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4646 Dakota Street SE
Prior Lake, MN 55372
CITY COUNCIL AGENDA REPORT
MEETING DATE: June 20, 2011
AGENDA #: 7B
PREPARED BY: Frank Boyles, City Manager
Kelly Meyer, Asst. City Manager
PRESENTED BY: Frank Boyles, City Manager
Kelly Meyer, Asst. City Manager
AGENDA ITEM: CITY STAFF REORGANIZATION
DISCUSSION: Introduction
The purpose of this report is to appraise the City Council of a reorganization of
City staff that I will be implementing. As the Council is aware, there are
currently two key management positions vacant- Public Works Director and
Community Development/Natural Resources Director. Any time there are
vacancies of this type, it provides me the opportunity to review our
organization as a whole and determine whether the human resources and
talents available in -house or in the market are best assigned to meet the
current and future priorities of the City Council and objectives of the 2030
Vision and Strategic Plan.
History
Organizations must address two antithetical needs. On one hand they much
reflect structure, accountability and chain of command. On the other, they also
need to be fluid in order to accommodate turnover, survive unforeseen
challenges, and facilitate the alignment of talents with tasks to address the
changing priorities and needs of the community.
This reorganization of City departments is the latest of 13 restructurings which
I have undertaken since I became the City Manager in March 1993. Some of
the reorganizations were a result of opportunities for collaboration, some were
the result of economic growth or decline, and some were a result of a demand
for services or change in priorities. In each case I assessed the strengths and
areas for improvement of my staff, and the needs of the organization, and
tried to align the two to best serve the needs of the community.
Current Circumstances
I have identified areas within our organization where resources are either
under- or over - utilized. I believe that improvements can and should be made
which would create efficiencies and dedicate resources to community priorities
in a cost - effective manner.
Areas for Improvement include
1. Addino capacity and resources to Eco nomic Development.
In 2008, the economic downturn necessitated the elimination of the City's
Economic Development Director position. The rationale was that
development was virtually non - existent and so it was not prudent to
Phone 952.447.9800 / Fax 952.447.4245 / www.cityofpriorlake.com
continue to dedicate resources to this effort. Today, we see a new
initiative by the City Council and EDA to spur economic development and
Downtown Redevelopment. We are also seeing fledgling businesses
search for City support and platting of properties which has been missing
now for almost two years. In the short-term, this effort was managed by
the Community Development Natural Resources Director and the City
Manager. Given the priority placed upon economic development, and the
other workload demands of the City Manager and Community
Development Natural Resources Director, it will be necessary to realign
responsibilities in order to give economic development sufficient resources
to achieve the aggressive goals the EDA has identified for
accomplishment.
2. Adding capacity and resources to NaturalMater Resources
Natural and Water Resources are consistently mentioned by residents as
a source of primary importance and pride. As such, the City Council has
made improvement, conservation, and innovation related to water and
natural resources a priority. Even though the City has had dedicated staff
in these areas, we have not put the resources together in a manner that
allows them to collaborate consistently, create synergy through their
expertise, or most efficiently plan for maintenance and conservation
projects. This is an area that should be improved given the community's
investment in the parks, natural areas and water resources.
3. Dedicate resources and staff time to Facilities Management.
In 2008, 1 had proposed a full -time facilities management position
dedicated to the maintenance and efficient management of the City's
seven multi - million dollar facilities, including the City Hall, Police Station,
two Fire Stations, Library/Club Prior, Maintenance Facility, and Water
Treatment Plan. Due to the economic pressures of that time, I eliminated
the position prior to its recruitment. The job responsibilities were added to
the Building Inspections division as an "add -on" to their full -time duties.
My observation over the years is that this is a significant cost center, one
that needs on -going attention to maximize savings while assuring the long-
term well -being of the structures.
