Fiscal Year 2013-2015 Special Budget Meeting

HONORABLE MAYOR AND CITY COUNCIL Subject: Proposed FY 13-15 Proposed Policy Budget Date: May 13,2013 Page 18 explained on page E-14, under the "all other funds" box above the organization chart. The positions are not accounted for in the financial and FTE counts given that the proposal was submitted after the proposed budget production was underway. If adopted, these positions will be added under Fund # 1100. . 4) What is the true reduction to the City Attorney's budget after the newly proposed 3 FTE positions are factored into the proposed 5% and 10% reduction? It is proposed that the City Attomey's Office will take 5% and 10% of the baseline in the two coming fiscal years respectively. The City Attomey's Office proposed to add three positions in an amount of $615,652 each year, which is 5.26% of the City Attomey's total budget. The goal " is to save costs on outside counsel. This pilot measure will be evaluated after FY 2013-14. 5) What would be the cost and potential savings of adding two additional staiT attorney positions and one paralegal position to handle necessary legal functions in the City Attorney's office beyond what is proposed in the Administration's budget? Please assume that the start date of these three positions (one Deputy City Attorney (DCA) HI, one DCA IV, and one Paralegal) is July 1,2014. Could these be funded through the Self-Insuranee Liability fund without putting the city at substantial risk of exhausting this fund in FY 14- 15 due to settlement and judgment payouts? What is the estimated savings to the city by avoiding hiring outside counsel due to the hiring of these two additional in-house attorney positions? The total of adding one DCA III ($220,681), one DCA IV ($279, 309) and one Paralegal ($108,662) amounts to $615,652 in FY 2014-2015. The expectation is that the cost for outside counsel will be reduced by adding in-house attorneys. The savings is projected to occur gradually over the next two to three years as new staff come on board and assume full caseloads. It is important to note that while work will shift from outside counsel to in-house staff, in some cases it will not be feasible to bring in-house work that outside counsel have already begun. Also, the amount of savings during the first fiscal year and on an ongoing basis may be impacted by the types of new matters that arise during the year, requiring legal services. Given that the City Attomey's Office cannot foresee what new matters may require outside counsel, they have conservatively estimated that each additional staff attomey position will save hundreds of thousands of dollars in outside counsel expenses. Library 1) What is the outlying year projected impacts to the Library and specifically to Measure Q? In FY2008-09, the Library's original Adopted budget was evenly split between the General Purpose Fund and Measure Q Fund (General Purpose Fund — 50% & Measure Q — 50%). However, beginning with the October 2008 City-wide budget revisions, when the Library's General Purpose Fund was cut by almost $1.5 million, the percentage of General Purpose Fund