total Operating Reductions-Not Recommended 0.38 1 4.75 1 $ 1,237,7001 $ 1,217,500 B2-144 2011-13 Financial Plan BUDGET REDUCTION OPTION Administration Attachment O erating Cost Reductions Regular Annual Savings Service Staffing 2011-12 2012-13 Category Reduce print cost for agenda packages in Clerk's budget(20 100) $ 3,000.00 $ 3,000.00 3.0 Reduce Contract Services in Community Promotions(11300) $ 115,000.00 $ 115,000.00 5.0 Reduce contract services in Administration(10100) $ 29,000.00 $ 29,000.00 3.0 Keep PAC contribution on 2009-10 levels(I 1100) $ 4,000.00 $ 4,000.00 5.0 Eliminate Admin.Assistant III position in City Clerk program $ 82,100.00 $ 86,400.00 3.0 Keep the Natural Resources Manager positon vacant $ 2,200.00 $ 158,400.00 3.0 Total Operating Cost Reductions $ 235,300.00 $395,800.00 B2-145 2011-13 Operating Cost Reo_.tion Options attachment Administration Description Service Temp Regular 2011-12 Annual Savings SOPC Service Impact Staffing Staffing Budget Category 2011-12 2012-13 Administration 10100 1.Contract Impact on V& 80,000 29,000 29,000 3 Services. C funding and Contract Services in the funding of Admin always relate special to special projects.If projects. needed, it should come from V&C and therefore eliminated as a permanent line item in this program CityClerk 20100 — 2.Reduce Print. Fewer 8,800 3,000 3,000 3 cost agenda packages will be distributed and only provided electronically to Department Heads. Cultural Activities 11100 3. Grants-in-Aid Funding level 90,000. 5 Integrate this will be funding& recommende combine with d by the PCC Community that might Promotions result in an impact on cultural organizations PAC Contribution Possible 268,000 4,000 4,000 5 Freeze operating contribution at deficit will be 2009-10 levels of taken out of $264,000 the PAC's fund reserve. Community Promotions 11300 4.Reduce current The 384,500 115,000 115,000 5 contract reduction Services Program will have an impact on cultural and B2-146 2011-13 Operating Cost Reo__don Options �•/ ,achmenU ` 1 Administration recreational offerings the City has afforded through this program.The programs are designed to have a positive impact on Sales Tax and TOT as they serve residents and tourists alike. City Clerk 20100 5. Staffing Salary This will 1 FTE 82,100 82,100 86,400 X 3 Eliminate Admin reduce Assistant III administrativ position. * e support in the department to one Executive Admin Assistant and one Admin Assistant II, and require the department to use temporary intern positions to meet departmental needs. Natural Resources 11250 6.Staffing Salary This will 1 FTE 156,800 2,200 158,40 3 Savings leave the 0 Keep the Natural Biologist Resources position as Manager position the only staff vacant upon the within the current Manager's program,and retirement will require the Assistant City Man- er B2-147 2011-13 Operating Cost Rea- don Options Itachment5 Administration and Parks and Recreation Director to take on more duties on an interim basis. TOTAL 2.0 235,300 395,80 0 B2-148 2011-13 Financial Plan_ Attachment-. BUDGET REDUCTION OPTION City Attorney Operating Cost Reductions Regular Annual Savings Service Stam 2011-12 2012-13 Category Eliminate all trips&meeting 1,300 1,300 1 Eliminate memberships in 3 professional organizations 300 300 1 Eliminate all legal services 1,500 1;500 1 Eliminate all education&training 1,400 1,400 1 Eliminate all except 2 publications&subscriptions 2,000 2,000 1 Reduce staff. full time paralegal from 1.00 FTE to.75 FTE 0.25 24,200 24,300 3 Total Operating Cost Reductions 0.25 30,700 30,800 B2-149 2011-13 Operating Cost Red. don Options Attachment L City Attorney Description Service Temp Regular 2011-12 Annual Savings SOPC Service Impact Staffing Staffing Budget Category 2011-12 2012-13 CITY ATTORNEY 1. Trips and This is the 1,300 1,300 1,300 1 Meetings. entire budget Eliminate. and would eliminate attendance at all professional and community group luncheon meetings. Could negatively impact awareness of legal updates, best practices,and community involvement; etc. Attorneys will absorb necessary costs personally. 2. Professional 1. Tri- 1,300 300 300 1 Organizations. Counties Eliminate Local Gov't membership in Attomeys three organizations: Assn. is an organization 1.Tri-Counties that provides Local Government professional Attorneys legal Association education and support 2. California to City Women Lawyers Attorneys in Association the 3 counties. 3. SCAN NATOA Impact for (States of CA& canceling its NV Chapter of membership B2-150 2011-13 Operating Cost Rea. ,tion Options Itachment City Attorney National would be Association of minimal. Telecommunication 2. California s Officers& Women Advisors) Lawyers Assn. is a valuable professional association. The City Attorney will personally pay the$100 annual dues. 3. SCAN NATOA is a valuable association that provides local governments up-to-date information on cable franchise& telecommuni cation issues, FCC rules and guidelines. Its annual membership is$100. 3. Legal Services. This leaves 1,500 1,500 1,500 1 Eliminate this line, no flexibility which leaves no for specialty budget for outside consultation counsel on matters consultation for ranging from special expertise. Proposition 218 to labor issues and/or shifts the entire burden of such consultation to other departments. 4.Education& This would 1 1,400 1,400 1,400 1 Training. eliminate all B2-151 2011-13 Operating Cost Rea__ :ion Options City Attorney Eliminate. attendance at continuing legal education training conferences exceptthe League of California Cities Annual City Attorneys Conference. Could negatively impact awareness of legal updates, best practices,etc. An elevated focus on proactive code enforcement is likely to result in increased criminal filings,which requires increased need for criminal process education for primarily civil practice attorneys. Inability to obtain that education could adversely affect the most effective criminal enforcement in these B2-152 2011-13 Operating Cost Reo__,cion Options _. City Attorney matters. 5. Publications& This will 5,200 2,000 .2,000 1 Subscriptions. result in Eliminate all frequent trips subscriptions to the Law EXCEPT limited Library and WestLaw online time away subscription and from the the Municipal Law office for Handbook online research, subscription. especially with regard to eliminated Land Use Practice and California Environment a] Quality Act treatises. 6. Staffing Detailed in .25 97,900 24,200 24,320 X 3 reduction. Reduce SOPC filled Paralegal position from full time to three- quarter time. TOTAL .25 i 30,700 30,800 B2-153 GENERAL GOVERNMEc,' STAFFING REDUCTION—PARALEGAL, CITY ATTORNEY OFFICE AChment Request Summary Reducing the currently filled position of Legal Assistant/Paralegal from 1 FTE to 0.75 FTE will result in a salary savings of$24,200 in 2011-12 and$24,300 in 2012-13 the City Attorney office budget. Key Objectives Meeting budget reduction targets. Existing Situation: Factors Driving the Need for Change Reducing this position would reduce significantly the functionality and accessibility of the City Attorney's Office. Although the City Attorney's Office can continue to offer the same services, it will have to scale back on the services provided if the position is reduced. In addition, turn around time for non-litigation matters will increase. The position not only offers administrative support for the Department's attorneys, but also provides litigation support for the attorneys. Litigation support includes preparing routine court documents, finalizing more complex court documents, assisting in factual investigations, court calendaring, and managing evidence and discovery. This position is also key in maintaining accessibility to the City Attorney's Office. For example, this position is able to answer calls received from the public ranging from questions related to municipal code provisions to City protocol and policies. The position handles routine inquiries, requests for documents, direction to appropriate resources and departments. This position is key to the City Attorney's support of Departments tasked with lead roles in accomplishing the City Council's Neighborhood Wellness goal. With respect to enforcement of Neighborhood Enhancement Ordinance(NEO), the paralegal reviews evidence submitted by field personnel in the Police Department, reviews citations for appropriate municipal code citations,prepares enforcement notices to property owners and tenants to correct NEO violations, enters information into the database so that enforcement can be tracked, and follows up with NEO staff as necessary. For other code enforcement matters that are referred to the City Attorney's Office, the paralegal will prepare judicial complaints for attorney review. In sum, the paralegal manages the bulk of the day to day support of the Neighborhood Wellness program under the supervision of the attorneys, with the attorneys taking the lead if the matter cannot be resolved and requires prosecution in criminal court. Timely enforcement actions to complaints and collaboration with property owners are key to a successful program. A reduction in the paralegal position will result in difficulties in managing this program in a timely manner. The paralegal's litigation support obligations,and other administrative support related to projects with firm deadlines, would have to take precedence over discretionary enforcement actions. Likewise, the Assistant City Attorney could only take over some responsibilities to the extent that it would not interfere with court and statutory deadlines. Alternatively, the Assistant City Attorney would have to scale back on providing legal advice on substantive issues. This position also performs functions relevant to the City Council's other important objective related to Affordable Housing. Specifically,the Council has found that mobile home parks represent a significant source of affordable housing in our community. The paralegal acts as a regular liaison to the parks' residents and representatives to manage regular inquiries and gather information for attorney review regarding compliance with the City's Mobilehome Rent Stabilization Ordinance (MRSO). With respect to enforcement of the MRSO, the paralegal performs the data compilation and analytical calculation work necessary to facilitate review of rent increase compliance. B2-154 -GENERAL GOVERNME'i,, STAFFING REDUCTION—PARALEGAL, CITY ATTORNEY OFFICE Attachment S The Paralegel also is responsible for drafting legislative correspondence to State and/or Federal representatives in accordance with the Council's Legislative Platform. When a legislative issue comes to our attention it is often because an action will soon be taken, whether it's set to be heard in a committee, on a house floor, or it's on the Governor's desk for signature. Prompt action is often required. The Paralegal researches the bill, and if the measure is of importance to local government and within the scope of the Council's Legislative Platform, prepares a letter for the Mayor's signature, and promptly transmits the correspondence to the proper individuals. Goal and Policy Links This operating program change ties to Operating Program Goals. Service Priority Ranking The Legal Assistant/Paralegal provides administrative support to the City Attorney and Assistant City Attorney whose functions are service priority#I rankings. Program Work Completed N/A Environmental Review N/A Program Constraints and Limitations The City Attorney's Office would need to readjust its priorities, and determine how its services will need to be scaled back. The Assistant City Attorney may need to be trained in some clerical and paralegal tasks. Stakeholders For Internal Customers: Should the Legal As sistant/Paralegal position be reduced, because of time constraints, some discretionary duties absorbed by the Paralegal in prior rounds of budget cuts would most probably need to revert back to other departments as follows: To the City Clerk: 1. Finalization of Ordinances and Resolutions following City Council meetings To Administration: 1. Managing the appeals of Business Tax Administrative Citations 2. Oversight of Rotating Art Program 3. Oversight of Charter Communications franchise complaints 4. Maintenance of logo stationery specific for City Council 5. Maintenance of City Hall stationery supplies, that include letterhead, envelopes, FIT window envelopes, logo notecards,etc. Accessibility to staff for unanticipated or emerging issues will be delayed during times when attorneys are otherwise engaged and staff is unavailable. There may be increases in times when the office will need to be B2-155 GENERAL • s STAFFING REDUCTION—PARALEGAL, CITY ATTORNEY OFFICE Attelchme $ closed due to staff unavailability. The office's open door/drop-in policy would need to be modified to accommodate additional duties absorbed by attorneys and staff availability issues. For the Public: The City Attorney's Office would no longer be open to the public during those times that paralegal position is not staffed, as attorneys are regularly at meetings that keep them physically away from the office and the office cannot be left unattended. Response time to public phone inquiries would be diminished. Scheduling time for attorneys would likely increase. Implementation This change could be implemented at the end of the 2011 fiscal year to accommodate necessary duty reassignments and training. Key Program Assumptions N/A Program Manager and Team Support City Attorney,assisted by Assistant City Attorney and paralegal. Alternatives 1. Continue the Status Quo. City Attorney won't meet budget reduction targets. 2. Defer or Re-Phase the Request. The ultimate impacts of such a change will not change significantly over time, unless there is a restructuring of the departmental workload. 3. Change the Scope of Request. A greater reduction will result in greater adverse impacts as identified and increased delays to office work product. 4. Implementation in a Different Way. Proposals for staff and interdepartmental cost sharing could be explored, so that paralegal remains on site and available in the event emerging issues arise that could require reprioritization of workload and scheduling (i.e. paralegal could be assigned to other administration support functions during lower workload periods, but reassigned as required to meet court and other deadline priorities at the discretion of the City Attorney). Operating Program City Attorney's Office(15 100) . B2-156 GENERAL GOVERNMEN STAFFING REDUCTION-PARALEGAL, CITY ATTORNEY OFFICE Affachme 1t Cost Summary Line Item Description Account No.1 2011-12 2012-13 Staffing24,200 24,300 Salary 100-15100-7010 16,200 16,200 Retirement Contribution-PERS 100-15100-7040 5,200 5,300 Health& Disability Ins 100-15100-7042 2,500 2,500 Medicare 100-15100-7044 200 200 Unemployment Ins 100-15100-7046 100 100 Total Operating Costs 24,200 24,300 B2-157 Attachment-45- 2011-13 Financial Plan BUDGET ■ • OPTION Community Development Operating Cost Reductions Regular Annual Savings Staffing 2011-12 2012-13 Eliminate Planning Review Assoc.Planner 1.0 109,000 109,300 Eliminate Long Range Planning Assoc. Planner 1.0 109,000 109,300 Total Operating Cost Reductions 2.0 218,000 218,600 B2-158 2011-13 Operating Cost ._.ruction Options COMMUNITY DEVELOPMENT Att8ChM89d�_ Description Service Impact Temp Regular 2011-12 Annual Savings SOPC Service Staffing Staffing Budget 2011-12 2012-13 Category Development Review Eliminate a The service impacts 1.0 109,000 109,000 109,300 X 1 Vacant Associate could include an Planner Position increase in the time in the it takes to review Development new planning Review Division. applications and This option affects building permits. It regular staffing could also diminish costs. The the Department's reduction would be capacity to work on implemented on multiple priority July 1,2011. projects. See the SOPC for details. Long Range - - Planning Eliminate a The reduction 1.0 109,000 109,000 109,300 X 2 Vacant Associate affects Policy and Planner Position Plan in the Long- Implementation Range Planning Activities. The Division. This impacts are a option affects reduction in the regular staffing City's ability to costs. The prepare area plans reduction would be and General Plan implemented on implementation July 1,2011. programs. In the future,area plan and major implementation programswill require hiring consultant services. Reviewing projects for conformity with the City plans will need to be shifted to the Development Review Division. The proportion of time remaining planning staff will have to spend at the public information counter will increase by 20%, giving each planner less time to work on assignments. The means a slowing down of planning B2-159 2011-13 Operating Cost i._t'uction OptionsCOMMUNITY DEVELOPMENT DEVELOPMENT application turn- around times,but within the minimum turn-around times required by the state. TOTAL 2.0 218,000 218,000 218,600 B2-160 2011-13 Financial Plan - _ Attachment BUDGET REDUCTION OPTION Finance & Information Technology Operating Cost Reductions Regular Annual Savings Service Staffing 2011-12 2012-13 Category Eliminate travel to CSMFO board meetings 1,000 1,000 3 Reduce miscellaneous expenses(Support Services) 500 600 3 Eliminate custom design software contract 4,200 4,300 3 Reduce paper utility bills - 13,000 3 Eliminate subscriptions(GIS) 300 300 5 Eliminate operating materials(GIS) 300 300 5 Reduce repair/replacement of calculators 300 300 3 Reduce printing(Fin Admin) 1,000 1,000 3 Reduce printing of Emergency Patient Care Reports 3,000 3,000 2 Convert analog lines to VoIP 7,400 19,200 2 Reduce paging services 4,200 4,200 2 Reduce Pentamation program enhancement hours 4,300 4,300 2 Change external DNS providers 5,100 5,100 2 Reduce monthly cost of City air cards 13,000 13,000 2 Re-negotiate maintenance contracts(IT) 80,000 10,000 2 Reduce number of replacement printers City-wide 5,000 5,000 2 Extend computer replacement lifecycle 18,500 18,600 2 Reduce Citywide postage 2,700 2,700 3 Reduce trips&meetings(GIS) 300 300 3 Reduce conference attendance(Finance&GIS) 5,000 5,000 3 Eliminate temporary staffing(GIS) 7,100 7,100 5 Reduce temporary staffing(Finance) 9,000 9,000 2 Eliminate cell phone accessories 3,500 3,500 2 Eliminate RIM BES server maintenance 3,800 3,800 2 Eliminate Shoretel new user licenses 3,000 3,100 2 Reduce MDC&laptop aircards 26,000 26,000 2 Eliminate payment to Parking Fund for employee use of parking in designated City lots&structures 16,900 16,900 5 Total erati Cost Reductions - 225,400 180,600 Revenue Enhancements Annual Revenue 2011-12 2012-13 Business Tax Enforcement 50,000 100,000 Lease City-owned conduit space 40,000 40,000 Total Revenue Enhancements 90,000 140,000 Total Department Options 315,400320,600 Allocated Share of Total Reduction Options of$3 Million 244,200 B2-161 2011-13 Operating Cost ReL-.stion Options Finance & Information Technology Description Service Impact Temp Regular 2011-12 Annual Savings SOPC Service Staffing Staffing Budget 2011-12 2012-13 Category FINANCE &IT ADMINISTRATION 1. Eliminate No staff $1,000 $1,000 $1,000 3 CSMFO members Board currently serve Meeting on the board so Attendance travel to the meetings is not Eliminating necessary. travel to CSMFO board meetings will save $1,000 annually. SUPPORT SERVICES 2. Reduce The typewriter $900 $500 $600 3 Misceffaneo maintenance us contract was Expenses. eliminated Reducing during the last miscellaneo budget cycle us expenses because very will save few are in use. $500 in Ongoing 2011-12 and maintenance $600 in costs for the 2012-13. few typewriters that can't be eliminated are paid at the hourly rate for service calls. Staff will be encouraged to lessen or eliminate typewriter use and share resources with other departments when possible. NETWORK SERVICES 3. Eliminate The $4,200 $4,200 $4,300 3 Custom replacementof B2-162 2011-13 Operating Cost Rei._.:tion Options Finance & Information Technology Design Visual FoxPro Software with new Contract. software Eliminating programs custom eliminates the design need for this software contract. contract will save$4,200 in 2011-12 and$4,300 in 2012-13. REVENUE MANAGEMENT 4. Reduce The new utility $66,800 0 $13,000 3 Paper billing system Utility will provide Bills. electronic Eliminating billing and paper utility payment bills will functionality, save reducing the $13,000 in need to mail 2012-13. paper bills. GEOGRAPHIC INFORMATION SERVICE$ GIS 5. Eliminate Minimal $600 $600 $600 5 Various impact, Non- subscriptions staffing will be Line Items. replaced with Eliminating free publications publications. subscription s and operating materials will save $600 annually. FINANCE & IT ADMINISTRATION 6. Reduce Minimal $2,400 $1,300 $1,300 3 Various impact. Non- Reduction in staffing printed Line Items. documents that Reducing will only be printing and provided calculator electronically. repair& replacement B2-163 i 2011-13 Operating Cost Ret._ation Options Attachnant S Finance & Information Technology will save $1,300 annually. NETWORK SERVICES 7. Reduce Emergency $3,000 $3,000 $3,000 2 Printing. Patient Care Reducing Reports can be printing will printed via save$3,000 USB. annually. 8. Convert Converting 89 $95,000 $7,400 $19,200 2 Analog existing analog Lines. telephone lines Converting to the new 89 analog VoIP lines to technology VoIP lines will result in will save some $7,400 in temporary 2011-12 and service $19,200 in disruptions. 2012-13. Many of these are fax machines or modem lines which are straightforward to convert. A few of the lines are secondary fire alarm lines or other special use analog lines that will require careful handling in order to convert them smoothly. 9. Reduce Minimal $9,000 $4,200 $4,2. 00 2 Paging impact.Paging Services. services are Reducing being phased paging out as City services will staff utilize save$4,200 cell phones annually. instead of pagers. B2-164 i 2011-13 Operating Cost Ret.-.;tion Options Finance & Information Technology ACCOUNTING 10. Reduce Reduction in $8,500 $4,300 $4,300 2 Program software Enhanceme upgrades of the nt Hours. Finance Reducing system will program have minimal enhancemen impact in the t hours will short-term. save $4,300 Potentially annually. larger impact as software becomes dated. NETWORK SERVICES 11. Change This will cause $5,600 $5,100 $5,100 2 External all City DNS websites Providers. including Changing outside e-mails external to be DNS temporarily providers unavailable for will save up to a week. $5,100 A week is the annually. worst case scenario and different parts of the Internet may become available as the change moves through the Internet. 12. Reducethe IT renegotiated $43,200 $13,000 $13,000 2 monthly the monthly cost of City pricing of the air cards. City's air cards Reduction with Verizon. in the type of plans used by the City air cards will save $13,000 annually. 13. Renegotiate As a result of $297,300 $80,000 $10,000 2 Maintenan renegotiations ce with vendors, Contracts. we are able to B2-165 I no 2011-13 Operating Cost Re%-_.:tion Options Finance & Information Technology Renegotiati reduce our ng maintenance maintenance contract contracts payments. will save However, this $80,000 in is a short-term 2011-12 and savings. $10,000 in 2012-13. 14. Reduce Printers $22,000 $5,000 $5,000 2 Printer typically have Replaceme a long life span nts. and the City Reducing does not black& replace them white until it is no printer longer cost replacement effective to s from 8 to repair them. 5 will save rr estimates $5,000 that the annually. average lifespan of a The City printer is 13 currently has years. Most of 82 printers. the City's Of these,we printers are in typically good shape. budget for the However, replacement productivity of 9 printers could be annually(8 adversely black& impacted if white and 1 more printers color):about fail than 10% anticipated and annually. . funds are not This results available to in an annual replace them. cost of $21,000. Reducing black& white printer replacements by 3 saves $5,000. 15. Reduce It has been the $134;300 $18,500 $18,600 2 Computer City's goal to Workstatio replace about B2-166 2011-13 Operating Cost Rei,--.;tion Options _ ` A'dachment_S Finance & Information Technology n 30%of the Replaceme City's nts. computer Extending workstations the annually in computer order to ensure replacement that the City's cycle from infrastructure 3.5 years to remains 5 years will current with save technology. IT $18,500 in proposes 2011-12 and extending the $18,600 in desktop 2012-13. replacement life cycle to 5 years by replacing about 20%of the City's computer workstations annually. However,the Microsoft Office replacement cycle would remain at 3 years. SUPPORT SERVICES 16. Reduce Staff will be $41,100 $2,700 $2,700 3 Citywide encouraged to postage. reduce Reducing mailings and Citywide utilize postage by electronic 6.5%will options where save$2,700 applicable. annually. GIS 17. Reduce Staff will have $500 $300 $300 3 Trips and less Meetings. opportunity to Reducing enhance their trips and skills, stay up- meetings to-date on will save chanes in GIS B2-167 2011-13 Operating Cost Ret._. tion Options _ Finance & Information Technology $300 technology and annually. network with other GIS professionals. 18. Reduce Staff will have $6,000 $3,000 $3,000 3 Conference less Attendance opportunity to . Reducing enhance their conference skills, stay up- attendance to-date on will save changes in GIS $3,000 technology and annually. network with other GIS professionals.- REVENUE MANAGEMEN 19. Reduce Staff will have $3,300 $500 $500 3 Conference less opportunity Attendance to enhance skills . Reducing and network conference with other Finance attendance professionals. will save $500 annually. ACCOUNTING 20. Reduce Staff will have $7,600 $1,500 $1,500 3 Conference less opportunity Attendance to enhance skills . Reducing and network conference with other attendance Finance will save professionals. $1,500 annually. GIS 21. Eliminate Completion of 0.25 $7,100 $7,100 $7,100 5 Temp mapping Staffing. projects may Eliminating take longer. temporary GIS will staffing will explore option save$7,100 of utilizing annually. unpaid interns to assist with This equals projects. 520 hours at $13.61/hour B2-168 2011-13 Operating Cost Rei.__tion Options Finance & Information Technology ACCOUNTING 22. Reduce The need for 0.23 $11,700 $9,000 $9,000 2 Temp temporary Staffing. staffing in Reducing Accounting temporary has been staffing will reduced due to save$9,000 the shift from annually. centralized Accounts This equals Payable 480 hours at invoice entry $18.81/hour to departmental entry. However, lack of temporary staffing may impact Finance's ability to conduct enhanced purchasing activities. NETWORK SERVICES 23. Eliminate Shifting $3,500 $3,500 $3,500 2 Cellular payment for Phone phone Accessories accessories such as Eliminating batteries and cellular cases to the phone departments accessories may encourage will save efficiencies $3,500 and reduce annually. these expenses. Note: Each department must add this expense to their budget. 24. Eliminate Eliminating $5,000 $3,800 $3,800 2 RIM BES Blackberry . Server phones and Maintenan replacing with ce. smart phones Eliminating will save RIM BES money on the B2-169 2011-13 Operating Cost Re. tion Options Finance & Information Technology server will RIM server save$3,800 maintenance. annually. 25. Eliminate There will only $3,000 $3,000 $3,100 2 Shoretel be a service New User impact if new Licenses. positions are Eliminating created or new Shoretel work groups new user are created. In licenses will this case,a save $3,000 license will in 2011-12 need to be and$3,100 purchased by in 2012-13. the department. 26. Reduce Shifting $26,000 $26,000 $26,000 2 MDC& payment for Laptop aircards to the Aircards. departments Reducing may encourage aircards for efficiencies mobile data and reduce computers these expenses. and laptops Note: Each will save department $26,000 must add this annually. expense to their budget SUPPORT SERVICES 27. Eliminate Shifting $16,900 $16,900 $16,900 5 Payment to payment for Parking staff parking in Fund for designated Employee City lots and Use of structures (Old Parking in Library, 919 Designated Basement,955 City Lots Morro& 842 and Palm) from the Structures. General Fund Eliminating to the Parking payment to Fund will have Parking no service Fund will impact. save $16,900 annualy. TOTAL $225,400 1 $180,600 B2-170 2011-13 Financial Plan Attachment BUDGETREDUCTION OPTION SUMMARY Human Resources Operating Cost Reductions Regular Annual Savings Service Staffing 2011-12 2012-13 Cateeory Reduce misc. office expenses 3,300 3,300 3 Reduce existing Contract Services to reflect actual cost. 700 700 3 Eliminate funding for a Learning Management System 7,700 7,700 3 Eliminate contract budget for consultant updating Safety Policies. 2,700 2,700 1 Reduce recruitment related expenses. 13,000 13,000 3 Eliminate the City contribution to PACE. 3,100 3,100 5 Reduce education and training. 4,700 4,700 3 Reduce temporary staffing in Wellness Program. 16,700 16,700 5 Reduce Employee Recognition budget to only provide one event. 5,500 5,500 5 Eliminate SLO Rideshare Lucky Bucks Program and Monetary Incentives. 8,000 8,000 5 Reduce Grants in Aid awards. 20,000 1 20,000 4 Eliminate City funding of Wellness blood draw analysis. 3,300 3,300 5 Reduce Grants in Aid by an additional$31,000 than already offerred. 31,000 31,000 4 Reduce Employee Recognition by another$5000 to not provide any events(1 5,000 5,000 5 Eliminate all funds for City-wide training and development activities. 13,200 13,200 3 Eliminate the Educational Reimbursement program. 13,500 13,500 3 Total Operating Cost Reductions - 151,400 151,400 B2-171 2011-13 Operating Cost Reduce- .i Options Attachment_ Human Resources Description Service Impact Temp Regular 2011-12 Annual Savings SOPC Service Staffing Staffing Budget Catep-ory 2011-12 2012-13 HUMAN RESOURCE ADMIN 1.Misc.Office No significant 3,000 3,300 3,300 3 Reducing various service impact. If (we (we non-staffing accounts costs increase,more have have in Office Supplies, funding could be merged merged Publications and needed. line line Subscriptions,Trips items) items) and Meetings will result in$3300 savings. Implement July 1, 2011. 2. Contract No service impact 82,600 700 700 3 Services Reducing as contract amounts existing contracts to have been verified accurately reflect for next two years. negotiated cost will result in$700 savings. 3.Eliminate funding The Cal JPIA is in 29,300 7,700 7,700 3 for a Learning the process of Management implementing a System. Eliminating Learning budget for a Learning Management Management System System that will saves $7700. meet our needs. Implement July 1, There is no 2011. additional cost to the City for use of this system. RISK MGMT 4. Safety Policies— The CalJPIA will 3,900 2,700 21700 1 Contract Services provide staff and Eliminating budget sample policies at for a consultant to no additional cost. update safety policies Some increased saves$2700. workload on City Implement July 1, staff. 2011. HUMAN RESOURCE ADMIN 5. Recruitment Reductions are 16,600 13,000 _ 11,000 3 Reducing various based on non-staffing expectation of fewer B2-172 2011-13 Operating Cost Redu& .i Options Human Resources recruitment related recruitments. expenses in Sufficient budget Advertising, remains to ensure Personnel Services, quality of Lab Services, and recruitments. Medical Services will However, if number result in$13,000 in of recruitments is savings. Implement higher than July 1, 2011. expected,more funding may be needed. 6.Eliminate the Little to no impact. 3,100 3,100 3,100 5 City contribution to Currently,PACE PACE (Professional has about$33,000 Association of City in excess reserves Employees). and does not need Eliminating the the City $3,100 annual contribution at this contribution to time to continue PACE. operating. Implement July 1, 2011. 7. Reducing Implementation of 29,300 4,700 4,700 3 Education and the Ca1JP1A Training saves Learning $4,700. Implement Management July 1,2011. System will make on line training more readily accessible at no cost. Online or low cost training methods are being utilized. If customized or in person training is necessary, funding will be limited. WELLNESS 8. Reduce The Wellness 0.4 16,700 16,700 16,700 5 Temporary Staffing program is in Wellness coordinated by the Program. Reducing Human Resources temporary staffing Administrative saves$16,700. Assistant with Implement July 1, staffing from unpaid 2011. Cal Poly interns. Staff believes this model of delivery is B2-173 2011-13 Operating Cost Reduc. .i Options Human Resources viable on an ongoing basis with only occasional paid temporary staffing. HUMAN RESOURCE ADMIN 9. Reduce Sufficient funding 14,000 5,500 5,500 5 Employee will remain in the Recognition. account to provide Reducing the for at least one City- Employee funded event per Recognition account year for all will save $5,500. employees. Implement July 1, 2011 10. Eliminate SLO Employees would 8,000 8,000 8,000 5 Rideshare Lucky no longer receive Backs Program and incentives for Monetary participating in SLO Incentives. Rideshare's Eliminate the$8,000 alterative budgeted for transportation participation in the program which may SLO Rideshare result in fewer users Program. of alternative Implement July 1, transportation,thus 2011. increasing traffic, pollution, etc. However,given the expected rise in gas prices,employees may continue to participate in alterative transportation even without the incentive. Program costs have increased due to increased participation. If Rideshare incentives are continued the budget must be increased from B2-174 2011-13 Operating Cost Reduc. .i Options Human Resources $5,000 to$8,000 per year. HUMAN RELATIONS 11. Grants in Aid. Reduces funds 126,600 20,000 20,000 4 Reducing Grants in available to assist Aid will save non-profit $20,000. Implement organizations who July 1,2011. provide human services to the community in times when other grant funding is being reduced. WELLNESS 12. Annual blood Employees may not 3,300 3,300 3,300 5 draw: Eliminate City participate in the funding of blood blood draw analysis draw analysis. and therefore not Implement July 1, identify potential 2011. health problems. HUMAN RELATIONS 13. Grants in Aid: Reduces funds 126,600 31,000 31,000 4 Reduce Grants in Aid available to assist by an additional non-profit $31,000 beyond the organizations who $20,000 already provide human offered. Implement services to the July 1,2011. community from $126,600($20,000 already offered)to $75,000. Note: further reductions to human services programs could include: Prado Day Center, currently$53,700; Water subsidies, currently$35,700, or Bus Passes, currently$11,300. HUMAN _. . RESOURCE ADMIN 14. Employee No City funded 14,000 5,000 5,000 5 B2-175 2011-13 Operating Cost Reduci. .j Options Attachment Human Resources Recognition. employee Reduce the Employee recognition event Recognition account provided causing by an additional potential negative $5,000. $5,500 impact on employee reduction in original morale and offer. Implement July organizational 1, 2011. health. 15.Education and Training would be 29,300 13,200 13,200 3 Training. limited to only Eliminate all funds programs provided for City-wide training by LCW and and development CJPIA. activities,except participation in Liebert, Cassidy, Whitmore consortium Implement July 1, 2011.. 16.Educational An average of 12 13,500 13,500 13,500 3 Incentive. employees Eliminate the participate in this Educational program per year Reimbursement and they would not Program Implement receive tuition July 1,2011. reimbursement. This could make continuing education unaffordable for some. TOTAL .4 151,400 151,400 B2-176 2011-13 Financial Plan BUDGET REDUCTION OPTION SUMMARY Parks & Recreation Department Operating Cost Reductions Regular Annual Savings Service Staffm 2011-12 2012-13 Category Reduce total number of memberships with SCMAF 200 200 5 Eliminate Batting Cage Supplies 1,500 1,500 4 Remove Batting Cage Alarm 1,600 1,600 4 Senior Newsletter Postage 1,500 1,500 4 Reduce supply of softballs for Adult Softball Program 2,500 2,500 4 Eliminate Scorekeepers for Adult Softball 0.73 14,000 14,000 4 Eliminate DOJ Fingerprinting Fees for Scorekeepers 300 300 4 Eliminate Assistance to San Luis Obispo YSA 20,000 20,000 5 Paperless Activity Guide 11,000 11,000 5 SLO Coastal Unified School District Fee Savings 6,700 6,700 4 Reduce Aquatic Temp Staffing(Physical Therapy Program) 0.20 4,000 4,000 4 Combine Rec Sports temp positions and reduce hours 0.42 4,000 4,000 4 Freeze Vacant Recreation Manager 1 1.001 123,100 1 123,400 1 3 Eliminate Youth Services Teacher Work Day&Spring Break Programl 0.25 3,000 3,000 4 Eliminate SLO Teens after school program at LagunaMiddle School 0.20 22,000 22,000 4 Total Operating Cost Reductions 1 2.351 215,400 1 215,700 B2-177 2011-13 Operating Cost Reduct_ __j Options ^.' kwachnu ant PARKS & RECREATION Description Service 2011-12 Temp Regular Annual Savings SOPC_ Service Impact Budget Staffing Staffing 201142 2012-13 Category Administration 1. Reduce Two 400 200 200 5 memberships with membershi Southern California ps will be Municipal Federation maintained (SCMAF). for Decrease memberships Recreation Department-wide from al Sports 4 to 2. staff. Savings of$200 for Little to no 2011-12 and$200 in impact 2012-13. 2. Eliminate Batting User 1,500 1;500 1;500 4 Cage Supplies. groups Eliminate funding for which have batting cage supplies. contracted The cages are currently use of the closed and only Batting operated by contracted Cages user groups. would have to provide Savings of$1,500 in supplies 2011-12 and$1,M0 in and routine 2012-13. maintenanc e for operations. Little to no impact 3. Remove Batting Existing 1,600 1,600 1,600 4 Cages Alarm. staff would Removing alarm need to equipment and services monitor the at the batting cages. facility on a more Savings of$1,600 in regular 2011-12 and$1,600 in basis and 2012-13. be available to respond problems. Moderate Impact. B2-178 2011-13 Operating Cost Reduct. Options Attachment PARKS & RECREATION 4. Senior Newsletter More 2,000 1,500 1,500 4 Postage. senior Reduced postage members required due to an have been increase in electronic receiving newsletters. the newsletter Savings of$1,500 in via email 2011-12 and$1,500 in which has 2012-13. reduced the need for mailings. Little to no impact. 5. Reduce supply of Number of 5,000 2,500 2,500 4 softballs for Adult softballs Softball Program. used per Change practice of night per using a new softball per game will game/per field to a new be reduced. softball per night/per field. Moderate impact. Savings of$2,500 in - 2011-12 and$2,500 in 2012-13. 6.& 7. Eliminate Umpires 14,300 .73 14,300 14,300 X 4 Score Keepers for will be (14,000 Adult Softball& tasked with for Associated keeping staffing; Fingerprinting Costs. score. One 1,500 for Eliminate all less staff fingerpri scorekeeper positions person will nting all for the adult softball be sports program($14,000). available to staff) Includes temporary respond to salary savings and potential associated issues. fingerprinting costs ($300). Moderate impact. Savings of$14,300 in 2011-12 and$14,300 in 2012-13. 8. Eliminate Grant Families 20,000 20,000 20,000 5 Funding to San Luis may have Obispo Youth Sports to pay Association higher fees (SLOYSA)for In- to Lieu Projects(per participate B2-179 2011-13 Operating Cost Reduct. Options PARKS & RECREATION JUA with San Luis in youth Coastal Unified sports School District). leagues in Amending JUA order to beginning July 2011 to offset eliminate grant funding continued for field improvements maintenanc and similar projects a and administered through field/turf SLOYSA. projects. Savings of$20,000 in SLCUSD 2011-12 and$20,000 in fields may 2012-13. not receive current level of maintenanc e and upgrades. Moderate Impact. 9. Paperless Activity Limits 26,100 11,000 11,000 5 Guide. access to Reduce the number of paper seasonal activity guides copies of printed and distributed. the Activity Increase use and Guide. distribution of Communit electronic activity y must guides as well as other come into marketing materials the Parks (i.e. leaflets,rack cards, and etc.) Recreation Office, call Savings of$11,000 in to request a 2011-12 and$11,000 in printed 2012-13. guide or view guide on-line. Potential risk of a loss of revenue due to decreased participatio n/registrati ons for B2-180 2011-13 Operating Cost Reduct_ .i Options Atachrib Gnt PARKS & RECREATION those without web access. Moderate Impact. 10. San Luis Coastal Future 87,400 6,700 6,700 4 Unified School expansion District Fee Savings. of uses will Decreased funding be limited. required for School District Use Fees based Little to no on current revised JUA impact. that reflects Department credits for middle school sports program and ranger service patrols. Savings of$6,700 in 2011-12 and$6,700 in 2012-13. 11. Reduce Aquatic Lifeguards 4,000 .20 4,000 4,000 4 temporary statTmg are no (total (Physical Therapy longer temporar Program). needed; y staffing Reducing temporary SLO allocated staffing line to Physical to compensate for Therapy Physical cancelled therapy has Therapy program. cancelled Program) their use. Savings of$4,000 in 2011-12 and$4,000 in No impact. 2012-13. 12. Combine Staffing 41,400 .4 4,000 4,000 4 Recreational Sports support for (total for Positions and reduce the both overall hours. Recreation sports Combine the Adult al Sports positions Sports Program division ) Coordinator and Youth will be Sports Specialist reduced by positions resulting in a 10 hours savings of$4,000 in per week. 2011-12 and$4,000 in 2012-13. Moderate impact. B2-181 2011-13 Operating Cost Redum. .i Options _. PARKS & RECREATION 13. Freeze Vacant See SOPC 123,100 1 123,100 123,400 X 3 Recreation Manager. for details. Freeze the vacant Recreation Manager Significant position which oversees Impact. Facilities, Aquatics, Rangers,and the Laguna Lake Golf Course and associated staff pending evaluation of reorganization opportunities with other City programs such as Natural Resources Annual Savings for the frozen position are $123,100 in 2011-12 and$123,400 in 2012- 13. 14.Eliminate Youth Net savings 3,000 .25 3,000 3,000 4 Services Teacher would be Work Day and Spring $3,000 Break childcare because Programs. full time permanent employee's costs would not be eliminated. There is presently significant cost recovery for these activities. The savings would come from reducing 5 Limited Benefit Temporary staff from 50 weeks per year to B2-182 2011-13 Operating Cost Reduce i Options A #ach6uO�� _ PARKS & RECREATION 48 weeks per year in their hours. There is likely to be significant parental response to this change. Staff would prefer to have the time to thoroughly evaluate this program reduction before eliminating it in total and had planned to do so during the 2011-12 Fiscal Year. Significant Impact. 15.Eliminate SLO This is the 30,000 .2 22,000 22,000 X 4 Teens (Teen After net savings School Program at from the Laguna Middle elimination School). of this program. It would reduce one Limited Benefits Temporary staff from 30 to 20 hours per week, would eliminate facilities and supply B2-183 2011-13 Operating Cost Reduce,.,--.d Options PARKS & RECREATION costs and other part time temporary staffing to serve this program. The full time youth services program employees (Youth Services Supervisor, Recreation Coordinato r)would remain in place to manage other youth services activities. As the Laguna Junior High School does not provide any activities for youth after school there could be unintended impacts to other City department s. Even though this program is currently under- performing , Staff would prefer to have the time to B2-184 2011-13 Operating Cost Reduct._ i Options PARKS & RECREATION evaluate this program thoroughly before eliminating it in total and had planned to do so during the 2011-12 Fiscal Year. Significant Empact. TOTAL 1.78 1 $215,400 $215,700 B2-185 PARKS AND RECREATi%_,N ELIMINATE ADULT SOFTBALL SCOREKEEPERS Request Summary Eliminating eight to ten part-time/temporary Adult Softball Score Keeper positions (City Worker 2) will save $14,300 annually. Key Objectives The temporary staffing reduction will reduce the Recreational Sports operating budget. Eidsting Situation: Factors Driving the Need for Change As part of the Citywide effort to minimize costs and expenditures and to address projected on-going budget gaps beyond 2013, the Parks and Recreation Department is tasked with identifying$201,400 in reduction options from our operating budget. Goal and Policy Links n/a Service Categorization Criteria 5--Other Program Work Completed n/a Environmental Review No environmental review required. Program Constraints and Limitations The purpose of the Score Keeper position is to keep track of the number of runs scored by each adult softball team during the course of a game as well as provide as needed back-up support to the Umpire. These duties can be absorbed into the Umpire's responsibility with little or no impact to the game. However, the ability for Umpires to respond to issues involving"crowd control"such as fighting,drinking or other inappropriate behavior will be drastically limited. Stakeholders Adult Softball umpires and participants. Implementation Eliminate Score Keepers and reduce temporary employee funding accordingly at the start of the 2011-13 Financial Plan. B2-186 PARKS-AND RECREATKA ELIMINATE ADULT SOFTBALL SCOREKEEPERS Key Program Assumptions The current need to reduce operating program costs outweighs the need to have two staff working at each Adult Softball game. The Adult Softball Umpires will be able to perform the duties of the Score Keeper with little or no impact to the game. Program Manager and Team Support Program Manager. Recreation Sports Supervisor. Operating Program Parks and Recreation Recreational Sports(60240) Cost Summary The salary cost savings would be approximately$14,000 annually. Line Item Descri 'on I Account No.1 2011-12 2012-13 Staffing 14,300 14,300 Temporary Staffing 60240 14,000 14,000 Medicare 60240 200 200 Uneniployment 60240 100 100 Total Operating Costs 14,300 14,300 B2-187 PARKSs , e n FREEZE RECREATION MANGER POSITION Request Summary Freeze the vacant Recreation Manger position. Evaluate possible reorganization with other City departments and programs, e.g.Natural Resources,during 2011-12. Savings of$123,100 for 2011-12 and$123,400 for 2012-13. Key Objectives Significant salary savings will be realized by continuing to leave this position vacant and will also reduce Parks and Recreation's administrative budget. Cross departmental synergies, increased efficiency, and improved provision of services to the public would be the minimum expected outcome from a possible reorganization. Existing Situation: Factors Driving the Need for Change As part of the Citywide effort to close a2011-13 on-going budget gap, and to address projected on-going budget gaps beyond 2013, the Parks and Recreation Department was tasked with identifying $201,400 in reduction options from its operating budget. Goal and Policy Links n/a Service Categorization Criteria 3 =Functions for Proper Organizational Management Program Work Completed n/a Environmental Review No environmental review is required. Program Constraints and Limitations As identified in the Parks and Recreation Department Organizational Assessment (completed in mid 2010), the most efficient and effective way for the Department to be organized includes an Administration Division that consists of a Department Head, 2 Recreation Mangers, 1 Analyst and 1 Supervising Administrative Assistant. In contradiction with the report's findings, the proposed freezing of the vacant (due to retirement in 2010) Recreation Manager position temporarily reduces the number of Recreation Mangers from two to one. The Organizational Assessment was based upon the department's programs, scope of work, and span of control and suggested that this ideal structure for the Administration Division provides parity among programs and divisions and eliminates any risks/challenges associated with some programs reporting directly to the Department Head and others to the remaining Recreation Manager. Freezing the Recreation Manager position results in a significantly higher workload for the administrative staff, particularly the Director who now has a span of control over 7 employees. Because it is such a critical position, all duties and responsibilities previously assigned to the Recreation Manger must be absorbed by existing staff; B2-188 PARKSA ■ , s s FREEZE RECREATION MANGER POSITION lM resulting in slower response times to both internal and external customers, limited resources to complete special or additional projects, and limited availability for supervision and support to Department staff as well as other City departments. There is a significant opportunity to evaluate a possible reorganization within the City such that the Natural Resources Program and the Rangers are co-located in one department. The evaluation of that reorganization,the pros and cons,and the manner in which it could be accomplished is recommended to be undertaken during 2011- 12. Once a thorough evaluation has been completed, and stakeholders,both internal and external have had time to provide input, staff can recommend the preferred outcome which could include: restructuring the position in a reorganization, filling the position as presently structured,or eliminating the position. Stakeholders The frozen position results in reduced services and support to both internal and external customers. Implementation Freeze the position at the start of the 2011-13 Financial Plan. Key Program Assumptions The need to reduce the operating program budget outweighs the value of the services and support provided by the Recreation Manager position. Program Manager and Team Support Program Manager. Parks and Recreation Director Project Team. Human Resources, Administration Alternatives 1. Continue the Status Quo. This would allow the Department to maintain the current service and support levels to internal and external customers. 2. Change the Scope of Request. The budget reduction could be achieved through other staffing reductions as outlined in the Organizational Assessment (re-classification of two Recreation Supervisors to Recreation Coordinators) or the reduction/elimination of limited-benefited temporary staff that assist program supervisors with the daily management of program operations. However, due to the Recreation Manager vacancy,the proposed reduction would cause the least strain on staff morale. Operating Program Parks and Recreation Administration(60 100) Cost Summary B2-189 PARKS■ , ■ FREEZE RECREATION MANGER POSITION Freezing the position will result in a cost savings of approximately$123,000 annually. Line Item Description Account No.1 2011-12 2012-13 Staffing 123,100 123,400 Annual Salary 100-60100-7010 79,400 79,400 PERS 100-60100-7040 25,700 26,000 Health Insurance 100-60100-7042 15,700 15,700 Unemployment 100-60100-7046 300 300 Medicare 100-60100-7044 1200 1,200 PARS 100-60100-7041 800 800 Total Operating Costs 123,100 123,400 B2-190 PARKS-AND RECREATi,#4 ELIMINATE THE TEEN AFTERSCHOOL PROGRAM AT LAGUNA MIDDLE SCHOOL Request Summary Eliminate the teen after school program at Laguna Middle School will save $22,000 annually. The program is currently open Monday through Friday(excluding holidays) from after school to 5:30 pm. Key Objectives Eliminating the program will reduce the Youth Services operating budget. Existing Situation: Factors Driving the Need for Change As part of the City wide effort to minimize costs and expenditures and to address projected on-going budget gaps beyond 2013, the Parks and Recreation Department was tasked with identifying reduction options from operating budgets. Goal and Policy Links Parks and Recreation Element and Master Plan Service Categorization Criteria 4--Mid Range Program Work Completed n/a Environmental Review No environmental review required. Program Constraints and Limitations Laguna Middle School does not provide any activities for youth after school,therefore the elimination of this program could have unintended impacts to other City departments. In addition, the elimination of this program would be in contradiction to the Parks and Recreation Element(3.10)which identifies teen programming as a major goal in fulfilling the unmet needs of the community. The net savings from the elimination of this program would come from the reduction of one Limited Benefit Temporary staff from 30 to 20 hours per week,elimination of other part time temporary staff(line staff who work directly with the youth)and would eliminate associated non-staffing costs(facilities and supplies). The full time youth services program employees(Recreation Supervisor and Recreation Coordinator) would remain in place to manage other youth services programs, activities and events. Stakeholders Laguna Middle School students and families San Luis Coastal Unified School District administration and employees B2-191 PARKS AND RECREATi.N ELIMINATE THE TEEN AFTERSCHOOL PROGRAM AT LAGUNA MIDDLE SCHOOL San Luis Obispo Police Department San Luis Obispo community members and businesses Implementation Eliminate the program and corresponding funding at the start of the 2011-13 Financial Plan Key Program Assumptions The current need to reduce operating program costs outweighs the need and benefit of having a safe and supervised place for youth to be during the afterschool hours when the youth crime rate is at its highest. Program Manager and Team Support Program Manager. Recreation Supervisor,Youth Services Operating Program Parks and Recreation Youth Services(60250) Cost.Summary The salary cost savings would be approximately$22,000 annually. Uneniployment 100-60250-7046_ . _ 200 200 PERS 100-60250-7040 1 3,500 3,500 Non Staffing Facility Use Fees 100-60250-7701 1,400 1,400 Supplies 100-60250-7843 3,000 3,000 Loss of Revenue Pro am Fees 100-45650 1700 1,700 Total Operating Costs 22,000 22,000 B2-192 2011-13 Financial Plan_ Adak POLICE Operating Cost Reductions Regular Annual Savings Service Statin 2011-12 2012-13 Cateeory Reduction in various Operating Materials 600 600 2 Elimination of Annual Fee-Verizon 800 800 2 Reduction in Custom Design Software 300 300 2 Elimination of Haines telephone directory 1,300 1,300 2 Reduction in Spillman annual maintenance 900 0 1 Reduction in Operating Supplies 2,500 2,500 2 Consolidate Bio Hazardous Waste Container w/Fire Dept 1,000 1,000 1 Consolodate Bio Hazardous Waste Removal w/Fire Dept 1,400 1,400 1 Reduction in Locks/Flags/Holding Cells Blanket cleaning 500 500 3 Reduction in Postage-On Trac 200 200 3 Reduction of Employee Recognition 1,000 1,000 5 Reduction in Janitorial Services 1,000 1,000 3 Reduction in Trips/Offsite Meetings 700 700 1 Reduction in Onsite Meetings 300 300 1 Reduction in Printing&Reproduction-Thermal Paper 4,000 0 3 Reduction in Water service 1,500 1,100 3 Reduction in Sewer Service 2,200 1,900 3 Reduction in Electricity-Public Safety Comm.Center 11,000 8,900 3 Reduction in Electricity-Police station& 1016 Walnut office 16,000 13,400 3 Reduction in Weapons Inspection costs(will do in-house) 1,000 1,000 2 Reduction in Protective Clothing/Utility Uniform 1,200 1,200 2 Reduction in Gun Belts and Accessories purchases 1,000 1,000 2 Reduction in Tactical Helmet purchases 600 600 2 Reduction in POST Training 10,000 10,000 1 Reduction in Contract Services-polygraph exams 1,800 1,800 1 Reduction in Contract Services-psych testing 4,000 4,000 1 Eliminate Field Service Technician(vacant in year 2) 1.0 0 118,800 3 Eliminate vacant Police Officer position(reduce SORT team) 1.0 146,700 147,800 2 Eliminate vacant Police Officer position(eliminate SRO/DARE programs at elementary schools) 1.0 146,700 147,800 4 Eliminate vacant Communication Technician position 1.0 1 106,900 107,200 2 Eliminate vacant Sergeant position(eliminate SORT supervisor& SORT team) 1.0 185,300 191,800 2 Eliminate vacant Police Officer position(eliminate SORT team) 1.0 146,700 147,800 2 Eliminate employee recognition for SNAP employees 400 400 5 Reduce employee recognition for regular employees 3,000 3,000 5 Eliminate SLO Solutions Community Program 14,800 14,800 5 Eliminate Bicycle Rodeo education progam 4,600 4,600 4 Reduce crime prevention,education,&outreach 15,000 15,000 3 Reduce training&professional associations 15,000 15,000 1 Total Operating Cost Reductions 6.0 851,900 970,500 B2-193 2011-13 Operating Cost 1%.duction Options ������ ��� ✓ POLICE DEPARTMENT Description Service Impact Temp Regular 2011-12 Annual Savings SOPCS Service Staffing Staffing Budget Category 2011-12 1 2012-13 POLICE ADMINISTRATION _ 1. Reducing various Reduced budget for 382,600 54,200 44,800 3 non-staffing polygraph exams and accounts in psychological testing for contract services, applicants.Reduction in training,and training budget will result utilities will save in fewer specialized $54,200 in 2011-12 training courses available and$44,800 in to employees;legal 2012-13. mandates and essential skills training will still be accomplished. Electricity budget for police facilities was reduced to reflect anticipated usage and conservation measures. PATROL SERVICES 2. Reducing non- Reduction in new and 33;500 3,800 3,800 2 staffing equipment replacement protective accounts will save clothing,gun belts and $3,800 each year. safety equipment due to fewer officers being hired. INVESTIGATIVE-SERVICES 3. Reducing non- Savings in bio hazardous 6,900 2,400 2,400 1 staffing contract waste removal was services accounts realized after partnering will save$2,400 with the Fire Department each year. to share their existing contract service. SUPPORT SERVICES 4. Reducing non- Fewer items of dispatch 92,000 5,800 4,900 2 staffing equipment equipment will need accounts will save replacement due to the $5,800 in 2011-12 implementation of new and$4,900 in technology in the 2012-13. emergency communications center. TRAFFIC SAFETY 5. Reducing non- Minor reduction-no 1,400 600 600 2 staffing equipment direct service impact. accounts will save $600 each year. B2-194 2011-13 Operating Cost'►._duction Options WM��ff �6�� POLICE DEPARTMENT PATROL SERVICES 6. Eliminating one Employee holding this 1.0 119,700 0 118,800 X 3 vacant Field position plans to retire in Service Technician 2012.The duties of this position effective position will need to be July 1,2012 will re-distributed to other save$118,800 in employees or eliminated. 2012-13(regular Further explanation is staffing-vacant). provided in the SOPC. INVESTIGATIVE SERVICES 7. Eliminating one Staffing of the Situation 1.0 146,700 146,700 147,800 X 2 vacant Police Oriented Response Team Officer position (SORT)would be reduced effective 7-1-11 from three officers to two will save$146,700 which will result in in 2011-12 and decreased ability to $147,800 in 2012- respond to crime 13(regular staffing problems and major —vacant). investigations. Further explanation is provided in the SOPC. 8. Eliminating one One of the two School 1.0 146,700 146,700 147,800 X 4 vacant Police Resource Officer Officer position positions will be effective 7-1-11 eliminated,resulting in will save$146,700 the elimination of the in 2011-12 and DARE program and very $147,800 in 2012- significant reduction in 13(regular staffing school resource services —vacant). to the middle school and six elementary schools. Further explanation is provided in the SOPC. SUPPORT SERVICES 9. Eliminating one The number of 1.0 106,900 106,900 107,200 X 2 vacant communications Communications technicians(dispatchers) Technician position assigned to shifts will be effective 7-1-11 reduced,resulting in will save$106,900 increased overtime at in 2011-12 and peak hours, longer hold $107,200 in 2012- and dispatch times for 13(regular staffing non-emergency calls,and —vacant). delays in data entry. Further explanation is provided in the SOPC. B2-195 2011-13 Operating Cost K..duction Options POLICE DEPARTMENT INVESTIGATIVE SERVICES 10. Eliminating one The department will be 1.0 185,300 185,300 191,800 X 2 vacant Sergeant unable to effectively position effective supervise and staff the 7-1-11 will save SORT team;therefore the $185,300 in 2011- SORT team will be 12 and$191,800 in eliminated.The ability to 2012-13(regular respond to crime trends staffing—vacant). and major investigations will be significantly impacted and the workload of other employees will increase. Further explanation is provided in the SOPC. 11. Eliminating one The department will be 1.0 146,700 146,700 147,800 X 2 vacant Police unable to effectively staff Officer position the SORT team;therefore effective 7-1-11 the SORT team will be will save$146,700 eliminated.The ability to in 2011-12 and respond to crime trends $147,800 in 2012- and major investigations 13(regular staffing will be significantly —vacant). impacted and the workload of other employees will increase. Further explanation is provided in the SOPC. NEIGHBORHOOD SERVICES 12. Eliminating Employee recognition 400 400 400 5 employee activities for SNAP recognition will employees will be save$400 each eliminated.Employee year. morale will likely be impacted. POLICE ADMINISTRATION 13. Reducing Further reduction in 5,000 3,000 3,000 5 employee employee recognition recognition account funds will virtually will save$3,000 eliminate recognition each year. activities for employees, other than small recognitions for key events.Employee morale will likely be impacted. B2-196 2011-13 Operating Cost 1.-duction Options POLICE DEPARTMENT NEIGHBORHOOD SERVICES 14. Eliminating The SLO Solutions 14,800 14,800 14,800 5 funding for the program is a high priority SLO Solutions for the Student program(contract Community Liaison services)will save Program(SCLC)and is $14,800 each year. jointly funded by the City, Cal Poly and Cuesta. The elimination of the City contribution toward the SLO Solutions conflict resolution program would likely result in the program not being sustainable.Police involvement in neighborhood conflicts would increase with no readily available program to offer alternative conflict resolution services.Training workshops for residents and City staff would be eliminated. TRAFFIC SAFETY 15. Reducing traffic The Bicycle Rodeo 4,600 4,600 4,600 4 safety education education program for will save$4,600 children would be each year eliminated which would significantly reduce education efforts related to bicycles. NEIGHBORHOOD SERVICES 16. Reducing crime The ability to create and 23,800 15,000 15,000 3 prevention and disseminate educational education/outreach material regarding City material will save ordinances,neighborhood $15,000 each year. expectations,crime prevention,and major event notifications(such as messaging in advance of Halloween)will be severely curtailed. Residents may not receive important information regarding crime trends and ordinances that contribute to neighborhood quality. B2-197 2011-13 Operating Cost P_juction Options ttachment 5 POLICE DEPARTMENT 7- POLICE ADMINISTRATION 17. Reducing funding Further reduction in non- 19,200 15,000 15,000 1 for training and mandated training and professional professional associations associations will will result in:lower level save$15,000 each of training for employees; year. elimination of attendance at several training conferences;elimination of membership in some professional associations. The ability of employees to stay current with emerging issues and trends will be reduced and employee development opportunities will be curtailed. GRAND TOTAL 0 6.0 8519900 970,500 B2-198 :PUBLIC SAFETY ELIMINATION OF POLICE FIELD SERVICES TECFINICIAN POSITIO Request Summary Eliminating one Police Field Services Technician position effective July 1, 2012,will save $118,800 in 2012-13 (regular staffing-vacant). Key Objectives Reduce on-going projected budget gap by reducing staffing levels. Existing Situation: Factors Driving the Need for Change As part of the Citywide effort to close a 2011-13 annual budget gap of$3 million, and to address projected on- going budget gaps beyond 2013, the Police Department is tasked with identifying$894,300 in reduction options from our operating budget. One of the Police Department's non-sworn Field Services Technicians (FST) plans to retire by the end of FY 2011-12. The Department has a total of three FST positions; one is assigned exclusively to the handling and processing of evidence and property and the other two are assigned to various duties in the field at the Police Department (the FST retiring is one of the two assigned to field duties). There duties include,but are not limited to: • Coordinating fleet repair requests and service of police vehicles. • Responding to traffic collisions for traffic control and report documentation. • Daily delivery of documents to and from the criminal court and various City offices. • Ordering of supplies and equipment • Investigating and pursuing abatement of nuisances on private property in coordination with code enforcement officers. • Towing vehicles in violation of parking and other laws. • Processing bookings of offenders pursuant to Court order. • Fingerprinting applicants for City positions. • Checking and installing infant and child car seats for members of the public. The elimination of an FST position will require the redistribution of these duties to other employees in the Police Department and potentially in other departments. Some duties may need to be done less frequently or may need to be eliminated all together. If the position is eliminated, staff will work with the retiring employee to identify the frequency and time for each task and develop a mitigation plan. Goal and Policy Links 1. Fiscal sustainability of City. 2. Meeting Police Department reduction option target for 2011-13. Service Categorization Criteria The field FST positions are included in Patrol Services. The duties performed by the FST span a number of different activities,most of which were assigned service prioritization category 3 (High Mid-Range—Proper Organizational Management or Typical Services Expected by Community). B2-199 IPUBLIC SAFETY ELIMINATION OF POLICE FIELD SERVICES TECHNICIAN POSITION Program Work Completed None Environmental Review No environmental review is required. Program Constraints and Limitations The redistribution of duties assigned to this position will potentially cause an increase or shift in workload for other employees. Certain services performed that benefit the public, such as the towing of vehicles,or car seat installation may need to be reduced or eliminated. Stakeholders Other employees in the Police Department and other City departments may be affected. Some members of the public may be impacted by service reductions. Implementation Date 1. Eliminate Field Services Technician position July 1 2012 Key Program Assumptions The elimination of this position assumed the employee currently in the position actually does retire by June 30, 2012. The employee has assured the Police Chief that his plans are firm so his position could be considered a reduction option. Alternatives The position could be reduced to a half-time position in order to help mitigate the impact. This option would not realize as much savings for the City. Operating Program Police Patrol (80200) BZ-200 IPUBLIC SAFETY ELIMINATION OF POLICE FIELD SERVICES TECHNICIAN POSITION Attachment S Cost Summary Line Item Description Account No.F 2011-12201243 Staffing-Field Services Technician 0 1181800. Salaries-Regular 100-80200-7010 0 79,900 Retirement Contributions 100-80200-7040 0 18,300 Health and Disability Insurance 100-80200-7042 0 15,500 Medicare 100-80200-7044 0 0 Unemployment Insurance 100-80200-7046 0 300 Holiday 100-80200-7016 0 3,800 Uniform 100-80200-7018 0 1,000 Total Operating Costs 0 118,800 B2-201 echnPUBLIC SAFETY ��� 5 REDUCTION OR ELIMINATION OF SITUATION ORIENTED RESPONSE TEAM (SORT) Request Summary Eliminating part or all of the Situation Oriented Response Team (SORT) effective July 1, 2011, will save between $146,700 and $478,700 in 2011-12 and between $149,700 and $487,400 in 2012-13 (elimination of either one or two vacant police officer positions and/or one vacant police sergeant position). Key Objectives Reduce on-going projected budget gap by reducing staffing levels. Existing Situation: Factors Driving the Need for Change As part of the Citywide effort to close an ongoing budget gap and to address projected on-going budget gaps beyond.2013, the Police Department is tasked with identifying $894,300 in reduction options from our operating budget. The Situation Oriented Response Team (SORT) is comprised of three police officers and one sergeant (supervisor)who are assigned as plain clothed investigators. The primary duties of SORT include: • Investigation of narcotic and vice related crimes in the City • Conducting surveillance related to a variety of crimes,including violent crime and major fraud cases. • Specialized response to crime trends, such as burglaries and neighborhood crimes. • Assisting with and conducting major investigations such as homicides, assaults, robberies and weapons violations. • Conducting alcohol and tobacco sales compliance operations. • Conducting plain clothed operations related to major deployments, such as at Halloween and beginning of the school year. One of the police officer positions currently assigned to SORT is currently vacant. Elimination of this position will result in a reduced ability of the team to conduct the duties outlined above; however SORT would continue to operate with reduced staff and no officers would be reassigned. The Police Department also has two other vacant police officer positions (in addition to the vacant police officer position assigned to SORT mentioned above). Based on service priorities and staffing needs, staff has determined that if the two remaining vacant officer positions are eliminated, the department would eliminate one of the School Resource Officer positions (further explained in a separate SOPC) and another SORT position. These actions are necessary to ensure the patrol function maintains existing staffing levels. Officers currently in special assignments that are eliminated would be reassigned so that patrol positions are not eliminated. Should all three vacant officer positions be eliminated, the SORT team as a whole would be eliminated since it is not feasible to operate the team with only one investigator. In addition to the officer vacancies, the department has a vacant Sergeant position. Sergeants provide direct supervision of line-level employees. Based on service priorities and staffing needs, staff has determined that if the vacant Sergeant position eliminated, the Department would eliminate the SORT Sergeant position. This will result in the elimination of the SORT team since it is not feasible or safe to operate the team without a field supervisor. B2-202 PUBLIC SAFETY REDUCTION OR ELIMINATION OF SITUATION ORIENTED RESPONSE TEAM(SORT) The elimination of the SORT team will have a significant impact in that many of the duties outlined above will either not be performed, will need to be performed by other employees, or the department will need to depend on other agencies to provide these services. For example, when a trained surveillance team is needed on a major investigation, staff will need to request assistance from either the Sheriff's Department or the Narcotic Task Force, both of which will be operating with reduced budgets. Fewer investigators will be available to investigate complex crimes and there will be a significant reduction in the investigation of narcotic and vice related crimes in the City. The Police Department's ability to respond to crime .trends using specialized resources will be very limited. The elimination of a Sergeant position will have additional impacts beyond the loss of SORT. Administrative duties conducted by the SORT Sergeant will need to be shifted to other employees causing an increase in workloads which will potentially affect other programs. The department-will have one fewer supervisor to fill in when other supervisors are absent due to illness or other leave which will likely result in an increase in overtime. Goal and Policy Links 1. Fiscal sustainability of City. 2. Meeting Police Department reduction option target for 2011-13. Service Categorization Criteria The SORT positions are included in the Investigative.Services division and were assigned service prioritization category 2(High—Health and Safety/Essential Services). Program Work Completed None Environmental Review No environmental review is required. Program Constraints and Limitations The redistribution of duties assigned to these positions will cause an increase or shift in workload for other employees. Certain services performed would be eliminated. Stakeholders 1. Other employees in the Police Department and other City departments. 