Memo-2004 Budget Reduction Plan-Public Works Department
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Public Works Department
Memorandum
To:
Honorable Mayor and Members of the City Council
Steven C. Mielke, City Manager ~ .
Steven J. Stadler, Public Works Director .
Copy:
From:
Date: .
August 4, 2003
2004 Budget reduction plan - Public Works Department
Subject: .
As part of the City's preparation for.2004 loss of State revenue,1 was asked to cut 12%,
.or $233,850, from the 2004 Public Works general fund budget. Additionally, I was
asked to have $35,400 cut from the Activity Center 2004 budget.
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. My proposed cutbacks include reducing Local 49 maintenance worker positions by
three (3), reducing supervisory costs by $38,023, allocating 0:5 FTE from Streets
Division to Utility Division. These cuts total $229,557. The three Local 49 worker
. reduCtions could be through attrition as there have been four (4) employees that have
signed up for early (August 29, 2003) retirement.
. .
However, to help offset the impacts of the supervisory changes and maintenance
worker cutback some additional expenditures are also proposed - these general fund
increases total $40,600. Details of the cost reductions and additions are shown on
page 4.
. PROPOSED ..REORGANIZA TION
Currently, the department is divided into seven (7) divisions: Administration,
Engineering, StreetslTraffic/Sanitation, Parks/Forestry, Water/Sewer, Building
MainVEquipment Services and Facilities Management - see attached organizational
chart. In order to reduce supervisory costs, certain functions have to be consolidated,
Le., one or more Division must have a larger area of responsibility.
For several reasons, I chose to consolidate Streets and Utility Divisions and add ..
Equipment Services to the Parks/Forestry Division. The current Building
Maintenance/Equipment Services Division is eliminated but a separate building
maintenance function is retained within the Facility Management Division. This
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Council Memo-2004 PW budget
Page.2
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eliminates two (2) superintendents and creates a Range 7 position as facility
maintenance supervisor.
The rationale for the proposed consolidation was to combine the maintenance work
. performed predominantly within the public right-of-ways (streets & utilities) and to
combine all the city facility management functions (operations & maintenance). Also,
the department needs more, not less, dedicated facility maintenance personnel.
Another reason was that the current Utility and Building/Equipment Services divisions
have only four (4) and three (3) assigned non-supervisory workers, respectively. So,
the proposed new organizational structure would be comprised of four major divisions:
Engineering, Facilities Management, Parks/Forestry & Equipment Services, and Streets
& Utilities. The reorganization results in increased workloads and broader
responsibilities within the remaining divisions. Recognizing these increased
responsibilities, I'm proposing the following changes.
Parks/Forestry/Equipment Services:
. PW Director becomes the city staff liaison to the Park Board.
. One of the two mechanic positions is changed to a mechanic foreman. The
cost of the mechanic position upgrade is estimated at $5,OOO/year.. However, .
this will allow the lead mechanic to be more responsible for vendor ordering,
vehicle schedules and direct contact with internal customers, manufacturers,
dealers, etc.
. Park improvement project administration would fall under the Engineering
Division.
. It's likely that there will be some fleet maintenance. training required for the
superintendent of this expanded divisio n.
StreetslTraffic/Utilities Division:
. The current secretary/recycling coordinator position would be upgraded to
solid waste coordinator. This would allow the Assistant to be responsible,for
and handle many of the administrative duties associated with the solid waste,
utilities, and parks/forestry programs.
. The lead agency on all water/sewer improvement projects and EPA programs
such as Wellhead Protection Program would change to the Engineering
Division, with coordination and review through the Streets/Utilities Division.
. The Street maintenance contract work, such as sealcoating, cracksealing,
traffic striping would be handled by the Engineering Division.
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Council Memo-2004 PW budget
Page 3
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The Facilities Management Division would include a facility maintenance section. The
head of facility maintenance would be a range 7 supervisory position. This change
would increase the number of personnel dedicated to our facilities.
PW MAINTENANCE WORKER REDUCTION
The proposed budget includes eliminating three (3) maintenance worker positions, two
(2) in Streets Division and one (1) in Parks/Forestry Division.
IMPACT TO PROGRAMS
. Snow and ice control
One impact here will be fewer dedicated staff for sidewalk and ice rink maintenance.
This is because Park Division workers previously assigned to sidewalks and rinks will
now be assigned to plowing streets and parking lots. During day 1 of a snow event the
two or three Parks Division personnel assigned to sidewalks/rinks would concentrate on
the CBD sidewalks and proceed to the lower priority (lesser used) sidewalks. During
day 2 work would include finishing sidewalks and trails and clearing the boarded hockey
rinks. If snow is left on the hockey rinks too long, it really messes up the ice and
significant effort is required to restore a skate-able surface. The open rinks aren't as
susceptible to this problem. Day 3 work would include clearing open skating areas and
any remaining areas needing attention. Of course, following a very heavy snowfall
these dates could slip due to slower work pace. To respond quicker will require the use
of overtime. There may be some service level impact during the first winter season as
we train and use new workers for snow plowing operations. One way we could improve
the efficiency and safety of our work in the CBD would be to add a second skidsteer
loader to the equipment replacement plan. We currently use one but a second one
would be much more versatile than a 4x4 pickup truck with plow. This loader would
also be used to safely lift material to the mezzanine areas in the new equipment
storage building. The 2003 cost for a skid steer loader is $30,000.
