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Creation of Assistant Director of Finance and Budget PositionCity of Dubuque City Council Meeting Consent Items # 05. Copyrighted July 18, 2022 ITEM TITLE: Creation of Assistant Director of Finance and Budget Position SUMMARY: City Manager recommending approval to add a second full-time Assistant Director of Finance and Budget position. SUGGESTED Suggested Disposition: Receive and File; Approve DISPOSITION: ATTACHMENTS: Description Type MVM Memo City Manager Memo Staff Memo Staff Memo THE C DUUB-.'&-FE Masterpiece on the Mississippi TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Additional Assistant Director of Finance and Budget Position DATE: July 8, 2022 Dubuque AII•Amerin City nwxnw�� Kw 2007-2012.2013 2017*2019 Director of Finance and Budget Jennifer Larson is recommending approval to add a second full-time Assistant Director of Finance and Budget position. This position would increase the Finance and Budget personnel complement by 1.00 full-time equivalent. The addition of an Assistant Director of Finance and Budget position at GE-41 is estimated to cost $140,752 in FY23. The cost would be funded by FY22 & FY23 Finance and Budget Department vacancy savings. The addition of an Assistant Director of Finance and Budget would provide a high-level management position that could take some of the workload from the Director of Finance and Budget, Assistant Director of Finance, Purchasing and Risk Manager, and Utility Billing Supervisor. This position would help with supervising Finance and Budget staff, providing the much -needed employee support. In addition, the skill set would allow for the position to assist with audit, financial statement preparation, budget preparation oversight, assistance with purchasing and risk management, and assistance with accounting and utility billing processes as needed. I concur with the recommendation and respectfully request Mayor and City Council approval. Michael C. Van Milligen MCVM/jml Attachment CC' Crenna Brumwell, City Attorney Cori Burbach, Assistant City Manager Shelley Stickfort, Human Resources Director Cassie Ross, Assistant Director of Finance THE COF DtUB E Masterpiece on the Mississippi TO: Michael Van Milligen, City Manager FROM: Jennifer Larson, Director of Finance and Budget SUBJECT: Additional Assistant Director of Finance and Budget Position DATE: July 8, 2022 INTRODUCTION Dubuque 11FMedCB CI!! nnnr;rv,v.� nx. u.k;�a: ,III®r 2007-2012.2013 2017*2019 This purpose of this memo is to recommend approval of a second Assistant Director of Finance and Budget position. BACKGROUND The Finance and Budget departments were consolidated in March 2019. Since that time, there has been significant and ongoing change. The current personnel complement of the Finance Department is 20.51 full-time equivalents which is broken down into the following positions: Accounting: Type FTE Director of Finance and Budget Full -Time 1.00 Assistant Director of Finance Full -Time 1.00 Purchasing and Risk Manager Full -Time 1.00 Confidential Account Clerk Full -Time 1.00 Accountants Full -Time 2.00 Senior Payroll Accountant Full -Time 1.00 Budget/Financial Accounting Analysts Full -Time 2.00 Accounting Interns Seasonal 1.00 Budget: Budget/Financial Accounting Analysts Full -Time 2.00 Utility Billing: Utility Billing Supervisor Full -Time 1.00 Account Clerk I Full -Time 3.00 Cashier Full -Time 4.00 Utility Billing Intern Seasonal 0.51 Total Full -Time Equivalents 20.51 DISCUSSION Prior to consolidation of the Budget and Finance Departments, there was a Budget Director (1.0 FTE), full-time Finance Director (1.0 FTE), full-time Assistant Finance Director (1.0 FTE), full-time Utility Billing Supervisor (1.0 FTE) and full-time Purchasing and Risk Manager (1.0 FTE), or a total of 5.0 FTE budget and finance management staff to oversee the budget and finance functions of the City of Dubuque. At the time of the consolidation, it was originally planned to have a full-time Budget Manager (1.0 FTE) and full-time Finance Manager (1.0) position to help oversee the operations of the Finance and Budget department. However, it was determined best at the time to eliminate the full-time Budget Manager position and replace it with a lower -level Budget/Financial Accounting Analyst position and change the Finance Manager position back to an Assistant Director of Finance position. The current management staff of the Finance and Budget department consists of Director of Finance and Budget (1.0 FTE), Assistant Director of Finance (1.0 FTE), Purchasing and Risk Manager (1.0 FTE) and Utility Billing Supervisor (1.0 FTE), or a total of 4.0 FTE management staff to oversee the budget and finance functions of the City of Dubuque. This is one less management