2. Members of the community. Implementation Task Date 1. Eliminate vacant positions andpotentially the SORT program July 2011 B2-203 PUBLIC SAFETY REDUCTION OR ELIMINATION OF SITUATION ORIENTED RESPONSE TEAM (SORT) Key Program Assumptions The elimination of these positions and potentially the SORT team (depending on how many positions are eliminated) is based on the assumption that the Police Department will not eliminate positions from the patrol division,traffic unit,or detective bureau in order to maintain existing staffmg of these core functions. Alternatives The police officer and sergeant positions could be eliminated from other programs in the department. Staff has done an extensive analysis of the impacts of eliminating positions in each program area and has determined that the recommended reduction options are the most feasible to mitigate the impacts on the public and other employees, and are most consistent with Council goals. Operating Program Investigations(80300) Cost Summary Line Item Description Account No 2011-12 2012-13 Staflin -Vacant Sergeant 185 300 191,800 Salaries-Regular 100-80300-7010 114,100 117,500 Retirement Contributions 100-80300-7040 47,000 49,900 Health and Disability Insurance 100-80300-7042 15,300 . 15,300 Medicare 100-80300-7044 1,700 1,800 Unemployment Insurance 100-80300-7046 500 500 Holiday 100-80300-7016 5,700 5;800 Uniform 100-80300-7018 1,000 . 1,000 Staffing-Vacant Officer 146,700 147,800 Salaries-Regular 100-80300-7010 88,000 88,000 Retirement Contributions 100-80300-7040 36,300 37,400 Health and Disability Insurance 100-80300-7042 15,300 15,300 Medicare 100-80300-7044 1,400 1,400 Unemployment Insurance 100-80300-7046 300 300 Holiday 100-80300-7016 4,400 4,400 Uniform 100-80300-7018 1,000 1,000 Staffing-Vacant Officer 146,700 147,800 Salaries-Regular 100-80300-7010 88,000 88,000 Retirement Contributions 100-80300-7040 36,300 37,400 Health and Disability Insurance 100-80300-7042 15,300 15,300 Medicare 100-80300-7044 1,400 1,400 Unemployment Insurance 100-80300-7046 1300 300 Holiday 100-80300-7016 4,400 4,400 Uniform 100-80300-7018 1,000 1,000 Total Operating Costs 478,700 487,400 B2-204 5 PUBLIC SAFETY ELIMINATION OF POLICE OFFICER POSITION (SRO/DARE) Request Summary Eliminating one vacant Police Officer position effective July 1, 2011, will save $146,700 in 2011-12 and $147,800 in 2012-13 and will result in the elimination of DARE and SRO services to the elementary schools and middle school. Key Objectives Reduce on-going projected budget gap by reducing staffing levels. Existing Situation: Factors Driving the Need for Change As part of the Citywide effort to close an ongoing budget gap and to address projected on-going budget gaps beyond 2013, the Police Department is tasked with identifying $894,300 in reduction options from our operating budget. The Police Department funds two School Resource Officer (SRO) positions that are responsible for various duties related to the K-12 schools in the City. The positions are filled by police officers who have been specially selected for the assignments. One SRO primarily handles issues related to the high school, including security planning, investigations involving students (on and off campus), early intervention meetings, curfew hearings, resource and liaison with school staff, and response to calls for service at the school. This position is not being suggested for elimination. The second SRO position provides these same duties at the middle school and all six public elementary schools in the City, as well as delivering the DARE program to the elementary schools. If a vacant police officer position is eliminated, the Police Department will no longer be able to staff the special assignment position that provides DARE and SRO services to the elementary schools and middle school. The officer currently in this assignment would not be laid off; rather they would be reassigned so that the patrol function is maintained at existing staffing levels. The elimination of this SRO/DARE position will require the Department to discontinue the DARE program, which has been offered to sixth grade classes in the City for many years. Staff continually receives very positive feedback about the program from parents, students, teachers, and principals. The program teaches important life lessons about making safe and wise choices regarding drugs, gangs, bullying, and other challenges faced by our youth. The SRO/DARE officer acts as an important resource for school staff at the elementary and middle schools in dealing with students with behavioral problems or who have committed crimes. The officer responds to assist with children who are out of control or who leave campus unattended and without permission, placing them at risk.Overall, the presence of both SROs in the schools contributes to the safety of the schools,prevents crimes and incidents or keeps them from escalating, and provides a very positive connection between the students, school staff,and police. The elimination of the position will increase the workload of the high school SRO, as well as patrol officers and investigators who will need to respond to calls and conduct investigations currently handled by the SRO/DARE officer. Goal and Policy Links 1. Fiscal sustainability of City. 2. Meeting Police Department reduction option target for 2011-13. B2-205 PUBLIC SAFETY ELIMINATION OF POLICE OFFICER POSITION(SRO/DARE) Service Categorization Criteria The SRO positions are included in the Investigative Services division and were assigned service prioritization category 4(Mid-Range). Program Work Completed None Environmental Review No environmental review is required. Program Constraints and Limitations The redistribution of duties assigned to this position will cause an increase or shift in workload for other employees. Certain services performed would be eliminated entirely, such as the DARE program. Response to certain calls for service related to the schools could be delayed. Stakeholders 1. Other employees in the Police Department and other City departments. 2. Students receiving the DARE education program and their parents. 3. School staff,especially in the elementary and middle school. Implementation Task Date 1. Eliminate one vacant Police Officer position and discontinue DARE program and July 2011 portion of SRO program. Key Program Assumptions The elimination of this position is based on the assumption that the position will not be funded by the school district. The district is not in a position at this time to commit funding for the position; however they are willing to consider it depending on the feedback received from stakeholders regarding the potential loss of this position. Alternatives There is a possibility that the delivery of the DARE program could be offered by someone other than a full-time police officer, however this concept is not consistent with the core tenants of the program and the Department has not had an opportunity to explore this alternative. Operating Program Investigations(80300) B2-206 ,PUBLIC SAFETY ELIMINATION OF POLICE OFFICER POSITION(SRO/DARE) Cost Summary Line Item Desc ' tion Account No. 2011-12 2012-13 Staf6n -Vacant Officer _. 146,700 147,800 Salaries-Regular 100-80300-7010 88,000 88,000 Retirement Contributions 100-80300-7040 36,300 37,400 Health and Disability Insurance 100-80300-7042 15,300 15,300 Medicare 100-80300-7044 1,400 1,400 Unemployment Insurance 100-80300-7046 300 300 Holiday 100-80300-7016 4,400 4,400 Uniform 100-80300-7018 1,000 1,000 Total Operating Costs 146,700 147,860 B2-207 PUBLIC SAFETY ELIlVIINATION OF COMMUNICATIONS TECHNICIAN POSITION Request Summary Eliminating one vacant Police Communications Technician position effective July 1, 2011,will save $106,900 in 2011-12 and$107,200 in 2012-13 (regular staffing-vacant). Key Objectives Reduce on-going projected budget gap by reducing staffing levels. Existing Situation: Factors Driving the Need for Change As part of the Citywide effort to close an ongoing budget gap and to address projected on-going budget gaps beyond 2013, the Police Department is tasked with identifying $894,300 in reduction options from our operating budget. The Police Department currently has eleven authorized Communications Technician (dispatcher) positions and two Communications Supervisor positions. These positions provide 24/7 staffing of the Public Safety Communications Center. One of the existing Communications Technician positions is currently vacant. This position was added in FY 2007-08; however it has been vacant for the past year in anticipation of potential staffing reductions. Elimination of this position will have several impacts both internally and to the public.Fewer dispatchers will be on-duty on the weekend night shift which will result in callers reporting non-emergencies being placed on hold for longer periods of time. For example, most reports of noise violations and alcohol offenses occur on weekend nights. Callers reporting a noise complaint may be placed on hold while dispatchers are handling emergency and higher priority calls. This may delay the dispatching of officers to non-emergency calls. The Communications Supervisor assigned to the night shift will need to assist more often with answering phones and dispatching police and fire units at peak times.This will result in less time for the supervisor to complete other duties,such as required audits and training. Because fewer dispatchers will be working, the use of overtime will likely increase to backfill for dispatchers who are absent due to illness or other leave. Goal and Policy Links 1. Fiscal sustainability of City. 2. Meeting Police Department reduction option target for 2011-13. Service Categorization Criteria Communications Technician positions are included in Support Services and were assigned service prioritization category 2 (High—Health and Safety/Essential Services). Program Work Completed None Environmental Review No environmental review is required. Program Constraints and Limitations B2-208 PUBLIC ELIMINATION OF COMMUNICATIONS TECHNICIAN POSITION The redistribution of duties assigned to this position will cause an increase in workload for other employees. Impacts to the public include longer call hold and response times for non-emergency calls. Stakeholders Other employees in the Police Department and other City departments may be affected. Some members of the public may be impacted by service reductions. Implementation Date Fl. - - 1. Eliminate vacant Communications Technician position July 2011 Key Program Assumptions None Alternatives The position could potentially be reduced to a half-time position in order to help mitigate the impact. This option would not realize as much savings for the City. The recruitment and training of a half-time Communications Technician could present a challenge, especially the length of time to fully train a new employee who is only working half-time. Operating Program Support Services(80400) Cost Summary Line Item Description Account No.1 2011-12 2012-13 Staffing-Vacant Comm Tech 106,900 107,200_ Salaries-Regular 100-80400-7010 69,300 69,300 Retirement Contributions 100-80400-7040 16,200 16,500 Health and Disability Insurance 100-80400-7042 15,500 15,500 Medicare 100-80400-7044 1,100 1,100 Unemployment Insurance 100-80400-7046 300 300 Holiday 100-80400-7016 3,500 3,500 Uniform 100-80400-7018 1,000 1,000 Total Operating Costs 106,900 107,200 B2-209 2011-13 Financial Plan Attachment -BUDGET • •- • PUBLIC WORKS DEPARTMENT Operating Cost Reductions Regular Annual Savings Service Starriin 2011-12 2012-13 Category Public Works Admin division Reduce Operating Materials&Supplies 400 400 3 Public Works Admin division Eliminate Data Processing 400 400 3 Building Maintenance division Eliminate Data Processing 400 400 3 Streets Maintenance division Eliminate Insecticides&Herbicides 200 200 2 Signal and Lights division Eliminate Cement&Concrete Mix 300 300 3 Streets Maintenance division Reduce Small Tools 1,000 1,000 2 Public Works Admin division Reduce Postage 1,000 1,000 3 Signal and Lights division Reduce Electrical Supplies 1,000 1,000 1 Public Works Admin division Eliminate Overtime 1,000 1,000 3 Signals and Lights division Reduce Operating Materials&Supplies 1,500 1,500 1 Streets Maintenance division Eliminate Data Processing 1,700 1,700 2 Fleet Maintenance division Reduce Special Equipment Installation 1,900 1,900 2 Streets Maintenance division Reduce Paint Supplies 2,000 2,000 2 Streets Maintenance division Reduce Signs 2,000 2,000 2 Streets Maintenance division Reduce Construction Equipment 2,000 2,000 2 Building Maintenance Eliminate Office Equipment 3,900 3,900 3 Streets Maintenance division Eliminate Sidewalk Repair Contracts 5,000 5,000 2 Building Maintenance division Reduce Gas Utility 5,300 5,300 3 Signal and Lights division Reduce Equipment Maintenance 5,000 5,000 1 Building Maintenance division Reduce Electrical Utility 15,000 15,000 3 Building Maintenance division Reduce HVAC Contract Services 15,700 15,900 3 Street Maintenance division Reduce Trash Services 20,000 20,000 2 Storm Water division Reduce Temporary Salaries for GIS Intern 0.18 4,600 4,600 1 Storm Water division Reduce Regular Salaries for GIS Specialist position 0.25 27,200 27,200 1 Development Review division Reduce Temporary Salaries 0.16 27,000 27,100 1 Public Works Admin division Eliminate Publications&Subscriptions 600 600 3 Streets Maintenance division Eliminate Professional Conferences 400 400 2 Public Works Admin division Reduce Education&Training 500 500 3 Public Works Admin division Reduce Association Dues 1,100 1,100 3 Streets Maintenance division Reduce Trips&Meetings 600 600 2 Signals and Lights division Reduce Education&Training 700 700 1 Building Maintenance division Reduce Trips&Meetings 800 800 3 Streets Maintenance division Reduce Education&Training 800 800 2 Public Works Admin division Reduce Printing&Reproduction 1,600 1,600 3 Signals and Lights division Reduce Equipment Replacement Parts 20,000 20,000 3 Tree Maintenance division Reduce Regular Salaries by Eliminating 1.0 FTE PW Maintenance Supervisor position 1.00 59,600 59,900 3 Public Works Admin division Reduce Employee Recognition 2,500 2,500 3 Building Maintenance division Reduce Contract Services for Janitorial Services (task reduction) 3,200 3,200 3 Building Maintenance division Reduce Contract Services for Janitorial Services(Frequency Reduction @ City Hall) 6,300 6,500 3 Building Maintenance division Reduce Contract Services for Janitorial Services(Frequency Reduction @ various locations) 11,400 11,600 3 Public Works division Reduce Office Supplies 1,700 1,700 3 Transportation Division Reduce Regular Salaries by.5 FTE(Principal Transportation Planner transferred to Parking Enterprise Fund) 0.50 64,700 64,900 4 Development Review division Reduce Regular Salaries by.25 FTE Permit Technician Position 0.25 18,300 18;300 1 B2-210 Attechme�t S Regular AnnualSavings Service Staniu 2011-12 2012-13 Category Public Works Admin division Reduce Laundry&Linen Service Contracts for Public Works General funded programs 19,300 19,300 3 Public Works Admin division Reduce Temporary Salaries 0.35 23,400 23,500 3 Parks Maintenance division Reduce City Water Services by 10% 52,700 57,500 3 Transportation Division Reduce Temporary Salaries 0.75 33,500 33,500 1 Parks Maintenance Reduce Temporary Salaries that provide the Downtown Farmer's Market Portable Restrooms 0.38 12,300 12,700 3 Streets Maintenance division Eliminate Contract Services for Downtown cleaning 29,000 29,600 2 Streets Maintenance division Reduce Regular staffing by.5 FTE Maintenance Worker providing Downtown street cleaning 0.50 31,400 31,500 3 CIP Engineering division Reduce Regular Salaries by Eliminating 1.0 FTE PW Engineering Inspector position 1 1.00 99,9001 104,600 1 Total Operating Cost Reductions 1 5.32 1 641,8001 653,700 B2-211 2011-13 Operating Cost Reduction Options PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 SOPC Category Public Works Department 1. PW Admin Temporary 600 400 400 3 division staff assistance Reduce will not receive Operating parking Materials& validation from Supplies Department. budget. Computer supplies and Reduction in furniture will non-staffing need to come operating from surplus. materials budget by $400 annually. Effective July 1, 2011. 2. PW Admin This reduction 400 400 400 3 division will have no Eliminate impact to Data services Processing provided as budget. FoxPro programming Eliminate Data services have Processing been eliminated funds of$400 due to annually. implementation of EnerGov. Effective.July 1, 2011. 3. Building There will be 400 400 400 3 Maintenance no service Division impacts Eliminate associated with Data this reduction. Processing The City is budget. currently in the process of Eliminate Data FoxPro Processing database funding of conversion $400 annually. project with EnerGov. Effective July 1, 2011. 4. Streets No service 200 200 200 2 B2-212 2011-13 Operating Cost Reduction Options PUBLIC WORKS DEPARTMENT Attachment Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 SOPC Category Maintenance impact is Division anticipated as Eliminate this work is Insecticides& rarely done, Herbicides and if materials budget. are needed, these minor Eliminate costs will be insecticide and paid from the herbicide operating budget of materials $200 annually. account. Effective July 1, 2011. 5. Signals and No service 300 300 300 3 Lights impact is Division anticipated. Eliminate Cement and Work is Concrete Mix minimal and Budget. typically performed by Eliminate Street cement and Maintenance concrete program with budget of materials $300 annually. funded through that program. Effective July 1, 2011. 6. Streets No service 7,000 1,000 1,000 2 Maintenance impact is Division anticipated. Reduce Small Tools Budget. Better maintenance Reduce small practices and tools budget an increased by$1,000 awareness of annually. budgetary limitations Effective July have had a 1, 2011. positive affect on this line item. A 15% reduction is achievable B2-213 Attachment 2011-13 Operating Cost Reduction Options 5 PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings service Impact Staffing Staffing Budget 2011-12 2012-13 SOPC Category based on the analysis showing reduced expenditures in this account. Savings are based on an evaluation of account expenditures during the last year. 7. PW Admin This will 1,900 1,000 1,000 3 Division impact how Reduce Engineering Postage plans and budget. specifications are shipped and Reduce provided to postage funds City project by$1,000 plan holders annually. and bidders. Shipping will Effective July be charged to 1, 2011. specific projects or programs, or requestor will pay for shipment. Plans and specifications will continue to be provided in PDF format. S. Signals and This is a 5,200 1,000 1,000 1 Lights demand driven Division account which Reduce may be Electrical overspent if Supplies signal Budget. malfunctions exceed the Reduce budget or electrical signals would supplies be in red flash B2-214 2011-13 Operating Cost Reduction Options Attachment �7 PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 SOPC Category budget by for extended $1,000 periods of time. annually. Savings are based on an Effective July evaluation of 1, 2011. account expenditures, showing a surplus of this amount in this account for the last 4 years. 9.PW Admin This reduction 1,000 1,000 1,000 3 Division will have little Eliminate impact as PW Overtime Admin staff Budget. which accrues little, if any, Eliminate overtime. overtime There may be budget in the exceptions if PW Admin PW program. Administration staff members worked during non-scheduled hours to assist with City emergencies. 10. Signals Part of this 5,200 1,500 1,500 1 and Lights account is used Division for traffic Reduce delineation Operating such as cones, Materials & barricades, Supplies flashing lights Budget. etc. Since the street division Reduce has reserves of operating this type of materials and equipment, it is supplies not necessary budget by that it be $1,500 budgeted for in annually. this account. Effective Jul B2-215 2011-13 Operating Cost Reduction Options PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 SOPC ca1cgo 1, 2011. 11. Streets There is no 4,300 1,700 1,700 2 Maintenance negative Division service impact Reduce Data anticipated as Processing support for Services FoxPro Budget. applications is no longer Reduce Data available and Processing the program is Services by scheduled for $1,700 replacement annually. through the City's Reduce data conversion to processing EnerGov. services to eliminate Costs include funds used to those funds set provide aside for support for the FoxPro Fox Pro program program. support. Effective July 1, 2011. 12. Fleet The contract 2,900 1,900 1,900 2 Maintenance services costs Division associated with Reduce outsourcing the Special installation of Equipment public safety Installation radios, mobile- Budget. data computers and after Reduction in market Code-3 outsourced equipment will costs be budgeted for associated as part of the with the '`accessories" installation of costs when emergency developing CIP equipment; Fleet radios, Replacement& computers and Addition other Code-3 requests for the equipment. Police B2-216 2011-13 Operating Cost Reduction Options, Attachmsn� PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 SOPC category Department. Effective July 1, 2011. This reduction will not result in a negative service impact, or affect response times for public safety. There is no negative impact associated to the General Fund with implementation of this cost reduction. 13. Streets No service 14,100 2,000 2,000 2 Maintenance impact is Division anticipated. Reduce Paint Supplies Thermoplastic budget. striping has reduced paint Reduce paint supply needs supplies through budget by extended $2,000 striping life. annually. Savings are Effective July based on an 1, 2011 evaluation of recent account expenditures. 14. Streets 24,200 2,000 2,000 2 Maintenance No service Division impact is Reduce Signs anticipated Budget. based on past experience. Reduce signs budget by The likelihood $2,000 of sign failure annually will also decrease with Effective July the 1. 2011. implementation B2-217 i 2011-13 Operating Cost Reduction Options AtWhMnt PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffinggadget 2011-12 2012-13 SOPC Category of sign replacements through the Capital Improvement Plan to meet new Federal reflectivity guidelines. Savings are based on evaluation of account expenditures, showing a surplus of this amount in this account for the last 4 years. 15.Streets No service 4,000 2,000 2,000 2 Maintenance impact is Division anticipated as Reduce the new asphalt Construction grinder Equipment attachment budget. allows edge grinding to be Reduce completed with funding for City construction equipment, rental eliminating the equipment by need to rent $2,000 this equipment. annually. Costs include funds set aside for pavement edge grinding equipment Effective July 1, 2011. 16.Building Reduction of 4,600 3,900 3,900 3 Maintenance this funding Division would mean Reduce Office the removal of B2-218 2011-13 Operating Cost Reduction Options PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 SOPC Category Equipment all filtered Budget. drinking water systems at the Reduce office following equipment locations: City funds of Hall, Public $3,900 Works/Comm annually. Dev, Corp Yard, Parking Effective July Services, Fire 1, 2011. Stations 1,2,3,4. Eliminating all drinking water filtration systems will result in all facility tenants using tap water. Requests for water filtering funded by tenants will be facilitated by Building Maintenance. 17. Streets Tiles in the 5,000 5,000 5,000 2 Maintenance Downtown Division Mission Style Eliminate concrete Sidewalk sidewalk will Repair not be replaced. Contracts Missing tiles Budget. will be filled in w/cold patch Eliminate temporarily Sidewalk until streets Repair crew could Contract by replace the $5,000 missing tiles. annually. Tile Effective July replacement 1, 2011. work would reduce sidewalk B2-219 V 2011-13 Operating Cost Reduction Options Attachment PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 SOPC category replacement projects completed by the concrete crew. 18. Building The immediate 23,600 5,300 5,300 3 Maintenance impact will be Division negligible to Reduce Gas none due to Utility staffs diligent Services pursuit of Budget. energy savings. Reduce gas This line item utility services is seeing by$5,300 savings due to annually. energy reduction Effective July projects and 1. 2011. some equipment replacement over the past years. Further savings could be realized by using the EMS to set heating points to 68- degrees maximum. 19. Signals No service 30,000 5,000 5,000 1 and Lights impact is Division anticipated. Reduce Equipment This account is Maintenance for occasional Budget. knockdown of signal and Reduce lighting poles equipment or cabinets. maintenance budget by The City has $5,000 been more annually. aggressive in recouping this Effective July money so that 1. 2011. net costs have B2-220 i 2011-13 Operating Cost Reduction Options Attachm ant PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Staffing Staffin SOPC Category Impact g g Budget 2011-12 2012-13 been reduced and this budget has shown a surplus in recent years. Savings based on an evaluation of account activity. 20. Building The immediate 202,700 15,000 15,000 3 Maintenance impact will be Division negligible to Reduce none due to Electric staffs diligent utility pursuit of Services energy savings. Budget. Staff Reduce anticipates electrical savings due to utility services energy by$15,000 reduction annually. projects for lighting and Effective July HVAC. Further 1, 2011. savings could be realized by using the EMS to set cooling points at 76- degrees minimum. 21. Building Shifting 222,900 15,700 15,900 3 Maintenance contract HVAC Division work to staff Reduce will increase Contract the backlog of Services work requests Budget for for Building HVAC. Maintenance. Reduce Elimination of HVAC the contract contract will require in- services by house staff to $15,700 in complete this B2-221 l 2011-13 Operating Cost Reduction Options Attachment PUBLIC WORKS DEPARTMENT - Description Service Temp Regular 2011-12 Annual Savings service Impact Staffing Staffing Budget 2011-12 2012-13 SOPC category 2011-12 and work 3-times a $15,900 in year. This will 2012-13 reduce the Building Effective July Division's 1, 2011. ability to assist with non-repair tasks such as meeting set-up, delay regular maintenance efforts on facilities, and further extend current response time to citizen and staff requested repairs. Minimal funding will remain to purchase HVAC replacement filters. 22.Streets No negative 64,700 20,000 20,000 2 Maintenance service impacts Division are anticipated. Reduce Trash Services Recent efforts Budget. of the street division in Reduce aggressive contract spoils services for separation, trash recycling, and collection by negotiating $20,000 costs for annually. disposal of used aggregate, Costs are have resulted in based on lower costs in savings trend this area. analysis over the last 3 years in the trash B2-222 2011-13 Operating Cost Reduction Options Aldelchment 5 PUBLIC_WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staging Budget 2011-12 2012-13 SOPC category account. Effective July 1, 2011. 23.Creek and GIS will be 0.18 19,900 4,600 4,600 X 1 Flood Control unable to Division supportany (Stormwater) significant field Reduce data collection Temporary for the storm Salaries for water program. GIS Intern. This will delay inclusion of Elimination of private Temporary property GIS Intern devices into the staff. mapping and impair the Temporary City's ability to staff position meet regulatory is vacant. requirements. Effective July 1, 2011. 24:Creek and Minimal 0.25 421,000 27,100 27,200 X I Flood Control immediate (Stormwater) impact due to Reduce employee Regular reassignment. Salaries for Future outreach GIS projects for the Specialist. Storm water Management Eliminate 0.25 Plan will lack Regular GIS support and Specialist❑ may not be Salary& deliverable Benefits. with remaining staffing, Regular staff affecting the position will City's ability to be affected. comply with Position is State General currently Permit filled. requirements. Effective Jul B2-223 2011-13 Operating Cost Reduction Options ✓� ��� ��� PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Stating Staffing Budget 2011-12 2012-13 SOPC Category 1, 2011. 25. Reducing .16 .16 51,300 27,000 27,100 X 1 Development FTE in temp Review staffing Division positions will Reduce impact plan Temporary review and the Salaries. processing of subdivision Reduce maps. Temporary Staffing by .16 Reduction FTE would mean delays of 2-3 Two weeks longer temporary for plan check staff positions review, will be subdivision affected. map review& Positions are comments. currently filled. Additional contract costs Effective July may be 1, 2011. incurred if the County Surveyor is needed to sign maps. 26.PW This will 600 600 600 3 Admin impact how Division staff receives Eliminate Public Works Publications industry & updates and Subscriptions information. Budget. Staff will receive only Elimination of publications Publications and and subscriptions subscription supplied to funding of Department at $600 annually. no cost or will view Effective July publications B2-224 2011-13 Operating Cost Reduction Options Attachment 5 PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 SOPC Category 1, 2011. and subscriptions online at no cost. 27.Streets The ability to 400 400 400 2 Maintenance attend training Division conferences or Eliminate seminars would Professional be reduced. Conferences Staff may not Budget. be exposed to as many new Eliminate techniques and professional technologies conferences that could budget by improve in- $200 annually. house skills and Effective July capabilities. 1. 2011 Staff will utilize modern training outlets available through webcasts& video conferencing. Take advantage of local training events. Numerous periodicals are also available to assist in bringing new information to staff. 28. PW This reduction 1,500 500 500 3 Admin may impact Division staff's ability to Reduce attend training, Education & be kept up-to- Training date with Budget. computer software Reduce applications, Education& advancements B2-225 2011-13 Operating Cost Reduction Options ��������� PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 SOPC Category Training in the Public Budget in the Works industry PW Admin or may limit Program by opportunities $500 annually. for departmental Effective July improvements. 1, 2011. 29.PW This reduction 2,400 1,100 1,100 3 Admin may impact Division staffs ability to Reduce maintain Association annual training Dues Budget. and notary certification. Reduce Association Documents fees and requiring membership notary dues by signature will $1,100 be obtained by annually other Department Effective July City staff, such 1, 2011. as Clerks office or City Attorney. May provide a delay in notary authorization by one week. 30. Streets The ability to 1,200 600 600 2 Maintenance attend training Division conferences or Reduce Trips seminars would and Meetings be reduced. Budget. Staff will not be exposed to Reduce trips as many new and meetings techniques and by$600 technologies annually that could improve in- Effective July house skills 1, 2011. and capabilities. Staff will B2-226 2011-13 Operating Cost Reduction Options PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 SOPC Category utilize modem training outlets available through webcasts & video conferencing, as well as take advantage of local training events. Periodicals will be obtained on- line. 31.Signals The ability to 1,400 700 700 3 and Lights attend training Division conferences or Reduce seminars would Education & be reduced. Training Staff may not Budget. be exposed to as many new Reduce techniques and education and technologies training that could budget by improve in- $700 annually. house skills and capabilities. Effective July 1, ?011. Staff will utilize modem training outlets available through webcasts and video conferencing, as well as take advantage of local training events. Numerous periodicals are also available to assist in bringing new information to B2-227 2011-13 Operating Cost Reduction Options PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 SOPC Category staff. 32. Building Reducing 1,600 800 800 3 Maintenance training Division funding will Reduce Trips result in & Meetings reduced Budget. division supported Reduce training, training funds seminars, by $800 meetings, annually. certifications, technical or Effective July succession 1, 2011. related courses. Building Maintenance staff will be responsible for seeking less costly training opportunities and supporting the cost for renewal of certifications. 33. Streets The ability to 1,600 800 800 2 Maintenance attend training Division conferences or Reduce seminars would Education & be reduced. Training Staff may not Budget. be exposed to as many new Reduce techniques and education and technologies training that could budget by improve in- $800 annually house skills& capabilities. Effective July 1, 2011. Staff will utilize modern training outlets available through webcasts and B2-228 2011-13 Operating Cost Reduction Options PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 SOPC Category video conferencing, as well as take advantage of local training events. Numerous periodicals are also available to assist in bringing new information to staff. 34. PW This will result 3,300 1,600 1,600 3 Admin in decrease of Division printing Reduce departmental Printing& public Reproduction relations, budget. promotional and employee Reduce recognition printing funds materials, by$1,600 letterhead and annually envelopes;thus impacting the Effective July Department's 1, 2011 ability to"tell our story". 35.Signals Service impacts 48,900 20,000 20,000 1 and Lights are unknown as Division they are a Reduce function of Equipment system failure. Replacement Parts Budget. If there are large scale Reduce system equipment malfunctions or replacement equipment parts budget failures,the by$20,000 account would annually be overspent and have to be Effective July balanced 1, 201.1 . through other program accounts in the B2-229 2011-13 Operating Cost Reduction Options PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 SOPC Category department or other year end savings. The City has completed several signal upgradesin recent years to replace aging equipment, decreasing the likelihood of widespread failure.. As part of the relinquishment of Highway 227 to the City in late 2010, this line item received an augmentation of$18,000, funding formerly paid to Caltrans to support maintenance. This augmentation raised the budget to$740 per intersection. Prior to that augmentation and addition of signalized intersections, City funding level was$520 per intersection. 36.Trees This position 1.0 254,500 59,600 59,900 X 3 Maintenance reduction Division would directly B2-230 2011-13 Operating Cost Reduction Options PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Bud et SOPC Category 2011 P g -12 2012-13 Reduce affect Parks Regular Maintenance Salaries by program. Parks Eliminating related work 1.0 FTE PW would shift to Maintenance the Parks staff Supervisor with a budget staff position. augmentation to cover the Elimination of added Public Works workload. Maintenance Street contract Supervisor work would staff position transfer to the in the Trees Street Maintenance Maintenance Program. program with no budget Regular augmentation. staffing is affected and Tree Maint the position is program would currently be augmented filled. as needed to compensate for Effective July increased 1, 2011. responsibility for crew supervision by the City Arborist&to support additional contract trimming to account for crew assumption of some arborist duties. This option requires the P&R Depart to assist in Special Event user services. Reductions in that P&R B2-231 2011-13 Operating Cost Reduction Options AttachM lant..5-- PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 SOPC Category Depart could affect the viability of this recommendatio n as it relates to user assistance. Contract services $ would support tree trimming. Reduced staff support will be available for Tree Committee initiatives and illegal removal follow-up. 37.PW This will 4,700 2,500 2,500 3 Admin reduce the Division number of Reduce departmental Employee Tri-Annual Recognition meetings; the Budget. ability to recognize staff Reduce funds members by$2,500 annually for annually. amount of years served Effective July and may 1, 2011. impact employee morale. 38. Building Services that 222,900 3,200 3,200 3 Maintenance will be no Division longer funded Reduce include: Contract dusting, Services complete Budget for window Janitorial washing, Tasks. resilient floor stripping, Reduce carpet bonnet B2-232 � ��tl���tl�tlGL1�"lO Olby 2011-13 Operating Cost Reduction Options PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Serflee Impact Staffing Staffing Budget 2011-12 2012-13 SOPC Category Janitorial cleaning,and contract folding tables periodically and stacking requested chair cleaning. tasks by $3,200 in Funding will 2011-12 and remain to 2012-11 complete periodically Effective July requested tasks 1, 2011. including: exterior window washing, carpet extraction. shower scrubbing, and resilient floor refinishing. Locations include: Fire Station#l,City Hall, Wellness areas at old library, 879 Morro, 919 Palm, Parks and Rec offices,Corp Yard, City/County Library, Ludwick Community Center, Senior Center, Meadow Park, Jack House service building. Requests for service of this nature, funded by tenants, will be facilitated by Building B2-233 2011-13 Operating Cost Reduction Options PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 sops Category Maintenance. 39. Building Reduction of 222,900 6,300 6,500 3 Maintenance service days Division will result in Reduce one day per Contract week not Services for having periodic janitorial Janitorial service. This Cleaning at will lower the City Hall. level of cleanliness Reduce until the next janitorial service by service contract frequency at janitorial. City Hall and Wellness Room to 4- days per week. Effective July 1, 2011 40. Building Reduction of 222,900 11,400 11,600 3 Maintenance service days Division will result in Reduce two days per Contract week not Services for having periodic janitorial Janitorial service. This Cleaning at will lower the various level of locations. cleanliness until the next Reduce service by janitorial contract service janitorial. frequency at Corporation Yard, Parks and Recreation office, Public Works/Comm unity Development office,and Utilities B2-234 i 2011-13 Operating Cost Reduction Options ' Aftachmant PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget , 2011-12 2012-13 SOPC Category Admin office to 3-days per week. Effective July 1, 2011. 41. PW Reduction of 5,900 1,700 1,700 3 Admin Department Division office supply Reduce Office funding by Supplies. $1,700 annually will Reduce Office provide Supplies minimal budget by service $1,700 impacts. Staff annually. will re-use and recycle office Effective July materials and 1, 2011. supplies whenever possible. Staff will do more work electronically. 42. The Principal .5 257;200 64,700 64,900 X 2 Transportation Transp. Planner Division staff position Reduce has already Regular been assisting Salaries by the Parking transferring Services .5 FTE Manager by Principal overseeing the Transportation Palm Nipomo Planner staff parking position to structure the Parking project, Enterprise collaborating Fund. on revenue enhancement Reduce .5 FTE strategies& Principal participating in Transportation parking Planner management position. and demand reduction B2-235 Attachm ant 5 2011-13 Operating Cost Reduction Options PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 SOPC Category Regular staff efforts. position will be affected. With the Position is reduction of an currently .50 FTE filled. Principal Transp. Planner Effective July staff position 1, 2011. from the Transp. division, and subsequent transfer over to the Parking Services division;the long-term staffing commitment of the Transp. Planner will be assured for Parking Services. 43. This .25 FTE .25 246,700 18,300 18,300 X 1 Development reduction in Review regular staffing Division may impact the Reduce.25 Development FTE Regular Review Salaries— division's Permit ability to Technician provide position. adequate response times Reduce .25 to customer FTE Permit requests for Technician such things as position development project review, Position is approval, currently permit back-filled issuance, with Contract encroachment staff permits, record keeping and Effective July front counter B2-236 2011-13 Operating Cost Reduction Options PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 SOPC Category 1, 2011. assistance at 919 Palm Street, staff support to the Architectural Review Committee and the maintenance of the Development Review division's web page. 44.PW This reduction 28,700 19;300 19_.300 X 3 Admin will result in Division the loss of Reduce current Laundry& uniforms Linen Service provided and Contracts for laundered for PW General field staff. Fund Staff. Residual funding of Reduce $2,400 will be uniform used to contract by for purchase shirts Public Works and pants. General Fund Field staff will staff by be responsible $19,300 for laundering. annually This may Effective July impact how 1, 2011. citizens view City field 2011-13 workers, Laundry Iiteral ly& Contracts figuratively. (7259) Public Works (19,300) staff would be attired 2011-12 noticeably Uniform& different than Walk-Off Mat Utilities staff. Contract ($52,700) Floor rugs B2-237 2011-13 Operating Cost--Reduction Options :,Attach ru dent PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings service Impact Staffing Staffing Budget 2011-12 2012-13 SOPC Category PW$20,500 would be (uniforms& replaced every towels) two months. %i PW$1,400 (mats) Qty of cleaning Police$100 towels will be (towels) supplied& Fire$6,900 cleaned every- (towels&mats) other week. Water$7,800 (uniforms) A survey of 12 Sewer$12,300 other cities (uniforms) showed that Parking$3,700 only three (uniforms) provide laundry Golf$200 uniform (uniforms) Whale Rock services. $900(uniforms) Contract$ would be housed w/ depart(s) continuing to utilize contractor's services. Utilities, Fire& Police Depart would become responsible for managing own program laundry& linen services. 45. PW This reduction .35 48,300 23,400 23,500 X 3 Admin of temporary Division staff has a Reduce significant Temporary impact on the Starting quantity& Budget. quality of Reduce hours admin support of temporary provided to PW staffing for the staff(919 PW Admin Palm. &Corp Division(919 Yard)& Palm St&25 Utilities field Prado Rd Corp staff. Yard). B2-238 2011-13 Operating Cost Reduction Options PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 SOPC Category Service Temporary reductions staff position would mean will be inability to affected. update(DBE) Position is info &desk currently guides& filled. manuals, delay of 1-2 weeks Effective July response to 1, 2011. compliance issues. Purging of project files will not be done(may result in regulatory non- compliance). Project Insurance tracking will be delayed quarterly. The Supv Admin Assist would relinquish PIO duties to provide admin support where feasible. 46.Parks & Staff would 495,000 52,700 57,500 3 Landscape move certain Maintenance landscape and Division park areas to Reduce City more Water sustainable Services drought- Budget. tolerant landscaping or Reduce water wood mulch. usage in parks Weed control & landscaped would be done areas by.10% periodically to annually. manage undesirable B2-239 2011-13 Operating Cost Reduction Options PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 SOPC ca1egoq Savings are growth. based upon an analysis of Reductions in existing water this area will usage. position the City fora more Effective July sustainable 1, ?011. future as it relates to water consumption, and allow the City to be good stewards of this limited resource. There would be a reduction in open grass areas in parks. 47. This temporary .75 73,000 33,500 33,500 X I Transportation staffing Division reduction of.75 Reduce may impact Temporary essential Salaries. services identified in the Reduce Transportation Temporary program by staffing by .75 limiting staffs FTE for ability to Traffic Interns provide adequate Temporary response times staff position to customer will be requests for affected. various traffic Position is projects. currently vacant. Delivery and implementation Effective July of traffic 1, ?011 projects such as the Traffic Safety Report, Traffic Operations and. Neighborhood B2-240 2011-13 Operating Cost Reduction Optionst � int PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings serviee Impact Staffing Staffing Budget 2011-12 2012-13 SOPC Category Traffic Management (NTM) programs will be delayed by 2-3 months. In addition, if the SOPC restoring the Engineer staff position is not restored to this division,the Traffic Safety Reports and programs will be suspended for minimum of two years as a significant impact of insufficient staffing levels. 48.Parts & Eliminate 0.38 118,300 12,300 12,700 X 3 Landscape weekly Maintenance restroom Division services for Reduce "Farmer's Temporary Market" and Salaries other special providing events to Downtown reduce part- Farmer's time temporary Market staffing costs, Portable maintenance Restrooms. and replacement Reduce costs. Temporary salaries by Portable eliminating the restroom portable service for restroom Farmer's services. Market, Fire& Police, & A temporary Triathlon B2-241 2011-13 Operating Cost Reduction Options Attachnneat 5 PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 Sopc Category staffing events would position is no longer be affected. available. Position is Restrooms currently could be sold filled. or donated to others to Possible off- eliminate future setting maintenance/re Revenue for placement Downtown costs. Citizen Services complaints will provided by increase during DA peak-use months. Staff Effective July member would 1, 2011. lose his part time job. Use of merchant restroom facilities would increase possibly generating complaints from the public, business owners and downtown association. Costs include only temporary staffing costs. Actual savings will ultimately be higher as repair and replacement are needed. 49. Streets Routine 29,000 29,000 29,600 2 Maintenance sidewalk& Division trash enclosure Reduce cleaning, & Contract weekly Services for barbeque site Downtown cleaning, B2-242 2011-13 Operating Cost Reduction Options PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 SOPC Category Cleaning. would be eliminated. Eliminate Downtown Occasional cleaning cleaning of contract trash service by receptacles can $29,000 in be completed 2011-12 and by maintenance $29,600 in worker 2012-13 assigned to downtown, but Eliminate would not sidewalk, provide the barbeque site, same service- and trash level of container cleaning cleaning provided by downtown to power washing reduce contract. contract services costs. Potential of impact on the Costs include Council's the current Economic contract Development services goal & storm budget amount water quality if the cleaning Possible off- efforts was not setting completed Revenue for maintained by Downtown businesses. Services provided by The contract DA. could be assumed by the Effective July Downtown 1, 2011 . Association,or, individual owners and Farmer's Market vendors could perform cleaning instead of a contractor. 50. Streets The sole .5 554,600 31,400 31,500 1 X 3 B2-243 2011-13 Operating Cost Reduction Options PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service p Impact Staffing Staffing Budget 2011-12 2012-13 SOPC Cutegury Maintenance purpose of the Division .5 FTE Maint Reduce Worker is to Regular provide daily Salaries by cleanup of the reducing.5 downtown. FTE The Maint Maintenance Worker Worker completed a providing daily 6-mile Downtown walk to pick up Street trash in the Cleaning. Downtown. Trash Eliminate .5 collection alone FTE Streets consumes Maintenance about 4 hours Worker I each day. As position for time permits, Downtown the worker Street removes Cleaning. graffiti and stickers from Possible off- City fixtures setting such as signs, Revenue for trash cans, Downtown signal equip Services and benches. provided by posters,cleans DA. spilled trash cans &news Regular staff racks, removes position will trash from the be affected. recycling Position is receptacles. currently Performs weed filled. removal from tree wells, Effective July cleans up 1, 2011. animal waste left on the sidewalk/tree wells and makes minor repairs to the trash can holders. B2-244 2011-13 Operating Cost. .auction Options 'Attachmen SL PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 SOPC Cdepry Without this position these services will no longer be provided to the Downtown area. Regular trash pickup removes a significant amount of trash from the street and ceasing this effort could result in a degradation of water quality. Funding could be provided by the Downtown Association for the downtown cleaning services. 51. CIP Due to a 1.0 1.099,500 99,900 104,600 X 1 Engineering downturn in Division private Reduce construction, Regular and a Salaries by corresponding Eliminating reduction in 1.0 FTE revenue from Engineering private work,a Inspector reduction is position. proposed for this area.The Eliminate one slow down in Engineering private work Inspector I has allowed the staffing Engineering position. staff to keep more ublic B2-245 2011-13 Operating Cost Reduction Options Attachment PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 SOPC category Regular staff construction position will inspection be affected. work in-house, Position is at a much currently lower hourly filled. costs. Effective July Reducing one 1, 2011. FTE will require up to 2,000 hours of inspection work to be provided through temporary or consultant resources at a cost of up to $135 per hour versus $46 per hour for staff provided inspection, equating to up to $173,400 more per year than the reduction options saves. Implementation of this reduction option will reduce Engineering's ability to respond to Council Goals (Infrastructure Maintenance, Traffic Congestion Relief), Measure Y priorities, emer enc B2-246 2011-13 Operating Cost Reduction Options Attachment 5 PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 SOPC Category projects, and private development. TOTAL 1 1.82 1 3.50 1 1 641,800 653,700 B2-247 TRANSPORTATIONC CREEK& FLOOD CONTROL TEMPORARY STAFFING REDUCTION Attachment Request Summary Eliminating temporary GIS Intern staffing position will reduce the Creek and Flood Control program budget by 54,600 annually. Key Objectives Elimination of GIS temporary staffing will reduce the Creek and Flood Control program budget. Existing Situation: Factors Driving the Need for Change The City has a budget gap that needs to be eliminated. Programs across the City are reducing operating budgets to reduce expenditures and eliminate the overall funding shortfall. Goal and Policy Links The program overall is connected to the Council Objective of Infrastructure Maintenance. GIS provides support both to the maintenance staff as well as the Stormwater Management Program: 1. 2011-13 Council Objective for Infrastructure Maintenance 2. Stormwater Management Plan Implementation (for General Permit compliance & Operating Program Objectives Service Priority Ranking 1 =Legally Mandated Program Work Completed n/a Environmental Review n/a Program Constraints and Limitations Temporary GIS staff provides data collection services for the Storm Water Program. The City began data collection of private property post-construction devices and connections to the stormwater system but is a long way from completion. Without this resource, data collection will stop or slow considerably to a level that can be sustained within remaining resources. The City's Stormwater Management Plan requires the tracking of post-construction devices. The City will be unable to comply with the regulatory permit without the resources to develop the data for this area. B2-248 TRANSPORTATION s • s • CREEK&FLOOD CONTROL TEMPORARY STAFFING REDUCTION Attac mevlt-� Stakeholders The City budget may be affected by failure to comply with the regulatory permit if the State opted to implement fines. Staff will have less information for determining origin of pollutants in the waterways for enforcement action. This in turn could lead to degraded water quality. The community, as stakeholders, would be affected by the degradation of water quality.. Implementation Funding for this salary and minor benefits will be eliminated effective July 1, 2011 upon implementation of the City's 2011-13 Financial Plan. 1. Eliminate .18 FTE temporary GIS intern staffing position July 2011 Key Program Assumptions The need to reduce operating program cost outweighs the value of the services provided, and it is unlikely the City will be fined which would negate the savings achieved. Program Manager and Team Support Program Manager. Public Works Administration Project Team. Finance and Information Technology and Human Resources departments Alternatives 1. Continue the Status Quo. This would allow the program to continue with field data collection operations at a reasonable cost. Operating Program Creek and Flood Control(50320) Cost Summary The cost savings resulting from the elimination of a GIS temporary staff position in the Creek and Flood Control program will save approximately$4,600 annually. Line Item Description Account No. 2011-12 2012-13 Staffing _ _ 4,600 4,600 Tempoary Salaries 100-50320-7014 4,500 4,500 Medicare 100-50320-7044 100 100 UnemplIns 100-50320-7046 0 0 Total Operating Costs 4,600 1 4,600 B2-249 REGULAR STAFFING REDUCTION IN CREEK&FLOOD CONTROL PROGRAM Request Summary Reduce a regular GIS staff position in the Creek and Flood Control program budget will save approximately $27,200 in 2011-12 and$27,200 in 2012-13. Key Objectives Reduction of GIS regular staffing to reduce the Creek and Flood Control program budget. Existing Situation: Factors Driving the Need for Change The City has a budget gap that needs to be eliminated.Programs across the City are reducing operating budgets to reduce expenditures and eliminate the overall funding shortfall. Goal and Policy Links The program overall is connected to the Council Objective of Infrastructure Maintenance. GIS provides support both to the maintenance staff as well as the Stormwater Management Program: 1. 2011-13 Council Objective for Infrastructure Maintenance 2. Stormwater Management Plan Implementation (for General Permit compliance & Operating Program Objectives Service Categorization Criteria 1 =Legally Mandated Program Work Completed Regular GIS staffing provides resources for the Storm Water program on two fronts; public outreach & website and infrastructure management. This recommendation is for the reduction on the outreach & website portion of the staffing. This function is currently not being provided for the Storm Water program due to heavy demands of the GIS staff doing database conversion support. Environmental Review n/a Program Constraints and Limitations Regular GIS staffing is currently not providing Stormwater program public outreach or website and infrastructure management due to heavy demands of the GIS staff doing database conversion support. Outreach and website support and efforts will continue with other staff within the program budget, to the degree possible,with the program resources allocated. B2-250 Attachment 5 . TRANSPORTATION REGULAR STAFFING REDUCTION IN CREEK&FLOOD CONTROL PROGRAM Stakeholders The Finance and Information Technology Department may be affected by this staffmg reduction as it is currently utilizing the GIS Staff position allocated for outreach and website support of the Storm Water Program to assist with the City's FoxPro database conversion project. In the long term, the implementation of the Stormwater Management Plan may be affected as remaining staff will be unable to provide adequate support for public outreach and website development. Implementation Funding for this salary and benefits will be eliminated effective July 1, 2011 upon implementation of the City's 2011-13 Financial Plan. 1. Eliminate .25 FTE regular GIS Specialist II staff position 7/2011 Key Program Assumptions The need to reduce operating program cost currently outweighs the value of the staff services provided. Program Manager and Team Support Program Manager. Public Works Administration Project Team. Finance and Information Technology and Human Resources departments Alternatives 1. Continue the Status Quo. This would allow the program to continue with outreach and website support for future projects in this area. Operating Program Creek&Flood Control(50320) Cost Summary The cost savings associated with the reduction of a .25 GIS Specialist II staff position is approximately $27,200 in 2011-12 and$27,200 in 2012-13. B2-251 Attachment 5- TRANSPORTATION REGULAR STAFFING REDUCTION IN CREEK& FLOOD CONTROL PROGRAM Line Item Description I Account No.1 2011-12 2012-13 Staffing 27,200 27,200 Regular.Salaries 100-50320-7010 18,400 18,400 Retirement 100-50320-7040 6,000 6,000 Health Insurance 100-50320-7042 2,400 2,400 Medicare 100-50320-7044 300 300 ,Unemployment Ins 100-50320-7046 100 100 Total Operating Costs 27,2001 27,200 B2-252 Attach ell tom. ICOMMUNITY . • s DEVELOPMENT REVIEW TEMPORARY STAFFING REDUCTION Request Summary Reduce temporary staffing by 0.16 full-time equivalent(FTE) in the Development Review division will save approximately$27,000 in 2011-12 and$27,100 in 2012-13. Key Objective Reduce the Development Review Administration operating program costs to assist in closing the City's current budget gap. Existing Situation: Factors Driving the Need for Change The City has a budget gap that needs to be eliminated. Programs across the City are reducing operating budgets to reduce expenditures and eliminate the overall funding shortfall. Goal and Policy Links 1. 2011-13 Major Council Goal for Preservation of Essential Services and Fiscal Health 2. General Plan Circulation Element Service Categorization Criteria 1 =Mandated Program Work Completed n/a Environmental Review n/a Program Constraints and Limitations Temporary Development Review staff provides essential support for day-to-day operations of the department. The reduction of 0.16 FTE in temporary staffing will have a significant impact on the quantity and quality of Development Review program support provided to Public Works staff at 919 Palm St. and to general public requesting front-counter assistance. Reducing 0.12 FTE in temporary staffing for the Engineering III position will impact the review of subdivision maps and plan checks. Delays could mean 2-3 weeks longer for plan check review and comment. Remaining staff would assume workloads and assist front counter customer service needs where feasible to do so. Reducing the temporary staff assuming the responsibilities of a consultant engineer by.04 FTE will impact the processing and approval of subdivision maps. This work must be completed and approved by a licensed surveyor possessing a Professional Land Surveyor(PLS)license by the State of California. The temporary staff position currently holds this license and has the ability to approve subdivision maps in-house. Should this position be reduced any further,or redevelopment review work activity increase,additional funding may be needed to either B2-253 COMMUNITY . - DEVELOPMENT REVIEW TEMPORARY STAFFING REDUCTION increase this staff time or to contract out with the County of San Luis Obispo for this certification approval. A reduction in this temporary staff position to 416 hours annually(or 8 hours/week)could mean additional delays of two to three weeks for plan check review and comment. Stakeholders 1. Public Works and Community Development Department staff would be directly affected by this reduction in temporary support. 2. The community is a significant stakeholder as they would be impacted by the reduction in customer services levels, reduction of telephone service (i.e. phone tree), delay in responding to customer service requests,and responding to the plan check requests. Implementation The FTE reduction in temporary staffing by 0.16 would be effective July 1, 2011 upon implementation of the City's 2011-13 Financial Plan. 1. Reduce 0.16 FTE tem orary staffing in the Development Review division July 2011 Key Program Assumptions The need to reduce operating program cost outweighs the value of the services provided. Program Manager and Team Support Program Manager.. Supervising Civil Engineer,Development Review Project Team. Public Works Administration and Community Development staff Alternatives 1. Continue the Status Quo. This would allow the Development Review division to continue with the minimal plan check support at a reasonable cost. 2. Defer or Re-Phase the Request. Deferring this request will result in Development Review division continuing to receive the staff support and resources needed to provide plan check, map review and front counter assistance. However, this option would not provide the operating budget reduction that is currently being sought. 3. Change the Scope of Request Some plan check support could be provided by the CIP Engineering staff or Community Development staff. However, these divisions would be affected when they are no longer able to provide the support needed for their own programs. Additional contract services funding could be added to the Development Review operating budget to support the out-sources of map approval and certification to the County of San Luis Obispo. B2-254 ;COMMUNITY •P DEVELOPMENT REVIEW TEMPORARY STAFFING REDUCTION Operating Program Development Review(50400) Cost Summary The cost savings resulting from the reduction of Development Review temporary staff will save approximately $27,00 in 2011-12 and$27,100 in 2012-13. Line Item Description Account No. 2011-12 2012-13 Staffing 17,006, 27,100 Tempoary Salaries 100-50400-7014 20,100 20,100 Retirement 100-50400-7040 6,500 6,600 Medicare 100-50400-7044 300 300 UnemplIns 100.-50400-7046 100 100 Total Operating Costs 27,000 27,100 B2-255 LEISURE, CULTURAL • 1 PUBLIC WORKS MAINTENANCE SUPERVISOR STAFFING REDUCTION Request Summary Eliminating the regular, full-time staff position of the Public Works Maintenance Supervisor in the Tree Division will save approximately$59,600 in 2011-12 and$59,900 in 2012-13. Key Objectives 1. Eliminating the Public Works Maintenance Supervisor position will reduce the Tree Division operating budget by approximately$105,100 annually. 2. Eliminating the Public Works Maintenance Supervisor position will increase the Landscape and Parks Maintenance Division operating budget for Temporary staffing by $25,000 annually to oversee the management of landscape contract services. 3. Eliminating the Public Works Maintenance Supervisor position will be off-set by increases of$20,000 in contract and temporary employee services in an effort to maintain core and priority service levels to the public, community and stakeholders. Existing Situation: Factors Driving the Need for Change The current Public Works Maintenance Supervisor position was substantially modified about 5 years ago after the retirement of a long-time employee. At that time, Public Works and the Human Resources Department modified the previous job description based upon the most effective way to deliver the necessary tree maintenance and contract management services covered under this position. The position became a Public Works Maintenance Supervisor for the Trees Maintenance Division, responsible for managing the City Arborist, tree crew, landscape contracts and serves as the City representative for the Tree Committee. The City has identified on-going budget deficiencies that need to be addressed. Individual program expenditures will need to be reduced to help mitigate the financial shortfall. Staff has once again taken the opportunity to review the services provided by this position and determine if it is still the most effective and efficient way to do business. The Public Works Maintenance Supervisor position works across several program lines; provides contract management services for Street Maintenance, Parks Maintenance, and the Parking Divisions. Because the position is inter-mingled within various Public Works programs, internal staff discussions focused on if this was still the best way to deliver these services, and if not, what was a better way. Based on these discussions, it was determined that services provided outside of Tree Maintenance could be streamlined by shifting the contract management services to the affected programs. The regular staff reduction of this position will have a net negative impact on Tree Maintenance division,primarily in follow=up with citizens on tree issues, illegal removals, vegetation clearing, and the level of support for the Tree Committee. Goal and Policy Links 1. 2011-13 Other Council Objectives,Infrastructure Maintenance. 2. City of San Luis Obispo Municipal Code,Chapter 12 Tree Ordinance 3. Urban Forest Management Plan Service Categorization Criteria 3=High B2-256 Attachment s LEISURE, CULTURAL &-60CIAL SERVICES PUBLIC WORKS MAINTENANCE SUPERVISOR STAFFING REDUCTION Program Work Completed n/a Environmental Review n/a Program Constraints and Limitations Other City departments and Public Works divisions would be taking on new and different work to accommodate this reduction. Stakeholders Parks Maintenance, Street Maintenance, Tree Maintenance and Parking Services division staff are all stakeholders as they are expected to assume a greater workload distributed among them with one less management position. Citizens supporting prosecution of illegal tree removals will no longer have the staff resources available for enforcement issues. Implementation The reduction in regular staffing levels would be effective July 1, 2011 with the adoption of the 2011-13 Financial Plan. 1. Begin recruitment for temporary staff May 2011 2. Eliminate PW Maintenance Supervisor position in the Trees Maintenance Division July 2011 3. Transfer$25,000 to the Parks Maintenance operating for Temporary Staffing to support July 2011 added workload 4. Transfer$20,000 to the Tree Maintenance Division for contract services July 2011 5. Complete hiring of temporary staff July 2011 Key Program Assumptions The City Arborist will assume Tree Maintenance program oversight, supervision of the crew, and Tree Committee support. The Arborist will be reclassified to a supervisory position. Tree Maintenance program will augment the tree trimming contract services or temporary staff to maintain tree trimming services. The Street Supervisor will manage the sidewalk cleaning and weed abatement contracts, without additional resources,with limited impacts to the program. The Park Maintenance Supervisor in conjunction with augmented temporary staffing will manage the landscape and restroom janitorial contracts. Parks Maintenance staff will work with Parks and Recreation Department staff to provide user services for Special Events. B2-25 LEISURE, CULTURAL SOCIAL SERVICES PUBLIC WORKS MAINTENANCE SUPERVISOR STAFFING REDUCTION Program Manager and Team Support Program Manager. Public Works Administration Project Team. Tree Maintenance, Parks Maintenance, Street Maintenance, Parks and Recreation, and Human Resources Departments Alternatives 1. Continue the Status Quo. Retain the position and continue full support for Tree Maintenance. 2. Change the Scope of Request The position could be retained and the operating program non-staffing items could be reduced by the corresponding amount to obtain the same level of operating program cost reduction; which would include the elimination of all contract trimming services, leaving a non-staffing operating budget of$12,000. Operating Program Tree Maintenance(50220) Cost Summary The salary cost savings as a result of eliminating 1.0 FTE Public Works Maintenance Supervisor staff position and back-filling with additional tree trimming contract services and Parks Maintenance temporary staffing will save$59,600 in 2011-12 and$59,900 in 2012-13. Line Item Description Account No. 2011-12 2012-13 Staffing-TreesMaintenance 105,100 105,400 Regular Salaries 100.50220-7010 66,400 66,400 Retirement Contributions 100-50220-7040 21,500 21,800 Health Insurance 100-50220-7042 15,100 15,100 Medicare 100-50220-7044 1,000 1,000 UnEmployement Insurance 100-50220-7046 300 300 PARS 100-50220-7041 800 800 Staffing-Parks Maintenance 5,500) (25,500 Temporary Salaries-Parks Maint 100-50200-7014 (25,000) (25,000) Medicare 100-50200-7044 (400) (400) UnEmployement Insurance 100-50200-7046 (100) (100) Contract Services 0,000) (20,000) Contract Services-Trees Maint 100-50220-7227 (20,000) (20,000) TOTAL OPERATING SAVINGS 59,600 1 59,900 B2-258 � ac6� ant TRANSPORTATION TRANSPORTATION PLANNING STAFF REDUCTION Request Summary Reassigning 0.50 Full-time Equivalent (FTE) Principal Transportation Planner staff position in the Transportation Planning and Engineering division to the Parking Services division will save $64,700 in 2011-12 and$64,900 in 2012-13 in the General Fund. Key Objectives The .50 FTE management level position would be reduced in the Transportation Planning & Engineering Division and transferred over to the Parking Services Enterprise Funds to support the Parking division by: 1. Responding to special project and programs needs such as new technologies and rate strategies. 2. Implementing parking projects such as the Palm Nipomo parking structure 3. Assisting with the responsibilities recently added by the creation of the"Downtown Champion". 4. Maintaining desired levels of customer service and community support. 