pg. 1 Local Government, the New Normal, and Benchmarking April 24, 2014 Ray A. Scher Assistant Director, Office of Management and Budget 1 The View from Miami-Dade County

pg. 2 Managing for a Diverse Community 2.5 million residents Diverse (61% Hispanic, 18% non- Hispanic White, 18% Black and 3% Other) Approximately 50% Foreign Born 2

pg. 3 Managing for a Diverse Government Strong Mayor / 13 District County Commissioners Two-Tier Form of Government –55.5% residents live in cities (including Miami and Miami Beach) –44.5% live in Unincorporated Area. Many County Services: Many Disparate Customers 3

pg. 4 Recent Budget Picture…

pg. 5 Recent Workforce Picture…

pg. 6 Catalyst for Change… Last few years - considerable transition: Employee health insurance and retirement contributions + other pay cuts (~ 8% to 25%) Downsizing of workforce Additional pressure to save $s with little or no service impact  Managing with FACTUAL DATA (and using benchmarking!) 6

pg. 7 Examples of Miami-Dade County’s Use of Comparative Analysis (a.k.a. Benchmarking)  Example 1: Solid Waste Transfer  Example 2: Animal Services  Example 3: IT Procurement 7

pg. 8 Example 1: Solid Waste Transfer  Challenge: Lower the cost of transporting solid waste to disposal facilities in the County  Methodology: Lean Six Sigma / DMAIC (including comparative analysis with Palm Beach) 8

pg. 9 Example 1: Solid Waste Transfer (continued) 9  Solution: Lower Tare Weights of Trucks and On Board Truck Scales for Greater Consistency

pg. 10 Example 1: Solid Waste Transfer (continued)  Results: Pilot Project showing savings of over $350k annually 10

pg. 11 Example 2: Animal Services  Challenge: Lower the overall cost  Methodology: Plan-Do-Check-Act (including comparative analysis with other jurisdictions) 11

pg. 12 Example 2: Animal Services (continued) 12  Solution: included Comparative Research (benchmarking survey): 8 jurisdictions including 5 in Florida Obtained information about successful practices in licensing, customer service and enforcement Also visited Broward County’s Animal Care and Regulation Division for more detailed information about its animal licensing process

pg. 13 Example 2: Animal Services (continued)  Results: 5 of 8 jurisdictions outsource data entry of rabies certificate information submitted by veterinarians Several jurisdictions don’t respond to all stray calls; only aggressive or contained animals Evaluation of different work schedules; (3 of 8 jurisdictions use 4x10s) Revised tag/rabies citations procedure: hybrid with grace period for compliance 13

pg. 14 Example 3: IT Procurement  Challenge: Improve the process and lower the cost  Methodology: Plan-Do-Check-Act (including comparative analysis with other jurisdictions) 14

pg. 15 Example 3: IT Procurement (continued) 15  Solution: included Comparative Research (benchmarking survey): MDC plus 5 other large counties in Florida Obtained information regarding general IT demographics and purchasing related practices

pg. 16 Example 3: IT Procurement (continued)  Results: 16

pg. 17 Lessons Learned 17  Comparative analysis is often a beginning or means to an end, and not the end (result) itself  When selecting benchmarking partners, consider factors/differences but best to be open minded: Large vs. Small Govt, City vs. County, Public vs. Private Sector, etc.  There are always doubters/naysayers that will not support comparative analysis  Comparative Analysis (Benchmarking) is an important and useful tool in the New Normal

pg. 18 The End (Questions and Answers?)