position than what was in place prior to the consolidation of the Budget and Finance departments. The amount of workload, projects, and complexity of issues in the Finance and Budget department have intensified over the past two years. This has led to Finance and Budget management staff working increased hours year-round and not being able to take vacation. It is best practice that finance employees, especially management staff, take a minimum of one week's vacation each year. The weekly hours worked by management staff averages between 60-80 hours per week depending on impending deadlines. The increased hours result in management staff not having a work/life balance and a high risk of employee turnover. The increased workload/ projects, and complex issues are not temporary and will be ongoing. The Enterprise Resource Planning (ERP) financial system implementation project started in September 2019. Although the Tyler Munis Finance/Budget module went live on July 1, 2022, ongoing support is needed for departments as well as finance and budget staff. The budget process has not been designed in the new system yet and departments will need to be trained on how the new process works. Other modules of the Tyler Munis system are being implemented in different phases. The Utility Billing module has started implementation with a go live date of January 2023. The Human Resources module and Executime module implementation is underway and is anticipated to go live Fall 2023. Asset Maintenance module implementation will start during FY23. Finance and Budget management staff will be looking at implementing a new purchasing card provider that works well with the new system. In addition, a request for proposal will be developed for investment portfolio and debt management software that will integrate with the Tyler Munis software. The City approved a five-year audit contract with public accounting firm FORVIS. This is the first time the city has switched auditors and there will be increased workload providing the new auditors information related to internal controls and procedures. 2 The number of new Government Accounting Standard Board statements being issued that the City must adopt in its financial statements is at an all-time high. Finance management staff are currently working on Statement Number 87, Leases, which is effective for Fiscal Year 2022. GASB 87 requires staff to review all leases, document them and record the leases in special software so that required financial disclosures on the leases can be written. There are now 101 Government Accounting Standard Board statements that have been issued, which results in management staff needing to review statements 88-101 and the impact to the financials and develop a plan for implementation. The Purchasing and Risk Manager is Chair of the City's Safety Committee and is active in launching a full-scale safety program at the City of Dubuque. However, it has been difficult to allocate the necessary time to the safety program because this position is also heavily involved in purchasing, purchasing cards, risk management including insurance renewals and claims, contracts and bids, and overall logistics of the department. Finance and budget management would like to be able to focus on staff development and supervisory duties, however the amount of workload makes it very difficult to allow for that focus. It is a goal of management staff to do monthly check -in meetings with staff. In addition, planning for staff training, staff meetings, and being available for staff for questions has not been possible with the amount of workload being experienced. The addition of an Assistant Director of Finance and Budget would provide a high-level management position that could take some of the workload from the Director of Finance and Budget, Assistant Director of Finance, Purchasing and Risk Manager, and Utility Billing Supervisor. This position would help with supervising Finance and Budget staff, providing the much -needed employee support. In addition, the skill set would allow for the position to assist with audit, financial statement preparation, budget preparation oversight, assistance with purchasing and risk management, and assistance with accounting and utility billing processes as needed. BUDGETIMPACT The addition of an Assistant Director of Finance and Budget position at GE-41 is estimated to cost $140,752 in FY23. The cost would be funded by FY22 & FY23 Finance and Budget Department vacancy savings. RECOMMENDATION I respectfully request approval of an additional Assistant Director of Finance and Budget position at GE-41 which would increase the Finance and Budget personnel complement by 1.00 full-time equivalent. This position would be posted upon approval. JML 3