5. Developing and implementing strategies to make maximum use of existing parking spaces and reduce the use of single occupant vehicles. Existing Situation: Factors Driving the Need for Change The City has identified a $3 million budget gap that needs to be addressed in its 2011-13 Financial Plan. The Public Works Department's portion of the reduction goal is $663,900. Transferring a .50 FTE from the Transportation division to the Parking Services division will help the City address its General Fund gapl and provide needed staffing in the Parking Services division to help meet its key objectives. Since 2005, the Parking Services division has added 25 parking lot spaces, 240 garage parking spaces, one residential permit parking district, and the duties of the "Downtown Champion". Additionally, the City has added three residential properties to its inventory and is considering two private development proposals to redevelop existing City parking lots. Due to its increased workload, the Principal Transportation Planner in the Transportation Planning and Engineering division has already been assisting the Parking Services Manager by overseeing the Palm Nipomo parking structure project, collaborating on revenue enhancement strategies, and participating in parking management and demand reduction efforts. With the reduction of an .50 FTE Principal Transportation Planner staff position from the Transportation Planning and Engineering division, and subsequent transfer over to the Parking Services division; the long-term staffing commitment of the Transportation Planner will be assured for Parking Services Goal and Policy Links 1. 2011-13 Major City Goal:. Neighborhood Wellness 2. 2011-13 Major City Goal: Traffic Congestion Relief 3. 2011-13 Other Important Goals: Infrastructure Maintenance 4. 2011-13 As Resources Permit Goal: Climate Protection 5. General Plan Circulation Element 6. Parking and Access Management Plan 7. Revenue Management Operating Program B2-259 TRANSPORTATION TRANSPORTATION PLANNING STAFF REDUCTION 8. Parking Management and Demand Reduction Operating Program Service Categorization Criteria 2=High Program Work Completed The Principal Transportation Planner staff position has already been assisting the Parking Services Manager by overseeing the Palm Nipomo parking structure project, collaborating on revenue enhancement strategies, and participating in parking management and demand reduction efforts. Environmental Review No environmental review is required. Program Constraints and Limitations 1. With the reassignment of this .5 FTE.staff position,the Transportation Planning and Engineering division may be limited in its ability to fulfill program commitments. 2. In addition to this staffing reduction, the Transportation Planning and Engineering division is currently facing a possible 0.54 FTE staffing reduction of contract and temporary employees as a result of operating budget reductions. Stakeholders City residents, business owners,motorists,pedestrians and bicyclists are stakeholders in additional transportation program support. Additionally,the Downtown Association and its members will be affected by this request. Implementation The reassignment of a .5 FTE Principal Transportation Planner will take effect at the implementation of the 2011- 13 Financial Plan, effective July 1,2011. 1. Reduce Principal Transportation Planner staff position by.5 FTE in the Transportation July 2011 division 2. Add Principal Transportation Planner staff position by .5 FTE in the Parking Services July 2011 division Key Program Assumptions The key program assumptions include no additional duties being assigned to the Transportation Planning and Engineering Services division because of current staffing deficiency. Program Manager and Team Support B2-260 int ITRANSPORTATION TRANSPORTATION PLANNING STAFF REDUCTION Program Manager. Transportation Operations Manager Project Team. Parking Services and Public Works Administration Alternatives 1. Continue the Status Quo. The Principal Transportation Planner could remain a 1.0 FTE staff position with the Transportation Planning and Engineer division. However, this would not assist in the key objectives of reducing the Transportation operations budget nor provide additional support services to the Parking Services division. 2. Defer or Re-Phase the Request Deferring this request will result in Parking Services not receiving the additional staff resources that are currently needed. 3. Change the Scope of Request If a_25 FTE Principal Transportation Planner position is allocated to Parking Services, only a portion of the key objectives identified for Parking above could be accomplished. Additionally a non-management position could not fulfill a majority of the key objectives identified above. Operating Program Transportation Planning and Engineering(50500) Cost Summary The staffing costs projected below are based upon an the current pay of the Principal Transportation Planner position. Reducing the current Principal Transportation Planner staff position by .5 FTE in the Transportation Planning and Engineering division will save approximately$64,700 in 2011-12 and$64,900 in 2012-13. Line Item Description Account No. 2011-12 2012-13 Staffing - - — _ _64,700 _ ._ _ 6:4,900 Regular Salaries (Princ Tranp Planner) 100-50500-7010 44,100 44,100 Retirement Contribution 100-50500-7040 14,400 14,600 Health&Disability Insurance 100-50500-7042 5,000 5,000 Medicare 100-50500-7044 600 600 Unemployment Insurance 100-50500-7046 200 200 PARS 100-50500-7041 400 400 Total Operating Costs 64,700 64,900 B2-261 DEVELOPMENT REVIEW PERMIT TECHNICIAN STAFFING REDUCTION Request Summary Reducing the vacant full-time regular Permit Technician staffing position to a 0.75 full-time equivalent will save $18,300 annually. Key Objective Reduce the Development Review Administration operating program costs to assist in closing the City's current budget gap. Existing Situation: Factors Driving the Need for Change The Development Review division of Public Works has been operating with a mixture of temporary, contract and regular staff for the last six years. As part of the budget reduction strategies in the 2009-11 Financial Plan, the Development Review division reduced its regular staffing resources by 1.0 full-time equivalent (FTE) with the elimination of the Engineer III position. The vacant regular, full-time Permit Technician position has been filled by contract employee since December 2008. The Permit Technician position has been filled by contract staff to provide stability and allow time for staff to further assess the needs of the division and determine if appropriate to solicit for permanent replacement. The contract Development Review staff, back-filling the.Permit Technician position, provides essential support for day-to-day operations of the department, receive applications, evaluate, coordinate approvals, traffic control plan requirements, and issue encroachment permits. The City's encroachment permit activity has not decreased. In part by new water quality standards, there has been an increase in permits required for construction staging and roll-off placement within the right-of-way. As part of a study done with the Community Development Department regarding front counter hours, a decision was made in late 2009 to reduce the open hours for the public. The reduction of 0.25 FTE in regular staffing will have a impact on the quantity and quality of support to the higher level engineer staff of Development Review but somewhat less of an impact to the general public requesting front-counter assistance due to the reduction in hours. Some duties currently performed by the Permit Technician will need to be reassigned to the Senior Civil Engineer or Supervising Civil Engineer. Goal and Policy Links 1. 2011-13 Major Council Goal for Preservation of Essential Services and Fiscal Health 2. General Plan Circulation Element Service Categorization Criteria 1 =Mandated Program Work Completed The full-time regular Permit Technician staffing position is currently vacant but has been back-filled by contract assistance since 2008. The full-time contract benefited employee provides Permit Technician duties assisting in B2-262 Attachment. ent. COMMUNITY • ' DEVELOPMENT REVIEW PERMIT TECHNICIAN STAFFING REDUCTION day-to-day operations of the department, development project review, approval, permit issuance, encroachment permits,record keeping and front counter assistance at 919 Palm Street. This position provides a key role in the divisions' transition from the Foxpro programs to Energov. This position serves as a resource to the Community Development Department counter staff. Environmental Review n/a Program Constraints and Limitations 1. The City has a budget gap that needs to be eliminated. Programs across the City are reducing operating budgets to reduce expenditures and eliminate the overall funding shortfall 2. This .25 FTE reduction in regular staffing may impact the Development Review division's ability to provide adequate response times to customer requests. Examples of these effects include: development project review and approval, over the counter permit issuance,encroachment permits,record keeping and front counter assistance at 919 Palm Street. Some programs may take additional time to process such as the recent News rack program ordinance updates and compliance and the implementation and transition of the new Energov software. 3. Encroachment permitting activity has not decreased.In part by recent water quality standards,pursuit of permits for construction staging and roll-off placement within the right-of-way has increased,thereby increasing our permit activity. Stakeholders I. Public Works and Community Development Department staff would be directly affected by this reduction in temporary support. 2. The community is a significant stakeholder as they would be impacted by the reduction in customer services levels, reduction of telephone service (i.e. phone tree), delay in responding to customer service requests,and responding to the plan check requests. Implementation The FTE reduction in regular staffing of the Permit Technician position by 0.25 would be effective July 1, 2011 upon implementation of the City's 2011-13 Financial Plan. 1. Reduce 0.25 FTE Permit Technician position in the.Development Review division Jul 2011 Key Program Assumptions The need to reduce operating program cost outweighs the value of the services provided. This reduction assumes that the encroachment permit activity will not increase significantly. B2-263 ICOMMUNITY . • s DEVELOPMENT REVIEW PERMIT TECHNICIAN STAFFING REDUCTION Program Manager and Team Support Program Manager. Supervising Civil Engineer, Development Review Project Team. Public Works Administration and Community Development staff Alternatives I. Continue the Status Quo. This would allow the Development Review division to continue with the minimal front counter and encroachment permit support at a reasonable cost. 2. Defer or Re-Phase the Request Deferring this request will result in Development Review division continuing to receive the staff support and resources needed to provide encroachment permits, project reviews and front counter assistance. 3. Change the Scope of Request Front-counter assistance could be provided by Community Development staff. However, this would require the training of Community Development staff as "generalist" specialized in Public Works technical issues to be able to handle plan check issues, encroachment permits and project development reviews. The Public Works Permit Technician handles higher level technical level duties that are not currently supported at the CDD counter and therefore significant retraining would be necessary. Operating Program Development Review(50400) Cost Summary The cost savings resulting from the reduction of Development Review Permit Technician by .25 FTE,resulting in a .75 FTE staffing position will save approximately 518,300 annually. Line Item Desc ` tion Account No. 2011-12 2012-13 Staffing 18,300 ..:18,300 Regular Salaries(Permit Technician) 100-50400-7010 10,700 10,700 Retirement Contribution(PERS) 100-50400-7040 3,500 3,500 Health Insurance 100-50400-7042 3,800 3,800 Medicare 100-50400-7044 200 200 ,UnemplIns 100-50400-7046 100 100 Total Operating Costs 18,300 18,300 B2-264 GENERAL GOVERNMEN.I ' - PUBLIC WORKS UNIFORM CONTRACT SERVICES Request Summary Reducing the Laundry and Linen contract services for the Public Works Department will save approximately $19,300 annually. Key Objectives Reduce the Public Works Administration program expenditures to assist in closing the City's current budget gap. Existing Situation: Factors Driving the Need for Change The City current contracts with AmeriPride Uniform Services to furnish a stock of new uniforms to the City and pick up, launder, and deliver these uniforms as specified in the contract agreement. In addition, AmeriPride provides an inventory of towels, dust mops, and floor mats to the City and exchanges this inventory for a newly laundered inventory as specified. The contract costs include labor,material,and equipment required to furnish inventories to the City. AmeriPride provide uniform and/or towel and floor mat laundry services to the following programs: Program Description lContract Cost • PW General Fund Programs Floor Mats $1,400 o Parks Maintenance Uniforms $20,500 o Swim Center Uniforms o Building Maintenance Uniforms o Streets Maintenance Uniforms o Storm Water Uniforms o Signal&Lights Uniforms o Fleet Services Uniforms&towels I)rise Fund S31,000 • Parking Services Uniforms $3700 • Utilities Department Uniforms $20,100 • Golf Course Uniforms $200 • Police Department Towels $100 • Fire Department Towels/Mats $6,900 This reduction request is to reduce the contract services funding which provides uniform support for the seven(7) General Fund Public Works programs. This reduction would be that uniforms and laundering services would no longer be provided to Public Works staff. Residual funding of$2,600 will be used to purchase shirts and pants. Field Divisions would convert to a shirt and pant provided by the City and employees would be responsible for laundering. This may impact how citizens view City field workers,literally and figuratively. Floor rugs would be replaced every two months. Half of quantify of cleaning towels will be supplied&picked up for cleaning every-other week. B2-265 Mont- 'GENERAL GOVERNMEN PUBLIC WORKS UNIFORM CONTRACT SERVICES Contract services funding for uniforms would be housed within the Departments continuing to utilize AmeriPride's services. Utilities, Fire and Police Departments would become responsible for managing own program laundry&linen services Goal and Policy Links 1. 2011-13 Major City Goal,Preservation of Essential Services and Fiscal Health. Service Categorization Criteria 3 =High Mid-Range Program Work Completed 1. A survey of 12 other cities showed that only three provide laundry uniform services. 2. An internal survey was conducted with Public Works Department Field staff which indicated this reduction as unfavorable. Field staff indicated that a reduction in laundry services would increase costs to employees,create discord between utilities and other field staff and promotes unprofessional attire. T- shirts, as a recommended alternative, were noted by staff as not being as durable as the uniforms currently provided. Environmental Review No environmental review required. Program Constraints and Limitations 1. Significant employee and employee union involvement may be expected. 2. City must meet and confer about change in this working condition. Stakeholders The Public Works Department staff are all stakeholders in the implementation of this reduction. The general public and community are stakeholders as they depend heavily upon the services,parks,trees, streets field crews and this reduction in uniform presence may affect how City employees are"viewed". Implementation 1. Reduce Uniform Contract Services by$19,300 July 2011 2. Purchase shirts for field crews Au2ust 2011 Key Program Assumptions B2-266 !GENERAL GOVERNMEN PUBLIC WORKS UNIFORM CONTRACT SERVICES 1. It is assumed that the City would provide shirts and pants for employee use. 2. It is assumed that staff will be responsible for laundering of garments 3. It is assumed that staff will continue to maintain uniforms in presentable condition. Program Manager and Team Support Program Manager. . Director of Public Works Project Team. Public Works Administration, Parks Maintenance, Trees Maintenance, Building Maintenance, Swim Center, Fleet, Storm water, Signal & Lights and Parking Services divisions. Alternatives 1. Continue the Status Quo. Not reducing the contract uniform services would allow City staff to be provided with clean and properly maintained uniforms. Uniforms allow City employee to be easily recognized by the general public. In addition, the clothing of field staff receives a great deal more wear and tear and public scrutiny than does non-field staff. If uniformed field staff experience a cost increase to avoid reductions in non-field staff areas, this could cause divisive staff feelings, and fuel a desire to rebel in the form of poor uniform appearance. 2. Change the Scope of Request The reduction of uniform services would be modified in two ways. Instead of a full uniform reduction for all Public Works staff, the reduction could apply to only temporary staffing positions. The second option would be to reduce uniform contract services for all public works programs with exception of Parking Services Enforcement Officers. 3. Implementation in a Different Way. Instead of one consolidated contract agreement for uniform services, the City could require all programs to coordinate and provide funding for uniform services specific to the program. Operating Program Public Works Administration(50100) Cost Summary The reduction in the Laundry and Linen contract services for Public Works department staff would save approximately$19,300 annually. Line Item Description Account No. 2011-12 2012-13 Contract Services 19,300. _ 19,300 Laundry&Linen Serivices 50100-7259 19,300 19,300 Total Operating Costs 19,300 19,300 B2-267 GENERAL • PUBLIC WORKS ADMINISTRATION TEMPORARY STAFFING Request Summary Reduce temporary staffing by 0.35 full-time equivalent(FTE)in the Public Works Administration division will save $23,300 in 2011-12 and$23,400 in 2012-13. Key Objective Reduce the Public Works Administration operating program costs to assist in closing the City's current budget gap. Existing Situation: Factors Driving the Need for Change The City has a budget gap that needs to be eliminated. Programs across the City are reducing operating budgets to reduce expenditures and eliminate the overall funding shortfall. Goal and Policy Links The program overall is connected to the Major City Goal of Traffic Congestion Relief as well as the Council Objective of Infrastructure Maintenance. Admin staff provides support both to the field maintenance staff as well as the CII'Engineering staff. 1. 2011-13 Major Council Goal for Preservation of Essential Services and Fiscal Health 2. 2011-13 Major Council Goal for Traffic Congestion Relief 3. 2011-13 Other Important Objective for Infrastructure Maintenance Service Categorization Criteria 3 =High Mid-Range Program Work Completed n/a Environmental Review n/a Program Constraints and Limitations Temporary Public Works Administration staff provides essential support for day-to-day operations of the department. The reduction of 0.35 FTE in temporary staffing will have a significant impact on the quantity and quality of administrative support provided to Public Works staff at 919 Palm St. and to Public Works and Utilities field staff. Temporary staff will no longer have time to update Disadvantage Business Enterprise(DBE)information required for federally funded projects,respond to compliance requestors within the required time frame,nor purge project files;which might result in regulatory non-compliance. B2-268 Attachnant 5 IGENEs • s PUBLIC WORKS ADMINISTRATION TEMPORARY STAFFING Temporary staff will no longer have time to ensure on-going insurance tracking and project files remain current, nor have time to ensure desk guides and manuals are up-to-date. Duties not completed by temporary part-time staff would fall to the only(2)two full-time Administrative Support staff members. Stakeholders 1. Public Works and Utilities Department staff would be directly affected by this reduction in administrative support. 2. The community is a significant stakeholder as they would be impacted by the reduction in customer services levels, reduction of telephone service (i.e. phone tree), delay in responding to customer service requests,and responding to the Community Service Work Program requests. Implementation The FTE reduction in temporary staffing by 0.35 would be effective July 1, 2011 upon implementation of the City's 2011-13 Financial Plan. 1. Reduce 0.35 FTE temporary staffing in the PW Admin division July 2011 Key Program Assumptions The need to reduce operating program cost outweighs the value of the services provided. Program Manager and Team Support Program Manager. Public Works Administration Project Team. Utilities and Human Resources Departments Alternatives 1. Continue the Status Quo. This would allow the Public Works Administration Program to continue with the current administrative support at a reasonable cost. 2. Defer or Re-Phase the Request. Deferring this request will result in Public Works Administration department continuing to receive the staff support and resources needed to support the thirteen various public works programs and staff. However, this option would not provide the operating budget reduction that is currently being sought. 3. Change the Scope of Request Some administrative support could be provided by the Parking Services Administrative staff. This additional support could be received at no additional increase to the General Fund. However, Parking Services staff would be unable to provide administrative support functions for the Parking Enterprise Fund. Additionally,this would be a co-mingling of General and Enterprise fund monies. B2-269 11 MEOW-, Attachment 3 PUBLIC WORKS ADMINISTRATION TEMPORARY STAFFING Operating Program Public Works Administration(50100) Cost Summary The cost savings resulting from the reduction of Public Works Administration temporary staff will save approximately$23,400 in 2011-12 and$23,500 in 2012-13. Line Item Description Account No. 2011-12 2012-13 Staffing 23,400 23,500 Temporary Salaries 100-50100-7014 17,400 17,400 Retirement Contributions(PERS) 100-50100-7040 5,600 5,700 Medicare 100-50100-7044 300 300 ,UnemplIns 100-50100-7046 100 100 Total Operating Costs 23,400 23,500 B2-270 vif u LEISURE) CULTURAL &-ObCIAL SERVICES ...... PARKS MAINTENANCE TEMPORARY STAFFING REDUCTION Request Summary Eliminating one temporary City Worker V position from the Park Maintenance Division will save $12,300 in 2011-12 and$12,700 in 2012-13. Key Objectives 1. Reduce staffing costs to assist in closing the City's budget deficit. 2. Reduce oversight of temporary employees. 3. Eliminate maintenance and replacement costs for portable restrooms. Existing Situation:.Factors Driving the Need for Change In 1995, the City purchased two portable restroom trailers for use at the Downtown Farmer's Market. At this time, the City was experiencing severe drought conditions and water use restrictions were in place. Downtown merchants were being penalized for overconsumption due to public use of their facility restrooms. The City responded by providing the Downtown merchants with eight portable restrooms to reduce the public restroom demands on Downtown business facilities. In 2003, the portable restroom and trailer units were replaced at a cost to the City of$31,000. The sole purpose of this temporary staff position in the Parks Maintenance division is to provide the portable restroom services to Farmer's Market and the annual Triathlon event at Sinsheimer Park. The portable restroom units are hauled to the event from storage located at the City's Corporation Yard. The temporary staff position then retrieves the portable restrooms and cleans them, making them ready and available for the next usage. While water costs to businesses are still a consideration, the City is no longer in a drought condition and the portable restroom services provided by the Public Works Department have become more of a convenience than a drought- fighting tool. Due to ongoing City operating budget deficiencies, various programs and services may no longer be cost effective to provide. The restrooms could be sold or donated to the Downtown Association or a local service group to eliminate future staffing, maintenance and replacement costs. Discontinuing the portable restroom service is not anticipated to creates significant impact to our community. Goal and Policy Links n/a Service Categorization Criteria 3=High Mid-Range Program Work Completed n/a Environmental Review No environmental review required. B2-271 LEISURE� CULTURAL &-oOCIAL SERVICES PARKS MAINTENANCE TEMPORARY STAFFING REDUCTION Program Constraints and Limitations There are no program constraints or limitations associated with this reduction. Stakeholders. Potential stakeholders affected by this reduction would be the Downtown Association (Farmer's Market) and the Parks and Recreation Department(Triathlon Hosts). The general public may experience some inconvenience if businesses refuse to allow them restroom use during Farmer's Market. The triathlon event would still be required to provide the public restroom facilities for their event,which could be provided through private contractors that offer this service. Implementation The reduction in service and staffing levels would be effective.July 1, 2011 with the adoption of the 2011-13 Financial Plan. 1. Reduce Temporary Staffing position July 2011 2. Sell or donate portable restrooms July 2011 Key Program Assumptions The current need to reduce operating program costs outweighs the value of the portable restroom service provided. There are other potential resources to offer this service to the community. Program Manager and Team Support Program Manager. Parks Maintenance Supervisor Project Team. Public Works,Administration, Parks and Recreation and the Human Resources Departments Alternatives 1. Continue the Status Quo. No change in portable restroom service would be made. Staff would still provide portable restroom services, at no cost, to the Downtown Association for weekly Farmer's Market events and to the Parks and Recreation Department for the annual Triathlon. 2. Implementation in a Different Way. This service could be provided to the Downtown Association for a cost. Cost recovery would help offset expenses incurred through staff, maintenance and replacements of these units. 3. Existing Program Evaluation. The current program is implemented in the most cost effective manner for provision by the City, making use of a non-benefitted temporary employee year-round. This same service could be readily provided by the event sponsor, using a company that provides temporary restroom service. B2-272 LEISURE� CULTURAL &."JOCIAL SERVICES PARKS MAINTENANCE TEMPORARY STAFFING REDUCTION These services drop off, pick up, and clean portable temporary restrooms that are used for all other special events where restroom service is needed. A service that would provide two of the trailer mounted type units like the City's,which are more expensive than standard"blue rooms,"cost about$400 per night which would total about$20,000 for the year.Providing fewer restrooms could bring this cost down. Operating Program (50200) Landscape and Park Maintenance Cost Summary The salary cost savings would be $12,300 in 2011-12 and$12,700 in 2012-13. Additional maintenance and repair savings would also be realized annually. Furthermore, the capital expense of portable restroom replacement would not have to be expended should the portable restrooms be sold or donated. Line Item Description I Account No.1 2011-12 2012-13 Staffing 12,300 12,700 Temporary Salaries 100-50200-7014 12,000 12,400 Medicare 100-50200-7044 200 200 Unemployment Insurance 100-50200-7046 100 100 B2-273 5� TRANSPORTATION DOWNTOWN STREETS MAINTENANCE STAFFING REDUCTION Request Summary Eliminating one half-time regular Street Maintenance I position from the Street Maintenance Division will save $31,400 in 2011-12 and$31,500 in 2012-13. Key Objectives 1. Reduce staffing costs to assist in closing the City's budget deficit. Existing Situation: Factors Driving the Need for Change The purpose of the half-time Street Maintenance Worker I position in the Street Maintenance program is to provide daily cleanup of the downtown during the week. For approximately the last 8 years,the City has provided a halftime employee to clean the downtown. The employee completes about a 6 mile walk each day to pick up trash in the Downtown. Trash collection alone consumes about 4 hours each day. As time permits, the worker removes graffiti and stickers from City fixtures such as signs, trash containers, signal equipment and benches. He also removes posters, averaging 30 posters a week, cleans up the mess left from spilled trash cans and news racks, and removes trash from the recycling receptacles. He completes weed removal from tree wells, cleans up animal waste left on the sidewalk or in tree wells and makes minor repairs to the trash can holders. This position transitioned from a temporary employee to a regular employee after six years of employment when it appeared that this was an ongoing need, and at the same time, the level of street sweeping was reduced in the downtown to reduce operating costs. There are several benefits to having this employee downtown, including early problem identification for referral to regular maintenance staff, establishing relationships with individual business owners, familiarity with regular transient populations to deal with them in a non-confrontational way, and knowledge of where to focus maintenance efforts. While this benefit is recognized, the City is also dealing with a significant gap in its finances. In focusing on the core services the City delivers, general cleanup of the downtown did not rise above the need to perform ongoing infrastructure maintenance and provide off-hour and emergency response. Goal and Policy Links n/a Service Categorization Criteria 3=High Mid-Range Program Work Completed n/a Environmental Review No environmental review required. B2-274 ,I qachm AIL TRANSPORTATION s • • DOWNTOWN STREETS MAINTENANCE STAFFING REDUCTION Program Constraints and Limitations Regular trash pickup removes a significant amount of trash from the street and ceasing this effort could result in a degradation of water quality and an unsightly appearance. Stakeholders The primary stakeholders and those who benefit from this program include business owners and visitors to the downtown. Implementation The reduction in service and staffing levels would be effective July 1, 2011 with the adoption of the 2011-13 Financial Plan. Key Program Assumptions The current need to reduce operating program costs outweighs the value of having City furnished maintenance provided for the downtown. Paying for a portion of this City service may be supported by the Downtown Association. Program Manager and Team Support Program Manager. Street Maintenance Supervisor Project Team. Administration,Public Works Administration, and the Human Resources Departments Alternatives 1. Continue the Status Quo. No change in downtown maintenance would occur and cleanup would continue to be staffed five days a week. 2. Implementation in a Different Way. A reduced amount could be set aside to do this work. For example, completing this work with staff only three days per week would reduce the cost to $20,000. Once a budget is adopted staff would formulate a request for proposals for the work to be completed by an outside service to determine if the work could be performed less expensively through a private company. If contracting was not competitive, the level of service provided by the City would be reduced to align with the funding available. 3. Implement in a different way. The cleaning, either through staff or contract services,could also be funded at some level by the Downtown Association. Operating Program Street and Sidewalk Maintenance(50300) B2-275 TRANSPORTATION DOWNTOWN STREETS MAINTENANCE STAFFING REDUCTION . Cost Summary Eliminating one half-time regular Street Maintenance I position from the Street Maintenance Division will save $31,400 in 2011-12 and$31,500 in 2012-13. Line Item Description Account No. 2011-12 2012-13 Staffing 31,400 31,500 Regular Salaries 100-50300-7010 22,500 22,500 PERS 100-50300-7040 7,300 7,400 Insurance 100-50300-7042 1,200 1,200 Medicare 100-50300-7044 300 300 Unernployment Insurance 100-50300-7046 100 100 B2-276 COMMUNITY • CIP ENGINEERING REGULAR STAFFING REDUCTION Request Summary Reducing the Capital Improvement Plan (CIP) Engineering program's regular staffing by one Engineering Inspector position will save approximately$99,900 in 2011-12 and$104,600 in 2012-13. Key Objective Reduce CIP Engineering operating program costs to assist in closing the City's current budget gap. Existing Situation: Factors Driving the Need for Change The City currently has a need to reduce the overall operating expenditures to close a budget gap while continuing to maintain a reasonable CIP program. Currently, public and private construction work inside the Right-of-Way and on City property is inspected and managed by five engineering inspectors working in the CIP Engineering program. The program is funded through a combination of private development and encroachment permit fees, and the General Fund. Staff provides the required level of inspection appropriate to the fees collected, with the remaining staff resources available for City project inspection needs. Additional demand for inspection work for City projects is handled through consultant services. Due to the recent downturn in large development activity, private construction work has been less, although encroachment permits have remained steady. Public Works has taken advantage of the available resource, historically dedicated to private work, to provide cost effective inspection of City projects, avoiding more costly consultant services. The Engineering Inspector I position is a cost of $46 per hour including all benefits, as compared to consultant services averaging $135 per hour. The loss of this full-time regular staff position could translate to an increased cost of as much as $173,400 to replace this full time employee if consultants were used to backfill the work. This reduction option if implemented will reduce the City's ability to implement Measure Y through physical improvements the public can see and use,as more funds are spent on outside inspection services. If this reduction option is implemented Engineering's ability to take action on unplanned / emergency construction needs will be reduced as outside services take more time to pull together for responding. Recent examples included the Johnson Waterline break, the Emergency McMillan Sewerline Boring under the railroad, High Street Emergency Sewer Replacement, Garden Alley Paving, University Square Driveway Repair, and pothole coordination and oversight in support of multiple CIP designs. Oversight of private construction,with reduced staff,will be less flexible to minimize time spent in this area.The service will be less responsive to inspection requests impacting private construction costs. The organization's ability to respond quickly to any increase in private construction activity will be reduced due to the need to bring on contract or temporary staff to support private construction activity. Goal and Policy Links This action reduces CIP Engineering's effectiveness in responding to:. 1. 2011-13 Major City Goals—Traffic Congestion Relief. 2. 2011-13 Major City Goal—Neighborhood Wellness 3. 2011-13 Other Important Goal—Infrastructure Maintenance B2-277 • • CIP ENGINEERING REGULAR STAFFING REDUCTION 4. Measure Y priorities 5. Private Development Inspection needs Service Categorization Criteria 2—High This reduction impacts the CIP Engineering program's core services. Program Work Completed Not applicable Environmental Review No environmental review required. Program Constraints and Limitations The impact of this reduction will require CIP Engineering to implement the following actions: 1. Revise encroachment permit inspection request method to allow inspections to be grouped in order to more efficiently complete.This will ultimately result in higher private construction cost. 2. Revise 2011-13 Financial Plan CIP requests to ensure that adequate funding is included in the Construction Management phase. 3. Public outreach will be required to train contractors and home owners on increased timeframes for inspection requests. Contractor and homeowner dissatisfaction is likely to occur. This might be mitigated by notification of these reduced services. Stakeholders The largest impact will be to contractors requesting inspection services for private construction work. CIP Engineering will need to schedule and complete these inspections with other like work or other adjacent construction to be most efficient. This will require the contractor to forecast their inspection needs that might cause delay into their work plan. Any delay will likely increase contractors cost to complete work and will likely be passed on to owners of improvements. Implementation Funding for this salary and benefits will be eliminated effective July 1,2011 upon implementation of the City's 2011-13 Financial Plan 1. Revise Encroachment Permit inspection request method May 2011 2_ Pr are notifications to customers website and pamphlets) June 2011 B2-278 COMMUNITY • CIP ENGINEERING REGULAR STAFFING REDUCTION 3. 7E ' te one Engineering Inspector full-time,regular staffing position July 2011 4. nt inspection coverage strategies On-going Key Program Assumptions The key assumption with this operating program reduction is that it will actually reduce costs. Staff does not predict this will actually occur unless private develop declines further from its current levels and the Council makes significant reductions in the CIP as part of this Financial Plan. Program Manager and Team Support Program Manager. CIP Engineering Project Team. Human Resources Alternatives L. Continue the Status Quo. Deferring this reduction has the potential to save the City costs on inspection services. 2. Defer or Re-Phase the Request. Based on current Planning activity, there are indicators that some large developments are nearing readiness to start construction. Deferring consideration of this reduction for a period of a year would allow the City to be ready to respond to private development inspection currently indicated. The City will have the advantage of an inspection staff person for the next year to allow the section, as a whole, to provide cost effective inspection services for the CIP program, or to shift resources to private development. 3. Implementation in a Different Way. Funding for the regular staff person could be converted to temporary staff. Based on past experience the City could expect to pay between $35 and $50 per hour for temporary help, depending upon the level of experience of the applicants, so there is the potential for small costs savings. The position would also likely be benefited, due to the expected long term nature of the need, if the temporary employee remained with the City beyond the 1000 hour limit. From an operational standpoint, use of serial temporary employees is not generally efficient due to the need for the employee to be familiar with the specific City requirements rather than only general knowledge of construction. Each new employee has to be trained and demands a high level of supervision until they become proficient. Supervision efforts reduce staff's availability to provide CIP inspections and can result in a shift of some work to consultant services,which essentially adds cost to the temporary employee costs. The City's Human Resource Management Policies incorporated in the most recent budget,identify temporary employees as appropriate for peak workload requirements where less than year-round staffing is required. Based on recent experience, even with lower development activity, this is a year-round need. Even at current inspection staffing levels, consultant services are regularly being used to meet peak construction activity seasons. This alternative does not appear to meet the intents of the policies, substituting temporary staff for permanent as a strictly cost cutting measure. B2=279 , COMMUNITY • CIP ENGINEERING REGULAR STAFFING REDUCTION Providing the work through consultants will be considerably more expensive and is not considered a viable alternative to regular staff. Operating Program CIP Engineering(50410) Cost Summary The cost savings associated with the elimination of one Engineering Inspector position is approximately $99,900 in 2011-12 and$104,600 in 2012-13. This position is currently filled with one full time employee. Line Item Description Account No. 2011-12 2012-13 Staffing 99,900 104,600 Regular Salaries 100-50410-7010 63,100 66,400 Retirement 100-50410-7040 20,400 21,800 Health Insurance 100-50410-7042 15,100 15,100 Medicare 100-50410-7044 1,000 1,000 ,Uneniployement Ins 100-50410-7046 300 300 Total Operating Costs 99,9001 104,600 B2-280 avwt ITRANSPORTATION TEMPORARY TRANSPORTATION STAFFING Request Summary Reduce part-time Temporary staff position by 0.75 full-time equivalent(FTE)in the Transportation Planning and Engineering program will save approximately$33,500 annually. Key Objectives Reduce Transportation Planning and Engineering operating program costs to assist in closing the City's current budget gap. Existing Situation: Factors Driving the Need for Change The City has a budget gap that needs to be eliminated. Programs across the City are reducing operating budgets to reduce expenditures and eliminate the overall funding shortfall. Reducing temporary staffing by 0.75 FTE from the Transportation division will assist in reducing operating program expenditures for the Transportation division. Temporary staffing in the Transportation division provides intern support for various transportation and traffic projects. A reduction in this staffing allocation will result in a slower citizen response time to traffic-related needs. The delivery and implementation of various traffic projects, such as the annual Traffic Safety Program, Traffic Operations and Neighborhood Traffic Management Programs will be significantly delayed by several months as a direct result of this staffing reduction. Goal and Policy Links This operating program change supports the following goals and policies: 1. 2011-13 Major City Goal: Preservation of Essential Services 2. 2011-13 Major City Goal: Traffic Congestion Relief 3. 2011-13 Other Important Goals: Infrastructure Maintenance Service Priority Ranking 2=High Program Work Completed This temporary position is currently vacant. The Transportation Programs staff position (usually filled by interns) is designed to support various traffic programs, such as the implementation of recommendations resulting from the annual traffic safety report,traffic operations programs and neighborhood traffic management programs. Environmental Review No environmental review required in this section. B2-281 TRANSPORTATION s TEMPORARY TRANSPORTATION STAFFING Program Constraints and Limitations 1. Assumes the corresponding SOPC restoring the Engineer staff position is approved. If the SOPC is denied, Traffic Safety Reports and programs will be suspended for minimum of two years as a significant impact of insufficient staffing levels. 2. Assumes the delivery and implementation of various traffic projects, such as the annual Traffic Safety Program, Traffic Operations and Neighborhood Traffic Management Programs will be significantly delayed by several months as a direct result of this temporary staffing reduction.. Stakeholders Transportation Planning & Engineering and CIP Engineering staff would be affected by the program constraints and limitation of this position reduction. Additionally, community members,pedestrians and bicyclist would also be affected by a reduction in transportation staffing support. Implementation The temporary staffing position is currently vacant. This request would decrease the temporary staffing FTE allocation by 0.75 effective upon adoption of the 2011-13 Financial Plan. .7117 Reduce 0.75 FTE Temporary Staffing in the Transportation Planning&Engineering July 2011 division Key Program Assumptions 1. Assumes that the duties of the Transportation Programs intern position could be carried out by current temporary or regular staff or the City could attract unpaid intems. 2. This request assumes that the City will be seeking and applying for grants for alternative transportation. Program Manager and Team Support Program Manager. Transportation Programs Manager Project Team. Transportation Planning & Engineering, CII' Engineering and Public Works Administration staff Alternatives 1. Continue the Status Quo. The temporary staffing position will continue to provide Transportation Programs assistance and support for the Transportation Division. 2. Defer or Re-Phase the Request This temporary staffing would not be reduced. These staffing hours could be used to make progress on the Traffic Safety,Traffic Operations and NTM Projects. B2-282 TRANSPORTATION• • TEMPORARY TRANSPORTATION STAFFING 3. Change the Scope of Request A less than 0.75 FTE temporary position would be reduced. This would not allow for sufficient temporary staff time to remaining the Transportation division to provide adequate Transportation programs support. 4. Implementation in a Different Way. Volunteer services could be sought after for Transportation Programs assistance. However the turnover of volunteers is usually higher and their level of commitment is usually lower. Additionally,more staff time is needed to oversee and manage volunteers. 5. Existing Program Evaluation. This program service cannot be accomplished with fewer regular employees. Operating Program Transportation Planning and Engineering(50500) Cost Summary A reduction in temporary staffing by 0.75 FTE will save the Transportation division approximately $33,500 annually. Line Item Description Account No. 2011-12 2012-13 Staffing 33,500 33,500 Temporary.Salaries 100-50500-7014 32,900 32,900 Medicare 100-50500-7044 500 500 Unemployment Insurance 100-50500-7046 100 100 Total Operating Costs $ 33,500 $ 33,500 B2-283 2011-13 Operating Cost Juction Options At ach ant S PUBLIC WORKS DEPARTMENT Description Service Impact Temp Regular 2010-11 Annual Savings Service rity Staff Staff Budget 2011-12 2012-13 SOPC Rank TRANSIT SERVICES ENTERPRISE FUND 50700 Transit Services Reduction of Contract 1,830,700 $89,100 $118,800 X 3 Division Reduce with First Transit as a Purchased provider for SLO Transportation Transit system. This by Eliminating reduction is based upon Evening Services the contract price per mile, fuel costs per mile Eliminate SLO and the expected Transit's revenue amount EVENING received from public SERVICE ridership fares per mile. Revenue offset Elimination of the $4,571 (Cal Poly Evening Services for not included) SLO Transit will directly affect Cal Poly Unknown affect related ridership,&to a on pass sales lesser degree Seniors, disabled and Regional Effective Octover riders connecting to. /, 20// SLO transit routes. The demographic of patrons affected by this reduction in Evening Services areas follows: Cal Poly-83% Adult-6% Senior/Disabled-5% Regional-4% Other:2% Approximately 59,580 riders in 2009-10 Transit Services Reduction of Contract 1,830,700 $23,400 $31,200 X 3 Division Reduce with First Transit as a Purchased provider for SLO Transportation Transit system. This by Reducing reduction is based upon Sunday Services the contract price per By 1/3 mile, fuel costs per mile and the expected Reduce SLO revenue amount Transit's received from public SUNDAY ridership fares per mile. SERVICE by 10,500 miles Reduction of 10,500 (1/3). miles of Sunday Services for SLO B2-284 nu 2011-13 Operating Cost 1._ -Auction Optionschsat 5 PUBLIC WORKS DEPARTMENT Revenue offset Transit will directly $5,000(Cal Poly affect Cal Poly related not included) ridership,&to a lesser degree Seniors, Unknown affect disabled and Regional on pass sales riders connecting to SLO transit routes. Effective July 1, The demographic of 1011 patrons affected by this reduction in Sunday Services are as follows Cal Poly-30% Adult-24% Senior/Disabled-29% Regional-6% Transfers-6% Other—5% Approximately 39,801 ridership in 2009-10 Transit Services Eliminate Education $1,200 $1,200 $1,200 3 Eliminate &Training budget Education& for Transit staff will Training Budget have an impact on the Eliminate level of trailing and Education and recertification Training budget of required. Staff will $1,200 annually be disadvantaged in learning of new State/Federal funding changes and may miss out on applying for grant funding for transit projects. Transit staff will not keep up with current practices,regulations or funding opportunities TOTAL 0.00 0.00 5113;700 5151,200 B2-285 ��u sM TRANSPORTATION TRANSIT EVENING SERVICES REDUCTION Request Summary Reduction on the SLO Transit Services to eliminate Evening Services will save approximately $89,100 in 2011- 12 and$118,000 in 2012-13. Key Objectives Reduce Transit Services operating budget expenditures Existing Situation: Factors Driving the Need for Change The existing situation is affected by various unknown in revenue forecasting as detailed below. The Transportation Development Act (TDA) grants are a major source for transit funding. Funding has been reduced due to lower share of retail sales tax. San Luis Obispo (SLO) Transit anticipates slight increase in Federal funding for 2001-12 and 2012-13 Fiscal Years. The SLO Transit is currently entering into contract negotiations for student ridership with Cal Poly University. Contract agreement and the level of fimding is currently unknown. level of future funding but 83% evening service riders are Cal Poly related and will need at least $102,000 above existing FY 2011 level to keep service viable. The Federal Transit Administration(FTA)funding is currently unknown due to Federal Budget crisis. Goal and Policy Links 1. 2011-13 Major Council Goal for Traffic Congestion Relief 2. Climate Action Plan 3. General Circulation Element 4. Operating Program Goals of Vehicle operations, administration and facility and bus stop maintenance Service Categorization Criteria 1 =Mandated Program Work Completed Preliminary budget forecast, identify demographics of passengers likely to be affected Environmental Review No environmental review required in this section. Program Constraints and Limitations A significant obstacle will be time frame to implement as need to hold public hearings via Mass Transit Committee(MTC)and Council in advance of July 1, 2011 B2-286 - i TRANSPORTATION TRANSIT EVENING SERVICES REDUCTION Stakeholders SLO Transit Passengers, MTC Advisory Body members, City Transit staff, bicyclist and pedestrians will be affected by the implementation of SLO Transit marketing plan and public outreach. Implementation The augmentation to the Transit Services to reduce Evening Services will be effective October 1,2011,upon the implementation of the City's 2011-13 Financial Plan. 1. Eliminate Evening Services effective July 1, 2011 . October 2011 2. Reduce Purchased Transportation budget b $89,100 October 2011 Key Program Assumptions 1. Assumes TDA, State Transit Assistance(STA)and Cal Poly funding remain at current levels or above. 2. Assumes the San Luis Obispo Regional Transit Authority (SLORTA) budget costs increase at a reasonable rate. Program Manager and Team Support Program Manager. Transit Manager Project Team. Transit Services and Public Works Administration staff. Alternatives Continue the Status Quo. Delay until more detailed funding information is available in.FY 2012 Change the Scope of Request Identify low ridership trips on all routes including weekday and reduce service by November 30, 2012 Implementation in a Different Way. Seek additional Cal Poly related funding in proportion to demographics (83%) Operating Program Transit Services (50700) Cost Summary This decrease in evening services to the Transit Services division operating budget effective October 1, 2011, would save approximately$89,100 in 2011-12 and$118,800 in 2012-13. line Item on I Account No. 2011-12A2012-MI03Other E nditures 89,100R rebased T nation 50700.7337 89,100Total Casts 89,100 11$ B2-287 P TRANSPORTATION TRANSIT SUNDAY SERVICES REDUCTION Request Summary Reduction on the SLO Transit Services to Reduce Sunday Service by 10,500 revenue miles (1/3 of miles) will save$23,400 in 2011-12 and$31,200 in 2012-13. Key Objectives Reduce Transit Services operating budget expenditures Existing Situation: Factors Driving the Need for Change The existing situation is affected by various unknown in revenue forecasting as detailed below. The Transportation Development Act (TDA) grants are a major source for transit funding. Funding has been reduced due to lower share of retail sales tax. San Luis Obispo (SLO) Transit anticipates slight increase in Federal funding for 2001-12 and 2012-13 Fiscal Years. The SLO Transit is currently entering into contract negotiations for student ridership with Cal Poly University. Contract agreement and the level of funding is currently unknown. level of future funding but 83% evening service riders are Cal Poly related and will need at least $102,000 above existing FY 2011 level to keep service viable. The Federal Transit Administration(FTA) funding is currently unknown due to Federal Budget crisis. Goal and Policy Links 1. 2011-13 Major Council Goal for Traffic Congestion Relief 2. Climate Action Plan 3. General Circulation Element 4. Operating Program Goals of Vehicle operations,administration and facility and bus stop maintenance Service Categorization Criteria 1 =Mandated Program Work Completed Preliminary budget forecast, identify demographics of passengers likely to be affected Environmental Review No environmental review required in this section. Program Constraints and Limitations A significant obstacle will be time frame to implement as need to hold public hearings via Mass Transit Committee(MTC)and Council in advance of July 1,2011 B2-288 i P ITRANSPORTATION TRANSIT SUNDAY SERVICES REDUCTION Stakeholders SLO Transit Passengers, MTC Advisory Body members, City Transit staff, bicyclist and pedestrians will be affected by the implementation of SLO Transit marketing plan and public outreach. Implementation The augmentation to the Transit Services to reduce Sunday Services will be effective October 1, 2011,upon the implementation of the City's 2011-13 Financial Plan. 1. Eliminate SLO Transit Sunday Services effective July 1,2011 October 2011 2. Reduce Purchased Transportation budget b $23,400 October 2011 Key Program Assumptions 1. Assumes TDA, State Transit Assistance (STA) and the California Polytechnic University (Cal Poly) funding remain at current levels or above. 2. Assumes the San Luis Obispo Regional Transit Authority (SLORTA) budget costs increase at a reasonable rate. Program Manager and Team Support Program Manager. Transit Manager Project Team. Transit Services and Public Works Administration staff. Alternatives Continue the Status Quo. Delay until more detailed funding information is available in FY 2012 Change the Scope of Request. Identify low ridership trips on all routes including weekday and reduce service by November 30, 2012 Implementation in a Different Way. Seek additional Cal Poly related funding in proportion to demographics Operating Program Transit Services(50700) Cost Summary This decrease in Sunday services to the Transit Services division operating budget would save approximately $23,400 in 2011-12 and$31,200 in 2012-13. Llffi(tem 'on Accart No. 201142 2012-13 Other Operating Expenditures. 23,400 31,200 Purchased Transportation 530-50700-7337 23,400 31,200 Total Opemfm Costs 23,400 31,200 B2_289 2011-13 Operating Cost► Action Options J•' ����������� PUBLIC WORKS DEPARTMENT Description Service Impact Temp Regular 2010-11 Annual Savings SOPC Service Staffing Staffing Budget 2011-12 2012-13 Priority Rank PARIQNG SERVICES-ENTERPRISE FUND 510-50600 Parking Current contract $53,500 $12,500 $12,500 3 Services is about$50,000 Division annually. Reduce Landscape Staff has met and with the Pruning contractor Service (Tennis Contracts Landscape)and they are willing Reduce the to reduce the Parking contract by 25%. Landscape This reduction in contract by service-level will 25%. limit the frequency of No offsetting pruning and is revenue not expected to substantially Effective July affect parking 1. 2011 area landscaping. P g• This work will be preformed at the same frequencies but with a reduction in service levels. TOTAL 0.00 0.00 $12,500 $12,500 B2-290 2011-13 Financial Plan s . Fire Department Operating Cost Reductions Regular Annual Savings Service Staffing 2011-12 2012-13 Category Eliminate one fulltime Administrative Assistant position 1.0 74,700 78,300 3 Backfill three vacant firefighter positions with overtime 3.0 48,800 70,500 2 Reduce the fulltime Fire Inspector III position to.75 time 0.25 30,900 31,100 1 Reclassify Training Officer to Captain 16,100 32,500 2 Temporary Closing of Fire Station 3 432,700 394,500 2 Total Operating Cost Reductions 4.25 603,200 606,900 Total Operating Cost Reductions B2-291 2011-13 Operating Cost Reduct. Options FIRE DEPARTMENT Description Service Impact 2011-12 Temp Regular Annual Savings SOPC Service Budget Staff Staffing 2011-12 2012-13 Category FIRE ADMINISTRATION (85100) 1. Eliminate one fulltime Currently,there are two 74,700 1.0 74,700 78,300 X 3 Administrative Administrative Assistant position.This Assistant positions in option affects regular Fire Administration. staffing costs. The This reduction reduction would be eliminates one of the implemented on July 1, Administrative 2011. Assistant positions which could result in the following reduced levels of servicer 1.Availability as a receptionist,inability to provide a high level of customer service to both external and internal customers,due to reduced"open" telephone and counter reception time. 2. Complying with the requirements dealing with processing subpoenas. 3. Supporting the review and preparation of employee time card information. 4.Tracking fees and other moneys collected. 5. Supporting the Administrative Analyst with Accounts Payable duties. 6.Additionally,other tasks will be eliminated or reduced. Administrative support for the internal programs as well as tasks which impact other departments will be evaluated and prioritized for future continuation. Further explanation is provided in the SOPC. B2-292 2011-13 Operating Cost Reduct. .'Options FIRE DEPARTMENT 2.Backfill three vacant There are cost savings 300,800 3.0 48,800 70,500 X 2 Firefighter positions when backfilling a Salary with overtime.This vacant firefighter and option decreases regular position with overtime benefits staffing costs and versus hiring new increases overtime for a personnel. (252,000) net savings. Part of the This does not result in reduction would be any reduction of service Overtime implemented on July 1, level.Further 2011 with one vacant explanation is provided position.Two positions in the SOPC. are currently filled. The two additional vacancies are anticipated by January 2012. HAZARD PREVENTION(851-00)- 3. 85300 3.Reduce the Fire This reduction in the 123,400 .25 30,900 31,100 X 1 Inspector III position Fire Inspector III from fulltime to.75 position from fulltime time.This option to.75 could result in decreases regular staffing increased tum around costs.The position is time for fire safety plan currently filled. The reviews, impacting reduction would be customer service. implemented on July 1, Further explanation is 2011. provided in the SOPC. TRAINING 85400 - 4.Reclassify position of Reclassify the position 220,500 16,100 32,500 X 2 Training Battalion of Training Battalion Training Chief to Training Chief to Captain. This BC Captain. This option will maintain service decreases regular staffing level. In addition,it will costs.The position is increase our cadre of (190,500) currently filled with a training officers from retirement anticipated in one to three by sharing Training December 2011. The resources with the Captain reclassification would be County Fire implemented January 1, Department.Further 2012. explanation is provided in the SOPC. EMERGENCY RESPONSE 85200 5.Temporary Closing of This reduction would 830,000 432,70 394,50 X 2 Fire Station 3.This temporary close Fire 0 0 option decreases Station 3 as a result of overtime expenditures. reduced staffing.If The reduction would be staffing falls below 14 implemented on January personnel per shift(as a 1,2012. result of vacation,sick leave,etc.)the position would not be backfilled.. B2-293 2011-13 Operating Cost Reduct. . Options FIRE DEPARTMENT This could occur for up to 3 Emergency Response personnel per shift.This will result in a reduced level of service; 1. Longer response times to emergencies in the geographic area of the empty fire station compromising the welfare of the public. 2.Inability to accomplish critical tasks in a timely manner due to fewer personnel on scene. 3.Compromise safety of response personnel on a large or dynamic incident. 4. Increase reliance on surrounding fire departments and off- duty personnel, resulting in slower mitigation of the incident. 5. Limits ability to respond to simultaneous incidents. Further explanation is provided in the SOPC. TOTAL 0 4.25 603,20 606,90 0 0 B2-294 s LIC SAFETY ELIIvCNATE ONE FULLTIME ADMINISTRATIVE ASSISTANT POSITION Request Summary Combine the two Administrative Assistant positions into one Administrative Assistant position and redefine the duties of the remaining position. This reduction will save$74,700 in 2011-12 and$78,300 in 2012-13. Key Objectives Eliminating one fulltime Administrative Assistant position will save the Fire Department$74,700 in 2011-12 and $78,300 in 2012-13 and assist the Department in meeting its cost reduction goal. Eliminating the position may result in the following service reductions: 1. Inability to provide a high level of customer service to both external and internal customers, due to reduced "open" telephone and counter reception time (closure of office at 3:00 p.m. daily or earlier if staff unavailable to respond to front desk/reception responsibilities). 2. Inconsistency in mail distribution and other business at City Hall.. 3. Complying with the requirements of processing subpoenas. 4. Supporting the review and preparation of employee time card information. 5. Tracking fees and other moneys collected. 6. Supporting the Administrative Analyst with Accounts Payable duties. 7. Coordination of the Public Educationprogram which may lead to a reduction or elimination of the public education programs provided by the Fire Department. Existing Situation: Factors Driving the Need for Change As part of the Citywide effort to close a 2011-13 budget gap, and to address the projected on-going budget gap beyond 2013, the Fire Department is proposing to eliminate:one fulltime administrative assistant position as a budget reduction option from our operating budget. Salary and benefits comprise 96% of the Fire Department operating budget. The Fire Chief's full time Administrative Assistant.11I position has been vacant for 3 months and critical tasks are not being performed. The result is inefficiency which is prohibiting the Fire Department to function at an acceptable level. Examples of duties and responsibilities not being performed are the following: adequate maintenance of calendar and coordination of schedules, project research and report preparation, reviewing reports prepared for the City Council and City Administrative Officer, preparation of Council Agenda Items, attend and record the minutes of various committees, follow-up on decisions, preparation of detailed and confidential correspondence, organizing and maintaining various administrative, confidential, reference and follow-up files,provide work direction,review and instruction to office and or volunteer staff on projects.. Goal and Policy Links 1. Fiscal sustainability of City. 2. Meeting Fire Department budget reduction target for 2011-13. Service Categorization Criteria Functions for Proper Organizational Management#3 B2-295 ■ e LIC SAFETY ELIlVIINATE ONE FULLTIME ADMINISTRATIVE ASSISTANT POSITION Program Work Completed As stated, San Luis Obispo Fire Department has been operating without a fulltime Administrative Assistant III for 3 months. "Crossover" duties (between the Admin II and III positions) have already occurred which necessitates the need for the reclassification. Environmental Review No Environmental Review required. Program Constraints and Limitations The redistribution of duties assigned to this position will cause an increase or shift in workload for other employees. Certain services performed would be eliminated; response and availability to the public could be delayed. Stakeholders 1. Other employees in the Fire Department and other City departments. 2. Members of the Community. Implementation Task Date 1. . - 1. Eliminate one fulltime Administrative Assistant position and reassign or discontinue July 2011 current services and responsibilities assigned to this position. Key Program Assumptions With a re-prioritization of duties, the transfer of the current Administrative Assistant II to the Fire Chief's Administrative Assistant III, and subsequent elimination of the Administrative Assistant II position, SLOFD will reduce services that would be performed by the Administrative Assistant II. Since the reduction of temporary staffing effective July 1, 2010 and the retirement of the Administrative Assistant III effective November, 2010 there has been an ongoing evaluation and reorganization of workload for the Administrative staff and Administrative Assistant III in the Fire Prevention Bureau. Services have been reduced, transferred or eliminated as a result of the ongoing reduction of administrative staff. Program Manager and Team Support Fire Chief and Fire Administrative Division Staff Alternatives Rather than eliminate the position, reduce the position to half-time, in order to help mitigate the impact. This option would not realize as much savings for the City. B2-296 PUBLIC SAFETY ELIMINATE ONE FULLTIME ADMINISTRATIVE ASSISTANT POSITION Operating Program Fire Administration(85 100) Cost Summary Line Item Description I Account No.1 2011-12 2012-13 Staffing 74,700 78;300 Salaries-Regular 100-85100-7010 47,400 49,900 Retirement Contributions 100-85100-7040 15,300 16,400 Health and Disability Insurance 100-85100-7042 11,100 11,100 Medicare 100-85100-7044 700 700 ,Unemployment Insurance 100-85100-7046 200 200 Total Operating Costs 1 74,700 78,300 B2-297 AtMChnL ant 5- PUBLIC s - BACK-FILL THREE VACANT FIREFIGHTER POSITIONS WITH OVERTIME Request Summary Allowing a maximum of three Firefighter vacancies to be back-filled with overtime rather than hiring new personnel will save$48,800 in 2011-12 and$70,500 in 2012-13. Key Objectives Backfilling three vacant Firefighter positions with overtime will save the Fire Department an estimated $48,800 in 2011-12 and $70,500 in 2012-13 and assist the Department in meeting its budget reduction goal. This will not result in any reduction in service level. Existing Situation: Factors Driving the Need for Change As part of the Citywide effort to close a 2011-13 budget gap, and to address the projected on-going budget gap beyond 2013, the Fire Department is proposing to back-fill three vacant firefighter positions with overtime as a budget reduction option from our operating budget. Salary and benefits comprise 96% of the Fire.Department operating budget. Currently there is one vacant Firefighter position. It is anticipated that two additional vacancies will occur by December due to attrition. Back-filling the positions with overtime are a key element of meeting the Department's budget reduction goal. Goal and Policy Links 1. Fiscal sustainability of City. 2. Meeting Fire Department budget reduction target for 2011-13. Service Categorization Criteria The major emphasis of Firefighters is to respond and mitigate emergencies, such as fires,medical,hazardous materials,rescues,etc. This activity is a service priority ranking#2. Program Work Completed A preliminary meeting with International Association of Firefighters, Local 3523 was conducted. They are requesting a"side letter". Environmental Review No Environmental Review required. Program Constraints and Limitations The only constraint or limitation to implementing this program is a "side letter" from the International Association of Firefighters,Local 3523. B2-298 d'Ct6�iG�atl .IPUBLIC BACK-FILL THREE VACANT FIREFIGHTER POSITIONS WITH OVERTIME Stakeholders Internal Stakeholders have been engaged in the resource impacts associated with budget reduction. Implementation Task Date 1. . - 1. Back-fill the vacant Firefighter Position with Firefighters working overtime July 2011 2. Back-fill the two vacant Firefighter Positions with Firefighters working overtime January 2012 The two remaining vacancies are anticipated to occur on or before December 2011 due to attrition. Key Program Assumptions The key program assumption is that there is one vacant firefighter position and that two additional firefighter vacancies will occur by January 1, 2012. One vacant firefighter position with salary and benefits is estimated at $150,400 in 2011-12 and $155,500 in 2012-13. Annual overtime to back-fill the vacant position is estimated at $126,000 per vacant position. Leaving up to three firefighter positions vacant and back-filling the positions with overtime will save money. Program Manager and Team Support The Battalion Chiefs will have oversight of our staffing. Alternatives Hiring new firefighters to fill the vacant positions would not result in an estimated savings of$48,800 in 2011-12 and$70,500 in 2012-13. Operating Program Emergency Response(85200) B2-299 PUBLIG SAFETY BACK-FILL THREE VACANT FIREFIGHTER POSITIONS WITH OVERTIME Cost Summary Line Item Description Account No.1 2011-12 2012-13 Staffing 85200 300,800 466,500 Salaries Regular 100-85200-7010 166,400 261,000 Holiday 100-85200-7016 7,600 11,700 Uniform 100-85200-7018 1,600 2,400 FLSA Overtime 100-85200-7021 4,400 6,600 Retirement Contributions 100-85200-7040 97,000 149,100 Health and Disability Insurance 100-85200-7042 20,400 30,600 Medicare 100-85200-7044 2,800 4,200 Unemployment Insurance 100-85200-7046 600 900 Total Operating Costs 300,800 466,500 Offsetting Costs Savings or Revenues Overtime 252,000) 396,000 Net Operating Costs 48,800 70,500 B2-300 PUBLIC e REDUCE THE FULLTIME FIRE INSPECTOR III POSITION TO .75 TIME Request Summary Reducing the fulltime Fire Inspector III position to .75 time effective July 1, 2011 will save $30,900 in 2011-12 and$31,100 in 2012-13. Key Objectives Reduce on-going projected budget gap by reducing staffing levels. Reducing the hours of the Fire Inspector III position will save the Fire Department an estimated $30,900 in 2011-12 and $31,100 in 2012-13 and assist the Department in meeting its budget reduction goal. Existing Situation:Factors Driving the Need for Change As part of the Citywide effort to close a 2011-13 budget gap, and to address the projected on-going budget gap beyond 2013, the Fire Department is proposing to reduce the fulltime Fire Inspector III position to .75 time as a budget reduction option from our operating budget. Salary and benefits comprise 96% of the.Fire Department operating budget. Reducing this position from full time to .75 time is a key element in meeting with the Department's budget reduction goal. This action in all probability will increase the tum around time for fire safety plan reviews, impacting customer service. Goal and Policy Links 1. Neighborhood Wellness. 