DEPARTMENT OF PARKS AND RECREATION BUDGET REVIEW OCTOBER 1, 2013 2014 BUDGET
DPR Strategic Overview Citywide Vision: We will deliver a world-class city where everyone matters As stewards of Denver s legacy, the Department of Parks and is dedicated to customer satisfaction and enhancing lives by providing innovative programs and safe, beautiful, sustainable places. Sustainability Equity Engagement Sound Economics System-wide plan for implementation/management of irrigation systems Increase # of Denver youth participating through MyDenver program Develop service learning and youth internship program Utilize resources effectively & efficiently Attain ACSP Audubon Certifications Inventory all park assets through the use of an asset tracking tool Strengthen customer loyalty Preserve & sustain urban forest Source: DPR Strategic Plan - 2 -
Parks and Mission Level Metrics Priority Metrics % of Park sites converted to Central Irrigation Control # ACSP certifications received at Denver Golf Courses 2011 2012 2013 Estimated 2014 Projected 50 53 35 10 NA 6 6 4 4 NA # of tree replacements in parks 1,187 1,332 1,000 1,000 NA # of yth. participating in free out of school activities in rec. centers (visits) # of parks and recreation staff involved in the internship program # of youth in service learning projects # of adults participating in service learning projects 190,880 71,934 250,000 300,000 NA 0 8 8 8 NA 2,384 2,662 2,700 2,800 NA 6,133 8,850 9,000 9,100 NA # of volunteer projects 294 434 435 450 NA 2014 Projected Expansion Completion % for Parks task tracking project Average rating of recreation centers for appearance and cleanliness, willingness to assist, employee knowledge, service satisfaction and likeliness to recommend NA 90% Complete 95% Complete 100% Implementation of Data Analysis NA 4.28 4.2 or Better 4.3 or Better NA - 3 -
DPR Budget Overview General Fund Expenditure Category 2011 Actual 2012 Actual 2013 Revised Budget 2014 Proposed Budget Variance Personnel Services $31,962,215 $33,946,635 $37,603,576 $39,888,306 6.08% Services & Supplies $7,953,032 $9,928,306 $9,820,126 $11,580,103 17.92% Capital Equipment $439,929 $335,340 $365,866 $297,000* -18.82% Internal Services $3,274,383 $3,359,421 $3,077,200 $2,956,391-3.93% TOTAL Operating $43,629,559 $47,569,702 $50,866,768 $54,721,800 7.58% Capital Improvements Program** Summary of 2014 Budget Proposal Expenditures $36,404,299 $20,038,174 $17,095,591 $15,520,350-9.21% Increase in personnel is due additional 2A funded staff; five for Park Maintenance Increases in supplies and materials is due in part to 2A funding for programming and Park Maintenance and rate/price increases for items such as park light repairs performed by Xcel Energy, portolets, and water. Another increase in supplies is the restoration of temporary funding cuts in water and training. Capital equipment requests for 2014 include fitness equipment for Centers, snowplow for the Mountain Parks and small equipment for Park Maintenance. equipment has been prioritized as our highest need. Revenue 2011 Actual 2012 Actual 2013 Revised 2014 Proposed Budget Variance General Fund $6,677,115 $7,443,330 $7,032,850 $7,044,900 0.17% Summary of 2014 Budget Proposal Revenues 2013 revised revenue estimate down approximately $380,000, largely due to loss of youth membership revenue due to My Denver program which offers free recreation memberships to youth. * Does not include fleet replacement requests * Includes all payments, maintenance and discretionary projects as well as grant and bond funding - 4 -
DPR Budget Overview Golf Enterprise Fund Expenditure Category 2011 Actual 2012 Actual 2013 Revised Budget 2014 Proposed Budget Variance Personnel Services $4,063,504 $4,234,326 $5,150,209 $5,420,597 5.25% Services & Supplies $2,041,081 $2,612,047 $3,539,379 $4,168,061 17.76% Capital Equipment $149,685 $65,645 $119,000 $174,000 46.22% Internal Services $1,603,361 $1,281,577 $1,401,496 $1,267,342-9.57% TOTAL Operations $7,857,631 $8,193,591 $10,210,084 $11,030,000 8.03% Capital Improvement Projects $419,048 $338,742 $1,349,000 $390,000-29.66% TOTAL EXPENSES $8,276,679 $8,532,337 $10,709,084 $11,420,000 6.63% Summary of 2014 Budget Proposal Expenditures 2014 increase is due to Denver Golf managing Overland and Evergreen rather than a concessionaire contract. Net operating income is utilized to make capital improvements to the golf courses including dams, bridges, cart paths, buildings, tee and green replacement. Revenue 2011 Actual 2012 Actual 2013 Revised 2014 Proposed Budget Variance Enterprise Fund Rev. $9,135,611 $9,857,307 $10,782,00 $11,932,900 10.68% Summary of 2014 Budget Proposal Revenues 2014 increase is due to Denver Golf managing Overland and Evergreen rather than a concessionaire contract. - 5 -
