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HomeMy WebLinkAboutSession I - Legal Department2018 Budget Presentation Legal Department August 16, 2017 TABLE OF CONTENTS POWERPOINT PRESENTATION ........................................................................................ 2‐9 FUND 101‐0501 LEGAL DEPARTMENT ..................................................................... 10‐17 1 LEGAL DEPARTMENT August 16, 2017 The Legal Department provides quality legal representation to the City of South Bend’s Mayor, departments, commissions and agencies with a dedicated and professionally-skilled staff, efficiently and cost effectively, in furtherance of the City’s strategic goals, and preserving the legal and ethical integrity of the City. •Integrity •Competency •Professionalism •Civility The Legal Department is composed of diverse and talented attorneys and staff members in an environment in which equality with regards to gender, race, and age are indicative of a strong commitment to the City’s core values of Inclusion and Excellence. Legal Department Vision 2 Legal Department Priority Based Budgeting WELL‐ GOVERNED and  ADMINISTERED  CITY Ensures reliable compliance  with regulations and well‐ managed risk Fosters enduring financial  strength and fiscal  sustainability Is a great employer attracting,  developing, equipping and  retaining great employees Maintains, protects and  invests in its robust physical,  financial, human  and  technological assets Models our values of  excellence, accountability,  innovation, transparency,  inclusion and empowerment Offers excellent services and  efficient processes supported  by timely and accurate  analysis Provides effective, responsive,  fair and accessible  leadership  and facilitates timely two‐way  communication Legal Department Priority Based Budgeting The Legal Department achieved a “healthy program distribution” result through the Priority Based Budgeting initiative, with most programs and dollars falling into Quartile 1, and with the lowest number of Quartile 4 dollars and programs of any City Department. 3 Legal Department 2018 Budget Highlights Sustainable Budget The changes made during last year’s budget process are proving to be very effective and sustainable for the Legal Department. The Department has been able to efficiently and effectively achieve its goals and serve the City and its residents. The Legal Department has no significant budget changes to report for the year 2018. Its budget has decreased by $35,418 due to reductions in allocations from other departments. Legal Department 2017 Accomplishments The Legal Department has fully embraced the City’s established Vision, Mission, and Values statement and actively applies it to all areas of Municipal Law practice. 4 Legal Department Accomplishments APRA Benchmark: 10,000! As of February 7, 2017, the Legal Department received and responded to an administration total of 10,000 APRA requests, without violation. This benchmark demonstrates City responsiveness and transparency. Legal Department Accomplishments 2017 Litigation Transparency Guide 5 Legal Department Accomplishments 2017 City-Wide Trainings The Legal Department provided trainings to City Departments to empower City staff in the areas of APRA and Open Door Law, Procurement, and Claims Investigation. Open Door Law and APRA Training •Training was attended by 63 City Employees with representation from all City Departments •5 Follow-Up APRA Trainings were completed in 2017 with individual departments 2 Procurement Trainings provided 2 Claims Investigation Trainings Legal Department Accomplishments Trends in Liability Fund $0.00 $200,000.00 $400,000.00 $600,000.00 $800,000.00 $1,000,000.00 $1,200,000.00 $1,400,000.00 $1,600,000.00 2013 2014 2015 2016 2017* Liability Fund 226 Total Fund Payout Lawsuit Settlements Liability / Tort Settlements The annual total expenditure from Liability Fund 226 has decreased since 2013 due to: •Safety, Incident Prevention, and Investigation trainings provided to lead supervisory and field personnel •Proactive safety measures and incident alerts from City Departments •Proactive claims resolution and defense •Vigorous defense litigation strategy * 2017 results as of 8/1/17 6 Legal Department Accomplishments 2017 Collections Update Collections have continued to increase year over year due to an efficient interdepartmental account referral system and intensified post-judgment collection focus.  $‐  $50,000.00  $100,000.00  $150,000.00  $200,000.00  $250,000.00  $300,000.00  $350,000.00  $400,000.00  $450,000.00  $500,000.00 Total Collections Property Damage EMS Code Enforcement City of South Bend Collections 2013 2014 2015 2016 2017* (as of 8/1/17) Legal Department Accomplishments Trends in Subrogation Practice $0.00 $20,000.00 $40,000.00 $60,000.00 $80,000.00 $100,000.00 $120,000.00 $140,000.00 $160,000.00 $180,000.00 2012‐2014 2015 2016 2017* 2017 Subrogation Practice Recovery Subrogation practice has yielded increases and positive results since implementation of Claims Administrator position in 2014. *2017 results as of 8/1/17 7 Legal Department 2017Accomplishments Responded individually to 65 claims relating to August 2016 Flood Event. Claims were received from August 22, 2016 through February 15, 2017. Filed Plaintiff’s action on behalf of the City of South Bend under innovative legal theory and recovered $425,000. Legal Department 2017Accomplishments Provided the legal framework for the 2017 implementation of the City Municipal ID card program. Signatory to several local government Amicus Briefs supporting national anti- discrimination and inclusion initiatives in collaboration with the City of Chicago and the City of New York. Received favorable verdict in the Tidwell Jury Trial, supporting SBFD emergency responders’ actions in saving lives in South Bend. 8 Legal Department 2017Accomplishments Completed preliminary agreements and negotiations for the South Shore Line project, resulting in a feasible plan for a 90-minute commute to Chicago from South Bend. Expanded Riverfront Development Permit Boundaries through ordinance amendments, resulting in economic development opportunities for the South Bend community. 9 City of South Bend, Indiana 2018 Budget Fund 101 - General Fund Department 0501 - Legal Department 2017 2018 Budget 2015 2016 Amended 06/30/17 Proposed Forecast Variance % Actual Actual Budget Actual Budget 2019 2020 2021 2022 2017-2018 Change Expenditures by Type Personnel Salaries & Wages 675,920 689,144 705,738 326,770 723,139 737,602 752,354 767,401 782,749 17,401 2% Fringe Benefits 215,746 248,712 260,865 125,472 285,516 291,141 299,773 308,693 317,912 24,651 9% Total Personnel 891,666 937,856 966,603 452,242 1,008,655 1,028,743 1,052,127 1,076,094 1,100,661 42,052 4% Supplies 5,735 1,184 5,977 2,908 3,450 3,450 3,450 3,450 3,450 (2,527) -42% Services & Charges Professional Services 3,374 172 48,355 45,477 2,550 2,550 2,550 2,550 2,550 (45,805) -95% Printing & Advertising - - - - - - - - - - - Utilities - - - - - - - - - - - Education & Training 8,475 4,173 8,000 767 8,000 8,000 8,000 8,000 8,000 - 0% Travel 1,123 47 3,450 197 3,450 3,450 3,450 3,450 3,450 - 0% Repairs & Maintenance 10 1,633 2,120 1,620 1,820 1,820 1,820 1,820 1,820 (300) -14% Other Interfund Allocations 6,746 8,707 101,944 50,976 75,858 77,375 78,923 80,501 82,111 (26,086) -26% Debt Service Principal 1,172 1,163 1,232 625 1,232 1,232 1,232 1,232 1,232 - 0% Interest & Fees 99 108 40 11 40 40 40 40 40 - 0% Grants & Subsidies - - - - - - - - - - - Insurance 3,348 2,988 2,246 1,122 2,294 2,340 2,387 2,434 2,483 48 2% Transfers Out - - - - - - - - - - - Other Services & Charges 22,759 18,426 18,600 7,821 15,800 16,062 16,329 16,602 16,880 (2,800) -15% Total Services & Charges 47,106 37,417 185,987 108,616 111,044 112,869 114,731 116,629 118,566 (74,943) -40% Capital - - - - - - - - - - - Total Expenditures 944,507 