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ORD 33671 - Establish city efficiency commission �tAAHA,n,, F TAIP., 4:14. Ir d • oa . OR41. - FE9Ik-1.' .3 City of Omaha =� — rn rn Hal Daub,Mayor " -17 f`J .-F-, Prn r, -.,1 I Law Department Honorable President rn .� `. Omaha/Douglas Civic Center :33 -ter K" 1819 Farnam Street,Suite 804 ;n 'F L..) f 71 Omaha,Nebraska 68183-0804 and Members of the City Council, -- (402)444-5115 N "4' Telefax(402)444-5125 Herbert M.Fitle The attached Ordinance is submitted at the request of Couaciimember Lormong City Attorney Lo. The ordinance establishes a City Efficiency Commission, whose task will be to evaluate and review every aspect of City government in order to make recommendations to the Mayor and City Council which will promote cost efficient governmental services into the next millennium. The Commission shall consist of eleven members, with each Councilmember to appoint one member,and with the Mayor to appoint four members,of which two will be from the public at large, one will be from the Law Department, and one will be from the Finance Department. he a of t tts of the Commission �i�'�e/ '� a 45.5 �' members shall be made no later than B�e� , � The Commission shall 44.4497 cr, conduct its first meeting on or before March., 1996. The Commission will A0196•. present preliminary recommendations no later han March 31, 1997, and will present fmal recommendations no later than December 31, 1997, at which`time, the Commission shall pass out of existence. Your consideration of this Ordinance is respectfully requested. Respectfully submitted, 4.-/ . Paul Pennington Assistant City Attorney P:\LAW\2409.SKZ ,./17e/2640/4 -taV• ORDINANCE NO. AN ORDINANCE to establish a City Efficiency Commission,to consist of eleven members,whose task will be to evaluate and review every aspect of City government in order to make recommendations to the Mayor and City Council which will promote cost efficient governmental services into the next millennium,and to provide for an effective date. WHEREAS, pursuant to Section 4.08 of the Omaha Home Rule Charter, the City Council may establish by ordinance advisory commissions; and, WHEREAS, the citizens of the City of Omaha demand, deserve, and are entitled to efficiency in City government; and, WHEREAS, the Mayor and City Council support efficiency in City government;and will strive to implement those findings of the commission which are properly introduced and well reasoned; and, WHEREAS, the City Efficiency Commission,which will evaluate and review every aspect of City government,will promote cost efficient government services into the next millennium. THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF OMAHA: Section 1. That,pursuant to Section 4.08 of the Omaha Home Rule Charter,the City Council may establish by ordinance,and hereby does establish,an advisory commission to be known as the City Efficiency Commission. Section 2. That the City Efficiency Commission shall consist of eleven members,appointed as follows: 1.) Each of the seven City Councilmembers shall appoint one member to the commission. 2.) The Mayor shall appoint four members to the commission,with two members from the public at large; and one member each from the City Law Department and City Finance Department, with these two departments to mutually provide support services to the commission. ORDINANCE NO. , 77 Page 2 Section 3. That the task of the commission will be to evaluate and review every aspect of City government in order to make recommendations to promote cost savings,the merging of services and functions within City departments and with other governmental entities to promote efficiency and to develop a well reasoned plan for providing cost efficient governmental services into the next millennium. Section 4. That the members of the commission shall be appointed no later than February 15, 1996; and that the initial meeting of the commission shall take place on or before March 15, 1996, at which time the commission shall select a chairperson, and adopt and enforce such reasonable rules and procedures as maybe thought proper and necessary for the performance of its work; and that the commission shall present, to the Mayor and City Council, preliminary recommendations no later than March 31, 1997, and present final recommendations no later than December 31, 1997, at which time the commission,having accomplished its mission, shall pass out of existence,unless its term is extended for a specified period by the City Council and the Mayor. Section 5. This ordinance shall be in full force and take effect fifteen days after the date of its passage. INTRODUCED BY COUNCILMEMBER APPRO ' BY: MAYOR OF THE CITY OF OMAHA DA Ili PASSED OCT 2 4 1995_ a5 azi c ee/ v ATTEST: APPROVED AS TO FORM: Z' //e'fir CI1 OF CITY OF OMAHA /ASSIS ANT CI'1Y ATTORNEY PA LA 752.SKZ I ' i • CITY OF OMAHA CITY EFFICIENCY COMMISSION FINAL REPORT DECEM ER 31, L997 OAHA' 44,1 NF WIlir 0,0*A N w Tiff CO 47'ED BR°44 FE 1 Tom Baye, Chair ( Rita Carroll, Vice Chair Lou Meyers, Secretary S. P. Benson Bob Gunia Ron Meredith • Walt Peffer Jim Veiga Lou D'Ercole, City Finance Director Bob Hamer, Assistant City Attorney CITY EFFICIENCY COMMISSION OMAHA/DOUGLAS CIVIC CENTER 1819 FARNAM STREET OMAHA,NEBRASKA 68183 December 31, 1997 Mayor Daub