Innovation in Government: Deputy Mayor Maria Heslin
Innovation CityBackground• Like many businesses and organizations, the City is facingfinancial challenges. While we are on solid financial footingtoday, we are looking ahead at how best to align Cityexpenses with projected revenues in 2013 and beyond. Ourchallenge as we develop future budgets is that our costs arestarting to outpace revenues at a faster rate than everbefore.• By beginning this analysis now, we have the opportunity toshape the future of our organization proactively with astrategic, creative and team-centric approach.• Our goal is to adapt our organization in a way that will keepus fiscally viable while allowing us to continue providing topquality products and services to our community.
Innovation CityStructure• In late fall 2011 at the Mayor’s request I developed a planto help address the City’s financial challenges in aninnovative and holistic manner.• At the heart of the plan is Team Innovation.The team is guided by the Budget Team, whose membersare Controller Mike Trexler; Parks and Recreation DirectorMick Renneisen; Human Resources Director DanielGrundmann and me.• Every City Department Head plays a leadership role.• Team Innovation has roles available for all City employees.
Innovation CityThe ApproachWe decided to look at every aspect of how we operatethe City. So that we are thorough in our analysis andthoughtful in our decision making, we divided our workinto four main categories:1 - Human Resources Initiatives2 - Strategic Service Provision & Budgeting3 - Revenue Generation4 - Operations & Opportunities
Innovation CityChallenges• Time/balance/staffing resources• Variety of perspectives• Not a lot of muda! Already lean, already very good!• Commitment to excellence & sustainability• Communication• Change is hard!
Innovation CityStrategies & Tactics• Develop a solid working team and plan of action.• Introduce a High Deductible plan.• Implement an Early Retirement and Separation IncentiveProgram (ERIP/SIP).• Review departmental operations, with every departmentidentifying areas to save funds and increase efficiency.• Identify potential new revenue streams.
Innovation CityOutcomesDue to the efforts of the entire organization to beinnovative in how we approach governing, our proposed2013 budget takes us on a sustainable path. With thisbudget, we continue to do everything possible to keepproviding the services our community has come to expectwhile maintaining reserves close to the 2012 level.Almost every department shows flat or even decreasedspending in every category except personnel. Weve beenexamining the services we provide and the ways weprovide them so that we can make thoughtful and strategicadjustments to the way we run city government.We will continue to develop those proposals over thecoming months.
Innovation CityOutcomes• More than $1.2 million in savings directly attributable tothe Innovation project.• City’s cash reserve will remain healthy with a GeneralFund cash balance of $2,515,443 and a Rainy Day Fundbalance of $4,637,930 projected at the end of 2013.• Continued commitment to Alternative Transportation,Sidewalks Program and Social Services.• Sustainable practices that increase our energyefficiencies and reduce our carbon footprint.• Projects that will stimulate economic vitality, includingthe Switchyard, Downtown 12 Acres, Platinum BicycleInitiative and other significant infrastructure investments.
Innovation CityWhat’s Next• Continued analysis of service provision and HR options.• Identification of additional collaborations.• Decision making regarding operational practices.• Continued staffing analysis.• Continued look revenue opportunities.• Strategic plan updating.