Integrity Innovation Accountability Commitment to Excellence Teamwork Values Item 8C Ord. No. 889-A; Amending the Fiscal Year Annual Budget Annual Budget. City Council April 4, 2006

Integrity Innovation Accountability Commitment to Excellence Teamwork Values General Fund Revenues Total increase in revenue of $940,000. Sales tax: $750,000 above budgetSales tax: $750,000 above budget Fines/Forfeitures:$190,000 above budget for the periodFines/Forfeitures:$190,000 above budget for the period

Integrity Innovation Accountability Commitment to Excellence Teamwork Values General Fund Expenditures Item $ Expenditure Construction & maintenance of wireless pilot program $32,448 Implementation of Phase I of IT Assessment Implementation of Phase I of IT Assessment $173,000 Outsource Payroll Processing Outsource Payroll Processing $22,576 DPS Promotional Process DPS Promotional Process $29,000 Hazard Mitigation Action Plan Grant Fund Match Hazard Mitigation Action Plan Grant Fund Match $10,000 Shops of Southlake Underground Utilities Shops of Southlake Underground Utilities $220,000 City Branding City Branding $20,000 Total Expenditure $507,024

Integrity Innovation Accountability Commitment to Excellence Teamwork Values General Fund Estimated Year-end Estimated Revenues: $25,054,677Estimated Revenues: $25,054,677 Estimated Expenditures: $24,479,816Estimated Expenditures: $24,479,816 Revenues over Expenditures: $574,861Revenues over Expenditures: $574,861 Ending Fund Balance: $7,993,528 (32.65%)Ending Fund Balance: $7,993,528 (32.65%)

Integrity Innovation Accountability Commitment to Excellence Teamwork Values Utility Fund Proposed revenue increase: $500,000Proposed revenue increase: $500,000 Year-end revenue: $16,253,000Year-end revenue: $16,253,000 Proposed expenditure increase: $223,813 (purchase of auto read system and additional transponders.)Proposed expenditure increase: $223,813 (purchase of auto read system and additional transponders.) Year-end expenditures: $16,307,054Year-end expenditures: $16,307,054 Anticipating ending the year with 70 days of working capital.Anticipating ending the year with 70 days of working capital.

Integrity Innovation Accountability Commitment to Excellence Teamwork Values Other Funds Park Dedication Fund Proposed expenditure increase: $62,500 (contract amendment for conceptual planning and schematic design for Bicentennial Park)Proposed expenditure increase: $62,500 (contract amendment for conceptual planning and schematic design for Bicentennial Park) Year-end fund balance: $105,935Year-end fund balance: $105,935 Vehicle Replacement Fund Proposed expenditure increase: $26,100 (fund the Fleet Coordinator position)Proposed expenditure increase: $26,100 (fund the Fleet Coordinator position) Year-end fund balance: $2,312,775Year-end fund balance: $2,312,775

Integrity Innovation Accountability Commitment to Excellence Teamwork Values Other Funds SPDC-Capital Improvement Budget Proposed expenditure increase: $103,625Proposed expenditure increase: $103,625 –$37,825 for Nature Center asbestos abatement –$65,800 for design, engineering and construction of Bob Jones Loop Rd.

Integrity Innovation Accountability Commitment to Excellence Teamwork Values Questions/Comments?

Integrity Innovation Accountability Commitment to Excellence Teamwork Values

Integrity Innovation Accountability Commitment to Excellence Teamwork Values IT Study Phase I Implementation Integrated Foundational System Solution Selection: Technical expertise to assist the City in process development and solution selection by:Technical expertise to assist the City in process development and solution selection by: –assisting in defining the City’s process requirements –identifying and evaluating various software vendors and products –writing the RFP and assisting with final selection of the most appropriate software solutions for the financial management, accounting, fixed assets, human resources and utility billing systems The total mid-year budget adjustment for thisThe total mid-year budget adjustment for this project would be $98,000

Integrity Innovation Accountability Commitment to Excellence Teamwork Values IT Study Phase I Implementation Immediate Process Improvements: Development Review Process Solution:Development Review Process Solution: –Implementation of a technological solution which will reduce staff time by as much as 15% and save the City $10,187 annually (software cost of $37,500) Purchase Order Processing Solution:Purchase Order Processing Solution: –Implementation of a technological solution for the on-line purchase order processing resulting in annual savings of $43,873 and allowing those resources to be applied to higher priority issues (software cost of $37,500) The total mid-year budget adjustment for these two projects would be $75,000.The total mid-year budget adjustment for these two projects would be $75,000.

Integrity Innovation Accountability Commitment to Excellence Teamwork Values IT Study Phase I Implementation Financial Considerations: Integrated Foundational System Solution Selection - $98,000Integrated Foundational System Solution Selection - $98,000 Immediate Process Improvements (Purchase Orders and Development Review) - $75,000Immediate Process Improvements (Purchase Orders and Development Review) - $75,000 Total Mid-Year Budget Amendment for IT Study Implementation: $173,000Total Mid-Year Budget Amendment for IT Study Implementation: $173,000

Integrity Innovation Accountability Commitment to Excellence Teamwork Values IT Study Phase I Implementation Questions/Comments?

