Skip to main content

AgendaQuick™

View Agenda Item

Consent   1.C.
Regular City Council Meeting
Meeting Date:
12/19/2011
TITLE
Priority-Based Budgeting Services
PRESENTED BY:
Tina Volek
Department:
City Hall Administration
Presentation:

Information

PROBLEM/ISSUE STATEMENT

In July 2011, City Council approved an initiative directing Administration to begin using priority-based budgeting in the next fiscal year.  The priority-based budgeting process is designed to help the City define its priority objectives and create a budget based on achieving those objectives.

The Request for Proposals (RFP) for Priority-Based Budgeting Services was advertised in the Billings Times October 27th and November 3, 2011, and placed on the City's website.  The RFP was also emailed directly to six companies.  Two proposals were received by November 25, 2011:

1.  The Business and Technology Resource Group (BTRG), Inc.
2.  The Center for Priority Based Budgeting

A selection committee made up of City Administrator Tina Volek, Assistant City Administrator Bruce McCandless, Councilmember Dick Clark, Finance Director Pat Weber and Purchasing Agent Liz Kampa-Weatherwax, met on December 1, 2011, and reviewed both proposals.

ALTERNATIVES ANALYZED

1.  Continue with the current budget process.
2.  Enter into an agreement with the Center for Priority Based Budgeting to conduct a priority-based budgeting process for the City.
3.  Enter into an agreement with BTRG.  The company proposes a comprehensive program of performance measurement and management and tying budgets to high performing services.  The proposal exceeds the scope of work desired by the City at this time.

FINANCIAL IMPACT

The proposal received by the Center for Priority Based Budgeting has an estimated cost of $38,000, exclusive of travel-related expenses.  At least two on-site visits are anticipated and the costs are estimated at $1,500/visit.  Additional visits may be arranged at the City's discretion.  There should be enough money in the Non-Departmental budget to fund this expenditure but that will be assessed at the end of the fiscal year and if needed, staff will recommend a budget amendment to the City Council. 

RECOMMENDATION

City staff recommends awarding a contract to the Center for Priority Based Budgeting for $38,000 plus travel expenses to conduct the priority-based budgeting process for the City.

APPROVED BY CITY ADMINISTRATOR