Summary of Specifications:
INTRODUCTION
The City of Ferndale is requesting proposals in order to select a qualified Facilitator to assist the City with a City-wide program prioritization and strategic planning initiative that will influence the FYE 2011 budget process.
BACKGROUND INFORMATION
Ferndale City Government The City of Ferndale, a Michigan municipal corporation (“City”), operates under the Council-Manager form of Government. The City Council consists of the Mayor and four Council Members (City Charter Chapter III, Section 1). The City Council constitutes the legislative and governing body of the City and is empowered by the City Charter to exercise governmental authority (City Charter Chapter III, Sections 1 and 2). Except as to Divisions and Departments under the direction of the Council and except for the purpose of inquiry, the Council and each of its Members shall deal with the administrative branch of the City government solely through the City Manager and neither the Council nor any member - shall give any order or direction either publicly or privately to any of the subordinates of the City Manager (City Charter Chapter III, Section 8). The City Attorney’s Office, City Clerk’s Office, Police Department and Fire Department are under the supervision, direction and control of the Council (City Charter Chapter III, Section 12). Every other administrative division of City government is under the supervision, direction and control of the City Manager (City Charter Chapter III, Section 12). The Council appoints the City Manager and the City Manager is responsible to the Council for the proper administration of the divisions of the City government under his supervision, direction and control (City Charter Chapter III, Section 14). The Council appoints the City Attorney, City Clerk, Police Chief and Fire Chief who have charge of the Departments under the supervision, direction and control of the Council (City Charter Chapter III, Section 16).
Community Background The City of Ferndale is located in southeastern Oakland County immediately north of Detroit. The City is approximately four square miles. The City's population is currently approximately 20,000. The City's FYE 2010 General Fund budget is approximately $18,500,000. The City currently employs approximately 170 full-time and 60 part-time employees.
Project Background The City is currently in good financial condition. However, five-year financial forecasts show revenue decreases and expenditure increases will likely make the status quo unsustainable. City staff is currently evaluating a variety of options for balancing the FYE 2011 budget and achieving financial sustainability. They include increasing revenue, reallocating resources, and decreasing expenditures. In addition, Cobalt Community Research is currently conducting a citizen satisfaction survey and soliciting public input on some of these options.
Project Inputs The Facilitator will work with the City’s “Leadership Team” (five Council members, the City Manager, three Department Heads appointed by the Council, and seven Department Heads appointed by the City Manager) on this project. The Facilitator will meet with Leadership Team members both individually and as a group during this project. Meetings with individual Leadership Team members shall not be open to the public. Leadership Team meetings including three or more Council members shall be open to the public. Team meetings are scheduled for the evening of Fri 11/6/2009 and all-day Sat 11/7/2009. These dates are not negotiable. Facilitators unable to attend those meetings in person should not provide a proposal. The Facilitator will review the following inputs before meeting with Leadership Team members: • 2007 Benchmarking Assessment conducted by J.L. Boyle International • 2008 Fire Department Annual Report • 2008 Police Department Annual Report • FYE 2008 City Council Goals & Objectives • FYE 2008 Audited Financial Statements • June 2008 “Getting Your Priorities Straight” Public Management Magazine cover story • FYE 2010 City Council Goals & Objectives • FYE 2010 City Budget • FYE 2010 Fee Schedule • City Manager’s June 18, 2009 memo RE: June 22 Special Council Meeting
Project Activities The Facilitator will begin working with the City Manager and Department Heads to inventory the City’s General Fund programs as soon as a contract is executed. Programs are defined as activities with inputs of $100,000 or 0.5 Full-Time Equivalent (FTE) annually. The goal is to identify programs neither too broadly or narrowly but rather at a level that has a measurable effect on the City’s General Fund budget.
The Facilitator can simultaneously begin working with the Council to identify and define the results they want City government to achieve. However, the composition of the Council will change in January 2010 based on the Tue 11/3/2009 election so this portion of the project will not be finalized until January. The current Mayor is running for reelection unopposed. The terms of two Council members end on Thu 12/31/2009. One is running for reelection and one is not. Three other candidates are also running. The top two vote getters will take office in January 2010. The new Council member(s) will be invited to participate in the Fri 11/6/2009 and 11/7/2009 Team meetings. Results are intended to be the primary focus of those meetings. The Facilitator will work with members of the Leadership Team individually to finalize the results after the meetings so the new Council may formally adopt a Goal Statement in January. While the Council will not formally consider a Goal Statement new January 2010, the Leadership Team will attempt to achieve general consensus on results in November so the Facilitator and the Leadership Team can value the results in December and Department Heads may utilize this information as they prepare their budget requests in January.