976,457 1,158,567 563,766 1,123,149 1,145,062 1,170,307 1,196,174 1,222,677 (35,418) -3% Revenue Charges for Services - - - - - - - - - - - Interest Earnings - - - - - - - - - - - Donations - - - - - - - - - - - Other Income 58,088 76,486 75,377 37,350 76,885 78,422 79,991 81,590 83,222 1,508 2% Total Revenue 58,088 76,486 75,377 37,350 76,885 78,422 79,991 81,590 83,222 1,508 2% Department Purpose: Explain Significant Revenue, Expenditure and Staffing Changes/Variances Below: The Legal Department provides quality legal representation to the City of South Bend’s Mayor, departments, commissions and agencies with a dedicated and professionally-skilled staff, efficiently and cost effectively, in furtherance of the City’s strategic goals, and preserving the legal and ethical integrity of the City. The Legal Department's budget has decreased in 2018 by $35,418. This budget reduction is primarily due to decreases in allocations from other departments. Also, at the beginning of 2017, the Department renovated its reception area and conference room using funds that were transferred to the Professional Services line item and the Supplies line item. The large percentage decreases in these areas reflect a one-time use of funds in 2017 that were transferred to those accounts and spent on the Legal Department's 2017 Office Renovation project. There are no pending projects of this nature for 2018. 10 City of South Bend, Indiana 2018 Budget Department 101-0501 - Legal Department Accomplishments, Goals, KPI's 2017 Accomplishments & Outcomes - - - - - - - - - - - - 2018 Department Goals & Objectives and Linkage to City Results - of budget predictability prior to 2020. - Key Performance Indicators (KPI's) Measure Type 2018 Long Term Goal 2015 Actual 2016 Actual 2017 Target Outcome $452,000 $426,000 $455,000 $443,000 Efficiency Increased # of accounts referred and increased $ per account 7,632 referred, $43.05 per account 5,093 referred, $35.08 per account 1,737 referred, $108.15 per account (7/1/17) Types: output, efficiency, effectiveness, quality, outcome, technology 2018 Significant Changes/Challenges/Opportunities Riverfront Development Permit Boundaries expanded through ordinance amendments, resulting in economic development opportunities. Accident Investigation and Incident Prevention Trainings provided to City Departments, with target result of minimizing field incidents. South Shore Line Preliminary Agreements and Negotiations completed, resulting in feasible South Shore Line project plan. 65 Claims from the 2016 Flood Event resolved individually with residents, at minimal cost and exposure to the City. Fillable Online Forms: Collaborate with Innovation and Technology to provide fillable online APRA and Liability Claim forms to simplify Four-year Fire Agreement: Work with the Fire Department to develop a four-year agreement to stabilize fiscal considerations and provide a level Subrogation Practice drew in over $70,000 of recovered City funds to date. Tidwell Jury Trial resulted in verdict in favor of the City, supporting SBFD emergency responders' actions in saving lives in South Bend. Municipal ID Card Legal Framework developed for City-recognized ID card program implemented on January 3, 2017. the process of filing such forms with the Legal Department. 10,000 APRA Requests received and responded to since 2012 as of February 7, 2017, demonstrating City responsiveness and transparency. Open Door Law and APRA Training provided to representatives from all City Departments, including follow-up sessions. Litigation Transparency Guide produced and published online, allowing residents access to high-profile case documents. Plaintiff's Action filed under innovative legal theory, resulting in a gross amount of $425,000 in recovered funds. Amicus Briefs signed and supported by the City, demonstrating commitment to inclusion through support of antidiscrimination laws. Annual Total Collections The Legal Department is