Tuesday, December 14, 2010

Budget Amendments Proposed

A 90-minute City Council discussion of budget amendments concluded with the fact that savings will be minimal and a projected tax increase still stands at about 5 percent.

The governing body expects to wrap up the budget this month, but due to a required 75-day notification to affected personnel, the net savings of $162,076 will dwindle to $12,000 by the time the cuts take effect.

The amendments will be voted on next Monday, after which they will be published. A public hearing on the amendments will take place Dec. 27, at which time the council hopes to approve them and vote on final passage of the budget for the fiscal year that began July 1. The $70.3 million SFY 2011 budget introduced in October included a municipal tax levy of $50.5 million, up from $48.2 million in the 2010 fiscal year budget.

Among amendments, the council proposed reducing the salary and wage line in the mayor’s office, as well as the governing body’s own compensation. One staff attorney will be eliminated from the Corporation Counsel’s office. The Recreation Division will see a reduction of $30,000 from a fulltime position and the same amount will be added to seasonal workers.

The Purchasing Division will be eliminated in favor of putting its functions under the newly-hired chief finance officer. Councilman Adrian Mapp, chairman of the council’s Finance Committee which formulated the amendments, said purchasing will be automated under a system with which incoming CFO Ron Zilinski was very familiar.

The comptroller’s budget line will be reduced by $50,000, because there was no CFO for most of the year, but a $25,000 increase to the office will provide for a clerical position to assist with purchasing duties. Councilman William Reid objected to the elimination of the Purchasing Division and Councilman Rashid Burney expressed concerns about a new CFO’s ability to manage the change.

Reid said the CFO is scheduled to work just 28 hours a week and eliminating a person certified as a Qualified Purchasing Agent was a “step that should be reconsidered.”

Al Restaino, recently appointed director of the Department of Administration, Finance, Health & Social Services, called Reid’s concerns “very valid.” Both the comptroller/CFO’s office and the Purchasing Division report to Restaino.

“Placing the responsibility under (the CFO’s) umbrella will create a hardship,” Restaino said.

When Mapp said the purchasing was going to be automated, Reid said the city’s IT manager had never dealt with such a system, nor had Board of Education staff that will be serving the city in a shared IT services agreement. Mapp insisted that the new CFO was “very familiar with the Edmunds system,” which provides municipal software programs.

“You just got to turn it on,” Mapp said.

As Reid continued to voice skepticism about the plan, Councilman Cory Storch said he was hearing about a hardship, but he said, “The hardship we need to be concerned with is the taxpayers’.”

Storch noted city audit findings, which repeatedly found flaws in purchasing practices, and said, “I’m willing to consolidate the departments.”

With the need for personnel notices, the change would not take place until April and would affect a full year’s budget starting next July.

Among other amendments, the newly-established Division of Information Technology and Media would be de-funded and its salary and wage line of $163,000 and other expense line of $155,000 would be added to Administration & Finance, where the division is being placed. It had been free-standing and reported to the mayor, an arrangement that was in violation of the city’s charter, which calls for all divisions to be under one of three department heads.

The council will increase the budget of the Plainfield Public Library by $150,289. Mapp said last year’s cut to the library in that amount had generated “lots of debate, lots of e-mail” and that the increase was in the best interest of the city.

A $50,000 reduction in the salary and wage line for the Police Division kicked off an intense discussion of public safety issues, including overtime costs, the number of superior officers, past cuts, a spike in homicides this year and police deployment strategies. Public Affairs & Safety Director Martin Hellwig was called on to respond to the council’s concerns. Plaintalker will have more on the subject in a separate post.

In a related matter, the appearance of former Public Affairs & Safety Director Jiles Ship was put off until the Dec. 22 regular meeting, 8 p.m. in Municipal Court.