4. Divide tasks so that appropriate attention can be given to key
management responsibilities
Over the last three years, the economy has necessitated reduction of staff
and having those job responsibilities absorbed, for the most part, by
department managers. Many of our management staff have increasingly
demanding workloads, consistently operate by putting out the closest fire
and never getting to lower priority projects. They also tend to become the
landing place for miscellaneous tasks that no one else has time or
expertise to complete. In my opinion this has led to four outcomes: (1) staff
members are putting in an inordinate amount of time, (2) all projects may
not be getting the full amount of time to be completed effectively, (3)
mistakes which typically do not happen are beginning to take place; and
(4) projects are either not getting done in a timely fashion or not getting
done at all. I have attached for your information work lists from three of my
departments to illustrate.
2
5. Gain efficiency by aligning similar tasks /resources.
Instead of thinking in terms of how our various divisions are different, I
believe we should be thinking in terms of how we are similar and what
type of efficiencies can be gained. If there are opportunities to align
resources, or reporting responsibilities differently in order to gain staff
efficiencies and /or customer benefits, I would like to do so.
6. Recognize Impact on Current and Future Budget
Every staffing decision considers not only service demands, but also the
long -term implications to the budget, and tries to balance the cost of
providing the service with the value to the community.
7. Employee Development
It is important to identify those persons within the organization who seek
out additional responsibility and give them opportunities to be successful.
This is an objective in our day -to -day operations as well as in any
reorganization. It is particularly important at this time because over the
next 5-7 years we will see a large number of baby boomers and their
expertise retire from the employment market.
To respond to the seven conditions enumerated above, I am implementing
the following organizational changes. To assist the Council, public and
staff to visualize the reorganization, I have included Exhibit 1 (our existing
organizational format) and Exhibit 2 (the format after the reorganization).
Organizational Chances:
Below is an outline of the reorganization:
• Realign the Public Works, Building and Transportation Services, and
Community Development and Natural Resources departments as follows:
Engineering and
Public Works & Natural
Development Services
Inspection Services
Resources
Director of Inspections /City
Public Works & Natural
Economic Development
Engineer (Larry Popple►
Resource Director (Katy
and Planning Director
Gehler )
( vacant
Building Inspectors (Bob
Maintenance
Planner (Jeff Matzke)
Hutchins, Paul
Superintendent (Joe Wiita)
Baumgartner
Engineering Tech 4 (Kevin
All other current
Planner (new position)
Kleist )
maintenance positions
Engineering Tech 3 (Nate
Facilities & Natural
Development Services
Briese)
Resources Manager (Al
Asst. (Joe Sortland)
Fried es
Code Enforcement Officer
Water Resources Engineer
Jesse Corrow
Ross Bintne
Civil EIT (Aaron Carranza)
Admin. Specialist (Becky
Lun
Development Services Asst.
Maint. Secretary (vacant)
(1.5) (Lynda Allen, Judy
Pint
GIS consultant
3
Current Building and Transportation Services Director Jane Kansier will be
reassigned as a second Assistant City Manager responsible for transit,
grants, SCALE Transportation initiative, data practices, risk management,
and management of LEAN initiatives. She will also take on an important
role in completing research projects, policy /ordinance updates and special
projects as assigned (such as update of the annexation agreement,
update of fire dept. bylaws, fee studies, management of Comp Plan
update).
Current Parks Supervisor Al Friedges will be reassigned as Facilities and
Natural Resources Manager and relocate his office to City Hall. Al will be
primarily responsible for managing City facilities and fleet. He will also
continue his leadership in the area of natural resources and forestry, and
expand his collaboration and coordination with water resources. Al will
also continue to be responsible for long -term planning for parks and
development of the various parks and facilities replacement matrixes.
• Current Streets and Utilities Maintenance Supervisor Joe Wiita will be
promoted to Maintenance Superintendent and will manage the resources
and operations for park maintenance, streets and utilities. I expect that the
cooperation between parks, streets and utilities crews will fully develop
with a new generation of supervisors.
We will hire an Economic Development and Planning Director who can
provide staff support for the Economic Development Authority and its new
initiatives. In order to manage the planning responsibilities related to
development, we will supplement the department by adding an entry level
planner position to accomplish the work that, all too often, divided her time
and attention.
A current maintenance secretary vacancy will be slightly modified to
include responsibility for facilitating the Cartegraph database system. This
system will provide us with the metrics that both my managers and the
City Council seek.
