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[CALL TO ORDER]

[00:00:02]

YOU WANT IT? UM, CTM.

ARE YOU READY? ARE YOU EXCITED? ARE YOU READY? YES, MA'AM.

THANK YOU.

OKAY, GOOD MORNING.

MY NAME IS ALISON ALTER AND I'M CHAIR OF THE AUDIT AND FINANCE COMMITTEE.

TODAY IS WEDNESDAY, AUGUST 18TH AT 9:33 AM.

AND I WILL CALL THIS MEETING OF THE AUDIT AND FINANCE COMMITTEE TO ORDER JOINING ME ON THE VIRTUAL DAYAS OUR VICE CHAIR POOL COUNCIL MEMBER, KELLY AND MAYOR ADLER.

AND IT LOOKS LIKE COUNCIL MEMBER TOBO HAS JOINED US AS WELL.

THAT'S OUR FULL COMMITTEE.

GOOD MORNING, EVERYONE.

UM,

[Citizen Communication: General]

WE ARE GOING TO BEGIN WITH CITIZEN COMMUNICATION.

WE HAVE PAUL ROBBINS WHO IS SPEAKING ON ITEM FOR US, HAS BEEN OUR PRACTICE WITH THE VIRTUAL.

WE'RE GOING TO DO THE CITIZEN COMMUNICATION AT THE BEGINNING.

UM, SO MR. ROBBINS, YOU HAVE THREE MINUTES COUNSEL.

UH, CAN YOU HEAR ME? YES, MR. ROBBINS.

UH, AM I VISIBLE? UM, YOU'RE NOT VISIBLE THAT WE USUALLY ARE NOT VISIBLE.

OKAY, LET ME START.

THANK YOU COUNSEL.

IN 2017, MANY AUSTIN WATER USERS BEGAN TO RECEIVE ABNORMALLY HIGH AND SOMETIMES UNBELIEVABLY HIGH BILLS FOR A LONG TIME.

AUSTIN ENERGY WOULD NOT ACKNOWLEDGE IT.

LET'S FIX THE PROBLEM.

AND A LOT OF AUSTIN I'D SUFFERED.

AND THEN IT WAS DISCOVERED THAT SOME OF THE METER READERS WERE SUBMITTING FALSE DATA.

IN THE CASE OF THE CUSTOMER'S INSTANCE PROGRAM MONEY THAT HAS BEEN SPENT ON THE WRONG PEOPLE OR THE WRONG PURPOSE, UH, OSMAN ENERGY AND THE PUBLIC I'VE KNOWN ABOUT THIS PROBLEM FOR ALMOST SEVEN YEARS, THERE WERE REPAIRS THAT THE TENANT DID.

THE UTILITY FINALLY TOOK AFTER YEARS OF CRITICISM HAVE BEEN INSUFFICIENT.

I GENERALLY CONSIDER AUDITS LIKE THE ONE I HAVE REQUESTED FOR THE CUSTOMER ASSISTANCE PROGRAM, A LAST RESORT TO OBTAIN REMEDIAL ACTION, BUT AFTER SEVEN YEARS SUCH REMEDIAL ACTION IS DUE AND ASKED TO DO, UM, I BELIEVE THIS COUNCIL HAS HEARD ME NUMEROUS TIMES.

I BELIEVE YOU, UH, EXPERIENCED, UH, NUMEROUS DISPLAYS, UH, WHERE I'VE SHOWN PICTURES OF THE WEALTHY HOMES THAT ARE STILL GETTING THIS DISCOUNT.

UH, WHAT I CANNOT SHOW YOU ARE THE PEOPLE THAT MIGHT BE WEALTHY, BUT ARE GETTING THE DISCOUNT BECAUSE THE HOMES THEY LIVE IN THEMSELVES ARE NOT EXPENSIVE.

UH, I URGE YOU TO CONSIDER THE WATER WHITEWATER COMMISSION'S RECOMMENDATION, UH, TO HAVE A, AN AUDIT, UH, OF THE CUSTOMER ASSISTANCE PROGRAM IN THE NEXT FISCAL YEAR.

I APPRECIATE YOUR ATTENTION.

THANK YOU FOR YOUR TIME AND YOUR ADVOCACY, MR. ROBBINS.

UM, ATX AND I BELIEVE THAT COUNCIL MEMBER FOR TESTING NEEDS TO BE MOVED OVER TO A PANELIST SHE'S ON THE SCREEN NOW.

OKAY, GREAT.

THANK YOU.

UM, SO OUR NEXT ITEM, I DON'T WANT A SECOND HERE.

UM,

[6. Briefing on the Strategic Facilities Governance Team on Administrative Office Occupancy Plan progress and next steps]

WITHOUT OBJECTION, UH, PER STAFF REQUEST, I WOULD LIKE TO POSTPONE ITEM SIX TO THE MEETING OF SEPTEMBER 22ND.

ITEM SIX WAS THE BRIEFING BY THE STRATEGIC FACILITIES GOVERNANCE TEAM ON THE ADMINISTRATIVE OFFICE OCCUPANCY PLAN PROGRESS, AND NEXT STEPS.

UM, SO WITHOUT OBJECTION, I'M GOING TO POSTPONE THAT ITEM.

[1. Approve the minutes of the Audit and Finance Committee meetings of June 16, 2021 and July 21, 2021.]

UM, NEXT WE'LL TAKE UP ITEM ONE, WHICH IS THE, THE MINUTES FOR JULY 21ST AND JUNE 16.

UM, MAY I GET A MOTION FOR APPROVAL FOR THE MINUTES, COUNCIL MEMBER KELLY, SECOND BY COUNCIL MEMBER POOL, ALL THOSE IN FAVOR UNANIMOUS ON THE VIRTUAL DYESS.

THANK YOU.

UM, WE WILL

[2. Discussion and possible action regarding the City Recruiting and Hiring Efforts Audit]

NOW MOVE TO ITEM TWO, WHICH IS DISCUSSION AND POSSIBLE ACTION REGARDING THE CITY RECRUITING AND HIRING EFFORTS AUDIT LIKE THE AUDITOR'S OFFICE TO THANK YOU.

AND I DON'T SEE THEM YET, BUT I CAN'T SEE EVERYBODY ALL THE TIME.

SO I THINK, UM, KATIE HOUSTON AND TYLER MYERS, UM, NEEDED TO BE MOVED OVER AND ON VIDEO.

UM, SO JUST WHILE THAT'S HAPPENING, I THINK THIS IS AN AREA THE CITY HAS

[00:05:01]

BEEN WORKING ON RECRUITING AND HIRING, UM, OR RECRUITING MORE, MORE DIVERSITY IN THE RECRUITING AND HIRING PRACTICES.

UM, THEY MADE IMPROVEMENTS IN SEVERAL AREAS, BUT THIS IS AN AREA WHERE I THINK THE CITY COULD DO MORE TO PROACTIVELY, UM, IMPROVE DIVERSITY, BUT ALSO BE MORE CONSISTENT IN HIRING.

SO, UM, HOPEFULLY KATIE AND TYLER ARE HERE.