Honorable President and Members of the City Council CITY EFFICIENCY COMMISSION FINAL RECOMMENDATIONS As directed by Ordinance #33671,the Omaha City Efficiency Commission has held discussions with department directors and division managers from the City of Omaha as well as Douglas County, elected officials from surrounding communities and professionals in the private sector. In the 40 meetings of the Commission since July 11, 1996, Commission members requested and received presentations and briefings on the City budget,Administrative Services, Finance, Fire, Human Relations, Law, Library, Parks, Recreation and Public Property,Personnel, Planning, Police,and Public Works Departments. The Commission did not study the Communications Department because of the already negotiated merger with Douglas County which will take place in January, 1998. Other areas not studied include the Mayor's Office, City Council/City Clerk's Office and Job Training of Greater Omaha. The Commission's final recommendations focus on several areas where the City can have the greatest potential to improve efficiencies. Support documentation for the final recommendations may be found in the various exhibits presented to the Commission as well as the minutes of the meetings. The department heads and supporting staffs highlighted the principles of operations in their respective departments. Each gave their personal time,expertise and efficiency recommendations. The City Efficiency Commission takes this opportunity to thank them and the recording secretary, Ms. Nancy Sowl, for her efforts in maintaining the project's continuity. Two other City employees who served on the Commission and who deserve recognition and thanks for their time, input and guidance are Mr. Louis D'Ercole and Mr. Bob Hamer. Sincerely, .17 Thomas M. Baye —J Chair Thomas Baye,Chair;Rita Carroll,Vice Chair;Lou Meyers,Secretary;S.P. Benson; Lou D'Ercole; Bob Gunia;Bob Hamer;Ron Meredith;Walt Peffer;Jim Veiga • • PRIMARY RECOMMENDATION The pervasive area of concern in almost every department that was studied underscored their ineffective use of the computer and its program applications. Although the City Management Information Systems (MIS) Department has encouraged personal computer(PC) use through a computerized network method, users were not aware of the software and hardware products that would apply, nor were they provided adequate training to effectively make their jobs more efficient. As a result, departments have created personal database domains that cannot be shared with others. This situation is evident in what is a continuous negative communication aspect of basic public services between the Fire and Police Departments. These two departments share roles in disasters and emergencies,yet computerized communication that can foster efficient resolution of these situations is haphazard at best. Not until the City of Omaha,Nebraska addresses this issue will actual efficiency begin. The primary recommendation of the Commission is the City contract with a corporation or an individual to oversee development of a comprehensive strategic action plan that addresses computer hardware and software acquisition, program support and ongoing development. This action plan should include an ongoing dedicated funding source, integrating systems so files are shared between departments, year 2000 compliance needs are met, timely system upgrades are implemented, and employee training is considered routine. Because these issues are of paramount importance, the Commission recommends the City and County MIS Departments dedicate resources under the guidance of a strategic plan coordinator to minimize cost and time to identify, consolidate and isolate computer program needs that adversely affect the progress of a more efficient operation of City departments. At the very least these areas include: MIS Management " • Budget • Personnel • Accounting/Financial Management • User Support • System Support • Network Coordination, Design and Maintenance • Strategic Planning • Programmed System Upgrades • System Security and Data Integrity • Contract Coordination Training • Computer Classes • "Help" Desks • Technical Libraries • Software and Hardware Support Libraries • Training Rooms Final Recommendations Page 2 Hardware and Software Inventory and Needs by Department/Function • Mainframe and PC Hardware • Printers • • Scanners • Telecommunications (including modems, phone line integration, fax machines, high-speed data transmission) Other examples of common use information programs that are not available City-wide are: e-mail, appropriate Internet access, inter and intra departmental word processing, spreadsheet redlining, database management, and routine report sharing. • Based on the information provided to the Commission, the City and County will require substantial funding in a relatively short amount of time to adequately update and create appropriate integrated systems. It is recommended that outside expertise be contracted to assist with this process as the City MIS Division does not have the appropriate staff to undertake such an extensive program at this time. It is further recommended that the City work with Douglas County in retaining said outside professional expertise to study both MIS operations and to assist with making