% offers rejected versus offers tendered. NA NA 2% # of involuntary separations during probationary period.
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2 Human Resources The Human Resources Department is responsible for providing the following services to the City, employees and volunteers: workforce planning and strategy; recruitment, selection and orientation; compensation plan development; benefits and wellness development and administration; counseling and discipline; policy development, record keeping; background checks, development and compliance with administrative regulations as well as state and federal regulations, training and employee development; employee recognition programs; volunteer Program management. Outcome Performance Measure 2011 Actual 2012 Revised 2013 Projected Remain competitive in attracting and retaining a high quality, motivated, and committed workforce. Limit employment liability in the work environment. Maintain and improve the accountability of the City s workforce. % offers rejected versus offers tendered. NA NA 2% # of involuntary separations during probationary period % of employees retained beyond 6 months to 3 years of service. NA 98% 98% % of employees retained beyond 3 to 5 years of service. NA 96% 96% % of employees retained beyond 5 years or more. NA 95% 95% # of contested unemployment claims lost by the City % participation in compliance trainings. 98% 98% 98% % compliance with HR designated supervisor trainings. NA 95% 95% % of involuntary separations. (excluding layoffs).7% 2% 2% % compliance with performance evaluation process and timelines. 96% 95% 95% City of Loveland, Colorado Budget Book 2013 Page 12-1
3 Human Resources Department Summary 12 Adopted Budget 12 Revised Budget as of June 13 Budget / 12 Adopted % Change 11 Actual 13 Budget General Fund H.R. ADMINISTRATION 624, , , , % COMPENSATION & BENEFITS 119,420 90,230 90,230 92, % PERFORMANCE MGMT. - 69,960 69, , % - - TALENT MGMT. - 67,110 67,110 - (100.0%) - - Total General Fund $743,474 $926,550 $926,550 $1,048, % Internal Service Fund EMPLOYEE BENEFITS 9,679,164 11,126,500 11,126,500 10,229,300 (8.1%) - - RISK AND INSURANCE 2,099,496 2,520,880 2,522,590 3,038, % Total Int Svc Fund $11,778,660 $13,647,380 $13,649,090 $13,267,660 (2.8%) Total Expense $12,522,134 $14,573,930 $14,575,640 $14,315,820 (1.8%) REVENUE General Fund ADMIN. ALLOCATIONS 305, , , , % GENERAL FUND SUBSIDY 437, , , ,310 (62.8%) Total General Fund $743,474 $926,550 $926,550 $1,048, % Internal Service Fund CHARGES FOR SERVICE 11,522,406 11,941,590 11,941,590 11,673,260 (2.2%) INTEREST 321, , ,560 90,910 (25.8%) FEDERAL GRANT - - 3, MISCELLANEOUS 101, TRANSFERS 287, Total Internal Service $12,232,434 $12,064,150 $12,068,040 $11,764,170 (2.5%) Total Revenue $12,975,908 $12,990,700 $12,994,590 $12,812,330 (1.4%) EXPENSE BY CATEGORY PERSONNEL SERVICES 967,698 1,099,560 1,099,560 1,082,940 (1.5%) SUPPLIES 114, , , , % PURCHASED SERVICES 11,302,429 13,366,210 13,367,920 13,079,410 (2.1%) TRANSFERS 137, Total Expense $12,522,134 $14,573,930 $14,575,640 $14,315,820 (1.8%) 12 FTE 13 FTE City of Loveland, Colorado Budget Book 2013 Page 12-2
4 Human Resources Administration Human Resources Administration is responsible for the development and compliance of City-wide functions as well as the development of internal City-wide policies and programs to assist in the achievement of the City of Loveland s strategic goals. ACTIVITY Human Resources Administration DEPARTMENT Human Resources 12 Adopted 12 Revised EXPENSE BY DIVISION/Program 11 Actual Budget Budget as of June 13 Budget H.R. ADMINISTRATION $624,054 $699,250 $699,250 $810,270 REVENUE ADMIN. ALLOCATION 305, , , ,850 GENERAL FUND SUBSIDY 318, , ,450 1,420 Total Revenue $624,054 $699,250 $699,250 $810,270 EXPENSE BY CATEGORY PERSONNEL SERVICES 521, , , ,190 SUPPLIES 17,194 16,610 16,610 22,710 PURCHASED SERVICES 85,835 53,840 53, ,370 Total Expense $624,054 $699,250 $699,250 $810,270 FTE City of Loveland, Colorado Budget Book 2013 Page 12-3
5 CHANGES COMPARED TO PRIOR YEAR ADOPTED 1,440 Increase in personal services for unemployment insurance based on the allocation methodology. 6,100 Increase in supplies due to the reallocation of funding from the Talent Division which is being phased out. 1,500 Increase in purchased services for printing costs reallocated from the Compensation and Benefits Division. (760) Decrease in purchased services for general liability costs based on the Division s historical experience and forecasted liability costs. 2,000 Increase in purchased services for memberships and dues reallocated from the Compensation and Benefits Division. 2,000 Increase in Other purchased services reallocated from the Compensation and Benefits Division. 3,600 Increase in purchased services for postage reallocated from the Compensation and Benefits Division. 73,190 Increase in purchased services for allocated administrative costs. 21,950 Core Changes 21,950 Personal Services - Funded Supplements - There are no funded supplements in this division. 111,020 Total Change OTHER INFORMATION 10,000 Unfunded Supplements 10,000 Consulting services for development of Human Resources Information System within the Innoprise Financial application. - Equipment Replacement - No equipment is scheduled for replacement in this division. - Capital Projects - There are no capital projects associated with this division. City of Loveland, Colorado Budget Book 2013 Page 12-4