2. Fiscal sustainability of City. 3. Meeting Fire Department budget reduction target for 2011-13. Service Categorization Criteria The major emphasis of the Fire Prevention Bureau is to conduct fire and life safety inspections. This activity is a service priority ranking#1 as required by local and state laws. Program Work Completed Preliminary meeting with International Association of Firefighters, Local 3523 was conducted. Environmental Review No Environmental Review required. Program Constraints and Limitations This is a meet and confer item with International Association of Firefighters, Local 3523. Reducing the position to .75 time will in all probability increase the turn around time for fire safety plan reviews, impacting customer service. The Fire Prevention Bureau will review work processes to determine if additional efficiencies can be developed to allow for existing workload to be accomplished within the required timeframe or if work duties need to be transferred to another individual or eliminated. B2-301 Attach re-jjenLi • PUBLIC SAFETY REDUCE THE FULLTIME FIRE INSPECTOR III POSITION TO .75 TIME Stakeholders Internal Stakeholders have been engaged in the resource impacts associated with this budget reduction. Implementation Task Date 1. Reduce current full time Fire Inspector III Position to .75 time July 2011 Key Program Assumptions The key program assumption is the number of fire and life safety inspections will remain at or near the current level. An increase in building construction will create a proportionate increase in revenue at which time the Fire Department will request funding the Fire Inspector III position be reinstated to fulltime. Program Manager and Team Support The Fire Marshal will have oversight. Alternatives Maintaining the status quo would not result in savings of$30,900 in 2011-12 and $31,100 in 2012-13. Operating Program Fire Prevention Bureau(85300) Cost Summary Line Item Description Account No.1 2011-12 2012-13 Staffing 30,900 31,100 Salaries-Regular 100-85300-7010 21,000 21,000 Retirement Contributions 100-85300-7040 6,800 7,000 Health and Disability Insurance 100-85300-7042 2,500 2,500 Medicare 100-85300-7044 300 300 Unemployment Insurance 100-85300-7046 100 100 Uniforms 100-85300-7018 200 200 Total Operating Costs 30,900 31,100 B2-302 'PUBLIC RECLASSIFY POSITION OF TRAINING BATTALION CHIEF TO TRAINING CAPTAIN Request Summary Reclassifying the position of Training Battalion Chief to Training Captain in January 2012 will save $16,100 in 2011-12 and$32,500 in 2012-13. Key Objectives The reclassification of the Training Officer will save the Fire Department $16,100 in 2011-12 and $32,500 in 2012-13 and assist the Fire Department in meeting its budget reduction goal. This will not result in any reduction in service level. In addition it will increase our cadre of Training Officers from one to three by sharing resources with CalFire/San Luis Obispo County Fire Department. Existing Situation: Factors Driving the Need for Change As part of the Citywide effort to close a 2011-13 budget gap, and to address the projected on-going budget gap beyond 2013, the Fire Department is proposing to reclassify the Training Officer position as a budget reduction option from our operating budget. Salary and benefits comprise 96% of the Fire Department operating budget. Reclassifying the position is a key element of meeting the Department's budget reduction goal. Goal and Policy Links 1. Fiscal sustainability of City. 2. Meeting Fire Department budget reduction target for 2011-13. Service Categorization Criteria -The major emphasis of the Training Officer is the development,delivery, and tracking of in-service training, some of which are State and Federal mandates.This is a service priority ranking#2. Program Work Completed A preliminary meeting with CalFire/San Luis Obispo County Fire Department regarding sharing of Training Officer Resources has been conducted. Initial discussions have occurred with the San Luis Obispo Fire Battalion Chief's Association and International Association of Firefighters,Local 3523. Environmental Review No Environmental Review required. Program Constraints and Limitations This is a meet and confer item with the San Luis Obispo Fire Battalion Chief's Association and International Association of Firefighters, Local 3523. Stakeholders Internal and external stakeholders have been engaged in the impacts associated with the SOPC. B2-303 Attachnant S .. 2011-13 Operating Cost Reduction Options PUBLIC UTILITIES Description Service Temp Regular 2011-12 Annual Savings SOPC Service Impact Staffing Staffing Budget 2011-12 1 2012-13 Category WATER SOURCE OF SUPPLY Salinas Reservoir Services will 1,901,000 675,900 1,135,900 X 2 Operations. This not be reduction option impacted by recognizes changes the cost in resource requirements for reduction. capital reserves Adequate associated with funding will maintaining the have been Salinas Reservoir achieved for water supply to the pending City.The San Luis capital Obispo County improvement Flood Control and s.This action Water Conservation aligns District is the resource with agency responsible finding for the Salinas Reservoir water requirements. supply operations. Whale Rock Services will 555,500 91,600 91,600 X 2 Reservoir.Adding not be the Nacimiento Lake impacted by water supply as a the cost primary water reduction but source for the City it will be reduces the amount of water required critical for from Whale Rock operations to Reservoir. Reducing carefully water deliveries balance the from Whale Rock City's water will reduce the supply amount of electricity portfolio to required to pump minimize use water to the water of water from treatment plant in Whale Rock proportion to reductions in the Reservoir. amount of water Whale Rock which the City has will become delivered from the third Whale Rock source of Reservoir. This water supply reduction is$91,600 for the City annually in 2011-13. behind Nacimiento and Salinas. B2-313 2011-13 Operating Cost Reduction Options _ 5 PUBLIC UTILITIES Description Service Temp Regular 2011-12 Annual Savings SOPC Service Impact Staffing Staffing Budget 2011-12 2012-13 Category WATER TREATMENT Utilities,chemicals, Services will 612,500 42,200 25,900 X 1 contract services. not be Electric utility, impacted as chlorine chemicals 1)a favorable and contract services bidding will be reduced. climate Chemical bids came in favorably; State afforded this inspection fees have cost been reduced due to reduction lower oversight option and 2) required now that operational process changes efficiencies related to the reduced the treatment plant level of upgrade are fully oversight dialed in.Electric needed for demand for water treatment reduced the water due to a reduction in treatment the amount of water plant at the being treated. State level. WATER DISTRIBUTION Utilities.Due to Services will 46,200 14,600 14,600 X 1 increased energy not be efficiencies resulting impacted as from recent physical infrastructure infrastructure replacements and the reprogramming of improvement control systems and s resulted in processes electrical this cost usage will be reduction decreased. I option WASTEWATER COLLECTION Utilities.Due to Services will 25,700 5,000 5,000 X 1 increased energy not be efficiencies resulting impacted as from the new Tank physical Farm Lift Station, infrastructure which replaced two older, less energy improvement efficient lift stations, s resulted in electrical usage will this cost be decreased. reduction option B2-314 2011-13 Operating Cost Reduction Options PUBLIC UTILITIES Description Service Temp Regular 2011-12 Annual Savings SOPC Service Impact Staffing Staffing Budget 2011-12 2012-13 Category WATER RECLAMATION FACILITY Utilities.Based on Services will 33,800 7,000 0 X 1 natural gas usage not be trends and with level impacted by or slight decreases in this one-time natural gas pricing budget in recent years,plus reduction in a zero rate change projected for natural natural gas gas in 2011-12,this utility based allows for a one- on current time budget usage trends reduction in natural and natural gas utility at the gas rates Water Reclamation remaining Facility. level in 2011- 12. Chemicals.Process Services will 449,600 32,000 7,000 X 1 chemicals and not be chlorine bids came impacted as a in favorably which favorable reduces the amount bidding of funding required climate to purchase these items. afforded this cost reduction option WATER QUALITY LABORATORY Laboratory Current 117,700 18,000 18,000 X 1 Services and service levels Supplies.Pilot will not be studies on impacted. alternative disinfection and chlorine dioxide methods are completed,this allows for a budget decrease in lab services and supplies. TOTAL i 0 0 i 3,742,000 886,300 1,298,000 B2-315 PUBLIC UTILITIES SOURCE OF SUPPLY: SALINAS RESERVOIR OPERATIONS BUDGET REDUCTION Request Summary Ensuring efficient and reliable operations of the Salinas Reservoir by providing appropriate funding levels for capital projects to the San Luis Obispo County Flood Control and Water Conservation District, the agency responsible for the Salinas Reservoir water supply operations,required the City to increase its contribution to the District over the last several years. Sufficient reserves required for capital projects are nearly funded and it is now time to start ramping down reserve contributions. This action will result in a budget reduction of$675,900 in 2011-12 and a budget reduction of$1,135,900 in 2012-13. These reductions bring the City's payment down to $725,000 in 2012-13 representing the projected base operating and minor capital budget levels for Salinas Reservoir Operations after funding a booster pump station upgrade capital project. Key Objectives 1. Continuing to ensure a safe and reliable source of water to meet the City's demand. 2. Providing adequate budget to maintain and operate the Salinas dam and water delivery system. 3. Meeting projected operational and capital expenses,while minimizing rate impacts. 4. Maintaining a structurally balanced budget for Salinas Reservoir water supply operations. Existing Situation: Factors Driving the Need for Change 1. The San Luis Obispo County Flood Control and Water Conservation District operates Salinas Reservoir under contract with the Army Corps of Engineers. Through the payments in the City's Source of Supply program, the City pays for the total cost of operating and maintaining Salinas Reservoir and delivery system for transporting raw water to the City's water treatment plant. The City also pays the County Parks for lake water quality patrol services. 2. As part of the 2009-11 Financial Plan process the City's Source of Supply payment for Salinas Reservoir Operation was increased by $25,000 (from $625,000 to $650,000) in 2009-10 and increased by $1,235,900 (to $1,860,900) in 2010-11. The approved budget increases provided funding towards the capital project design and construction fora booster pump station upgrade, with capital project costs estimated at $238,800 for design and $1,052,200 for construction. 3. The booster pump station upgrade project design is complete. Advertising for construction bids is planned for spring 2011. The original project budget estimate is in-line with the current project cost estimates. At time of bid award, further project cost information will be available. Construction is currently planned to begin in summer 2011. 4. Positioning the Water Fund for this project began in 2007, and continued each year thereafter. The City's payment for Salinas Reservoir Operations was $1,860,900 in 2010-11 and will now decrease by$675,900 (to $1,185,000) in 2011-12 and decrease by $1,135,900 (to $725,000) in 2012-13. In 2012-13 the $725,000 payment represents the base operating and minor capital budget levels for Salinas Reservoir Operations. Goal and Policy Links Water Source of Supply Operating Program Goal Service Categorization Criteria Water Source of Supply is ranked 2-High. B2-316 Attachment 5 ' PUBLIC UTILITIES SOURCE OF SUPPLY: SALINAS RESERVOIR OPERATIONS BUDGET REDUCTION Program Work Completed Development of Salinas Reservoir water supply operating budget for 2011-12, with budget projections for 2012- 13 and 2013-14 is complete. City and County staff have mutually agreed on a combination of fund balance and an adjustment in the City's payment to ensure adequate budget to meet operational and capital expenses, while minimizing rate impacts. Environmental Review No environmental review required. Program Constraints and Limitations There are no significant project constraints or limitations. Stakeholders Water customers in the community City and County staff Implementation Task Date Reduce . - Reduce budget in Source of Supply for Salinas Reservoir Operations July 2011 Program Manager Program Manager. Water Division Manager Operating Program Water Source of Supply(55110) Cost Summary Ensuring efficient and reliable operations of the Salinas Reservoir by providing appropriate funding levels for capital projects to the San Luis Obispo County Flood Control and Water Conservation District will result in a budget reduction of$675,900 in 2011-12 and a budget reduction of$1,135,900 in 2012-13.These reductions will reduce the City's payment to $725,000 in 2012-13 representing the projected base operating and minor capital budget levels for Salinas'Reservoir Operations after funding a booster pump station upgrade capital project. Line Item Description Account No. 2011-12 2012-13 Contract Services 675,900 1,135,900 Budget Reduction Salinas Reservoir Operations 500-55110-7289 675,900 1,135,900 Total Operating Budget Reduction 675100 1,135,900 B2-317 . PUBLIC UTILITIES SOURCE OF SUPPLY: WHALE ROCK RESERVOIR ELECTRIC UTILITY REDUCTION Request Summary Adding the Nacimiento Lake water supply as a primary water source for the City will result in a reduction of electrical utilities funding for the Whale Rock Pump Stations commensurate with reductions in the amount of water which the City will have delivered from Whale Rock Reservoir. Whale Rock water supplies will move from the second to the third source of water that the City will utilize in 2011-13.Using this new water supply will reduce the City's estimated electrical pumping charges for Reservoir Operations by 591,600 annually in 2011-13. Key Objectives Ensuring the Water Treatment Plant meets daily water production demands for the community. Existing Situations Factors Driving the Need for Change 1. Reducing City of San Luis Obispo raw water use from Whale Rock Reservoir. 2. Using Nacimiento and Salinas Reservoirs as the primary raw water sources for the City's potable water demands. Goal and Policy Links This request meets the 2011-13 Source of Supply operating program objective to deliver raw water supplies in a reliable,cost-effective manner. Service Categorization Criteria Water Source of Supply is ranked 2-High. Program Work Completed Adjustments in water deliveries have been made by Reservoir Operations and Water Treatment Plant staff. Environmental Review No environmental review required. Program Constraints and Limitations There are no significant project constraints or limitations at this time. Stakeholders Reservoir Operations staff and Water Treatment Plant staff Program Manager and Team Support Program Manager. Water Supply Supervisor B2-318 PUBLIC UTILITIES SOURCE OF SUPPLY: WHALE ROCK RESERVOIR ELECTRIC UTILITY REDUCTION Project Tenn. Reservoir Operations Staff Alternative Continue the Status Quo. Continue use of Whale Rock water for secondary supply to the Water Treatment Facility. This alternative would reduce the amount of water in storage at the reservoir and create additional electrical expense for pumping. In addition, the City's entitlement of 3,380 acre feet per year from the Nacimiento Reservoir can not be carried over(i.e. "banked") from year to year which means that the City should maximize the use of the Nacimiento water source and use our other sources as needed. For these reasons, continuing with the status quo is not recommended. Operating Program Source of Supply(55110) Cost Summary Reducing raw water use from the Whale Rock Reservoir will cause a reduction in utility service,usage for the Reservoir Operations budget for the City of San Luis Obispo, resulting in a budget reduction of$91,600 annually in 2011-13 in the Source of Supply program. Line Item Description I Account No.1 2011-12 2012-13 Contract Services _ 91,600 91,600 Budget Reduction Whale Rock Operations 500-.55110-7311 91,600 91,600 Total Operating Budget Reduction 1,600 91,600 B2-319 • • e LIC UTILITIES WATER RECLAMATION FACILITY: UTILITY SERVICES AND CHEMICALS Request Summary Analyzing electrical and natural gas usage trends, projected utility service rates, and current chemical contract bids and supply needs results in a cost savings of$44,000 in 2011-12 and a projected cost increase of$29,800 in 2012-13 at the Water Reclamation Facility. With off-setting cost savings in electric utility usage for Wastewater Collections, and also for wastewater treatment chemicals based on current usage trends at the Water Reclamation Facility,this results in a cost savings of$44,000 in 2011-12 and a.net cost increase of$17,800 in 2012-13. Key Objectives 1. Maintaining all Water Reclamation Facility(WRF)processes at optimal operation. 2. Maintaining compliance with local, State and Federal regulations. 3. Protecting human and environmental health along San Luis Obispo Creek. Existing Situation: Factors Driving the Need for Change The significant operating program changes summarized in this request include a combination of both cost savings and projected costs increases. The cost summary table at the end of this request provides the reader with a quick "snapshot"of the overall costs savings, cost increases and net fiscal impacts. 1. Electric Utility—Wastewater processes demand a great deal of electricity and are in constant operation. All processes utilize electricity to drive motors and pumps of various sizes. Projected electric utility rate increases include 3.6% in 2011-12 and 4% in 2012-13. Based on an evaluation of recent electrical usage trends for wastewater services and when considering current wastewater flows, the new Tank Farm Lift Station which replaced two aged lift stations (old Tank Farm and Rockview)will result in an electrical cost savings of$5,000 annually in 2011-13 in the Wastewater Collection program. Based on current wastewater treatment processes and electric utility budget levels at the WRF, electric utility services will not require a budget adjustment in 2011-12; the projected electric rate increase will cost an additional $20,800(4%)in 2012-13 at the plant(from$520,000 to$540,800). Offsetting costs savings in wastewater collection results in a cost savings of$5,000 in 2011-12 and a net cost increase of$15,800 in 2012-13. In 2010 there were two separate energy audits conducted at the Water Reclamation Facility. Several suggestions came from those audits. AW staff is currently working with PG&E engineers to determine the best approach to implementing energy savings at the WRF. 2. Chemicals — The WRF utilizes four chemicals for its treatment processes; Sodium Hypochlorite, Sodium Bisulfite, Sodium Hydroxide, and Ferrous Chloride. Each of these chemicals plays a vital role in wastewater treatment and more specifically in meeting the discharge limits as set forth in the City's NPDES (National Pollutant Discharge Elimination System) permit. On a yearly basis the City solicits bids for chemicals for water and wastewater treatment. Based on chemical contracts for the term of February 1, 2011 thru January 31, 2012 and assuming a 5% chemical cost increase for February 1, 2012 thru January 31, 2013, current wastewater treatment processes and associated chemical and chlorine supply needs will result in an overall cost savings of$32,000 in 2011- 12, and a projected chemical (Sodium Bisulfite) cost increase of$9,000 (5% from $181,000 to $190,000)in 2012-13,with offsetting chemical cost savings of$7,000 resulting in a net increase of$2,000 in 2012-13. B2-320 PUBLIC WATER RECLAMATION FACILITY: UTILITY SERVICES AND CHEMICALS 3. Gas Utility — Based on projected gas utility rate changes of zero in 2011-12 and 2% in 2012-13, current wastewater treatment processes and associated natural gas usage,there is a one-time cost savings of$7,000 in 2011-12, with no budget adjustment needed in 2012-13. Goal and Policy Links 1. Compliance with regulatory requirements to maintain public health and protection of water quality. 2. Water and Wastewater Element of the General Plan, Section 12.. Service Categorization Criteria Wastewater treatment is ranked 1 —Mandated. Program Work Completed This is an ongoing cost driven by market pricing. Chemical bids have been received. Environmental Review No environmental review is required. Program Constraints and Limitations Currently there are no constraints or limitations for this program. Stakeholders Water Reclamation Facility Supervisor and Staff Implementation Task Date 1. Electric Utility decrease in Wastewater Collection July 2011 2. Gas Utility decrease at the Water Reclamation Facility July 2011 3. Chemicals decrease at the Water Reclamation Facility July 2011 4. Electric Utility increase at the Water Reclamation Facility July 2012 5. Chemical increase at the Water Reclamation Facility July 2012 Key Program Assumptions All projections are from either bids received or official utility source cost information. Program Manager and Team Support Program Manager. Water Reclamation Facility Supervisor Project Team. Water Reclamation Facility Staff B2-321 S� i � P PUBLIC UTILITIES WATER RECLAMATION FACILITY: UTILITY SERVICES AND CHEMICALS Alternatives 1. Defer or Re-Phase the Request. Electrical costs are set by the utility provider. Re-bidding chemical costs would mean canceling existing contracts and re-bidding chemicals. The results would be predictably the same.This is not recommended. 2. Change the Scope of Request. Chemicals purchased without a set contract price would vary with the market value making budgeting very difficult and bidding more frequently would require significant staff resources. Electrical costs are driven by the current supplier of electricity. 3. Existing Program Evaluation. In 2010 there were two separate energy audits conducted at the WRF. Several suggestions came from those audits. The WRF is currently working with PG&E engineers on how best to implement energy savings at the WRF. Staff continues to look at ways to cut electrical costs at the WRF. Operating Program Water Reclamation Facility(55330) Cost Summary Based on current wastewater service operations and costs associated with utility services and chemicals for wastewater treatment, there will be an operating cost savings of$44,000 in 2011-12 and a projected net operating cost increase of$17,800 in 2012-13. Line Item Description Account No.1 2011-12 2012-13 Other Operating Ex ndiures _ 0 29,800 Electric Utility Service 520-55330-7605 0 20,800 Chemicals-Sodium Bisulfite 520-55330-7815 0 9,000 Total Operating Costs 0 29,800 OffseWng Costs Savings Electric Utility Service-WW Collections 520-55310-7605 (5,000) (5,000) Gas Utility Service 520-55330-7609 (7,000) 0 Chemicals 520-55330-7775 (15,000) (7,000) Chlorine 520-55330-7777 (17,000) 0 Net Operating Costs (44,000) 17,800 B2-322 IPUBLIC SAFETY RECLASSIFY POSITION OF TRAINING BATTALION CHIEF TO TRAINING CAPTAIN Implementation The reclassification will occur January,2012 following the retirement of the current Battalion Chief in December 2011. Task Date FI . - I. Reclassify the position to Training Captain and assign a Captain as the Training Officer. January 2012 Key Program Assumptions Reclassifying the Training Officer position from a Battalion Chief to a Captain will enhance our training program. It will allow us to share resources with CalFire/San Luis Obispo County Fire Department Training Division's team of Captains. Program Manager and Team Support San Luis Obispo Fire Department and CalFire/San Luis Obispo County Fire Department will both oversee the sharing of training resources. Alternatives Maintaining the status quos would not result in a savings of$16,100 in 2011-12 and$32,500 in 2012-13. Eliminating the Training Officer position would seriously compromise our ability to meet mandated training requirements. Combining the Training Officer position with the Fire Marshal is not recommended due to the workload and special requirements/certifications of each position. Operating Program Fire Department Training(85400) B2-304 Attachfant s IPUBLIC SAFETY RECLASSIFY POSITION OF TRAINING BATTALION CHIEF TO TRAINING CAPTAIN Cost Summary Line Item Description I Account No.1 2011-12 2012-13 Staffing 110,300 222 300 Salaries Regular 100-85400-7010 74,100 148,200 Uniform 100-85400-7018 400 800 Retirement Contributions 100-85400-7040 29,000 59,800 Health and Disability Insurance 100-85400-7042 5,400 10,700 Medicare 100-85400-7044 1,100 2,200 UnerrploymentInsurance 100-85400-7046 300 600 Total Operating Costs 110,300 . _ 222,3.00 Offsetting Cost Salaries regular 100-85400-7010 (57;400) (114,800) Uniform 100-85400-7018 (400) (800) Retirement Contributions 100-85400-7040 (30,200) (61,900) Health and Disability Insurance 100-85400-7042 (5,100) (10,200) Medicare 100-85400-7044 (900) (1,700) Unemployment insurance 100-85400-7046 (200) (400) Offsetting Cos 94,200 189;800 Net Operating Costs 16,100 32,500 B2-305 PUBLIC RECLASSIFY POSITION OF TRAINING BATTALION CHIEF TO TRAINING CAPTAIN Request Summary Reclassifying the position of Training Battalion Chief to Training Captain in.January 2012 will save $16,100 in 2011-12 and$32,500 in 2012-13. Key Objectives The reclassification of the Training Officer will save the Fire Department $16,100 in 2011-12 and $32,500 in 2012-13 and assist the Fire Department in meeting its budget reduction goal. This will not result in any reduction in service level. In addition it will increase our cadre of Training Officers from one to three by sharing resources with CalFire/San Luis Obispo County Fire Department. Existing Situation: Factors Driving the Need for Change As part of the Citywide effort to close a 2011-13 budget gap, and to address the projected on-going budget gap beyond 2013, the Fire Department is proposing to reclassify the Training Officer position as a budget reduction option from our operating budget. Salary and benefits comprise 96%of the Fire Department operating budget. Reclassifying the position is a key element of meeting the Department's budget reduction goal. Goal and Policy Links 1. Fiscal sustainability of City. 2. Meeting Fire Department budget reduction target for 2011-13. Service Categorization Criteria The major emphasis of the Training Officer is.the development,delivery,and tracking of in-service training, some of which are State and Federal mandates.This is a service priority ranking#2. Program Work Completed A preliminary meeting with CalFire/San Luis Obispo County Fire Department regarding sharing of Training Officer Resources has been conducted. Initial discussions have occurred with the San Luis Obispo Fire Battalion Chief's Association and International Association of Firefighters,Local 3523. Environmental Review No Environmental Review required. Program Constraints and Limitations This is a meet and confer item with the San Luis Obispo Fire Battalion Chief's Association and International Association of Firefighters,Local 3523. Stakeholders Internal and external stakeholders have been engaged in the impacts associated with the SOPC.. B2-306 IPULIC SAFETY s RECLASSIFY POSITION OF TRAINING BATTALION CHIEF TO TRAINING CAPTAIN Implementation The reclassification will occur.January,2012 following the retirement of the current Battalion Chief in December 2011. Task Date Reclassify the position to Training Captain and assign a Captain as the Training Officer. January 2012 Key Program Assumptions Reclassifying the Training Officer position from a Battalion Chief to a Captain will enhance our training program. It will allow us to share resources with CalFire/San Luis Obispo County Fire Department Training Division's team of Captains. Program Manager and Team Support San Luis Obispo Fire Department and CalFire/San Luis Obispo County Fire Department will both oversee the sharing of training resources. Alternatives Maintaining the status quos would not result in a savings of$16,100 in 2011-12 and $32,500 in 2012-13. Eliminating the Training Officer position would seriously compromise our ability to meet mandated training requirements. Combining the Training Officer position with the Fire Marshal is not recommended due to the workload and special requirements/certifications of each position. Operating Program Fire Department Training(85400) B2-307 17 PUBLIC RECLASSIFY POSITION OF TRAINING BATTALION CHIEF TO TRAINING CAPTAIN Cost Summary Line Item Description I Account No. 2011-12 2012-13 Staffing -110,300 222,300 Salaries Regular 100-85400-7010 74,100 148,200 Uniform 100-85400-7018 400 800 Retirement Contributions 100-85400-7040 29,000 59,800 Health and Disability Insurance 100-85400-7042 5,400 10,700 Medicare 100-85400-7044 1,100 2,200 Unemployment Insurance 100-85400-7046 300 600 Total Operating Costs 110,300 222,300 Offsetting Cost Salaries regular 100-85400-7010 (57,400) (114,800) Uniform 100-85400-7018 (400) (800) Retirement Contributions 100-85400-7040 (30,200) (61,900) Health and Disability Insurance 100-85400-7042 (5,100) (10,200) Medicare 100-85400-7044 (900) (1,700) Unemployment Insurance 100-85400-7046 (200) (400) Offsetting Cos 94,200 189,800 Net Operating Costs 16,100 32,500 B2-308 i IPUBLIC SAFETY TEMPORARY CLOSING OF FIRE STATION 3 Request Summary Temporary closing Fire Station 3 when emergency response staffing falls below 14 personnel per shift effective January 1,2012 will save$432,700 in 2011-12 and$394,500 in 2012-13 to meet budget reduction target. Key Objectives Reduce on-going projected budget gap by reducing staffing levels. Existing Situation:Factors Driving the Need for Change As part of the Citywide effort to close a 2011-13 budget gap, and to address the projected on-going budget gap beyond 2013, the Fire Department is proposing the temporary closure of Fire Station 3 as a budget reduction option from our operating budget. Salary and benefits comprise 96%of the Fire Department operating budget. Daily emergency response staffing is 14 positions per 24 hour shift. The decrease in daily emergency response staffing of up to 3 personnel per 24 hour shift will occur when a firefighter is scheduled to work but is off duty due to vacation, illness, injury, mutual aid assignment, etc. Currently the contract requires another firefighter to work overtime to meet the constant staffing requirement of 14 firefighters per shift. This proposed staffing reconfiguration will save the Fire Department an estimated $432,700 in 201142 and $394,500 in 2012-13 and assist the Fire Department in meeting its budget reduction goal of$579,000. This will result in a reduced level of service: 1. Longer response times to emergencies in the geographic area of the empty fire station compromising the welfare of the public. 2. Inability to accomplish critical tasks in a timely manner due to fewer personnel on scene. 3. Compromise safety of response personnel on a large or dynamic incident. 4. Increase reliance on surrounding fire departments and off-duty personnel, resulting in slower mitigation of the incident. 5. Limits ability to respond to simultaneous incidents. Fire Station 3 was selected due to geographic accessibility to Fire Station 3's area from neighboring fire stations.. Goal and Policy Links 1. Preservation of Essential Services and Fiscal Health. 2. Fiscal sustainability of City.. 3. Meeting Fire Department budget reduction target for 2011-13. Service Categorization Criteria The major emphasis of Fire Department Operations is the quick&safe mitigation of various emergencies, namely calls for Emergency Medical Service, fires,rescues,hazardous materials; etc.This activity is a service priority ranking#2. B2-309 IPUBLIC SAFETY TEMPORARY CLOSING OF FIRE STATION 3 Program Work Completed Initial research on the estimated savings has been conducted and Fire Station 3 has been selected for temporary closure. Environmental Review No Environmental Review required. Program Constraints and Limitations There are significant constraints and limitations to implementing this budget reduction. It is anticipated there will be negative community reaction to the occasional closure especially by the immediate neighborhood impacted by a slower response time because local Fire Station 3 is closed. As this is a meet and confer with International Association of Firefighters, Local 3523, the Fire Department estimated the earliest start date for January 1, 2012 which would condense the time available to meet the budget reduction of $425,000 requirement in 2011-12 resulting in four to six month closure between January 1,2012 and June 30,2012 of Fire Station 3. Stakeholders Internal and external stakeholders have not yet been engaged in the impacts associated budget reduction proposal. Implementation Task bate 1. , - 1. Temporary closing Fire Station 3 January 2012 Key Program Assumptions The temporary closing of Fire Station 3 will save money as a result of a reduced overtime.The consequences will be a decrease in the level of service from current levels. Achieving this budget reduction will require"understaffing"of up to three firefighters per shift for a total of 410 -24 hour shift positions in 2011-12 and 381 - 24 hour shift positions in 2012-13. The estimated saving per"shift position" is $1,034. This would be $1,034 for understaffing one position, $2,068 for understaffing two positions and$3,102 for understaffing three positions per 24 hour shift. For 2011-12 budget savings in overtime,assuming the budget reduction is effective January 1,2012: Understaffing three persons per 24 hour shift (three shift positions) will accomplish this budget reduction in 139 shifts resulting in closure of Fire Station 3 for approximately four months, 19 days during a six month period. Understaffing of two persons per 24 hour shift (two shift positions) will accomplish this budget reduction in 209 shifts resulting in closure of Fire Station 3 for the entire six months. Program Manager and Team Support The Fire Chief will have oversight. B2-310 PUBLIC TEMPORARY CLOSING OF FIRE STATION 3 Alternatives Maintaining the status quo would not result into an estimated savings of$432,700 in 2011-12 and $394,500 in 2012-13. Staffing a 2-person engine company is unacceptable and inefficient in an urban setting such as SLO (due to call volume, number of target hazards and type of responses). Reducing the tiller truck to only 3 personnel would severely compromise their ability to perfoiin the tasks/duties in a safe and efficient manner. Operating Program Emergency Response(85200) Cost Summary Line Item Description Account No. 2011-12 2012-13 Staffing 432 700 394,500 Overtime 100-85200-7020 1 432,700 394,500 Total Operating Costs 432,700 394,500 B2-311 I � it Y�I�YLVJ IIY��IIY� 2. 011-13 Financial Plan BUDGET - • --OPInN SUMMARY • Public Utilities Operating Cost Reductions Regular Annual Savings Service Stam 2011-12 2012-13 Category Water Source of Supply-Salinas Reservoir Operations 675,900 1,135,900 2 Water Source of Supply-Whale Rock Reservoir 91,600 91,600 2 Water Treatment-utilities,chemicals,contract services 42,200 25,900 1 Water Distribution-utilities 14,600 14,600 1 Wastewater Collection-utilities 5,000 5,000 1 Water Reclamation Facility-utilities 7,000 - I Water Reclamation Facility-chemicals 32,000 7,000 1 Water Quality Laboratory-lab services and supplies 18,000 18,000 1 Total O eratin Cost Reductions.__ 886,300 1,298,000 B2-312 counat memoQAnbum rcity o�san Luis os�spo;aamm►stuation�autmEnt' DATE: April 11, 2011 TO: Mayor and City Council VIA: Katie Lichtig, City Manager FROM: Mary Bradley, Interim Finance& Information Technology Director SUBJECT: Red File: Item B2 Strategic Budget Direction Per a request by several Council members, we have compiled current organizational charts for each City department. 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U v U G > 14 E� .� a� �. •E ❑ 4) "' w N 0 N O C � � U � O C � Q 7 a ^7� Y N G H V cc Q N MEOW R C mEA m .O R Q cC 1 cc 4 POWN ..V. 0 0 C� `O cc 3 ao y >, ,, c u lima Ca q n, a .� i.i a, � U W A G }f4J4j Y-4 � C U a � e Ina c ° — U 7 A 0 1 � o � N C O h s a � 0 0 a id � 5n L r E � Z � L y V] c p L N L � U a V L aPMW V r O a 42 u c a .. 3 3 Q L N •" � °Dow N cc 3 0 ca �1 to 7 0 o L ¢ as d � y U Li A N W T •� a no 3 .iw a`> 16m) m w 3 0 L n, a N 0 3 N ¢ N 3 � � 5 � Y � 3 r..► o � o cn CCS � O ° LZ j ., .sr � A w � U a� UA!J � a cn CL o ° U " to a3i � 3 From: Larry Pennington[SMTP:LNKPEN@SBCGLOBAL.NET] Sent: Tuesday, April 12,2011 7:50:22 AM To: Council, SloCity Subject: budget Auto forwarded by a Rule Dear Mayor and Council Members, It is way past time for the City to eliminate the Natural Resources Department. I know how sacred it is to some, however,the.department has never proved useful. The department is a terribly expensive waste. Frankly it is an embarrassment that a town of our size has such a department in these difficult economic times. Thank you. Sincerely, Larry Pennington Lnkpen@hotmail.com 546-0880 hard COM email: n COUNCM7CL DR o• �CMcnEt: RED FILE n A7"MDIR c,�oRICE CMF MEETING AGENDA o PIBKS&RECDRo TRIUNEDIR DATE ! ITEMC 'TOMIROSIACr1VNNCIL MOR$ From: Bill Cattaneo[SMTP:MSBREEZE@BELLSOUTH.NET] Sent: Thursday, April 14, 2011 4:17:51 AM To: Council, SlOCity Subject: Residents for Quality Neighborhoods Auto forwarded by a Rule Dear City Council Members, I no longer live in San Luis Obispo, but I wish to express my support for the recent request for additional staff initiated by the Residents for Quality Neighborhoods organization to alleviate blight and disorderly resident behavior. Sincerely, Bill Cattaneo 451 Mallard Creek Road Louisville, Kentucky 40207 77JJ�� "'•/` 12,1 a7 7 86X- I. 1 SLO City Inflation .Adjusted Expenditures Per Capita--1996 v. 2010 Department Expenditures 1996 2,00 1996/Person 20101Person 2010 Abs Inc 1996 Adiusted 2010 Adjusted Adi%increased Police $5,937700 $14,525,300 $143 $323 125% $212 $323 r53% Fire $4,336,100 $9,678,300 $105 $215 106% $155 $215 39% Transportation $1,462,900 $3,019,700 $35 $67 90% $52 $67 29% Leisure,Cultural,Social $3,099,800 $6,279,900 $75 $140 87% $111 $140 26% Community Development $2,323,300 $5,394,300 $56 $120 114% $83 $120 45% General Government $2.793.200 $7.253.600 $L 161 139% $100 $1fit 62% $19,954,996 $46,153,110 $482 $1,027 nom,, $712 $1,027 44% CPI 153 226 48% gUIbUC Population 41,404 44,948 8.6% Total City FTE 329 359 9.1% 1996 2010 Change Total City Expenditures per capita inflation adjusted �^`i ��Z $712 $1,025 $313 %That goes to Staffing Costs �(� _65%°___ 80% _ Staffing expenditures per capita $463 $820 $357 Inflation adjusted,per capita%increase �}itOQNG�y 77% Total Staffing Costs Inflation Adjusted $19,161,771 $36,857,360 Adjust Cost per EmployeeC�21< $58,242 $102,667 76% Zee CouvciL. ALL — ----- - ---- -- ----- Comparable Cities—Staffing% Arroyo Grande 75.8% Grover Beach 71.0% Pismo Beach___(Sub contract out Fin:) ___--_ 54.7% _ ,AFTER BINDING ARBITRATION — Department Expenditures 2001 2010 2001/Person 2010/Person 2010 Abs Inc 2001 Adjusted 2010 Adjusted A_di%Increased Police $7,340,700 $14,525,300 $166 $323 95% $215 $323 50% Fire $4,841,200 $9,678,300 $109 $215 97%° $142 $215 52% Transportation $1,659,700 $3,019,700 $38 $67 79% $49 $67 38% Leisure,Cultural,Social $4,113,300 $6,279,900 $93 $140 50% $121 $140 16% Community Development $3,501,200 $5,394,300 $79 $120 52% $103 $120 17% General Government $3,868,100 $7.253.600 $87 $161 84% 11 16 42% $25,326,201 $46,153,110 $573 $1,027 $743 $1,027 CPI 174 226 30% Population .44,218 44,948 1.7% Total City FTE 350 359 2.6% 2001 2010 Chance Total City Expenditures per capita inflation adjusted $743 $1,025 $282 %That goes to Staffing Costs 70% 80% Staffing expenditures per capita $520 $620 $300-------1 I Inflation adjusted,per capita%increase gg°� Total Staffing Costs Inflation Adjusted $22,998,211 $36,857,360 Adjust Cost per Employee - $65,709 $102,667 56% (BEFORE BINDING ARBITRATION Department Expenditures 1996 2000 1996/Person 2000/Person 1996 Abs Inc 1996 Adjusted 2000 Adjusted Adi%increased Police $5,937,700 $6,901,900 $143 $156 9% $153 $156 2% Fire $4,336,100 $4,581,900 $105 $104 -1% $112 $104 -7% Transportation $1,462,900 $1,501,100 $35 $34 4% $38 $34 -10% Leisure,Cultural,Social $3,099,800 $3,822,100 $75 $87 16% $80 $87 8% Community Development $2.323,300 $3,102,100 $56 $70 256/6 $60 $70 17% General Government $2,793,200 $3.838.400 $67 $87 29% $72 $$87 21% $19,954,996 $23,749,500 $482 $538 $514 $538 CPI 153 168 10% Population 41,404 . 44,174 6.7% Total City FTE 329 350 6.4% Total Ci Expenditures per capita inflation adjusted 514 2 38 Change City P P P 1 $514 $538 $23 %That goes to Staffing Costs 65% 70% Staffing expenditures per capita $334 $376 $42 Inflation adjusted,per capita%increase 13% Total Staffing Costs Inflation Adjusted $13,837,129 $16,623,250 Adjust Cost per Employee $42,058 $47,495 _13%—__Ji THE PRObL-EM WITH "COMPARABLE uTIES" Poiiulation Employees Emo/100.000 Emp Rank Home Rank Med Home SLO 44,174 350 792_ 4 4 $640,000 Chico 59,954 408 681 6 9 $339,342 Davis 60,308 453 751 5 7 $568,750 Monterey 30,329 430 1418 2 2 $899,000 Napa 72,585 450 620 8 6 $570,000 Paso 26,856 174 648 7 7 $469,500 Sant Barb 92,325 1049 1136 3 1 $1,047,500 Santa Cruz 55,593 800 1439 1 3 $735,000 SM 77,423 450 581 10 8 $455,000 Ventura 104,258 620 595 9 5 $580,000 Baseline City A City B Citv C City D City E Ave Min Max COLA %above Ave $90,000 $95,000 $100,000 $105,000 $110,000 $100,000 $90,000 $110,000 3% 5% Year 1 City A Citv B Citv C City D City E Ave Min Max $105,000 i $97,850 $103,000 $108,150 $113,300 $105,460 $97,850 $113,300 Year 2 City A City B Citv C City D City E Ave Min Max $108,150 $110,733 $106,090 $111,395 $116,699 $110,613 $106,090 $116,699 Year 3 City A Citv B City C I City D City E Ave Min Max $111,395, $114,055 -$116,.144 $114,736- $120,200 $115,306 $111,395 $120,200 Year 4 City A City B Citv C City D City E Ave Min Max $114,736 $117,477 $118,765 $121,071 $123,806 $119,171 $114,736 $123,806 Year 5 City A City B City C City D City E Ave Min Max $118,178 $121,601 $122,328 $124,703 1 $125,130 $122,268 $118,178 $125,130 City A City B City C City D City E Ave Min Max % Increase 31% 27% 22% 19% 14% 22% 31% 14% Baseline Cit A City B City C City D City E 6 ve Min Max COLA %above Ave 00,000 $95,000 $100,000 r$105,000 $110,000 $100,000 $90,000 $110,000 30% 10.0% Year 1 City A Citv B Citv C City D City E Ave Min Max $110,000 $97,850 $103,000 $108,150 $113,300 $106,460 57;850 $113,300 Year 2 Cit A Cit4 B City C Citv D City E Aye Min Max $113,300 $117,106 $106,090 $111,395 $116,699 $112,918 $106,090 $117,106 Year 3 City A City B City C City D City E Ave Min Max $116,699 $120,619 $124,210 1 $114,736 $120,200 $119,293 $114,736 $124,210 Year 4 City A City B . CiMCCity= City E Ave Min Max $120,200 $124,238 $122,872 1 $131,222 $123,806 $124,467 $120,200 $131,222 Year 5 City A City B City C City D City E Ave Min Max $123,806 $127,965 $126,558 $135,159 $136,914 $130,080 $123,806 $136,914 City A City B City C City D City E Ave Min Max % Increase 38% 35% 27% 29% 24% 30% 38% 240/6 sr0/1,61/AL (022r�Po .� From: Richard J. Krejsa [mailto:rkrejsa@calpoly.edu] Sent: Wednesday, April 13, 2011 1:11 PM To: Council-ALL Cc: Lichtig, Katie Subject: Replacement Letter of Public. Comments Not Given Tuesday Evening Mayor Jan Marx 13 April 2011 City Council at City Hall k),P2WL4K San Luis Obispo, CA 93401 it -& r Dear Mayor Marx* and Members of the Council, OCC eeaA)eaL. A-LL Please substitute the letter attached below for that which I hastily submitted to each of you via email around 7 pm yesterday evening. I had thought that Agenda item B-1, being scheduled for 45 minutes, would be completed by 8 pm. When I arrived at 8:05, people were speaking at what I thought was the public comment period for Item B-2. So I submitted my card to speak on that item but soon realized that the speakers were still commenting on B-1. At the break time, around 9 pm, I spoke to both Jan and John and they said that the discussion on item B-1 should be over "within 30 min" and "within 15 minutes" (respectively) ! I decided to stay. However, at 10:18 pm, 3 hrs and 18 minutes after the meeting began, the Council was just completing its vote on individual goal # 6_ I was already in a lot of pain from sitting for 2 hours and some minutes and so I decided to leave without having my few minutes during public comment for item B-2, yet to come at some future time. My health no longer permits me to sit or stand so long in any one place so I am discovering that local politics is a young person's game. Suggestion: Perhaps it would show at least a nod to your aging citizenry to allow a short public comment period in advance of all agenda items for seniors and/or others with handicaps that prevent them from hanging around for 2-3-4 hours while the Council completes its deliberations on any given issue or set of issues? After last night's experience, I began to wonder who sets the time allotments for agenda items at your Council meetings. Someone must have known that all the city's economic "experts" would appear at a meeting for "Major City Goal. . .Objectives" . When I was Chairman of the Board of Supervisors, we would tend to overestimate the time allotments on controversial issues in the hope that we would finish early and people would feel satisfied rather than deliberately underestimate the time and then be at least 3 hours over on a 45 minute item! In any event, I will likely not come to another City Council meeting because it is no longer fun and certainly not good for my health. Attached, for the record, is a revised version of my testimony submitted by email on 12 April 2011. Dr. Richard J. Krejsa 1 Attachment * My Apologies, Madam Mayor, for the misspelling of your name in my previous correspondence. I didn't hear about the meeting until early Tuesday evening. I dashed to my computer to write out my email and didn't discover my mistake until I arrived in the Council Chamber at 8:05 pm. Mea culpa! Public Comment. Agenda Item B-2 (12 April 2011) Dear Mayor Marx and Council Members, My name is Richard Krejsa. I am a resident of San Luis Obispo and I don't envy your budgeting tasks for the next few months. I am a small business owner with a very small business, "Dr. Dick's Puppet Sticks", with 22 dancing employees (puppets) most of whom are between 6 and 12 inches tall. In fact, most of my clients are only 2X or 3X that size. My business specializes in awakening the spark of creativity in those young persons who someday will grow up and become heads of households with jobs that adequately and justly provide for creativity in their families. I don't want you to forget that, in addition to the environment, the artists, musicians, poets, and puppeteers in and around our city are what help make this place so special, perhaps even more so during hard economic times. Hired consultants won't offer you that kind of advice so I'm offering it to your Council free of charge! Back in Fall, 1969, three successive poisonings occurred in SLO Creek within 10-12 days and killed off more than 7 miles of the Creek's 15- mile length. One poisoning, from the washing of Greyhound buses in its then terminal garage (where Woodstock's Pizza is located) , entered via the tunnel downtown and killed over 50, 000 fish between the Mission and the sewage treatment plant. Those events were responsible for the forming of ECOSLO and my own personal crusade to get a biological input into city deliberations about pollution of SLO Creek and the city's environment. A City Environmental Activity Inventory was done in 1989 and, in 1993 a group of almost two dozen of the. area's most talented professionals in environmental fields were assembled as the City's Environmental Quality Task Force (EQTF) . We served on the EQTF for almost 2 years. At that time, the City was looked upon as being based on the concept of a three-legged stool or triangle with one leg/side being economic, another environmental, and the third social. The estimated dollar value of EQTF's volunteered professional services, if calculated on the basis of their hourly or daily charges, totaled more than a quarter million dollars! I would venture a guess that most, if not all, of the Council and staff have never seen that report. Out of the EQTF came the recommendation for a Natural Resource Manager with especial credentials in aquatic biology. The City Administrator and Council thought differently and hired a Natural Resource Manager to acquire properties for our City's Green Belt. It was about five years later that Phil Ashley and I helped convince the City to hire an aquatic biologist, as EQTF had originally proposed. In a nutshell, the Natural Resource Manager position took shape after almost 30 years of multiple individual/group efforts. The City Biologist position took five years longer to acquire. IF the Council decides to eliminate either position, it would invalidate thousands upon thousands of hours of hard fought citizen input and, in reality, knock one leg out of the 3-legged stool which, we believed, was critically balanced to support the City we all love. Please do not enter into these Major City Goals and Strategic Budget Direction discussions with the intent to dilute the importance of either of these positions. And if you are truly considering the changing of either position in any way, then I and others believe that you should at very least call together and/or otherwise inform all the stakeholders who have supported the establishment of these position with years of hard work what goal (s) you are attempting to achieve by replacing them. Peace & Blessings, Dr. Dick Krejsa 805 544-3399 rkrejsa@calpoly.edu Peace & Blessings, Dick Krejsa Dr. Dick's Music 189 San Jose Court San Luis Obispo, CA 93405 805 544-3399 From: Linda Seeley<lindaseeleynd,gmail.com> Date: April 12, 20115:59:25 PM PDT To: Council_ALL<Council ALL(iWocity.org> Cc: "Lichtig, Katie" <klichtig(dslocity.orR> Assr 0° -r-Y Mtge.- Subject: Natural Resources Manager A-tTrn4icy �'iLG�/Ltt_ I understand that the Council is considering eliminating the position of Natural Resources Manager when Neil Havlik retires at the end of the year. I urge you to keep the position intact. Neil has proven himself to be an invaluable resource to our city, and we need someone of his caliber and dedication to replace him. Sincerely °� ' �a�u<_ Linda Seeley DIT 217 Westmont Ave San Luis Obispo 93405jCG 805-544-8112 From: Richard J. Krejsa [mailto:rkrejsa@calpoly.edu) . Sent: Tuesday, April 12, 2011 7:53 PM To: Council—ALL Cc: John B Ashbaugh Subject: City Natural Resources Manager Position conversion to Parks Manager Position? Dear Mayor Marks and Council Members, Back in 1969, I called attention to the 3 successive poisonings in 10- 12 days that occurred in SLO Creek killing off more than 7 miles of the Creek's 15-mile length. One poisoning, from the washing of buses in the Greyhound Bus terminal garage, entered the tunnel downtown and killed over 50, 000 fish between the Mission and down toward the sewage plant. That event started a personal crusade to get a biologist's input into city deliberations about the environment. In 1989 an Environmental Activity Inventory was done for the City and, in 1993, a group of the area's most talented professionals in the environmental field were assembled as the Environmental Quality Task Force (EQTF) . That task force met for nearly 2 years. The estimated dollar value of their volunteered professional services, if calculated on the basis of their hourly or daily charges, totaled between a quarter million and a half million dollars! At that time, the City was looked upon as being based on the concept of a three-legged stool or triangle with one leg/side being economic, another environmental, and the third social. Out of the EQTF came the recommendation for a Natural Resource Manager with credentials in aquatic biology. The City Administrator and Council thought differently and hired a Natural Resource Manager to acquire properties for our City Green Belt. It was about five years later that Phil Ashley and I convinced the City to hire an aquatic biologist, as originally proposed. In a nutshell, the position of Natural Resource Manager took shape after almost 30 years of multiple individual and group efforts. The City Biologist position took five years longer to acquire. IF the Council decides to eliminate either position, it would invalidate thousands upon thousands of hours of hard fought citizen input and, in reality, knock one leg out of the 3- legged stool which, we used to believe, was critical to support the City we all love. Please do not enter into this discussion with the intent to dilute the importance of either of these positions. And if you are considering the changing of either position in any way, I believe that you should at very least call together all the stakeholders who have supported the establishment of these position with years of hard work. Peace & Blessings, Dr. Dick Krejsa Dr. Dick's Music 189 San Jose Court San Luis Obispo, CA 93405 805 544-3399 i rcouncjl mEmoizanc�um CitymmntUm DATE: April 7, 2011 RECEIVED TO: Mayor and City Council APR 0 j 2911 VIA: Katie Lichtig, City Manager SLO CITY CLERK FROM: Michael Codron, Assistant City Manager SUBJECT: Red File: Item B2 Strategic Budget Direction The revised Significant Operating Program Change for Economic Development does not contain any new content but has been updated to more closely match the Major City Goal work program. Please replace pages 132-51 through B2-54 of your agenda with the attached corrected pages 132-50A through 132-54. Do not discard B2-49/50 as it is printed in duplex and you will extract the information on the opposing page. RED FILE bora co ' eman , pCnUNCQ �F DDaDII R RF'°�MEETING AGENDA A cm DATE ITEM # 32 G � )1 PDUCECHMF PID )rPARK3&RECD2 �6 NEW MM DIR K b sL.DcmNEWS PCOUNCIL . P am bGR nERK CADocuments and SettingslarichardlDesktoplsopc.doc • , • • • • � STRATEGY FOR ECONOMIC DEVELOPMENT WORK PROGRAM Request Summary I. Authorize $60,000 in General Funds for contract services for the analysis associated with developing a strategy for infrastructure phasing and financing in the expansion areas in the initial year of the Financial Plan, 2011-12. 2. Authorize$12,500 in General Funds for contract services to collect data in support of the Business Retention and Expansion Program. 3. Authorize $5,000 in General Funds for contract services for development and enhancement of the existing City-Chamber of Commerce Business outreach website. 4. Authorize$25,000 in General Funds for contract services for collaboration efforts between Cal Poly, County, City, and business community. 5. Authorize $15,000 in General Funds for contract services for Strategic Planning for the Economic Development Program in the initial year of the Financial Plan, 2011-12. Key Objectives I. Implements Council adopted Economic Development Major City Goal for the 2011-2013 Financial Plan. 2. Develops an implementation plan for infrastructure in the Margarita and Airport Area specific plan areas to facilitate job creation. 3. Leverages completed specific plans in the Margarita and Airport areas. 4. Adds to existing Economic Development Contract Services budget to accomplish strategic plan and ongoing direction for the economic development program. 5. Furthers work accomplished and addresses goals identified by the Collaboration Committee research under 2009-2011 Financial Plan. Existing Situation: Factors Driving the Need for Change The Economic Development Major City Goal sets out an aggressive work program to promote job growth using multiple strategies (see descriptions below). As detailed in the table following these program activities, the program is requesting a total of$95,000 of one-time additional funding over the next two years to accomplish these objectives. A. Expansion Area Infrastructure Phasing and Financing Strategies. During the past decade, substantial City resources have been allocated to completion of specific plans for the City's main commercial expansion areas — the Margarita Area and the Airport Area. In addition, significant undeveloped acreage covered by these specific plans has been annexed to the City. With completion of the first phase of the Airport Area annexation and the specific planning process to guide land use in these areas, it is timely to begin to apply economic development efforts towards business expansion here. To accomplish this, an examination of the infrastructure costs, needs and potential tools for successful development of business attraction and expansion areas is proposed. In particular, there is a need to ensure that the requirements for infrastructure in the early stages of development in these expansion areas does not serve as an impediment to reasonable growth. Strategies that address the required phasing of infrastructure and financing of public improvements will be sought to ensure the timely implementation of the approved land use plans. B. Continue to undertake the efforts to develop local business enterprise through business retention and expansion. The business retention and expansion efforts started under the 2009-2011 Economic Development Major City Goal. During this period, other similar programs were examined to determine B2 - 50A Adlik "A TIMMEM211ma Ask • 1 • • STRATEGY FOR ECONOMIC DEVELOPMENT WORK PROGRAM effective practices for this work. The most effective programs have dedicated staff. As this is not an alternative available to the City of San Luis Obispo at this time, the 2011-2013 Major City Goal.Work Program for Economic Development includes contracting with an outside party to provide the dedicated work and make the program more effective. C. Simplify the approval process for routine development review processes that affect businesses in the high growth clusters. In conjunction with private industry's efforts to implement the Economic Vitality Corporation's Clusters of Opportunity Strategic Plan, the City has an opportunity to focus efforts on businesses that offer the greatest job growth to assure that it is doing everything possible to meet the needs of companies that aim to locate and expand here. One way to achieve this is to identify routine development review processes that affect such businesses and then simplify them so that there is more certainty and reduced time to permit for the businesses involved in the growth clusters. This will be a staff led effort. The ability to use contract services to accomplish other aspects of the work program provides staff with time resources to complete this project in coordination with a new Community Development Director, expected to be hired during 2011-12. D. Continue to support and enhance the joint City of San Luis Obispo and Chamber of Commerce Economic Development Website. This website was created during the 2009-2011 Financial Plan using funds allocated by the Promotional Coordinating Committee to enhance the intersection of tourism and job creation. Ongoing support of this website is desirable to maintain accurate and up-to- date information to promote business growth. E. Facilitate public-private partnerships to expand broadband fiber optic penetration to benefit economic activity throughout the City. Broad availability of fast internet service is commonly seen as a requirement of a vibrant business community. Over the past several years, the City has developed a strong partnership with Cal Poly and the County of San Luis Obispo to complete a"fiber-optic" ring for the benefit of government and the university. Now it is appropriate to bring private businesses into the fold to enhance the utility of this fiber-optic infrastructure as a way to improve the economic capacity of the community at large. The ability to use contract services to accomplish other aspects of the work program provides staff with time resources to complete this project in coordination with a new Finance and Information Technology Director, expected to be hired during 2011-12. Continue collaboration efforts between Cal Poly, County, City and Business Community. An effort to assess the entrepreneurial ecosystem has been underway under aegis of the Collaboration Committee, a joint effort of Cal Poly, the County of San Luis Obispo, the City of San Luis Obispo and the business community. Research to determine the status of our entrepreneurial ecosystem was completed during the 2009-2011 Financial Plan period. The research indentified steps that need to be taken to bolster the area's effective ability to grow and attract entrepreneurial businesses. F. Complete a Strategic Plan for ongoing economic development efforts based on research of best practices and grounded in community input and involvement in the process. Since the program's inception in 1995, the primary focus for the Economic Development Program has been relationship building, intelligence gathering, and development review facilitation. Now the Program finds itself at an important crossroads. In order to achieve the Major City Goal of creating and supporting head of household jobs, the program must put careful consideration into a long-term strategy. B2 - 51 • � • • • • ' STRATEGY FOR ECONOMIC DEVELOPMENT WORK PROGRAM Funding Request Summary Activity One-Time or Ongoing 2011-12 2012-13 Infrastructure Strategy One-Time $60,000 $0 Business Retention and Expansion Ongoing $12,500 $12,500 Website/Welcome Mat Ongoing $5,000 $5,000 Collaboration Efforts Ongoing $25,000 $25,000 Strategic Plan One-Time $15,000 $0 Totals - $1179500 $42,500 Currently Available - $32,500 $32,500 SOPC Request - $85,000 $10,000 Goal and Policy Links 2011-13 Major City Goal, Economic Development . Service Categorization Criteria Service Category 4 Program Work Completed • The business retention and expansion efforts started under the 2009-2011 Economic Development Major City Goal provide a foundation of experience and information on which to continue the work. • The Finance and IT Department has prepared an RFP for the first steps in implementation of a program that will facilitate expansion of the utility of the fiber-optic infrastructure. Environmental Review N/A Program Constraints and Limitations Adequate financial resources are required for successful completion of the Council's Major City Goal work program. Stakeholders The Administration Department has the largest stake in this effort. Community Development and Public Works Departments will play a consulting role in developing the expansion area infrastructure strategy. The Community Development Department will-take a lead role in examining the development review process for a simplification strategy. The Finance and IT Department.will be the co-lead in development of tools to increase access to broadband infrastructure. Stakeholders include the Chamber of Commerce, the business community and the residents of the City who all benefit from economic development efforts. Implementation B2 - 52 . • � • :L814U0 Lei k11A I Lim In RVA 11 we]- STRATEGY FOR ECONOMIC DEVELOPMENT WORK PROGRAM Expansion Area Infrastructure Strategy Administration staff(30%F&TT Analyst)will circulate the RFP for the analysis that will inform the program formulation. Completion of this analysis is expected to require an additional $60,000 during the first year of the two year Financial Plan. Following completion of the analysis,the Analyst will formulate an action plan of strategies that address the required phasing of infrastructure and financing of public improvements in accordance with the analysis.. Ultimately, a strategy that addresses the required phasing of infrastructure and financing of public improvements will be brought to Council during the 2011-2013 Financial Plan. Capacity exists for this work program by redirecting and fully utilizing the 30%F&TT Analyst assigned to the Economic Development Program with oversight of this effort by the Economic Development Manager utilizing 10%of available time to this effort. Business Retention and Expansion Administration staff will identify and hire the assistance of an outside contractor to do the day-to-day business retention and expansion activities. Current Economic Development Staff will retain responsibility for personal outreach in a manner similar to the evolution of the program during the 2009-2011 period. The effort will require $12,500 in each of the two years of the Financial Plan. Funds for this effort exist in current allocations to Contract Services for Economic Development allocated in the 2009-2011 Financial Plan. Capacity exists with the Economic Development staff, with particular reliance on the F&TT 30%Analyst to assist with preparation and management of the RFP process,to complete this task. It is estimated that it will take 20%of the time of the Economic Development Manager to oversee the consultant and perform the personal outreach. Website Enhancement Administration staff will identify and hire the assistance of an outside contractor to complete updates and enhancements to the joint website. This effort will require$5,000 in each of the two years in the Financial Plan. Funds for this effort exist in current allocations to Contract Services for Economic Development allocated in the 2009-2011 Financial Plan. The capacity exists for this effort because the work of forming the website has been accomplished. Remaining work will consist of actions that build on what already exists and is expected to consume 5%of Economic Development staff time. Strategic Planning Administration staff will identify and hire the services of an outside consultant to help evaluate the City's Economic Development Program against industry best practices, as well as identify opportunities and constraints towards implementing best practices. The cost for these services is $15,000 during the first year of the Financial Plan period only. Capacity of the existing.Economic Development staff is estimated to be 40% of total job capacity. It is assumed that the 30%F&TT Analyst assigned to economic development will assist with preparation and management of the RFP process. Through heavy reliance on external sources of expertise, it is expected that the current Economic Development Program has the capacity for accomplishing this work program. The remaining 25%of available capacity in the Economic Development Manager's time will be allocated as follows. • 5%to assisting with the permit streamlining effort • 10%to assisting with the broadband effort • 10%to the Collaboration efforts as well as other existing duties B2 - 53 . Adilk STRATEGY FOR ECONOMIC DEVELOPMENT WORK PROGRAM Key Program Assumptions Assuming that this additional funding for contract services is approved, the Administration Department will proceed with the contract services during the first year of the two year financial plan. Since the consultant's work will be put under contract during the first year, allocations for the second year will decrease. It is assumed that the current contract services unallocated budget of$37,500 will be utilized entirely during the financial plan. Program.Manager and Team Support The Economic Development Manager will provide program oversight. Specific elements of the work program will be assigned to the 30% Finance & IT Analyst assigned to Economic Development. Additionally, support from City staff in the Development Review process will be critically important to the successful implementation of this work program. Alternatives Reduce the scope of the Major City Goal Work Program. Reducing the scope of the Major City Goal to exclude the task to develop strategies for infrastructure phasing and financing would allow for the majority of the work program to move forward, but would not fully implement the Major City Goal, which identifies infrastructure and head-of-household jobs as two key purposes for pursuing the goal. Shift Resources from other portions of the Major City Goal Work Program. If the Infrastructure analysis portion of the work program takes priority, reprioritizing or eliminating other efforts in the work program is possible. The result would be reductions in other portions of the work program for the 2011-13 Major City Goal for Economic Development, such as the Economic Development website or the Business Retention and Expansion Program. This alternative is not recommended because the City has already invested in the website and business retention and expansion programs. Not continuing to develop these programs would compromise the effectiveness of the investment the City has made in these programs. Operating Program Administration—Economic Development (11200) B2 - 54 , hard Cow. email: — o COUNCIL o CDD DM o CITYMGR o FIT DIR o ASSTCM o FIRECHIEF o ATTORNEY o FW DIR From: John Grady [mailto:jgradyslo@earthlink.net] n FSG a PARKSS&CE RE CHIEF Sent: Sunday, April 10, 2011 6:24 PM a TRIBUNE aUTR.DIR To: Council ALL o NEWTTMES aHRDIR o SIA CITY NEWS 000UNCIL Subject: Street sweeping fees passed to residents aCITY NOR o CLERK Dear Mayor and City Council members, I was surprised to read in the Tribune and confirm in the staff report for your April 12, 2011 meeting that a proposal is being made to charge city residents on their garbage collection bills a street sweeping fee! I know you are considering many new revenue enhancements ("taxes") , and while this one is admittedly a small fee (suggested to start at around $3 .00 per household per year) , I'm sure it will go up over time. Most importantly I strongly object to this proposed tax on philosophical grounds. The notion of charging residents for street sweeping is simply wrong! While the city may now charge its residents for any number of services, a resident can invariably evaluate the importance of the service to them, the fee charged for the service, and then elect whether or not to avail themselves of the service for the stated fee. For example, I can choose to pay the fee at a parking meter for the convenience of parking my car, or instead I can park at a non-metered parking spot and walk a bit further to my destination. I can choose to pay the fee to golf at Laguna Lake or to take a Park & Rec class, or decide to forgo the pleasure of golfing or taking the class and thereby avoid the fee. I don't pay a direct fee to the city to drive my car or ride my bike down a city street, to walk on a public sidewalk, or to spend time at a public park. The notion of street sweeping falls into this latter category for me. Equally important, this tax is projected to amount to less than 1/3 of 1% of our city's budget! This is hardly a significant impact on revenues, but it is truly an affront to our city's residents! Where will you stop at future revenue enhancements ( "taxes") to our citizens? Will you next decide to charge each resident for the cost of repaving the street in front of their home? Why not charge each resident for the electricity required to provide street lighting in front of their house and replacing the street light when it burns out? How about charging residents for the cost of trash collection and maintenance at their local neighborhood park? Or why not charge each resident directly for repairing or replacing the water and sewer pipes running under the street to accommodate their water needs? There simply is no end to the possibilities of additional taxes you could come up with if you go down this road. This is a bad idea and I urge you to squelch this notion immediately. While it may have been well intended, it may well have unintended consequences and will be perceived as yet another superfluous tax. This is not the way to engender public support for a renewal of Measure Y revenue which is indeed a significant source of revenue to the city. Thank you. RED FILE MEETING AGENDA DATE i 11 ITEM # rR Regards, John Grady San Luis Obispo From: John Grady (mailto:jgradyslo@earthlink.net] Sent: Sunday, April 10, 2011 5:10 PM To: Council ALL Subject: April 12 Meeting - Strategic Budget Planning Dear Mayor & City Council members, I have reviewed the exhaustive reports and recommendations provided by our city manager and staff with regards to developing a financial plan to close the significant budget shortfalls we face next year and beyond. I am quite impressed by the thorough approach and many creative ideas proposed by city staff for your consideration in grappling with the significant financial challenges faced by our city.. I have faith that. you will have the foresight and courage to make the difficult yet necessary decisions required to get our city on a course of financial sustainability while preserving the vital city programs that our citizens expect and deserve. Hopefully much can be saved through greater workforce efficiency, but at the same time significant reduction in personnel costs is required and recommended in the staff report. I'd like to offer my comments for your consideration in this ongoing budget review process. Where appropriate, I support the reduction in the number of staff positions throughout the city, particularly through attrition where at all possible so as to minimize the impact on individual employees. I also believe that employees must be required to shoulder a larger percentage of the many costs associated with providing their employment, particularly in the following areas. 