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HomeMy WebLinkAbout2012-06-05; City Council; 20925; Best Value Services Program UpdateCITY OF CARLSBAD AGENDA BILL 10 20.925 6/5/12 MGR BEST VALUE SERVICES PROGRAM UPDATE DEPT. DIRECTOR CITY ATTORNEY ^ CITY MANAGER RECOMMENDED ACTION: Receive an update on the city's Best Value Services Program. ITEM EXPLANATION: As a part of its fiduciary responsibility to the Carlsbad community, the City Council strives to ensure that top quality services are consistently delivered at the best value to the public. In an effort to ensure best value is achieved, city staff developed the framework for a Best Value Services Program that assesses city services in terms of cost and quality, against industry best practices and with comparable services offered and delivered by the public and private sectors. On Sept. 20, 2011, the City Council approved the framework presented and authorized city staff to begin to refine and implement the program. As currently structured the Best Value Services Program has been designed to include four phases. Phase 1 includes the identification of a department, including various lines of business that will undergo an operational assessment. The second phase of the process, the operational assessment, consists of an independent review of a department's lines of business, in terms of their cost, methods and quality of service. On Jan. 24, 2012 the City Council approved a master agreement with the firm of Baker Tilly Virchow Kraus to perform the operational assessments and assist with the Best Value Services Program. Baker Tilly is the ^6^^ largest CPA and consulting firm in the U.S and specializes in accounting and management consulting. In addition, the firm brings significant experience from work completed in both the public and private sector. The Parks & Recreation and Transportation departments were the first two departments selected to undergo an operational assessment. The operational assessment for the city's Parks & Recreation Department is nearing completion. The next step will be for staff to review the report to ensure that the findings and recommendations were supported by the data and the methodologies were applied appropriately. The City Manager will designate the city staff representatives who will participate in that review. At the conclusion of the review, the report, including recommended actions, will be presented to the City Council for direction. DEPARTMENT CONTACT: Cynthia Haas 760-434-2829 cynthia.haas@carlsbadca.gov FOR CITY CLERKS USE ONLY. COUNCIL ACTION: APPROVED • CONTINUED TO DATE SPECIFIC • DENIED • CONTINUED TO DATE UNKNOWN • CONTINUED • RETURNED TO STAFF • WITHDRAWN • OTHER-SEE MINUTES AMENDED • Council received an update on the Best Value Services Program. Page 2 Concurrent with completion of the operational assessment and recommendations for Parks & Recreation, Baker Tilly will start collecting data and information to begin the operational assessment for the Transportation Department. City staff are currently working in conjunction with Baker Tilly to gather data for the initial analysis. There are a variety of actions that may be considered based on the recommendations in the operational assessment from Baker Tilly. These may include managed competition (if agreement is reached with the Carlsbad City Employees Association on a managed competition plan), shared services with other agencies, contracting out services and internal process improvements. Phase 3 consists of the implementation of whatever actions are approved by the City Council as a result of the operational assessment. The final phase. Phase 4, will be the transition, if necessary, to any outside providers for service provision and performance management. An option for additional public involvement in the process was presented at the Sept. 20, 2011 meeting and the City Council opted to make a determination on this at a later date. The current process calls for the City Council to consider future recommended actions associated with the Best Value Services Program in a public meeting setting (City Council meeting or workshop), with opportunity for public comment. Reports and other public records associated with this program are also available for public review. If the City Council wishes to add additional public involvement beyond these established channels they may direct staff accordingly. FISCAL IMPACT: This report was only an update and there are no additional fiscal impacts at this time other than the master agreement previously approved for Baker Tilly. ENVIRONMENTAL IMPACT: Pursuant to Public Resources Code section 21065, this action does not constitute a "project" within the meaning of CEQA in that it has no potential to cause either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment, and therefore does not require environmental review. EXHIBITS: None. Best Value Services Program UpdateCity Council MeetingJune 5, 2012 Background•July 19, 2011 Council Workshop–Presentation of research•Sept. 20, 2011 Council Workshop–Approval of Best Value Services Program Framework•Jan. 24, 2012 Council Meeting–Approval of Master Agreement with Baker Tilly Best Value Services•Phase 1 ‐Department Selection•Phase 2 ‐Operational Assessment•Phase 3 ‐Best Value Process•Phase 4 ‐Performance Monitoring3 4Recommendation by Review Committee, final decision by City CouncilManaged by City ManagerRecommendation by consultant, final decision by City Council Managed by City ManagerOperational AssessmentOutsourcingBest ValueContractingProcessContractedServicesShared servicesManaged CompetitionManagedCompetition ProcessIn‐houseServicesContractedServicesProcessImprovement Public Involvement•Options for additional public involvement in the process were presented at the Sept. 20, 2011 meeting.•Current process will include established channels such as public meetings, public comment and materials made available on the website.5 6Public InvolvementRecommendation by Review Committee, final decision by City CouncilManaged by City ManagerRecommendation by consultant, final decision by City Council Managed by City ManagerOperational AssessmentOutsourcingBest ValueContractingProcessContractedServicesShared servicesManaged CompetitionManagedCompetition ProcessIn‐houseServicesContractedServicesProcessImprovement Progress to Date•Initial Screening –Phase I–Parks and Recreation selected as Operational Assessment No. 1–Transportation selected as Operational Assessment No. 2•Operational Assessment –Phase 2–Assessment No. 1 nearing completion (June 2012)–Assessment No. 2 to begin June/July 2012•Managed Competition /Best Value –Phase 3–Draft Managed Competition Guidelines Proposal complete–City begins Meet and Confer process with CCEA on Managed Competition Guidelines Proposal.7 Questions8