functioning effectively and efficiently within its current budget. The Department remains committed to providing high quality legal representation to the City of South Bend's Mayor, departments, commissions, and agencies. To that end, the Legal Department will: - Continue to support a department culture of proactive, energetic, client-focused planning and performance; - Support City policy and legislative interests at the regional, state, and national levels; and - Continue to demonstrate a diligent and resolute litigation strategy that supports the ability of the City to deliver good government and allows residents to live a safe, healthy, meaningful life in South Bend. All collections results are dependent upon the volume of accounts referred, the collectability of accounts, and data reliability. Average of Total Dollars Collected Over Accounts Referred per Year 11 City of South Bend, Indiana 2018 Budget Department 101-0501 - Legal Department Staffing (Full-Time Employees only) 2017 2018 2016 Amended 06/30/17 Proposed Forecast Position (* New title or additional position)Actual Budget Actual Budget 2019 2020 2021 2022 Non-Bargaining Full-Time Attorney 6.0 6.0 6.0 6.0 6.0 6.0 6.0 6.0 Executive Assistant 1.0 1.0 1.0 1.0 1.0 1.0 1.0 1.0 Administrative Assistant 2.0 2.0 1.0 2.0 2.0 2.0 2.0 2.0 Corporate Counsel 1.0 1.0 1.0 1.0 1.0 1.0 1.0 1.0 Total Non-Bargaining 10.0 10.0 9.0 10.0 10.0 10.0 10.0 10.0 Bargaining Total Bargaining - - - - - - - - Total Full-Time Employees 10.0 10.0 9.0 10.0 10.0 10.0 10.0 10.0 Explain Significant Staffing Changes Below: 12 201720172017 6/30/17 20182015 2016 Original Amended YTD YTD ProposedACCOUNT NUMBER ACCOUNT DESCRIPTIONActual Actual Budget Budget Actual Actual Expenditures101-0501-415.10-01 REGULAR WAGES666,520 688,144 705,738 705,738 377,920 326,770 723,139LEVEL TEXTTEXT AMT02 6 ASST FULL TIME ATTORNEY (6 X 87,533)525,1981 EXECUTIVE ASSISTANT54,6472 ADMINISTRATIVE ASSISTANTS (2 X 40,524)81,0481 CORPORATE COUNSEL124,633TOTAL FTE'S = 10 (50% OF CLAIMS ATTNY SEE BELOW)1 PART TIME CITY ATTORNEY66,380LESS 50% OF CLAIMS ATTORNEY TO BE PAID FROM 22643,767-LESS SALARY CAP TO ACTUAL ADJUSTMENT (CB CONFIRM)85,000-723,139101-0501-415.10-05 TEMPORARY SERVICES9,400000000101-0501-415.10-10 HIRING BONUS0 1,00000000101-0501-415.11-01 FICA - REGULAR50,013 50,902 53,989 53,989 28,123 24,323 55,320LEVEL TEXTTEXT AMT02 REGULAR SALARIES $723,139 X 7.65%55,32055,320101-0501-415.11-04 PERF - REGULAR74,650 77,086 79,043 79,043 42,327 36,598 80,992LEVEL TEXTTEXT AMT02 REGULAR SALARIES $723,139 X 11.20%80,99280,992101-0501-415.11-07 UNEMPLOYMENT COMP1,732980 1,7650000101-0501-415.11-08 HEALTH INSURANCE80,097 114,408 122,313 122,313 71,289 61,899 141,876LEVEL TEXTTEXT AMT02 LONG-TERM DISABILITY:11 EMP X $961,056HEALTH INSURANCE COVERAGE:9 EMP X $16,200145,800HEALTH INSURANCE REBATE2 EMP X $1,5603,120LESS: 50% INSURANCE FOR CLAIMS ATTORNEY PAIDTHROUGH FUND 2268,100-141,876101-0501-415.11-09 LIFE INSURANCE1,115 1,160 1,260 1,260603523 1,260LEVEL TEXTTEXT AMT02 10.5 EMP X $1201,2601,260101-0501-415.11-12 AUTO ALLOWANCE3,600 3,600 3,600 3,600 2,100 1,800 3,600101-0501 Legal DepartmentCity of South BendExpenditures13 201720172017 6/30/17 20182015 2016 Original Amended YTD YTD ProposedACCOUNT NUMBER ACCOUNT DESCRIPTIONActual Actual Budget Budget Actual Actual ExpendituresLEVEL TEXTTEXT AMT02 $300.00 X 12 MONTHS3,6003,600101-0501-415.11-22 PARKING ALLOWANCE4,03984-00000101-0501-415.11-24 CELL PHONE ALLOWANCE500660660660385330660LEVEL TEXTTEXT AMT02 MONTHLY CELL ALLOWANCE $55 X 12 MONTH660660101-0501-415.11-29 PARENTAL LEAVE0000001,808LEVEL TEXTTEXT AMT02 REGULAR SALARIES $723,139 X 0.25%1,8081,808------------ ------------ ------------ ------------ ------------ ------------ ------------* PERSONNEL SERVICES891,666 937,856 968,368 966,603 522,747 452,242 1,008,655101-0501-415.21-02 PRINT SHOP1,921025025000250LEVEL TEXTTEXT AMT02 PRINT SHOP250250101-0501-415.21-03 C.S. OFFICE SUPPLIES615335700700202188700LEVEL