1. Pension formulas need to be adjusted to the levels they were previously, i.e. , 2%@60 for miscellaneous and management employees. and 3%@50 for safety employees. If possible (as is done in the private sector) , I would make these pension formula changes effective on a going forward basis for all current employees as well as (of course) for all new hires. 2. The percentage of health insurance premiums paid by the city needs to be reduced from its current rate of approximately 80%. As medical insurance costs continue to escalate (as they will) , a greater percentage of this expense needs to be borne by the employees. Perhaps more affordable healthcare options can also be offered for the employees to choose from to offer them greater control over their share of insurance premiums. Some entities provide employees a set dollar amount towards their insurance benefits and then allow each employee to select their coverage and allocate these dollars (and their own dollars) as best suits their needs. 3 . The highest year's salary must be replaced by either 3-year or 5- year income averaging in computing ones pension benefit.. This is simply a return to how pensions used to be calculated. This change should be applied immediately to all current employees as well as for future employees. 4. The city must stop its 'pick up' of the employees ' share of their pension costs. The state legislated 9% pension contribution for safety employees and 8% pension contribution for miscellaneous employees needs to be borne by the employee once again, rather than being paid by the city. And this change needs to be implemented without any corresponding increase in pay to cover the employees' contribution (as was done in the past) . As you well know, the city's current employer contribution rate towards pension costs is already 18% of miscellaneous employees' salaries and 36% of safety employees' salaries, and these rates are rising next year (and beyond) . 5. A cap should be placed on what percentage of final pay an employee can receive as a lifetime pension. Perhaps something like 70% of final compensation for one earning over $100, 000 per year and 80% of final compensation for one earning less than $100, 000 per year - or perhaps a flat dollar cap? 6. As was called for by the March 1, 2005 League of CA Cities Pension Reform report attached to your April 5, 2011 meeting agenda, 'cost sharing' should be initiated with regards to pension funding for all labor groups. There needs to be a cap on the percentage of salary that the city contributes to an employee's pension fund. Once that cap is exceeded, both employer and employee should bear the additional funding requirement on a 50/50 shared basis. Currently there is no cap on the city's pension contributions and thus all risk is borne by the city. This is not a financially sustainable model. I know you all have a lot on your plates to deal with and are likely being tugged in different directions by various constituents. These are extraordinary and difficult times to be managing the affairs of our city and I appreciate the diligence, time, and thoughtfulness you all bring to the council on behalf of our city. Thank you for your service and for taking time to read and consider my comments. Best regards, John Grady San Luis Obispo, CA t balyd epor. email: o COUNCIL a CDD DIR From:Tim Williams(SMTP:TIM@DIGITALWEST.NET] a cnymct a MOIR Sent:Tuesday, April 12, 2011 3:35:49 PM a ASSPCM o FIRECHIEF o ATrORNEY a PWDIR To: Council, SloCity a CLERRIDRtO a POLICE CHIEF Subject:A perspective on one item in the Budget Direction sheet a PIR a PARKS&RECDIR o TRDIUNE a Un1DIR Auto forwarded by a Rule o NEWTIbIES a HRDIR o SLocrrYNEWS a COUNCIL o CITY MGR Hello esteemed Mayor and City Council, o CLERK I am writing you as I will not be in attendance tonight. I was recently discussing some items with city staff regarding the use of city owned conduits. I believed we were still in discussion, so this item caught my attention and I wanted to share my thoughts. I feel my talks w/city staff have been fine, but I wanted to make sure the items below were heard in case it helped with your understanding of the proposed Revenue Enhancements. In Attachment 3 of the Strategic Budget Direction document, under Revenue Enhancements, page 132-33,staff has listed "Lease of conduit space"with a$40K in 2011-12 and another$40K the following year. The IT department mentioned some conduit leasing to me.We were talking about a specific stretch of"unused"conduit space, but we found that my need for it was no longer a factor.AT&T also leases conduit to official Internet eXchange Carriers(IXC)which is an official utility,and I explained that the city would need to at least be competitive in price to AT&T(.45 cents per foot/year). If there are more opportunities to lease vacant conduit,that may be of interest. But I would be curious as to what conduit space they intend to lease, if this$40K number is an annual revenue or just a 'one time'for space used, and who they believe will be interested in using this conduit at a leased price. If the$40K is an annual fee, I think the number is not in line w/existing pricing, or for that matter,the price to trench new conduit. I suppose it's presumptuous to assume the"ISP" mentioned was Digital West. If it was,then I would like to say that I was unaware of the pricing and specifics. If it wasn't,there are legal limits to who may place utilities in the ground. I don't know of any other local ISP's that are state licensed Internet Exchange Carriers.We have to carry bonds, insurance and other specific criteria must be met at all times focus to have our infrastructure in the streets. "Leasing the city's available conduit" may get into some tricky legal areas,as you could imagine. When I speak of"public/private partnerships" it's a combination of things. One being lowered costs. A mile of underground costs Digital West$150K,which is the same price the city must pay for a mile of conduit. If we both do it together, it's still just$150K total. If there are areas where we can help each other(we provide conduit to the City in turn for conduit for us)that's more like the partnership we're considering. I'm in support of the concept of the city promoting broadband, but it's more of a "let's get out of the way and help when we can" approach. If you have any questions, don't hesitate to contact me. Thanks for your service to our great city! RED FILE My best, MEETING AGENDA PATE. _ 1 ITEM # $ Y Tim Tim Williams Founder/CEO +1.805.781.9378 1 +1.888.781.WEST Digital West http://www.digitalwest.net From: John Ewan [mailto:jewan@alteryourenergy.com] Sent: Tuesday, April 12, 2011 4:51 PM To: Council—ALL Subject: Natural Resources Manager Dear Council Members and Mayor The position of Natural Resources Manager is integral to the well being of our city, both environmentally and economically. Down grading or merging this position with another department head may seem to be a good idea in the short term, but would have lasting ill effects upon the City. Please maintain our Natural Resources Management position, it is a resource we would sorely hate to loose or diminish. Thank you John Ewan Councilman Emeritus. From: Santa Lucia Chapter of the Sierra Club [mailto:sierraclubB@gmail.com] Sent:Tuesday, April 12, 20114:42 PM To: Council AH Cc: Lichtig, Katie Subject: 4/11 meeting: Elimination.of Natural Resources Mgr. RED FILE April 12,2011 - MEETING AGENDA RE: Strategic Budget Direction DAl$ ITEM # 8� Dear Mayor Marx and Councilmemebers, We urge you not to pursue the proposed consolidation of the Natural Resources Program with the Parks and Recreation Department. While we appreciate the City's intention to craft a budget balancing strategy that includes reduction of personnel costs in midst of the current economic situation, this particular action would represent a short-term savings at a serious long-term cost.The City's administrative structure recognizes Natural Resources and Economic Development as co-equal administrative positions.This correctly reflects the primary importance of both management positions to the quality of life of the citizens of San Luis Obispo and the future health and vitality of the city. As the staff report notes,the Natural Resources Program has successfully acquired, preserved, and protected open space and the city's natural resources for 15 years. In order to continue. doing so at the same level of success, it needs to continue as a dedicated program, not conflated with the daily operation and management tasks that are the purview of the Parks and Recreation Department. Thank you for your attention to this matter, Andrew Christie, Director6srd o cnr DIV,0 COUNCIL p"ITDVR Santa Lucia Chapter of the Sierra Club o c[nrMoa rpt, ,IFV P.O. Box 15755 n nTtD a Pou°acciiSY San Luis Obispo, CA 93406 DIR I'm805-543-8717 c o HRDIR V o DIt a stACtrlrtS o NhV COUNCIL o crry WIR a CLERK From: Uchtig, Katie Sent:Tuesday, April 12, 20114:34 PM To: Department Heads Cc: Cano, Elaina Subject: Requested information Mayor and Council: Attached is a response to Andrew's request for spreadsheet that breaks out the General Fund budget by different elements of staffing costs and also outlines how much of the budget cuts are staff related versus non-staffing related.We'll be prepared to respond to questions in a few hours. Katie E. Lichtig City Manager City of San Luis Obispo, CA 990 Palm Street San Luis Obispo, CA 93401-3249 RED FILE ME 805-781-7114 - ,�/E'T�IN=,G AGENDA DAT www.slocity.org E � ITEM # herd co enmp: i o COUML o CDD= o WYMOR C mom o AW01 a MOM o C1mmiao a Pat CM a M. a PARRS&RWmR a NBWYDM a HRDM a 8MCnYXM o COUNM o crff uaR oa x 00000000 CO 000 O M 0 0 0 0 0 0 0 0 0 . O O O O NI- mmn LO N IT 00 1� NO m C N r m r LO CD N m N q7 LO O N N CO O r r LO CO V M V CD V 0 O t� O a. V M M 0 00 W MLD � 00 V N NV V LLO V LD vvN COV 0 0 0 0 0 0 0 0 0 000 0 O O O 0 0 0 0 0 0 0 0 0 000 O N mV 00 r. NMLD V '' Nm. 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O y O N O X C r� C' 0) O N CO m u LL m L N aa) ca a) CC d � � 0 LL 0 c `✓= c c E2 m cm `m o? mm —y a)co c a d m C7 E cD -- r= y C a ro- f02 Q) Latnd0000 � d CLCC Za) C C7 !n F- z 1— z 0 a Q council memoRAnbum }-� hard a= —met RED FILE in wuxca 0CDD MR -- b WYMOR a Prrmit April 8, 2011 - MEETING AGENDA a 'tea" ORMCLW a A'IT'OR?>BY a PiDiR a 091110M a pq am DATE It ITEM # ai a ps 002nikagm a TRAM a UMLM TO: City Council o NgWMM MMSE a s't� mom. FROM: Katie Lichtig, City Manager m Mary Bradley, Interim Finance nfortnation Technology Director SUBJECT: April 12 Strategic Budget Direction Report Attachment 5 In reviewing all the information presented in the Council Agenda Report related to Strategic Budget Direction, it has come to our attention that Attachment 5, the list of reduction options, is not particularly intuitive in deciphering which options are being recommended and which are not. The attachment in your original agenda packet contains some items you may have seen before, as well as some items that are new to the budget process this time. The packet begins with a summary of reduction options that are being recommended; these are presented by department and appear on pages B2-140 through B2-143. The packet then includes a summary of options that were surfaced by departments, but are not recommended; this appears on page B2-144. Following the summary pages are details for each department. The individual departments begin with a departmental summary followed by departmental details. In cases where staffing reductions have been surfaced, a more detailed Significant Operating Program Change (SOPC) form has been provided at the end of each department's list of options. The inclusion of the detailed SOPC narrative is a new feature to the budget preparation process this year, and attempts to provide a clear understanding of the trade offs associated with the staffing reduction option. The departmental information lists each option in priority order— the first one listed is the first option suggested for reduction. In addition, the departmental summaries have a line drawn on them to indicate that those "above the line" are recommended for reduction, while those "below the line" are not recommended for reduction. The attached packet replicates the original attachment, but includes one more feature that we hope will be helpful to you in your review. The department detail sheets have been marked with an "R" in the left margin to indicate that the option listed is "Recommended for Reduction." In addition, the attached packet includes new summary pages (B2-140 through B2-144) that are in the order the departments appear in the detail. We discovered that the Fire Department was listed on the original summary above the Finance & IT Department, but the details were provided after Public Works. The new summary pages reflect that the Fire Department is in your packet after Public Works. I T:kCouncil Memos\Council Memo-April 12 Attachment 5.doc Attachment 5 2011-13 Financial Plan -BUDGETREDUCTION OPTION SUMMARY , Recommended Operating Cost Reductions Temp Regular Annual Savings Service Det Staffing Staffing 2011-12 2012-13 CateLyory Admin Reduce print cost for agenda packages in Clerk's budget- 3,000" 3,000. . 3 Admin Reduce Contract Services in Community Promotions 115,000 115,000 5 Admin Reduce contract services in Administration 29,000 29,000 3 Admin Keep PAC contribution on 2009-10 levels 4,000 4,000 5 Admin Eliminate Administrative Assistant in Clerk,net of temporary staffing 69,300 73,600 3 CD Eliminate Planning Review Assoc.Planner 1.0 109,000 109,300 1 F&IT Eliminate travel to CSMFO board meetings 1,000 1,000 3 F&IT Reduce miscellaneous expenses(Support Services) 500 600 3 F&IT Eliminate custom design.software contract 4,200 4,300 3 F&IT Reduce paper utility bills - 13,000 3 F&IT Eliminate:subscriptions(GIS) 300 300 5 F&IT Eliminate operating materials(GIS) 300 300 5 F&IT Reduce repair/replacement of calculators 300 300 3 F&ff Reduce printing(Fin Admin) 1,000 1,000 3 F&IT EPCR printing via USB 3,000 3,000 2 F&IT Reduce analog lines in City 7,400 19,200 2 F&IT Reduce paging services 4,200 4,200 2 F&IT Reduce Pentamation program enhancement hours 4,300 4,300 2 F&IT Change external DNS providers 5,100 5,100 2 F&I-T Reduce monthly cost of City air cards 13,000 13,000 2 F&IT Re-negotiate maintenance contracts(IT) 80,000 10,000 2 F&IT Reduce number of replacement printers City-wide 5,000 5,000 2 F&IT Extend computer replacement lifecycle 18,500 18,600 2 F&IT Reduce Citywide postage 2,700 2,700 3 F&IT Reduce trips&meetings(GIS) 300 300 3 F&IT Reduce conference attendance(Finance&GIS) 5,000 5,000 3 F&IT Eliminate Temporary staffing(GIS) 7,100 7,100 5 F&IT Reduce Temporary staffing(Accounting) 9,000 9,000 5 F&IT Eliminate cellular phone accessories 3,500 3,500 2 F&IT Eliminate RIM BES server maintenance 3,800 3,900 2 F&IT Eliminate Shoretel new user licenses 3,000 3,100 2 HR Reduce misc.office expenses 3,300 3,300 3 HR Reduce existing Contract Services to reflect actual cost 700 700 3 HR Eliminate funding for a Learning Management System 7,700 7,700 3 HR Eliminate budget for updating Safety Policies. 2,700 2,700 1 HR Reduce recruitment related expenses. 13,000 13,000 3 HR Eliminate the City contribution to PACE. 3,100 .3,100 5 HR Reduce education and training. 4,700 4,700 3 HR Eliminate temporary staffing in Wellness Program. 16,700 16,700 5 HR Reduce Employee Recognition budget to only provide one event. 5,500 5,500 5 HR Eliminate SLO Rideshare Lucky Bucks Program and Monetary Incentives. 8,000 8,000 5 HR Reduce Grants in Aid awards. 20,000 20,000 4 I P&R Reductions in SCMAF memberships 200 200 5 P&R Batting Cages Supplies 1,500 1,500 4 P&R Batting Cages Alarm 1,600 1,600 4 P&R Senior Newsletter Postage 1,500 . 1,500 4 B2-140 Attachment 5 Temp Regular Annual Savings Service Det Staffing Staffing 2011-12 2012-13 Catego P&R Softballs 2,500 2,500 4 P&R Scorekeepers for Adult Softball 0.7 14,000 14,000 4 P&R DOJ Fingerprinting for Scorekeepers 300 300 4 P&R SLOYSA Grant 20,000 20,000 5 P&R Paperless Activity Guide 11,000 11,000 5 P&R School.District Fee Savings 6,700. .6,700- 4 P&R Swim Temp Staffing(Physical Therapy Program) 0.2 4,000 4,000 4 P&R Recreational Sports temporary positions 0.4 4,000 4,000 4 P&R Recreation Manager 1.0 123,100 123,400 3 PD Reduction in various Operating Materials 600 600 2 PD Elimination of Annual Fee-Verizon 800 800 2 PD Reduction in Custom Design Software 300 300 2 PD Elimination of Haines telephone directory I 1,300 1,300 2 PD Reduction in Spillman annual maintenance 900 - 1 PD Reduction in Operating Supplies 2,500 2,500 2 PD Consolidate Bio Hazardous Waste Container w/Fire Dept 1,000 1,000 1 PD Consolodate Bio Hazardous Waste Removal,w/Fiie Dept ! 1,400 1,400 1 PD Reduction in Locks/Flags/Holding Cells Blanket cleaning 500 500 3 PD Reduction in Postage-On Trac 200 200 3 PD Reduction of Employee Recognition 1,000 1,000 1 PD Reduction in Janitorial Services 1,000 1,000 3 PD Reduction in Trips/Offsite Meetings 700 700 1 PD Reduction in Onsite Meetings 300 300 1 PD Reduction in Printing&Reproduction-Thermal Paper 4,000 - 3 PD Reduction in Water service 1,500 1,100 3 PD Reduction in Sewer Service 2,200 1,900 3 PD Reduction in Electricity-Public Safety Comm. Center 11,000 8,900 3 PD Reduction in Electricity-Police station& 1016 Walnut office 16,000 13,400 3 PD Reduction in Weapons Inspection costs(wills do in- house) 1 1,000 1,000 2 PD Reduction in Protective Clothing/Utility Uniform 1,200 1,200 2 PD Reduction in Gun Belts and.Accessories purchases 1,000 1,000 2 PD Reduction in Tactical Helmet purchases 600 600 2 PD Reduction in POST Training 10,000 10,000 1 PD Reduction in Contract Services-polygraph exams 1,800 1,800 1 PD Reduction in Contract Services-psych testing 4,000 4,000 1 PD Eliminate Field Service Technician(vacant in year 2) 1.0 - 118,800 3 PD Eliminate vacant Police Officer position(reduce SORT team) 1.0 146,700 147,800 2 PD Eliminate vacant Police Officer position(eliminate SRO/DARE programs at elementary schools) 1.0 146,700 147,800 4 PD Eliminate vacant Communication Technician position 1.0 106,900 107,200 2 PW Public Works Admin division Reduce Operating Materials&Supplies 1 400 400 3 PW Public Works Admin division Eliminate Data Processing 400 400 3 { PW Building Maintenance division Eliminate Data Processing 1 400 400 3 PW Streets Maintenance division Eliminate Insecticides& Herbicides 200 200 2 B2-141 Attachment 5 Temp Regular Annual Savings . Service Det Staffin Staffs 2011-12 2012-13 Catego PW Signal and Lights division Eliminate Cement& Concrete Mix 300 300 3 PW Streets Maintenance division Reduce Small Tools 1,000 1,000 2 PW Public Works Admin division Reduce Postage . 1,000 1,000 3 PW Signal and Lights division Reduce Electrical Supplies 1,000 1,000 1 ..PW Public Works Admin division Eliminate.Overtime 1,000 1,000.. 3 PW Signals and Lights division Reduce Operating Materials&Supplies 1;500 1,500 1 PW Streets Maintenance division Eliminate Data Processing 1,700 1,700 2 PW Fleet Maintenance division Reduce Special Equipment Installation 1,900 1,900 2 PW Streets Maintenance division Reduce Paint Supplies 2,000 2,000 2 PW Streets Maintenance division Reduce Signs 2,000 2,000 2 PW Streets Maintenance division Reduce Construction Equipment 2,000 2,000 2 PW Building Maintenance Eliminate Office Equipment 3,900 3,900 3 PW Streets Maintenance division Eliminate Sidewalk Repair Contracts 5,000 5,000 2 PW Building Maintenance division Reduce Gas Utility 5,300 5;300 3 PW Signal and Lights division Reduce Equipment Maintenance 5,000 5,000 1 PW Building Maintenance division Reduce Electrical Utility 15,000 15,000 3 PW Building Maintenance division Reduce HVAC Contract Services 15,700 15,900 3 PW Street Maintenance division Reduce Trash Services 20,000 20,000 2 PW Storm Water division Reduce Temporary Salaries for GIS Intern 0.18 4,600 4,600 I PW Storm Water division Reduce Regular Salaries for GIS Specialist position 0.25 27,100 27,200 1 PW Development Review division Reduce Temporary Salaries 0.16 27,000 27,100 1 PW Public Works Admin division Eliminate Publications& Subscriptions 600 600 3 PW Streets Maintenance division Eliminate Professional Conferences 400 400 2 PW Public Works Admin division Reduce Education& Training 500 500 3 PW Public Works Admin division Reduce Association Dues 1,100 1,100 3 PW Streets Maintenance division Reduce Trips&Meetings 600 600 2 PW Signals and Lights division Reduce Education& Training 700 700 1 PW Building Maintenance division Reduce Trips& Meetings 800 800 3 PW Streets Maintenance division Reduce Education& Training 800 800 2 PW Public Works Admin division Reduce Printing& Reproduction 1,600 1,600 3 PW Signals and Lights division Reduce Equipment Replacement Parts 20,000 20,000 3 B2-142 Attachment 5 Temp Regular Annual Savings Service Det Staffing Staffing 2011-12 2012-13 Cate or PW Tree Maintenance division Reduce Regular Salaries by Eliminating 1.0 FTE PW Maintenance Supervisor position 1.00 59,600 59,900 3 PW Public Works Admin division Reduce Employee Recognition 2,500 2,500 3 PW Building Maintenance division Reduce Contract Services for Janitorial Services (task reduction) 3,200 3,200 3 PW Building Maintenance division Reduce Contract Services for Janitorial Services(Frequency Reduction @ City Hall) 6;300 6,500 3 pW Building Maintenance division Reduce.Contract Services for Janitorial Services(Frequency Reduction @ various locations) 11,400 11,600 3 PW Public Works division Reduce Office Supplies 1,700 1,700 3 PW Transportation Division Reduce Regular Salaries by.5 FTE(Principal Transportation Planner transferred to Parking Enterprise Fund) 0.50 64,700 64,900 4 PW Development Review division Reduce Regular Salaries by .25 FTE Permit Technician Position 0.25 18,300 18,300 1 PW Reduce Laundry&Linen Service Contracts for Public Works General funded programs 19,300 19,300 3 PW Public Works Admin division Reduce Temporary Salaries 0.35 23,400 23,500 3 PW Parks Maintenance division Reduce City Water Services by 10% 52,700 57,500 3 PW Transportation Division Reduce Temporary Salaries 0.75 33,500 33,500 1 FD Eliminate vacant Administrative Assistant II position 1.0 74,700 78,300 3 FD Backfill three vacant firefighter positions with overtime 48,800 70;500 2 FD Reduce the fulltime Fire Inspector III position to.75 time 0.25 30,900 31,100 1 FD Reclassi Training Officer to Captain 1 16,1001 32,5001 2 Total Recommended O&rating Cost Reductions__ _1 2.74 .9.251-$ _1,894,3001 $ 2,013,600 2.0.11-13 Financial Plan - Attachment 5 REDUCTIONBUDGET OPTION Operating Cost Reductions-Not Recommended CA Eliminate memberships in 3 professional organizations 300 300 1 CA Eliminate all legal services 1,500 1,500 1 CA Eliminate all education&training 1,400 1,400 1 CA Eliminate all except 2 publications&subscriptions 2,000 2,000 I CA Reduce staff. full time paralegal from 1.00 FTE to .75 FTE 0.25 24,200 24,300 3 CA Eliminate all trips&meeting 1,300 1,300 1 CD Eliminate Long Range Planning Associate Planner 1.00 109,000 109.300 2 FD Temporary Closing of Fire Station 3 432,700 394,500 2 F&1T Reduce city cell phones 2 F&IT Eliminate payment to Parking Fund for employee use o parking in designated City lots&structures 16,900 16,900 5 HR Eliminate City funding of Wellness blood draw analysis 3,300 3,300 5 HR Reduce Grants in Aid by an additional $31,000 than already offerred 31,000 31,000 4 HR Reduce Employee Recognition by another$5000 to not provide any events 5,000 5,000 5 HR Eliminate all funds for City-wide training and development activities 13,200 13,200 3 HR Eliminate the Educational Reimbursement program 13,500 13,500 3 P&R Eliminate Teacher Work Day and Spring Break camps 3,000 3,000 4 P&R Eliminate Program X(Teens Program) 22,000 22,000 4 PD Eliminate vacant Sergeant position(eliminate SORT supervisor&team) 1.0 185,300 191,800 2 PD Eliminate vacant Police Officer position(eliminate SORT team) 1.0 146,700 147,800 2 PD Eliminate employee recognition for SNAP employees 400 400 5 PD Reduce employee recognition for regular employees 3,000 3,000 5 PD Eliminate SLO Solutions Community Program 14,800 14,800 5 PD Eliminate Bicycle Rodeo education progam 4,600 4,600 4 PD Reduce crime prevention,education,&outreach 15,000 15,000 3 PD Reduce training&professional associations 15,000 15,000 1 PW Parks Maintenance Reduce Temporary Salaries that provide the Downtown Farmer's Market Portable Restrooms 0.38 12,300 12,700 3 PW Streets Maintenance division Eliminate Contract Services for Downtown cleaning 29,000 29,600 2 PW Streets Maintenance division Reduce Regular staffing by.5 FTE Maintenance Worker providing.Downtown street cleaning 0.50 31,400 31,500 3 PW CIP Engineering division Reduce Regular Salaries by Eliminating 1.0 FTE PW Engineering Inspector position 1.00 99,900 104,600 1 FD ITemporary Closing of Fire.Station 3 432,700 394,500 2 Total Operating Reductions-Not Recommended 038 4.75 $ 1,670,400 $ 1,607,800 B2-144 Attachment 5 2011-13 Financial Plan BUDGET REDO-CTION OPTION Administration Operating Cost Reductions Regular Annual Savings Service Staffing 2011-12 2012-13 Category Reduce print cost for agenda packages in Clerk's budget(20 100) $ 3,000.00 $ 3,000.00 3.0 Reduce Contract Services in Community Promotions(11300) $ 115,000.00 $ 115,000.00 5.0 Reduce contract services in Administration(10 100) $ 29,000.00 S 29,000.00 3.0 Keep PAC contribution on 2009-10 levels(11100) $ 4,000.00 S 4,000.00 5.0 Eliminate Admin.Assistant Ill position in City Clerk program $ 69,300.00 $ 73,600.00 3.0 Keep the Natural Resources Manager positon vacant $ 2,200.00 S 158,400.00 3.0 Total Operating Cost Reductions - $ 222,500.00 $ 383,000.00 B2-145 2011-13 Operating Cost Rec►...:tion Options �fta 'hment 5' Administration Description Service Temp Regular 2011-12 Annual Savings SOPCService Impact Staffing I Staffing Budget I Category 2011-12 2012-13 ...., _"•_ r''xr'-- _•'"-r.=r =_KFiiL'ii5 ftc:vl•":i�.i?F2ki!.+"div "'rii :,, �• ...c? ':2.Eii;+i'_';a ..i(i:,.=•[t��;'s�,i=:_.�v-_:�'-r. - .:.:u-:,:r:-:c:_:.�Y.._.:-: - _ ,='.c t..`i::.:>__._::.::L.._:: .ri,_..3:::=r:..;-�.!n•:r:::::m::v;:�._�,...-•'Ir:-•,. a_ r.�'ii -F..:.w•. .4.ea _...u.: m = _ ..� ._.._�_.;... r_.i:_:;.,:::• .-.Gpc-:,..-e:::: .v:._. a v.,•r;....u.rn.L '-'___=; ._._.... �_.rc. ....._....r-4.S.,_"'__.....Li u_,]:rY=c.^.:]::a•..1.... _r....._...... rL4....Lrf:'i:ra.r_4......_l:M1 ..:::f!...:... __—CI:.��.:='��[' :l''!G�iPC1..`:�,... eiS^.._»37_.L.c__;, �._'!:s!: :e::.•.;?_=_: �::::_:::c: - �.L_ �1=':.Ld:::z:u::;=-::n:d-: - - - _a:i':,::a _�.;-r _.._?:'.' + i5 �:FT�_i" `:-3ii•_'?=F�`o-ryrs•- ....x._-x-.. _..-....__y��:r-_::r'r- _,� ._... ._...........z-.;.•n.' ��...n:r._r-r rL ...... r :_.. v.::•v:.x�d�v2i,u; -.__. ,=+3*_:,n,__F.�'rR=.::Ei.:r.:a.' __ _ ar:Le'r.•�t!. -,.r,_,._ ..:.-r:_.-::_ "r:'- _' ::•r_u:dr. r-v;.. . . _ _:__ _ —t_r.-.ti:.-={ =Riv.L_.._.:_ R 1.Contract Impact on V& 80,000 29,000 29,000 3 Services. C funding and Contract Services in the funding of Admin always relate special to special projects. If projects. needed,it should come from V&C and therefore eliminated as a permanent line item in this program =r.'r_h=i6ieiiuGli!3'?`ii 1 vrr!rt,-i' i'vat:3P:c=_i++_ r.'ciLt=ic_.c=ra�:i :.l.l;c iniFi va4 5'�;. :1�:a:nu::r_:r5!t::__.4.:Lx=..,r_;._._wr - . ._ ^_..r..v.. -. ._._ ...._.__r....c . . ...__l.:.v..:._.h,_. .1_rtTaL t........._._r vv-.:...._.L__=_;_�!�cwa^:.-.vrr 2.Reduce Print Fewer 8,800 3,000 3,000 3 cost agenda packages will be distributed and only provided electronically to Department Heads. _ MEN=:'�-. �iFxe-' i '?'7:'yi;ti. .i uF•'r•_4xm_=z ." __ er:!i;.t'S'--:yz!_E-__}_:rq=....... `,�vT,.-�1� '.,.r--., ... .. :v-.!'�i;N.'., l :.ur!'.s!Yyr: •-.•c .., �,7x` .?-_�7c_i=i•__''r :L.-L'"-�ic'�..w?_�}"-_':'. .4:CS =:-__�-_:: -,.'!L�—_.? -.rte-:' _ - it r•--. =r.:dy-._._•-,-_-L•✓{=iui?a..;xcti.�v_ _ .._.._�yL_. :viiF-dr+.-L� -'. it_i�.-'�-'f,' -A.�c _3: -•__ _- _ MR -,m_•7-,-:?-roc^� MUM ? ��'S'�vS_?4..fi!:'_ r...-.v.Wit,_.:�-:z. 3.Grants-iu--Aid Funding level 90,000. 5 Integrate this will be fimding& recommende combine with d by the PCC Community that might Promotions result in an impact on cultural organizations PAC Contribution Possible 268,000 4,000 4,000 5 Freeze operating contribution at deficit will be 2009-10 levels of taken out of $264,000 the PAC's fimd reserve-.r r' -- �Cvy M `t —' ;r :!2"`:..;f�-• r;�j ,4�. ae:�: ,�,...:. __ _ ,:_c .�.-''_ sF_�• =r a'-" r:'_-'.'.'-'-,a` ;>fv'- •+•-L- v��r P.'S�4-�'--_;3=aa -r•: '?;.:, x: tn;•^L�-'-;-�• ti•-,rn:_-,b'vt_••'§,t2,��r� .. 4.Reduce current The 384,500 115,000 115,000 5 contract reduction Services Program will have an impact on cultural and B2-146 2011-13 Operating Cost Reduction Options AuaCh1Y1er1t.� Administration recreational offerings the City has afforded through this program.The programs are designed to have a positive impact on Sales Tax and TOT as they serve residents and tourists alike. .:-.. . .:....+t:: � -..-._�,::...,_......r.:-::r.�,:a:mr.;�.;.. ._..._ ..,:xr:;.^...___- - --____ - - - �:::rxrrr•r .r....__ s•r - :�, _.... ' ._ :_ v, ...:...- '� x:_.r.x::zi=• .a:...c.___..: . _:¢'_tiirFtii::x:::!i:-i: r n:.... - '•:e:r.:.:S--::-rsr_ —rt_�rir_�:_.!_...s_ -.y3_ :i:"i4'�i.1. .•ru n INLIS:-li._',L..G.:::..n:.ar..;•�.n:.:::r __¢•�rJvs-z.�xi;c;.-rur_:!`.'.. ir'n E: s•Er?_z�rai T_:rb:a r::a. _ _r _-_ __ ___ -_.:;re-s .:.vs ' �r :�.: .:Isi•?k. u!�_:x:_an{3i_c_•:a5 r___�:::�:.._:n r.v h._::_:::..;_.��.i._.;.:::L:�'`,!��:'i'ti>5!_ c.Crci':�_•crv�s-riv:>>._,r�zv=i_.�:"'r•�-`:_"-_ _�!:�•rr�'. R 5. Staffing Salary This will 1 FTE 82,100 82,100 86,400 X 3 Eliminate Admin reduce Assistant III admimstrativ position. * e support in the department to one Executive Admin Assistant and one Admin Assistant II, and require the department to use temporary intern positions to meet departmental needs. - rte•• _:r_r�:�::�•'-� :-� �_=�°._ __..s:.�-ti, _ _ -'� fi -- 6.Stalling Salary This will — 1 FTE 1567800 - 2,200 158,40 3 Savings leave the 0 Keep the Natural Biologist Resources position as Manager position the only staff vacant upon the within the current Manager's program, and retirement will require the Assistant City Manager B2-147 2011-13 Operating Cost Redu.aion Options Atachment�_ Administration and Parks and Recreation Director to take on more duties on an interun basis. TOTAL 2.0 235,300 395,80 0 I B2-148 2011-13 Financial Plan Attachment.6...,.. BUDGET REb0cmWo"ON Clty Attomey Operating Cost Reductions Regular Annual Savings Service Stating 2011-12 2012-13 Category Eliminate.all trips.&meeting 1,300 _ 1,300 1 Eliminate memberships in 3 professional organizations 300 300 1 Eliminate all legal services 1,500 1,500 1 Eliminate all education&training 1,400 1,400 1 Eliminate all except 2 publications&subscriptions 2,000 2,000 1 Reduce staff full time paralegal from 1.00 FTE to.75 FTE 0.25 24,200 24,300 3 Total Operating Cost Reductions 0.25 30,700 30,800 B2-149 2011-13 Operating Cost Reduution Options Attachment City Attorney Description Service Temp Regular 2011-12 Annual Savings SOPC Service Impact Staffing Staffing Budget Category 2011-12 2012-13 'n m4k' K IT5. 'T2 'EL"I 1. Trips and This is the 1,300 1,300 1,300 Meetings. entire budget Eliminate. and would eliminate attendance at all professional and community group luncheon meetings. Could negatively impact awareness of legal updates, best practices,and community involvement, etc. Attorneys will absorb necessary costs personally. 2. Professional 1. Tri- 1,300 300 300 1 Organizations. Counties Eliminate Local Gov't membership in AttomL-ys three organizations: Assn, is an organization 1.Tri-Counties that provides Local Government professional Attorneys legal Association education and support 2.California to city Women Lawyers Attorneys in Association the 3 counties. 3.SCAN NATOA Impact for �States of CA& canceling its V Chapter of membersbip B2-150 2011-13 Operating CostReduction Options Attachment L/ City Attorney National would be Association of minimal. Telecommunication 2. California s Officers& Women Advisors) Lam Assn. is a valuable professional association. The City Attorney will personally pay the$100 annual dues_ 3. SCAN NATOAisa valuable association that provides local governments up-to-date information on cable franchise& telecommuni cation issues, FCC rules and guidelines. Its annual membership is$100. 3. Legal Services. This leaves 1,500 1,500 1,500 1 Eliminate this line, no flexibility which leaves no for specialty budget for outside consultation counsel on matters consultation for ranging from special expertise. Proposition 218 to labor issues and/or shifts the entire burden of such consultation to other de artnimts. 4.Education& This would 1,400 1,400 1,400 1 �' Training. eliminate all B2-151 2011-13 Operating CostRea_.,tion Options 1a hMent City Attorney Eliminate. attendance at continuing legal education training conferences exceptthe League of California Cities Annual City Attorneys Conference. Could negatively impact awareness of legal updates, best practices,etc. An elevated focus on proactive code enforcement is likely to result in increased criminal filings,which requires increased need for criminal process education for primarily civil practice attorneys. Inability to obtain that education could adversely affect the most effective criminal enforcement in these B2-152 AttachMsnt 2011-13 Operating Cost Reduction Options City Attorney matters. 5. Publications& This will 5,200 2,000 2,000 1 Subscriptions. result in Eliminate all frequent trips subscriptions to the Law EXCEPT limited Library and WestLaw online time away subscription and from the the Municipal Law office for Handbook online research, subscription. especially with regard to eliminated Land Use Practice and California Environment al Quality Act treatises. 6. Staffing Detailed in .25 97,900 24,200 24,320 X 3 reduction. Reduce SOPC filled Paralegal position from full time to three- . i carter time. TOTAL 25 30,700 .30,800 { B2-153 GENERAL GO ERNM�Mif STAFFING REDUCTION—PARALEGAL, CITY ATTORNEY OFFICE Aftachment_ '5� Request Summary Reducing the currently filled position-of Legal_Assistant/Paralegal from 1 FTE to 0.75 FTE will result in a salary savings of$24,200 in 2011-12 and$24,300 in 2012-13 the City Attorney office budget. Key Objectives Meeting budget reduction targets. Existing Situation: Factors Driving the Need for Change Reducing this position would reduce significantly the functionality .and accessibility of the City Attorney's Office. Although the City Attorney's Office can continue to offer the same services, it will have to scale back on the services provided if the position is reduced. In addition, tum around time for non-litigation matters will increase. The position not only offers administrative support for the Department's attorneys, but also provides litigation support for the attorneys. Litigation support includes preparing routine court documents, finalizing more complex court documents, assisting in factual investigations, court calendaring, and managing evidence and discovery. This position is also key in maintaining accessibility to the City Attorney's Office. For example,this position is able to answer calls received from the public ranging from questions related to municipal code provisions to City protocol and policies. The position handles routine inquiries, requests for documents, direction to appropriate resources and departments. This position is key to the City Attorney's support of Departments tasked with lead roles in accomplishing the City Council's Neighborhood Wellness goal. With respect to enforcement of Neighborhood Enhancement Ordinance(NEO),the paralegal reviews evidence submitted by field personnel in the Police Department,reviews citations for appropriate municipal code citations,prepares enforcement notices to property owners and tenants to correct NEO violations, enters information into the database so that enforcement can be tracked, and follows up with NEO staff as necessary. For other code enforcement matters that are referred to the City Attorney's Office, the paralegal will prepare judicial complaints for attorney review. In stun, the paralegal manages the bulk of the day to day support of the Neighborhood Wellness program under the supervision of the attorneys, with the attorneys taking the lead if the matter cannot be resolved and requires prosecution in criminal court. Timely enforcement actions to complaints and collaboration with property owners are key to a successful program. A reduction in the paralegal position will result in difficulties in managing this program in a timely manner. The paralegal's,litigation support obligations,and other administrative support related to projects with firm deadlines, would have to take precedence over discretionary enforcement actions. Likewise, the Assistant City Attorney could only take over some responsibilities to the extent that it would not interfere with court and statutory deadlines. Alternatively, the Assistant City Attorney would have to scale back on providing legal advice on substantive issues. This position also performs functions relevant to the City Council's other important objective related to Affordable Housing. Specifically,the Council has found that mobile home parks represent a significant source of affordable housing in our community. The paralegal acts as a regular liaison to the parks' residents. and representatives to manage regular inquiries and gather information for attorney review regarding compliance with the City's Mobilehome Rent Stabilization Ordinance (MRSO). With respect to enforcement of the MRSO, the paralegal performs the data compilation and analytical calculation work necessary to facilitate review of rent increase compliance. B2-154 GENERALG6VERNMENT STAFFING REDUCTION—PARALEGAL, CITY ATTORNEY OFFICE Attach enu�. The Paralegel also is responsible for drafting legislative correspondence to State and/or Federal representatives in Accordance with the Council's Legislative Platform.. When a legislative issue comes to our attention it is often because an action-will soon be taken, whether it's set to be heard in a committee;on a house floor,or it's on the Governor's desk for signature. Prompt action is often required. The Paralegal researches the bill, and if the measure is of importance to local government and within the scope of the Council's Legislative Platform, prepares a letter for the Mayor's signature, and promptly transmits the correspondence to the proper individuals. Goal and Policy Links This operating program change ties to Operating Program Goals. Service Priority Ranting The Legal Assistant/Paralegal provides administrative support to the City Attorney and Assistant City Attorney whose functions are service priority#1 rankings. Program Work Completed N/A Environmental Review N/A Program Constraints and Limitations The City Attorney's Office would need to readjust its priorities; and determine how its services will need to be scaled back The Assistant CityAttorney may need to be trained in some clerical and paralegal tasks. Stakeholders For Internal Customers: Should the Legal Assistant/Paralegal position be reduced,because of time constraints, some discretionary duties absorbed by the Paralegal in prior rounds of budget cuts would most probably need to revert back to other departments as follows: To the City Clerk: 1. Finalization of Ordinances and Resolutions following City Council meetings To Administration: 1. Managing the appeals of.Business Tax Administrative Citations 2. Oversight of Rotating Art Program 3. Oversight of Charter Communications franchise:complaints 4. Maintenance of logo stationery specific for City Council 5. Maintenance of City Hall stationery supplies, that include letterhead, envelopes, FIT window envelopes,logo notecards,etc. Accessibility to staff for unanticipated or emerging issues will be delayed during times when attorneys are otherwise engaged and staff is unavailable. There maybe increases in times when the office will need to be B2-155 STAFFING REDUCTION—PARALEGAL, CITY ATTORNEY OFFICE AttaChmgnf . closed due to staff unavailability. The office's open door/drop-in policy would need to be modified to accommodate additional duties absorbed by attorneys and staff availability issues. For the Public: The City Attorney's Office would no longer be open to the public during those times that paralegal position is not staffed, as attorneys are regularly at meetings that keep them physically away from the office and the office cannot be left unattended. Response time to public phone inquiries would be diminished. Scheduling time for attorneys would likely increase. Implementation This change could be implemented at the end of the 2011 fiscal year to accommodate necessary duty reassignments and training. Key Program Assumptions N/A Program Manager and Team Support City Attorney,assisted by Assistant City Attorney and paralegal. Alternatives . 1. Continue.the Status Quo. City Attorney won't meet budget reduction targets. 2. Defer or Re-Phase the Request. The ultimate impacts of such a change will not change significantly over time,unless there is a restructuring of the departmental workload. 3. Change the Scope of Request A greater reduction will result in greater adverse impacts as identified and increased delays to office work product. 4. Implementation in a Different Way. Proposals for staff and inter-departmental cost sharing could be explored, so that paralegal remains on site and available in the event emerging issues arise that could require reprioritization of workload and scheduling (i.e.paralegal could be assigned to other administration support functions during lower workload periods, but reassigned as required to meet court and other deadline priorities at the discretion of the City Attorney). Operating Program City Attorney's Office(15 100) i B2-156 GENERAL G6VERNMENT STAFFING REDUCTION—PARALEGAL, CITY ATTORNEY OFFICE Attachment J. . Cost Summary Line Item Descr' lion Account No. 201142 201243 r.::!-T!7iieLa'"'.i7�!i°^.!!rtiiii!!�icraj-_?:rL.g:,;:.vs'.g!egAcdr.`iii!!!!14 �1!��!L-,:!°.:li!'.{..... i .,V...... _! k,. ,.....;_ ::P!,:„�:_!, U,,,s,, 24 200 24,300 Salary 100-15100-7010 16,200 16,200 Retirement Contribution-PERS 100-15100-7040 5,200 5;300 Health&Disability Ins 100-15100-7042 2,500 2,500 Medicaie 100-15100-7044 200 200 ,T-JneTMloymentIns 100-15100-7046 100 100 Total Operating Costs 24,200 24,300 TA 1 MPT 2011-13 Financial Plan BUDGET REDUCTION OPTION • - Community Development Operating Cost Reductions Regular Annual Savings Staffing 2011-12 2012-13 Eliminate Planning Review.Assoc..Planner... . _ . 1.0. 109,000 109,300 - Eliminate Long Range Planning Assoc.Planner 1.0 109,000 109,300 Total Operating Cost Reductions 2.0 1 218,000 218,600- 1 I B2-158 C 2011-13 Operating Cost Reduction Options AftaChMSIRL5 COMMUNITY DEVELOPMENT Description Service Impact Temp, Regular 2011-12 Annual Savings SOPC Service Staffing Staffing Budget 2011-12 2012-1.3 Category ............. .......•............... INO 1 ot_,."y.•.9_.-_.i.!tir:.-..,_.ia.K.- Eliminate a The service impacts 1.0 109,000 109,000 109,300 x I R Vacant Associate could include an Planner Position increase in the time in the it takes to review Development new planning Review Division. applications and This option affects building permits. It regular staffing could also diminish costs. The the Department's reduction would be capacity to work on implemented on multiple priority July 1,2011. projects. See the SOPC for details. -,,.......... - —H RM 51 Eliminate a The reduction 1'.0 109,000 109,000 109,300 x 2 Vacant Associate affects Policy and Planner Position Plan in the Long- Implementation Range Planning Activities. The Division. This impacts are a option affects reduction in the regular staffing City's ability to costs. The prepare area plans reduction would be and General Plan implemented on implementation July 1,2011. programs. In the future,area plan and major implementation program will require hiring consultant services. Reviewing projects for conformity with the City plans will need to be shifted to the Development Review Division. The Proportion of time remaining planning staff will have to spend at the public information counter will increase by 20%, giving each planner less time to work on assignments. The means a slowing 1 down of planning I 2011-13 Operating Cost K-Juction Options COMMUNITY DEVELOPMENT application turn- around times,but within the minimum tum-around times required by the state. TOTAL 2.0 218,000 218,000 218 600 B2-160 2011-13 Financial Plan Affachment BUDGET REDU,C-TION OPTIONSUMMARY Finance & Information Technology Operating Cost Reductions Regular Annual Savings Service Staffing 2011-12 2012-13 Category Eliminate.travel to CSMFO.board meetings 1,000. 1,000 3_ ,.._ Reduce miscellaneous expenses(Support Services) 500 600 3 Eliminate custom design software contract 4,200 4,300 3 Reduce paper utility bills - 13,000 3 Eliminate subscriptions(GIS) 300 300 5 Eliminate operating materials(GIS) 300 300 5 Reduce repairheplacement of calculators 300 300 3 Reduce printing(Fin Admin) 1,000 1,000 3 Reduce printing of Emergency Patient Care Reports 3,000 3,000 2 Convert analog lines to VoIP 7,400 19,200 2 Reduce paging services 4,200 4,200 2 Reduce Pentamation program enhancement hours 4,300 4,300 2 Change external DNS providers 5,100 5,100 2 Reduce monthly cost of City air cards 13,000 13,000 2 Re-negotiate maintenance contracts(IT) 80,000 10,000 2 Reduce number of replacement printers City-wide 5,000 5,000 2 Extend computer replacement lifecycle 18,500 18,600 2 Reduce Citywide postage 2,700 2,700 3 Reduce trips&meetings(GIS) 300 300 3 Reduce conference attendance(Finance&GIS) 5,000 5,000 3 Eliminate temporary staffing(GIS) 7,100 7,100 5 Reduce temporary staffing(Finance) 9,000 9,000 2 , Eliminate cell phone accessories 3,500 3,500 2. Eliminate RIM BES server maintenance 3,800 3,800 2 Eliminate Shoretel new user licenses 3,000 3,100 2 Reduce MDC&laptop aircards 26,000 26,000 2 Eliminate payment to Parking Fund for employee use of parking in designated City lots&structures 16,900 16,900 5 Total Operating Cost Reductions 225,400 180,600 Revenue Enhancements Annual Revenue 2011-12 2012-13 Business Tax Enforcement 50,000 100,000 Lease City-owned conduit space 40,000 40,000 Total Revenue Enhancements 90 000 140,000 Total Department Options 1 315,4001 320,600 Allocated Share of Total Reduction Options of$3 Million F 244,200 100% 11 t' 2011-13 Operating Cost Reauction Options Finance & Information Technology Description Service Impact Temp Regular 201142 Annual Savings SOPC Service Staffing Staffing Budget 201142 2012=13 Category nr.:r[;r._ F rli..!i2-a:lcY iiii i_.r s^ispt-'r-0i+.. . -.uu..._ .:ln:fu::::..._ Awl?r ..n'. it _ ...oo:.ai:::.'ii:rsOji�L{�:ji;(..;;....�:. _.=a "`-y.-z.9.r:ru._ ._I__...._._._.... y �r ::�:S:v::_�!. i ....c�"�...... r ��' � .__• �L9� 'ii'� "--- 5:::.a,,„IyLpin_r- v....u.•�r': ::.n -,.tnh �ein�r -_ .. ..:.. ..... .......r._:........, a_e..r�lrn[?.it;pfiF'.._ i., rc.(r,:a!r:........:w.rLt!-..z.i „:.o...a.........�..v.>''.:... ........ R 1. Eliminate No staff $1,000 $1,000 $1,000 3 CSMFO members Board currently serve Meeting on the board so Attendance travel to the meetings is not Eliminating necessary. travel to CSMFO board meetings will save $1,000 annually. _ .. ... _.. r v :•-. '__''Fr_""- gi:mrs:jg,Esh±- _ :i4t; �i3�=:=.zi'.:" .--s�ti=rr:�”" _ _ _... ��- �°._ ._ r .:. _ _ _—c._a�..,.••'-:::: T :.:ec:•'`---3u_ �u: Sp-}_?--�.•:r. - _r - - --••�•;.r.:.��r=--T-.Fi -' r---.._.•_.:v L.,;::...._�_rye r F7i'� s:_.: _r...:d=�:"T- y.' --' v=�r�'-_Yv z--.`�r�._f?Y�-`sig____.:::=_trr'_ : � r .. •, v.....� .-..r 1 :..s.v-..:-. .... ::._--_a.• r.!_-_.. crxa� _zer_c_mrr:�..__-r _ .n... _ __rs L ";i..,r^..:a-,....:..-_..:_._ ,�_c^r_' v=-_:^ 'r.'9: o.:'S.>_�..a:i�1:=__:_s., -=r_:r••_ �.-.-._. �T'7 2. Reduce The typewriter $900 $500 $600 3 R Miscellanea, maintenance us contract was Expenses. eliminated Reducing during the last miscellaneo budget cycle us expenses because very will save few are in use. $500 in Ongoing 2011-12 and maintenance $600 in costs for the 201243. few typewriters that can't be eliminated are paid at the hourly rate for service calls. Staff will be encouraged to lessen or eliminate typewriter use and share resources with other departments when possible. 3. Eliminate The $4,200 $4,200 - $4,300 Custom replacement of B2-.162 2011.13 Operating Cost Reduction Options Finance & Information Technology Design Visual FoxPro Software with new Contract. software Eliminating programs custom eliminates the design need for this software contract. contract will save$4,200 in 2011-12 and$4,300 in 2012-13. _ _--..____ _._;.T_r'----�--_... _-_=3ia:'_.u:.d�.%:i�ic:' _:"-z�:iTFr��4:�::fEv,y._ar;:iijie°.�Y•r T iJi f'S::C!�ja�rvc:cp__�::;;xs s_-.'_cxr�:-_c: ._ ., .. ._ -_...:..._..r-r_:q.n..p-•ter.+;•-_.rr__._ ..�Rr l- ..._u,�a.:..:�.ver•G:bys.�_n� :c.2..r:n..o::c-.::a a :. d .'.:c: - : ':,. •. :. ri:.^.-_.....,.... . .aRvr3'i• r _.n:t.,.r ..__v- snv:::�rr.::uSii;:.R'.PG^vb'i�TuSzS3r 4. Reduce The new utility $66,800 0 $13,000 3 R Paper billing system utility will provide Bills, electronic Eliminating billing and paper utility payment bills will fimctionality, save reducing the $13,000 in need to mail 2012-13. gaper bills. R 5. Eliminate Minimal $600 $600 $600 5 Various impact, Non- subscriptions staffing will be Line Items. replaced with Eliminating free publications publications. subscription s and operating materials will save $600 annually. ' _ •: _ "w ;... .,'�•^r _ .ts ^.�•:!-"„qi . -'na':. _!��C.:._y.yry :Rr':.. •{j: r :: .� r�:R_'_r.:�: _rn s:. ;rys _rev': 5-. _. ._.T-i--::.._. •��= _ R 6. Reduce MinimalN $2„400 $1,300 $1,300 3 Various impact. Non- Reduction in staffing printed Line Items. documents that Reducing will only be printing and provided calculator electronically. repair& replacement 2011-13 Operating Cost Rewction Options Attachment Finance & Information Technology will save $1,300 annually. _._�.. _.._....._.. ._._.._...._...Ml.v.•,:ia: �....... .. .... ... .........v.._...v..[al:j.:::._...•:.iL:d:_•:c,,... 1 :_.......... ._ ._...._._. _ —�z__." Z 1.i"Itii!�Ei�'r.:::....:.h.h IfG°`_:L`•:.ii_:eF f-_'hal: dL R 7. Reduce Emergency $3,000 $3,000 $3,000 2 Printing. Patient Care Reducing Reports can be printing will printed via save$3,000 USB. annually. R 8. Convert Converting 89 $95,000 $7,400 $19,200 2 Analog existing analog Lines. telephone lines Converting to the new 89 analog VoIP lines to technology VoIP lines will result in will save some $7,400 in temporary 2011-12 and service $19,200 in disruptions. 2012-13. Many of these are fax machines or modem lines which are straightforward to convert.A few of the lines are secondary fire alarm lines or other special use analog lines that wt71 require careful handling in order to convert them smoothly. R 9. Reduce Minimal $9,000 S4,200-- $4,200 2 Paging impact.Paging Services. services are Reducing being phased paging out as City services will staff utilize save$4,200 cell phones annually. instead of pagers- B2-164 2011-13 Operating Cost Reduction Options AftChMOn t. . Finance & Information Technology ............ .2. .. .... . ..... 10. Reduce Reduction in $8,500 $4,300 $4,300 2 Program software Enhanceme upgrades of the nt Hours. Finance Reducing system will program have minimal enhancemen impact in the t hours will short-term. save$4,300 Potentially annually. larger impact as software becomes dated. K U am 11. Change This will cause $5,600 $5,100 $5,100 2 External all City DNS websites Providers. including Changing outside e-mails external to be DNS temporarily providers unavailable for will save up to a week. $5,100 A week is the annually. worst case scenario and different parts of the Internet may become available as the change moves through the Internet. 12. Reduce the IT renegotiated $43,200 $13,000 $13,000 2 monthly the monthly cost of City pricing of the air cards. City's air cards Reduction with Verizon. in the type of plans used by the City air cards will save $13,000 annually. 13. Renegotiate As a result of $297,300 $80,000 $10,000 Maintenan renegotiations ce with vendors, Contracts. we are able to B2-165 2011-13 Operating Cost Rei..6tion Options Attachreffl S� Finance & Information Technology Renegotiati reduce our ng maintenance maintenance contract contracts payments. will save However,this $80,000 in is a short-term 2011-12 and savings. . $10,000 in 2012-13. R 14. Reduce Printers $22,000 $5,000 $5,000 2 Printer typically have Replaceme a Iong life span nts. and the City Reducing does not black& replace them white until it is no printer longer cost replacement effective to s.from 8 to repair them. 5 will save IT estimates $5,000 that the annually. average lifespan of a The City printer is 13 currently has years. Most of 82 printers. the City,s Of these,we printers are in typically budget for good shape. the However, replacement productivity of 9 printers could be annually(g adversely black& impacted if white and 1 more printers color):about fail than 10% anticipated and annually. . funds are not This results available to in an annual cost of replacethem. $21,000. Reducing black& white printer replacements by 3 saves $5,000. R 15. Reduce It has been the $1341300 $18,500 $18,600 2 Computer City's goal to _ Workstatio replace about B2466 2011-13 Operating Cost Reduction Options Attachment zr.. Finance & Information Technology n 30%of the Replaceme City's nts. computer Extending workstations the annually in computer order.to ensure replacement that the City's cycle from infrastructure 3.5 years to remains 5 years will current with save technology. IT $18,500 in proposes 2011-12 and extending the $18,600 in desktop 2012-13. replacement life cycle to 5 " years by replacing about 20%of the City's computer workstations annually. However,the Microsoft Office replacement cycle would remain at 3 years. � — _c J',.i`_—r�wg�tir���..���iY.. .--�-vimk "�.ciy�^mhs�'iii.iK�� y .xSS__s•<= . _- _ c .. --..5�...� _n.�'.JG:w'�.�z�E�'rir°' nC.s3'F __--lv7ic•=Se_;=____ _�-•._,K'2c7:.�_. R 16. Reduce Staff will be $41,100 $2,700 $2,700 3 Citywide encouraged to postage. reduce Reducing mailings and Citywide utilize postage by electronic 6:5%will options where. save$2,700 applicable. annually. _ yi�$:n:x�''_r`'�.'+��.-: �_`'�:'f,=ix�i -r. __ �mllir_.^_mF.�.��[.t�:�:�c;�x_��c - - _�• _ i ... •_ � ..:'..2 T J... 1i:7..'�'}r _ ._.Sy_"a C.�i_•E:_C:"�:Q�''.C� _ •.�M.i F'S S� R 17. Reduce Staff will have $500 $300 $300 3 Trips and less Meetings. opportunity to Reducing enhance their trips and skills,stay up- meetings to-date on will save changes in GIS B2-167 2011-13 Operating Cost Re4_4tion Options AttachMont.-5—. Finance & Information Technology _ $300 technology and annually. network with other GIS professionals. R18. Reduce Staff will have $6,000 $3,000 $3,000 3 Conference-- less Attendance opportunity to . Reducing enhance their conference skills, stay up- attendance to-date on will save changes in GIS $3,000 technology and. annually. network with other GIS ofessionals. _..:_ �_-�.^_...::.-.: -......-...,....-_•- -..:.n-r..__v.....n'r.�:?_rpt°it_.v:L'-?_i .: vfi'+� r_�- .��,r._:;:rt5vr'•�:sm c•ur _—__ _:jj?•l,=,G.:c.- •v i + ':�i: '_-' {:.:-c?EE_E:.;:ii:'e"7°f'c4_.. _._.__-s:u a•-:rvc:. c4c. : - - �;._c_F_�4(: - -4 .:... R 19. Reduce Staff will have $3,300 $506 $500 3 Conference less opportunity Attendance to enhance skills Reducing and network conference with other attendance Finance will save professionals. $500 annuall - -• T -.=1^�- •�;�-°�r��t��-�_�___�-,:_—,.�-=ti_--_-- �.r -•- � -_�!-ham.�— ___ ...--�>;: �: y •• _ _ -? �_ .:-�"_-c_:u a_.:i :c-�['y�__'.--r--_rs""'';�cfai'v-= T•.'cam-'�.,�i�>,f•4.'_•IiY�r.�=..^vJ=._ R�3=_ uifiy3".�T_ . ..,�:'��:�r�7;":`,...-.+.c .iiL-_S _. .:si .:s:_---_.3 r.:a_.. L4•:-L=v-i:.c:-•' L 1 -'ice R � �_ ._._.._� e4_..l ....._ J__ ._..�G_—�—:_�:n�..:ti.�.—y;.e. ..�. ..fir' 'i':11�]lt:iL••,:::..__� '�irt'-t:,.I::.I;YJ_: R20. Reduce Staff will have $7,600 $1,500 $1,500 3 Conference less opportunity Attendance to enhance skills . Reducing and network conference with other Finance attendance professionals. will save $1,500 annually. _ __�a�, ":,T-a�i.� r-MR. a-•, R 21. Eliminate Completion of 0.25 $7,100 $7,100 $7,100 5 Temp mapping Staffing. projects may Eliminating take longer. temporary GIS will staffing will explore option save$7,100 of utilizing annually. unpaid interns to assist with This equals- projects. 520 hours at $13.61/hour i B2-168 CAttachment 6�.. 2011-13 Operating Cost Reduction Options Finance & Information Technology . .: 'i 4 :j. v .MINIS, 7K, '.'� tr: -•: e i ��i l .J k t 2 c.wTinku R 22. Reduce The need for 0.23 $11,700 $9,000 $9,000 �2� } Temp temporary Staffing. staffing in Reducing Accounting temporary has been staffing will reduced due to save $9,000 the shift from annually. centralized Accounts This equals Payable 480 hours at invoice entry $18.81/hour to departmental entry. However,lack of temporary staffing may impact Finance's ability to conduct enhanced purchasing activities. .. .. . ... :.r:.:q4..—c_�;r.:ra_•.r.=_�—'�_ "_-.tiff.,_arc-.�+.#..`�'r-u::ru's=die;_ '" Cz� -{�:-.-:c'�_� rSir'.• _ _. .._....-�,.a._,:.;;x;..=,tr-mr.^"u'° �"._"'_•_..s'�'...�?_ F r'T_r":-_=-,� e-=.�':Y'T�' ��:r=-csr._�,:�*�' 23. Eliminate Shifting $3,500 $3,500 $3,500 2 R Cellular payment for Phone phone Accessories accessories such as Eliminating batteries and cellular cases to the phone departments accessories may encourage will save efficiencies $3,500 and reduce annually. these expenses. Note:Each department must add this expense to their budget. R 24. Eliminate Eliminating $5,000 $3,800 $3,800 2 RIM BES Blackberry . Server phones and Maintenan replacing with ee. smart phones Eliminating will save RIM BES money on the B2-169 2011-13 Operating Cost Reauction Options Finance Information Technology server will RIM server save$3,800 maintenance. annually. R 25. Eliminate There will only $3,000 $3,000 $3,100 2 Shoretel be a-servicer - New User impact if new Licenses. positions are Eliminating created or new Shoretel work groups new user are created.In licenses will this case, a save$3,000 license will in 2011-12 need to be and$3,100 purchased by in 2012-13. the department. 26. Reduce Shifting $26,000 $26,000 $26,000 2 MDC& payment for Laptop aircards to the Aircards. departments Reducing may encourage aircards for efficiencies mobile data and reduce computers these expenses. and laptops Note:Each will save department $26,000 must add this annually. expense to their budget. :.. • .. .. ,__ r..-_��:_•__:�::•s7_ _�K.. ..�.;=_�a€==��--"S's�e:,�:,��a=;; - :fie'_: WI5;I 27. Eliminate Shifting $16,900 $16,900 $16,900 5 Payment to payment for Parking staff parldng in Fund for designated Employee City Iots and Use of structures(Old Parking in Library,919 Designated Basement, 955 City Lots Morro& 842 And Palm)from the Structures. General Fund Eliminating to the Parking payment to Fund will have Parking no service Fund will impact: save $16,900 annually. TOTAI, $125,400 $1969600 B2-170 2011-13 Financial Plan BUDOU REDUCTIONUFOON Human Resources Operating Cost Reductions Regular Annual Savings Service Staffing 2011-12 2012-13 Category Reduce misc. office expenses 3;300 3,300 3 Reduce existing Contract Services to reflect actual cost. 700 700 3 Eliminate funding for a Learning Management System 7,700 7,700 3 Eliminate contract budget for consultant updating Safety Policies. 2,700 2,700 1 Reduce recruitment related expenses. 13,000 13,000 3 Eliminate the City contribution to PACE. 3,100 3,100 5 Reduce education and training. 4,700 4,700 3 Reduce temporary staffing in Wellness Program. 16,700 16,700 5 Reduce Employee Recognition budget to only provide one event. 5,500 5,500 5 Eliminate SLO Rideshare Lucky Bucks Program and Monetary Incentives. 8,000 8,000 5 Reduce Grants in Aid awards. 20,000 20,000 4 Eliminate City funding of Wellness blood draw analysis. 3,300 3,300 5 Reduce Grants in Aid by an additional$31,000 than already offerred. 31,000 31,000 4 Reduce Employee Recognition by another$5000 to not provide any events(1 5,000 5,000 5 Eliminate all funds for City-wide training and development activities. 13,200 13,200 3 Eliminate the Educational Reimbursement program. 13,500 13,500 3 Total Operating Cost Reductions - 151,400 1 151,400 1 B2-171 2011-13 Operating Cost Reduction Options lent Human Resources Description Service Impact Temp Regular 2011-12 Annual Savings SOPC Service Staffing Staffing Budget _ I Cate-gory 2011-12 2012-13 14am T! 11.2 ilK 2! . ........ ............. 1.Misc.Office No significant 3,000 3,300 3,300 3 Reducing various service impact. If (we (we non-staffing accounts costs increase,more have have in Office Supplies, funding could be merged merged Publications and needed. line line Subscriptions,Trips items) items) and Meetings will result in$3300 savings. Implement July 1, 2011. 2. Contract No service impact 82,600 700 700 3 Services Reducing as contract amounts existing contracts to have been verified accurately reflect for next two years. negotiated cost will result in$700 savings. Eliminate funding The Cal JPIA is in 29,300 7,700 7,700 3 ,r a Learning the process of Management implementing a System. Eliminating Learning ing budget for a Learning Management Management System System that will saves$7700. meet our needs. Implement July 1, There is no 2011. additional cost to the City for use of this systern. IM-00 W-Wal. OW 4. Safety Policies— The CalJPIA will 3,900 2,700 2,700 1 Contract Services provide staff and Eliminating budget sample policies at for a consultant to no additional cost. update safety policies Some increased saves$2700. workload on City Implement July 1, staff. 2011. a— -' AWW- - M;�� I =­.. -- .-' - HEN: m HER M Ogg . MAIN -52 al 5. Recruitment Reductions are 16,600 13,000 13,000 -3 -Deducing various based on a-staffing I expectation of fewer I I B2-172 2011-13 Operating Cost Reduction Options Human Resources recruitment related recruitments. expenses in Sufficient budget Advertising, remains to ensure Personnel Services, quality of Lab Services, and recruitments. Medical Services will However, if number result in$13,000 in of recruitments is savings. Implement higher than July 1, 2011. expected, more funding may be needed. 6.Eliminate the Little to no impact. 3,100 3,100 3,100 5 City contribution to Currently,PACE PACE (Professional has about$33,000 Association of City in excess reserves Employees). and does not need Eliminating the the City $3,100 annual contribution at this contribution to time to continue PACE. operating. Implement July 1, 2011. 7. Reducing Implementation of 29,300 4,700 4,700 3 Education and the CalJP1A Training saves Learning $4,700. Implement Management July 1,2011. System will make on line training more readily accessible at no cost. Online or low cost training methods are being utilized. If customized or in person training is necessary, funding will be limited. . :. .:•^— s.r::zn=-=,._:.._._ `-4*_s:;�_...see —:a--ys _..- �.,iv�,. � -, °,�:�•:i:=-- ----=_— a_�,`.���: t�a:.•a�e��������;`:i=��=z.�:=` �;:n`�"S z�';, r=!s•-i - _ st :_ :1r 'r!rr_t e,� '' •'c-_� ___'___.;,�]C .:.vrr_`1='r."'ir^ .S.z•�!, ':•�. r,..d:_.z.^_c- �S _a�L_ � .RAJ. •r .'�.Yi.v;� -t—�-.`c.:�C-v--_ �.._ ar —": C i1F__1�_r_Z.::___Y_ .�.. - --- .u::2•c:u�v-�'..-::r..v:x::: er3F_'�;;^ A: !:�tin__W v__ ?' _ _— =•�—•.e `.�_�.-"�.•�.'..iS-��,J:'1 -1:_: 8. Reduce The Wellness 0.4 16,700 16,700 16,700 ~ 5 Temporary Staffing program is in Wellness coordinated by the Program. Reducing Human Resources temporary staffing Administrative saves$16,700. Assistant with Implement July 1, staffing from unpaid 2011. Cal Poly interns. Staff believes this model of delivery is - B2-173 2011-13 Operating Cost Reduction Options Human Resources viable on an ongoing basis with only occasional paid temporary staffing. V"L JVr� :gg ....... -Mu M.L.: n n Fig. I :�X 5- '-P4 9. Reduce Sufficient funding 14,000 5,500 5,500 5 Employee will remain in the Recognition. account to provide Reducing the for at least one City- Employee funded event per Recognition account year for all will save$5,500. employees. hnplement July 1, 2011 10. Eliminate SLO Employees would 8,000 8,000 8,000 5 Rideshare Lucky no longer receive Bucks Program and incentives for Monetary participating in SLO Incentives. Rideshare's Eliminate the$8,000 alternative -dgeted for transportation ,,drticipation in the program which may SLO Rideshare result in fewer users Program. of alternative Implement July 1, transportation,thus 2011. increasing traffic, pollution,etc. However,given the expected rise in gas prices,employees may continue to participate in alternative transportation even without the incentive. Program costs have increased due to increased participation, If Rideshare incentives are continued the budget must be increased from B2-174 201143 Operating Cost Reduction Options Human Resources $5,000 to$8,000 er year. P; RM'-*P."-..2-M1T= 1GM�---.-'-MH P. M, 11. Grants in Aid. Reduces funds 126,600 20,000 20,000 4 Reducing Grants in available to assist Aid will save non-profit $20,000.Implement organizations who July 1,2011. provide human services to the community in times when other grant funding is being reduced. DO 12. Annual blood Employees may not 3,300 3,300 3,300 5 draw: Eliminate City participate in the funding of blood blood draw analysis draw analysis. and therefore not Implement July 1, identify potential 2011. health problems. @ .. ....... ..... 13. Grants in Aid: Reduces funds 126,600 31,000 31,000 4 Reduce Grants in Aid available to assist by an additional non-profit $31,000 beyond the organizations who $20,000 already provide human offered. Implement services to the July 1,2011. community from $126,600($20,000 already offered)to $75,000. Note: further reductions to human services programs could include: Prado Day Center, currently$53,700; Water subsidies, currently$35,700, or Bus Passes, currently$11,300. 14. Employee No Ci fi---ded 14,000 5,000 5,000 5 B2-175 2011-13 Operating Cost Redu6bun Options Human Resources 'ecognition. employee Reduce the Employee recognition event Recognition account provided causing by an additional potential negative $5,000.$5;500 impact on employee reduction in original morale and offer:Implement July organizational 1,2011. health. 15.Education and Training would be 24,300 13,200 13,200 3 Training. limited to only Eliminate:all funds programs provided for City-wide training_ by LCW and and development CJPIA_ activities,except participation in Liebert,Cassidy, Whitmore consortium Implement July 1, 2011.. 16.Educational An average of 12 13,500 13;500 13,500 3 Incentive. employees Eliminate the participate in this Educational program per year imbursement and they would not _rogram Implement receive tuition July 1,2011. reimbursement. This could make continuing education unaffordable for some. TOTAL 4 151,400 15 1'460 B2-176 2011-13 Financial Plan BUDGET REDUC, TIONbPTION Parks & Recreation Department - i Operating Cost Reductions Regular Annual Savings Service Staffing 2011-12 2012-13 Category Reduce total number of memberships with SCMAF 2100.1 200 5 Eliminate Batting Cage Supplies 1,500 1,500 4 Remove Batting Cage Alarm 1,600 1,600 4 Senior Newsletter Postage 1,500 1,500 4 Reduce supply of softballs for Adult Softball Program 2,500 2,500 4 Eliminate Scorekeepers for Adult Softball 0.73 14,000 14,000 4 Eliminate DOJ Fingerprinting Fees for Scorekeepers 300 300 4 Eliminate Assistance to San Luis Obispo YSA 20,000 20,000 5 Paperless Activity Guide 11,000 11,000 5 SLO Coastal Unified School District Fee Savings 6,700 6,700 4 Reduce Aquatic Temp Stafrmg(Physical Therapy Program) 0.20 4,000 4,000 4 Combine Rec Sports temp positions and reduce hours 0.42 4,000 4,000 4 Freeze Vacant Recreation Manager 1.00 123,100 1 123,400 1 3 Eliminate Youth Services Teacher Work Day&Spring Break Program 0.25 3,000 1 3,000 4 Eliminate SLO Teens after school program at Laguna Middle School 0.20 22,0001 22,000 4 Total Operating Cost Reductions 1 2.35 215,4001 215P700 I B2-177 2011-13 Operating Cost Reduch .t Options Attechm, ant PARKS & RECREATION Description Service 2011-12 Temp Regular Annual Savings SOPC Service Impact Budget Staffing Staffing 2011-12 2012-13 Category 1. Reduce TWO 400 200 200- 5 memberships with membershi Southern California ps will be Municipal Federation maintained (SCMAF)- for Decrease memberships Recreation Department-wide from al Sports 4 to 2. staff. Savings of$200 for Little to no 2011-12 and$200 in impact 2012-1-3. 2. Eliminate Batting User 1,500 1,500 1,500 4 Cage Supplies. groups Eliminate funding for which have batting cage supplies. contracted The cages are currently use of the closed and only Batting operated by contracted Cages user groups. would have to provide ,iavings of$1,500 in supplies 2011-12 and$1,500 in and routine 2012-13. mamtenanc e for operations. Little to no impact 3. Remove Batting Existing 1,600 1,600 1,600 4 Cages Alarm. staff would Removing alarm need to equipment and services monitor the at the batting cages. facility on a more Savings of$1,600 in regular 2011-12 and$1,600 in basis and 2012-13. be available to respond problems. Moderate Impact. B2-178 2011-13 Operating Cost Reduction Options Attachment PARKS &RECREATION 4. Senior Newsletter More 2,000 1,500 1,500 4 Postage. senior Reduced postage members required due to an have been increase in electronic receiving newsletters. the newsletter Savings of$1,500 in via email 2011-12 and$1,500 in which has 201243. reduced the need for mailings. Little to no impact. 5. Reduce supply of Number of 5,000 2,500 2,500 4 softballs for Adult softballs Softball Program. used per Change practice of night per using a new softball per game will game/per field to a new be reduced. softball per night/per field. Moderate impact. Savings of$2,500 in 2011-12 and$2,500 in 2012-13. 6.