Integrity Innovation Accountability Commitment to Excellence Teamwork Values

Integrity Innovation Accountability Commitment to Excellence Teamwork Values Payroll Processing Current process is extremely inefficient (i.e. triple entry of data between departments and finance)Current process is extremely inefficient (i.e. triple entry of data between departments and finance) An area of high importance to the Finance Dept. and confirmed in the initial IT assessmentAn area of high importance to the Finance Dept. and confirmed in the initial IT assessment Total Mid-Year Budget Amendment for outsourcing payroll processing: $22,576Total Mid-Year Budget Amendment for outsourcing payroll processing: $22,576

Integrity Innovation Accountability Commitment to Excellence Teamwork Values Payroll Processing Questions/Comments?

Integrity Innovation Accountability Commitment to Excellence Teamwork Values

Integrity Innovation Accountability Commitment to Excellence Teamwork Values DPS Promotional Process Annual testing process will allow for:Annual testing process will allow for: –Promotion eligible list –Quickly fill supervisory positions –Consistency in process / managed expectations Provides equal opportunity for advancementProvides equal opportunity for advancement Uses ethical industry accepted performance measuresUses ethical industry accepted performance measures Provides increased professionalismProvides increased professionalism –Third party objectivity

Integrity Innovation Accountability Commitment to Excellence Teamwork Values DPS Promotional Process Southlake Specific Process and not an “off the shelf” processSouthlake Specific Process and not an “off the shelf” process –Testing will focus on Southlake job functions, values Specific promotional process geared towards the needs of SDPSSpecific promotional process geared towards the needs of SDPS Dynamic promotional process will use current Standard Operating Procedures and General OrdersDynamic promotional process will use current Standard Operating Procedures and General Orders 69% of SDPS employees disagreed that the promotional process is fair (2005 DPS Management Study)69% of SDPS employees disagreed that the promotional process is fair (2005 DPS Management Study)

Integrity Innovation Accountability Commitment to Excellence Teamwork Values DPS Promotional Process Financial Considerations: Currently only $11,000 budgeted for promotional processCurrently only $11,000 budgeted for promotional process Requesting an additional $29,000 to hire professional consulting firm to create and conduct the promotional processRequesting an additional $29,000 to hire professional consulting firm to create and conduct the promotional process

Integrity Innovation Accountability Commitment to Excellence Teamwork Values DPS Promotional Process Questions/Comments?

Integrity Innovation Accountability Commitment to Excellence Teamwork Values

Integrity Innovation Accountability Commitment to Excellence Teamwork Values Hazard Mitigation Action Plan Southlake must have a FEMA approved Hazard Mitigation Action Plan in place to receive future federal disaster grant fundsSouthlake must have a FEMA approved Hazard Mitigation Action Plan in place to receive future federal disaster grant funds Mitigation Planning is an integral part of emergency and disaster preparednessMitigation Planning is an integral part of emergency and disaster preparedness Southlake will use the grant funds in conjunction with local funds to prepare the required action planSouthlake will use the grant funds in conjunction with local funds to prepare the required action plan

Integrity Innovation Accountability Commitment to Excellence Teamwork Values Hazard Mitigation Action Plan Financial Considerations: The total cost to develop the action plan is $40,000The total cost to develop the action plan is $40,000 The City of Southlake applied for and received a federal grant to pay for the Hazard Mitigation Action PlanThe City of Southlake applied for and received a federal grant to pay for the Hazard Mitigation Action Plan The federal portion of the grant is 75% with the local match portion being 25%The federal portion of the grant is 75% with the local match portion being 25% In order to receive the $30,000 in federal funds, the City must match $10,000In order to receive the $30,000 in federal funds, the City must match $10,000

Integrity Innovation Accountability Commitment to Excellence Teamwork Values Hazard Mitigation Action Plan Questions/Comments?

Integrity Innovation Accountability Commitment to Excellence Teamwork Values

Integrity Innovation Accountability Commitment to Excellence Teamwork Values Underground Utilities Placement of utility lines underground at Shops of Southlake developmentPlacement of utility lines underground at Shops of Southlake development Council directed staff to proceed with this project, understanding that a mid year budget request would come forth later in the yearCouncil directed staff to proceed with this project, understanding that a mid year budget request would come forth later in the year Total Mid-Year Budget Amendment for underground utility placement: $220,000Total Mid-Year Budget Amendment for underground utility placement: $220,000

Integrity Innovation Accountability Commitment to Excellence Teamwork Values Underground Utilities Questions/Comments?

Integrity Innovation Accountability Commitment to Excellence Teamwork Values

Integrity Innovation Accountability Commitment to Excellence Teamwork Values City Branding $6,000 is currently budgeted for a city logo update$6,000 is currently budgeted for a city logo update 3/21-Leadership Southlake Team recommends branding initiative for Southlake3/21-Leadership Southlake Team recommends branding initiative for Southlake –18 month process employing a professional branding consultant –Estimated total initiative cost of $60,000 Option 1: $20,000 (+$6,000) = $26,000 (Staff Recommendation)Option 1: $20,000 (+$6,000) = $26,000 (Staff Recommendation) –RFP Development (2-4) weeks –Consultant selection –Process begins (5 months) Option 2: $54,000 (+$6,000) = $60,000Option 2: $54,000 (+$6,000) = $60,000 –RFP Development (2-4) weeks –Consultant selection –Completion of process (realistic completion by Sept?)

Integrity Innovation Accountability Commitment to Excellence Teamwork Values City Branding Questions/Comments?