UM, OH, IT LOOKS LIKE I ALSO NEED TO BRING OVER, UM, MS. HAZEN AND REBECCA KENNEDY.

YES.

JUST, I SAW THAT MESSAGE AT THE SAME TIME.

UM, YOU CAN MOVE OVER TO JULIA HAYES AND REBECCA KENNEDY.

THAT WOULD BE GREAT.

AND THIS AUDIT WAS MANAGED BY KATIE HOUSTON AND, UM, THE LEAD WAS TYLER MYERS AND TYLER'S GOING TO BE PRESENTING TO YOU TODAY AND I'M HERE SO WE CAN GET STARTED.

OKAY, GREAT.

SO GOOD MORNING.

MY NAME IS TYLER MYERS AND I WAS THE AUDITOR IN CHARGE FOR THIS AUDIT.

OUR OBJECTIVE WAS TO DETERMINE IF CITY EFFORTS TO RECRUIT AND HIRE RESULT IN A QUALIFIED IN DIVERSE WORKFORCE.

A QUALIFIED AND DIVERSE WORKFORCE CAN BENEFIT ORGANIZATIONS BY PROMOTING INNOVATION, COMPLEX THINKING AND MORE EFFECTIVE DECISION-MAKING HOWEVER, AND INEFFECTIVE RECRUITING AND HIRING PROCESS CAN INTERFERE WITH THESE EFFORTS.

THIS AUDIT FOCUSED ON THE HUMAN RESOURCE, HUMAN RESOURCES DEPARTMENT AND THE CITY'S MUNICIPAL SERVICE ELIGIBLE WORKFORCE.

ANY EMPLOYEES AND FULL-TIME BUDGETED POSITIONS, MCS DOES NOT INCLUDE EMPLOYEES LIKE EXECUTIVES, COUNCIL, AND COUNCIL APPOINTEES, COUNCIL MEMBERS, AND THEIR DIRECT STAFF, AS WELL AS CITY ATTORNEYS.

THIS ALSO MEANS IT DOES NOT INCLUDE EMPLOYEES COVERED UNDER TEXAS CIVIL SERVICE STATUTES OFTEN REFERRED TO AS SWORN STAFF IN THE AUSTIN POLICE, AUSTIN FIRE AND EMERGENCY MEDICAL SERVICES DEPARTMENTS.

OUR AUDIT RESULTED IN TWO FINDINGS.

NEXT SLIDE, PLEASE.

ACCORDING TO STRATEGIC DIRECTION, 2023, THE CITY WANTS TO IMPROVE OUR COMPETITIVENESS AS AN EMPLOYER TO ATTRACT EFFICIENTLY, HIRE AND RETAIN A DIVERSE, HIGHLY SKILLED WORKFORCE ACROSS THE ENTIRE CITY ORGANIZATION.

MUNICIPAL CIVIL SERVICE OR MCS ELIGIBLE POSITIONS ARE HIRED IN ACCORDANCE WITH HUMAN RESOURCES, PROCEDURES, AND MCS RULES, MCS RULES, STATE THAT THE HIRING PROCESS MUST BE COMPETITIVE FOR ALL QUALIFYING POSITIONS AND ALL HIRING DECISIONS MUST BE MADE BASED ON MERIT AND FITNESS.

HOWEVER, THE SELECTIONS OF NEW EMPLOYEES IS ULTIMATELY THE RESPONSIBILITY OF EACH DEPARTMENT DIRECTOR.

NEXT SLIDE, PLEASE.

WE FOUND THAT THE CITY HAS ADDED EFFORTS TO ADDRESS DEMOGRAPHIC DISPARITY DISPARITIES, AND SOME CITY DEPARTMENTS HAVE IMPROVED REPRESENTATION ACROSS MANY DIFFERENT DEMOGRAPHIC CATEGORIES.

HOWEVER, WE ALSO NOTED THAT THE CITY COULD BE MORE DELIBERATE IN ITS PURSUIT OF A DIVERSE WORKFORCE, SPECIFICALLY WORKING PROACTIVELY TO IDENTIFY AND REMOVE GAPS AT THE DEPARTMENT LEVEL.

WELL, X SLIDE, PLEASE ANALYSIS INVOLVED, COMPARING RACE AND ETHNICITY, DEMOGRAPHICS OF THE CITY'S MCS WORKFORCE SHOWN IN ORANGE TO THAT OF THE COMMUNITY SHOWN IN BLUE AT THE CITY-WIDE LEVEL, THE MCS WORKFORCE APPEARS TO REFLECT THE COMMUNITY.

WE ALSO PERFORM THIS ANALYSIS AT THE DEPARTMENT LEVEL AT THE DEPARTMENT LEVEL, MANY DEPARTMENTS APPEAR LESS REPRESENTATIVE OF THE COMMUNITY IN TERMS OF RACE AND ETHNICITY.

THE DETAILED BREAKDOWN OF THIS ANALYSIS IS SHOWN IN THE REPORT ON PAGE SIX.

NEXT SLIDE PLEASE.

GREAT.

WE ALSO COMPARED GENDER DEMOGRAPHICS BETWEEN THE CITY'S MCS ELIGIBLE WORKFORCE.

AGAIN, SHOWN IN ORANGE AND THE COMMUNITY SHOWN IN BLUE AT THE CITY-WIDE LEVEL.

WOMEN MAKE UP ONLY 39% OF THE MCS ELIGIBLE WORKFORCE, BUT MAKE UP ABOUT 50% OF THE COMMUNITY.

LIKE ON THE PREVIOUS SLIDE, WE ALSO PERFORM THIS ANALYSIS AT THE DEPARTMENT LEVEL AT THIS LEVEL, MANY DEPARTMENTS APPEAR LESS REPRESENTATIVE OF THE COMMUNITY AS WELL.

THE DETAILED BREAKDOWN OF THIS ANALYSIS IS SHOWN ON PAGE EIGHT OF THE REPORT.

NEXT SLIDE, PLEASE.

WHILE THE CITY IS MAKING STRIDES TO ADDRESS WORKFORCE DISPARITIES, IT SHOULD ENGAGE IN MORE PROACTIVE EFFORTS TO IDENTIFY AND RE REMOVE DISPARITIES AT THE CITY-WIDE AND DEPARTMENT LEVEL.

FIRST EQUITY ASSESSMENTS ARE TOOL THAT DEPARTMENTS USE TO HELP ANALYZE THEIR POLICIES AND PROGRAMS THROUGH THE LENS OF EQUITY, INCLUDING AN ANALYZING WORKFORCE DEMOGRAPHICS AND HIRING STRATEGIES.

[00:10:02]

HOWEVER, WE KNOW THAT THAT THERE ARE SOME LIMITATIONS WITH EQUITY ASSESSMENTS THAT MAY REDUCE THEIR ABILITY TO RESOLVE BARRIERS RELATED TO RECRUITING AND HIRING NEXT STAFF NOTED THAT ASSISTANCE IS AVAILABLE TO DEPARTMENTS, BUT THE CURRENT SYSTEM REQUIRES DEPARTMENTS TO FIRST ACKNOWLEDGE IT, THAT DISPARITIES EXIST AND THEN ASK FOR ASSISTANCE AND MORE PROACTIVE APPROACH THAT INVOLVES STRATEGICALLY IDENTIFYING WHICH DEPARTMENTS NEED ADDITIONAL ASSISTANCE MAY HELP DEPARTMENTS AND THE CITY RESOLVE DISPARITIES IN THE WORKFORCE.