&7.Eliminate Umpires 14,300 .73 14,300 14;300 X 4 Score Keepers for will be (14,00.0 Adult Softball& tasked with for Associated keeping staffing, Fingerprinting Costs. score. One 1,500 for Eliminate all less staff fingerpri scorekeeper positions person will nting all for the adult softball be sports program($14,000). available to staff) Includes temporary respond to salary savings andpotential associated issues. fingerprinting costs ($300). Moderate impact. Savings of$14,300 in 2011-12 and$14,300 in 2012-13. 8. Eimiinate Grant Families 20,000 20,000 20,000 5 Funding to San Luis may have Obispo Youth Sports to pay Association higher fees (SLOYSA)for Io- to Lieu Projects(per participate B2-179 2011-13 Operating Cost Reduciwn Options PARKS & RECREATION TUA with San Luis in youth Coastal Unified sports School District). leagues in Amending JUA order to beginning July 2011 to offset eliminate grant funding continued for field improvements maintenanc and similar projects a and administered through field/turf SLOYSA. projects. Savings of$20,000 in SLCUSD 2011-12 and$20,000 in fields may 2012-13. not receive current level of m_aint_enanc e and upgrades. Moderate Impact. 9. Paperless Activity Limits 26,100 11,000 11,000 5 Guide. access to ",'educe the number of paper seasonal activity guides copies of printed and distributed. the Activity Increase use and Guide. distribution of Commumt electronicactivity y must guides as well as other come into marketing materials the Parks (i.e.leaflets,rack cards, and etc.) Recreation Office,call Savings of$11,000 in to request 2011-12 and$11,000 in printed 2012-13. guide or view guide on-line. Potential risk of a loss of revenue due to decreased participatio n/registrati ons for B2-180 2011-13 Operating Cost Reduction Options PARKS & RECREATION those without web access. Moderate Impact. 10. San Luis Coastal Future 87,400 6,700 6,700 4 Z Unified School expansion District Fee Savings. of uses will Decreased funding be limited. required for School District Use Fees based Little to no on current revised JUA impact. that reflects .Department credits for middle school sports program and ranger service patrols. Savings of$6,700 in 2011-12 and$6,700 in 2012-13. 11. Reduce Aquatic Lifeguards 4,000 .20 4,000 4,000 4 temporary staffing are no (total (Physical Therapy longer temporar Program). needed, y staffing Reducing temporary SLO allocated staffing line to Physical to compensate for Therapy Physical cancelled therapy has Therapy program. cancelled Program) their use. Savings of$4,000 in 2011-12 and$4,000 in No impact. 2012-13. 12. Combine Staffing 41,400 .4 4,000 4,000 4 _ Recreational Sports support for (total for Positions and reduce the both overall hours. Recreation sports Combine the Adult a] Sports positions Sports Program division ) Coordinator and Youth will be Sports Specialist reduced by positions resulting in a 10 hours savings of$4,000 in per week. 2011-12 and$4,000 in 2012-13. Moderate impact. B2-181 2011-13 Operating Cost Reduebun Options PARKS & RECREATION 13. Freeze Vacant See SOPC 123,100 1 123,100 123,400 X 3 Recreation Manager. for details. Freeze the vacant Recreation Manager Significant position which oversees Impact- Facilities, mpactFacilities,Aquatics, Rangers,and the Laguna Lake Golf Course and associated staff pending evaluation of reorganization opportunities with other City programs such as Natural Resources Annual Savings for the frozen position are $123,100 in 2011-12 and$123,400 in 2012- 13. 14.Eliminate Youth Net savings 3,000 .25 3,000 3,000 4 Services Teacher would be Work Day and Spring $3,000 Break childcare because Programs. full time permanent employee's costs would not be eliminated. There is presently significant cost recovery for these activities. The savings would come from reducing 5 Limited Benefit Temporary I staff from 50 weeks er year to B2-182 2011-13 Operating Cost Reduction Options PARKS & RECREATION 48 weeks per year in their hours. There is likely to be significant parental response to this change. Staff would prefer to have the time to thoroughly evaluate this program reduction before eliminating it in total and had planned to do so during the 2011-12 Fiscal Year. Significant Impact. 15.Eliminate SLO This is the 30,000 .2 22,000 22,000 X 4 Teens(Teen After net savings School Program at from the Laguna Middle elimination School). of this program- It would reduce one Limited Benefits Temporary staff from 30 to 20 hours per week, would eliminate facilities andsupply B2-183 2011-13 Operating Cost Reducti%,ei`Options PARKS & RECREATION costs and other part time temporary staffing to serve this program. The full time youth services program employees (Youth Services Supervisor, Recreation Coordinato r)would remain in place to manage other youth services activities. As the Laguna Junior High School does not provide any activities for youth after school there could be unintended impacts to other City department s. Even though this program is J currently under- performing Staff would prefer to have the time to B2-184 2011-13 Operating Cost Reduction Options PARKS & RECREATION i evaluate this program thoroughly before eliminating it in total and had planned to do so during the 2011-12. Fiscal Year. Significant Impact. TOTAL 1.78 1. $215,400 $215,700 RIA RS ELEVIINATE ADULT SOFTBALL SCOREKEEPERS Request Summary Eliminating eight to ten part-time/temporary Adult Softball Score Keeper positions.(City Worker 2) will save. $14,300 annually. Key Objectives The temporary staffing reduction will reduce the Recreational Sports operating budget. Existing Situation: Factors Driving the Need for Change As part of the Citywide effort to minimize costs and expenditures and to address projected on-going budget gaps beyond 2013,the Parks and Recreation Department is tasked with identifying$201,400 in reduction options from our operating budget. Goal and Policy Links n/a Service Categorization Criteria 5=Other Program Work Completed n/a Environmental Review No environmental review required. Program Constraints and Limitations The purpose of the Score Keeper position is to keep track of the number of runs scored by each adult softball team during the course of a game as well as provide as needed back-up support to the Umpire. These duties can be absorbed into the Umpire's responsibility with little or no impact to the game. However, the ability for Umpires to respond to issues involving"crowd control"such as fighting,drinking or other inappropriate behavior will be drastically limited. Stakeholders Adult Softball umpires and participants. Implementation Eliminate Score Keepers and reduce temporary employee funding accordingly at the start of the 2011-13 Financial Plan. BZ-186 i PARKS AND RECREATION ELINIINATE ADULT SOFTBALL SCOREKEEPERS Attachment Key Program Assumptions The current need to reduce operating program costs outweighs the need to have two staff.working at each Adult Softball game: The Adult Softball Umpires will be able to perform the duties of the Score Keeper with little or no impact to the game. Program Manager and Team Support Program Manager. Recreation Sports Supervisor. Operating Program Parks and Recreation Recreational Sports (60240) Cost Summary The salary cost savings would be approximately$14,000 annually. Line Item Description Accoant No. 2011-12 2012-13 ... TernpoTary Staffing 60240 14,000 14,000 Medicare 60240 200 200 Uner 60240 100 100 Total Operating Costs 14,300 1 14,340 f 7 R7 sKS AND RECREATION IPA FREEZE RECREATION MANGER POSITION AgttaCh Ont Request Summary Freeze the vacant Recreation Manger position. Evaluate possible reorganization with other City departments and programs,e.g.Natural Resources,during 2011-12. Savings of$123,100 for 2011-12 and$123,400 for 2012-13. Key Objectives Significant salary savings will be realized by continuing to leave this position vacant and will also reduce Parks. and Recreation's administrative budget. Cross departmental synergies, increased efficiency, and improved provision of services to the public would be the minimum expected outcome from a possible reorganization. Existing Situation: Factors Driving the Need for Change As part of the Citywide effort to close a 2011-13 on-going budget gap, and to address projected on-going budget gaps beyond 2013, the Parks and Recreation Department was tasked with identifying $201,400 in reduction options from its operating budget. Goal and Policy Links n/a Service Categorization Criteria 3=Functions for Proper Organizational Management Program Work Completed n/a Environmental Review No environmental review is required.. Program Constraints and Limitations As identified in the Parks.and Recreation Department Organizational Assessment (completed in mid 2010),the most efficient and effective way for the Department to be organized includes an Administration Division that consists of a Department Head,2Recreation Mangers, 1 Analyst and 1 Supervising Administrative Assistant. In contradiction with the report's findings, the proposed freezing of the vacant (due to retirement in 2010) Recreation Manager position temporarily reduces the number of Recreation Mangers .from two to one. The Organizational Assessment was based upon the department's programs, scope of work, and span of control and suggested that this ideal structure for the Administration Division provides parity among programs and divisions and eliminates any risks/challenges associated with some programs reporting directly to the Department Head and others to the remaining Recreation Manager. Freezing the Recreation Manager position results in a significantly higher workload for the administrative staff, particularly the Director who now has a span of control over 7 employees. Because it is such a critical position, all duties and responsibilities previously assigned to the Recreation Manger must be absorbed by existing staff; B2-188 1 ,PARKS AND R, ECREATION FREEZE RECREATION MANGER POSITION resulting in slower response times to both internal and external customers, limited resources to complete special or additional projects, and limited availability for supervision and support to Department staff as well as other City departments. I . . . . - There is a significant opportunity to evaluate a possible reorganization within the City such that the Natural Resources Program and the Rangers are co-located in one department. The evaluation of that reorganization,the pros and cons,and the manner in which it could be accomplished is recommended to be undertaken during 2011- 12. Once a thorough evaluation has been completed, and stakeholders,both internal and external have had time to provide input, staff can recommend the preferred outcome which could include: restructuring the position in a reorganization, filling the position as presently structured, or eliminating the position. Stakeholders The frozen position results in reduced services and support to both internal and external customers. Implementation Freeze the position at the start of the 20114 3 Financial Plan. Key Program Assumptions The need to reduce the operating program budget outweighs the value of the services and support provided by the Recreation Manager position. Program Manager and Team Support Program Manager. Parks and Recreation Director Project Team. Human Resources,Administration Alternatives i. Continue the Status Quo. This would allow the Department to maintain the current service and support levels to internal and external customers. 2. Change the Scope of Request. The budget reduction could be achieved through other staffing reductions as outlined in the Organizational Assessment (re-classification of two Recreation Supervisors to Recreation Coordinators) or the reduction/elimination of limited-benefited temporary staff that assist program supervisors with the daily management of program operations_ However, due to the Recreation Manager vacancy,the proposed reduction would cause the least strain on staff morale. Operating Program Parks and Recreation Administration(60100) { Cost Summary :,PARKS LL- FREEZE RECREATION MANGER POSITION Attachmsn Freezing the position will result in a cost savings of approximately$1.23,000 annually. Line,ItemA on. _. Account No. 2011-12 2012-13 .`-_'.•:...,..�.;,_� �Lrt:.....nPsc;9:�:1._i .. . 1'! Annual Sala 100-60100-7010 79,400 79,400 PERS 160-60100-7040 25,700 26,600 Health Insurance 100-60100-7042 15,700 15,700 Unerployment 100-60100-7046 300 300 Medicare 100-60100-7044 1200 1,200 PARS 100-60100-7041 800 800 Total Operating Costs _H EM. [tt_A = I : B2-190 PARKS 1 kECREATION ELIMINATE THE TEEN AFTERSCHOOL PROGRAM AT LAGUNA MIDDLE SCHOOL Request.Summary Eliminate,the teen afterschool program at Laguna Middle School will save $22,000,annually. The program is currently open Monday through Friday(excluding holidays)from after school to 5:30 pm. Key Objectives Eliminating the program will reduce the Youth Services operating budget. Existing Situation: Factors Driving the Need for Change As part of the City wide effort to minimize costs and expenditures and to address projected on-going budget gaps beyond 2013,the Parks and Recreation Department was tasked with identifying reduction options from operating budgets. Goal and Policy Links Parks and Recreation Element and Master Plan Service Categorization Criteria 4--Mid Range V Program Work'Completed n/a Environmental Review No environmental review required. Program Constraints and Limitations Laguna Middle School does not provide any activities for youth after school, therefore the elimination of this program could have unintended impacts to other City departments.In addition,the elimination of this program would be in contradiction to the Parks and Recreation Element(3.10)which identifies teen programming as a major goal in fulfilling the unmet needs of the community. The net savings from the elimination of this program would come from the reduction of one Limited Benefit Temporary staff from 30 to 20 hours per week,elimination of other part time temporary staff(line staff who work directly with the youth)and would eliminate associated non-staffing costs(facilities and supplies). The full time youth services program employees(Recreation Supervisor and Recreation Coordinator)would remain in place to manage other youth services programs,activities and events. Stakeholders Laguna Middle School students and families San Luis Coastal Unified School District administration and employees ELIMINATE THE TEEN AFTERSCHOOL PROGRAM AT LAGUNA MIDDLE SCHOOL San Luis Obispo Police Department. San Luis Obispo community members and businesses Implementation Eliminate the program and corresponding funding at the start of the 2011-13 Financial Plan Key Program Assumptions The current need to reduce operating program costs outweighs the need and benefit of having a safe and supervised place for youth to be during the afterschool hours when the youth crime rate is aTits highest.. Program Manager and Team Support .Program Manager. Recreation Supervisor,Youth Services Operating Program Parks and Recreation Youth Services(60250) Cost Summary i The salary cost savings would be approxiinately$22,000 annually. Une to ent 100760250-7046 200 200 PERS _ 100-60250-7040 3,500 3,500 BON - - .;-_..� 6�,i `;2y;��; = :—:ma-� '=it «=s s' =:3 rii`=D-`T-..� ='-�t^'r. _.:•_.�'�y.�•.�.,.-_'`uc.—_--' .. _ - �b.^. jGFi°��."`•S•rr�ui•�,.�a.—..x._ �. -:�_-.:T'F..__m.'.h^�:m n.�.._..__r��� '"=5-'T'r Facility Use Fees 100-60250-7701 1,400 1,400 S lies 100-60250-7843 3,000 3;000 . —.•- '�a__;�5-c-- _ _._._�-._--._-_-- ...ti7,�_ -eer.':3v-:f�r=vii_��:r•.:.s�•_ '+3. ••s — -.d-=:t== a _T '' •�-Sire=�_. ne-•�"r= JCz•_'•v_4c�-.mac FCxirn_ T-•-y��^+ca.�=_.-..._ __T._='_ Program Fees 100-45650 1700 ^1,700 Total Operating Costs 22,000. __ _22,4"_1 _ -22,4"_ I B2-192 2011-13 Financial Plan @UDGET REDUCtION 0PT,110NSUMMARY POLICE � ��� Operating Cost Reductions Regular Annual Savings Service. Statim 2011-12 2012-13 Category Reduction in various Opemdrig Materials 600 600 2 Elimination of Annual Fee-Verizon 800 800 2 Reduction in Custom.Design Software 300 300 2 Elimination of Haines telephone directory 1,300 1,300 2 Reduction in Spillman annual maintenance 900 0 1 Reduction in Operating Supplies 2,500 2,500 2 Consolidate Bio Hazardous Waste Container w/Fire Dept 1,000 1,000 I Consolodate Bio Hazardous Waste Removal w/Fire Dept 1,400 1,400 1 Reduction in Locks/Flags/Holding Cells Blanket cleaning 500 500 3 Reduction in Postage-On Trac 200 200 3 Reduction of Employee Recognition 1,000 1,000 5 Reduction in Janitorial Services 1,000 1,000 3 Reduction in Trips/Offsite Meetings 700 700 1 Reduction in Onsite.Meetings 300 300 1 Reduction in Printing&Reproduction-Thermal Paper 4,000 0 3 Reduction in Water service 1,500 1,100 3 Reduction in Sewer Service 2,200 1,900 3 Reduction in Electricity-Public Safety Comm.Center 11,000 8,900 3 Reduction in Electricity-Police station& 1016 Walnut office 16,000 13,400 3 Reduction in Weapons Inspection costs(will do in-house) 1,000 1,000 2 Reduction in Protective Clothing/Utility Uniform 1,200 1,200 2 Reduction in Gun Belts and Accessories purchases 1,000 1,000 2 Reduction in Tactical Helmet purchases 600 600 2 Reduction in POST Training 10,000 10,000 1 Reduction in Contract Services-polygraph exams 1,800 1,800 1 Reduction in Contract Services-psych testing 4,000 4,000 I Eliminate Field Service Technician(vacant in year 2) 1.0 0 118,800 3 Eliminate vacant Police Officer position(reduce SORT team) 1.0 146,700 147,800 2 Eliminate vacant Police Officer position(eliminate SRO/DARE programs at elementary schools) 1.0 146,700 147,800 4 Eliminate vacant Communication Technician position 1.0 106,900 _ 107,200 2 Eliminate vacant Sergeant position(eliminate SORT supervisor& SORT team) 1.0 185,300 191,800 2 Eliminate vacant Police Officer position(eliminate SORT team) 1.0 146,700 147,800 2 Eliminate employee recognition for SNAP employees 400 400 5 Reduce employee recognition for regular employees 3,000 3,000 5 Eliminate SLO Solutions Community Program 14,800 14,800 5 Eliminate Bicycle Rodeo education progam 4,600 4,600 4 Reduce crime prevention,education,&outreach 15,000 15,000 3 Reduce training&professional associations 15,000 15,000 1 Total Operating Cost Iteductioiis 6.0 851,900 970,500 11 J ill's 1012 2011-13 Operating Cost.Reduction Options POLICE DEPARTMENT Description Service Impact Temp Regular 2011-12 Annual Savings SOPCS Service Staffing Staffing Budget Category 2011-12 2012-13 V 1. Reducing various Reduced budget for 382,600 54,200 44,800 3 non-staffing polygraph exams and accounts in psychological testing for contract services, applicants.Reduction in training,and training budget will result utilities will save in fewer specialized $54,200 in 2011-12 training courses available and$44,800 in to employees;legal 2012-13. mandates and essential skills training will still be accomplished. Electricity budget for police facilities was reduced to reflect anticipated usage and conservation measures. Q- 2. Reducing non- Reduction in new and 33,500 3,800 3,800 2 staffing equipment replacement protective accounts will save clothing,gun belts and $3,800 each year. safety equipment due to fewer officers being hired. ....... .. . ..... 3. Reducing non- Savings in bio hazardous 6,900 2,400 2,400 staffing contract waste removal was services accounts realized after partnering will save$2,400 with the Fire Department each year. to share their existing contract service. n 57TERM 4. Reducing non- Fewer items of dispatch 92,000 5,800 4,900 2 staffing equipment equipment will need accounts.will save replacement due to the $5,800 in 2011-12 implementation of new and$4,900 in technology in the 2011-11 emergency communications center. N 41 'K. 5. Reducing non- Minor reduction-no 1,400 600 600 2 staffing equipment direct service impact accounts will save $600 each year, B2-194 2011-13 Operating Cost Reduction Options POLICE DEPARTMENT fi{, i/,yy •.,. �-yY .�.,7.y_. tet' -_ .a 1. .r.l it ,1 t L.. r "u : `"�y .1� LI f u. __Y.I G ."1 -f :f:�.ii__`'Y�n!,14'S`v�i3E!f _=ii^:Fri 6. Eliminating one Employee holding this 1.0 119,700 0 118,800 X 3 vacant Field position plans to retire in Service Technician 2012.The duties of this position effective position will need to be July 1,2012 will re-distributed to other save$118,800 in employees or eliminated. 2012-13(regular Further explanation is staffing-vacant). provided in the SOPC. ...4yy. iJ•ar'S re �r_v�—i •,r-,r�.`:�n:.-�l••v�hi zl_i.'rrs6s"•.n- i4�S:: '=h:G<� 1 eev:z- ,.rcr.=:c_•.�?__c:.�o..a;;.�.W.a•�rv`'�3 i��--•-�,..n?'.'Eti::f.^.:Ps�ss=m�` .=' 7. Eliminating one Staffing of the Situation 1.0 146,700 146,700 147,800 X 2 vacant Police Oriented Response Team Officer position (SORT)would be reduced effective 7-1-11 from three officers to two will save$146,700 which will result in in 2011-12 and decreased ability to $147,800 in 2012- respond to crime 13(regular staffing problems and major —vacant). investigations. Further explanation is provided in the SOPC. 8. Eliminating one One of the two School 1.0 146,700 146,700 147,800 X 4 vacant Police Resource Officer Officer position positions will be effective 7-1-11 eliminated,resulting in will save$146,700 the elimination of the in 2011-12 and DARE program and very $147,800 in 2012- significant reduction in 13(regular staffing school resource services —vacant). to the middle school and six elementary schools. Further explanation is provided in the SOPC. -- — —' - ... _ ....r:• u. ._r._.....—. 4.� �,+' 2�: ^-{;':tee'=;�:''..r.,i'- � �`t- =�_._='' F� :ec?r�mc�:�.^�i"•_. vi :.•ti' � s,tw,w: - "l'.._. 9. Eliminating one The member of 1.0 106,900 106,900 107,200 X 2 vacant communications Communications technicians(dispatchers) Technician position assigned to shifts will be effective 7-1-11 reduced,resulting in will save$106,900 increased overtime at in 2011-12 and peak hours,longer hold $107,200 in 2012- and dispatch times for 13(regular staffing non-emergencY calls,and —vacant). delays in data entry. Further explanation is provided in the SOPC. 2011-13 Operating Cost Reduction Options POLICE DEPARTMENT JA , ,a�.:.:.. d6i?i5i=v:u.Rm. .n...,_:aa..:r. '..:=::-.n:'iH:F;n'im ni{:,'r - i(iF%29i 'F.± Fi:rfir__�_d•:iL-�'.a.`:.trr'•• ...: , . _...,.:_-,z.f.-.._,_.......__ -....:._...,liiceB:cF.•.:::::,_'_.. �!i}•_ya'°_•wu, ..+.m 10. Eliminating.one The department will be 1.0 185,300 185,300 191,800 X 2 vacant Sergeant unable to effectively position effective supervise and staff the 7-1-1I will save SORT team;.therefore the $185,300 in 2011- SORT team will be 12 and$191,800 in eliminated.The ability to 2012-13(regular respond to crime trends staffing—vacant). and major investigations will be significantly impacted and the workload of other employees will increase. Further explanation is provided in the SOPC. 11. Eliminating one The department will be 1.0 146,700 146,700 147,800 X 2 vacant Police unable to effectively staff Officer position the SORT team;therefore effective 7-1-11 the SORT team will be will save$146,700 eliminated.The ability to in 2011-12 and respond to crime trends $147,800 in 2012- and major investigations_ 13(regular staffing will be significantly �j —vacant). impacted and the workload of other employees will increase. Further explanation is provided in the SOPC. a-MIRT . : , iu i•�— ._=' •�:!c-=n:?i=�'•T-:•'-_ :: s=:•aa 'aTi_-c"+—_'' �'4:: •s�'"'T','"�r.:u. r_-:r r 12. Eliminating Employee recognition 400 400 400 5 employee activities for SNAP recognition will employees will be save$400 each eliminated..Employee year- morale will likely be impacted. - -{; : Y_- .•=�s�'i.. s= 911r•�� 13. Reducing Farther redaction in 5,000 3,000 3,000 5 employee employee recognition recognition account funds will virtually will save$3,000 eliminate recognition each year. activities for employees, other than small recognitions for key events.Employee morale will likely be impacted. I B2-196 Attachment 2011-13 Operating Cost Reduction Options POLICE DEPARTMENT 14. Eliminating The SLO Solutions 14,800 14,800 14,800 5 funding for the program is a high priority SLO Solutions for the Student program(contract Community Liaison services)will save Program(SCLC)and is $14,800 each year. jointly funded by the City, Cal Poly and Cuesta. The elimination of the City contribution toward the SLO Solutions conflict resolution program would likely result in the program not being sustainable.Police involvement in neighborhood conflicts would increase with no readily available program to offer alternative conflict resolution services.Training workshops for residents and City staff would be eliminated. 15. Reducing traffic The Bicycle Rodeo 4,600 4,600 4,600 4 safety education education program for Will save$4,600 children would be each year eliminated which would significantly reduce education efforts related to bicycles. 1902010� 16. Reducing crime The ability to create and 23,800 15,000 15,000 3 prevention and disseminate educational education/outreach material regarding City material will save ordinances,neighborhood $15,000 each year. expectations,crime prevention,and major event notifications(such as messaging in advance of Halloween)will be severely curtailed. Residents may not receive important information regarding crime trends and ordinances that contribute to 1 neigbborhood quality, B2-197 2011-13 Opefrating Cost Reduction Options Attachment 5 POLICE DEPARTMENT ..... �_n.. ..��ry.�*._.�,.._.. . ... ..._ .. �..4...- -:ar:�:,a-..::_^ter-r5IMP:•:::r^�-::._::r:.:::::.c-. .....'�'.i.'3:.Ia..J:.:�-.a:f.�n�.v�-..ur........t..:�taza��.] .. -.:-. - ` _ : •9::�'r vi �i�s.._.:�.•�... 17. Reducing funding Further reduction in non- 19,200 15,000 15,000 1 for training and mandated training and professional professional associations associations will will result in:lower level save$15,000 each of training for employees; year. elimination of attendance at several training conferences;elimination of membership in some professional associations. The ability of employees to stay current with emerging issues and trends will be reduced and employee development opportunities will be curtailed. GRAND TOTAL 0 6.0 851,900 970,500 B2-198 PUBLIQSAFEITY ELIlVIINATION OF POLICE FIELD SERVICES TECHNICIAN POSITIO i Request Summary Eliminating one Police Field Services Technician position effective July 1,2012, will save $118,800 in 2012-13 (regular staffing-vacant). Key Objectives Reduce on-going projected budget gap by reducing staffing levels. Existing Situation: Factors Driving the Need for Change As part of the Citywide effort to close a 2011-13 annual budget gap of$3 mullion, and to address projected on- going budget gaps beyond 2013, the Police Department is tasked with identifying$894,300 in reduction options from our operating budget. One of the Police Department's non-sworn Field Services Technicians (FST) plans to retire by the end of FY 2011-12. The Department has a total of three FST positions; one is assigned exclusively to the handling and processing of evidence and property and the other two are assigned to various duties in the field at the Police Department(the FST retiring is one of the two assigned to field duties).There duties include, but are not limited to: • Coordinating fleet repair requests and service of police vehicles. • Responding to traffic collisions for traffic control and report documentation. • Daily delivery of documents to and from the criminal court and various City offices. • Ordering of supplies and equipment • Investigating and pursuing abatement of nuisances on private property in coordination with code enforcement officers. • Towing vehicles in violation of parking and other laws. • Processing bookings of offenders pursuant to Court order. • Fingerprinting applicants for City positions. • Checking and installing"infant and child car seats for members of the public. The elimination of an FST position will require the redistribution of these duties to other employees in the Police Department and potentially in other departments. Some duties may need to be done less frequently or may.need to be eliminated all together. If the position is eliminated, staff will work with the retiring employee to identify the frequency and time for each task and develop a mitigation plan. Goal and Policy Links 1. Fiscal sustainability of City.. 2. Meeting Police Department reduction option target for 2011-13. Service Categorization Criteria The field FST positions are included in Patrol Services.The duties performed by the FST span a number of different activities,most of which were assigned service prioritization category 3 (High Mid-Range—Proper Organizational Management or Typical Services Expected by Community). B2-199 'PUBLIC SAFETY ELIMINATION OF POLICE FIELD SERVICES TECHNICIAN POSITION Attachments Program Work Completed None Environmental Review No environmental review is required. Program Constraints and Limitations The redistribution of duties assigned to this position will potentially cause an increase or shift in workload for other employees. Certain services performed that benefit the public, such as the towing of vehicles,or carseat installation may need to be reduced or eliminated. Stakeholders Other employees in the Police Department and other City departments may be affected. Some members of the public may be impacted by service reductions. Implementation ITask Date 1. Eliminate Field Services Technician position July 1 2012 Key Program Assumptions The elimination of this position assumed the employee currently in the position actually does retire by June 30, 2012. The employee has assured the Police Chief that his plans are firm so his position could be considered a reduction option. Alternatives The position could be reduced to a half-time position in order to.help mitigate the impact. This option would not realize as much savings for the City. Operating Program Police Patrol(80200) B2-200 ME M ELIMINATION OF POLICE FIELD SERVICES TECHNICIAN POSITION Attach m-ent 5- Cost Summary Line Item Descr' on Account No. 2011-12 . 2012-13 _._ r ... Salaries-Regular 100-80200-7010 0 79,900 Retirement Contributions 100-80200-7040 0 18,300 Health and Disability Insurance 100-80200-7042 0 15,500 Medicare 100-80200-7044 0 0 Unemployment Insurance 100-80200-7046 0 300 Holiday 100-80200-7016 0 3,800 Uniform 100-80200-7018 0 1,000 Total Operating Costs 0 1181800 B2-201 PUBLIC REDUCTION OR ELBAINATION OF SITUATION ORIENTED RESPONSE TEAM (SORT) Request Summary Eliminating part or.call of the Situation Oriented. Response Team (SORT). effective July .1, 2011, will save between $I46,700 and $478,700 in 2011-12 and between $149,700 and $487,400 in 2012-13 (elimination of either one or two vacant police:officer positions and/or one vacant police sergeant position). Key Objectives Reduce on-going projected budget gap by reducing staffing levels. Existing Situation: Factors Driving the Need for Change As part of the Citywide effort to close an ongoing budget gap and to address projected on-going budget gaps beyond 2013, the Police Department is tasked with identifying$894,300 in reduction options from our operating budget. The Situation Oriented Response Team (SORT) is comprised of three police officers and one sergeant (supervisor)who are assigned as plain clothed investigators.The primary duties of SORT include: • Investigation of narcotic and vice related crimes in the City • Conducting surveillance related to a variety of crimes,including violent crime and major fraud cases. •- Specialized response to crime trends,such as burglaries and neighborhood crimes. • Assisting with and conducting major investigations such as homicides, assaults, robberies and weapons violations. • Conducting alcohol and tobacco sales compliance operations. • Conducting plain clothed operations related to major deployments, such as at Halloween and beginning of the school year. One of the police officer positions currently assigned to SORT is currently vacant. Elimination of this position will result in a reduced ability of the team to conduct the duties outlined above; however SORT would.continue to operate with reduced staff and no officers would be reassigned. The Police Department also has two other vacant police officer positions(in addition to the vacant police officer position assigned to SORT mentioned above). Based on service priorities and staffing needs,staff has determined that if the two remaining vacant officer positions are eliminated, the department would eliminate one of the School Resource Officer positions (further explained in a separate SOPC) and another SORT position. These actions are necessary to ensure the patrol function maintains existing staffing levels.Officers currently in special assignments that are eliminated would be reassigned so that patrol positions are not eliminated. Should all three vacant officer positions be eliminated, the SORT team as a whole would be eliminated since it is not feasible to operate the team with only one investigator. In addition to the officer vacancies, the department has a vacant Sergeant position. Sergeants provide direct supervision of line4evel employees. Based on service priorities and staffing needs,staff has determined that if the vacant Sergeant position eliminated, the Department would eliminate the SORT Sergeant position. This will result in the elimination of the.SORT team since it is not feasible or safe to operate the team without a field supervisor. B2-202 s s REDUCTION OR ELIMINATION OF SITUATION ORIENTED RESPONSE TEAM (SORT) The elimination of the SORT team will have a significant impact in that many of the duties outlined above will either not be performed,will need to be performed by other employees, or the department will need to depend on other agencies to provide these services. For example, when a trained surveillance team is needed on a major investigation, staff will need to request assistance from either the Sheriffs Department or the Narcotic Task Force, both of which will be operating with reduced budgets.Fewer investigators will be available to investigate complex crimes and there will be a significant reduction in the investigation of narcotic and vice related crimes in the City. The Police Department's ability to respond to crime trends using specialized resources will be very limited. The elimination of a Sergeant position will have additional impacts beyond the loss of SORT. Administrative duties conducted by the SORT Sergeant will need to be shifted to other employees causing an increase in workloads which will potentially affect other programs. The department will have one fewer supervisor to fill in when other supervisors are absent due to illness or other leave which will likely result in an increase in overtime. Goal and Policy Links 1. Fiscal sustainability of City. 2. Meeting Police Department reduction option target for 2011-13. Service Categorization Criteria The SORT positions are included in the Investigative Services division and were assigned service prioritization category 2(High—Health and Safety/Essential Services). Program'Work Completed None Environmental Review No environmental review is required. Program Constraints and Limitations The redistribution of duties assigned to these positions will cause an increase or shift in workload for other employees.Certain services performed would be eliminated. Stakeholders 1. Other employees in the Police Department and other City departments. 2. Members of the community. Implementation Task Date 1. . - 1. Eliminate vacant positions and potentially the SORT program JWy 2011 B2-203 �PUBLIC SAFETY . REDUCTION OR ELIMINATION OF SITUATION ORIENTED RESPONSE TEAM (SORT) Key Program Assumptions The elimination of these.positions and potentially the SORT team (depending on how many positions are eliminated) is based on the assumption that the Police Department will not eliminate positions from the patrol division,traffic unit,or detective bureau in order to maintain existing staffing of these core functions. Alternatives The police officer and sergeant positions could be eliminated from other programs in the department. Staff has done an extensive analysis of the impacts of eliminating positions in each program area and has determined that the recommended reduction options are the most feasible to mitigate the impacts on the public and other employees,and are most consistent with Council goals. Operating Program Investigations(80300) Cost Summary Line Item Descr' 'on Account No. 2011-12 2012-13 Salaries-Regular 100-80300-7010 114,100 117,500 Retirement Contributions 100-80300-7040 47,000 49,900 Health and Disability Insurance 100-80300-7042 15,300 . 15,300 Medicare 100-80300-7044 1,700 1,800 Unemployment Insurance 100-80300-7046 500 500 Holiday 100-80300-7016 5,700 5;800 Uniform 100-80300-701811000 . 1,000 Salaries-Regular 100-80300-7010 88,000 88,000 Retirement Contributions 100-86300-7040 36,300 37,400 Health and Disability Insurance 100-80300-7042 15,300 15,300 Media 100-80300-7044 1,400 1,400 Unemployment Insurance 100-80300-7046 300 300 Holiday 100-80300-7016 4,400 4,400 Uniform 100-80300-7018 ,0 00 s ,_.Tom= �•�+ _.�_�.� Salaries-Regular 100-80300-7010 88,000 88,000 Retirement Contributions 100-80300-7040 36,300 37,400 Health and Disability Insurance 100-80300-7042 15,300 15,300 Medicare 100-80300-7044 1,400 1,400 Unemployment Insurance 100-80300-7046 300 300 Holiday 100-80300-7016 4,400 4,400 Uniform 100-80300-7018 1,000 1,000 Total Operatina Costs 478,700 -- 400 B2-204 ELIMINATION OF POLICE OFFICER POSITION(SRO/DARE) Request Summary Eliminating one vacant Police Officer position effective July 1, 2011, will save $146,700 in 2011-12 and $147,800 in 2012-I3 and will result in the elimination of DARE and SRO services to the elementary schools and middle school. Key Objectives Reduce on-going projected budget gap by reducing staffing levels. Existing Situation: Factors Driving the Need for Change As part of the Citywide effort to close an ongoing budget gap and to address projected on-going budget gaps beyond 2013, the Police Department is tasked with identifying$894,300 in reduction options from our operating budget. The Police Department fimds two School Resource Officer (SRO) positions that are responsible for various duties related to the K-12 schools in the City. The positions are filled by police officers who have been specially selected for the assignments. One SRO primarily handles issues related to the high school, including security planning, investigations involving students (on and off campus), early intervention meetings, curfew hearings, resource and liaison with school staffs and response to calls for service at the school. This position is not being suggested for elimination. The second SRO position provides these same duties at the middle school and all six public elementary schools in the City, as well as delivering the DARE program to the elementary schools. If a vacant police officer position is eliminated, the Police Department will no longer be able to staff the special assignment position that provides DARE and SRO services to the elementary schools and middle school. The officer currently in this assignment would not be laid off; rather they would be reassigned so that the patrol function is maintained at existing staffing levels. The elimination of this SRO/DARE position will require the Department to discontinue the DARE program, which has been offered to sixth grade classes in the City for many years. Staff continually receives very positive feedback about the program from parents, students, teachers, and principals. The program teaches important life lessons about making safe and wise choices regarding drugs, gangs,bullying, and other challenges faced by our youth. The SRO/DARE officer acts as an important resource for school staff at the elementary and middle schools in dealing with students with behavioral problems or who have committed crimes. The officer responds to assist with children who are out of control or who leave campus unattended and without permission,placing them at risk Overall, the presence of both SROs in the schools contributes to the safety of the schools,prevents crimes and incidents or keeps them from escalating, and provides a very positive connection between the students,school staff,and police. The elimination of the position will increase the workload of the high school SRO, as well as patrol officers and investigators who will need to respond to calls and conduct investigations currently handled by the SRO/DARE. officer. Goal and Policy Links 1. Fiscal sustainability of City. 2. Meeting Police Department reduction option target for 2011-13. B2-205 s UBLIC SAFETY ELIMINATION OF POLICE OFFICER POSITION (SRO/DARE) Service Categorization Criteria The SRO positions are included in the Investigative Services division and were assigned serviceprioritization category 4(Mid-Range). Program Work Completed None Environmental Review No environmental review is required. Program Constraints and Limitations The redistribution of duties assigned to this position will cause an increase or shift in workload for other employees. Certain services performed would be eliminated entirely, such as the DARE program. Response to certain calls for service related to the schools could be delayed. Stakeholders 1. Other employees in the Police Department and other City departments. 2. Students receiving the DARE education program and their parents. 3. School staff,especially in the elementary and middle:school.. Implementation 7E one vacant Police Officer position and discontinue DARE program and July 2011 portion of SRO program. Key Program Assumptions The elimination of this position is based on the assumption that the position will not be funded by the school district.The district is not in a position at this time to commit funding for the position; however they are willing to consider it depending on the feedback received from stakeholders regarding the potential loss of this position. Alternatives There is a possibility that the delivery of the DARE program could be offered by someone other than a full-time police officer, however this concept is not consistent with the core tenants of the program and the Department has not had an opportunity to explore this alternative. Operating Program Investigations(80300) j B2-206 D - � ELIMINATION OF POLICE OFFICER.POSITION(SRO/DARE) Cost Summary Line_Item Desci tionAccountNo. . 2011-12 2012-13 ' .T. ..-....FL_ ...._-.Fes....— _ N.:: ............— _ rte. .. .:.. .::r r•4: H! yj' c.._ •ll s ..__..._.-.i`i:.�_.;;.a-�`vii..._v.z..:::-n'u_li�i^.i::n-.0 1i:e�f8 :.n�.:_.a:: _ ,,( (� _ y _ +•` T u'r Salaries-Regular 100-80300-7010 88,000 88,000 Retirement Contributions 100-80300-7040 36,300 37,400 Health and Disability Insurance 100-80300-7042 15,300 15,300 Medicare I00-80300-7044 1,400 1,400 Unemployment Insurance 100-80300-7046 300 300 Holiday 100-80300-7016 4,400 4,400 Uniform 100-80300-7018 1,000 1,000 Total Operating Costs 146,700 147,800 B2-207 UWU ELIMINATION OF COMMUNICATIONS TECHNICIAN POSITION Request Summary Eliminating one vacant Police Communications Technician position effective July 1,2011, will save$106,900 in 2011-12 and $107,200 in 2012-13 (regular staffing-vacant). Key Objectives Reduce on-going projected budget gap by reducing staffing levels. Existing Situation: Factors Driving the Need for Change As part of the Citywide effort to close an ongoing budget gap and to address projected on-going budget gaps beyond 2013, the Police Department is tasked with identifying$894,300 in reduction options from our operating budget. The Police Department currently has eleven authorized Communications Technician (dispatcher) positions and two Communications Supervisor positions. These positions provide 24/7 staffing of the Public Safety Communications Center. One of the existing Communications Technician positions is currently vacant. This position was added in FY 2007-08; however it has been vacant for the past year in anticipation of potential staffing reductions. Elimination of this position will have several impacts both internally and to the public.Fewer dispatchers will be on-duty on the weekend night shift which will result in callers reporting non-emergencies being placed on hold for longer periods of time. For example, most reports of noise violations and alcohol offenses occur on weekend nights. Callers reporting a noise complaint may be placed on hold while dispatchers are handling emergency and higher priority calls. This may delay the dispatching of officers to non-emergency calls. The Communications Supervisor assigned to the night shift will need to assist more often with answering phones and dispatching police and fire units at peak times. This will result in less time for the supervisor to complete other duties, such as required audits and training..Because fewer dispatchers will be working;the use of overtime will likely increase to backfill for dispatchers who are absent due to illness or other leave. Goal and Policy Links 1. Fiscal sustainability of City. 2. Meeting Police Department reduction option target for 2011-13. Service Categorization Criteria Communications Technician positions are included in Support Services and were assigned service prioritization category 2(High—Health and Safety/EssentiaI Services). Program Work Completed None Environmental Review 1 No environmental review is required. i Program Constraints and Limitations B2-208 ELIMINATION OF COMMUNICATIONS TECHNICIAN POSITION The redistribution of duties assigned to this position will cause an increase in workload for other employees. Impacts to the public include longer call hold and response times for non-emergency calls. Stakeholders Other employees in the Police Department and other City departments may be affected. Some members of the public may be impacted by service reductions. Implementation Task bate 1. . - 1. Eliminate vacant Communications Technician osition July 2011 Key Program Assumptions None Alternatives The position could potentially be reduced to a half-time position in order to help mitigate the impact.This option would not realize as much savings for the City. The recruitment and training of a half-time Communications Technician could present a challenge, especially the length of time to fully train a new employee who is only working half-time. Operating Program Support Services(80400) Cost Summary Line Item Description Account No. 201142 2012-13 1 1 IN _ Salaries-Regular 100-80400-7010 69,300 69,360 Retirement Contributions 100-80400-7040 16,200 16,500 Health and Disability Insurance 100-80400-7042 15,500 15,500 Medicare 100-80400-7044 1,100 1,100 Unemployment Insurance 100-80400-7046 300 300 Holiday 100-80400-7016 3,500 3,500 Uniform 100-80400-7018 1,000 11000 Total Operating Costs 106,900 107,200 B2-209 g � 2011-13 Financial Plan _. AfiachmGnt 2 W eubGET REDUCTION OPTION - PUBLIC WORKS DEPARTMENT Operating Cost Reductions Regular Ann Vings Service Staffing 201I-12 2012-13 Category Public Works Admin division Reduce Operating Materials&Supplies 400 400 3 Public Works Admin division Eliminate Data Processing 400 400 3 Building Maintenance division Eliminate Data Processing 40 400. 3 Streets Maintenance division Eliminate Insecticides&Herbicides 200 200 2 Signal and Lights division Eliminate Cement&Concrete Mix 300 300 3 Streets Maintenance division Reduce Small Tools 1,000 1,000 2 Public Works Admin division Reduce Postage 1,000 1,000 3 Signal and Lights division Reduce Electrical Supplies 1,000 1,000 1 Public Works Admin division Eliminate Overtime 1,000 1,000 3 Signals and Lights division Reduce Operating Materials&Supplies 1,500 1,500 1 Streets Maintenance division Eliminate Data Processing 1,700 1,700 2 Fleet Maintenance division Reduce Special Equipment.Installation 1,900 1,900 2 Streets Maintenance division Reduce Paint Supplies 2,000 2,000 2 Streets Maintenance division Reduce Signs 2,000 2,000 2 Streets Maintenance division Reduce Construction Equipment 2,000 2,000 2 Building Maintenance Eliminate Office Equipment 3,900 3,900 3 Streets Maintenance division Eliminate Sidewalk Repair Contracts 5,000 5,000 2 Building Maintenance division Reduce Gas Utility 5,300 5,300 3 Signal and Lights division Reduce Equipment Maintenance 5,000 5,000 1 Building Maintenance division Reduce Electrical Utility 15,000 15,000 3 Building Maintenance division Reduce HVAC Contract Services 15,700 15,900 3 Street Maintenance division Reduce Trash Services 20,000 20,000 2 Storm Water division Reduce Temporary Salaries for GIS Intern 0.18 4,600 4,600 1 Storm Water division Reduce Regular Salaries for GIS Specialist position 0.25 27,200 27,200 1 Development Review division Reduce Temporary Salaries 0.16 27,000 27,100 1 Public Warks Admin division Eliminate Publications&Subscriptions 600 600 3 Streets Maintenance division Eliminate Professional Conferences 400 400 2 Public Works Admin division Reduce Education&Training 500 500 3 Public Works Admin division Reduce Association Dues 1,100 1,100 3 Streets Maintenance division Reduce Trips&Meetings 600 600 2 Signals and Lights division Reduce Education&Training 700 700 1 Building Maintenance division Reduce Trips&Meetings 800 800 3 Streets Maintenance division Reduce Education&Training 800 800 2 Public Works Admin division Reduce Printing&Reproduction 1,600 100 3 Signals and Lights division Reduce Equipment Replacement Parts 20,000 20,000 3 Tree Maintenance division Reduce Regular Salaries by Eliminating 1.0 FTE PW Maintenance Supervisor position 1.00 59,600 59,900 3 Public Works Admin division Reduce Employee Recognition 2,500 2,500 • 3 Building Maintenance division Reduce Contract_Services for Janitorial Services (task reduction) 3,200 3;200 3 Building Maintenance division Reduce Contract Services for Janitorial Services(Frequency Reduction @ City Hall) 6,300 6,500 3 Building Maintenance division Reduce Contract Services for Janitorial Services(Frequency Reduction @ various locations) 11,400 11,600 3 Public Works division Reduce Office Supplies 1,700 1,700 3 Transportation Division Reduce Regular Salaries by.5 FTE(Principal Transportation Planner transferred to Parking Enterprise Fund) 0.50 64,700 64,900 4 Development Review division Reduce Regular Salaries by.25 FTE Permit Technician Position 0.25 18,300 18,300 1 r B2-210 2-/1O Attachmen S� Regular Annual Savings Service Statll 2011-12 2012-13 Category Public Works Admin division Reduce Laundry&Linen Service Contracts for Public Works General funded programs 19,300 19,300 3 Public Works Admin division Reduce Temporary Salaries 0.35 23,400 23,500 3 Parks Maintenance division Reduce City Water Services by 10% 52,700 57,500 3 Transportation Division Reduce Temporary Salaries 0.75 1 33,500 33,500 1 . Parks Maintenance Reduce Temporary Salaries that provide the Downtown Farmer's Market Portable Restrooms 0.38 I2,300 12,700 3 Streets Maintenance division Eliminate Contract Services for Downtown cleaning 29,000 29,600 2 Streets Maintenance division Reduce Regular staffing by.5 FTE Maintenance Worker providing Downtown street cleaning 0.50 31,400 31,500 3 CIP Engineering division Reduce Regular Salaries by Eliminating 1.0 FTE PW Engineering Inspector position 1 1.00 1 99,9001 104,600 1 Total Operating Cost Reductions 1 5.32 1 641,8001 653,700 B2-211 2011-13 Operating Cost Reduction Options PUBLIC WORKS DEPARTMENT AttachMnt. Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 SOPC Category 1.PW Admin Temporary 600 400 400 R division staff assistance Reduce will not receive Operating parking Materials& validation from Supplies Department. budget. Computer supplies and Reduction in furniture will non-staffing need to come operating from surplus. materials budget by $400 annually. Effective July 1, 2011. 2.PW Admin This reduction 400 400 -400 3 division will have no Eliminate impact to Data services Processing provided as budget. FoxPro programming Eliminate Data services have Processing been eliminated funds of$400 due to annually. implementation of EnerGov. Effective July I, 2011 13.Building There will be 400 400 400 1 ry 3 Maintenance no service impacts r _ �wi Eliminate [associated with re ti Data this reduction. The 7 v is Processing The City is budget. currently in the process of Eliminate Data FoxPro Processing database funding of conversion $400 annually. project with EnerGov. Effective July 1, 2011. R 14.Streets i No service 200 200 200 2 B2-212 2011-13 Operating Cost Reduction Options PUBLIC WORKS DEPARTMENT Attachment Description Service Temp Regular 2011-12 Annual Savings S r go . Impact Staffing Staffing Budget 2011-12 2012-13 SOPC Category Maintenance impact is R Division anticipated as Eliminate this work is Insecticides& rarely done, Herbicides and if materials budget. are needed, these minor Eliminate costs will be insecticide and paid from the herbicide operating budget of materials $200 annually. account. Effective.July 1, 2011. R 5.Signals and No service 300 300 .300 3 Lights impact is Division anticipated. Eliminate Cement and Work is Concrete Mix minimal and Budget. typically performed by Eliminate Street cement and Maintenance concrete program with budget of materials $300 annually. funded through that program. Effective July 1, 2011. R 6.Streets No service 7,000 1,000 1,000 2 Maintenance impact is Division anticipated. Reduce Small Tools Budget. Better maintenance Reduce small practices and tools budget an increased by$1,000 awareness of annually. budgetary limitations Effective July have had a 1, 2011. positive affect on this line item.A 15% reduction is achievable B2-213 2011-13 Operating Cost Reduction Options Attachment PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Scrvice Staffing Staffing g Budget 2011-12 2012,13 SOPC Category based on the analysis showing reduced expenditures in this account. Savings are based on an evaluation of account expenditures during the last year. R 7.PW Admin This will 1,900 1,000 1,000 3 Division impact how Reduce Engineering Postage plans and budget. specifications are shipped and Reduce provided to postage funds City project by$1,000 plan holders annually. and bidders. Shipping will Effective July be charged to 1, 2011. specific projects or programs,or requestor will pay for shipment.Plans and specifications Will continue to be provided in PDF format R S.Signals and This is a 5,200 1,000 1,000 1 Lights demand driven Division account which Reduce may be Electrical overspent if Supplies signal Budget. malfunctions exceed the Reduce budget or i electrical signals would supplies be in red flash B2-214 2011-13 Operating Cost Reduction Options AtttaChf ent 5 PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 SOPC Category budget by for extended $1,000 periods of time. annually. Savings are based on an Effective July evaluation of 1, 2011. account expenditures, showing a surplus of this amount in this account for the last 4 years. R 9.PW Admin This reduction 1,000 1,000 1,000 3 Division will have little Eliminate impact as PW Overtime Admin staff Budget. which accrues little, if any, Eliminate overtime. overtime There may be budget in the exceptions if PW Admin PW program. Administration staff members worked during non-scheduled hours to assist with City emergencies. R 10.Signals Part of this 5,200 1,500 1,500 1 and Lights account is used Division for traffic Reduce delineation Operating such as cones, Materials& barricades, Supplies flashing lights Budget. etc. Since the street division Reduce has reserves of operating this type of materials and equipment, it is supplies not necessary budget by that it be $1,500 budgeted for in annually. this account. Effective Jul B2-215 2011-13 Operating Cost Reduction Options Attachment---� PUBLIC WORKS DEPARTMENT Temp Regular 2011-12 Annual Savings Service Description Service Impact Staffing Staffing Budget 2011-12 2012-13 SppC Category 1, 2011. R 11. Streets There is no 4,300 1,700 1,700 2 Maintenance negative Division service impact Reduce Data anticipated as Processing support for Services FoxPro Budget. applications is no longer Reduce Data available and Processing the program is Services by scheduled for $1,700 replacement annually. through the City's. Reduce data conversion to processing EnerGov. services to eliminate Costs include funds used to those funds set provide aside for support for the FoxPro Fox Pro program program. support. Effective July 1, 2011. R 12.Fleet The contract 2,900 1,900 1,900 2 Maintenance services costs Division associated with Reduce outsourcing the Special installation of Equipment public safety Installation radios,mobile- Budget. data computers and after Reduction in market Code-3 outsourced equipment will costs be budgeted for associated as part of the with the "accessories" installation of costs when emergency developing CII' equipment; Fleet radios, Replacement& computers and Addition I. other Code-3 requests for the equipment. Police B2-216 • J 2011-13 Operating Cost Reduction Options Atta&Mgnt PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual SavingsService Staffing n StaMSOPC Impact g Budget 2011-12 2012-13 Category Department. Effective July 1, 2011. This reduction will not result in a negative service impact, or affect response times for public safety. There is no negative impact associated to the General Fund with implementation of this cost reduction. R 13.Streets No service 14,100 2,000 2,000 2 Maintenance impact is Division anticipated. Reduce Paint Supplies Thermoplastic budget. striping has reduced paint Reduce paint supply needs supplies through budget by extended $2,000 striping life. annually. Savings are Effective July based on an 1, 2011 evaluation of recent account expenditures. R 14.Streets 24,200 2,000 2,000 2 Maintenance No service Division impact is Reduce Signs anticipated Budget. based on past experience. Reduce signs budget by The likelihood $2,000 of sign failure annually will also decrease with Effective July the 1, 2011. implementation B2-217 2011-13 Operating Cost Reduction Options AttaChMnt—J PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 201.2-13 SOPC Category of sign replacements through the Capital Improvement Plan to meet new Federal reflectivity guidelines. Savings are based on evaluation of account expenditures, showing a surplus of this amount in this account for the last 4 years. R 15.Streets No service 4,000 2,000 2,000 2 Maintenance impact is Division anticipated as Reduce the new asphalt Construction grinder Equipment attachment budget. allows edge grinding to be Reduce completed with funding for City construction equipment, rental eliminating the equipment by need to rent $22000 this equipment. annually. Costs include funds set aside for pavement edge grinding equipment Effective July 1,2011. R 16.Building Reduction of 4,600 3,900 3,900 3 Maintenance this fimding Division would mean Reduce Office the removal of B2-218 I� 2011-13 Operating Cost Reduction Options Attacttment� ..-•- PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Category tice Impact Staffing Staffing Budget 2011-12 2012-13 SOPC Equipment all filtered Budget. drinking water systems at the Reduce office following equipment locations: City funds of Hall, Public $3,900 Works/Comm annually. Dev,Corp Yard,Parking Effective July Services,Fire 1, 2011. Stations 1,2,3,4. Eliminating all drinking water filtration systems will result in all facility tenants using tap water. Requests for water filtering funded by tenants will be facilitated by Building Maintenance. 17. Streets Tiles in the 5,000 5,000 5,000 2 R Maintenance Downtown Division Mission Style Eliminate concrete Sidewalk sidewalk will Repair not be replaced. Contracts Missing tiles Budget. will be filled in w/cold patch Eliminate temporarily Sidewalk until streets Repair crew could Contract by replace the $5,000 missing tiles. annually. Tile Effective July replacement 1, 2011. work would reduce Sidewalk 2011-13 Operating Cost Reduction Options Attachment. PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Scrvicc Impact Staffing Staffing Budget 2011-12 2012-13SOPC Category replacement projects completed by the concrete crew. R 18. Building The immediate 23,600 5,300 5,300 3 Maintenance impact will be Division negligible to Reduce Gas none due to utility staff diligent Services pursuit of Budget. energy savings. Reduce gas This line item utility services is seeing by$5,300 savings due to annually. energy reduction Effective.July , projects and 1, 2011. some equipment replacement over the past years.Further savings could be realized by using the EMS to set heating points to 68- degrees maximum. R 19.Signals No service 30,000 5,000 5,000 1 and Lights impact is Division anticipated. Reduce Equipment This account is Maintenance for occasional Budget. knockdown of signal and Reduce lighting poles equipment or cabinets. maintenance budget by The City has $5,000 been more annually. aggressive in recouping this ( Effective July money so that 1 2011. net costs have B2-220 2011-13 Operating Cost Reduction Options AttachmOnt—L, PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings ceMee Impact Staffing Staffing Budget 2011-12 2012-13 SOPC gory been reduced and this budget has shown a surplus in recent years. Savings based on an evaluation of account activity. R 20. Building The immediate 202,700 15,000 15,000 3 Maintenance impact will be Division negligibleto Reduce none due to Electric staffs diligent Utility pursuit of Services energy savings. Budget. Staff Reduce anticipates electrical savings due to utility services energy by$15,000 reduction annually. projects for lighting and Effective July HVAC. Further 1, 2011. savings could be realized by using the EMS to set cooling points at 76- degrees minimum. R 21.Building Shifting 222,900 15,700 15,900 3 Maintenance contract HVAC Division work to staff Reduce will increase Contract the backlog of Services work requests Budget for for Building HVAC. Maintenance. Reduce Elimination of HVAC the contract contract will require in- services by house staff to $15,700 in complete this B2-221 2011-13 Operating Cost Reduction Options PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Staffing Staffing g Budget 2011-12 2012-13 SOPC Category 2011-12 and work 3-times a $15,900 in year. This will 2012-13 reduce the Building Effective July Division's 1, 2011. ability to assist. with non-repair tasks such as meeting set-up, delay regular maintenance efforts on facilities,and further extend current response time to citizen and staff requested repairs. Minimal funding will remain to purchase HVAC replacement filters. R 22.Streets No negative 64,700 20,000 20,000 2 Maintenance service impacts Division are anticipated. Reduce Trash Services Recent efforts Budg4 of the street division in Reduce aggressive contract spoils services for separation, trash recycling,and collection by negotiating $20,000 costs for annually: disposal of used aggregate, Costs are have resulted in based on louver costs in savings trend this are& analysis over the last 3 years in the trash B2-222 2011-13 Operating Cost Reduction Options PUBLIC WORKS DEPARTMENT Temp g Tem Regular 2011-12 Annual Description Service Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 SOFC Category account. Effective July 1, 2011. R 23. Creek and GIS will be 0.18 19,900 4,600 4,600 X I Flood Control unable to Division support any (Stormwater) significant field Reduce data collection Temporary for the storm Salaries for water program. GIS Intern. This will delay inclusion of Elimination of private Temporary property GIS Intern devices into the staff. mapping and impair the Temporary City's ability to staff position meet regulatory is vacant. requirements. Effective July 1, 201L 24. Creek and Minimal 0.25 421,000 27,100 27,200 X 1 R Flood Control immediate (Stormwater) impact due to Reduce employee Regular reassignment. Salaries for Future outreach GIS projects for the Specialist Storm water Management Eliminate 0.25 Plan will lack Regular GIS support and Specialist 11 may not be Salary& deliverable Benefits. with remaining staffing, Regular staff affecting the position will City's ability to be affected. comply with Position is State General currently Permit filled. requirements. Effective Jul B2-223 2011-13 Operating Cost Reduction Options PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing staffing Budget 2011-12 2012=13 SOPC Category 1, 2011. 25. Reducing .16 .16 51,300 27,000 27,100 X I R Development FTE in temp Review staffing Division positions will Reduce impact plan Temporary review and the Salaries. processing of subdivision Reduce maps. Temporary Staffing by .16 Reduction FTE would mean delays of 2-3 Two weeks longer temporary for plan check staff positions review, will be subdivision affected. map review& Positions are comments. currently filled. Additional contract costs Effective July may be 1, 2011. incurred if the County Surveyor is needed to sign maps- 26. a s_26.PW This will 600 600 600 3 R Admin impact how Division staff receives Eliminate Public Works Publications industry & updates and Subscriptions information. Budget. Staff will receive only Elimination of publications Publications and and subscriptions subscription supplied to funding of Department at $600 annually. no cost or will ( view E ecttve Julpublications B2-224 2011-13 Operating Cost Reduction Options Attachment PUBLIC WORKS DEPARTMENT Description Service. Temp Regular 2011-12 Annual Savings Sme Impact Staffing Staffing Budget 2011-12 2012-13SOPC Categoryry 1, 2011. and subscriptions online at no cost. R 27. Streets The ability to 400 400 400 2 Maintenance attend training Division conferences or Eliminate seminars would Professional be reduced. Conferences Staff may not Budget. be exposed to as many new Eliminate techniques and professional technologies conferences that could budget by improve in- $200 annually. house skills and Effective July capabilities. 1, 2011 Staff will utilize modern training outlets available through webcasts& video conferencing. Take advantage of local training events. Numerous periodicals are also available to assist in bringing new information to staff. R 2$.PW This reduction 1,500 500 500 3 Admin may impact Division staffs ability to Reduce attend training, Education & be kept up-to- Training date with Budget. computer software Reduce applications, Education& advancements B2-225 2011-13 Operating Cost Reduction 6ptionst�����8�� PUBLIC WORKS DEPARTMENT D Regular Service Tem Re 2011-12 Annual Savings Description Service g g Impact Staffing Staffing Budget 2011-12 2012-13 SOPC Category Training in the Public Budget in the Works industry PW Admin or may limit Program by opportunities $500 annually. for departmental Effective July improvements. 1, 2011. 29.PW This reduction 2,400 1,100 1,100 3 R Admin may impact Division staff's ability to Reduce maintain Association annual training Dues Budget. and notary certification. Reduce Association Documents fees and requiring membership notary dues by signature will $1,100 be obtained by annually other Department Effective July City staff,such 1, 2011. as CIerks office or City Attorney. May provide a delay in notary authorization by one week. R 30.Streets The ability to 1,200 600 600 2 Maintenance attend training Division conferences or Reduce Trips seminars Would and Meetings be reduced. Budget. Staff will not be exposed to Reduce trips as many new and meetings techniques and by$600 technologies annually that could improve in- Effecttve July house skills 1, 2011. and capabilities. Staff will B2-226 2011-13 Operating Cost Reduction Options AftWhment5 PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Category Impact Staffing Staffing Budget 2011-12 2012-13 SOPC utilize modern training outlets available through webcasts& video conferencing, as well as take advantage of local training events. Periodicals will be obtained on- line. R 31.Signals The ability to 1,400 700 700 3 and Lights attend training Division conferences or Reduce seminars would Education & be reduced. Training Staff may not Budget. be exposed to as many new Reduce techniques and education and technologies training that could budget by improve in- $700 annually. house.skills and capabilities. Effective July 1, 2011. Staff will utilize modem _ training outlets available through webcasts and video conferencing, as well as take advantage of local training events. Numerous periodicals are also available to assist in bringing new information to B2-227 2011-13 Operating Cost Reduction Options 400� �� S PUBLIC WORKS DEPARTMENT Temp Regular 2011-12 Annual Savings Service Description Service SOPC Category Impact Staffing Staffing Budget 2011-12 2012-13 staff. 32. Building Reducing 1,600 800 800 3 R Maintenance training Division funding will Reduce Trips result in &Meetings reduced Budget. division supported Reduce training, training funds seminars, by$800 meetings, annually. certifications, technical or Effective Judy succession 1, 2011. related courses. Building Maintenance staff will be responsible for seeking less costly training opportunities and supporting the cost for renewal of certifications. 33.Streets The ability to 1,600 800 800 2 R Maintenance attend training Division conferences or Reduce seminars would Education & be reduced. Training Staff may not Budget. be exposed to as many new Reduce techniques and education and technologies training that could budget by improve in- $800 annually house skills& capabilities. Effective July 1, 2011. Staff will utilize modern training outlets available i through webcasts and B2-228 2011-13 Operating Cost Reduction Options PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Starting Staffing Budget 2011-12 2012-13 SOPC Category video conferencing, as well as take advantage of local training events. Numerous periodicals are also available to assist in bringing new information to staff. R 34. PW This will result 3,300 1,600 1,600 3 Admin in decrease of Division printing Reduce departmental Printing& public Reproduction relations, budget promotional and employee Reduce recognition printing funds materials, by$1,600 letterhead and annually envelopes;thus impacting the Effective July Department's 1, 2011 ability to"tell our story". 35.Signals Service impacts 48,900 20,000 20,000 1 R and Lights are unknown as Division they are a Reduce function of Equipment system failure. Replacement Parts Budget. If there are large scale Reduce system equipment malfunctions or replacement equipment parts budget failures,the by$20,000 account would annually be overspent and have to be Effective July balanced 1, 201.1 . through other program accounts in the B2-229 2011-13 Operating Cost Reduction Options PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffidg Staffing Budget 2011-12 2012-13 SOPC Category department or other year end savings. The City has completed several signal upgrades in recent years to replace aging equipment, decreasing the likelihood of widespread failure. As part of the relinquishment of Highway 227 to the City in late 2010, this line item received an augmentation of$18,000, funding formerly paid to Caltrans to support maintenance. This augmentation raised the budget to$740 per intersection. Prior to that augmentation and addition of signalized' intersections, City funding level was$520 per intersection. 36.Trees This position 1.0 254,500 59,600 59,900 X 3 R Maintenance reduction Division would directly B2-230 2011-13 Operating Cost Reduction Options Aftec meat_ PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 SOPC category Reduce affect Parks Regular Maintenance Salaries by program. Parks Eliminating related work 1.0 FTE PW would shift to Maintenance the Parks staff Supervisor with a budget staff position. augmentation to cover the Elimination of added Public Works workload. Maintenance Street contract Supervisor work would staff position transfer to the in the Trees Street Maintenance Maintenance Program. program with no budget Regular augmentation. staffing is affected and Tree Maint the position is program would currently be augmented filled. as needed to compensate for Effective July increased 1, 2011. responsibility for crew supervision by the City Arborist&to support additional contract trimming to account for crew assumption of some arborist duties.This option requires theP&R Depart to assist in Special Event user services. Reductions in thatP&R B2-231 2011-13 Operating Cost Reduction Options ants: PUBLIC WORKS DEPARTMENT Temp g Tem Regular 2011-12 Service Annual Savings Description Service g Impact Staffing Staffing Budget. 