6 Employee Compensation & Benefits Employee compensation and benefits is responsible for maintaining a balanced total compensation plan, offering competitive pay and benefits that are fair and reasonable to both employees and citizens, while supporting organizational goals and business objectives. The compensation system and benefit programs for City of Loveland employees are market based and strictly adhere to operational and budgetary constraints. These programs are designed to attract, retain and motivate qualified candidates and employees. ACTIVITY Employee Compensation & Benefits DEPARTMENT Human Resources 12 Adopted 12 Revised EXPENSE BY DIVISION/Program 11 Actual Budget Budget as of June 13 Budget COMPENSATION AND BENEFITS $119,420 $90,230 $90,230 $92,920 REVENUE GENERAL FUND SUBSIDY $119,420 $90,230 $ $92,920 EXPENSE BY CATEGORY PERSONNEL SERVICES 119,420 81,430 $81,430 86,420 SUPPLIES PURCHASED SERVICES - 8,300 8,300 6,500 Total Expense $119,420 $90,230 $90,230 $92,920 FTE City of Loveland, Colorado Budget Book 2013 Page 12-5
7 CHANGES COMPARED TO PRIOR YEAR ADOPTED (1,200) Decrease in other purchased services reallocated to the Administration Division. (1,500) Decrease in purchased services for printing costs reallocated to the Administration Division. (2,000) Decrease in purchased services for memberships and fees reallocated to the Administration Division. (3,600) Decrease in purchased services for postage costs reallocated to the Administration Division. 4,490 Core Changes 4,990 Personal Services (500) Supplies 6,500 Funded Supplements 6,500 Increase in purchased services for consulting services to review the compensation system and pay plan. 2,690 Total Change OTHER INFORMATION - Unfunded Supplements - There are no unfunded supplements in this division. - Equipment Replacement - No equipment is scheduled for replacement in this division. - Capital Projects - There are no capital projects associated with this division. City of Loveland, Colorado Budget Book 2013 Page 12-6
8 Performance Management Performance management is responsible for creating and sustaining a high performing workforce by aligning individual performance with organizational objectives. The City of Loveland is committed to hiring and retaining the most qualified people. Selection and hiring decisions are made based on individual qualifications, without regard to age, sex, race, color, religion, national origin, creed, ancestry, sexual orientation (including transgender status), mental or physical disability, genetic information, or marital status. ACTIVITY Human Resources DEPARTMENT Human Resources EXPENSE BY DIVISION/Program 11 Actual 12 Adopted Budget 12 Revised Budget as of June 13 Budget PERFORMANCE MANAGEMENT - $69,960 $69,960 $144,970 REVENUE GENERAL FUND SUBSIDY - $69,960 $69,960 $144,970 EXPENSE BY CATEGORY SUPPLIES - 3,500 3,500 25,300 PURCHASED SERVICES - 66,460 66, ,670 Total Expense - $69,960 $69,960 $144,970 FTE CHANGES COMPARED TO PRIOR YEAR ADOPTED 2,890 Increase in purchased services for advertising transferred from the Talent Division which is being phased out. 57,320 Increase in purchased services for the volunteer program transferred from the Talent Division which is being phased out. 500 Core Changes 500 Supplies 14,300 Funded Supplements 11,800 Funding for supplies for computer software to implement the new Neogov Performance Management System. 2,500 Increase in purchased services for an enhanced Employee Recognition Program. 75,010 Total Change OTHER INFORMATION - Unfunded Supplements - There are no unfunded supplements in this division. - Equipment Replacement - No equipment is scheduled for replacement in this division. - Capital Projects - There are no capital projects associated with this division. City of Loveland, Colorado Budget Book 2013 Page 12-7
