HomeMy WebLinkAboutIR 9739 INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 9739
To the Mayor and Members of the City Council May 19, 2015
G�T�A Page 1 of 6
�i
�i7 Y
SUBJECT: 15 Year Budget History— IT Solutions Department
#qrF rn
f e'?5
In an effort to provide a framework for current and future budget requests, staff will be providing 15
years of historical data by department over the next several months. Data will include Fiscal Year
2000 through Fiscal Year 2015.
In graph format, the data will include the following components,
1. Population
2. Staffing Levels with Population
3. Square Miles of the City of Fort Worth
4. Adopted Budget with Square Mileage
Population
From 2000 to 2015, the population in Fort Worth has grown by 246,306 new citizens, or about 46
percent. This trend is expected to continue as Fort Worth continues to be singled out as one of the
fastest growing cities both in Texas and in America.
Fort Worth Population Growth
900,000 7.0%
800,000 628%
5.91% 6.0%
700,000
C
5.0%
C 600,000
'R .64%
R 500,000 4.0%
O
IL A3%
R 400,000 2' 3.0%
C % 3
F
300,000
2. 1.75% 2.0%
200,000
1.17% 1
100,000 0
0 0.0%
534,694 540,950 557,750 579,250 597,150 624,850 664,100 686,850 702,850 720,250 741,206 748,450 757,810 767,560 781,000
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Source: North Central Texas Council of Government(NCTCOG) Population —%Change
Square Miles
By comparison, the square mileage in the City has grown from 308 to 353 square miles, or 15
percent. The 25-mile increase from 2002 to 2003 included the annexation of 7,744 acres, known as
287 Zone LPA (M&C PZ-2438).
ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS
INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 9739
To the Mayor and Members of the City Council May 19, 2015
aaT # 0 Page 2 of 6
SUBJECT: 15 Year Budget History— IT Solutions Department
Fort Worth Square Mileage
Ben6rook Boundary
Swaps and
360 ❑isannexations 9.0%
6.06%
350 Addition of 287 Zene LPA 8.0%
7.0
340
6.0
7
d 330 5.0%
m 320 4.0% 0,
`a 0
Cr 310 2 3.0% y
U)
2.0
300 2
0 0 0.37% 0.52% 1.0%
290 —'�� 0.0%
0. 0.0290 0 0. 0.22'
260 (i.0%)
308 316319 344 346 346 346 347 349 349 350 350 351 352 351 353
2000 2007 2002 2003 2004 2005 2006 2007 2009 2009 2010 2011 2012 2013 2014 2015
Source: CFW Planning and Development Department
Square Mileage -*-% Change
Impact of Growth in Population and Square Mileage Relative to Budget
The IT Solutions Department (Information Systems Fund) adopted budget has increased 143 percent,
growing from $10,908,308 in FY2000 to $26,532,002 in FY2015. Authorized positions have increased
25 percent over same period, from 111 positions in FY2000 to 139 positions in FY2015.
IT Solutions Department Authorized Positions
(All funds)
900,000
160
840,000
140
- 700,000
O 120
- 600,000
a 100 540,000 C
(D
N 80 440,000 �
O.
0 60 300,000
44
Q 240,000
20 140,000
0 0
FY2000 FY2001 FY2002 FY2003 FY2004 FY2005 FY2006 FY2007 FY2008 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015
—Total AP -0-Population
ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS
INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 9739
To the Mayor and Members of the City Council May 19, 2015
Page 3 of 6
�i
�i7 Y
SUBJECT: 15 Year Budget History— IT Solutions Department
#qrF rn
10 7'.L
The following chart shows the changes in the annual adopted budget for the IT Solutions Department
relative to the geographical size of the City.
IT Solutions Department Adopted Budget
$35 360
$30 350
340
$25 '
N
y 330 =
C $20 9
O
320 3
$15
$2 $25 $2 310
$10 $22 2 2 $23 $23 $23 $24
1 300
$5 290
$0 280
FY2000 FY2001 FY2002 FY2003 FY2004 FY2005 FY2006 FY2007 FY2008 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015
SIT Solutions Square Mileage
The 143 percent adopted budget increase from FY2000 to FY2015 includes the following authorized
position and budgetary changes:
• FY2001: The adopted budget increased by a net of $1,596,335. The budget included the
following significant changes: $69,151 for the salary and related expenses of adding a Senior
Technical Support Analyst for application development; $880,509 due to salary increases and
costs associated with a bonus plan implemented by the department to help recruit and retain
employees with high-tech skills; $417,886 for phone costs, based on usage throughout the City;
and $428,186 for software, server leases and equipment to support the City's fiber optic
network. The adopted budget also included a decrease of ($45,329) for an Information Systems
Coordinator position that was moved to the City Manager's Office.