TEXTTEXT AMT02 2017 ESTIMATE700700101-0501-415.21-04 OTHER OFFICE SUPPLIES2,884849 1,500 1,500317193 1,500LEVEL TEXTTEXT AMT02 OFFICE SUPPLIES OTHER THAN THOSE OBTAINED FROM1,500CENTRAL SERVICES1,500101-0501-415.21-05 SMALL OFFICE EQUIPMENT3150 1,000 3,527 2,527 2,527 1,000LEVEL TEXTTEXT AMT02 OFFICE EQUIPMENT - UNANTICIPATED UPDATES TO EQUIP.1,000INCLUDES CHAIRS, FILE CABINETS, ETC.1,000------------ ------------ ------------ ------------ ------------ ------------ ------------101-0501 Legal DepartmentCity of South BendExpenditures14 201720172017 6/30/17 20182015 2016 Original Amended YTD YTD ProposedACCOUNT NUMBER ACCOUNT DESCRIPTIONActual Actual Budget Budget Actual Actual Expenditures* SUPPLIES5,735 1,184 3,450 5,977 3,046 2,908 3,450101-0501-415.31-01 LEGAL SERVICES2,324000000101-0501-415.31-06 OTHER PROFESSIONAL SVCS1,050172 2,550 48,355 45,477 45,477 2,550LEVEL TEXTTEXT AMT02 IN.GOV/CIVICNET400PACER - DISTRICT COURT ON-LINE SERVICES150COURT FILINGS2,0002,550101-0501-415.31-71 CENTRAL STORES ALLOCATION556612585585343294 1,035LEVEL TEXTTEXT AMT02 2018 FIXED COST ALLOCATION #31,035CENTRAL STORES1,035101-0501-415.31-72 GIS ALLOCATION1,081 1,13500000101-0501-415.31-73 PRINT SHOP ALLOCATION0 1,956 2,024 2,024 1,183 1,014 1,008LEVEL TEXTTEXT AMT02 2018 PRINT SHOP ALLOCATION #51,0081,008101-0501-415.31-76 IT ALLOCATION00000073,815LEVEL TEXTTEXT AMT02 2018 FIXED COST ALLOCATION #773,81573,815101-0501-415.32-02 POSTAGE2,811 2,036 3,600 3,600975752 2,000LEVEL TEXTTEXT AMT02 POSTAGE CHARGED BY ADMINISTRATION & FINANCE2,000AVERAGING ~$125/MONTH2,000101-0501-415.32-21 TRAVEL - MILEAGE4610750750290750LEVEL TEXTTEXT AMT02 2017 ESTIMATE750750101-0501-415.32-23 TRAVEL - HOTEL3240 2,000 2,000197197 2,000LEVEL TEXTTEXT AMT02 2017 ESTIMATE2,000101-0501 Legal DepartmentCity of South BendExpenditures15 201720172017 6/30/17 20182015 2016 Original Amended YTD YTD ProposedACCOUNT NUMBER ACCOUNT DESCRIPTIONActual Actual Budget Budget Actual Actual ExpendituresHOTEL COSTS FOR MUNICIPAL LAW SEMINARS2,000101-0501-415.32-24 TRAVEL - MEALS185050050000500LEVEL TEXTTEXT AMT02 2017 ESTIMATE500MEALS FOR IMLA/IACT MUNICIPAL LAW SEMINARS500101-0501-415.32-25 TRAVEL - OTHER1534720020000200LEVEL TEXTTEXT AMT02 2017 ESTIMATE200200101-0501-415.34-02 LIABILITY INSURANCE3,348 2,988 2,246 2,246 1,309 1,122 2,294LEVEL TEXTTEXT AMT02 2018 FIXED COST ALLOCATION #52,294LIABILITY INSURANCE2,294101-0501-415.36-02 OFFICE EQUIP R&M10 1,633 2,120 2,120 1,620 1,620 1,820LEVEL TEXTTEXT AMT02 FOR REPAIRS TO OFFICE EQUIPMENT200COPIER ANNUAL MAINTENANCE COST1,6201,820101-0501-415.36-04 COMPUTER EQUIP R&M5,109 5,004 99,335 99,335 57,946 49,668 0LEVEL TEXTTEXT AMT02 0 0101-0501-415.37-11 CAPITAL LEASE PRINCIPAL1,172 1,163 1,232 1,232940625 1,232LEVEL TEXTTEXT AMT02 RICOH COPIER LEASE1,2321,232101-0501-415.37-12 CAPITAL LEASE INTEREST991084040141140LEVEL TEXTTEXT AMT02 RICOH COPIER INTEREST4040101-0501 Legal DepartmentCity of South BendExpenditures16 201720172017 6/30/17 20182015 2016 Original Amended YTD YTD ProposedACCOUNT NUMBER ACCOUNT DESCRIPTIONActual Actual Budget Budget Actual Actual Expenditures101-0501-415.39-10 SUBSCRIPTIONS19,469 15,690 14,300 14,300 7,663 6,570 13,100LEVEL TEXTTEXT AMT02 THOMSON WEST $1,091/MONTH13,10013,100101-0501-415.39-11 DUES & MEMBERSHIPS475700700700500500700LEVEL TEXTTEXT AMT02 MUNICIPAL LAW TRAINING700700101-0501-415.39-70 EDUCATION & TRAINING8,475 4,173 8,000 8,000 5,071767 8,000LEVEL TEXTTEXT AMT02 NBI TRAINING PACKAGE4,000OTHER TRAINING FOR 8 ATTORNEYS AND SUPPORT STAFF4,0008,000101-0501-415.39-89 MISC CHARGES & SVCS4000000------------ ------------ ------------ ------------ ------------ ------------ ------------* OTHER SERVICES & CHARGES47,106 37,417 140,182 185,987 123,267 108,616111,044------------ ------------ ------------ ------------ ------------ ------------ ------------** LEGAL DEPARTMENT944,507 976,457 1,112,000 1,158,567 649,060 563,7661,123,149101-0501 Legal DepartmentCity of South BendExpenditures17