LASTLY, WHILE HRD HAS VOICED THE PRIORITY THAT THE CITY'S WORKFORCE SHOULD CLOSELY MIRROR THE COMMUNITY, THAT GOAL THAT CITY GOAL IS ABSENT IN GUIDING DOCUMENTS AND LACKS ASSOCIATED PERFORMANCE MEASURES.

CURRENT EFFORTS AND PLANS MAY NOT CLEARLY ARTICULATE THIS PRIORITY FOR THE CITY'S WORKFORCE AND CAUSE CURRENT DISPARITIES TO REMAIN ANONYMOUS.

NEXT SLIDE, PLEASE.

OUR SECOND FINDING HIGHLIGHTS THAT THE HUMAN RESOURCES DEPARTMENT DOES NOT REGULARLY REVIEW DEPARTMENTAL HIRINGS HRD PROVIDES OVERSIGHT OVERSEAS HUMAN RESOURCES FUNCTIONS THROUGHOUT THE CITY USING A DE-CENTRALIZED APPROACH.

THIS MEANS THAT HRD RELIES ON LIAISONS WITHIN WITHIN DEPARTMENTS TO CARRY OUT RECRUITING AND HIRING EFFORTS.

HRD PROVIDES GUIDANCE THROUGH CHECKLISTS AND RECOMMENDATIONS TO DEPARTMENTS TO FURTHER SUPPORT THIS HIRING PROCESS.

HOWEVER, WE NOTED THAT HRD DOES NOT REGULARLY REVIEW RECRUITING AND HIRING DATA OR DEPARTMENTAL HIRINGS TO ENSURE COMPLIANCE WITH ESTABLISHED POLICY.

DURING OUR REVIEW, WE NEEDED SOME ISSUES WITH HIRING PACKET DOCUMENTATION DEPARTURE FROM GUIDANCE ON SITUATIONAL OR BEHAVIOR-BASED INTERVIEW QUESTIONS AND DEPARTMENTS NOT FULLY CLOSING OUT APPLICANT INFORMATION IN THE EHR, YOUR SYSTEM.

NEXT SLIDE PLEASE.

OKAY.

OUR REPORT INCLUDED TWO ADDITIONAL OBSERVATIONS.

THE FIRST NOTES THAT THE INVESTIGATION AND PAY EQUITY COULD INCLUDE AN ANALYSIS OF WHETHER PAY DISPARITIES EXIST IN THE CITY OF AUSTIN WORKFORCE, PARTICULARLY AS EMPLOYEES PROGRESS THROUGH THEIR CAREERS.

AND IF DISPARITIES EXIST BETWEEN DIFFERENT EMPLOYMENT TYPES OR ROLES WITHIN THE CITY.

OUR SECOND OBSERVATION NOTED THAT NOTED THAT APD WAS UNAWARE OF FEDERAL REPORTING REQUIREMENTS REGARDING WORKFORCE DEMOGRAPHICS STAFF AT APDS TO DO THEY'RE NOW WORKING WITH PARTNERS DEPARTMENTS TO COLLECT NECESSARY INFORMATION AND BEGIN REPORTING.

NEXT SLIDE, PLEASE.

WE ISSUED SIX RECOMMENDATIONS IN OUR REPORT RECOMMENDATIONS.

ONE THROUGH FOUR ARE AIMED AT RESOLVING ISSUES NOTED IN FINDING ONE, INCLUDING CREATING CITY-WIDE PLANS FOR A MORE DIVERSE WORKFORCE, IDENTIFYING AND WORKING DIRECTLY WITH DEPARTMENTS THAT ARE NOT REPRESENTATIVE OF THE COMMUNITY IN TERMS OF RACE AND ETHNICITY, WORKING WITH DEPARTMENTS TO RESOLVE GENDER DISPARITIES AND ANALYZING AND IMPLEMENTING BEST PRACTICES IN HIRING EFFORTS.

NEXT SLIDE PLEASE RECOMMENDATIONS FIVE AND SIX ARE TARGETED TO RESOLVE ISSUES NOTED IN FINDING TWO, INCLUDING PERIODICALLY REVIEWING DEPARTMENTAL HIRINGS AND ENSURING APPLICANTS IN THE CAREER SYSTEM ARE ASSIGNED AND APPROPRIATE FINAL STATUS.

WHEN THE HIRING PROCESS IS COMPLETED, THIS CONCLUDES OUR PRESENTATIONS AND WE ARE HAPPY TO ANSWER ANY QUESTIONS AT THIS TIME.

THANK YOU, MR. MYERS.

UM, BEFORE WE TAKE QUESTIONS, I JUST WANTED TO INVITE, UM, DR.

HAYES OR MS. KENNEDY TO SPEAK TO THE AUDIT.

THANK YOU SO MUCH.

UM, TO THE COMMISSION, I MEAN, WELL TO THE COMMITTEE, I APPRECIATE THE OPPORTUNITY.

WE ACTUALLY HAVE A POWERPOINT, UM, A LOT OF DETAILED INFORMATION, AND SO WE WANTED TO LAY IT OUT AS EFFECTIVELY AS POSSIBLE.

AND SO REBECCA IS GOING TO SHARE HER SCREEN, UM, TO INCLUDE THE POWERPOINT THAT GIVES A LITTLE BIT MORE DETAILED TO HRDS RESPONSES, UM, TO THE AUDIT AT IS AS IT'S PRESENTED, UH, IT SHOULD BE THE CITY HALL AB SO YEAH, COMING UP, THANK YOU.

AND DON'T GET NERVOUS WHEN I SAY POWERPOINT, YOU WILL NOT BE HERE ALL DAY.

I PROMISE, BUT IT DID, YOU KNOW, WE NEEDED THE ORDER TO MAKE PRESENTATION SHOULD BE UP.

NOW.

IT IS.

WE LOST.

YEAH.

JOANNE WAS JUST REMOVED.

UM, LET ME SEE IF I WONDER IF SHE'LL COME IN HERE, INTERNET ISSUE THERE SHE COMES.

THERE SHE IS.

SO THIS IS WHY YOU COME TO THE OFFICE.

SO YOU CAN GO TO SOMEBODY ELSE'S OFFICE WHEN YOUR COMPUTER KICKS YOU OFF THE PHONE RIGHT HERE.

WE JUST A SECOND TO GET SET UP.

I'M A LITTLE SHORTER.

SO LET ME MOVE THIS DOWN.

ALL RIGHT.

CAN YOU ALL HEAR ME ALL RIGHT.

HOPEFULLY I WON'T GET KICKED OUT.

ALL RIGHT.

SO AS WE GO THROUGH THE PRESENTATION, I WANT TO THANK YOU ALL FOR THE OPPORTUNITY TO JUST KIND OF WALK

[00:15:01]

YOU THROUGH IT AS WE MOVE TO THE NEXT SLIDE.

CAN YOU DO THAT? OKAY.

OKAY.

UM, THE FIRST PIECE THAT WE WANT TO TALK ABOUT IS JUST TO DISCUSS THE AUDIT FINDINGS, SOME CONCERNS WITH THE ANALYSIS THAT WAS DONE IN THE AUDIT, SOME RESPONSES AND OBSERVATIONS THAT PUT SOME OF THE INFORMATION THAT YOU RECEIVED IN THE PRESENTATION AND CONTEXT.

UM, SOME OF THE DIVERSITY AND RECRUITMENT INITIATIVES THAT WE DON'T BELIEVE WERE INCLUDED THAT WE WANTED TO ALSO GIVE YOU SOME CONTEXT TOO, TO TALK ABOUT A LITTLE BIT WHAT WE'VE DONE.

I THINK THE AUDITOR'S OFFICE DID ACKNOWLEDGE THAT WE'VE MADE SOME STRIDES, BUT I THINK IT'S IMPORTANT TO KIND OF IDENTIFY THOSE STRIDES AS WE LOOK TO WHAT WE SHOULD BE DOING MOVING FORWARD.

UM, AND THEN TALK A LITTLE BIT ABOUT PROCEDURAL, UH, COMPLIANCE AND NEXT STEPS, NEXT SIDE.

SO AS WE LOOK, I'M SORRY, I RAN ALL THE WAY OVER HERE.

AS WE LOOK AT THE FIRST AUDIT FINDINGS, THE CITY WORKFORCE IS REPRESENTATIVE OF A CERTAIN DEMOGRAPHIC CATEGORIES, BUT IT'S LESS REPRESENTATIVE OF OTHERS.

THE CITY OF AUSTIN NEEDS TO BE MORE DELIBERATE IN THE PURSUIT OF DIVERSE WORKFORCE AND CAN DO MORE TO PROACTIVELY IDENTIFY AND REMOVE GAPS IN THE WORKFORCE.

UM, THE AUDIT REPORT RECOGNIZES THAT THE, THESE ARE NOT UNIQUE TO AUSTIN.

SO I THINK THAT'S A VERY KEY POINT FOR US IN TERMS OF LOOKING AT FAT.

AND WE REALLY WANT TO TALK A LITTLE BIT MORE ABOUT THE AUDIT NOTES OF LACK OF STRATEGIC EFFORTS TO IDENTIFY AND ADDRESS DISPARITIES.

UM, THE MC EXCUSE ME, THE MCS RULES MANDATE THAT CANDIDATES MUST BE HIRED ON MERIT AND FITNESS AND SHOULD BE THE MOST QUALIFIED.

SO AS WE SPECIFICALLY LOOK AT MUNICIPAL CIVIL SERVICE POSITIONS, THE PROCESS IS VERY CLEAR ABOUT THE RIGHTS AND RESPONSIBILITIES OF WHAT A CANDIDATE MUST GO THROUGH.

AND SO FOR US TO BE STRATEGIC ABOUT DIVERSITY IS NOT REALLY ABOUT THE PROCESS.

ONCE THE CANDIDATES HAVE COME INTO THE SYSTEM, IT'S REALLY MORE ABOUT HOW WE CAN BE MORE PROACTIVE IN CREATING A DIVERSE CANDIDATE POOL, AS YOU KNOW, AND SOME OF YOU ALL MAY NOT KNOW IN MCS EMPLOYEES WITH THE WHO WHO'VE BEEN WITH THE CITY, HAVE THE, HAVE THE ABILITY TO AUTOMATICALLY BE INTERVIEWED IN CERTAIN SPACES.

THERE ARE APPEAL RIGHTS GIVEN TO OUR EMPLOYEES THAT EXTERNAL CANDIDATES DON'T HAVE IN THE PROCESS.

UM, AS WE GO THROUGH THE PROCESS, WE ALSO GIVE POINTS FOR VETERANS.

AND SO SOME OF THEM ARE, UM, BENCHMARKS STRATEGIES THAT YOU MAY SEE WITH RECRUITMENT AROUND THE COUNTRY HAVE TO BE CALIBRATED BECAUSE WE'VE GOT TO FIT THOSE INTO NCS.

AND SO WE WANT TO TRY TO CREATE WAYS TO BE MORE INNOVATIVE IN RECRUITING PEOPLE, TO POSITIONS AND ENSURING THAT THE CANDIDATE POOL, BUT GINS WITH A DIVERSE GROUP OF PEOPLE THAT ARE REPRESENTATIVE, UM, SO THAT AS THEY GO THROUGH THE PROCESS OF MERIT AND FITNESS, THERE IS MORE OF AN OPPORTUNITY TO CREATE AND SUSTAIN A PROCESS WHERE PEOPLE CAN GET JOBS.

UM, THE CITY OF AUSTIN IS NOT ABLE TO MANDATE NEW HIRES SHOULD BE IN A SPECIFIC ETHNIC GROUP OR CATEGORIES.

AND SO WE DO NOT CREATE GOALS THAT SAY, WE WILL HAVE THIS PERCENTAGE OF THIS GROUP, THIS PERCENTAGE, BUT WE DO WANT TO REPRESENT THE COMMUNITY AND OUR CANDIDATE SELECTION POOL.

UM, NOW SOME OF THE THINGS THAT I THINK IS IMPORTANT TO LOOK AT, UM, AS WE MOVE TO THE NEXT SLIDE, AND THIS IS PROBABLY OUR FUNDAMENTAL CONCERN WITH THE AUDIT, MOST OF IT LOOKS AT COMPARING US TO THE MSS, UH, FOR THE AUSTIN AREA.

UM, WE DON'T DENOTE THAT THAT IS A VERY RELIABLE SPACE, BUT IT'S NOT THE ONLY SPACE.

AND SO FOR ME, I THINK THE CONCERN IS THAT THE SUCCESS OF OUR ABILITY TO HIRE, UM, AND LET'S FOCUS ON WOMEN BECAUSE I THINK THAT WAS A KEY POINT IN TERMS OF AREAS WE NEED TO GROW.

THE AUSTIN MSA REPRESENTS 50% WOMEN OFTEN ONLY REPRESENTS 38%.

UM, WHEN WE LOOK TO, UH, VARIABLES TO DETERMINE OUR SUCCESS IN RECRUITMENT, SPECIFICALLY RELATED TO GENDER, WE'RE NOT ONLY LOOKING AT COMMUNITY REPRESENTATION.

WE ALSO LOOK AT EXPERIENCE SKILLED WORKFORCE, FOR EXAMPLE, UM, IN THE AREA OF MECHANICS AND FLEET, WE WILL PROBABLY NEVER ATTAIN 50% OF OUR MECHANICS BEING FEMALE AS A MALE DOMINATED FIELD.

WHAT WE WOULD DO IS TO GO OUT AND LOOK AT PROGRAMS. WHAT, WHAT SCHOOLS, WHAT HIGH SCHOOLS HAVE MECHANIC PROGRAMS? WHAT'S WHAT SCHOOLS CAN WE FIND THAT HAVE TRADE SCHOOLS AND WHAT IS THEIR PERCENTAGE OF FEMALE, UM, MECHANICS IN THOSE AREAS, IF THAT REPRESENTS 20% OF THE POOL, MY GOAL WOULD BE TO, TO ENSURE THAT WE ARE REPRESENTING THE AVAILABLE WORKFORCE IN A PARTICULAR AREA.