• FY2002: The adopted budget increased by a net of $578,256. Significant changes included the
following: $351,044 for contract labor on technology development projects; $327,205 for
equipment leased by the IT Solutions Department and software support regarding the Citywide
technology infrastructure; and $190,445 for salary increases. The adopted budget also had a
notable decrease of ($267,202) for a five percent salary cap as part of the citywide
compensation plan.
• FY2003: The adopted budget increased by a net of $1,726,997. Significant changes included
the following: $934,527 for IT security and geographic information system services; $265,545
for budgeted depreciation costs; $130,000 for a centralized voice radio logging system to
ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS
INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 9739
To the Mayor and Members of the City Council May 19, 2015
h�T�i7 Page 4 of 6
�i
�i7 Y
SUBJECT: 15 Year Budget History— IT Solutions Department
#qtF rn
f e'?5
record radio traffic for one or more talk groups; and $87,000 as part of a plan to increase
physical security and access control at the Levee, Holly, Bolt Street, Rolling Hills, and North
Beach Street telecommunications remote sites. There was a significant decrease of ($492,527)
for salaries based on the elimination of eleven authorized positions as part of the department's
reorganization efforts to streamline activities.
• FY2004: The adopted budget decreased by a net of ($126,210). Significant decreases included
the following: ($305,948) due primarily to the expiration of some lease purchase agreements
during the fiscal year; and ($297,563) for savings from software license agreement
maintenance. The adopted budget increased by $245,453 due to a reduction of budgeted
salary savings based on trending. The adopted budget increased by $218,000 to pay for
security and telephone systems design consulting.
• FY2005: The adopted budget increased by a net of $2,029,575. Significant increases included
the following: $977,033 for the FY2005 adopted compensation plan and the addition of ten
employees; $739,555 for costs associated with the project to convert all City phone lines to the
392 exchange; $500,000 for E-GOV implementation, which provided the infrastructure for
electronic bill pay and an ADA compliant website; and $235,000 for scheduled temporary
employees to perform disaster recovery activities.
• FY2006: The adopted budget increased by a net of $4,915,673. Significant increases included:
$919,288 for employees salaries due to implementation of the FY2006 compensation plan and
the addition of eight positions; $1,230,365 for computer replacements under a new computer
replacement strategy; $440,635 for claims/lawsuit transfers based on historical claims;
$700,000 for costs associated with the 392 conversion project; $249,093 for mainframe
lease/maintenance costs; and $262,075 for software maintenance and warranties.
• FY2007: The adopted budget increased by a net of $970,557. Significant increases included:
$474,947 to implement the FY2007 compensation plan; $1,000,000 for the initial phase of
acquiring and implementing an Enterprise Resource Planning (ERP) tool; and $355,972 to
further upgrade the Computer Aided Dispatch (CAD) system for the Public Safety Departments.
• FY2008: The adopted budget increased by a net of $680,408. Significant increases included
$726,784 for employee salaries based on step increases coupled with the addition of nine
positions and $473,898 for contributions to employee retirement. However, there was a
decrease of ($1,000,000) for the one-time (FY2007) transfer to the ERP project.
• FY2009: The adopted budget decreased by a net of ($367,383). Significant decreases included
the following: ($1,896,243) due to the downsizing of the Strategic Business Resources Division
by nine authorized positions, the downsizing of the IT Finance/Contract staff by three
authorized positions and the elimination of four support positions and contractual radio
services. There was also an increase of $1,826,647 due to a one-time transfer to the IT
Equipment Fund to address the fund's negative net position.
ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS
INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 9739
To the Mayor and Members of the City Council May 19, 2015
h�T�i7 Page 5 of 6
�i
�i7 Y
SUBJECT: 15 Year Budget History— IT Solutions Department
#qrF rn
Y g 7'.L
• FY2010: The adopted budget increased by a net of $267,425. Significant increases included:
$862,365 for increased software and maintenance costs; $440,000 for contractual backfill costs
for ERP Phase I and II; $323,045 for contributions to retiree healthcare costs; $247,500 for an
information security audit; $188,000 for a contract to outsource a project manager; and
$172,600 for the addition of phone circuits. The adopted budget decreases included:
($2,273,475) for the elimination of the one-time FY2009 transfer to the IT Equipment Fund to
shore up the fund's net position; ($422,000) in reduced equipment note payments; and
($272,378) for the implementation of eight mandatory furlough days citywide.
• FY2011: The adopted budget decreased by a net of ($180,408). Significant decreases included
($323,045) for reduced contributions to retiree healthcare and ($248,043) for claims based on
historical claims costs. The adopted budget increases included $384,349 for the ERP Phase I
support team, which included five authorized positions and $225,768 for the elimination of eight
mandatory furlough days in FY2010.
• FY2012: The adopted budget increased by a net of $4,164,196. Significant increases included:
$1,650,000 to fund the PeopleSoft software upgrade from version 9.0 to 9.1; $1,300,000 for
PeopleSoft maintenance updates for ERP Phase I modules; $814,496 for indirect costs
allocated to the Internal Service Fund; $630,768 for software maintenance and licenses used
by the City of Fort Worth for the ITS network; $322,227 to fund PeopleSoft financial,
procurement and Oracle Hyperion Budget Planning Software; and $270,280 for costs
associated with the final implementation of the FY2012 compensation plan, which included an
across the board salary increase of 3% to all general employees.
• FY2013: The adopted budget decreased by a net of ($3,247,086). Significant decreases
included: ($3,445,301) for the elimination of one-time funding for ERP Phase1 (ERP1)
expenses associated with software maintenance and upgrades and ($361,413) for software
licensing/maintenance due to the elimination of Tritech CAD maintenance. Notable increases
include the addition of 7.0 authorized positions to support the Enterprise Resource Planning
(ERP) Phase II Implementation Project (ERP2), which were funded by the ERP II project.
• FY2014: The adopted budget increased by a net of $1,411,128. Significant increases included:
$725,533 for the addition of six authorized positions to provide computer support services;
$356,563 for the retiree health insurance allocated to the department; $227,400 for leased
telephone lines based on growth in the number of City facilities; and $150,523 for data line
equipment.
• FY2015: The adopted budget increased by a net of $1,204,221. Significant increases included
the addition of six authorized positions for the transfer of the Enterprise Resource Planning
(ERP) Support Group to IT Solutions. The transfer had no budgetary impact, since the funding
was provided by the ERP project. Further increases included: $569,661 for software and
mainframe licensing and maintenance contracts; $190,357 for costs associated with
contributions to employee retirement; and $180,667 for the General Fund administrative service
ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS
INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 9739
To the Mayor and Members of the City Council May 19, 2015
h�T�i7 Page 6 of 6
�i
�i7 Y
SUBJECT: 15 Year Budget History— IT Solutions Department
#qtF rn
10,?5
charges for the indirect cost allocation charged to the department. The adopted budget also
decreased by ($281,104) based on the increased use of contract labor.
Budget changes indicate that there is a positive correlation between City growth in size and
population density and the impact on information technology resources. Over the last fifteen years,
the City has seen an average annual population growth rate of 2.9% and a corresponding annual
increase in the land area at an average annual rate of 1.0%. Likewise, the City's IT Department has
grown at an average annual rate of 1.6% in authorized positions. The department investments in
technology created significant budgetary increases at an average annual rate of 6.1% in budgeted
funds.
As the City integrates and leverages more technology, there will be increased costs associated with
acquiring and maintaining such systems but should ultimately lead to increased efficiencies.
Therefore, the FY2016 budget request continues the upward cost trend to address technology
improvements and the increasing facility and infrastructure needs. The IT Solutions Department will
try to control these costs by changing the cost control strategies, such as moving fixed costs to
variable costs and using cloud-based software instead of paying for blanket licenses for users that are
not be needed.
If you have any questions, please call IT Solutions Director Kevin Gunn at 817-392-2015 or Aaron
Bovos, Financial Management Services Director, at 817-392-8517.
David Cooke
City Manager
ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS