Fort Walton Beach Council agenda — 10-22-2007 special agenda — reading text

CITY OF FORT WAL TON BEACH City Council Special Meeting Agenda October 22, 2007 - 5:30 P.M. City Council Chambers 107 Miracle Strip Parkway, SE Fort Walton Beach, FL 32548 CALL TO ORDER PLEDGE OF ALLEGIANCE - Mayor Mike Anderson I PUBLIC HEARING AGENDA 1. Consideration of accepting the recommendations of the Study of Alternative Delivery Methodologies for City Services and directing staff to develop an implementation plan. Dr. Donald Long of Management Advisory Group, Inc., will make a presentation. ( City Manager) See Backup) ADJOURN Any person who decides to appeal any decision made with respect to any matter at this meeting will need a record of the proceedings, and for such purpose may need to ensure that a verbatim record of the proceedings is made, which record includes the testimony and evidence upon which the appeal is to be based. (FS286.0105). The City of Fort Walton Beach adheres to the American with Disabilities Act and will make reasonable modifications for access to this meeting upon request. Please call City Clerk Helen Spencer at 850-833-9509 to make a request. For Hearing Impaired dial the City Hall TDD # 850-833- 9925 or 1- 800-955-8771 ( TDD) or 1- 800-955- 8770 (Voice). Requests must be received at least 48 hours in advance of the meeting in order to allow the City time to provide requested service.  CITY COUNCIL SPECIAL MEETING October 22, 2007 Special Meeting Agenda Consideration of Study of Alternative Delivery Methodologies for City Services City Manager) SP- 1 Agenda Item Number:  CITY OF FORT WALTON BEACH MEMORANDUM To: Honorable Mayor and City Council Mem bers From: Joyce Shanahan, City Manager Date: October 18, 2007 Subject: Study of Alternative Delivery Methods for City Services BackQround: to solicit During the October 10, 2006 Regular Council Meeting, City Council directed the City Manager for proposals from qualified consulting firms for the consolidation, coordination, and contracting out of various services in an effort to improve the efficiency and effectiveness of City government. City Council with the overall goal of again stressed this position during the January 2007 Strategic Planning Session the cost of services to its citizens. As directed, Staff developed a scope of services reducing government after researching other local communities that had engaged similar work in the past. On March 27, 2007, the City' s Purchasing Department issued Request for Proposal ( RFP) 07- 117 to solicit for consulting firms to conduct a study of City services with recommendations on improving efficiencies and effectiveness. The solicitation period closed on April 24, 2007, with the City receiving sector evaluations and eight ( 8) proposals from competent, qualified consulting firms specializing in public 22, 2007, City Council authorized the award of consulting services for a management auditing. On May of Alternative Methodologies for City Services to the top- ranked firm Management Study Delivery Advisory Group Inc. of Woodbridge, VA for a fee of $ 61, 425. Discussion: The purpose of the October 22nd Special Council Meeting is to fully examine the recommendations and their impacts. Management Advisory Group, Inc ( MAG) has conducted its critical analysis and focused its reporting on the following: Organizational Structure Services Provided Staffing Levels Consolidation Potential Streamlining or Eliminating Functions Technology Usage Major Organizational Policies and Procedures. MAG, Inc. reviewed all aspects of the City' s operations ( 11 Departments), excluding the Fire Department as directed by City Council at the May 22, 2007 Meeting. There are total of 62 recommendations a impacting various departments and operations of the City. Major recommendations include: Reorganization to reduce the number of direct reports to the City Manager Change in the City' s contribution percentages for its medical insurance premiums ( over a three year period) as follows: 90% for employees and 50% for dependants - estimated savings $ 110, 000 per year.  Evaluate contracting out of minute production to save $ 17, 000 per year. Privatize certain accounting functions to save $ 65, 000 per year. Eliminate a position in the purchasing department - estimated savings $ 42, 000 annually. Eliminate a position in the information technology department - estimated savings $ 70, 000 annually. Reduce the number of sworn positions in the Police Department from 55 to 50, saving 245, 000 annually. Close the Senior Center to save approximately $ 78, 000 annually. Reduce Library hours from 64 to 50 to save $ 32, 000 annually. Privatize the Museum for savings of $ 130, 000 per year. Eliminate a Public Works supervisor position in Service Maintenance - Accomplished in the FY 2007-08 Budget Eliminate four ( 4) vacant Public Works positions to save $ 236, 000 per year - Accomplished in the FY 2007- 08 Budget (3 positions frozen/unfilled and one position eliminated) Eliminate the recycling programming to save $ 40, 000 - Accomplished in the FY 2007-08 Budget There are many other findings and recommendations that do not have a dollar impact, but are expected to improve our operational efficiencies. The detailed report is attached for your consideration. Conclusion: There continue to be many fiscal challenges facing the City relating to reduction in property taxes and possible statewide revenue caps on municipal governments. Council will need to determine, with input from our citizenry, priority of services and level of satisfaction with current service levels. Once delivery that determination is made, then a systematic approach to implementing the recommendations that support those objectives can be accomplished. Recommendation: Staff respectfully requests that Council consider the recommendations of MAG, Inc. in the Alternative Service Delivery Study and provide staff with guidance and direction to enable us to prepare an implementation plan by: 1) Accepting all recommendations as submitted. 2) Accepting recommendations with modifications. Respectfully submitted: j , ) . ", ~.} Ii / 1 ,I !/ I' t",.. 1(\, .{f.- .! ~ I Date Attachment: Study of Alternative Methodologies for City Services - Final Report - September 18, 2007 Page 2 of 2  Study of Altemative Delivery Methodologies for City Services September 18, 2007 Final Report Jv1a1li1fJetnent JIdvisory qroup, Inc. Contact: Donald C. Long, Ph.D. Woodbridge, Virginia 703) 590- 7250  Executive Summary The City of Fort Walton Beach requested a study of alternative delivery methodologies for City services. All areas of the City' s operations ( excluding Fire) have been subject to study and recommendation. Critical analysis and reporting has focused on: Organizational Structure Services Provided Staffing Levels Consolidation Potential Streamlining or Eliminating Functions Technology Usage Major Organizational Policies and Procedures There are a total of 62 recommendations within the various chapters of the report. The recommendations are summarized in an Implementation Table within chapter 14. 0. Each recommendation identifies the action step, the party with lead responsibility for and the carrying the item forward, the estimated completion time, potential impact, projected savings or costs associated with the recommendation. Some of the report recommendations confirm that a particular service should be continued by the City, possibly with the same level of staffing. These recommendations are an endorsement that the department is using its resources effectively to meet the service level demands. Each department was subjected to a review of the potential for identifies contracting out or coordinating with another agency for its services. The report the trade-off considerations for contracting major services, and concludes that there are few services in which it would be clearly to the City' s advantage to provide them outside of the City government. This applies to the major departments such as Police, Utilities, Public Works, and most of Parks and Recreation. Some limited contracting is currently done in the City and that is encouraged. Alternative Services Delivery Study for Fort Walton Beach, Florida Page ES- 1  Community Development Major recommendations for the City' s consideration include: A reorganization to reduce the number of direct reports to the City Manager, to include the Finance Director position; A change in the City' s contribution percentages for medical insurance premiums for employees to 90% and for dependents to 50% to save approximately $ 110, 000 per year; Evaluate contracting out minutes production to save up to $ 17, 000 per