SO THAT'S JUST ONE EXAMPLE.

AND SO I JUST WANT TO POINT OUT THAT I LOOK FOR MO THAT WE LOOK FOR MORE, UM, AREAS OF BENCHMARK OTHER THAN JUST A COMMUNITY REPRESENTATION, BECAUSE THAT MAY NOT TAKE INTO CONSIDERATION THE AVAILABLE WORKFORCE IN A PARTICULAR AREA, IN THE AUDIT, THEY COMPARED THE CITY OF AUSTIN DEMOGRAPHICS TO THE STATE.

UM, AND AS WE LOOKED AT THE DATA THAT THEY USE AND THAT DATA WAS, WAS AGED, UM, FROM 2016, UM,

[00:20:01]

WHEN YOU COMPARE US TO THE STATE OF TEXAS, I DON'T THINK THAT THAT'S AN APPLES TO APPLES COMPARISON.

THE STATE OF TEXAS HAS SOME DEPARTMENTS THAT ARE ALMOST PRIMARILY WOMEN HEALTH AND HUMAN SERVICES AND OTHERS ALSO, UH, THE STATE OF TEXAS DEMOGRAPHICS INCLUDES TEACHERS.

AND WE MANY, MANY OF US KNOW THAT 76% OF TEXAS TEACHERS ARE WOMEN.

AND SO IN THAT TEXAS DEMOGRAPHIC, YOU DO NOT HAVE THE SAME LEVEL OF OPERATIONAL POSITIONS THAT THE CITY OF AUSTIN WOULD HAVE.

AND SO THAT THERE IS GOING TO BE SOME DEFICIENCY AND LOOKING AT THE STATE AGENCIES SIMPLY BECAUSE THEIR FOCUS AND SCOPE OF WORK IS NOT ALWAYS GOING TO BE REPRESENTATIVE OF THE KINDS OF WORK THAT WE DO AS A CITY.

VERY SIMILAR TO THE OTHER BENCHMARK THAT WAS USED, WHICH IS TRAVIS COUNTY, WE'RE ONLY 7% OF THEIR WORKFORCE REPRESENTS OPERATIONAL TEAMS. AND SO THAT REALLY ISN'T AS FAIR OF A COMPARISON BECAUSE WE KNOW THAT OPERATIONAL DEPARTMENTS HAVE A HIGHER NUMBER OF, UH, MALES BECAUSE OF A TYPE OF WORK THAT WE'RE DOING NOW, AS I, AS I VOICED THIS CONCERN ABOUT THE COMPARISONS, LET ME JUST SAY, YOU'RE NOT GOING TO GET HRD, NOT TO AGREE THAT THERE'S SPACE AND OPPORTUNITY TO IMPROVE AND TO INCREASE THE NUMBER OF WOMEN AND ANOTHER MINORITIES WHO REPRESENT OUR CITY JOBS.

I DEFINITELY THINK WE ARE COMMITTED TO THAT.

UM, AND IN JUST A MINUTE, I'LL TALK A LITTLE BIT ABOUT WHAT WE'VE DONE, BUT I DID WANT TO BRING UP JUST SOME CONCERNS WITH THE OVERARCHING CONCERN THAT NOT MEETING THE 50% OF THE MSA IS A REFLECTION OF, OF A FAILURE IN TERMS OF THE CITY, TO BE ABLE TO RECRUIT AND RETAIN A HIGH NUMBER OF WOMEN IN THE WORKFORCE.

I JUST THINK THAT THERE'S SOME OTHER VARIABLES THAT WE SHOULD BOUNCE OFF OF THAT ARE REALLY MORE COMPARISON.

FOR INSTANCE, OTHER CITIES WHO HAVE, UH, ELECTRIC UTILITIES, BECAUSE THAT IS A LARGE NUMBER OF EMPLOYEES THAT WE HAVE THAT ARE IN OPERATIONAL POSITIONS, WHO DO TRASH THEMSELVES.

AND SO LOOKING AT THOSE OTHER CITIES, WE ATTEMPTED TO LOOK AT THOSE OTHER CITIES IN OUR PROCESS, THE CITY OF SAN ANTONIO, THE CITY OF HOUSTON, THE CITY OF DALLAS, UM, AND WE ARE VERY COMPARABLE TO THEM IN TERMS OF REPRESENTATION OF WOMEN IN THE WORKFORCE.

UM, AND SO THOSE ARE SOME OTHER VARIABLES THAT WE WANT TO LOOK AT AS IT RELATES TO WOMEN IN THE WORKFORCE.

UM, AND AS I STATED ALREADY, THE CITY OF AUSTIN HAS A GREATER NUMBER OF EMPLOYEES WORKING IN OPERATIONS, WHICH IS A MALE DOMINATED SPACE.

UM, AND SO HEAVY EQUIPMENT AND HEAVY DEPARTMENTS WOULD BE PREDOMINANTLY MALE IN THOSE SPACES.

UM, AS WE MOVE TO THE NEXT SLIDE, UM, I'M GOING TO MOVE OVER SINCE I TOOK OVER SOMEBODY ELSE'S OFFICE, UM, AND ALLOW HER TO KIND OF TALK TO YOU ALL A LITTLE BIT ABOUT, OH, WAIT A MINUTE, OH, LET ME DO THIS LINE.

AND I'LL, I'LL MOVE OUR OVER.

UM, IF WE CAN MOVE TO THE, TO, UM, THE NEXT SLIDE, THERE WE GO.

SO ONE OF THE THINGS WE WANTED TO HIGHLIGHT IS THAT 51% OF THE CITY JOBS ARE IN THE FOLLOWING CATEGORY.

SO THEY'RE IN PROTECTIVE SERVICE WORKERS.

AND WE, WE TRIED TO PUT SOME EXAMPLES AND SOME OF THE ACTIVITIES THAT THOSE INDIVIDUALS DO, SERVICE MAINTENANCE WORKERS, SKILLED CRAFT AND TECHNICIANS.

UM, AND AGAIN, THESE ARE, THESE ARE AREAS THAT WE KNOW SCHOOLS AND, UM, TRAINING FACILITIES ARE MOVING FORWARD TO GETTING MORE WOMEN TRAINED.

BUT RIGHT NOW THE AVAILABLE WORKFORCE IS PREDOMINANTLY MALE.

UM, IF WE COULD GO TO THE SECOND SLIDE OR THE NEXT SLIDE, UM, SO JUST WANTED TO SHOW YOU THAT THESE 14 DEPARTMENTS THAT WE HAVE ON THE SCREEN MAKE UP ABOUT 67% OF OUR MUNICIPAL CIVIL SERVICE EMPLOYEES.

AND SO AS WE BREAK THOSE DOWN, WE DO SEE THAT THESE ARE PREDOMINANTLY MALE DOMINATED, AND THESE ARE DEPARTMENTS THAT HAVE MORE MEN, THE MSA AVERAGE.