decisions as to the long term commitment of taxpayer dollars to computer systems, software and hardware. This one area of government has the potential to provide the most improved efficiencies in government while at the same having the potential to cost hundreds of thousands of dollars in wasted taxpayer funds if not addressed properly. The Commission recognizes that by retaining outside expertise from the private sector, the potential for political in-fighting can be and should be removed from making computer related decisions in City and County government. In the interim, it is recommended departments having cash and other similar fund type transactions with the public begin using cash register and computerized sales systems comparable to those used in modem retail establishments for sales, cash and inventory control. Centralizing these actions with the Finance Department makes for efficient annual auditing and a clearer picture of the City's financial status. • Final Recommendations Page 3 DEPARTMENTAL RECOMMENDATIONS ADMINISTRATIVE SERVICES The lack of support and decay (degree of non-maintenance)of City-owned real property is an area of concern. Presently, work orders are prioritized based on available dollars. An outside consultant should be brought in to review the City infrastructure. All City facilities should meet City and State code requirements to achieve minimum structural, mechanical and electrical standards. Omaha City inspectors should be used to inspect for code compliance and maintenance requirements. This need for continued routine maintenance is necessary to prevent serious problems and increased costs caused by deferred maintenance. One example of an efficiency was the consolidation of the Vehicle Maintenance Facility from three separate entities into one. Employee training is provided by Metro Tech and eventually the facility will test to qualify as a warranty center. FINANCE The Finance Department should continue to move toward full computerization of the Purchasing Division. This should include: a. Complete computerization of the requisition segment of the City purchasing process. b. Joint purchases with the County of standardized commodities such as vehicles, motor fuel, tires. c. Offer the opportunity to surrounding communities to participate in the purchasing process, when applicable, to obtain better prices. Finance has begun the process of implementing a computerized payroll/personnel system, CA- HRISMA. This process should be continued to completion. FIRE DEPARTMENT Deferred maintenance problems at Fire Department facilities were observed and should be corrected as soon as possible (see recommendations noted under Administrative Services). These facilities should be considered priority compared to other City-owned facilities. It is recommended that direct communications via computer and radio between all county law enforcement agencies and fire departments be included as part of the "911" system. Final Recommendations Page 4 HUMAN RELATIONS In the Commission's review of this department it was discovered that Douglas County does not offer services similar to the City's Human Relations Department. A member of the Douglas County Board of Commissioners expressed an interest in the City providing anti-discrimination seminars and contract compliance services to County employees. In order to avoid a possible conflict of interest, City employees must file discrimination complaints with the Nebraska Equal Opportunity Commission. County employees must also file complaints with the State Commission. LAW The Law Department provides critical support functions to all departments. It is involved in litigation, preparation of legal documents (including ordinances and resolutions), legal research, and in the provision of legal advice, upon request. Like other City departments,the Law Department operates with minimal computer system hardware and software. Implementation and maintenance of appropriate systems would expedite an increase in the quality of legal research. Additionally, the Department's staff should be provided sufficient systems training. Much of the day-to-day interaction between the Law Department and other City entities involves "Requests to Law;" formal written requests for legal advice, research and document preparation. Some requests simply ask legal staff to research and draw up documents. Some departments provide baseline research, boilerplate text and draft language. The latter approach is the most efficient because departmental staff are most familiar with the issues involved and have completed preliminary research to show that the requested legal action/outcome will be appropriate and feasible. LIBRARY The Commission's review of Library records for expenditure and utilization shows a historical trend: when the budget allocated to the collection increases, utilization (expressed in the circulation statistics) increases; and when the budget is decreased, utilization decreases. Although these statistics do not take into account the number of people who use the libraries for research and non-circulating items, it does show a potential for increased utilization as well as a public awareness of the importance of the library to the community. The Library should have a steady, guaranteed source of funding