Winnipeg, MB - Moving forward on a commitment to explore opportunities for making the most efficient and effective use of taxpayers' funds while continuing to provide high quality service, Phase 1 of a comprehensive two-part external operational review of the Public Works Department is now complete. The review, conducted by KPMG LLP, delivered key recommendations which could amount to potential net cost savings of up to $5.5 million annually.
The final report contains approximately 25 recommendations for the short-term (12 to 18 months), medium-term (3 to 4 years) and longer-term (over 3 to 4 years). The recommendations cover several of the internal and public services provided by the Department and were categorized by: Roadway Construction and Maintenance, Roadway Snow Removal and Ice Control, Transportation Planning and Traffic Management, Parks and Urban Forestry, Support and other services.
The recommendations within the report are prioritized and include costs/savings associated with each recommendation, a suggested timeline and an implementation plan. The high priority recommendations contained within the report have an identified potential cost savings, based on a series of assumptions, estimated to total between $3.7 to $5.5 million in operating funds and $1.2 million in capital funds.
A key recommendation is for the Department to place more emphasis on value-for-money contracted services such as design-build options on construction projects.
Other recommendations address:
- Summer weekend shifts and overtime management
- Winnipeg Fleet Management costs and utilization
- Modernizing construction permits
- Residential Street Snow Removal service levels
Recommendations brought forward by KPMG LLP do not contemplate cuts to services but rather are based on evaluating different approaches to conducting business.
The report also recommends targeted investments ranging from $1.1 to 1.7 million in operating and $1 million in capital funding addressing such areas as strategic and analytical support, information technology and a centralized traffic management centre.
The City issued a request for proposals on August 9, 2012 to invite proposals from industry experts to conduct this operational review. The first part of the two-stage operational review looked at all aspects of the Department's operations; for example, identifying the Department's core and high priority services, examining customer service response times, reviewing efficiency of processes, reviewing best practices, and predicting future service needs, as a few examples. The second stage involved benchmarking with cities of similar sizes. The price for Phase 1 of the Operational Review was $287,500.
The City will now enter into negotiations with KPMG LLP for assistance in Phase 2, which will focus on the priority short to medium-term recommendations.
The Public Works Department has been accredited by the American Public Works Association since November 2006, and was recently re-accredited in October 2011. This means that the Department has been examined by external peers and determined to be providing a high standard of services through application of leading practices and service delivery methodologies.
The 2013 Adopted Operating Budget for Public Works is $132.2 million(not including Street Lighting). The 2013 Adopted Capital Budget for Public Works is $116.8 million. The Department employs approximately 650 full-time and 900 seasonal, part-time and student employees.
The report, which will be considered by the Executive Policy Committee on Wednesday, October 9, 2013 will be published this afternoon at EPC - Agendas