AND SO JUST TO PULL OUT SOME OF THOSE DATA POINTS, IT'S OUR ARR OPERATORS, UM, OUR AUSTIN WATER TECHS, BUILDINGS, AND GROUNDS ASSISTANCE, UM, DISTRIBUTION, ELECTRICIANS, JOY JUST MENTIONED AUSTIN ENERGY, OUR ENGINEERS FLEET.

UM, SO WE'RE, WE'RE WORKING AND WE HAVE, UM, PLANS WITH CERTAIN DEPARTMENTS ABOUT HOW WE CAN GET IN AND ENCOURAGE MORE WOMEN TO APPLY FOR THESE JOBS.

BUT UNFORTUNATELY JUST WHAT WE SEE IN THE WORKFORCE AS THEY ARE MALE DOMINATED.

THIS IS SO FUNNY WITH THIS MOVING AROUND.

ISN'T IT.

ALL RIGHT.

SO THE NEXT SLIDE, SO ONE OF THE THINGS THAT WE WANT TO DO IN ADDITION TO TALKING ABOUT JUST WOMEN IN THE WORKFORCE, AGAIN, WANT TO REMIND YOU THAT AUSTIN HAS ACTUALLY WON SOME AWARDS WITH SOME OF THE ACTIVITIES AND PROJECTS THAT WE HAVE PUT IN PLACE THAT NOT ONLY RECRUIT A HIGHER NUMBER OF WOMEN TO BE ENGAGED WITH OUR WORKFORCE, BUT IT ALSO ALLOWS US TO BE MORE FAMILY-FRIENDLY, WHICH IS IMPORTANT TO BOTH WOMEN AND MEN IN THE WORKPLACE.

UM, AS YOU KNOW, LAST YEAR WE PARTICIPATED IN THE FAMILY FRIENDLY INITIATIVES AND AUSTIN RECEIVED HIGHEST

[00:25:01]

RANKED, UM, ACCOUNTS FOR OUR FAMILY FRIENDLY POLICIES THAT WE HAVE PUT IN PLACE AT THE CITY OF AUSTIN.

WE ALSO HAD A PROCESS WHERE WE MET WITH ALL DEPARTMENTS AND STAFF TO ALLOW THEM TO TALK TO US ABOUT HOW WE CREATE A WORKFORCE THAT IS MORE FRIENDLY TO WOMEN AND TO FAMILIES.

UM, AND SO THAT WAS A ONE-YEAR PROCESS AND THEY PROVIDED US AND WE CAN PROVIDE IT TO YOU AS WELL, A LIST OF THINGS THAT THEY WOULD WANT US TO DO, UM, TO IMPROVE THE SPACE AND CULTURE FOR THE CITY TO BE MORE APPEALABLE TO WOMEN.

UM, ACTUALLY MORE APPEALABLE TO PEOPLE WITH ANIMALS TO WOMEN AND TO FAMILIES IS WHAT WE ACTUALLY RECEIVED.

I'M NOT DOING AS WELL WITH THE, WITH THE ANIMAL FRIENDLY ACTIVITIES IN THE WORKPLACE, BUT I AM MUCH MORE COMFORTABLE WITH WHAT WE'RE DOING IN TERMS OF FAMILY-FRIENDLY AND WOMEN FRIENDLY SPACES, UM, CREATING MORE FLEXIBLE WORK SCHEDULES AND ALL HONESTY.

THE COVID EXPERIENCE HAS PUSHED US FASTER IN SOME OF THESE PHASES TO ADDRESS THE FLEXIBILITY ISSUES.

AND SO I DO WANT YOU TO KNOW THAT IN ADDITION TO THAT, I WANT TO TALK A LITTLE BIT ABOUT WHAT YOU SAW IN THE AUDIT, AS IT RELATED TO THE DIVERSITY INITIATIVES.

UM, I READ IN THE AUDIT THAT THE AUDIT DEPARTMENT REALLY FEELS LIKE WE NEED TO HAVE MORE STRATEGICALLY WRITTEN GOALS SPECIFIC, UM, TO, UH, THESE INITIATIVES OF DIVERSITY, UM, SO THAT WE CAN, WE CAN, WE CAN DETERMINE FOR OURSELVES IF WE ARE MEETING THESE GOALS, BUT I DON'T WANT THE ABSENCE OF A FULL STRATEGIC PLAN FOCUSED ON DIVERSITY TO BE A SUGGESTION THAT THOSE PLANS ARE NOT IN PLACE, BUT WE DEFINITELY ACKNOWLEDGE WE NEED TO PUT IT IN WRITING SOMEWHERE COLLECTIVELY, SO IT CAN BE REVIEWED, BUT WE HAVE WORKED VERY CLOSELY WITH THE EQUITY OFFICE AND OTHER DIVISIONS.

WE ARE OUR EMPLOYMENT DIVISION AND OTHER PIECES OF OUR DEPARTMENT ARE DEVELOPING AND IMPLEMENTING COMPREHENSIVE, INTEGRATED, AND STRATEGIC FOCUS, DIVERSITY INITIATIVES FOR OUR DEPARTMENTS AND FOR OUR RECRUITMENT, WE DID A FULL REVIEW OF OUR RECRUITMENT PROCESS.

UM, ALL OF OUR STAFF HAVE GONE THROUGH THE WATERS PROCESS AND UNDOING RACISM.

UM, WE'VE DONE AN ANALYSIS OF ALL OF OUR CITY POLICIES, TOO LITTLE.

THERE MAY BE SOME AREAS THAT ARE NEGATIVE TOWARDS COMMUNITIES OF COLOR ARE RECEIVING EMPLOYMENT THROUGH THE CITY AND THROUGH OUR DEPARTMENT.

UM, AND WE WORKED DIRECTLY WITH AFFINITY GROUPS AND I, AND I THINK, UH, UM, AS COREY AND I WERE TALKING, I PROMISED HER THAT I WOULD SHARE THIS BECAUSE IT WAS OUTSIDE OF THE SCOPE OF THE INVESTIGATION I'M EXCUSE ME, INVESTIGATORS, THE AUDIT, BUT IT WAS SOMETHING THAT WE THOUGHT WAS RELATIVE.

AS WE MEET WITH AFFINITY GROUPS, THEY HAVE PROVIDED US THE CONCERNS THEY HAVE ABOUT RECRUITMENT.

AND SO I'VE MET WITH EVERY FRIEND IN THE GROUP AT LEAST ANNUALLY TO TALK ABOUT WHAT THEIR ISSUES ARE.

I'VE REPORTED THOSE ISSUES AS IT RELATES TO EXECUTIVE RECRUITMENT TO THE CITY MANAGER.

AND I PARTNERED WITH THOSE AFFINITY GROUPS TO, TO GIVE THEM DETAILS OF WHAT WE'RE DOING TO ADDRESS THEIR SPECIFIC ISSUES.

SO WE'RE MEETING WITH THOSE GROUPS.

UM, WE MET WITH ALL OF OUR COMMUNITY OF COLOR AFFINITY GROUPS AND OUR WOMEN'S GROUP AND, UM, UH, OUR LGBTQ GROUP.