. Ice Rink Maintenance
With the personnel cutback and the need for Parks personnel to be more heavily
committed to street and parking lot plowing, there's a need to reduce ice rink
maintenance. I propose that the Parks Division no longer assemble and maintain
boarded hockey rinks at Interlachen and Burnes Parks. Parks would continue to build
ice and maintain open skating areas at both of these parks, however. T~e result is that
there would be boarded hockey rinks at Oakes, Valley and Central Parks and no
change to the open skating sites.
Council Memo-2004 PW budget
Page 4
. Shady Oak Beach maintenance
Currently, Parks employees prepare the beach prior to the swim season, maintain the
facilities and grounds during the summer and perform close down tasks in September.
I would propose that we turn the swim season preparation work over to the City of
Minnetonka. Hopkins would retain the other maintenance work. This will help our
Parks employees during the critical time of year when we're concentrating on preparing
city parks, athletic fields and the CBD for the summer season. The estimated annual
revenue loss is $6,000.
. Street Division programs and services
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The proposed cutback in the Streets Division is 20% (dropping from 10 to 8 workers).
Obviously, this reduction will affect service levels. The basic general fund supported
services, excluding the winter season, include: street maintenance, traffic & street light
system maintenance (signals, signs, pavement marking, street lights, locates for u/g
wiring), event support activities, parking ramp maintenance, & other CBD maintenance.
In order to continue work at the current service levels, it will be necessary to out-source
sweeping or pavement marking. I propose to contract for pavement marking services.
This is a labor-intensive two-person operation. Contracting this maintenance operation
will allow continued strong emphasis on street maintenance work and focus the traffic
section work on signs, traffic signals and streetlights. We currently contract for striping
on all centerline-striped streets. The est. cost of this new contract is $15,000/year.
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Otherwise, the impact of a 20% workforce reduction is that work pace will slow as it
becomes more difficult to maintain the proper crew size for the various refuse and
street maintenance services that occur simultaneously. Loss of workers during the
. summer season due to vacations or sick leave will more greatly impact operations.
COST REDUCTION DETAILS
BUDGET CHANGE
REDUCTION ADDITION
Supervisory cost savings through reorganization............... ..$136,744
(60% of Street Superintendent funded by general fund)
New Street & Utilities Superintendent position... ... .. .. .. .. .. .. .. .. .. .... .. .. . .. ... .. .$21,366
(25% of new position funded by general fund, 25% by refuse
and 50% by water/sewer fund)
New Facility Maintenance Supervisor... .,. ... ... ... ...... ... ... ... ... .., ... ... ... ... ....$77,355
Reduce Maintenance Worker positions by three (3)... .........$164,000 .
Allocate 0.5 FTE per year from Streets Division to Utility.......$27,534
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Council Memo - 2004 PW Budget
Page 5
BUDGET CHANGE
REDUCTION ADDITION
Eliminate PWcustodial contract...... .............................. ....$12,000
Create Traffic MW IV position............ ............ ...... ............ ...... ................ .$4,800
Create Mechanic Foreman PQsition... ... .., ..:... ... ...... ... ... ... ... .., .,. ... ... ... ... ... .$2,800
Increase PIT seasonal employees...... .., ......... ......... ............ ............... .. ..$12,000
Contract-out traffic marking...~.............................................................. .$15,000
Shady Oak Beach revenue loss... ... ... ... ... ... ... ... ... ... ... ... ... ... ... ... ... ... ... ... ...$6,000
Subtotals. ...................................................... .......... .$340,278
$139,321
N t general fund reduction = $200,957
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Steve Stadler
Director ~ Secretary/Recycling
f-- Coordinator
John Anderson Penny Cleve
. Engineering ~
Superintendent
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Senior E~9' Tech L-- Receptionist/Clerk
Martha Bames
Rich Hill
Joe t=awcett
I I I I
BUILDING & STREET, PARKS,
EQUIPMENT WATER & SEWER TRAFFIC & FORESTRY
SERVICES SANITATION , ,
~ ....-:: ~
I I I T
Norb Kerber Mike Lauseng V~m Pankratz Ray Vogtman
Superintendent Superintendent Superintendent Superintendent
I I I . I
I I Crew. Leader
Crew Leader Jim Lenz Parks &
Building Equipment. Doug Anderson Forestry
S rvices Services Willie Meadows
I I
I I Maint. III
" Mechanic Maint. III Crew Le.d~
Foreman Craig Gustafson Bob Westlin
Bob Irrgang Mike Bieringer Jim Ehmiller Mark Johnson
. Allan Mattonen Rod Shoberg I
I Malnt. III
Maint. II Dave Kok
Facilities Maint. II Jim Beauchene I
Management Don Feger Kelly Cronk Maint. II
Hopkins Center for Dave Goergen Jeremy Hanson Scott Haney
the Arts Sean Moilanen
Operations Board Jay Strachota Ron Stallman Brian Huffman
Mark Myhre
I Facilities Bob Taylor Bob Olson
Manager John Schaffenberger
I I Pat Stanek
Hopkins Center for
the Arts
Pavilion! Ice Arena
Hopkins Activity
Center
Depot Coffee
House/Overpass
Skate Park
Executive
Arts
Coordinator
Susan Hanna-
Bibus
Scheduling
Coordinator
Ellen
Levemier
Pavilion
Manager
Don Olson
Susan Newville
Coordinator
Kathleen Taber
Manager
Debbie Void
Supervisor
.Custodian
Mike Martineau
Secretary
Peggy Gongoll
Pavilion
Assistant
Mgr.
. Mark Hucke
Sharon Nelson
S cretary
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Revised: 2002111/18
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