In the face of ongoing budget constraints from the state, Storch suggested that the council "redo the whole budget process." He advocated starting in January, with a collaborative effort among the city’s administrative and legislative branches and the Citizens’ Budget Advisory Board, to get an early handle on the SFY 2012 budget and to make three-year projections to keep costs under control.

--Bernice Paglia

11 comments:

  1. The real issue with City Hall as I see it is that they have good people who are willing to work, but they have no managers, or people who know how to run a department.

    Other than Ms. Taylor, the heads of the departments do not know what it means to run their area efficiently, and with changing processes. The Purchasing Department, that does everything by hand, is a perfect example of how the manager may be a nice guy, and know the functional pieces of purchasing, but he has no idea how to run a department.

    If councilman Reid is so worried about hardships, why wasn't he in favor of getting a CFO (he voted against pushing the mayor to appoint one) way before 3 years had passed?

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  2. The City has been familiar with the Edmunds System for a long time but for whatever reason, did not move forward with the Purchasing Module of the system. The Department of Public Works was suppose to be the first deparment to utilize this module but that never panned through for whatever reason.

    Utilizing the Purchasing Module, would eliminate the need for the Purchasing Department to have to re-enter the information by hand. The division requesting a purhase would enter the information into the system and forward it electronically to the Department Head for approval. The Deparment Head would electronically approve the requisition which would then be forwarded to the Purchasing Agent. The Purchasing Agent would ensure the Purchase is withing City guidelines, and among other things, ensure it is the lowest cost available, adhere to contract, if applicable and a few other checks and balances. Then the information is sent to the Comptorller to verify that funding is available and a purchase order would then be issued, printed and mailed to the vendor.

    Aside from the the purchasing process, the Purchasig Agent has quite a few other areas of responsibilities - filling office supply requistions for all city offices, bid openings, bid evaluations, etc. Having an appointed official overseeing all of this removes the checks and balances of City Operations. But then again, that could be the way the Mayor wants it.

    Appoint a Director to be in charge of all ordering in the City as well as oversee the payments should be sending a warning signal to someone.

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  3. There is incorrect information reported here. The savings is not $162K down to $12k because of timing. The $150k is monies being given to the Public Library, bringing the total to $12K.

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  4. Bibi only shines because of the company she's in. An average administrator at best. If she is really as good as everyone wants to believe, why is she here?

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  5. Thank you Bernice for doing such a good job of
    making (what have been complicated) explanations
    of the budget amendments. We are pleased with the progress for Plainfield and help for the Library.

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  6. Thank you for writing such a clear statement of
    the numerous proposed amendments to the Plainfield budget.
    We are delighted about help for our Public Library. Plainfield's gem.

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  7. If you believe Bibi is an average administrator, you obviously never attend council meetings.

    And your attitude of why is she still here is a perfect example of what Plainfielders expect - nothing. (Note who we elected for mayor)

    How about this one? There are people who are smart and enjoy challenges. Plainfield offers the challenges to make a difference and make real change. So, Bibi decided to come to Plainfield and make her mark. While it is difficult for her because the mayor does not support people to be their best, she certainly will impressive credentials to put on her resume. Personally, I would like to see more people who want to make their mark come and work in Plainfield.

    Some of us believe we deserve people like Bibi, and then there are the rest of you.

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  8. Thank God they canceled Ship

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  9. I have been to the Council meetings. Many times. Bibi plays to both sides very well. Yes she shines. But look at the luminaries she is surrounded by.

    It's all relative.

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  10. What percentage of our residents are utilizing the public library, they should have to put constraints on there budget as well and let the savings go to that of the homeowners. There should be an account of how many residents utilize the public library on a daily basis. They should have to minimize their programs as well, especially if we are cutting key functions of the city administration.

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  11. The purchasing division does more than issue purchase orders. How is it that a new CFO with issues to clean up in his own division, will be able to take on all of these issues. He will be part-time and work from home for some of those hours. Seems personal, the Council and Mayor should stop the tit for tat and make sure they run an efficient government instead of trying to one up each other.

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