DPR General Fund Personnel Overview Career Service Authority (CSA) Employees 2011 Actual 2012 Actual 2013 Revised Budget 2014 Proposed Budget Total Personnel $31,962,215 $33,946,635 $37,603,576 $39,888,306 Comp Time $19,068 $24,908 $23,013 $23,752 Overtime Permanent FTE $39,217 $77,225 $70,500 $81,950 Total FTE 414 397 406 413.5 On-Call Regular Compensation $5,991,798 $6,951,364 $8,237,672 $8,363,655 On-Call FTE 266 277 292 292 Key Drivers: 2A funding for My Denver and annually for six years, five additional Park Maintenance staff. Parks continues to collaborate with DIA by sending 25 FTE to DIA from October-March. Parks continues to see high use of popular regional parks on weekends. Weekend park maintenance shifts have been added to keep parks clean which has caused some of the overtime. However, most of the overtime is due to snow removal. Parks and uses a pool of on-calls 1100-1900 (individual employees) to meet workloads throughout the year. - 6 -
Department of Parks & Org. Chart Erin Brown Deputy Manager Lauri Dannemiller Manager Scott Gilmore Deputy Manager Parks and Planning Thomas Herndon John Martinez Manager Dolores Moreno Dody Erickson Sp. Project Fred Weiss Finance & Admin Jeff Green Marketing & Communicat. Eleni Sarris Developm. Bob Finch Nat. Resources Doug Woods Parks Gordon Robertson PDC Scott Rethlake Golf 14 Centers Aquatics Youth Sports Fitness Active Older Adults Outdoor Denver Employee Fitness Center Citywide Sports 13 Centers Community Adaptive Social Enrichment Arts and Culture Accounting & Finance Contract Compliance Permitting Event Facilities Media & Community Relations Graphic Design City Naturalist Buffalo Bill Museum Park Rangers Mountain Parks Forestry Citywide Operations Water Conserv. 4 Urban Maint. Districts Facility Maint. City Greenhouse Parks Planning Design & Construction CW Maintenance Downtown & Special Projects 7 Golf Courses Aqua Golf Junior Golf - 7 -
2014 Budget Highlights for Parks and Title: Aquatics Risk Management Coordinator - 1.0 FTE Description: New staff member will implement recommendations for continuous improvements to risk management assessment and safety issues in aquatics. Standardize aquatic management to minimize risk for potential litigation. Financial Impact: $78,698 Performance Metrics: 2011 Actual 2012 Actual 2013 Estimated 2014 Projected (total as of 6/30/14) 2014 Projected (total as of 12/31/14) Workload Metric #1: Developing and documenting policy and procedures Current policies and procedures. Current Begin planning /restructure for aquatics operations Current Planning/development based on aquatics audit. Standardized policy and procedures manuals. Standard Operating Procedures Emergency Management Plan Environmental/ Health Management System Workload Metric #2: # of pools audited None None 7- Indoor pools 6-Outdoor pools 6-Indoor pools 10-Outdoor pools 13-Indoor pools 16-Outdoor pools Workload Metric #3 # pool attendance by youth 158,471 231,990 268,845 145,000 290,000 Mid-Range Outcome Standardize inservice/recertification training and development None 3 Indoor pools 3 Indoor pools Outdoor pool operations standard due to short season 10-Indoor pools Outdoor pool operations standard due to short season 13-Indoor pools Mission-Level Metric Outcome Development of tracking tool to manage required training hours for 325 lifeguards None Varies by center no standard tracking system Varies by center no standard tracking system Tool development complete; tracking tool implemented in 6 centers Data collected for 7 additional indoor pools (13 total) and 16 outdoor pools ; ongoing tracking for required training hours - 8 -
2014 Budget Highlights for Parks and Title: Project Management Mtn. Parks CIP - 1.0 FTE Description: Create a dedicated Mountain Parks project manager/planner position to adequately address CIP planning and project management in Denver Mountain Parks. Financial Impact: $118,053 Performance Metrics: 2011 Actual 2012 Actual 2013 Estimated 2014 Projected (total as of 6/30/14) 2014 Projected (total as of 12/31/14) Workload Metric #1: # projects completed from Mtn. Parks Master Plan Workload Metric #2: $ spent for maintenance and capital improvements in Mtn. Parks ($30 million investment recommended from master plan) Mid-Term Outcome Reduction in maintenance cost of replaced assets Mission-Level Metric Outcome Increase in Mtn. Park visitors (1 million plus visitors annually) 16 16 16 25 35 $500,000 $500,000 $500,000 $1,000,000 $3,000,000 $15,000 $15,000 $15,000 $30,000 $60,000 1% 1% 1% 3% 5% Considerations: Currently, we have project manager working on Mtn. Parks CIP only 30% of the time. This position would be 100% allowing us to make significant progress implementing the Mtn. Parks Master Plan and free up another position to concentrate on regional trails 30% of the time. - 9 -
2014 Budget Highlights for Parks and Title: Project Management for CIP 1.00 FTE (.25 change 2013 vs. 2014) Description: Convert temporary project management position from limited to full time to ensure adequate project management staffing for currently funded projects. Financial Impact: $97,406 Performance Metrics: 2011 Actual 2012 Actual 2013 Estimated 2014 Projected (total as of 6/30/14) 2014 Projected (total as of 12/31/14) Workload Metric #1: # of projects completed 0 5 projects 8 projects 4 project 9 projects Workload Metric #2: Dollar value of the reduction in asset replacement backlog 0 $1,000,000 $1,600,000 $800,000 $1,800,000 Mid-Range Outcome Reduction in maintenance cost of replaced assets Mission-Level Metric Outcome Additional residents impacted by completing projects 0 $20,000 reduction $32,000 reduction $16,000 reduction $36,000 reduction 0 37,500 residents 60,000 residents 30,000 residents 67,500 residents - 10 -