to ensure that collections are current and complete. This department is uniquely positioned to take advantage of evolving on- line technology; however, if implementation always lags due to lack of funding, utilization of all library services will decline. The Commission recommends the City take a proactive approach to identifying and implementing a long-range plan to ensure stable operations in this area. • Final Recommendations Page 5 PARKS, RECREATION & PUBLIC PROPERTY The City should adopt the sector concept for building swimming pools in each sector, based on 1 the 1995 City of Omaha Public Pools Master Plan. As new facilities open, the traditional swimming pools in that sector should be closed. After a transition has been achieved, the potential of changing pools to an enterprise fund or a private sector contract (such as the Tranquility Park Ice Facility) should be explored. The City needs to eliminate the Park Caretaker system of living on-site. Current practice requires Caretakers to confront or resolve acts of vandalism or illegal activity during closed hours. Law enforcement and security situations in parks are better addressed by the Police Department and not left to Park Caretakers. Because time,technology and social behaviors have changed, the original issues that created the park and golf course caretaker system is now outdated. Also, efforts should be made to evaluate cost efficiency and utilization of community centers, which are expensive to maintain and operate. Neighborhood demographics and current marketing efforts should be analyzed. Some recreation services could easily be delivered by public/private partnerships. The Park, Recreation and Public Property Department should consider working with neighborhood associations to study reconfiguring the landscapes in some of the parks in order to minimize maintenance. This reconfiguration has been accomplished in the Twin Cities Minnesota metropolitan area. (Copies of the report done by the City of Bloomington, Minnesota are available from the Finance Department). PERSONNEL The City and County Personnel Departments should share functions via an inter-local agreement similar to that between the City of Lincoln and Lancaster County. (Copies of this inter-local agreement are available from the Finance Department.) Areas which could benefit from shared services include: a. Employment -job classification, compensation, recruiting,job interviewing. b. Employee Development - to provide the functions of testing, training job skills, commercial drivers license training, computer training, and C.P.R. and safety training. i c. Benefits administration - maintain records and statistics. d. Labor Relations. It is recommended the City contract for a health benefit audit of the third-party administrator. Final Recommendations Page 6 PLANNING The Planning Department is comprised of four major divisions: Housing, Urban Planning, Current Planning and Permits & Inspection. Each division has well-defined duties and areas of responsibility; but, it is evident that considerable interaction between divisions exists in addition to the monumental interplay by the Planning Department(as a whole) with all major City departments. The Housing Division is responsible for the administration of the Federal Block Grant Program which has been highly successful. Recent legislative action by the City Council has enhanced the enforcement of minimum housing standards and established rigid penalties for property owners in violation of these standards. Housing inspectors will be provided with laptop computers in 1997 and cellular phones in 1998 to speed up the laborious process of field inspection, code compliance and building condemnations. The Urban Planning Division, although hampered by antiquated computers, continues to fulfill their responsibilities of preparing the annual Capital Improvement Program, the annexation program, advising the Historic Preservation Commission and drafting amendments to the Master Plan. This division is still using computer equipment acquired in the `80s. The Current Planning Division processes all zoning and subdivision plat requests. This process involves many other City department reviews and recommendations. Substantial personnel costs and employee time are accrued in this multi-department review process. It is recommended that a 100 percent cost recovery fee be charged to the applicant requesting plat approval. This fee would be in addition to the present filing charge. The Current Planning Division presently loans personnel to the Urban Planning Division, depending upon the work load. Such exchanges create a production slow down. It is recommended that an additional employee with professional planning skills be added to the Current Planning Division. The Permits and Inspection Division is currently processing approximately 45,000 permits per year. There has been minimal budgeting for upgrading the existing computerization of this Division, although cellular phones were provided for all chief inspectors, as well as building and plumbing inspectors, in 1997. This Division is presently preparing a"state of the art" computer program that is supported by the Mayor's Office. This could very well motivate an on-going update process for the City-wide interdepartmental network. At the