Finance Highlights 2009 0224 - Laserfiche WebLink

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the shortfall was further reduced to $2.9 million. Mayor Santos instructed staff to provide the Committee with a breakdown of settlement payments as well as review if further funds can be transferred for reserves. Deputy Finance Director Rodriguez advised the Committee that a meeting has been scheduled with Finance Director Carter for the coming week. Councilmember Prola asked the Department Heads if they have conducted a survey of their respective staff and asked if anyone was interested in voluntarily reducing their hours. Hollister stated that at this time, management was not instructed to conduct such a survey but that workshops in various locations will be scheduled in March for employees to attend and discuss the budget situation. Voluntary reduction of hours is a possible pilot program. Interim Assistant City Manager Diaz stated that Human Resource Director Caire is also looking into other pilot programs. Councilmember Prola stated that employees may be interested which may reduce the number of potential layoffs. Library Services Director Bohne stated that although he has not formally surveyed his staff, he has asked a few people and with the current economy, there were not many people interested in reducing their hours. Public Works Director Bakaldin stated that he spoke with his staff eligible for the Golden Hand Shake and that there was no pressure to accept the offer. Caire stated that there were three components that need to be addressed: basic salary, benefits, and retirement before making a final decision on offering this option to employees. If a staff member chooses to reduce their hours, and they fall below the minimum PERS hours as a full time employee, that will effect the employee's retirement as well as the City's rate. Therefore there may be a savings in salary costs, not in benefit cost. Hollister indicated that in reducing the budget as proposed, the City will end with a healthy reserve of $8.8 million which is over 10% of the General Fund budget. Hollister began with the City Manager's Office, referring to the PowerPoint presentation, and brought to the Committee's attention that significant cuts have been made, e.g. reductions in staffing, programs, empowerment funds, supplies, attendance to League of California Cities meetings and other conferences, and City Corner notices. Also, the following will be eliminated: meals during closed sessions, funding for receptions, and funding for the Grant Writing Consultant. There will also be a reduction of $30,000 to City Attorney fees. There will be other items suspended until further notice, including the City Newsletter. Mayor Santos recommended elimination of Empowerment Fund; Councilmember Prola agreed, a total savings of $20,000. Councilmember Prola recommended reducing travel further and all travel should be approved by Council and restricted to no more than two people from the same department. Mayor Santos explained the importance of travel and stated that if a councilmember chooses not to use their designated funds, the funds can be used by another councilmember. Councilmember Gregory agreed with Mayor Santos and stated that it is very important for the City of San Leandro to keep a high profile. Mayor Santos asked why there was no reduction to Information Services' staffing and why they only had a 5% overall reduction. Hollister stated that although it is a small division, it is very important to the operation of the City in terms of automation and information technology. Hollister referred the Committee to Uche Udemezue, Engineering & Transportation Director and David Bohne, Library Services Director as they both sit on the Information Management Services Committee. Udemezue stated that upon a comparison analysis with other cities and based upon the amount of work they do, the staff they assist, and the new software and hardware we have added; Information Services is understaffed. Mayor Santos recognizes that issue but instructed staff to take another look at this issue. Councilmember Prola agreed however Councilmember Gregory recognizes the need for Information Services staffing to remain as is. Hollister stated that the Police Department and Library are the biggest customers of Information Services. 2