Title
Staff report for 2023-2024 and 2024-2025 Budget Amendments Approving the Position Upgrades of Two Administrative Assistant I Positions to Administrative Assistant II; Appropriations Necessary for Public Works Department, Recreation Division and Engineering & Transportation Department Reorganization; and Reallocating Stormwater and Water Pollution Control Plant Appropriations
Staffreport
SUMMARY AND RECOMMENDATIONS
Staff recommends the City Council Finance Committee review and recommend that the City Council approve the following amendments to the 2023-2024 and 2024-2025 biennial budget:
1. The upgrade of two Administrative Assistant I positions to Administrative Assistant II;
2. Appropriations necessary for the Public Works Department, Recreation Division, and Engineering & Transportation Department Reorganization; and
3. Reallocating Stormwater and Water Pollution Control Plant appropriations.
BACKGROUND
The City Manager’s Office retained public sector advisory services from Baker Tilly to conduct an organizational assessment of the Recreation and Human Services Department, the Public Works Department, and the Engineering and Transportation Department. The assessment studied how to best organize these departments for meeting the needs and expectations of the City and the community, for achieving an efficient organizational structure, and to optimize staffing.
Based on the consultant’s assessments, the following organizational changes are underway:
• Creation of a Recreation and Parks Department including recreation, parks, street trees, medians, marsh maintenance, and golf operation functions.
• Merging the Engineering and Transportation Department with the remaining maintenance sections of the Public Works Department (building, fleet, pavement and traffic maintenance, and street services)
• Change the reporting of the Water Pollution Control Plant division from Public Works to the City Manager’s Office.
The reorganization leads to appropriations changes in personnel costs, operation and maintenance costs, and reallocation of appropriations to the General Fund from Enterprise Funds, primarily the Stormwater Fund and the Water Pollution Control Fund.
DISCUSSION
Adding a Recreation and Parks Director position, funding the Public Works Services Manager position, and eliminating the Engineering and Transportation Director position are necessary to implement the new structure. The Recreation and Parks Director position, approved by the City Council on October 2, 2023, will oversee a traditional Recreation and Parks Department that combines recreation programs, with park and urban landscape maintenance. Parks maintenance activities were previously managed by the Public Works Department.
The Public Works Director position will oversee the Engineering and Transportation division and the Public Works Maintenance division, and the Engineering and Transportation Director position will be eliminated. The current Engineering and Transportation Director will assume the position of Public Works Director (currently vacant due to a recent retirement). This change will bring operational efficiencies and strengthen coordination between the design and maintenance functions that should enhance development and implementation of the City’s Capital Improvement Program.
The Public Works Services Manager was previously funded by underfilling the Assistant Public Works Director position. With the hiring of an Assistant Public Works Director to manage the Public Works Maintenance division, funding is required to maintain this position. The Public Works Services Manager will manage the operations and activities of the Parks division within the newly formed Recreation and Parks Department. Additionally, two existing Administrative Assistant I positions that are currently vacant are proposed to be upgraded to Administrative Assistant II classifications to support the more complex duties of the newly expanded Recreation and Parks Department.
The reorganization provides the opportunity to evaluate staffing allocations to the various General Fund, Enterprise Fund and Internal Service Fund accounts. Personnel and operation and maintenance cost allocations to the 25 accounts were updated to more accurately reflect the work being completed, and expenses were transferred from Public Works accounts to new Recreation and Parks accounts. The net changes in appropriations among all funds amounts to $29,770 in 2023-2024, which represents the total additional appropriations arising from the proposed changes. The net change in 2024-2025 will be $89,630 (a full fiscal year). Recreation-related costs ($150,000 in 2023-2024, and $280,500 in 2024-2025) are excluded in the summary, as staff will identify offsetting cost-savings within existing appropriations.
The net change in appropriations for the General Fund will be $314,930 in 2023-2024 primarily due to reallocation of street cleanup, refuse and hazardous material disposal, and graffiti abatement expenses from the Stormwater Fund and Water Pollution Control Plant Fund to a new General Fund Street Services Cleanup account. The net change in 2024-2025 will be $556,530 (a full fiscal year).
FINANCIAL IMPACT
The net change in appropriations for the General Fund will be $314,930 in 2023-2024. The net change in 2024-2025 will be $556,530 (a full fiscal year). The City Council previously amended the SLMO salary schedule to add the Recreation and Parks Director classification and eliminate the Engineering and Transportation Director classification and to authorize changes to the adopted budget staffing allocation.
ATTACHMENTS
• Attachment A- Reorganization Costs Budget Adjustment Summary
• Attachment B-Public Works, Engineering, and Recreation Reorganization Presentation
PREPARED BY
T. Michael Yuen, Finance Director