March 23, 2011
The Phoenix City Council Finance, Efficiency and Innovation Subcommittee met today and approved additional savings for the city. One item subcommittee members approved included the elimination and reclassification of several of positions, resulting in estimated cost savings of $339,000.
Subcommittee members also approved refinancing and restructuring the city’s General Fund excise tax bonds as a financial transaction for the 2011-12 budget. This allows the city to take advantage of favorable interest rates and the city’s AAA bond rating to save approximately $30 million to $45 million in debt service in the next two years.
"Phoenix is committed to finding ways to save the city money, which results in savings that are passed on to our taxpayers," said Councilman Bill Gates, chairman of the Subcommittee. “Each time we meet, management identifies more savings and better ways of doing business – most of which are suggestions from city employees and private-sector members of the Innovation and Efficiency Task Force.”
Earlier this year, the Subcommittee approved $7.7 million worth of savings for the city that included eliminating 80 positions citywide for a savings of approximately $5.9 million over two years; consolidating city printing resources for a savings of $280,000 annually; and insourcing some of the Law Department's cases for a savings of $395,000 in the first year, and $1.5 million by the third year of the plan.
Since the Innovation and Efficiency Task Force was created in January 2010, nearly $30 million in savings has been identified. More information about the city's innovation and efficiency efforts can be found at the Innovation and Efficiency website.
|Stephanie Ribodal Romero||602-261-8512|