9 Talent Management Talent Management ceases to exist as a separate division in Its functions have been absorbed into the Performance Management division. ACTIVITY Talent Management DEPARTMENT Human Resources EXPENSE BY DIVISION/Program 11 Actual 12 Adopted Budget 12 Revised Budget as of June 13 Budget TALENT MANAGEMENT - $67,110 $67,100 - REVENUE GENERAL FUND SUBSIDY - $67,110 $67,100 - EXPENSE BY CATEGORY SUPPLIES - 6,100 6,100 - PURCHASED SERVICES - 61,010 61,010 - Total Expense - $67,110 $67,100 - FTE - - CHANGES COMPARED TO PRIOR YEAR ADOPTED (6,100) Decrease in supplies transferred to the Administration Division. (800) Decrease in other purchased services transferred to the Administration Division. (2,890) Decrease in purchased services transferred to the Performance Management Division. (57,320) Decrease in purchased services for advertising transferred to the Performance Management Division. - Core Changes - There are no core changes in this division. - Funded Supplements - There are no funded supplements in this division. (67,110) Total Change OTHER INFORMATION - Unfunded Supplements - There are no unfunded supplements in this division. - Equipment Replacement - No equipment is scheduled for replacement in this division. - Capital Projects - There are no capital projects associated with this division. City of Loveland, Colorado Budget Book 2013 Page 12-8
10 Employee Benefit Fund The Human Resources Department is responsible for the administration of the Employee Benefit Fund. This Fund provides a competitive benefit package to employees. For medical and dental insurance, the City is self insured, with external insurance protection beyond a certain limit for individual cases and total claims. The City subsidizes a portion of the medical and dental plan with cost-share responsibilities from employees. The City s overall medical liability continues to increase slightly below industry trend, with prescription claims continuing to increase slightly above industry trend. Due to the volatility of the medical plan, we are committed to maintaining a healthy fund balance and revenues in order to stabilize premium increases and plan design changes that impact employees and the City. The benefits focus for 2013 will continue to be on educating employees on consumer driven health care and utilization of the Employee Health Clinic to save on medical costs and emphasize wellness initiatives for preventive care. In 201, the City received approval to implement the operation of a health clinic for employees participating in the City s medical benefit plan. The Clinic offers a variety of basic primary care services intended for minor illnesses, wellness, and disease management. The clinic will control the costs of office visits, lab work, and other primary healthcare expenses. Early projections indicate the clinic will cover its costs by reducing the amount of medical inflation the City will face, keeping claims cost lower than they would have otherwise been, saving both the City and employees on health care costs. In 2012, the City has experienced a lower than projected expenses in claims, which may, in part, be attributed to the Clinic. The City will continue to research and implement changes to the medical benefits plan in an effort ensure sustainable, quality programs that are competitive in the marketplace. In 2009, the City added a Retiree Health Plan. To be eligible for the Plan, an employee must meet the Rule of 80, a combination of age and years of service that add to 80, with the minimum age being 60. This will be a high deductible Plan, with the retiree paying the full premium cost. The Plan is designed to be a bridge to Medicare eligibility at age 65. Council has only authorized the City to accept participants for the next five years, after which the Plan will be closed unless it is reauthorized. As of 2012, there are four active participants in the Plan. City of Loveland, Colorado Budget Book 2013 Page 12-9
11 ACTIVITY Employee Benefits DEPARTMENT Human Resources EXPENSE BY DIVISION/Program Internal Service Fund 11 Actual 12 Adopted Budget 12 Revised Budget as of June 13 Budget COMPENSATION & BENEFITS General Operations 419, , , ,000 Health - OAP 6,312,324 7,515,000 7,515,000 6,740,000 Health - HRA 1,294,281 1,065,000 1,065,000 1,065,000 Health - Retiree 30,839 62,000 62,000 62,000 Health - Dental 534, , , ,000 Life 125, Disability 176, , , ,800 Employee Clinic 14, , , ,300 Stop Loss 749, , , ,000 COBRA Administration - 10,000 10,000 7,200 Employee Retirement Admin 21, Fire Retirement Administration Total Int Svc Fund $9,679,163 $11,126,500 $11,126,500 $10,229,300 REVENUE INTEREST 190,301 63,330 63,330 43,500 CHARGES FOR SERVICE. 9,356,676 9,295,280 9,295,280 9,158,280 Total Revenue $9,546,977 $9,358,610 $9,358,610 $9,201,780 EXPENSE BY CATEGORY PERSONNEL SERVICES 3,583 50, SUPPLIES 95,474 77,000 77,000 99,600 PURCHASED SERVICES 9,580,106 10,999,500 11,049,500 10,129,700 Total Expense $9,679,163 $11,126,500 $11,126,500 $10,229,300 FTE City of Loveland, Colorado Budget Book 2013 Page 12-10