Benefits of Reorganization
✓ Distributes work responsibilities more effectively, particularly at the
Department Head level.
✓ Aligns resources with Council priorities in economic development and
natural /water resources.
✓ Allows work to be accomplished and programs initiated which are
otherwise "parked" today.
✓ Leverages staff expertise and talents where they can provide most value
to the organization.
✓ Provides opportunity for staff development for new and long -term
employees.
✓ Consolidates field inspection function into one department and allows for
cross - training and opportunity for greater efficiencies and communications
among field inspections personnel.
✓ Promotes continued and improved collaboration and efficiencies between
engineering, inspections, planning, and natural resources personnel by
locating all staff at City Hall.
4
✓ Puts economic development resources in place utilizing the $55,500
designated from the Economic Development budget, but without the need
for additional funding in 2012 for personnel.
Conclusion
Change, especially change affecting people we know is uncomfortable and
often difficult. As City Manager it is my responsibility to take decisive and
proactive action to assure that the Prior Lake organization is in the best
position to accomplish current and future goals and objectives. I am proud of
the professionalism, courage and willingness my staff has shown and
continues to show to embrace the changes that I believe put our organization
and our staff in the best position to be successful.
ISSUES: Kelly (who has done an incredible amount of work to make this reorganization
possible) and I have sought out the opinions of our senior staff before
proceeding with implementation. We have also talked to each of the persons
whose positions are impacted or changed. Only when we thought we fully
understood all perspectives and addressed the primary concerns did we
proceed with this plan. However, no reorganization is perfect. We have
identified the following challenges:
• Non - traditional department structure
The department structure resulting from this reorganization is not typical of
municipalities. This can be a challenge for recruitment when we
experience turnover at the management level. However, we have shown
for over a decade that a non - traditional Park and Recreation Department,
for example, can work with the proper management and personnel. I am
confident the same will be true for this structure and I believe that the
affected staff members will thrive.
• Addition of one direct report for the City Manager
One of the objectives I sought to achieve in this reorganization was to
reduce the number of people reporting to me so that I can give them, and
my responsibilities to the City Council, the time they both deserve. This is
a work in progress. I will continue to evaluate this area in hopes that I can
offer a solution in the not too distant future.
• Separates Engineering and Maintenance divisions
Ideally, public works maintenance and engineering should operate under
one director. But, I believe the day has passed that this is a realistic
expectation given the workload of the departments. We are, quite simply,
undertaking too many and too diverse initiatives for one director to
effectively coordinate. I believe that the supervisory combination I am
contemplating will minimize this concern, and provide even more diverse
work capacity than we have had before.
I am concerned about each of these challenges. But, I believe that they can
be overcome, and the benefits of the reorganization far outweigh the
challenges.
FINANCIAL On an annual basis, this reorganization is estimated to impact the following
IMPACT: Funds as noted below including pay and benefits but not including office
furniture and the like which I expect to utilize existing resources to secure:
General Fund $ 48,927
Water Fund ($55,482)
5
Sewer Fund $ 9,605
Water Quality $33,630
Total Increase $36,680
The calculation is an estimate because there are some assumptions built in
for positions that have yet to be recruited (planner, Community and Economic
Development Director). The estimate also includes utilizing the $55,500
allocation from Economic Development We will look to fill the Community and
Economic Development Director position with a candidate that can bring
strong economic development background, supervisory experience, as well as
a strong municipal planning base. It is my intention to share this memo and
information about the reorganization with the EDA at their next meeting.
Overall from a staffing perspective, we add one director level position, one
entry level planner, and one additional day per week for the maintenance
support staff.
No budget adjustment is necessary. There is capacity in the existing 2011
budgets.