present time,there is no networking with the existing Permits & Inspection electronic information systems. The Commission urges that the "computerized pilot inspection program" being prepared by the Permits & Inspection staff be expanded to include all divisions of the Planning Department. In addition, adequate annual budgeting should be provided in order to expand, upgrade and maintain computer equipment. Training for employees in both hardware and software usage must be instituted to gain the maximum in efficiency. Final Recommendations Page 7 PUBLIC WORKS Lengthy street closings are an irritant to the public. The importance of quick and efficient job completion is essential. It is recommended that the City develop a method to ensure that street projects performed with the Metropolitan Utilities District and other public utilities are completed on or before schedule. The current"one call" underground utility locating service results in unnecessarily high costs in urban areas. It is recommended the City pursue an amendment to the existing state law. At the asphalt facility, large volume users are a priority. City workers obtaining partial truckloads of asphalt must wait. This ongoing problem, coupled with the inability to patch during traffic rush hours, limits the workers' productivity. The delays at the asphalt plant sometimes result in receiving an asphalt mix not suitable to the work at hand. It is recommended that the City study purchasing an asphalt plant and/or contracting out asphalt patching. Small concrete jobs result in high unit costs due to extra charges (delivery of small size loads, extra time surcharges and multiple location deliveries). It is recommended that the Department purchase an eight-cubic-yard mobile concrete mixer. POLICE It is recommended the City continue studying funding sources for the proposed Omaha Regional Public Safety Training Center. Provisions need to be made to factor in the cost of maintaining and running any new facility. Other public safety agencies should be given the option to participate in the development, construction and ongoing financial support of this facility. Special project programs take up too much of uniformed officers' duty time. It is recommended that sworn personnel only be used when required by terms and conditions of federally funded programs. If possible, recruit retired officers to assist and provide some administrative duties, other special projects and programs and staff the Telephone Report Unit. Crime reports can take as long as 14 days to be entered into the computer database. Providing laptop computers to cruiser officers could help reduce the time required to process new crime reports. In addition crime statistics should be computerized and accurate in order to comply with the federal government's monthly statistics mandate. The Commission has been advised by the Omaha Police Department that they currently have approximately 146,000 fingerprints which need to be converted to the Automated Fingerprint (AFIS) files. It is estimated that conversion will take approximately 9-10 weeks. The City should consider obtaining a funding source for more personnel to complete this project and maintain the system. Final Recommendations Page 8 [. GENERAL RECOMMENDATIONS I. In the spirit of cost containment, the City should look at zero-based budgeting and a strict cost center accounting approach. Over the years, funds have sometimes been budgeted and allocated to various programs and activities while being used for other activities. A zero-based budget system would enable the City to determine exactly what revenues and expenses are associated with cost center activities. The purpose of this approach would not necessarily be to ensure that all City functions are self-funded, but it would enable the public and government officials to make more knowledgeable budget determinations. 2. To ensure that the public and governing bodies have access to, and knowledge of, the cost and impact of each proposed ordinance and resolution, the Commission recommends the City provide a fiscal statement with each newly proposed activity. A similar effort is made by the Nebraska Legislature. Each proposed new activity should include: a. The source, use and amount of funds needed for implementation. b. The number, types and training requirements for personnel associated with the activity. c. The activity's ongoing budget impact. d. An enforcement provision, including a funding source and indication of the procedure and personnel needed to ensure compliance. 