Following the Team meetings, the Facilitator shall work with members of the Leadership Team individually to value the results of City government. This can be achieved by creating a scorecard that allows each Leadership Team member to allocate $100 among the results based on what they believe is most important to the City. The Facilitator will then use this information, the City Program Inventory, and the budget allocation module provided by Cobalt Community Research to create a Program Prioritization Matrix that graphs each program in quadrants based on cost and importance. This phase should be completed in December.
Project Outputs The Facilitator shall be responsible for producing the following outputs: • City Program Inventory • Council Goals Statement identifying and defining the results the Council wants City government to achieve including the relative value of each result • Program Prioritization Matrix
Project Schedule The Facilitator shall begin work immediately upon approval and execution of the attached contract. Department Heads will use the Project Outputs as they prepare their budget requests in January and the Council will use the Project Outputs as they consider the FYE 2011 budget in April and May. It is important to complete the Project Outputs in January in order to have the maximum influence possible on the FYE 2011 budget process.
September – October 2009: City Program Inventory
November 2009: Strategic Planning Meetings Identify and Define Results
December 2009: Value the Results of City Government Council Goals Statement Program Prioritization Matrix
January – March 2010: Internal Budget Process
April – May 2010: External Budget Process
Desired Outcomes Although the Facilitator cannot be held responsible for them, the Facilitator needs to understand the City’s desired outcomes. First and foremost, this project is intended to prioritize programs based on cost, importance, and satisfaction in order to help the Council make the difficult decisions necessary to balance the FYE 2011 budget. The process will give the City an opportunity to refocus its mission and vision in the face of financial challenges. This will allow the Council to critically assess current operations (ask why we do what we do the way we do it) and consider alternative service delivery methods during the FYE 2011 budgeting process.
If successful, this project will link the City’s annual budgeting and strategic planning processes, transforming them into an annual fiscal sustainability planning process. This project will allow the City to value programs based on evidence of their influence on results and conduct City-wide program prioritization in 2010. This will allow the Leadership Team to better understand the effect programs have on results and enable the Council to make future resource allocation decisions to achieve fiscal sustainability based on their priorities. This will also allow the Leadership Team to articulate to employees and the public how City services are valued, how the City invests in high-priority programs, and how the City divests lower-priority programs.
SCOPE OF SERVICES & DELIVERABLES
Introduction The Facilitator will be responsible for planning and executing all project activities described above. This includes, but is not limited to, the following: • Creating and maintaining the project schedule. • Scheduling and attending all project meetings and preparing meeting agendas and minutes as necessary. • Creating and maintaining a comprehensive issue list of unresolved issues, responsible parties, resolution steps and due dates. • Preparing periodic project status reports as requested by the City Manager.
Scope of Services 1. Inventory City Programs (October) a. Review City Charter, Code of Ordinances, FYE 2010 Budget, Fire Department Annual Report, Police Department Annual Report and other material provided by the City. b. Interview City Manager, Department Heads or their designees. c. Prepare draft City Program Inventory. d. Review draft City Program Inventory with the City Manager and Department Heads. e. Finalize City Program Inventory. 2. Identify and Define the Results of City Government (November) a. Before the Fri 11/6/2009 and 11/7/2009 Team meetings, prepare, distribute, and collect pre-work and other materials as necessary to identify and define the results the Council wants City government to achieve. b. Facilitate the Fri 11/6/2009 and 11/7/2009 Team meetings to identify and define the results the Council wants City government to achieve. c. Prepare, distribute, and collect materials as necessary to identify and define the results the Council wants City government to achieve after the Fri 11/6/2009 and 11/7/2009 Team meetings. d. Meet with members of the Leadership Team individually as necessary to identify and define the results the Council wants City government to achieve after the Fri 11/6/2009 and 11/7/2009 Team meetings. 3. Value the Results of City Government (December) a. Prepare, distribute, and collect scorecard to value the results of City government after the Fri 11/6/2009 and 11/7/2009 Team meetings. b. Average scorecards. c. Finalize draft Goals Statement identifying and defining the results the Council wants City government to achieve including the relative value of each result. d. Attend subsequent Council meeting when the Council considers Goals Statement (January 2010). 4. Create Program Prioritization Matrix (December) a. Use the draft Goals Statement, City Program Inventory, and budget allocation module provided by Cobalt Community Research to create a Program Prioritization Matrix that graphs each program in quadrants based on cost and importance.
Deliverables The Facilitator shall be responsible for the creation and distribution of a variety of deliverables necessary to conduct project activities and deliver project outputs. These include,