12 CHANGES COMPARED TO PRIOR YEAR ADOPTED (50,000) Decrease in personnel services that are transferred to purchased services due to a change in the provision of the wellness programs. 14,600 Increase in supplies for laboratory and medical supplies at the city clinic due to increased employee use of the clinic. 8,000 Increase in supplies for prescription medications at the City clinic due to increased employee use of the clinic. (775,000) Decrease in medical claims cost based on historical experience. (64,000) Decrease in stop loss premiums based on the current contract. 50,000 Increase in purchased services for wellness costs transferred from personnel services. (80,000) Decrease in purchased services for consulting costs based on historical experience. (800) Core Changes (800) Purchased Services - Funded Supplements - There are no funded supplements in this division. (897,200) Total Change OTHER INFORMATION - Unfunded Supplements - There are no unfunded supplements in this division. - Equipment Replacement - No equipment is scheduled for replacement in this division. - Capital Projects - There are no capital projects associated with this division. City of Loveland, Colorado Budget Book 2013 Page 12-11
13 Risk Management The Risk Management Division is responsible for protecting the operating effectiveness of the City by minimizing the costs associated with the City's property, liability, workers' compensation and environmental exposures. This is accomplished through identification and evaluation of the City's risks, implementation of appropriate safety, environmental and loss control programs, risk financing measures and claims management. Outcome Departments view Risk as a resource to comply with laws / regulations and reduce losses due to accidents, fines, lawsuits, etc. To provide cost effective insurance coverage. Cost effective pursuit financial recoveries of available to the City. Claims are managed efficiently. Information is provided in a timely basis. Provide a safe work environment for employees reduce damage to City property and citizens property. Compliance with Environmental Regulations Actual 2012 Revised 2013 Projected Performance Measure Public Outreach % of employees scoring safety as top priority. n/a 49.7% 60% % of compliance with environmental audits. 74% 76% 80% Fiscal Responsibility Cost of workers compensation premium as a % of payroll..77%.75%.75% Cost of liability premium as a % of payroll..72%.75%.77% Property rate per $100 of insured value % of property damage recoveries amount available compared to 88% 85% 85% amount received. Operational Efficiency % closed within 3 months of reporting to carrier. 87% 90% 90% % reported to carrier within 1 business day. 98% 95% 95% 95% of contract insurance certificates reviewed within 1 business day. 97% 96% 96% 95% of environmental audits completed in timely manner 15% 50% 70% Sustainable Results Workers compensation experience rating # of claims per FTE Average cost of claims. 3,336 3,400 3,200 % of issues resolved at follow-up. 50% 70% 70% City of Loveland, Colorado Budget Book 2013 Page 12-12
14 ACTIVITY Risk Management DEPARTMENT Human Resources EXPENSE BY DIVISION/Program Risk & Insurance Fund 11 Actual 12 Adopted Budget 12 Revised Budget as of June 13 Budget RISK MANAGEMENT 1,865,570 2,070,910 2,070,910 2,414,750 ENVIRONMENTAL - 116, , ,270 SAFETY 22,332 23,500 25,210 90,340 UNEMPLOYMENT 211, , , ,000 Total Expense $2,099,496 $2,520,880 2,522,590 $3,038,360 REVENUE CHARGES FOR SERVICE 2,165,760 2,336,310 2,336,310 2,514,980 INTEREST 130,738 59,230 59,230 47,410 OTHER 287,812-3,890 - TRANSFERS 101, Total Revenue $2,685,488 $2,395,540 $2,399,430 $2,562,390 EXPENSE BY CATEGORY PERSONNEL SERVICES 323, , , ,330 SUPPLIES 2,032 4,450 6,050 5,860 PURCHASED SERVICES 1,636,488 2,177,100 2,177,210 2,688,170 TRANSFERS 137, Total Expense $2,099,496 $2,520,880 $2,522,590 $3,038,360 FTE City of Loveland, Colorado Budget Book 2013 Page 12-13
15 CHANGES COMPARED TO PRIOR YEAR ADOPTED 5,000 Increase in personal services for the safety awards program begun mid-year in ,000 Increase in purchased services for projected litigation and property claims not covered by insurance. 75,000 Increase in purchased services for property and liability premiums due to higher property values from building additions. 35,000 Increase in purchased services for forecasted property and liability deductible payments. (31,420) Decrease in purchased services for worker s compensation insurance premiums. 125,550 Increase in purchased services for projected worker s compensation deductible payments. 3,350 Core Changes 1,410 Supplies 1,940 Purchased Services - Funded Supplements - There are no funded supplements in this division. 517,480 Total Change OTHER INFORMATION - Unfunded Supplements - There are no unfunded supplements in this division. - Equipment Replacement - No equipment is scheduled for replacement in this division. - Capital Projects - There are no capital projects associated with this division. City of Loveland, Colorado Budget Book 2013 Page 12-14
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