2014 Budget Highlights for Parks and Title: On-Call Raise Description: Parks and employs approximately 1100-1900 individuals part-time depending on the season. These part-time employees have not had a raise in five years due to budget reductions. This raise is important to maintain a well trained workforce and retaining employees. Financial Impact: $124,982 Considerations: Maintaining a well trained workforce and retaining employees. - 11 -
2014 Budget Highlights for Parks and Title: Cap on Indirect Charges for the Golf Enterprise Fund Description: The amount of indirect charges owed to the general fund is not to exceed 5 percent of Golf s 2014 operating budget. Historically, the Golf Enterprise Fund has received total indirect charge bills that approximate 13 percent of its operating budget. That percentage is disproportionally high compared to other enterprise funds. Financial Impact: Approximately $700,000 Performance Metrics: 2011 Actual 2012 Actual 2013 Estimated 2014 Projected (total as of 6/30/14) 2014 Projected (total as of 12/31/14) Workload Metric #1: $ spent on CIP $394,532 $387,650 $1,549,437 $400,000 $1,375,000 Mid-Range Outcome Fund Balance $2,922,082 $3,482,236 $2,032,321 $2,169,693 $1,193,709 Risks and Considerations: 1) The indirect charges are mathematically correct as prepared by the City s cost allocation consultant. However, Golf s indirect cost allocation amount is disproportionately high. 2) To absorb the full amount, Golf would have to increase fees exorbitantly and price themselves out of the metro area golf market which would reduce play and therefore revenue. 3) If fees were not raised, capital improvements, maintenance, and equipment, would be deferred resulting in diminished assets, reduced play and revenue. 4) 4) The full cost allocation amount is an excessive overhead burden vs. other municipalities and the golf industry average. - 12 -
Other Key 2014 Budget Changes Title: Water Rate Increase & Temporary Savings Reduction Description: Fund expected rate increases and restore $200K of temporary savings to increase usage from 27 acres per inch to 28.5 acres per inch. Financial Impact: $587,000 Title: CIP to General Fund Transfer Description: Restore funding for operating items that have been paid for through CIP. Financial Impact: $260,000 Title: Portolet Service Increase Description: Expand funding for more portolet units as well as increased maintenance cycles to address the top park-related customer complaint received by the department. Financial Impact: $125,000 Title: Park Designation Research & Analysis Description: Hire a consultant or contractor to do surveying and a title company to do title research on park land to determine exact park land designation. Financial Impact: $100,000 Title: Forestry Education & Outreach FTE Description: Restore funding for 0.50 FTE; portions of the position were partially funded via a grant as temporary savings measures in 2012 and 2013. Financial Impact: $45,700-13 -
Parks and Fee Implications from RAPP Resources Allocations and Priorities Plan (RAPP) This plan identifies core services, points out duplication in services, recommends service provision strategies, and recommends resources allocation and pricing strategies. The project includes conducting an inventory and analysis of all parks and recreation services in relation to the City s values, visions, and needs of the community, as well as market position, and reaffirming the Department s mission. Includes the development of a cost recovery pyramid for pricing Department services. 2014 Work Plan includes reviewing and proposing changes to existing fees, permits and services based on their current cost recovery. While we plan on bringing forward fee increases in 2014, no fee increases are currently proposed as part of the 2014 budget. - 14 -
Parks Capital Improvement Program Parks annual capital maintenance projects include pool rehabilitation, citywide trail improvements, playground rehabilitation, and other park improvements. Only $8-10M is available each year for all citywide capital discretionary project requests, including requests from Parks, Public Works, DPL, OED, OEM, CPD, DEH, Safety, General Services, Denver Health, etc. Approximately $2-3M of discretionary funds must be dedicated to parks uses each year, based on parks dedicated revenue received. - 15 -
Parks and Capital Program Highlights $2.0M in second year local match for Great Outdoors Colorado (GOCO) grant awarded to the City for improvements to the S. Platte River Corridor recommended as part of the S. Platte River Master Planning efforts. $500K for implementation of the Genesee & Katherine Craig Mountain Parks, Park and Trail Improvement Plan. $500K for continued implementation of the Ruby Hill Master Plan with the goal of serving the surrounding neighborhoods. $282K in local match to support reconstruction of bicycle and pedestrian ramps in Confluence Park improving circulation, pedestrian safety and connectivity. - 16 -
Thank you! Questions or Comments? - 17 -