AND WE TALK ABOUT WHAT ARE THE THINGS THAT THEY WANT TO SEE IN THE RECRUITMENT PROCESS.

WE'VE TAKEN THAT INFORMATION.

WE'VE CREATED TRAINING FOR DEPARTMENTS, UM, AND WE'VE UPDATED OUR POLICIES AND GUIDELINES AND CHECKLISTS THAT WE PROVIDE DEPARTMENTS TO ENSURE THAT WE STAY UP ON THAT.

WE ALSO HAVE FOCUSED SOME RECRUITMENT EFFORTS, UM, IN THE LAST TWO YEARS, UM, IN THE AREAS OF UNIVERSITIES AND HELPING DEPARTMENTS IDENTIFY WHAT THEIR DIVERSITY NEEDS ARE IN TERMS OF RECRUITMENT AND, AND ASSISTING THEM.

I THINK ONE OF THE CHALLENGES WITH THAT PIECE IS THAT AS THE AUDIT POINTED OUT, THE DEPARTMENTS DO REACH OUT TO US.

FOR INSTANCE, LIBRARY HAD A BIG CONCERN THAT THEY DID NOT HAVE STAFF IN THE COMMUNITIES OF COLOR THAT REPRESENTED THOSE COMMUNITIES.

AND THE MAJORITY, THE MAJORITY OF THE LIBRARIAN STAFF WERE, WERE CAUCASIAN.

AND THERE WAS A DISCONNECT.

THE DEPARTMENT WENT THROUGH A GREAT DEAL OF WORK, REACHED OUT TO OUR DIVERSITY PERSON AND WERE ABLE TO CREATE A PLAN THAT ALLOWED THEM TO REACH OUT TO UNIVERSITIES THAT HAVE A MASTER'S DEGREE LEVEL LIBRARIAN MANAGEMENT AND A DEGREE.

AND WE WERE ABLE TO ADJUST AND CHANGE, AND THEY'RE DOING A GREAT JOB IN CREATING IT.

AND SO WITH 45 DEPARTMENTS, IT IS DIFFICULT TO GO OUT AND PROVIDE STAFF THAT CAN HELP THEM, UM, PROACTIVELY.

SO WE DO ASK THOSE DEPARTMENTS, IF YOU NEED HELP, PLEASE REACH OUT TO US AS YOU MOVE TO THE NEXT SLIDE.

THANKS.

THEY BROUGHT ME WATER.

HERE'S SOME OF THE DIVERSITY RECRUITMENT EVENTS THAT I'VE DONE.

I HAVE BEEN VERY COMMITTED AS A DIRECTOR TO BE MUCH MORE STRATEGIC, STRATEGIC ABOUT OUR VIRTUAL OUTREACH AND OUR DIVERSITY REACH.

AND AS YOU CAN SEE WITH THE UNIVERSITIES THAT WE HAVE LISTED, WE'VE NOT ONLY REACHED OUT TO THESE UNIVERSITIES, BUT WE BEGAN TO DEVELOP RELATIONSHIPS SO THAT THERE IS A PIPELINE BETWEEN THEIR GRADUATES AND KEY PROGRAMS TO THE JOBS IN WHICH WE HAVE IN AUSTIN.

UM, AND SO JANET SILVA IS

[00:30:01]

OUR DIVERSITY INITIATIVE MANAGER, AND SHE'S REALLY DONE A GREAT JOB.

SHE ACTUALLY CAME OUT OF DIVERSITY AND INCLUSION IN A UNIVERSITY.

AND SO SHE DID A REALLY GOOD JOB OF HELPING US FIGURE OUT HOW TO CONNECT TO THESE UNIVERSITIES.

AND WHAT YOU SEE IN THIS LIST IS DIVERSITY, NOT ONLY IN GENDER, BUT IN COMMUNITIES OF COLOR AND IN EDUCATION LEVEL.

SO ENGINEERS AND OTHER AREAS WHERE WE'RE HAVING PROBLEMS, IDENTIFYING AND HIRING THOSE.

WE HAVE DIRECT PIPELINES AND ONE-ON-ONE SESSIONS WITH THESE UNIVERSITIES, AND WE'VE HAD ONE-ON-ONE SESSIONS WITH ALL OF THESE SCHOOLS WITHIN, WITHIN COVID.

SO I THINK THAT'S REALLY HELPFUL BECAUSE WHILE SHE COULDN'T GO OUT AND DO FACE TO FACE RECRUITMENT, WE HAVE USED THIS COVID PERIOD TO BUILD RELATIONSHIPS WITH UNIVERSITIES THAT REPRESENT THE DIVERSITY WE WANT TO SEE AND OUR HIRING.

AND SO I DIDN'T SEE THAT AS A PART OF THE AUDIT, AND I THOUGHT IT WAS IMPORTANT BECAUSE IT SPEAKS TO THE STRATEGIC PLAN OF WHAT WE'RE TRYING TO DO TO BUILD THAT NEXT SLIDE.

UM, ALSO IN TERMS OF OUR RECRUITING EVENTS, I WANT YOU TO SEE THE TYPES OF EVENTS THAT WE'VE PARTICIPATED IN.

UM, THE, THE GROUPS THAT WE REACH OUT TO, UM, BECAUSE I WANT TO MAKE SURE YOU UNDERSTAND THAT THERE IS STRATEGY AND OUR RECRUITMENT PROCESS AND HOW WE GO ABOUT REACHING OUT TO ANY ENTITIES.

I ALSO JUST WANT TO POINT OUT THAT WE'VE ALSO RECEIVED AN AWARD IN THE LAST TWO YEARS FROM TML ON OUR RECRUITMENT STRATEGY AND THE DIVERSITY THAT WE ARE BRINGING TO THE PROCESS THAT WE DON'T SEE IN OTHER MUNICIPALITIES, WE HAVE A JOB FAIR AND MOST CITIES DO NOT HAVE A JOB FAIR FOR ALL CITIZENS.

YOU KNOW, WE USUALLY ARE FOCUSED ON HIRING FOR JUST US, BUT THE AUSTIN HUMAN RESOURCES DEPARTMENT PUTS ON AN ANNUAL JOB FAIR.

AND MANY OF YOU ALL HAVE JOINED US AND BEING A PART OF IT.

WELL, WE BRING IN OVER 4,000 CITIZENS FROM AROUND THE CITY TO HELP THEM GET JOBS PERIOD, BECAUSE OF THE NEED.

BUT SPECIFICALLY IN THE LAST THREE YEARS, AS I'VE BEEN DIRECTOR, WE'VE BEGUN TO HOST TARGETED JOB FAIRS TO SPEAK TO THE DIVERSITY AND COMMUNITY THAT WE WANT TO ATTRACT.

WE NOW HAVE A REENTRY JOB FAIR THAT WON AN AWARD THAT FOCUSES OUR ATTENTION JUST ON RE-ENTRY.