3. The City's staffing patterns are based on tradition and on negotiated agreements with its bargaining groups. While this ensures a stable workforce, it does not provide the City with a flexible, trained staff able to quickly adjust to changes in the operating environment, take advantage of operational opportunities, and implement new technologies and work methods. Because the City has traditionally not budgeted for aggressive employee..training and job enrichment programs, the ability to implement operational efficiencies has stagnated. There are a number of approaches to changing this situation. First, the City could undertake an ISO 9000 process. This is an internationally accredited approach to achieving and ensuring quality products and services. (Further information on ISO 9000 can be obtained from the Finance Department.) Second, the City could engage in cross-training and succession planning. Cross-training would ensure that all functions can be delivered even if one or several staff are available. Cross-training could take place within agencies and also between agencies. For example, inspectors in Public Works, Permits and Inspection and Housing could cross train to learn the basics of each other's jobs. Final Recommendations Page 9 r _ Both the ISO 9000 process and cross-training would provide a means for succession planning within the organization. Presently, the pool of applicants for an open position frequently is limited to people who have worked for the City for a long time or who have achieved the needed expertise in another environment. These processes would enable a larger number of employees to compete for open positions, increasing the size of the pool and quality of applicants. Lastly, the City and County Parks and Recreation Division have over the years engaged in projects with each other that have saved funds and time, which supports this Commission's theme of departmental consolidation, or"Uni-Government." Current practices of joint efforts include the bidding of park lawn care chemicals,purchasing of vehicles and equipment; inter- local computerized contract providing property owner data pertaining to weeks, litter and tree control; coordinating vendors between the Eugene Leahy Mall, Heartland Park and the Civic Auditorium, communicating work requests, co-agreements of City leagues using County fields, and completing a major project together that renovated the grounds of Heflinger Park. The two divisions have in common a multitude of duties that are separated only by jurisdiction of City 1 and County boundary. This boundary has constantly moved with ongoing annexation. Thus, the City division work areas have increased and are still increasing into previously owned County areas. To continue the separation of these two divisions, or two levels of government, serves no purpose but to reinforce "tradition" and"bureaucracy." EPILOGUE The City Efficiency Commission would welcome the opportunity to visit with the Mayor and City Council to discuss in further detail its recommendations. The Commission concentrated its efforts on City government; however, strongly recommends that City officials continue to pursue and consider City and County merger of services. Both the County and City have undertaken efforts to study potential efficiencies in government. Now may be an appropriate time to appoint a City/County Merger Committee to recommend areas of cooperation, potential cost savings and/or efficiencies, timetable and appropriate legislative action needed to accomplish same. The City Efficiency Commission recommends the • Mayor/City Council and County Commissioners assign one person from each department who will assist in keeping the merger process going by contacting and overseeing that meetings are held and reporting back to the Mayor/City Council and County Commissioners, in writing on a bi-weekly basis, as to what the various departments have done to bring about changes. • ORIGINAL , / • REQUEST TO LAW DEPARTMENT LAW DEPARTMENT USE ONLY LOG BOOK NO. C TO: HERBERT M. FITLE,CITY ATTORNEY DATE ASSIGNED `.n - -o rn DATE: September 25, 1995 ASSIGNED TO t`) "' to r- — DATE ANSWERED 73 rn rn crc p REQUEST BEING MADE BY: On behalf of Councilmember Lormong Lo G' Jack Cheloha. City Lobbyist 5521 (NAME) (DPARTMENT) (PHONE) TIME LINE: 12 WORKING DAYS FROM DATE RECEIVED BY LAW DEPT. October 3, 1995, Council Agenda REQUEST FOR Resolution to Establish City Efficiency Commission (State Specifically What You Are Requesting) DETAILS: (Do not state "See Attached") City Councilmember Lo requests a resolution be placed on the City Council agenda for October 3, 1995, establishing a City Efficiency Commission. The commission will consist of eleven (11) members. Each of the seven City Councilmembers will appoint one member to the Commission. The Mayor will appoint four members, two from the public at large, one from the Law Department and one from the Finance Department. The justification for the Commission is for the promotion of efficiency in City government. Its task will be to evaluate and review every aspect of City government in order to make recommendations to promote cost savings, the merging of services and functions within City departments and with other governmental entities to promote efficiency and to develop a well reasoned plan for providing cost efficient governmental services into the next millennium. The resolution should reflect that the City Council and Mayor support efficiency in government, the citizens demand efficiency in government, and that changes will be implemented on those findings of the Commission which are properly introduced and well reasoned. INFORMATION ATTACHED : YES NO X NONE AVAILABLE wk c: Councilmembers, City Clerk, Law Department, Finance Department, Mayor's Office, Council Staff cL_ • ... �. • v • ® ,r ' I C. • s 6112 C73 • , y�� \ W • 1 \ (6' ' LI 0 C ; • (/‘ \z ZIV Z C.0 i JoSrro�R ` -. CD 0 0 Vy�� rn J J. J. a z (\ �J CD a ( 0 fD -5 S= -Y Z CD J• Z 0 CO \ GrQ CD C = --.0 CDc-F 0 c F 1-1 Z (J. 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