2011-12 2012-13 soPC cereEury Depart could affect the viability of this recommendatio n as it relates to user assistance. Contract services $ would support tree trimming. Reduced staff support will be available for Tree Committee initiatives and illegal removal follow-up. R 37.PW This will 41700 2;500 2,500 3 Admin reduce the Division number of Reduce departmental Employee Tri-Annual Recognition meetings;the Budget. ability to recognize staff Reduce fiords members by$2,500 annually for annually. amount of years served Effecttve July and may 1, 2011. impact employee morale. 38.Building Services that 222,900 3,200 3,200 3 R. Maintenance will be no Division longer funded Reduce include: Contract dusting, Services complete Budget for window Janitorial washing, Tasks. resilient floor gipping, Reduce carpet bonnet B2-232 2011-13 Operating Cost Reduction Options PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 sops Category Janitorial cleaning,and contract folding tables periodically and stacking requested chair cleaning. tasks by $3,200 in Funding will 2011-12 and remain to 2012-13. complete periodically Effective July requested tasks 1, 2011. including: exterior window washing,carpet extraction, shower scrubbing, and resilient floor refinishing. Locations include:Fire Station 41,City Hall, Wellness areas at old library, 879 Morro,919 Palm,Parks and Rec offices,Corp Yard, City/County Library, Ludwick Community Center, Senior Center, Meadow Park, Jack House service building. Requests for service of this nature,funded by tenants,will be facilitated by Building B2-233 i 2011-13 Operating Cost Reduction Optionsac� �� PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service p Impact Staffing Staffing Budget -2011-12 2012-13 Sopc Category Maintenance. 39.Building Reduction of 222,900 6,300 6,500 3 R Maintenance service days Division will result in Reduce one day per Contract week not Services for having periodic janitorial Janitorial service. This Cleaning at will lower the City Hall. level of cleanliness Reduce until the next janitorial service by service contract frequency at janitorial. City Hall and Wellness Room to 4- days per week. Effective July 1, 2011 R 40.Building Reduction of 222,900 11,400 11,600 3 Maintenance service days Division will result in Reduce two days per Contract week not Services for having periodic janitorial Janitorial service.This Cleaning at will lower the various level of locations. cleanliness until the next Reduce service by janitorial contract service janitorial. frequency at Corporation Yard,Parks and Recreation office,Public Works/Comm unity Development office,and i Utilities i I B2-234 2011-13 Operating Cost Reduction Options AMCWGnt PUBLIC WORKS DEPARTMENT P s Service Tem Regular 2011-12 Annual Savin Description Service g g Impact Staffing Staffing Budget 2011-12 2012-13 SOPC Category Admin office to 3-days per week. Effective July 1, 2011. 41.PW Reduction of 5,900 1,700 1,700 3 R Admin Department Division office supply Reduce Office funding by Supplies. $1,700 annually will Reduce Office provide Supplies minimal budget by service $1,700 impacts. Staff annually. will re-use and recycle office Effective July materials and 1, 2011. supplies whenever possible. Staff will do more work electronically. 42. The Principal .5 257,200 64,700 64,900 X 2 R Transportation Transp.Planner Division staff position Reduce has already Regular been assisting Salaries by the Parking transferring Services .5 FTE Manager by Principal overseeing the Transportation palm Nipomo Planner staff parking position to structure the Parldng project, Enterprise collaborating Fund. on revenue enhancement Reduce.5 FTE strategies& Principal participating in Transportation parking Planner management position. and demand reduction B2-235 2011-13 Operating Cost Reduction Options PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 SOPC Category Regular staff efforts. position will be affected. With the Position is reduction of an currently .50 FTE filled. Principal Transp. Planner Effective.July staff position 1, 2011. from the Transp. division,and subsequent transfer over to the Parking Services division; the long-term staffing commitment of the Transp. Planner will be assured for Parking . .Services. 43. This .25 FTE .25 246,700 18,300 18_,300 X 1 R Development reduction in Review regular staffing Division may impact the Reduce .25 Development FTE Regular Review Salaries— division's Permit ability to Technician provide position. adequate response times Reduce .25 to customer FTE Permit requests for Technician such things as position development project review, Position is approval, currently permit back-filled issuance, with Contract encroachment staff permits,record keeping and Effective July front counter B2-236 2011-13 Operating Cost Reduction Options PUBLIC WORKS DEPARTMENT Description Service Temp 'Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13SOPC Category 1, 2011. assistance at 919 Palm Street,staff support to the Architectural Review Committee and the maintenance of the Development Review division's web page. 44.PW " This reduction 28,700 19,300 19,300 X 3 R Admin will result in Division the loss of Reduce current Laundry& uniforms Linen Service provided and Contracts for laundered for PW.General field staff. Fund Staff. Residual funding of Reduce $2,400 will be uniform used to contract by for purchase shirts Public Works and pants. GeneralTund Field staff will staff by be responsible $19,300 for laundering. annually This may Effective July impact how 1, 2011. citizens view City field 2011-13 workers, Laundry literally& Contracts figuratively. (7259) Public Works (191300) staff would be attired 2011-12 noticeably Uniform& different than Walk-Off Mat Utilities staff. C ntract ($52,700) Floor rugs in 01 01'n i 2011-13 Operating Cost Reduction Options Attachment PUBLIC WORKS DEPARTMENT FDescriptionService Temp Regular 2011-12 Annual Savings ServiceImpact Staffing Stating Budget 2011-12 2012-13 SOPC Categorywould be replaced every two months. %2 PW$1,400 (mats) Qty of cleaning Police$100 towels will be (towels) supplied& Fire$6,900 cleaned every- . (towels&mats) other week. Water$7,800 (uniforms) A survey of 12 Sewer$12,300 other cities (uniforms) showed that Parking$3,700 only three (uniforms) provide laundry Golf$200 uniform (uniforms) Whale Rock services. $900(uniforms) Contract$ would be housed w/ depart(s) continuing to utilize contractor's services. Utilities, Fire& Police Depart would become responsible for managing own program laundry& linen services. R 45•PW This reduction .35 48,300 23,400 23,500 X 3 Admin of temporary Division staff has a Reduce significant Temporary impact on the Staffing quantity& Budget. quality of Reduce hours admin support Of temporary provided to PW staffing for the staff(919 PW Admin Palm.& Corp Division(919 Yard)& Palm St&25 Utilities field Prado Rd Corp staff. Yard). i i B2-238 ' . 2011-13 Operating Cost Reduction Options PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service p Impact Staffing Staffing Budget 2011-12 2012-13 SOPC Category Service Temporary reductions staff position would mean will be inability to affected. update(DBE) Position is info &desk currently guides& filled. manuals, delay of 1-2 weeks Effective July response to 1, 2011. compliance issues. Purging of project files will not be done (may result in regulatory non- compliance). Project Insurance tracking will be delayed quarterly. . The Supv Admin Assist would relinquish PIO duties to I rovide admin support where feasible. 46.Parks& Staff would 495,000 52,700 57,500 3 Landscape move certain Maintenance landscape and Division park areas to Reduce City more Water sustainable Services drought- Budget tolerant landscaping or Reduce water wood mulch. usage in parks Weed control &landscaped would be done areas by 10% periodically to annually. manage undesirable R7_'7Z0 2011-13 Operating Cost Reduction Options PUBLIC WORKS DEPARTMENT _. Description Service Temp Regular 2011-12 Annual Savings Service impact. Staffing Staffing Budget 2011-12 2012-13 SOPC Category Savings are growth. based upon an analysis of Reductions in existing water this area will usage. position the City for a more Effective July sustainable 1, 2011. future as it relates to water consumption, and allow the City to be good stewards of this limited resource. There would be a reduction in open grass areas in parks. 47• This temporary .75 73,000 33,500 33,500 X 1 R Transportation ung Division reduction of.75 Reduce may impact Temporary essential Salaries• services identified in the Reduce Transportation Temporary program by staffing by .75 limiting staff's FTE for ability to Traffic Interns provide spse Temporary - response times staff position to customer will be requests for affected. various traffic Position is projects. currently vacant. Delivery And implementation Effective July of traffic 1, 2011 projects such as the Traffic Safety Report, Traffic Operations and Neighborhood B2-240 2011-13 Opera6nlost Reduction Options �i����(t �� ✓� PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service staffing Staifin SOPC Category Impact S g Budget 2011-12 2012-13 Traffic Management ( TM) programs will be delayed by 2-3 months. In addition, if the SOPC restoring the Engineer staff position is not restored to this division,the Traffic Safety Reports and programs will be suspended for minimum of two years as a significant impact of insufficient staffing levels. 48.Parks& Eliminate 0.38: 118,300 12,300 12,700 X 3 Landscape weekly Maintenance restroom Division services for Reduce "Farmer's Temporary Market"and Salaries other special providing events to Downtown reduce part- Farmer's time temporary Market staffing costs, . Portable maintenance Restrooms. and replacement Reduce costs. Temporary salaries by Portable eliminating the restroom portable service for restroom Farmer's services. Market,Fite& Police,& A temporary Triathlon B2-241 2011-13 Operating Cost Reduction Options - PUBLIC WORKS DEPARTMENT Description Service Temp Regular 201142 Annual Savings service Impact Staffing Staffing Budget 2011-12 2012-13SOPC Category staffing events would position is no longer be affected. available. Position is Resthooms currently could be sold filled. or donated to others to Possible off- eliminate future setting maintenance/re Revenue for placement Downtown costs. Citizen Services complaints will provided by increase during DA peak-use months. Staff Effective July member would 1, 2011. lose his part time job. Use of merchant restroom facilities would increase possibly generating complaints from the . public, business owners and downtDwn association. Costs include only temporary staffing costs. Actual savings will ultimately be higher as repair and replacement are needed. 49.Streets Routine 29,000 29,000 29,600 2 Maintenance sidewalk& Division trash enclosure Reduce cleaning,& Contract weekly Services for barbegue site Downtown cl B2-242 2011-13 Operating Cost Reduction Options PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 SOPC Category Cleaning. would be eliminated. Eliminate Downtown Occasional cleaning cleaning of contract trash service by receptacles can $29,000 in be completed 2011-12 and by maintenance $29,600 in worker 2012-13 assigned to downtown,but Eliminate would not sidewalk, provide the barbeque site, same service- and trash level of container cleaning cleaning provided by downtown to power washing reduce contract. contract services costs. Potential of impact on the Costs include Council's the current Economic contract Development services goal&storm budget amount water quality if the cleaning Possible off- efforts was not setting completed Revenue for maintained by Downtown businesses. Services provided by The contract DA. could be assumed by the E,f`ecfive July Downtown 1, 2011. Association,or, individual owners and Farmer's Market vendors could perform cleaning instead of a contractor. r 50.Streets The sole 5 554,600 31,400 31,500 X 3 B2-243 r 2011-13 Operating Cost Reduction Options PUBLIC WORKS DEPARTMENT Description Service Temp Regular 201142 Annual Savings Service Impact staffing Staffing. Budget 2011-12 2012-13 SOPC Category Maintenance purpose of the Division .5 FTE Maint Reduce Worker is to Regular provide daily Salaries by cleanup of the reducing.5 downtown. FTE The Maint Maintenance Worker Worker completed a providing daily 6-mile Downtown walk to pick up Street trash in the Cleaning. Downtown. Trash Eliminate.5 collection alone FTE Streets consumes Maintenance about 4 hours Worker I each day. As position for time permits; Downtown the worker Street removes Cleaning. graffiti and stickers from Possible off- City fixtures setting such as signs, Revenue for trash cans, Downtown signal equip Services and benches, provided by posters,cleans DA. spilled trash cans&news Regular staff racks;removes position will trash from the be affected. recycling Position is receptacles. currently Performs weed filled, removal from tree wells, Effective July cleans.up 1, 2011. animal waste left on the sidewalk/tree wells and makes minor repairs to the trash can holders. B2-244 2011-13 Operating L sit Reduction Options Attachmens:' PUBLIC WORKS DEPARTMENT Description Service TSP Regular 2011-12 Annual Savings Servim Impact Staffing Staffing Budget 2011-12 2012-13 SOPC COUM Without this position these services will.no longer be provided to the Downtown area. Regular trash . pickup removes a significant amount of trash from the street and ceasing this effort could result in a degradation of water quality. Funding could be provided by the Downtown Association for the downtown cleaning services. 51. CII' Due to a 1.0 1.099,500 99,900 104,600 X 1 Engineering downturn in Division private Reduce construction, Regular and a Salaries by corresponding Eliminating reduction in 1.0 FTE revenue from Engineering private work,a Inspector reduction is position. proposed for this area.The Eliminate one slow down in Engineering private work Inspector I has allowed the staffing Engineering position. staff to keep mare ublic B2-245 2011-13 Operating Cost Reduction Options LL PUBLIC WORKS DEPARTMENT Attachmen Description Service Temp Regular 2011_12 Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 SOPC Category Regular staff construction position will inspection be affected. work in-house, Position is at a much currently lower hourly filled. costs. Effective July Reducing one 1, 2011. FTE will require up to 2,000 hours of inspection work to be provided through temporary or consultant resources at a cost of up to $135 per hour versus$46 per hour for staff provided inspection, equating to up to$173,400 more per year than the reduction options saves. ,Implementation of this reduction option will reduce Engineering's ability to respond to Council Goals (Infrastructure Maintenance, Traffic Congestion Relief), i Measure Y priorities, em enc B2-246 2011=13 Operatingos# Reduction Options Atta :hment.5 PUBLIC WORKS DEPARTMENT Description Service Temp Regular 2011-12 -Annual Savings Service Impact Staffing Staffing Budget 2011-12 2012-13 SOPC C,egory projects,and private development TOTAL 1 1.82 1 3.50 641,800 653,700 B2-247 TRANSPORTATION CREEK&FLOOD CONTROL TEMPORARY STAFFING REDUCTION Attachment. Request Summary Eliminating temporary GIS Intern staffing position will reduce the Creek and Flood Control program budget by $4,600 annually. Key objectives Elimination of GIS temporary staffing will reduce the Creek and Flood Control program budget. Ex1sting Situation: Factors Driving the Need for Change The City has a budget gap that needs to be eliminated.Programs across the City are reducing operating budgets to reduce expenditures and eliminate the overall funding shortfall. Goal and Policy Links The program overall is connected to the Council Objective of Infrastructure Maintenance. GIS provides support both to the maintenance staff as well as the Stomiwater Management Program: 1. 2011-13 Council Objective for Infrastructure Maintenance 2. Stormwater Management Plan Implementation (for General Permit compliance & Operating Program Objectives Service Priority Ranking 1 =Legally Mandated Program Work Completed n/a Environmental Review n/a Program Constraints and Limitations Temporary GIS staff provides data collection services for the Storm Water Program. The City began data collection of private property post-construction devices and connections to the stormwater system but is a long way from completion.Without this resource, data collection will stop or slow considerably to a level that can be sustained within remaining resources. The City's Stormwater Management Plan requires the:tracking of post-construction devices. The City will be unable to comply with the regulatory permit without the resources to develop the data for this area. I - B2-248 TRANS PO j CREEK&FLOOD CONTROL TEMPORARY STAFFING REDUCTION Attachme.nt.15-- Stakeholders The City budget may be affected by failure to comply with the regulatory permit if the State opted to implement fines. Staff will have less information for determining origin of pollutants in the waterways for enforcement. action. This in tum could lead to degraded water quality. The community, as stakeholders,would be affected by the degradation of water quality. Implementation Funding for this salary and minor benefits will be eliminated effective July 1, 2011 upon implementation of the City's 2011-13 Financial Plan. 1. Eliminate .18 FTE temporary GIS intern staffing position -T�Julvv 2011 Key Program Assumptions The need to reduce operating program cost outweighs the value of the services provided,and it is unlikely the City will be fined which would negate the savings achieved. Program Manager and Team Support Program Manager. Public Works Administration Project Team. Finance and Information Technology and Human Resources departments Alternatives 1. Continue the Status Quo. This would allow the program to continue with field data collection operations at a reasonable cost. Operating Program Creek and Flood Control(50320) Cost Summary The cost savings resulting from the elimination of a GIS temporary staff position in the Creek and Flood Control program will save approximately$4,600 annually. Lire Item Desc onAccount No. 2011-12 2012-13 Tempoary Salaries 100-50320-7014 4,500 4,500 Medicare 100-50320-7044 100 100 UneMPIIns 100-50320-7046 0 0 Total O eratingCosts 49600 1 4,600 B2-249 TRANSPORTATION ac menL REGULAR STAFFING REDUCTION IN CREEK&FLOOD CONTROL PROGRAM Request Summary Reduce a regular GIS staff position in the Creek'and Flood Control program budget will save approximately $27,200 in 2011-12 and$27,200 in 2012-13. Key Objectives Reduction of GIS regular staffing to reduce the Creek and Flood Control program budget. Existing Situation:Factors Driving the Need for Change The City has a budget gap that needs to be eliminated.Programs across the City are reducing operating budgets to reduce expenditures and eliminate the overall finding shortfall. Goal and Policy Links The program overall is connected to the Council Objective of Infrastructure Maintenance. GIS provides support both to the maintenance staff as well as the Stormwater Management Program: 1. 2011-13 Council Objective for Infrastructure Maintenance 2. Stormwater Management Plan Implementation (for General Permit compliance & Operating Program Objectives Service Categorization Criteria 1 =Legally Mandated Program Work Completed Regular GIS staffing provides resources for the Storm Water program on two fronts;public outreach&website and infrastructure management. This.recommendation is for the reduction on the outreach&website portion of. the staffing. This function is currently not being provided for the Storm Water program due to heavy demands of the GIS staff doing database conversion support. Environmental Review n/a Program Constraints and Limitations Regular GIS staffing is currently not providing Stormwater program public outreach or website and infrastructure management due to heavy demands of the GIS staff doing database conversion support. Outreach and website support and efforts will continue with other staff within the program budget,to the degree possible,with the program resources allocated. I B2-250 I -ANS - - REGULAR STAFFING REDUCTION IN CREEK&FLOOD CONTROL PROGRAM Stakeholders The Finance and Information Technology Department may be affected by this staffing reduction as itis currently utilizing the GIS Staff position allocated for outreach and website support of the Storm Water Program to assist with the City's FoxPro database conversion project. In the long term the implementation of the Stormwater. Management Plan may be affected as remaining staff will be unable to provide adequate support for public outreach and website development. Implementation Funding for this salary and benefits will be eliminated effective July 1, 2011 upon implementation of the City's 2011-13 Financial Plan. 1. Eliminate .25 FTE regular GIS Specialist I1 staff position 7/2011 Key.Program Assumptions The need to reduce operating program cost currently outweighs the value of the staff services provided. Program Manager and Team Support Program Manager. Public Works Administration Project Team. Finance and Information Technology and Human Resources departments Alternatives 1. Continue the Status Quo. This would allow the program to continue with outreach and website support for future projects in this area. Operating Program Creek&Flood Control(50320) Cost Summary The cost savings associated with the reduction of a .25 GIS Specialist II staff position is approximately$27,200 in 2011-12 and$27,200 in 2012-13. i B2-251 Attachment�s- TRANSPORTATION REGULAR STAFFING REDUCTION IN CREEK&FLOOD CONTROL PROGRAM Line Item Desc on Account No. 201142 2012-13 MEM1_ .y.�-.�•.1__„-�-�F''-'.i .rr: , __!:•.?fir*'a'�y_r�c•:�;r-`'-- �'�"=`tP.r: �{�y� v rr-i't='�'_.- IF'=v_�. �_ __ _ �t�'I� �L1L-S = •L Cy 231fi�..Ylil{. .IE.P LT.1.A{'iM... ..1-�.'..v Regular Salaries 100-50320-7010 18,400 18,400 Retirement 100-50320-7040 .6,000 6,000 Health Insurance 100-50320-7042 2,400 2,400 Medicare I00-50320-7044 300 300 ,Unetploymentins 100-50320-7046 100 l00 TotalOpemtin Costs - _ 27,200 - 27,200 I B2-252 COMMUNITY • Attchment�.. M ENT DEVELOPMENT REVIEW TEMPORARY STAFFING REDUCTION Request Summary Reduce temporary staffing by 0.16 full-time equivalent(FTE)in the Development.Review division will save approximately$27,000 in 2011-12 and$27,100 in 2012-13. Key Objective Reduce the Development Review Administration operating program costs to assist in closing the City's current budget gap. Existing Situation:Factors Driving the Need for Change The City has a budget gap that needs to be eliminated.Programs across the City are reducing operating budgets to reduce expenditures and eliminate the overall funding shortfall. Goal and Policy Links 1. 2011-13 Major Council Goal for Preservation of Essential Services and Fiscal Health 2. General Plan Circulation Element Service`Categorization Criteria 1 =Mandated Program Work Completed n/a Environmental Review n/a Program Constraints and Limitations Temporary Development Review staff provides essential support.for day-to-day operations of the department. The reduction of 0.16 FTE in temporary staffing will have a significant impact on the quantity and quality of Development Review program support provided to Public Works staff at 919 Palm St.. and to.general public requesting front-counter assistance. Reducing 0.12 FTE in temporary staffing for the Engineering III position will impact the review of subdivision maps and plan checks. Delays could mean 2-3 weeks longer for plan check review and comment. Remaining staff would assume workloads and assist front counter customer service needs where feasible to do so. Reducing the temporary staff assuming the responsibilities of a consultant engineer by.04 FTE will impact the processing and approval of subdivision maps. This work must be completed and approved by a licensed surveyor possessing a Professional Land Surveyor(PLS)license by the State of California. The temporary staff position currently holds this license and has the ability to approve subdivision maps in-house. Should this position be reduced any further,or redevelopment review work activity increase,additional funding may be needed to either 'B2-253 AttachmOnt i DEVELOPMENT REVIEW TEMPORARY STAFFING REDUCTION increase this staff time or to contract out with the County of San Luis Obispo for this certification approval. A reduction in this temporary staff position to 416 hours annually(or 8 hours/week)could mean additional delays of two to three weeks for plan check review and comment. Stakeholders 1. Public Works and Community Development Department staff would be directly affected by this reduction in temporary support 2. The community is a significant stakeholder as they would be impacted by the reduction in customer services levels,reduction of telephone service (i.e. phone tree), delay in.responding to customer service requests,and responding to the plan check requests. Implementation The FTE reduction in temporary staffing by 0.16 would be effective July 1, 2011 upon implementation of the City's 2011-13 Financial Plan. L Reduce 0.16 FTE t in the Development Review division Jul 2011 Key Program Assumptions The need to reduce operating program cost outweighs the value of the services provided. Program Manager and Team Support Program Manager. Supervising Civil Engineer,Development Review ProjectTeam. Public Works Administration and Community Development staff Alternatives 1. Continue the Status Quo. This would allow the Development Review division to continue with the minimal plan check support at a reasonable cost. 2. Defer or Re Phase the Request Deferring this request will result in Development Review division continuing to receive the staff support and resources needed to provide plan check, map review and front counter assistance. However,this option would not provide the operating budget reduction that is currently being sought. 3. Change the Scope of Request Some plan check support could be provided by the CIP Engineering staff or Community Development staff: However,these divisions would be affected when they are no longer able to provide the support needed for their own programs. Additional contract services funding could be added to the Development Review operating budget to support the out-sources of map approval and certification to the County of San Luis Obispo. — B2-254 Machmen . DEVELOPMENT REVIEW TEMPORARY STAFFING REDUCTION Operating Program Development Review(50400) Cost Summary The cost savings resulting from the reduction of Development Review temporary staff will save approximately $27,00 in 2011-12 and$27,100 in 2012-13. Line Item De on Account No. 5011-12 201243 �a.. r;-'4.i_ r''a- ;-T--�_:s�'�'cty- e.' :r-y i:•.S ti rF'�r:�. Mrs? -rft--, ... ¢ .. - .. r� v Tempoary Salaries 100-50400-7014 20,100 20,100 Retirement 100-50400-7040 6,500 6,606 Medicare 100-50400-7044 300 300 junernpiIns 100-50400-7046 100 100 Total Operating Costs 27,000 27,100 B2-255 PUBLIC WORKS MAINTENANCE SUPERVISOR.STAFFIN GRED UCTION Request Summary Eliminating the regular,full-time staff position of the Public Works Maintenance Supervisor in the Tree Division will save approximately$59,600 in 2011-12 and$59,900 in 2012-13. Key Objectives 1. Eliminating the Public Works Maintenance Supervisor position will reduce the Tree Division operating budget by approximately$105,100 annually. 2. Eliminating the Public Works Maintenance Supervisor position will increase the Landscape and Parks Maintenance Division operating budget for Temporary staffing by $25,000 annually to oversee the management of landscape contract services. 3. Eliminating the Public Works Maintenance Supervisor position will be off-set by increases of$20,000 in contract and temporary employee services in an effort to maintain core and priority service levels to the public,community and stakeholders. Existing Situation:Factors Driving the Need for Change The current Public Works Maintenance Supervisor position was substantially modified about 5 years ago after the retirement of a long-time employee. At that time, Public Works and the Human Resources Department modified the previous job description based upon the most effective way to deliver the necessary tree maintenance and contract management services covered under this position. The position became a Public Works Maintenance Supervisor for the Trees Maintenance Division,responsible for managing the City Arborist, tree crew, landscape contracts and serves as the City representative for the Tree Committee. The.City has identified on-going budget deficiencies that need to be addressed. Individual program expenditures will need to be reduced to help mitigate the financial shortfall. Staff has once again taken the opportunity to review the services provided by this position and determine if it is still the most effective and efficient way to do business. The Public Works Maintenance Supervisor position works across several program lines; provides contract management services for Street Maintenance, Parks Maintenance, and the Parking Divisions. Because the position is inter-mingled within various Public Works programs, internal staff discussions focused on if this was still the best way to deliver these services,and if not, what was a better way. Based on these discussions, it was determined that services provided outside of Tree Maintenance could be streamlined by shifting the contract management services to the affected programs. The regular staff reduction of this position will have a net negative impact on Tree Maintenance division,primarily in follow-up with citizens on tree issues, illegal removals,vegetation clearing, and the level of support for the Tree Committee. Goal and Policy Links 1. 2011-13 Other Council Objectives,Infrastructure Maintenance. 2. City of San Luis Obispo Municipal Code,Chapter 12 Tree Ordinance 3. Urban Forest Management Plan Service Categorization Criteria 3=high B2-2✓V - m Att8CHMgnt 9 s PUBLIC WORKS MAINTENANCE SUPERVISOR STAFFING REDUCTION Program Work Completed n/a Environmental Review fila Program Constraints and Limitations Other City departments and Public Works divisions would betaking on new and different work to accommodate this reduction. Stakeholders Parks Maintenance, Street Maintenance, Tree Maintenance and Parking Services division staff are all stakeholders as they are expected to assume a greater workload distributed among them with one Iess management position. Citizens supporting prosecution of illegal tree removals will no longer have the staff resources available for enforcement issues. Implementation The reduction in regular staffing levels would be effective July 1, 2011 with the adoption of the 2011-13 Financial.Plan. 1. Begin recruitment for temporary staff 7Ju�ly 2. Eliminate PW Maintenance Supervisor position in the Trees Maintenance Division 3. Transfer$25,000 to the Parks Maintenance:operating for Temporary Staffing to supportadded workload 4. Transfer$20,000 to the Tree Maintenance Division for contract services uy 5. Complete hiring of temporary staff July 2011 Key Program Assumptions The City Arborist will assume Tree Maintenance program oversight, supervision of the crew, and Tree Conmtittee support. The Arborist will be reclassified to a supervisory position. Tree Maintenance program will augment the tree trimming contract services or temporary staff to maintain tree trimming services. The Street Supervisor will manage the sidewalk cleaning and weed abatement contracts, without additional resources,with limited impacts to the program. The Park Maintenance Supervisor in conjunction with augmented temporary staffing will manage the landscape and restroom janitorial contracts. Parks Maintenance staff will work with Parks and Recreation Department staff to provide user services for Special Events. B2-257 s PUBLIC WORKS MAINTENANCE SUPERVISOR STAFFING REDUCTION Program Manager and Team Support Program Manager. Public Works Administration Project Team. Tree Maintenance, Parks Maintenance, Street Maintenance, Parks and Recreation, and Human Resources Departments .Alternatives 1. Continue the Status Quo. Retain the position and continue full support for Tree Maintenance. 2. Change the Scope of Request The position could be retained and the operating program non-staffing items could be reduced by the corresponding amount to obtain the same level of operating program cost reduction; which would include the elimination of all contract trimming services, leaving a non-staffing operating budget of$12,000. Operating Program Tree Maintenance(50220) Cost Summary The salary cost savings as a result of eliminating 1.0 FTE Public Works Maintenance Supervisor staff position and back-filling with additional tree trimming contract services and Parks Maintenance temporary staffing will save$59,600 in 2011-12 and$59,900 in 2012-13. Line Item Description Account No. 201142 2012-13 Regular salaries 100-50220-7010 66,400 66,400 Retirement Contributions 100-50220-7040 21,500 21,800 Health Insurance I00.50220-7042 15,100 15,100 Medicare 100-50220-7044 1,000 1,000 LhEmployement Insurance 100.50220-7046 300 300 PARS. 100-50220-7041. 800 800 ._ _ Ternporary Salaries-Parks Maint 100-50200-7014 (25,000) (25;000) Medicare 100-50200-7044 (400) ._(400) UnEm ioyement Insurance 100-50200-7046 100) 100) - _ -r "�•';� - -_=•yam. _ - Contract Services-Trees Maim 100-50220-7227 1 (20,000) (20,000) B2-258 Attachm®n TRANS TRANSPORTATION PLANNING STAFF REDUCTION Request Summary Reassigning 0.50 Full-time Equivalent. (FTE) Principal Transportation Planner staff position in the Transportation Planning and Engineering division to the Parking Services division will save $64,700 in 2011-12 and$64,900 in 2012-13 in the General Fund. Key Objectives The .50-FTE- management level position would be reduced in the Transportation Planning & Engineering Division and transferred over to the Parking Services Enterprise Funds to support the Parking division by: 1. Responding to special project and programs needs such as new technologies and rate strategies. 2. Implementing parking projects such as the Palm Nipomo parking structure 3. Assisting with the responsibilities recently added by the creation of the"Downtown Champion". 4. Maintaining desired Ievels of customer service and community support. 5. Developing and implementing strategies to make maximum use of existing parking spaces and reduce the use of single occupant vehicles. Etsting Situation:Factors Driving the Need for Change The City has identified a $3 million budget gap that needs to be addressed in its 2011-13 Financial Plan. The Public Works Department's portion of the reduction goal. is $663,900. Transferring a .50 FTE from the Transportation division to the Parking Services division will help the City address its General Fund gapl and provide needed staffing in the Parking Services division to help meet its key objectives. Since 2005, the Parking Services division has added 2.5 parking lot spaces, 240 garage parking spaces, one residential permit.parking district, and the dutie's of the "Downtown Champion". Additionally, the City has added three residential properties to its inventory and is considering two private development proposals to redevelop existing City parking lots. Due to its increased workload, the Principal Transportation Planner in the Transportation Planning and Engineering division has already been assisting the Parking Services Manager by overseeing the.Palm Nipomo parking structure project, collaborating on revenue enhancement strategies, and participating in parking management and demand reduction eff6rts. With the reduction of an .50 FTE Principal Transportation Planner staff position from the Transportation Planning and Engineering division, and subsequent transfer over to the Parking Services division;Ahe long-term staffing commitment of the Transportation Planner will be assured for Parking Services Goal and Policy Links 1. 2011-13 Major City Goal`. Neighborhood Wellness . 2. 2011-13 Major City Goal: Traffic Congestion'Relief 3. 2011-13 Other Important Goals: Infrastructure Maintenance 4. 2011-13 As Resources Permit Goal: Climate Protection 5. General Plan Circulation Element ... 6. Parking and Access Management Plan 7. Revenue Management Operating Program B2-259 per, - I4r��°es TRANSPORTATION PLANNING STAFF REDUCTION 8.. Parking Management and Demand Reduction Operating Program Service Categorization Criteria 2=High Program Work Completed The Principal Transportation Planner staff position has already been assisting the Parking Services Manager by overseeing the Palm Nipomo parking structure project, collaborating on revenue enhancement strategies, and participating in parking management and demand reduction efforts. Environmental Review No environmental review is required. Program Constraints and Limitations 1. With the reassignment of this.5 FTE staff position,the Transportation Planning and Engineering division may be limited in its ability to fulfill program commitments. 2. in addition to this staffing reduction, the Transportation Planning and Engineering division is currently facing a possible 0.54 FTE staffing reduction of contract and temporary employees as a result of operating budget reductions. r Stakeholders City residents,business owners,motorists,pedestrians and bicyclists are stakeholders in additional transportation program support Additionally,the Downtown Association and its members will be affected by this request. Laplementation The reassignment of a.5 FTE Principal Transportation Planner will take effect at the implementation of the 2011- 13 Financial PIan,effective July 1,.2011. 1. Reduce Principal Transportation Planner staff position by_5 FTE'in the.Transportation July 2011 division 2. Add Principal Transportation Planner staff position by.5 FTE in the Parking Services July 2011 division Key Program Assumptions The key program assumptions include no additional duties being assigned to the Transportation Planning and Engineering Services division because of current staffing deficiency. Program Manager and Team Support B2-260 Gut.s. TRANSPORTATION— TRANSPORTATION 1 • s • .TRANSPORTATION PLANNING STAFF REDUCTION Program Manager. Transportation Operations Manager Project Team. Parking Services and Public Works Administration Alternatives 1. Continue the Status Quo. The Principal Transportation Planner could remain a 1.0 FTE staff position with the Transportation Planning and Engineer division. However,this would not assist in the key objectives of reducing the Transportation operations budget nor provide additional support services to the Parking Services division. 2. Defer or Re-Phase the Request Deferring this request will result in Parking Services not receiving the additional staff resources that are currently needed. 3. Change the Scope of Request. If a.25 FTE Principal Transportation Planner position is allocated to Parking Services, only a portion of the key objectives identified for Parking above could be accomplished. Additionally a non-management position could not fulfill a majority of the key objectives identified above. Operating Program Transportation Planning and Engineering(50500) Cost Summary The staffrig costs projected below are based upon an the current pay of the Principal Transportation Planner position. Reducing the current Principal Transportation Planner staff position by .5 FTE in the Transportation Planning and Engineering division will save approximately$64,700 in 2011-12 and$64,900 in 2012-13. Line Item Desc on Account No. 201142 201213 Regular Salaries(Print Tranp Planner) 100-50500-7010 44,100 44,100 Retirement Contribution 100-50500-7040 14,400 14,600 Health&Disability Insurance 100-50500-7042 5,000 5,000 Medicare 100-50500-7044 600 600 Uneuployment Insurance 100-50500-7046 200 200 PARS 100-50500-7041 400 400 . Total Operating Costs 64,700 64,900 B2-261 COMMUNITY • DEVELOPMENT REVIEW PERMIT TECHNICIAN STAFFING REDUCTION Request Summary Reducing the vacant full-time regular Permit Technician staffing position to a 0.75 full-time equivalent will save $18,300 annually. ; Key Objective Reduce the Development Review Administration operating program costs to assist in closing the City's current budget gap. Existing Situation:Factors Driving the Need for Change The Development Review division of Public Works has been operating with a mixture of temporary,contract and regular staff for the last six years. As part of the budget reduction strategies in the 2009-11 Financial Plan, the Development Review division reduced its regular staffing resources by 1.0 full-time equivalent (FTE) with the elimination of the Engineer III position. The vacant regular, full-time Permit Technician position has been filled by contract employee since December 2008. The Permit.Technician position has been filled by contract staff to provide stability and allow time for staff to further assess the needs of the division and determine if appropriate to solicit for permanent replacement. The contract Development Review staff, back-filling the Permit Technician position, provides essential support for day-today operations of the department, receive applications, evaluate, coordinate approvals, traffic control plan requirements, and issue encroachment permits. The City's encroachment permit activity has not decreased In part by new water quality standards, there has been an increase in permits required for construction staging and roll-off placement within the right-of-way. As part of a study done with the Community Development Department regarding front counter hours,a decision was made in late 2009 to reduce the open hours for the public. The reduction of 0.25 FTE in regular staffing will have a impact on the quantity and quality of-support to the higher level engineer staff'of Development Review but somewhat less of an impact to the general public requesting front-counter assistance due to the reduction in hours. Some duties currently performed by the Permit Technician will need to be reassigned to the Senior Civil Engineer or Supervising Civil Engineer. Goal and Policy Links 1. 2011-13 Major Council Goal for Preservation of Essential Services and Fiscal Health 2. General Plan Circulation Element Service Categorization Criteria 1 =Mandated Program Work Completed The full-time regular Permit Technician staffing position is currently vacant but has been back-filled by contract assistance since 2008. The full-time contract benefited employee provides Permit Technician duties assisting in B2-262 DEVELOPMENT REVIEW PERMIT TECEMCIAN STAFFING REDUCTION day-today operations of the department, development project review, approval, permit issuance, encroachment permits,record keeping and front counter assistance at 919 Palm Street.. This position provides a key role in the divisions' transition from the Foxpro programs to Energov. This position serves as a resource to the Community Development Department counter staff. Environmental Review n/a Program Constraints and Limitations 1. The City has a budget gap that needs to be eliminated. Programs across the City are reducing_operating budgets to reduce expenditures and eliminate the overall funding shortfall 2. This.25 FTE reduction in regular staffing may impact the Development Review division's ability to provide adequate response times to customer requests. Examples of these effects include: development project review and approval,over the counter permit issuance,encroachment permits,record keeping and front counter assistance at 919 Pahn Stmt.Some programs may take additional time to process such as the recent News rack program ordinance updates and compliance and the implementation and transition of the new Energov software. 3. Encroachment permitting activity has not decreased.In part by recent water quality standards,pursuit of permits for.construction staging and roll-off placement within the right-of-way has increased,thereby. increasing our permit activity. Stakeholders 1. Public Works and Community Development Department staff would be directly affected by this reduction in temporary support. 2. The community is a significant stakeholder as they would be impacted by the reduction in customer services levels, reduction of telephone service (i.e. phone tree), delay in responding to customer service requests,and responding to the plan cheelcrequests. Implementation The FTE reduction in regular staffing of the Permit Technician position by 0.25 would be effective July 1,2011 upon implementation of the City's 2011-13 Financial Plan. 1. Reduce 0.25 FTE Permit Technician position in the Development Review division Jul 2011 Key Program Assumptions \ . The need to reduce operating program cost outweighs the value of the services provided. This reduction assumes that the encroachment permit activity will not increase significantly. B2-263 ------- DEVELOPMENT REVIEW PERMIT TECBMC.IAN STAFFING REDUCTION Program Manager and Team Support Program Manager. Supervising Civil Engineer,Development Review Project Team. Public Works Administration and Community Development staff Alternatives 1. Continue the Status_Quo. This would allow the Development Review division to continue with the minimal front counter and encroachment permit support at a reasonable cost. 2. Defer or Re-Phase the Request Deferring this request will result in. Development Review division continuing to receive the staff support and resources. needed to provide encroachment permits, project reviews and front counter assistance. 3. Change the Scope of Request Front-counter assistance could be provided by Community Development staff. However,this would require the training of Community Development staff as "generalist'specialized in Public Works technical issues to be able to handle plan check issues, encroachment permits and project development reviews. The Public Works Permit Technician handles higher level technical level duties that are not currently supported at the CDD counter and therefore significant retraining would be necessary. Operating Program Development Review(50400) Cost Summary The cost savings resulting from the reduction of Development Review Permit Technician by 25 FTE,resulting in a.75 FTE staffing position will save approximately$18,300 annually. Line Itemt1® _ Account No.: 2011-12. 2011-13 _r Regular Salaries(Pernrit Technician) 100=50400-7010 10,700 10,700 Retirement Contribution(PERS) 100-50400-7040 . 3,500 3,500 Health Insurance 100-50400-7042 3,800 3,800 Medicare 100-50400-7044 200 200 .UnermlIns 100-50400-7046 100 100 Total Operating Costs 18,300 18,300 I B2-264 Let a 0119- s 011 ff PUBLIC WORKS UNIFORM CONTRACT SERVICES Request Summary Reducing the Laundry and Linen contract services for the Public Works Department will save approximately $19,300 annually. Key Objectives Reduce the Public Works Administration program expenditures to assist in closing the City's current budget gap. Existing Situation: Factors Driving the Need for Change The City current contracts with AmerSPride Uniform Services to furnish a stock of new uniforms to the City and pick up,launder,and deliver these uniforms as specified in the contract agreement.In addition,AmeriPride provides an inventory of towels,dust mops,and!hoor mats to the City and exchanges this inventory for a newly Iaundered inventory as specified. The contract costs include labor,material,and equipment required to finnish inventories to the City. AmeriPnde provide uniform and/or towel and floor mat laundry services to the following programs: program lbescription Contract Cost TOTAL General Fund e PW General Fetid Programs Floor Mats $1,400 o Parks Maintenance Uniforms $20,500 o Swim Center Uniforms o Building Maintenance Uniforms o Streets Maintenance Uniforms o Storm Water Uniforms o Signal&Lights Un forms o Fleet Services lUniforms&towels • Parking Services Uniforms $3,700 • Utilities Department Uniforms $20,100 • Golf Course Uniforms $200 • Police Department Towels $100 • Fire Department Towels/Mats $6,900 S52.906' This reduction request is to reduce the contract services funding which provides uniform support for the seven('n General Fund Public Works programs. This reduction would be that uniforms and laundering services would no longer be provided to Public Works staff. Residual funding of$2,600 will be used to purchase shirts and pants. Field Divisions would convert to a shirt and pant provided by the City and employees would be responsible for laundering.This may impact how citizens view City field workers,literally and figuratively. Floor rugs would be replaced every two months. Half of quantify of cleaning towels will be supplied&picked up for cleaning every-other week. B2-265 GENERAL GOVERNMEN PUBLIC WORKS UNIFORM CONTRACT SERVICES Contract services funding for uniforms would be housed within the Departments continuing to utilize AsneriPride's services.Utilities,Fire and Police Departments would become responsible for managing own program laundry&linen services Goal and Policy Links 1. 2011-13 Major City Goal,Preservation of Essential Services and Fiscal Health. Service Categorization Criteria . 3=High Mid-Range Program Work Completed I. A survey of 12 other cities showed that only three provide laundry uniform services. 2. An internal survey was conducted with Public Works Department Field staff which indicated this reduction as unfavorable. Field staff indicated that a reduction in.laundry services would increase costs to employees,create discord between utilities and other field staff and promotes unprofessional attire. T- shirts,as a recommended alternative,were noted by staff as not being as durable as the uniforms currently provided. Environmental Review- No environmental review required. Program Constraints and Limitations 1. Significant employee and employee union involvement may be expected. 2. City must meet and confer about change in this working condition. Stakeholders The Public Works Department staff are all stakeholders in the implementation of this reduction. The general public and community are stakeholders as they depend heavily upon the services,parks,tees;streets field crews and this reduction in uniform presence may affect how City employees are`viewed". Implementation 1. 7Redutceform ContractServices by$19,300 July2011 2. irts for field crews. August 2011 Key Program Assumptions B2-266 Attachment S_ !GENERAL G6VERN,..F-NT -- PUBLIC WORM UNIFORM CONTRACT SERVICES 1. It is assumed that the City would provide shirts and pants for employee use. 2. It is assumed that staff will be responsible for laundering of garments 3. It is assumed that staff will continue to maintain uniforms in presentable condition.. Program Manager and Team Support Program Manager. . Director of Public Works Project Team. Public Works Administration, Parks Maintenance, Trees Maintenance, Building Maintenance, Swim Center, Fleet, Storm water, Signal & Lights and Parking Services divisions. Alternatives 1. Continue the Status Quo. Not reducing the contract uniform services would allow City staff to be provided with clean and properly maintained uniforms.. Uniforms allow City employee to be easily recognized by the general public. In addition, the clothing of field staff receives a great deal more wear and tear and public scrutiny than does non-field staff. If uniformed field staff experience a cost increase to avoid reductions in non-field staff areas, this could cause divisive staff feelings, and fuel a desire to rebel in the form of poor _ uniform appearance. 2. Change the Scope of Request The reduction of uniform services would be modified in two ways. Instead of a full uniform reduction for all Public Works staff, the reduction could apply to only temporary staffing positions. The second option would be to reduce uniform contract services for all public works programs with exception of Parking Services Enforcement Officers. 3. Implementation in a Different Way. Instead of one consolidated contract agreement for uniform services, the City could require all programs to coordinate and provide funding for uniform services specific to the Prole Operating Program Public works Administration(50100) Cost Summary The reduction in the Laundry and Loren contract services for Public Works department staff would save approximately$19,300 annually. Line ltem Dear on I Acewnt No. I i011-12 21112-13 w g &Linen Serivices 50100-7259 1 19 300 19,300 Total O era Costs 19,300 19 00 r B2-267 �GENEe i PUBLIC WORKS ADMINISTRATION TEMPORARY STAFFING Request Summary Reduce temporary staffing by 0.35 full-time equivalent(FTE)in the Public Works Administration division will save$23,300 in 2011-12 and$23,400 in 2012-13. Key Objective Reduce the Public Works Administration operating program costs to assist in closing the City's current budget gap. Eidsting Situation: Factors Driving the Need for Change The City has a budget gap that needs to be eliminated.Programs across the City are reducing operating budgets to reduce expenditures and eliminate the overall funding shortfall. Goal and Policy Links The program overall is connected to the Major City Goal of Traffic Congestion Relief as well as the Council Obj ective of Infiastructure Maintenance.Admin staff provides support both to the field maintenance staff as well as the CIP Engineering staff. 1. 2011-13 Major Council Goal for Preservation of Essential Services and Fiscal Health 2. 2011-13 Major Council Goal for Traffic Congestion Relief 3. 2011-13 Other Important Objective for Infrastructure Maintenance Service Categorization Criteria 3 =High Mid-Range Program Work Completed n/a Environmental Review n/a Program Constraints and Limitations Temporary Public Works Administration staff provides essential support for day-today operations of the department. The reduction of 0.35 FTE in temporary staffing will have a significant impact on the quantity and quality of administrative support provided to Public Works staff' at 919 Palm St and to Public Works and Utilities field staff.. Temporary staff will no Ionger have time to'update Disadvantage Business Enterprise(DBE)information required for federally funded projects,respond to compliance requestors within the required time frame,nor purge project files;which might result in regulatory non-compliance. B2-268 Attachmant.L!.- 7— GENERAL O e PUBLIC WORKS ADMINISTRATION TEMPORARY STAFFING Temporary staff will no longer have time to ensure on-going insurance tracking and project files remain current, nor have time to ensure desk guides and manuals are up-to-date. Duties not completed by temporary part-time staff would fall to the only(2)two full-time Administrative Support staff members. Stakeholders 1. Public Works and Utilities Department staff would be directly affected by this reduction in administrative support. 2. The community is a significant stakeholder as they would be impacted by the reduction in customer services levels, reduction of telephone service (i.e.phone tree), delay in responding to customer service requests,and responding to the Community Service Work Program requests. Implementation The FTE reduction in temporary staffing by 0.35 would be effective July 1, 2011 upon implementation of the City's 2011-13 Financial Plan. EM 1. Reduce 0.35 FTE temporary staffing in the PW Admin division July 2011 Key Program Assumptions The need to reduce operating program cost outweighs the value of the services provided. Program Manager and Team Support Program Manager. Public Works Administration Project Team. Utilities and Human Resources Departments Alternatives 1. Continue the Status Quo. This would allow the Public Works Administration Program to continue with the current administrative support at a reasonable cost. 2. Defer or Re-Phase the Request Deferring this request will result in Public Works Administration department continuing to receive the staff support and resources needed to support the thirteen various public works programs and staff. However, this option would not provide the operating budget reduction that is currently being sought 3. Change the Scope of Request Some administrative support could be provided by the Parking Services Administrative staff. This additional support could be received at no additional increase to the General Fund. However,Parking Services staff would be unable to provide administrative support functions for the Parking Enterprise Fund. Additionally,this would be a co-mingling of General and Enterprise fund monies. B2-269 - Attachment s' GENERAL . . ' PUBLIC WORKS ADMINISTRATION TEMPORARY STAFFING Operating Program Public Works Administration(50100) Cost Summary The cost savings resulting from the reduction of Public Works Administration temporary staff will save approximately$23,400 in-2011-12 and$23,500 in 2012-13. Lmellemb on __ -Ace NO. 2011-12 2012-13 _.__ ...fc_a�._ .�..._r'" =.�o ' rr=. - ii:.-ar-:. :r._ Emig Temporary Salaries 100-50100-7014 17,400 17,400 Retirement Contributions(PERS) 100-50100-7040 5,600 5,700 Medicare 100750100-.7044 300 300 ,LJneTM1Ins . 100-50100-7046 100 100 Total O eratin Costs - -" p g _- -_ _ 23,400. 232500 i B2-270 • PARKS MAINTENANCE TEMPORARY STAFFING REDUCTION Request Summary Eliminating one temporary City Worker V position from the Park Maintenance Division will save $12,300 in 2011-12 and$12,700 in 2012-13. Key Objectives 1. Reduce staffing costs to assist in closmg the City's budget deficit. 2. Reduce oversight of temporary employees. 3. Eliminate maintenance and replacement costs for portable restrooms. Existing Situation: Factors Driving the Need for Change In 1995, the City purchased two portable restroom trailers for use at the Downtown Farmer's Market At this time, the City was experiencing severe drought conditions and water use restrictions were in place. Downtown merchants were being penalized for overconsumption due to public use of their facility restrooms. The City responded by providing the Downtown merchants with eight portable restrooms to reduce the public restroom demands on Downtown business facilities. In 2003, the portable restroom and trailer units were replaced at a cost to the City of$31,000. The sole purpose of this temporary staff position in the Parks Maintenance division is to provide the portable restroom services to Farmer's Market and the annual Triathlon event at Sinsheimer Park. The portable restroom units are hauled to the event from storage located at the City's Corporation Yard. The temporary staff position then retrieves the portable restrooms and cleans them,making them ready and available for the next usage.While water costs to businesses are still a consideration, the City is no longer in a drought condition and the portable restroom services provided by the Public Works Department have become more of a convenience than a drought- fighting tool.Due to ongoing City operating budget deficiencies,various programs and services may no longer be cost effective to provide. The restrooms could be sold or donated to the Downtown Association or a local service group to eliminate future staffing, maintenance and replacement costs. Discontinuing the portable restroom service:is not anticipated to creates significant impact to our community. Goal and Policy Links n(a Service Categorization Criteria 3=11igh Mid-Range Program Work Completed n/a Environmental Review No environmental review required B2-271 PARKS MAINTENANCE TEMPORARY STAFFING REDUCTION Program Constraints and Limitations There are no program constraints or limitations associated with this reduction. Stakeholders Potential stakeholders affected by this reduction would be the Downtown Association(Farmer's Market)and the Parks and Recreation Department(Triathlon Hosts). The general public may experience some inconvenience if businesses refuse to allow them restroom use during Farmer's Market. The triathlon event would still be required to provide the public restroom facilities for their event,which could be provided through private contractors that offer this service. Implementation The reduction in service and staffing levels would be effective July 1, 2011 with the adoption of the 2011-13 Financial Plan. =Seflor porary Staffing position _ July 2011 te portable restrooms July 2011 Key Program Assumptions The current need to reduce operating program costs outweighs the value of the portable restroom service provided. There are other potential resources to offer this service to the community. Program Manager and Team Support Program Manager. Parks Maintenance Supervisor Project Team. Public Works,Administration,Parks and Recreation and the Human Resources Departments Alternatives 1. Continue the Status Quo. No change in portable restroom service would be made. Staff would still provide portable restroom services, at no cost,to the Downtown Association for weekly Farmer's Market events and to the Parks and Recreation Department for the annual Triathlon. 2. Implementation in a Different Way. This service could be provided to the Downtown Association for a cost. Cost recovery would help offset expenses incurred through staff, maintenance and replacements of these units. 3. Existing Program Evaluation. The current program is implemented in the most cost effective manner for provision by the City, making use of a non-benefitted temporary employee year-round. This same service could be readily.provided by the event sponsor, using a company that provides temporary restroom service. B2-272 �hmen LEISURE, o . SOCIAL o PARKS MAINTENANCE TEMPORARY STAFFING REDUCTION These services drop.off, pick up, and clean portable temporary restrooms that are used for all other special events where restroom service is needed..A service that would provide two of the trailer mounted type units like the City's,which are more expensive than standard"blue rooms,"cost about$400 per night which would total about$20,000 for the year.Providing fewer restrooms could bring this cost down. Operating Program (50200) Landscape and Park Maintenance Cost Summary The salary cost savings would be$12,300 in.2011-12 and$12,700 in 2012-13..Additional maintenance and repair . savings would also be realized annually. Furthermore, the capital expense of portable restroom replacement would not have to be expended should the portable restroorns be sold or donated. Line ItemDesc i `on Account No. 2011-12 2012-13 _ �.._..f :... .a 'ss :ni v_= - Temporary Salaries 100-50200-7014 _ 12,000 12,400 Medicare 100-50200-7044 200 200 Unemployment Insurwce 1100-50200-7046 100 100 B2-273 .._.- ---- S� TRANSPORTATION DOWNTOWN STREETS MAINTENANCE STAFFING REDUCTION Request Summary Eliminating one half-time regular Street Maintenance I position from the Street Maintenance__ Division will save $31,400 in 2011-12 and$31,500 in 2012-13. Key Objectives 1. Reduce staffing costs to assist in closing the City's budget deficit. Existing Situation:Factors Driving the Need for Change The purpose of the half-time Street Maintenance Worker I position in the Street Maintenance program is to provide daily cleanup of the downtown during the week.For approximately the last 8 years,the City has provided a halftime employee to clean the downtown. The employee completes about a 6 mile walk each day to pick up trash in the Downtown. Trash collection alone consumes about 4 hours each day. As time permits, the worker removes graffiti and stickers from City fixtures such as signs, trash containers, signal equipment.and benches. He also removes posters, averaging 30 posters a week, cleans up the mess left from spilled trash cans and news racks, and removes trash from the recycling receptacles. He completes weed removal from tree wells, cleans up animal waste left on the sidewalk or in tree wells and makes minor repairs to the trash can holders. This position transitioned from a temporary employee to a regular employee.after six years of employment when it appeared that this was an ongoing need, and at the same time,the level of street sweeping was reduced in the downtown to reduce operating costs. There are.several benefits to having this employee downtown,including early problem identification for referral to regular maintenance staff, establishing relationships with individual business owners, familiarity with regular transient populations to deal with them in a non-confrontational way, and knowledge of where to focus maintenance efforts. While this benefit is recognized, the City is also dealing with a significant gap .in its finances. In focusing on the core services the City delivers,general cleanup of the downtown did not.rise above the need to perform ongoing infrastructure maintenance and provide off-hour and emergency response. Goal and Policy Links . n/a Service Categorization Criteria 3--High Mid-Range Program Work Completed n/a Environmental Review No environmental review required. B2-274 Attachment -O - DOWNTOWN STREETS MAINTENANCE STAFFING REDUCTION Program Constraints and Limitations Regular trash pickup removes a significant amount of trash from the street and ceasing this effort could result in a degradation of water quality and an unsightly appearance. Stakeholders The primary stakeholders and those who benefit from this program include business owners and visitors to the downtown. Implementation The reduction in service and staffing levels would be effective July 1, 2011 with the adoption of the 2011-13 Financial Plan. Key Program Assumptions The current need to reduce operating program costs outweighs the value of having City furnished maintenance provided for the downtown. Paying for a portion of this City service may be supported by the Downtown Association. Program Manager and Team Support Program Manager. Street Maintenance Supervisor Project Team. Administration,Public Works Administration,and the Human Resources Departments Alternatives 1. Continue the Status Quo. No change in downtown maintenance would occur and cleanup would continue to be staffed five days a week. 2. Lnplementadon in a Different Way. A reduced amount could be set aside to do this work. For example, completing this work with staff only three days per week would reduce the cost to$20,000.Once a budget is adopted staff would formulate a request for proposals for the work to be completed by an outside service to determine if the work could be performed less expensively through a private company.If contracting was not competitive,the level of service provided by the City would be reduced to align with the funding available. 3. Implement in a afferent way. The cleaning,either through staff or contract services,could also be fimded at some level by the Downtown Association. Operating Program Street and Sidewalk Maintenance(50300) B2-275 TRANSPORTATION DOWNTOW . - . - DOWNTOWN STREETS MAINTENANCE STAFFING REDUCTION Cost Summary Eliminating one half-time regular Street Maintenance I position from the Street Maintenance Division will save $31,400 in 2011-12 and$31,500 in 2012-13. Line ItemDesc on Account No. 1011-12 2012713 .yx:— ,.,.. •-^:ams' - — - - _ ^3- :r_... i-. yf••. 'i--=, _�•. 'L9iG R ,! ii••. "R"'r fur Lr't,( } i : ' . .s!-•:v'6?a "�:�lrs�".•���v'hYt�'' ir�'w°� "n•7L•'!6_f-ii�:�j�r:`�i,[�i�i��i��fi Regular Salaries 106-50300-7010 24500 22,50000 PERS 100-50300-7040 7,300 7,400 Insurance 100-50300-7042. 1,200 1,200 Medicare 100-50300-7044 300 300 19hermploymentInsurance 100-50300-7046 100 100 I B2-276 � , s CIP ENGINEERING REGULAR STAFFING REDUCTION Request Summary Reducing the Capital Improvement Plan (CIP) Engineering program's regular staffing by one. Engineering Inspector position will save approximately$99,900 in 2011-12 and$104,600 in 2012-13. Key Objective. Reduce CIP Engineering operating program costs•to assist in closing the City's current budget gap. Existing Situation:Factors Driving the Need for Change. The City currently has a need to reduce the overall operating expenditures to close a budget gap while continuing to maintain a reasonable CIP program. Currently,public and private construction work inside the Right-of-Way and on City property is inspected and managed by five engineering inspectors working in the CIP Engineering program. The program is Banded through a combination of private development and encroachment permit fees, and the General Fund. Staff provides the required level of inspection appropriate to the fees collected, with the remaining staff resources available for City project inspection needs.Additional demand for inspection work for City projects is handled through consultant services. Due to the recent downturn in large development activity, private construction work has been less, although encroachment permits have remained steady. Public Works has taken advantage of the available resource, historically dedicated to private work,to provide cost effective inspection of City projects, avoiding more costly consultant services. The Engineering Inspector I position is a cost of $46 per hour including all benefits, as compared to consultant services averaging $135 per hour. The loss of this full-time regular staff position could translate to an increased cost of as much as$173,400 to replace this full time employee if consultants were used to backfill the work- This orkThis reduction option if implemented will reduce the City's ability to implement Measure Y through physical improvements the public can see and use,as more funds arespent on outside inspection services. If this reduction option is implemented Engineering's ability to take action on unplanned / emergency construction needs will be reduced as outside services take more time to pull together for responding. Recent examples included the Johnson Waterline break, the Emergency McMillan Sewerline Boring under the railroad, High Street Emergency Sewer Replacement, Garden Alley Paving, University Square Driveway Repair, and pothole coordination and oversight in support of multiple CIP designs. Oversight of private construction,with reduced staff,will be less flexible to minimize time spent in this area.The service will be less responsive to inspection requests impacting private construction costs. The organization's ability to respond quickly to any increase in private construction activity will be reduced due to the need to bring on contract or temporary staff to support private construction activity. Goal and Policy Links This action reduces CII'Engineering's effectiveness in responding to: 1. 2011-13 Major City Goals Traffic Congestion Relief. 2. 2011-13 Major City Goal—Neighborhood Wellness 3. 2011-13 Other Important Goal—hifrastructure Maintenance B2-277 COMMUNITY • CTP ENGINEERING REGULAR STAFFING REDUCTION 4. Measure Y priorities 5. Private Development Inspection needs Service Categorization Criteria 2—High This reduction impacts the CIP Engineering program's core services. Program Work Completed Not applicable Environmental Review No environmental review required. Program Constraints and Limitations The impact of this reduction will require CIP Engineering to implement the following actions: 1. Revise encroachment permit inspection request method to allow inspections to be grouped in order to more efficiently complete.This will ultimately result in higher private construction cost. 2. Revise 201143 Financial Plan CIP requests to ensure that adequate funding is included in the Construction Management phase. 