Report to Mayor and City Council
Tuesday, August 01, 2017
Discussion
SUBJECT:
Title
DISCUSSION OF THE CURRENT CITY OF CARSON HIRING FREEZE (CITY COUNCIL)
Body
I. SUMMARY
The purpose of this agenda report is to provide further detailed information about the hiring freeze that was adopted with the FY2016-2017 and FY2017-18 budget. A total of 38 positions are currently frozen. The Council will discuss extending the hiring freeze to current and future positions that are not subject to the hiring freeze.
II. RECOMMENDATION
Recommendation
DISCUSS the current hiring freeze, and PROVIDE additional direction to staff as deemed necessary by the City Council.
Body
III. ALTERNATIVES
TAKE another action deemed necessary by the City Council.
IV. BACKGROUND
The current employee hiring freeze began in November 2015. At the time the FY15-16 budget was adopted, management recommended the City Council impose a hiring freeze on all vacant full-time positions to help reduce the budget deficit. Various full-time positions were in the recruiting process at that time, and the exact list of positions subject to the hiring freeze was difficult to develop.
As part of the FY16-17 budget process, management recommended continuing the hiring freeze. At the time the FY16-17 budget was adopted, it was well documented that 18 full-time positions were subject to the hiring freeze, as shown below:
During the FY17-18 budget process, management recommended an extension of the hiring freeze. The extension was to include the budget for additional vacant full-time positions; which was not currently being used to fund interim staff, consulting contracts, or special projects. The proposed hiring freeze did not include vacant full-time positions that were fully funded by restricted money, as that would not generate General Fund savings. The list of 20 employee positions added to the hiring freeze with the FY17-18 budget follows.
Part-time vacancies were not impacted by the hiring freeze. Various vacant full-time positions were also not impacted by the hiring freeze, as the budget for those positions was being used for other expenditures. Examples follow:
• Assistant City Manager budget used to fund interim assignment to Dr. James Hart.
• Accountant budget funded by restricted funds only; and would have resulted in no General Fund savings.
• Human Resources Director, determined to be critical to City operations, was not included in the hiring freeze; however, the budget for the position was reduced by 25% to capture savings from the vacancy during the recruitment period.
• Public Works Administrative Secretary budget used to fund an intern assignment and necessary staff training.
• Associate Civil Engineer budget used to fund contracted engineering services.
• Housing & Development Program Manager budget used to fund contracted planning services.
The following full-time positions are not subject to the hiring freeze, and are currently in the recruiting process.
|
Title |
Department |
Status |
|
Accountant I |
Finance |
Certified List Interviews scheduled 08/01/17 |
|
Equipment Service Worker (PT) |
Public Works |
Accepting applications |
|
Parking Control Officer |
Public Safety |
Written exam 08/09/17 |
|
Assistant City Manager |
City Manager |
Accepting applications |
|
Associate Civil Engineer |
Public Works |
Oral Exam 08/16/17 |
|
Code Enforcement Officer |
Public Safety |
Requisition to fill vacancy received |
|
Administrative Specialist |
Public Safety |
Requisition to fill vacancy received |
The following full-time positions are subject to the hiring freeze; yet are in the recruitment phase. These positions will not be filled unless the hiring freeze is lifted. Recruitment progress is being made in anticipation of a potential lift of the hiring freeze.
|
Title |
Department |
Status |
|
Construction Inspector I |
Public Works |
Written Exam 08/02/17 |
|
Civil Engineering Assistant |
Public Works |
Oral Exam 08/16/17 |
|
Associate Civil Engineer |
Public Works |
Accepting applications |
V. ANALYSIS
The Budget Subcommittee did not discuss whether the hiring freeze should extend to existing and future vacancies. Council Member Hicks has requested that the Council discuss of extending the hiring freeze to seven existing vacant positions and to future vacant positions in order to help close the City’s budget deficit.
Employee vacancies due to retirements and resignations give the City the opportunity to review the need for the position and to consider options. Options include hiring part-time employees, contracting out for the service, consolidating or eliminating services provided by the employee, not filing the position or allowing the position to be filled.
There are different ways to implement hiring freezes. The Council could request that vacancies be presented to the City Council on a “case by case” basis. Council could also exempt certain positions from the hiring freeze. For example, positions in public safety or positions that generate off-setting revenues to support employee compensation. Examples include parking control officers or city planners who work under the developer deposits or reimbursement agreements.
It should be noted that the City has lost 22% of its work force since FY2012-2013, for a total of 74 employees in the last six years. The current hiring freeze has adversely impacted all of the City’s various operations, since the workload has not decreased and staff is increasingly called upon to do more with less.
The City’s has had eight deficit budgets in the last eleven years. The current General Fund structural budget deficit is estimated at $8 million. The Council has been working to reduce the budget deficit by reducing expenditures and adopting new fees. The City is also considering additional tax measures. However, erasing the structural deficit will take a number of years and consideration of extending the hiring freeze to all current and future vacant positions is an option to assist the City in closing the structural budget deficit.
VI. FISCAL IMPACT
There is no fiscal impact associated with the City Council discussion. However, there may be a fiscal impact if City Council directs staff to amend the hiring freeze.
VII. EXHIBITS
None.
Prepared by: Kathryn Downs, Director of Finance