PRESQUE ISLE, Maine — City Manager Jim Bennett, at the request of City Council, presented a list of 31 possibilities for reducing the 2012 budget by up to $1.5 million during an Oct. 26 meeting.
“We’ve (city officials) taken a look at 31 different menu items,” said Bennett. “These items are possible but they would have an impact on operations.”
Each recommendation was presented, with the possible impacts that would likely occur should the Council decide to implement the suggestion.
“It should be noted that many of these recommendations include the reduction of staff hours; some include the complete elimination of positions. Unfortunately, the public nature of local government and increasingly pursuing transparency at even greater levels, this information will be readily available to our dedicated staff,” Bennett advised councilors. “Given the size of our operation and the union contracts, individual employees will be able to determine the impacted staff members.”
Bennett said this exercise, regardless of the clear need to have such discussions “may have an adverse impact, at least in the short term, on employee morale and productivity.”
The city manager reminded councilors that the city would be responsible for any unemployment costs, should an employee be let go.
“The bottom line is that for many of the city employees, they would meet the requirement (for unemployment). In the event we eliminate any positions, we will have to correspondingly budget the unemployment exposure,” said Bennett.
It was Bennett’s recommendation that the city budget $366 per week for the 2012 budget period of 52 weeks which totals $19,032 per eliminated position. Each of the calculated options didn’t include any offset for unemployment.
The following budget alternatives were presented by Bennett, for councilors’ consideration:
• Eliminating a part-time counter employee in finance, which would result in a savings of $19,160. Doing so could result in additional wait times for customers when seeking services at City Hall;
• Eliminating a full-time counter employee in finance, for a savings of $44,118. Doing so would mean added wait times for customers at City Hall and likely cause the city to cease doing motor vehicle registrations (motorists would have to go to Caribou or register online) and would mean the city would forego $20,000 in fees;
• Eliminate one person in the assessing office, who currently is responsible for listing personal property and assisting with adjustments on property values. This would save $46,038. The impact would include decreased revenue; the person is certified by the state, which is difficult to find in our area;
• Shut down the outdoor pool at a savings of $27,700 — Bennett noted the property could easily be sold. While the majority of people that use the pool could use the indoor pool instead, it is widely believed that many would not, particularly due to the cost and location;
• Shut down the indoor pool for a savings of around $139,813. Doing so would eliminate one of only two (Limestone has the other one) competition-sized pools in the area and the facility offers swimming lessons year-round;
• Shut down the Forum, saving $122,688 but eliminating all adult and youth hockey teams, including high school, and skating programs;
• Go to a four-day work week at City Hall, for a savings of $45,582 in labor costs, etc. However, doing so would result in employees’ hours — and thus income — being cut, with services to customers being affected;
• Use furlough days for certain staff, saving the city about $10,634 per day. This is typically highly unpopular with employees and impacts morale;
• Eliminate one position in public works, saving $45,187. This would reduce staff and would be most noticeable come winter, adding more time to plow routes for remaining staff;
• Eliminating a second position at public works would save about the same $45,187, but this would increase plow routes by another hour;
• Eliminate a sergeant at the police department — a savings of about $76,667, based on data from a recent study (which will be reviewed during the Nov. 14 Council meeting). Although the report indicates the change “would have minimal impact on the public,” the department would lose a veteran leader that has historically been a valued member, according to Bennett;
• Eliminate one patrol position, saving $51,097. A reduction in staffing could mean increased overtime costs;
• Eliminate one patrol in each platoon could save the city $147,845, however, officers could end up working longer hours to provide coverage for other absences and possibly additional overtime costs;
• Apply one-time revenue from the resignation of a junior officer who has taken a position with Madawaska, which will in turn have to reimburse the city $30,000 for the cost of police academy training;
• Pursue subcontracting of dispatch services, saving $200,686. However, that would mean the loss of four dispatchers; it would also mean not having someone in the Public Safety Building to deal with foot traffic;
• Reducing library hours could save about $13,415 but would impact part-time staff and affect services;
• Eliminate library secretary, saving about $41,614. Other staff would have to perform the duties instead;
• Not fill the deputy fire chief position, for a savings of $98,849. The financial savings would be less, since this would be a promotion from within, for a net impact of about $15,000. The initial impact would be felt during the daytime and could impact initial interior attack — this recommendation was not in the consultant’s report;
• Reduce the full-time fire staffing by one person per shift, saving about $176,083, but reducing staff to three firefighters per shift. This raised the most discussion, with councilors debating the pros and cons of no longer meeting the two-in, two-out firefighting requirements. If the department had only three to a crew, firefighters would have to wait for volunteers to arrive before entering a burning structure, unless a life was in danger;
• Eliminate 25 percent of the street lights, for a savings of $39,250. Safety was among the concerns raised, should this be implemented;
• Reduce outside requests by 25 percent, saving the city about $15,400. The impact would vary by agency;
• Further reductions in capital reserves by another 10 percent, reducing the budget by $63,132. This could lead to increased maintenance costs due to the deferment;
• Eliminating blue recycling bags would save about $40,000 but would increase residents’ out-of-pocket expenses, requiring them to purchase their own clear recycle bags;
• Replace the planning and development director with a staff person, saving about $10,000-15,000 annually. Transitional issues wouldn’t be simple, given other changes currently going on;
• Reduce the Presque Isle Industrial Council by another $20,000, resulting in unspecified “difficult decisions” needing to be made;
• Eliminate one staff at the airport, saving about $37,803, resulting in overtime for remaining staff to meet air service requirements;
• Reduce the buildings and facilities director to half-time, saving about $50,092. The duties would have to be performed by other staff;
• Elimination of the PIPD K-9 units could save the city $27,768. The consulting firm suggested going to an all-purpose K-9. However, both dogs — Dozer for drug searches and Hunter for tracking — have been successful on many occasions, including Hunter’s recent involvement in investigating car burglaries. Walmart is now donating food for the dogs as well;
• Transition IT in-house by sharing existing Industrial Council staff, for approximately $25,000 in annual savings. This would require moving some staff from PIIC to City Hall and additional training costs;
• Transition cell phones to stipends, for a savings of $3,000. This would eliminate future spending on upgrading of phones as well as the man hours to track and deal with the cell phone bills; and
• Evaluate all non-resident charges, resulting in between $5,000 and $10,000 in additional fees. The concern is not setting the rates so high that the city would reduce users and subsequently reduce revenue.
“This is not all-inclusive. There are other things we could look at,” said Bennett. “None are ‘oh yeah, this is easy to do.’ All have fairly significant impacts to our citizens.”
Council will hold their next regular meeting at 6 p.m. on Nov. 7 at City Hall. All are welcome to attend and encouraged to participate. For more information, call 760-2785.