3. Public outreach will be required to train contractors and home owners on increased timeframes for inspection requests. Contractor and homeowner dissatisfaction is likely to occur. This might be mitigated by notification of these reduced services. Stakeholders The largest impact will be to contractors requesting inspection services for private construction work. CIP Engineering will need to schedule and complete these inspections with other like work or other adjacent construction to be most efficient. This will require the contractor to forecast their inspection needs that might cause delay into their work plan. Any delay will likely increase contractors cost to complete work and will likely be passed on to owners of improvements. Implementation Funding for this salary and benefits will be eliminated effective July 1,2011 upon implementation of the City's 2011-13 Financial Plan 7iPrepare vise Encroachment Permit inspection request method May 201.1. notifications to customers website and hlets June 2011 B2-278 • DEVEL-OPMENT CIP ENGINEERING REGULAR STAFFING REDUCTION 3. rImpleinentainspection ne Engineering Inspector full-time,regular staffing position July 2011 4. covera a strategies On ing Key Program Assumptions The key assumption with this operating program reduction is that it will actually reduce costs. Staff does not predict this will actually occur unless private develop declines further from its current levels and the Council makes significant reductions in the CIP as part of this Financial Plan. Program Manager and Team Support Program Manager. CIP Engineering Project Team. Human Resources Alternatives 1. Continue the Status Quo. Deferring this reduction has the potential to save the City costs on inspection services. 2. Defer or Re Phase the Request Based on current Planning activity, there are indicators that some large developments are nearing readiness to start construction. Deferringconsideration of this reduction for a period of a year would allow the City to be ready to respond to private development inspection currently indicated. The City will have the advantage of an inspection staff person for the next year to allow the section,as a whole, to provide cost effective inspection services for the CII'program,or to shift resources to private development. 3. Implementation in a Different Nay. Funding for the regular staff person could be converted to temporary staff. Based on past experience the City could expect to pay between$35 and $50 per hour for temporary help, depending upon the level of experience of the applicants, so there is the potential for small costs savings.The position would also likely be benefited, due to the expected long term nature of the need, if the temporary employee remained with the City beyond the 1000 hour limit. From an operational standpoint, use of serial temporary employees is not generally efficient due to the.need for the employee to be familiar with the specific City requirements rather than only general knowledge of construction. Each new employee has to be trained and demands a high level of supervision until they become proficient. Supervision efforts reduce staff's availability to provide CIP inspections and can result in a shift of some work to consultant services, which essentially adds cost to the temporary employee costs. The City's Human Resource Management Policies incorporated in the most recent budget,identify temporary employees as appropriate for peak workload requirements where less than year-round staffing is.required. Based on recent experience, even with lower development activity,this is a year-round need Even at current inspection staffing levels, consultant services are regularly being used to meet peak construction activity seasons. This alternative does not appear to meet the intents of the policies, substituting temporary staff for permanent as a strictly cost cutting measure. B2-279 CIP ENGINEERING REGULAR STAFFING REDUCTION Providing the work through consultants will be considerably more expensive and is not considered a viable alternative to regular staff. Operating Program CIP Engineering(50410) Cost.Summary The cost savings associated with the elimination of one Engineering Inspector position is approximately$99,900 in 2011-12 and$104,600 in 2012-13.This position is currently filled with one full time employee. Line Item Descr 'on Account No. _ 2011-12 2012-13 _ - - •d _ '"": .:p,,•.�s "-.21 7" .tea?- . j•'L _^:c%��:.; Regular Salaries 100-50410-7010 63,100 y 66,400 Retnement 100-50410-7040 20,400 21,800 Health Insurance 100-50410-7042 15,100 15,100 Medicare 100-50410-7044 1,000 1,000 Unernployernent Ins 100-50410-7046 300 300 Total Operating Costs 991900 104,600 I B2-280 s s • s • TEMPORARY TRANSPORTATION STAFFING Request Summary Reduce part-time Temporary staff position by 0.75 full-time equivalent(FTE)in the Transportation Planning and Engineering program will save approximately$33,500 annually. Key Objectives Reduce Transportation Planning and Engineering operating program costs to assist in closing the City's current budget gap. Existing Situation: Factors Driving the Need for Change - The City has a budget gap that needs to be eliminated.Programs across the City are reducing operating budgets to reduce expenditures and eliminate the overall funding shortfall. Reducing temporary staffing by 0.75 FTE from the Transportation division will assist in reducing operating program expenditures for the Transportation division. Temporary staffing in the Transportation division provides intern support for various transportation and traffic projects. A reduction in this staffing allocation will result in a slower citizen response time to traffic-related needs. The delivery and implementation of various traffic projects, such as the annual Traffic Safety Program, Traffic Operations and Neighborhood Traffic Management Programs will be significantly delayed by several months as a direct result of this staffing reduction. Goal and Policy Links This operating program change supports the following goals and policies: 1. 2011-13 Major City Goal: Preservation of Essential Services 2. 2011-13 Major City Goal: Traffic Congestion Relief 3. 2011-13 Other Important Goals: Infrastructure Maintenance Service Priority Ranking 2=High Program Work Completed This temporary position is currently vacant. The Transportation Programs staff position (usually filled by interns)is designed to support various traffic programs,such as the implementation of recommendations resulting from the annual traffic safety report,traffic operations programs and neighborhood traffic management programs. Environmental Review No environmental review required in this section. B2-281 TRANSPORTATION 5 TEMPORARY TRANSPORTATION STAFFING Program Constraints and Limitations 1. Assumes the corresponding SOPC restoring the Engineer staff position is approved. If the SOPC is denied,Traffic Safety Reports and programs will be suspended for minimum of two years as a significant impact of insufficient staffing levels. 2. Assumes the delivery and implementation of various traffic projects, such as the annual Traffic Safety Program, Traffic Operations and Neighborhood Traffic Management Programs will be significantly delayed by several months as a direct result of this temporary staffing reduction. Stakeholders Transportation Planning&Engineering and CIP Engineering staff would be affected by the program constraints and limitation of this position reduction. Additionally,community members,pedestrians and bicyclist would also be affected by a reduction in transportation staffing support. Implementation The temporary staffing position is currently vacant. This request would decrease the temporary staffing FTE allocation by 0.75 effective upon adoption of the 2011-13 Financial Plan. 1. Reduce A.75 FTE Temporary Staffing in the Transportation Planning&Engineering July 2011 division Key Program Assumptions 1. Assumes that the duties of the Transportation Programs intem position could be carried out by current temporary or regular staff or the City could attract unpaid interns. 2. This request assumes that the City will be seeking and applying for grants for alternative transportation. Program Manager and Team Support Program Manager. Transportation Programs Manager Project Team. Transportation Planning & Engineering, C1P Engineering and Public Works Administration staff Alternatives 1. Continue the Status Quo. The temporary staffing position will continue to provide Transportation Programs assistance and support for the Transportation Division. 2. Defer or Be-Phase the Bequest This temporary staffing would not be reduced. These staffing hours could be used to make progress on the Traffic Safety,Traffic Operations and NTM Projects. B2-282 AttachmOnU. TRANSPORTA, TION TEMPORARY TRANSPORTATION STAFFING 3. Change the Scope of Request A less than 0.75 FTE temporary position would be reduced. This would not allow for sufficient temporary staff time to remaining the Transportation division to provide adequate Transportation programs support. 4. , Implementation in a Different Way. Volunteer services could be sought after for Transportation Programs assistance. However the,turnover of volunteers is usually higher and their level of commitment is usually lower. Additionally,more staff time is needed to oversee and manage volunteers. 5. Existing Program Evaluation. This program service cannot be accomplished with fewer regular employees. Operating Program Transportation Planning and Engineering(50500) Cost Summary A reduction in temporary staffing by 0.75 FTE will save the Transportation division approximately $33,500 annually. Line Item Description Account No. 201142 2012-13 S Temporary Salaries 100-50500-7014 32,900 32,900 Medicare 100-50500-7044 500 500 Unemployment InsuTance 100-50500-7046 100 100 Total Operating Costs $ 33,500 $ 33,500 r B2-283 2011-13 Operating Cost ,.eduction Options PUBLIC WORKS DEPARTMENT Description Service ImpactTe11P Rear 2010=11 Annual Savings Servide Staff start gadget 2011-12 .2012-13 SOPC Priorityget_ L ,1 Rank "'T"r�=_fv�.�r��i?.'awv ry:.f!LL NI: ii:.LiY M3i;��1'.f'S,'["GKi .'i�fgG�.a h' '•� �:P r_h.-_ _.r"Ea,�;'4ti1i'�._��.....�,. -v1Si T ,1. $ykf�s_ f9 i '_'_ Sg W 'f"is.•". '� 4 9f•..z----i` id +I rfu 4'� x 1 pi. rc•rv',y. ""� _=.6' f' Transit Services Reduction of Contract 1,830,700 $89,100 $118,800 X 3 Division Reduce with First Transit as a Purchased provider for SLO Transportation Transit system. This by Eliminating reduction is based upon Evening Services the contract price per . mile,fuel costs per mile Eliminate SLO and the expected Transit's revenue amount EVENING received from public SERVICE ridership fares per mile. Revenue offset Elimination of the $4,571 (Cal Poly Evening Services for not included) SIA Transit will directly affect Cal Poly Unknown affect related ridership,&to a on pass sales lesser degree Seniors, disabled and Regional E ecdw Octover riders connecting to 1,2011 SLO transit routes. The demographic of . patrons affected by this reduction in Evening Services are as follows: Cal Poly-83% Adult-6% Senior/Disabled 5% Regional-4% Other.2% Approximately 59,580 riders in 2009-10 Transit Services Reduction of Contract 1,830,700 $23,400 $31,200 X 3 Division Reduce with Fast Transit as a Purchased provider for SLO Transportation Transit system. This by Reducing reduction is based upon Sunday Services the contract price per BY W. mile,fuel costs per mile and the expected Reduce SLO revenue amount Transit's received from public SUNDAY ridership fares per mile. SERVICE by 10,500 miles Reduction of 10,500 (1/3)• . miles of Sunday Services for SLO B2-284 2011-13 Operating (._ .t Reduction Options PUBLIC WORKS DEPARTMENT Revenue offset Transit will directly $5,000(Cal Poly affect Cal Poly related not included) ridership,&to a lesser degree Seniors, Unknown affect disabled and Regional on pass sales riders connecting to SLO transit routes. Effective July 1, The demographic of 2011 _ patrons affected by this reduction in Sunday Services are as follows Cal Poly-30% Adult-24% Senior/Disabled-29% Regional-6% Transfers-6% Other—5% Approximately 39,801 ridership in 2009-10 Transit Services Eliminate Education $1,200 $1,200 $1,200 3 Eliminate &Training budget Education& for Transit staff will Training Budget have an impact on the Eliminate level of training and Education and recertification Training budget of required. Staff will $1,200 annually be disadvantaged in learning of new State/Federal funding changes and may miss out on applying for grant funding for transit projects. Transit staff will not keep up with current practices,regulations or fan 'fbnding opportunities TOTAL 0.00 -0.00 1 1 $113,700 1 $151,200 B2-285 -- _ .... . ITRANSs • s . TRANSIT EVENING SERVICES REDUCTION Request Summary Reduction on the SLO Transit Services to eliminate Evening Services will save approximately$89,100 in 2011- 12 and$118,000 in 2012-13. Key Objectives Reduce Transit Services operating budget expenditures Existing Situation: Factors Driving the Need for Change The existing situation is affected by various unknown in revenue forecasting as detailed below. The Transportation Development Act (TDA) grants are a major source for transit funding. Funding has been reduced due to lower share of retail sales tax. San Luis Obispo (SLO) Transit anticipates slight increase in Federal funding for 2001-12 and 2012-13 Fiscal Years. The SLO Transit is currently entering into contract negotiations for student ridership with Cal Poly University. Contract agreement and the level of finding is currently unknown. level of future finding but 83% evening service riders are Cal Poly related and will need at least$102,000 above existing FY 2011 level to keep service viable. i The Federal Transit Administration(FTA)funding is currently unknown due to Federal Budget crisis. Goal and Policy Links 1. 2011-13 Major Council Goal for Traffic Congestion Relief 2: Climate Action Plan 3. General Circulation Element 4. Operating Program Goals of Vehicle operations,administration and facility and bus stop maintenance Service Categorization Criteria 1 =Mandated Program Work Completed Preliminary budget forecast,identify demographics of passengers likely to be affected Environmental Review No environmental review required in this section. Program Constraints and Limitations A significant obstacle will be time fiame to implement as need to hold public hearings via. Mass Transit Committee(MTC)and Council in advance of July 1,2011 B2-286 TV TRANSPORT4TION TRANSIT EVENING SERVICES REDUCTION Stakeholders SLO Transit Passengers, MTC Advisory Body members, City Transit staff, bicyclist and pedestrians will be affected by the implementation of SLO Transit marketing plan and public outreach. Implementation The augmentation to the Transit Services to reduce Evening Services will be effective October 1,2011,upon the. implementation of the City's 2011-13 Financial Plan. 72Reduce minate Evening Services effective July 1,2011 October 2011 Purchased Transportation budget b $89,100 October 2011 Key Program Assumptions 1. Assumes TDA,State Transit Assistance(STA)and Cal Poly fimding remain at current levels or above. 2. Assumes the San Luis Obispo Regional Transit Authority (SLORTA) budget costs increase at a reasonable rate. Program Manager and Team Support Program Manager. Transit Manager Project Team. Transit Services and Public Works Administration staff. Alternatives Continue the Status Quo. Delay until more detailed funding information is available in FY 2012 Change the Scope of Request Identify low ridership trips on all routes including weekday and reduce service by November 30,2012 Implementation in a Different Way. Seek additional Cal Poly related fimding in proportion to demographics (83%) Operating Program Transit Services(50700) Cost Summary This decrease in evening services to the Transit Services division operating budget effective October 1, 2011, would save approximately$89,100 in 2011-12 and$118,800 in 2012-13. LtneItem am AmiiatNa 1, 2811- .2012-13 _ U9 _ PurcbmedTimspmtefion 37 1 — 89,1001 118,800 Tocol Operatirecosts 1 611001 118,800 B2-287 TRANSIT SUNDAY SERVICES REDUCTION Request Summary Reduction on the SLO Transit Services to Reduce Sunday Service by 10,500 revenue miles (1/3 of miles) will save$23,400 in 2011-12 and$31,200 in 2012-13. Key Objectives Reduce Transit Services operating budget expenditures Existing Situation:Factors Driving the Need for Change The existing situation is affected by various unknown in revenue forecasting as detailed below. The Transportation Development Act(TDA) grants are a major source for transit funding. Funding has been reduced due to lower share of retail sales tax. San Luis Obispo (SLO) Transit anticipates slight increase in Federal funding for 2001-12 and 2012-13 Fiscal Years. The SLO Transit is currently entering into contract negotiations for student ridership with Cal Poly University. Contract agreement and the level of funding is currently unknown. level of future funding but 83% evening service riders are Cal Poly related and will need at least$102,000 above existing FY 2011 level to keep service viable. The Federal Transit Administration(FTA)funding is currently unknown due to Federal Budget crisis. Goal and Policy Links 1. 2011-13 Major Council Goal for Traffic Congestion Relief 2. Climate Action Plan 3. General Circulation Element 4. Operating Program Goals of Vehicle operations;administration and facility and bus stop maintenance Service Categorization Criteria 1 =Mandated Program Work Completed Preliminary budget forecast,identify demographics of passengers likely to be affected Environmental Review No environmental review required in this section. Program Constraints and Limitations I A significant obstacle will be time frame to implement as need to hold public hearings via Mass Transit Committee(MTC)and Council in advance of July 1,2011 B2-288 ■ ORTATION TRANSIT SUNDAY SERVICES REDUCTION Stakeholders SLO Transit Passengers; MTC Advisory Body members, City Transit staff, bicyclist and pedestrians will be affected by the implementation of SLO Transit marketing plan and public outreach. Implementation The augmentation to the Transit Services to reduce Sunday Services will be effective October 1,2011,upon the implementation of the City's 2011-13 Financial Plan. 1 I. Eliminate SLO Transit Sunday Services effective July 1,2011 October 2011 2. Reduce Purchased Transportation budget b $23,400 October 2011 Key Program Assumptions 1. Assumes TDA, State Transit Assistance (STA) and the California Polytechnic University (Cal Poly) funding remain at current levels or above. 2. Assumes the San Luis Obispo Regional Transit Authority (SLORTA) budget costs increase at a reasonable rate. Program Manager and Team Support Program Manager. Transit Manager Project Team. Transit Services and Public Works Administration staff. Alternatives Continue the Status Quo. Delay until more detailed funding information is available in FY 2012 Change the Scope of Request Identify low ridership trips on all routes including weekday and reduce.service by Novembei 30,2012 Implementation in a Different Way. Seek additional Cal Poly related funding in proportion to demographics Operating Program Transit Services(50700) Cost Summary, This decrease in Sunday services to the Transit Services division operating budget would save approximately $23,400 in 2011-12 and$31,200 in 2012-13. Auxb=N'o. 2611-1 M143 Pr d=ad 530-5m00-7337 23,400 31,200 Total Operaft Costs 400 31 B2-289 2011-13 Operating Cost m.aduction Options - PUBLIC WORKS DEPARTMENT Description Service Impact Temp Regular 2010-11 Annual Savings SOPC Service Staffing Staffing Budget 2011-12 .2012-13 P- rIty .+ 3 ,. •: .i '... .. _- •::��:.rsur.{,a,. : .,, -K. �.rRankN. -_ r cam--^,. _••1__.^r '.... c KiL. i�:'r`i,Y G!.szFn.�¢. .r_: —_•r4 ns>-.s. . ,. '.: i r vc:.rz- :4xsS53i4.I�u.�u`.-Js`_`—'-'...w'xl_. =:i=•vxx'7•- .: Parlding Current contract $53,500 $12,500 $12,500 3 Services is about$50,000 Division annually. Reduce Landscape Staff has met and with the Pruning contractor Service (Temris Contracts Landscape)and they are willing Reduce the to reduce the Parking contract by 25%. Landscape This reduction in contract by service-level will 25%. limit the frequency of No offsetting pruning and is revenue not expected to substantially Effective July affect parking 1,2011 area landscaping. This work will be preformed at the sarne frequencies but with a reduction in service levels. TOTAL 0-00-- 0.00 $12 500 $12 00 _ B2-290 2011-13 Financial PIaA BUDGET REDO • Fire Department Operating Cost Reductions Regular Annual Savings Service Staffing 2011-12 2012-13 Category Eliminate one fulltime Administrative Assistant position 1.0 74,700 78;300 3 Backfill three vacant firefighter positions with overtime 3.0 48,800 70,500 2 Reduce the fulltime Fire Inspector III position to .75 time 0.25 30,900 31,100 1 Reclassify T Officer to Captain 16;100 32,500 2 Temporary Closing of Fire Station 3 432,700 394,500 2 Total Operating Cost.Reductions 4.25 603,200 606,900 Total Operating Cost Reductions _ B2-291 2011-13 Operating Cost Reduction Optionsi� aCh ' 'gt FIRE DEPARTMENT I)escription Service Impact 2011-12 Temp Regular Annual Savings SOPC Servie-e Budget Staff Staffing 2011-12 2012-13 Category e V ��iieti.' - '`•• .'-s�'�-'Y rs"i`•j•` ..' _>v. W1,11 " ,..a`��=p; , .•rc. .ni._i_ b irsd::. F a-•'+��,.':`:F' ' v�-,q�Fas k a L i • ..:!1'4vua.:u6:F.n_ .... ._'YEi'SN;iI M...kv�v.- f,kn`•-'rd- T::L-xM'��,"r!i r. rS•, �r 1. Eliminate one fnlltime Currently,them are two 74,700 1.0 74,700 78,300 X 3 Administrative Administrative Assistant position.This Assistant positions in option affects regular Fire Administration. staffing costs. The This reduction reduction would be eliminates one of the implemented on July 1, Administrative 2011. Assistant positions which could result in the following reduced levels of service: 1.Availability as a receptionist,inability to provide a high level of customer service to both external and internal customers,due to reduced"open" telephone and counter reception time. 2.Complying with the. requirements dealing with processing subpoenas. 3.Supporting the review and preparation of employee time card information. 4.Tracking fees and other moneys collected. 5.Supporting the Administrative Analyst with Accounts Payable duties. 6.Additionally,other tasks will be eliminated or reduced Administrative support for the internal programs as well as tasks which impact other departments will be evaluated and prioritized for future continuation. Further explanation is provided in the SOPC. I I i B2-292 Attachment 5 2011-13 Operating Cost R. .action Options FIRE DEPARTMENT , :aFe� OM R2.Baddi l three vacant There ate cost savings 300,800 3.0 48,800 70,500 X 2 Firefighter positions when backfilling a Salary with overtime.This vacant firefighter and option decreases regular position with overtime benefits staning costs and versus hiring new increases overtime for a personnel. (252,000) net savings. Part of the This does not result in reduction would be any reduction of service Overtime implemented on July 1, level-Further 2011 with one vacant explanation is provided position.Two positions in the SOPC. - are currently filled. The two additional vacancies are anticipated by January 2012. .. _.. spa i�37i ^m�...4`i , i `-�S.''2 "' E ,�.•er - _ _ .�;.�kc��x, x. R Notion- 3.Reduce the Fire This reduction in the 123,400 .25 30,900 31,100 X 1 Inspector III position Fire Inspector III from fulltime to.75 position from fulltime time.This option to.75 could result in decreases regular staffing increased tum around costs.The position is time for fin safety plan currently filled. The reviews,impacting reduction would be customer service. implemented on July 1, Further explanation is 2011. provided in the SOPC. �. __._ .a;_.r._. x .^ �-1:T. � �ri�i �• •3�i'_"=-_v a-t �`��r _ ..0:.s � - d 4.Redassify position of Reclassify the position 220,500 16,100 32,500 X 2 R Training Battalion of Training Battalion 'graining Chief to Training Chief to Captain. This BC Captain. This option will maintain service decreases regular staffing leveL In addition,it will costs.The position is increase our cadre of (190,500) currently filled with a training officers from Training retirement anticipated in one to three by sharing December 2011. The resources with the Captain reclassification would be County Fite implemented January 1, Deparanent.Further 2012. explanation is provided in the SOPC. 5.Temporary Closing of This reduction would 830,000 432,70 394;50 X 2 Fire Station 3.This temporary close Fire 0 0 option decreases Station 3 as a result of overtime expenditures. reduced staffing.If The reduction would be staffing fails below 14 implemented on January personnel per shift(as a 1,2012. result of vacation,sick leave,etc.)the position would not be backfilled. B2-293 2011-13 Operating Cost Reduc..on Options FIRE DEPARTMENT This could occur for up to 3 Emergency Response personnel per shift.This will result in a reduced level of service; L.Longer response times to emergencies in the geographic area of the empty fire station compromising the welfare of the public. 2.Inability to accomplish critical tasks in timely manner due to fewer personnel on scene. 3.Compromise safety of response personnel on a large or dynamic incident 4.Increase reliance on surrounding fire departments and off- duty personnel, resulting in slower mitigation of the incident. 5..Limits ability to respond to simultaneous incidents.. Further explanation is provided in the SOPC. TOTAL 0 4.25 603,20 606,90 0 0 B2-294 PUBLIC ELEVE NATE ONE FULLTMI M,ADMINISTRATIVE ASSISTANT POSPI`ION Request Summary Combine the two Administrative Assistant positions into one Administrative Assistant position and redefine the duties of the remaining position.This reduction will save$74,700 in 2011-12 and$78,300 in 2012-13. Key Objectives Eliminating one fulltime Administrative Assistant position will save the Fire Department$74,700 in 2011-12 and $78,300 in 2012-13 and assist the Department in meeting its cost reduction goal. Eliminating the position may result in the following service reductions: 1. Inability to provide a high level of customer service to both external and internal customers, due to reduced "open' telephone and counter reception time (closure of office at 3:00 p.m. daily or earlier.if staff unavailable to respond to front desk/reception responsibilities). 2. Inconsistency in mail distribution and other business at City Hall. 3. Complying with the requirements of processing subpoenas. 4. Supporting the review and preparation of employee time card information. 5. Tracking fees and other moneys collected. 6. Supporting the Administrative Analyst with Accounts Payable duties. 7. Coordination of the Public Education.program which may lead to a reduction or elimination of the public education programs provided by tkeFire Department. Exisimg Situation: Factors Driving the Need for Change As part of the Citywide effort to close a 2011-13 budget gap, and to address the projected on-going budget gap beyond 2013, the Fire Department is proposing to eliminate one fulltime administrative assistant position as a budget reduction option from our operating budget. Salary and benefits comprise 96% of the Fire Department operating budget. The Fire Chief's full time Administrative Assistant III position has been vacant for 3 months and critical tasks are not being performed. The result is inefficiency which is prohibiting the Fire Department to function at an acceptable level. Examples of duties and responsibilities not being performed are the following: adequate maintenance of calendar and coordination of schedules, project research and report preparation, reviewing reports prepared for the City Council and City" Administrative Officer, preparation of Council Agenda Items, attend and record the minutes of various committees, follow-up on decisions, preparation of detailed and confidential correspondence, organizing and maintaining .various administrative, confidential, reference and follow-up files,provide work direction,review and instruction to office and or volunteer staff on projects. Goal and Policy Links 1. Fiscal sustainability of City. 2. Meeting Fire Department budget reduction target for 2011-13. Service Categorization Criteria Functions for Proper Organizational Management#3 { B2-295 IPUC ELIlVIINATE ONE FULLTIME ADMINISTRATIVE ASSISTANT POSITION Program Work Completed As stated,.San Luis Obispo Fire Department has been operating without a fulltime Administrative Assistant III for 3 months. "Crossover" duties (between the Admin II and III positions) have already.occurred which necessitates the need for the reclassification. Environmental.Review No Environmental Review required. Program Constraints and Limitations The redistribution of duties assigned to this position will cause an increase or shift in workload for other employees. Certain services performed would be eliminated;.response and availability to the public could be delayed. Stakeholders 1. Other employees in the Fire Department and other City departments. 2. Members of the Community. i Implementation task Date L1. Eliminate one fulltime Administrative Assistant position and reassign or discontinue July 2011. current services and responsibilities assigried to this position. Key Program Assumptions With'a re-prioritization of duties, the transfer of the current Administrative Assistant 11 to the Fire Chief's Administrative Assistant Il], and subsequent elimination of the Administrative Assistant II position, SLOFD will reduce services that would be performed by the Administrative Assistant II. Since the reduction of temporary staffing effective July 1, 2010 and the retirement of the Administrative Assistant IIT effective November, 2010 there has been an ongoing evaluation and reorganization of workload for the Administrative staff and Administrative Assistant III in the Fire Prevention Bureau. Services have been reduced,transferred or eliminated as a result of.the ongoing reduction of administrative staff. Program Manager and Team Support Fire Chief and Fire Administrative Division Staff Alternatives Rather than eliminate the position, reduce the position to half-time, in order to help mitigate the impact. This option would not realize as much savings for the City. B2-296 PUBLIC SAFEITY ELIMINATE ONE FULLTDa ADMINISTRATIVE ASSISTANT POSITION Operating Program Fire Administration(85 100) Cost Summary LineItemD TEM,on Account No. 201142 2012-13 Salaries-Regular 100-85100-7010 47,400 49,900 Retirement Contributions 100-85100-7040 15,300 16,400 - Health and Disability Insurance 100-85100-7042 11,100 11,100 Medicare 100-85100-7044 700 700 Une to entInsurance 100-85100-7046 200 200 Total Operating Costs 1 74,700 1 78,300 B2-297 P SAFETY e BACK-FILL THREE VACANT FIREFIGHTER POSPfIONS WITH OVERmm Request.SummmT Allowing a maximum of three Firefighter vacancies to be back-filled with overtime rather than hiring new personnel will save$48,800 in2011-12 and$70,500 in 2012-13. Key Objectives Backfilling three vacant Firefighter positions with.overtime will save the Fire Department an estimated$48,800 in 2011-12 and $70,500 in 2012-13 and assist the Department in meeting its budget reduction goal. This will not result in any reduction in service level. Eidsting Situation:Factors Driving the Need for Change As part of the Citywide effort to close a 201.1-13 budget gap, and to address the projected on-going budget gap beyond 2013,the Fire Department is proposing to back-fill three vacant firefighter positions with overtime as a budget reduction option from our operating budget. Salary and benefits comprise 96% of the Fire Department operating budget. Currently there is one vacant Firefighter position. It is anticipated that two additional vacancies will occur by December due to attrition. Back-filling the positions with overtime are a key element of meeting the Department's budget reduction goal. Goal and Policy Links 1. Fiscal sustainability of City. 2. Meeting Fire Department budget reduction target for 2011-13. Service Categorization Criteria The major emphasis of Firefighters is to respond and mitigate emergencies,such as fires,medical,hazardous materials,rescues,etc.This activity is a service priority ranking#2. Program Work Completed A preliminary meeting with International Association of Firefighters, Local 3523 was conducted. They are requesting a"side letter". Environmental Review No Environmental Review required. Program Constraints and Limitations The only constraint or limitation to implementing this program is a "side letter" from the International Association of Firefighters,Local 3523. B2-29V Attachment .,_ PUBLIC SAFEITY BACK-FILL THREE VACANT FIREFIGHTER POSITIONS WITH.OVERTWE Stakeholders Internal Stakeholders have been engaged in the resource impacts associated with budget reduction. Implementation [DateTask Fl_ the vacant Firefighter Position with Firefighters working overtime July 2011 2. Back-fill the two vacant Firefighter Positions with Firefighters working overtime January 2012 The two remaining vacancies are anticipated to occur on or before December 2011 due to attrition. Key Program Assumptions The key program assumption is that there is one vacant firefighter position and that two additional firefighter vacancies will occur by January 1, 2012. One vacant firefighter position with salary and benefits is estimated at $150,400 in 2011-12 and $155,500 in 2012-13. Annual overtime to back-fill the vacant position is estimated at $126,000 per vacant position. Leaving up to three firefighter positions vacant and backfilling the positions with overtime will save money. Program Manager and Team Support The Battalion Chiefs will have oversight of our staffing. Alternatives Hiring new firefighters to fill the vacant positions would not result in an estimated savings of$48,800 in 2011-12 and$70,500 in 2012-13. Operating Program Emergency Response(85200) i B2-299 PUBLIC BACK-FILL THREE VACANT FIREFIGHTER POSITIONS WITH OVERTIME Cost Summary Line Item Description Account No 201142 201243 . -: .ri. c a_-�i�.:��ei':.r9yr_,� r 1,•�,- i• . .i;5'i m.-- .. i.-4` _ — .. .s�:i Y :�:a. !_. 'r::�r:Iti^;.� Y°:7•is-cul""l:dl�^^:a ...QCT[4 ��:ii�q?a:'a: : ••s�. �.. _ --x-.. _u....::a:r _.+:-c-_S.anlP.i:.r.•ex.._i�ql!:. 4 �. ..:�i::c:.0 Tir. Salaries Regular V I00-85200-7010 166,400 261,000 Holiday 100-85200-7016 7,600 11,700 Uniform 100-85200-7018 1,600 2,400 FLSA Overtime 100-852004021 4,400 6,600 Retirement Contributions 100-85200-7040 97,000 149,100 Health and Disability Insurance 100-85200-7042 20,400 30,600 Medicare 100-85200-7044 2,800 4,200 Unemployment Insurance 100-.85200=7046 600 900 Tota10-eratin Costs -- 300,8004-667S-001 Ojfseuing CosLc Savings or Revenuer Overtime - - (252,000) 396,000 Net gpemfing Costs 48.800 70,500 f I B2-300 tz 'PU C REDUCE THE FULLTRAE,FIRE INSPECTOR-III POSITION TO .75 TIME Request Summary Reducing the fulltime Fire Inspector III position to_75 time effective July 1, 2011 will save$30,900 in 2011-12 and$31,100 in 2012-13. - Key Objectives Reduce on-going projected budget gap by reducing staffing levels. Reducing the hours of the Fire inspector III position will save the Fire Department an estimated $30,900 in 2011-12 and $31,100 in 2012-13 and assist the Department in meeting its budget reduction goal. Eidsting Situation:Factors Driving the Need for Change As part of the Citywide effort to close a 2011-13 budget gap, and to address the projectedon-going budget gap beyond 2013,the Fire Deparhnent is proposing:to reduce the fulltime Fire Inspector III position to_75 time as°a budget reduction option from our operating budget. Salary and benefits comprise 96% of the Fire Department operating budget Reducing this position from full time to .75 time is a key element in meeting with the Department's budget reduction goal. This action in all probability will increase the turn around time for fire safety plan reviews, impacting customer service. Goal and Policy Links 1. Neighborhood Wellness. 2. Fiscal sustainability of City. 3. Meeting Fire Department budget reduction target for 2011-13. Service Categorization Criteria The major emphasis of the Fire Prevention Bureau is to conduct fire and life safety inspections.This activity is a service priority ranking#1 as required by local and state laws. Program Work Completed Preliminary meeting with International Association of Firefighters,.Local 3523 was conducted. Environmental Review No Environmental Review required. Program Constraints and Limitations This is a meet and confer item with International Association of Firefighters, Local 3523. Reducing the position to .75 time will in all probability increase the turn around time for fire safety plan reviews,impacting customer service. The Fire Prevention Bureau will review work processes to determine if additional efficiencies can be developed to allow for existing workload to be accomplished within the required timeframe or if work duties need to be transferred to another individual or eliminated. B2-301 IPUBLIC SAFETY REDUCE THE FULLTM FIRE INSPECTOR III POSITION TO .75 TIME Stakeholders Internal Stakeholders have been engaged in the resource impacts associated with this budget reduction. . Implementation Task Date 1. . - 1. Reduce current full time.Fire Inspector III Position.to.75 time July 2011 Key Program Assumptions The key program assumption is the number of fire and life safety inspections will remain at or near the current level. An increase in building construction will create a proportionate increase in revenue at which time the Fire Department will request funding the Fire Inspector 111 position be reinstated to fulltime: Program Manager and Team Support The Fire Marshal will have oversight. Alternatives Maintaining the status quo would not result in savings of$30,900 in 2011-12 and$31,100 in 2012-13. Operating Program Fire Prevention Bureau(85300) Cost Summary Line Item Dese ' Account No 201142 2012-13 Salaries-Regular 100-85300-7010 21,000 21,000 Retirement Contributions 100-85300-7040 6,800 7,000 Health and Disability Insurance 100-85300-7042 2,500 2,500 Medicare 100-85300-7044 300 300 Unemployment Insurance 100-85300-7046 100 100 Uniforms 1 100-85300-7018 200 200 Total Operating Costs 30,900 31,100 I B2-302 A ChMgnt� PUBLIC SAF�TY RECLASSIFY POSITION OF TRAINING BATTALION CHIEF TO TRAINING CAPTAIN Request Summary Reclassifying the position of Training Battalion Chief to Training Captain in January 2012 will save$16,100 in 2011-12 and$32,500 in 2012-13. Key Objectives The reclassification of the Training Officer will save the Fire Department $16,100 in 2011-12 and $32,500 in 2012-13 and assist the Fire Department in meeting its budget reduction goal.This will not result in any reduction in service level. In addition it will increase our cadre of Training Officers from one to three by sharing resources with CalFireJSan Luis Obispo County Fire Department Existing Situation: Factors Driving the Need for Change As part of the Citywide effort to close a 2011-13 budget gap,and to address the projected on-going budget gap beyond 2013, the Fire Department is proposing to reclassify the Training Officer position as a budget reduction option from our operating budget.Salary and benefits comprise 96% of the Fire Department operating budget -Reclassifying the position is a key element of meeting the Department's budget reduction goal. Goal and Policy Links 1. Fiscal sustainability of City. 2. Meeting Fire Department budget reduction target for 2011-13. Service Categorization Criteria The major emphasis of the Training Officer is the development,delivery,and tracking ofin-service training, some of which are State and Federal mandates.This is a service priority ranking#2: Program Work Completed A preliminary meeting with CalFire/San Luis Obispo County Fire:Department regarding sharing of Training Officer Resources has been conducted.Initial discussions have occurred with the San Luis Obispo Fire Battalion Chiefs Association and International Association of Firefighters,Local 3523. Environmental Review No Environmental Review required. Program Constraints and Limitations This is a meet and confer item with the San Luis Obispo Fire Battalion Chief s Association and International Association of Firefighters,Local 3523. Stakeholders Internal and external stakeholders have been engaged in the impacts associated with the SOPC. B2-303 IPUBLIC SAFETY RECLASSIFY POSITION OF TRAINING BATTALION CHIEF TO TRAINING CAPTAIN Implementation The reclassification will occur January,2012 following.the retirement of the current Battalion Chief in December 2011. .. - 1. Reclassify the position to Training Captain and assign a Captain as the Training Officer. January 2012 Key Program Assumptions Reclassifying the Training Officer position from a Battalion Chief to a Captain will enhance our training program. It will allow us to share resources with CalFire/San Luis Obispo County Fire Department Training Division's team of Captains. Program Manager and Team Support San Luis Obispo Fire Department and CalFire/San Luis Obispo County Fire Department will.both oversee the sharing of training resources. Alternatives Maintaining the status quos would not result in a.savings of$16,100 in 2011-12 and$32,500 in 2012-13. Eliminating the Training Officer position would seriously compromise our ability to meet mandated training requirements. Combining the Training Officer position with the Fire.Marshal is not recommended due to the workload and special requirements/certifications of each position. Operating Program Fire Department Training(85400) B2-304 Attachment 5. :PUBLIC SAFEtY RECLASSIFY POSITION OF TRAINING BATTALION CHIEF TO TRAINING CAPTAIN Cost Summary Line Item Dese 'pdon Account No. 201112 7012-13 '. .... ,J: - a�y.:3_:r..•?ib.. �..y.yr]i''d �t'1ti Ti'::- _ ^�' . SatariesRegular 100-85400-7010 74,100 148,200 Uniform 100-85400-7018 400 . 800 Retirement Contributions 100-85400-7040 29,000 59,800 Health and Disability Insurance 100-85400-7042 5,400 10,700 Medicare 100-85400-7044 1,100 .... 2,200 Unemployment Insurance 100-85400-7046 300 600 Total Operating Costs 110,300 222,300 Offsetting Cost Salaries regular 100-85400-7010 (57,400) (114,800) Uniform 100-85400-7018 (400) (800) Retirement Contributions 100.85400-7040 (30,200) (61,900) Health and Disability Insurance 100-85400-7042 (5,100) (10,200) Medicare 100-85400-7044 (900) (1,700) Unemployment Insurance 100-85400-7046 (200) (400) Offsettin Cos (94,200) 189,800) INet.Operating Costs 16,100 32 500 B2-305 iPUBLIC SAFETY RECLASSIFY POSITION OF TRAINING BATTALION CHIEF TO TRAINING CAPTAIN Request Summary. Reclassifying the position of Training Battalion Chief to Training Captain in January 2012 will save$16,100 in 2011-12 and$32500 in 2012-13. Key Objectives The reclassification of the Training Officer will save the Fire Department $16,100 in 2011-12 and $32,500 mi 2012-13 and assist the Fire Department in meeting its budget reduction goal.This will not result in any reduction in service level. In addition it will increase our cadre of Training Officers.from one to three by sharing resources with CaIFire/San Luis Obispo County Fire Department. Existing Situation:Factors Driving the Need for Change As part of the Citywide effort to close a 2011-13 budget gap, and to address the projected on-going budget gap beyond 2013,the Fire Department is proposing to reclassify the Training Officer position as a budget reduction option from our operating budget. Salary and benefits comprise 96%of the Fire Department operating budget Reclassifying the position is a key element of meeting the Department's budget reduction goal. Goal and Policy Links 1. Fiscal sustainability of City. 2. Meeting Fire Department budget reduction target for 2011-13. Service Categorization Criteria The major emphasis of the Training Officer is the development,delivery,and tracking of in-service training, some of which are State and Federal mandates.This is a service priority ranldng#2. Program Work Completed A preliminary meeting with CalFire/San Luis Obispo County Fire Department regarding sharing of Training Officer Resources has been conducted Initial discussions have occurred with the San Luis Obispo Fire Battalion Chief's Association and International Association of Firefighters,Local 3523. Environmental Review No Environmental Review required. Program Constraints and Limitations This is a meet and confer item with the San Luis Obispo Fire Battalion Chief's Association and International Association of Firefighters,Local 3523. Stakeholders Internal and external stakeholders have been engaged in the impacts associated with the SOPC. B2-306 A chmGM- PUBLIC SAF�TY RECLASSIFY POSITION OF TRAINING BATTALION CIF TO TRAINING CAPTAIN Implementation The reclassification will occur January,2012 following the retirement of the current Battalion Chief in December 2011. Date 1. Reclassify the position to Training Captain and assign a Captain as the Training Offim-r- 1 January 2012 Key Program Assumptions Reclassifying the Training Officer position from a Battalion Chief to a Captain will enhance our training program. It will allow us to share resources with CalFire/San Luis Obispo County Fire Department Training Division's team of Captains. Program Manager and Team Support San Luis Obispo Fire Department and CalFire/San Luis Obispo County Fire Department will both oversee the sharing of training resources. Alternatives Maintaining the status quos would not result in a savings of$16,100 in 2011-12 and$32,500 in 2012-13. Eliminating the Training Officer position would seriously compromise our ability to meet mandated training requirements. Combining the Training Officer position with the Fire Marshal is not recommended due to the workload and special requirements/certifications of each position. Operating Program Fire Department Training(85400) BZ-307 ------ _ ........ .... PUBLIC RECLASSIFY POSMON OF TRAINING BATTALION CR EF TO TRAINING CAPTAIN Cost Summary Line ltemDeserion AeconntNo. 2011-12 2012-13 .a ,C. rz•:�_mad'I i°'���.�u; =n�.�is, u :� 4.•'' ^'SuiFASF".f'r ,—rir „pj �. i }}rr pn'� . Salaries Regular 100-85400-7010 74,100 148,200 Uniform 100-85400-7018 400 800 Retirement Contributions 100-85400-7040 29,000 59,800 Health and Disability Insurance 100-85400-7042 5,400 10,700 Medicare 100-85400-7044 1,100 2,200 Unemploymentlusurance 100-85400-7046 300 600 Total Operating Costs 110,300 222,300 Offsetting Cost Salaries regular 100-85400-7010 (57,400) (114;800) Uniform 100-85400-7018 (400) (800) Retirement Contributions 100-85400-7040 (30,200) (61,900) Health and Disability Insurance 100-85400-7042 (5,100) (10,200) Medicate 100-85400-7044 (900) (1,700) Unemployment Insurance 100-85400-7046 (200) (400) Offsetting Cos (94,200) 189,800 Net Operating Costs 16,100 32500 I B2-308 TEMPORARY CLOSING OF FIRE STATION 3 Request Snmmary Temporary closing Fire Station 3 when emergency response staffing falls below 14 personnel per shift effective January 1,2012 will save$432,700 in 2011-12 and$394,500 in 2012-13 to meet budget reduction target. Key Objectives Reduce on-going projected budget gap by reducing staffing levels. Existing Situation:Factors Driving the Need for Change As part of the Citywide effort to close a 2011-13 budget gap, and to address the projected on-going budget gap beyond 2013, the Fire Department is proposing the temporary closure of Fire Station 3 as a budget reduction option from our operating budget. Salary and benefits comprise 96%of the Fire Department operating budget. Daily emergency response staffing is 14 positions per 24 hour shift. The decrease in daily emergency response staffing of up to 3 personnel per 24 hour shift will occur when a firefighter is scheduled to work but is off duty due to vacation,illness,injury, mutual aid assignment, etc. Currently the contract requires another firefighter to work overtime to meet the constant staffing requirement of 14 firefighters per shift. This proposed staffing reconfiguration will save the Fire Department an estimated $432,700 in 201.1-12 and $394,500 in 2012-13 and assist the Fire Department in meeting its budget reduction goal of$579,000. This will result in a reduced level of service 1. Longer response times to emergencies in the geographic area of the empty fire station compromising the welfare of the public. 2. Inability to accomplish critical tasks in a timely manner due to fewer personnel on scene. 3. Compromise safety of response personnel on a large or dynamic incident. 4. Increase reliance on surrounding fire departments and off-duty personnel, resulting in slower mitigation of the incident. 5. Limits ability to respond to simultaneous incidents. Fire Station 3 was selected due to geographic accessibility to Fire Station 3's area from neighboring Erre stations. Goal and Policy Links 1. Preservation of Essential Services and Fiscal Health. 2. Fiscal sustainability of City. 3. Meeting Fire Department budget reduction target for 2011-13. Service Categorization Criteria The major emphasis of Fire Department Operations is the quick&safe mitigation of various emergencies, namely calls for Emergency Medical Service,fires,rescues,hazardous materials,etc.This activity is a service priority ranking#2. B2-309 !PUBLIC SAFETY TEMPORARY CLOSING OF FIRE STATION 3 Program Work Completed Initial research on the estimated savings has been conducted and Fire Station 3 has been selected for temporary closure. Environmental Review No Environmental Review required. Program Constraints and Limitations..... . There are significant constraints and limitations to implementing this budget reduction.It is anticipated there will be negative community reaction to the occasional closure especially by the immediate neighborhood impacted by a slower response time because local Fire Station 3 is closed. As.this is a meet and confer with International Association of Firefighters, Local 3523,the Fire Department estimated the earliest start date for January 1,2012 which would condense the time available to meet the budget reduction of$425,000 requirement in 2011-12 resulting in four to six month closure between January 1,.2012 and June 30,2012 of Fire Station 3. Stakeholders Internal and external stakeholders have not yet been engaged in the impacts associated budget reduction proposal. i Implementation Task Date 1. Temporary closing Fire Station 3 January 2012 Key Program Assumptions The temporary closing of Fire Station 3 will save money as result of a reduced overtime.The consequences will be a decrease in the level of service from cement levels. Achieving this budget reduction will require"understaffing"of up to three firefighters per shift for a total of 410 -24 hour shift positions in 2011-12 and 381 -24 hour shift positions in 2012-13.The estimated saving per"shift position"is $1,034. This would be$1,034 for understaffing one position, $2,068 for understaffing two positions and$3,102 for understaffing three positions per 24 hour shift. For 2011-12 budget savings in overtime,assuming the budget reduction is effective January 1,2012: Understaffing three persons per 24 hour shift(three shift positions)will accomplish this budget reduction in 139 shifts resulting in closure of Fire Station 3 for approximately four months, 19 days during a six month period. Understaffing of two persons per 24 hour shift(two shift positions)will accomplish this budget reduction in 209 shifts resulting in closure of Fire Station 3 for the entire six months. Program Manager and Team Support The Fire Chief will have oversight. B2-310 TEMPORARY CLOSING OF FIRE STATION 3 Alternatives Maintaining the status quo would not result into an estimated savings of$432,700 in 2011-12 and S394,500 in 2012-13. Staffing a 2-person engine company is unacceptable and inefficient in an urban setting such as SLO (due to call volume, number of target hazards and type of responses). Reducing the tiller truck to only 3 personnel would severely compromise their ability to perform the tasks/duties in a safe and efficient manner. Operating Program Emergency Response(85200) Cost Summary L u hem D 'on Account Noj 2011-12 2012-13 Overtone 100.85200-7020 432,700 394,500 Total Operating Costs 432,700 394,500 B2-311 201143 Financial Plan REDUCTIONOPTION Public Utilities Operating Cost Reductions Regular Annual Savings Service Staffing 2011-12 2012-13 Category Water Source of Supply-Salinas Reservoir Operations 675,900 1,135,900 2 Water Source of Supply-Whale Rock Reservoir 91,600 91,600 2 -- Water Treatment-utilities,chemicals,contract services 42,200 25,900 1 Water Distribution-utilities 14,600 14,600 1 Wastewater Collection:-utilities 5,000 5,000 1 Water Reclamation Facility-utilities 7,000 - 1 Water Reclamation Facility-chemicals 32,000 7,000 1 Water Quality Laboratory-lab services and supplies 18,000 18,000 1 Total O watin Cost Reductions - 886,300 1 1298,000 i I B2-312 2011-13 Operating Cost ...-duction Options PUBLIC UTILITIES Description Service Temp Regular 2011-12 Annual Savings SO1PC Service Impact Staffing Staffing Budget 2011-12 2012-13 Category G" 34==-zny"Sfi' y `rct-: `�.is`mu�F:.•:..: 7�I:'"iBroy'u:�cN INIMP[ r.: - Salinas Reservoir Services will 1,901,000 675,900 1,135,900 X 2 Operations. This not be reduction option impacted by recognizes changes the cost in resource reduction. requirements for Adequate capital reserves funding will associated with maintaining the have been Salinas.Reservoir achieved for water supply to the pending City.The San Luis capital Obispo County improvement Flood Control and s.This action Water Conservation aligns District is the resource with agency responsible funding for the Salinas Reservoir water requirements. supplyerations. Whale Rock Services will 555,500 91,600 91,600 X 2 Reservoir.Adding not be the Nacimiento Lake impacted by water supply as a the cost pay`ate reduction but source for the City it will be reduces the amount of water required critical for from Whale Rock operations to Reservoir.Reducing carefully water deliveries balance the from Whale Rock City's water will reduce the supply amount of electricity portfolio to required to PUMP minimize use water to the water of water from treatment plant in Whale Rock proportion to reductions in the Reservoir. amount of water Whale Rock which the City has will become deliver d from the third Whale Rock source of Reservoir. This water supply reduction is$91,600 for the City annually in 2011-13. behind Nacimiento and Salinas. B2-313 201143 Operating Cost RetA.,ction Options PUBLIC UTILITIES Description Service Temp Regular 2011-12 Annual Savings SOPC Service Impact Staffing Staffing Budget 2011-12 2012-131 1 Category Utilities,chemicals, Services will 612,500 42,200 25,900 X 1 contract services. not be Electric utility, impacted as chlorine chemicals 1)a favorable and contract services bidding will be reduced. climate Chemical bids came in favorably-,State afforded this inspection fees have cost been reduced due to reduction lower oversight option and 2) required now that operational process changes efficiencies related to the reduced the treatment plant level of upgrade are fully oversight dialed in.Electric needed for demand for water treatment reduced the water due to a reduction in treatment the amount of water plant at the b ' treated. State level. MIR Utilities.Due to Services will 46,200 14,600 14,600 X 1 increased energy not be efficiencies resulting impacted as from recent physical infrastructure infrastructure replacements and the reprogramming of improvement control systems and s resulted in processes electrical this cost usage will be reduction decreased: option Utilities.Due to Services will 25,700_ 5,000 5,000 X 1 increased energy not be efficiencies resulting impacted as from the new Tank physical Farm Lin Station, infrastructure which replaced two improvement older,less energy efficient lift stations, s resulted in electrical usage will this cost be decreased reduction option I B2-314 2011-13 Operating Cosceduction Options PUBLIC UTILITIES Description Service Temp Regular 2011-12 Annual Savings SOPC Service Impact Staffing Staffing Budget 2011-12 201243 Category . ...."_.. ..a ..-.. ..'...._. v _..T '- ' `F�S�iFiraa.':.:...m. '''s]x'4ii' ,.F•.. _^f•4u�.y'4 a_ �a�; i 4 Utilities.Based on Services will 33,800 7,000 r 0 X 1 natural gas usage not be trends and with level impacted by or slight decreases in this one-time natural gas pricing budget in recent years,plus a zero rate change reduction in projected for natural natural gas gas in 2011-12,this utility based allows for a one- on current time budget usage trends reduction in natural and natural gas utility at the gas rates Water Reclamation remaining Facility level in 2011- 12. Chemicals.Process Services will 449,600 32,000 7,000 X 1 chemicals and not be chlorine bids came impacted as a in favorably which favorable reduces the amount bidding of funding required climate to purchase these items. afforded this COOL reduction tion - _- ; • 21M.WRE 12 - - EM- Laboratory Current 1170700 18,000 18,000 X 1 Services and service levels Supplies.Pilot will not be studies on impacted- alternative disinfection and chlorine dioxide methods are Meted,this allows for a budget decrease in lab services and supplies. TOTAL 0 0 397429000 886,300 1 98 000 B2-315 PUBLIC UTILITIES SOURCE OF SUPPLY: SALINAS RESERVOIR OPERATIONS BUDGET REDUCTION Request Summary Ensuring efficient and reliable operations of the Salinas Reservoir by providing 'appropriate funding levels for capital projects to the San Luis Obispo County Flood Control and Water Conservation District, the agency responsible f6r the Salinas Reservoir water supply operations,required the City to increase its contribution to the District over ale last several years. Sufficient reserves required for capital projects are nearly funded and it is now time to start ramping down reserve contributions.This action will result in a budget reduction of$675,900 in 2011-12 and a budget reduction of$1,135,900 in 2012-13. These reductions bring.the City's payment down to $725,000 in 2012-13 representing the projected base operating and minor capital budget levels for Salinas Reservoir Operations.after funding a booster pump station upgrade capital project. Key Objectives 1. Continuing to ensure a safe and reliable source of water to meet the City's demand. 2. Providing adequate budget to maintain and operate the Salinas dam and water delivery system. 3. Meeting projected operational and capital expenses,while minimi.zing zing rate impacts. 4. Maintaining a structurally balanced budget for Salinas Reservoir water supply operations. Eidsting Situation:Factors Driving the Need for Change 1. The San Luis Obispo County Flood Control and Water Conservation District operates Salinas Reservoir under contract with the Army Corps of Engineers. Through the payments in the City's Source of Supply program, the City pays for the total cost of operating and-maintaining Salinas Reservoir and delivery system for transporting raw water to the City's water treatment plant. The City also pays the County Parks for lake water quality patrol services. 2. As part of the 2009-11 Financial Plan process the City's Source of Supply payment for Salinas Reservoir Operation was increased by $25,000 (from $625,000 to $650,000) in 2009-10 and 'increased by $1,235,900 (to $1,860,909) in 2010-11. The approved budget increases provided funding towards the capital project design and construction for a booster pump station upgrade,with capital project costs estimated at$238,800 for design and$1,052,200 for construction. 3. The booster pump station upgrade project design is complete. Advertising for construction bids is planned for spring 2011.The original project budget estimate is in-line with the current project cost estimates. At tirric of bid award, further project cost information will be available. Construction is currently planned to begin in summer 2011. 4. Positioning the Water Fund for this project began in 2007, and continued each year thereafter. The City's payment for Salinas Reservoir Operations was$1,860,900 in 2010-11 and will now decrease by$675,900(to $1,185,000) in 2011-12 and decrease by $1,135,900 (to $725,000) in 2012-13. In 2012-13 the. $725,000 payment represents the base operating and minor capital budget levels for Salinas Reservoir Operations. Goal and Policy Links Water Source of Supply Operating Program Goal Service Categorization Criteria Water Source of Supply is ranked 2-High. B2-316 Attachment 5 PUBLIC SOURCE OF SUPPLY: SALINAS RESERVOIR OPERATIONS BUDGET REDUCTION Program Work Completed Development of Salinas Reservoir water supply operating budget for 2011-12,with budget projections for 2012- 13 and 2013-14 is complete.City and County staff have mutually agreed on a combination of fiord balance and an adjustment in the City's payment to ensure adequate budget to meet operational and capital expenses, while minimizing rate impacts. Environmental Review No environmental review required Program Constraints and Limitations There are no significant project constraints or limitations. .Stakeholders Water customers in the community City and County staff Implementation Reduce b in Source of S ly program for Salinas Reservoir Operations Jul 2011 Program.Manager Program Manager. Water Division Manager Operating Program Water Source of Supply(55110) Cost Summary Ensuring efficient and reliable operations of the Salinas Reservoir by providing appropriate finding levels for capital projects to the San Luis Obispo County Flood Control and Water Conservation District will result in a budget reduction of$675,900 in 2011-12 and a budget reduction of$1,135,900 in 2012-13.These reductions will reduce the City's payment to $725,000 in 2012-13 representing the projected base operating and minor capital budget levels for Salinas Reservoir Operations after funding a booster pump station upgrade capital project Line ltemR!!E on AcoomitNo. 2011-12 101243 111111 rrdget R¢dudioa Salinas Reservoir O erations 500-55110-7289 67500 1,135,900 Total Operating Budget Reduction. 675 00 1135 00 B2-317 PUBLIC UTILITIES SOURCE OF SUPPLY: WHALE ROCK RESERVOIR ELECTRIC UTILITY REDUCTION Request Summary Adding the Nacimiento Lake water supply as a primary water source for the City will result in a reduction of electrical utilities funding for the Whale Rock Pump Stations commensurate with reductions in the amount of water which the City will have delivered from Whale Rock Reservoir. Whale Rock water supplies will move from the second to the third source of water that the City will utilize in 2011-13.Using this new water supply will reduce the City's estimated electrical pumping charges for Reservoir Operations by$91,600 annually in 2011-13. Key Objectives Ensuring the Water Treatment Plant meets daily water production demands for the community. Existing Situation: Factors Driving the Need for Change 1. Reducing City of San Luis Obispo raw water use from Whale Rock Reservoir. 2. Using Nacimiento and Salinas Reservoirs as.the primary raw water sources for the City's potable water demands. Goal and Policy Links This request meets the 2011-13 Source of Supply operating program objective to deliver raw water supplies in a reliable,cost-effective manner. Service Categorization Criteria Water Source of Supply is ranked 2-High. Program Work Completed Adjustments in water deliveries have been made by Reservoir Operations and Water Treatment Plant staff. Environmental Review No.enviromnental review required. Program Constraints and Limitations _ There are no significant project constraints or limitations at this time. Stakeholders Reservoir Operations staff and Water Treatment Plant staff Program Manager and Team Support i Program Manager. Water Supply Supervisor B2-318 41 IPUO SOURCE OF SUPPLY: WHALE ROCK RESERVOIR ELECTRIC UTILITY REDUCTION Project Team. Reservoir Operations Staff Alternative Continue the Status Quo. Continue use of Whale Rock water for secondary supply to the Water Treatment Facility. This alternative would reduce the amount of water in storage at the reservoir and create additional electrical expense for pumping. In addition, the City's entitlement of 3,380 acre feet per year from the Nacimiento Reservoir can not be carried over(i.e."banked")from year to year which means that the City should maximize the use of the Nacimiento water source and use our other sources as needed. For,these reasons, continuing with the status quo is not recommended. Operating Program Source of Supply(55110) Cost Summary Reducing raw water use from the Whale Rock Reservoir will cause a reduction in utility service.usage for the Reservoir Operations budget for the City of San Luis Obispo,resulting in a budget reduction of$91,600 annually in 2011-13 in the Source of Supply program. Line Iteml)ese ' 'on Account No. _ _ - - 2011-12 2012-13 _- Bulget Reduction Whale Rock Operations 500-55110-7311 1,600 91600 Total Operating Budget Reduction 1600 91,600 B2-319 PUBLIC s WATERRECLAMATION FACILITY- UTILITY SERVICES AND CHEMICALS Request Summary Analyzing electrical and natural gas usage trends, projected utility service rates, and current chemical contract bids and supply needs results in a cost savings of$44,000 in2011-12 arida projected cost increase of$29,800 in 2012-13 at the Water Reclamation Facility. With off-setting cost savings in electric utility usage for Wastewater Collections,and also for wastewater treatment chemicals based on current usage trends at the Water Reclamation Facility,this results in a cost savings of$44,000 in 2011712 and a net cost increase of$17,800 in 2012-13. Key Obj ectives . 1. Maintaining all Water Reclamation Facility(WRF)processes at optimal operation. 2. Maintaining compliance with local, State and Federal regulations. 3. Protecting human and environmental health along San Luis Obispo Creek F3lsdng Situation: Factors Driving the Need for Change The significant operating program changes summarized in this request include a combination of both cost savings and projected costs increases. The cost summary table at the end of this request provides the reader with a quick "snapshot"of the overall costs savings,cost increases and net fiscal impacts. 1. Electric Utility—Wastewater processes demand a great deal of electricity and are in constant operation. All processes utilize electricity to drive motors and pumps of various sizes. Projected electric utility rate increases include 3.6%in 2011-12 and 4%in 2012-13. Based on an evaluation of recent electrical usage trends for wastewater services and when considering. current wastewater flows, the new Tank Farm Lift Station which replaced two aged lift stations (old Tank Farm and Rockview)will result in an electrical cost savings of$5,000 annually in 2011-13 in the Wastewater Collection program. Based on current wastewater treatment processes and electric utility budget levels at the WRF, electric utility services will not require a budget adjustment in 2011-12; the projected electric rate increase will cost an additional$20,800(4%)in 2012-13 at the plant(from$520,000 to$540,800).Offsetting costs savings in wastewater collection results in a cost savings of$5,000 in 2011-12 and a net cost increase of$15,800 in 2012-13. In 2010 there were two separate energy audits conducted at the Water Reclamation Facility. Several suggestions came from those audits. WRF staff is currently working with PG&E engineers to determine:the best approach to implementing energy savings at the WRF. 2. Chemicals — The WRF utilizes four chemicals for its treatment processes; Sodium Hypochlorite, Sodium Bisulfite, Sodium Hydroxide,and Ferrous Chloride. Each of these chemicals plays a vital role in wastewater treatment and more specifically in meeting the discharge limits as set forth in the.City's NPDES (National Pollutant Discharge Elimination System) permit. On a yearly basis the City solicits bids for chemicals for water and wastewater treatment. Based on chemical contracts for the term of February 1, 2011 thru January 31, 2012 and assuming a 5% chemical cost increase for February 1, 2012 thru January 31, 2013, current wastewater treatment processes and associated chemical and chlorine supply needs will result in an overall cost savings of$32,000 in 2011- 12,and a projected chemical (Sodium Bisulfite) cost increase of$9,000(5% from$181,000 to $190,000) in 2012-13,with offsetting chemical cost savings of$7,000 resulting in a net increase of$2,000 in 2012-13. B2-320 PUBLIC WATER RECLAMATION FAciury: UTILITY SERVICES AND mmI uCALS- - - 3. Gas Utility — Based on projected gas utility rate changes of zero in 2011-12 and 2% in 2012-13, current wastewater treatment processes and associated natural gas usage,there is a one-time cost savings of$7,000 in 2011-12,with no budget adjustment needed.in 2012-13. Goal and Policy Links 1. Compliance with regulatory requirements to maintain public health and protection of water quality. 2. Water and Wastewater Element of the General Plan,Section 12. Service Categorization Criteria Wastewater treatment is ranked 1 —Mandated. Program Work Completed This is an ongoing cost driven by market pricing. Chemical bids have been received. Environmental Review No environmental review is required. Program Constraints and Limitations Currently there are no constraints or limitations for this program Stakeholders Water Reclamation Facility Supervisor and Staff Implementation Task Date 1. _ - 1. Electric Utility decrease in Wastewater Collection July.2011 2. Gas Utility decrease at the Water Reclamation Facility July 2011 3. Chemicals decrease at the Water Reclamation Facility July 2011 4. Electric Utility increase at the Water Reclamation Facility July 2012 5. Chemical increase at the Water Reclamation Facility July 2012 Key Program Assumptions All projections are from either bids received or official utility source,cost information. Program.Manager and Team Support Program Manager. Water Reclamation Facility Supervisor Project Team. Water Reclamation Facility Staff B2-321 1.177 M71TIMT s PUBLIC WATER RECLAMATION FACILITY: UTILITY SERVICES AND CHEMICALS Alternatives 1; Defer or Re Phase the Request Electrical costs are set by the utility provider. Re-bidding chemical costs would mean canceling existing contracts and re-bidding chemicals. The results would be predictably the same.This is not recommended 2. Change the Scope of Request Chemicals purchased without a set contract price would vary with the market. value snaking budgeting very difficult and bidding more frequently would require significant staff resources. Electrical costs are driven by the current supplier of electricity. 3. E sting Program Evaluation. In 2010 there were two separate energy audits conducted at the WRF. Several suggestions came from those audits. The WRF is currently working with PG&E engineers on how best to implement energy savings at the WRF. Staff continues to look at ways to cut electrical costs at the WRF. Operating Program Water Reclamation Facility(55330) Cost Summary Based on current wastewater service operations and costs associated with utility services and chemicals for wastewater treatment, there will be an operating cost savings of$44,000 in 2011-12 and a projected net operating cost increase of$17,800 in 2012-13. Line Iteml) ' -tion AceountNo. 2011-12 201243 • ��.,�`"��-'tea:-, r R. t;�•-_ �: _ EIectric Utility Service 520-55330-7605 0 20,800 Chemicals-Sodium Bisulfite 520-55330-7815 0 9,000 Total Operating Costs - 0_ 29,806 Offsetting Costs Savings - Electric Utility Service-WW Collections 520-55310-7605 (5,000) (5,000) Gas Utility Service 520-55330-7609 (7,000) 0 Chemicals 520=55330-7775 (151000) (7,000) Chlorine 520.55330-7777 (I7,000) _ 0 Net Operating Costs __ 1 (44,000) 17,800 B2-322