City Council Finance, Efficiency and Innovation Subcommittee Update

Sept. 28, 2011

City Hall Obelisk with StarburstThe Phoenix City Council Finance, Efficiency and Innovation (FE&I) Subcommittee met today and discussed several cost-saving improvements, including rightsourcing, hiring a chief innovation officer and implementing same day garbage service.  

This fiscal year, Phoenix will outsource $477 million, which is the highest level of rightsourcing in the city’s history.  This is an increase of 39 percent ($133 million) over the past six years and a 10 percent increase from FY 2010-11.  Also during this time, the number of full-time, non-public safety positions decreased by more than 12 percent (or 1,203 positions).   

"I’m a numbers person and these numbers are speaking loudly to me,” said Councilman Bill Gates, chairman of the subcommittee.  “I’m impressed with the level of reductions we’ve been able to make without sacrificing our core services we provide to residents – and there will be more to come.”

The subcommittee also approved to hire a chief innovation executive.  This position would work in the City Manager’s office and work closely with the Innovation and Efficiency Task Force on innovation projects.  It also would be responsible for analyzing right sourcing proposals; leading the development and implementation of innovations; focusing on best practices and government efficiency; introducing new ideas to improve programs, services, and procedures; adapting successful systems from other organizations; engaging and communicating with stakeholders; and using technology to drive change and enhance efficiencies.  

“City staff and community members working on our Innovation and Efficiency Task Force have identified $35 million in savings to date,” said City Manager David Cavazos.

"Under the leadership of the Mayor and City Council and based on feedback from our residents, we will continue our commitment to find additional ways to save money.”

Another cost-saving measure approved by the subcommittee was to proceed with implementing same-day garbage service.  Currently, garbage and recycling are collected on different days of the week.  An important advantage of the proposed change is customer convenience, which will be enhanced with residents only having to put out containers one day per week, rather than two.  Also, the change would reduce operation and maintenance costs through the elimination of 12 collection routes and associated operators and collection trucks.  The anticipated annual savings from the reduction of routes, equipment, and staff is $1.3 million, and $5 million over five years.

All decisions made today by the subcommittee will head to a vote at an upcoming Formal City Council meeting.  

Media Contact:

Stephanie Ribodal Romero 602-261-8512