CONCLUSION: Under the Council /Manager form of government, the City Manager has
exclusive control of the staff. As such, the reorganization does not require City
Council approval. On the other hand, I value the City Council's understanding
of what I am trying to achieve and their observations as well. I hope that the
City Council will give this reorganization their support. By the same token if in
the future you have concerns, please let me know.
n
City of Prior Lake Organizational Chart
January 2011
Citizens of Prior Lake
Councilor
Councilor
Mayor
Councilor
Councilor
Warren Erickson
Ken Hedberg
Mike Myser
Richard Keeney
Vanessa Soukup
Community Safety Advisory
Lakes Advisory
Economic Development Authority
Parks Advisory
Planning Commission
Communications /Technology Adv.
Economic Development Advisory
Committee
City Manager
Frank Boyles
Ass't City Manager
K. Meyer
City Attorney
S. Pace
Rec. Coordinator
Comm. Coord.
A. Barstad
M. Peterson
Adm. Assistant
Sr Programmer
C. Green
J — D. Carlberg
Receptionist
Rec. Programmer
J. Fuehrer
L. Drabant
L. Folie
Rec. Secretary
N. McGill
Finance
Pub Wrks /City Engr
Bldg, Code Enf, Trnst, Rsrch
Comm De /Nat Res
Police Chief
Jerilyn Erickson
vacant
Jane Kansier
vacant
Bill O'Rourke
Acct Supv
Streets Utilities
Park Fleet
Admin Specialist
Ass't City Engineer
Lieutenant
Building Official
J. Gilb
J. Witta
A. Friedges
B. Lund"
L. Poppler
R. Hutchins
R. Hofstad
Acct Specialist
Pub Wrks Foreman
Parks Maint Frman
Water Res Eng
Planner
Sergeants
Detectives
Code Enforce Off
J. Ringberg
J. Theisen
G. Skluzacek
Secre ta ry
R. Bintner
J. Corrow
J. Matzke
T. Kahlert
C. Olson
J. Stanger
D. White
vacant`
Dev. Services Asst.
G. Zollner
Adv Utility Bill
Maintenance
Maintenance
Eng Tech IV
J. Sortland
M. Olson
B. Brandt
C. Wiita
K. Kleist
Building Inspector
Records Supv.
B. Friedges
C. Maatta
P. Baumgartner
Patrol Officers
C. Kline
Utility Billing
vacant
S. Johnson
Eng Tech II
R. Richards
Gina Wilson `
vacant
T. Hein
N. Briese
J. McHaney
P. Hilgers
M. Buesgens
Dev. Services Asst.
M. O'Hehir
L. Dorn
J. Coy
L. Allen
R. Freiberg
T. Buckley
L. Karow
Dev. Services Asst
T. Demming
Records Clerks
B. Meuleners
J.
J Pint
C. Johnson
C. Ostlie
A. Breeggemann
D. Goldhammer
J. Ellanson
B. Cragoe
M. Moore
E. Whitmer
Mechanic
vacant
D. Schuetz
K. Olson"
D. Pauly
C. Zweber
C. Johnson
C. Shimota
J. Rozga
R. Denmark
Water Systems
A. Boser
Operator
D. Olson
CSO
A. Stephes
S. Johnson
C. Adelmann`
M. Tabone
J. Skluzacek`
C. Schaefer
Wastewater
Operator
J. Larson
SMSC Liaison
M.Tabone
ISD 719 Liaison
M. O'Hehir
Traffic Safety Advisory
Fire Chief
Doug Hartman
1 st Asst Chief
J. Larson
2nd Asst Chief
M. Friedrich
Firefighters
K. Kleist
C. Blade
S. Burfeind
T. Barta
J. Bradford
J. Carlson
D. Chard
M. Klimers
R. Kathan
J. Kline
B. Krause
J. Kruse
M. Kilanowski
J. Machal
D. Nelson
M. Nelson
R. Prekker
J. Riegert
J. Ruzicka
R. Saatoff
D. Seery
E. Steinhaus
K. Schommer
L. Schommer
N. Solie
N. Truso
A. Wolfram
C. Weber
E. Winter
G. Wiegel
P. Yttreness
R. Yurko
E. Zimmerman
G. Zuspann
J. Zieska
T. Zettler
City of Prior Lake Organizational Chart
May 2011 Reorganization
Dev. Services Asst.
L. Allen
J. Pint'
Mechanic
C. Zweber
C. Shirnota