SO WE BRING EVERY ENTITY IN AUSTIN THAT EMPLOYS REENTRY COMMUNITY, INCLUDING OUR DEPARTMENTS, UM, AND THEY ARE ABLE TO COME AND THEY DON'T HAVE TO ASK THE QUESTION, DO YOU HIRE PEOPLE WITH, WITH, WITH CRIMINAL BACKGROUNDS BECAUSE EVERYBODY IN THE ROOM HIRES THEM.

UM, AND THE CITY OF AUSTIN HAS BEEN ABLE TO REALLY, UH, BUILD FROM THAT AND HIRING AT SOME OF OUR OPERATIONAL POSITIONS.

AND I WILL TELL YOU, WE'VE BEEN AWARDED FROM MULTIPLE ENTITIES ABOUT OUR STRATEGIC WORK OF GETTING THOSE, UM, FROM INCARCERATION BACK EMPLOYMENT.

IN ADDITION TO THAT, WE HAVE A SENIORS JOB FAIR, WHERE WE HA WHERE WE HOST A JOB FAIR THAT SPECIFICALLY FOR PEOPLE OVER THE AGE OF 55 AND ALL OF OUR EMPLOYERS WHO COME ARE LOOKING FOR PEOPLE THAT ARE AND ARE ELIGIBLE FOR THOSE JOBS, WE WEREN'T ABLE TO DO IT IN COVID, BUT I THINK IT'S ANOTHER STRATEGIC PLAN OF TARGETING COMMUNITIES THAT ARE UNDERREPRESENTED IN OUR WORKFORCE.

UM, WE'VE ALSO DONE THOSE WHERE WE'VE MOVED THE COMMUNITY EVENTS TO SMALL COMMUNITIES.

OUR AFFINITY GROUPS SAY THAT A LOT OF OUR COMMUNITIES OF COLOR ARE VERY INTIMIDATED BY DOWNTOWN AUSTIN DON'T WANT TO COME INTO THIS INFRASTRUCTURE.

AND SO WE'VE ACTUALLY HOSTED SESSIONS, UM, IN COMMUNITY ENTITIES THAT ALLOW US SMALLER, MORE INTIMATE OPPORTUNITIES FOR COMMUNITIES TO COME OUT AND HEAR ABOUT CITY OF AUSTIN JOBS IN THEIR SPACE AND IN THEIR AREA.

AND SO THESE ARE ALL JUST SOME OF THE FEW PIECES.

I DEFINITELY THINK WE NEED TO PUT ALL OF THAT IN WRITING AND A STRATEGIC PLAN BECAUSE I DISAGREE THAT WE DON'T HAVE STRATEGY, BUT I ALSO ACKNOWLEDGE THAT THAT STRATEGY IS NOT IN ONE PLACE FOR YOU TO DEFINE IT, TO SEE IT, AND TO HAVE A DOCUMENT THAT WE CAN EVOLVE AND MAKE BETTER.

AND SO CERTAINLY, UM, WE, WE ACCEPT THAT AND UNDERSTAND IT NEXT SLIDE.

AND I'M ALMOST DONE SOME STRATEGIES AND RECOMMENDATIONS IN THE REPORT.

WE GO INTO SOME DETAILS ABOUT WHAT WE, WHAT WE CAN DO, UM, THROUGH THE EQUITY ASSESSMENT TOOL AND, AND BRIAN, ISN'T JOINING US TODAY.

THERE IS SOME INFORMATION AND ANALYSIS ON THE EQUITY ASSESSMENT TOOL, AND I WILL JUST HAVE TO SPEAK.

AND I CERTAINLY CAN'T SPEAK FOR THE TOTALITY OF WHAT'S HAPPENING IN THE EQUITY OFFICE, BUT THEY HAVE JUST BEEN INSTRUMENTAL IN BRINGING THE EQUITY LENS TO HOW WE GO ABOUT DOING RECRUITMENT.

UM, THOUGH THERE ARE SOME SUGGESTIONS AND QUESTIONS, AND I WILL TELL YOU, THERE WILL NEVER BE AN EQUITY ASSESSMENT TOOL THAT EVERYBODY A HUNDRED PERCENT AGREES WITH.

I THINK IT'S AN EVOLVING DOCUMENT, BUT TO GET INTO OUR DEPARTMENTS, TO GET STAFF AND EXECUTIVE LEVELS TOGETHER, TO SPEND MONTHS AND EVALUATING THEIR PRACTICES, THEIR ACTIVITIES, UM, WAS A MONUMENTAL TASK, UM, THAT MOVES THESE DEPARTMENTS CLOSER TO REALIZING THE POTENTIAL DISPARITIES.

UM, WE ALSO MET WITH THE EQUITY OFFICE AND WE'RE PLANNING AN EQUITY ON A UNIVERSITY WERE AWARE OF THE EQUITY OFFICE WAS GOING TO CREATE CLASSES THAT WE WERE EXPECTING EXECUTIVES AND HIRING MANAGERS TO PARTICIPATE IN.

[00:35:01]

UM, I WILL HAVE TO ACKNOWLEDGE THAT WE ALSO MET TO TALK ABOUT THOSE DEPARTMENTS BASED ON COMPLAINTS, BASED ON NUMBERS AND REPRESENTATION NEEDED ADDITIONAL ASSISTANCE.

AND SO WE COMMITTED TO, AND WE IDENTIFIED OUR TOP FIVE DEPARTMENTS THAT WE WERE GOING TO GO AND WORK WITH.

BUT AT THE TIME WE DID THAT, UM, THE EQUITY OFFICE WAS POOL TO DO RE-IMAGINING AND OTHER COMMUNITY ACTIVITIES.

AND THERE SIMPLY HAS BEEN NO TIME FOR US TO COME BACK TO THE INITIATIVES, BUT I DO WANT TO STAY BECAUSE THAT IS NOT A PART OF THE AUDIT THAT THAT WORK HAS BEEN DONE.

WE HAVE ALSO CREATED POSITIONS FOR DIVERSITY, SO THAT ALL DEPARTMENTS HIRE SOMEONE TO BE RESPONSIBLE AND FOCUSED ON THIS WORK.

BUT AS YOU ALL KNOW, AS WELL AS I DO JUST HIRING SOMEBODY IS NOT THE JOB, RIGHT? YOU MUST FIRST RECOGNIZE YOUR DEFICIENCIES.

YOU MUST FIRST BE COMMITTED TO FIXING THOSE DEFICIENCIES.

THE EQUITY OFFICE MUST BE CONFIDENT THAT YOU ARE PREPARED TO ADDRESS THOSE EFFICIENCIES BEFORE THE EQUITY OFFICE WILL RELEASE THE OPPORTUNITY FOR THAT POSITION TO BE USED IN A DEPARTMENT.

SO THE ONLY DEPARTMENTS TODAY THAT HAVE BEEN ALLOWED TO USE THAT, OR THE PORT DEPARTMENTS THAT HAVE WORKED WITH THE EQUITY OFFICE, AND THEY FEEL CONFIDENT THAT THEY'RE AT THE STAGE WHERE HIRING A DIVERSITY MANAGER WILL ASSIST THEM IN MOVING THEIR PLANS FORWARD.

UM, AND THERE ARE SEVERAL DEPARTMENTS THAT HAVE CREATED SOME SIGNIFICANT PLANS ARE CONTINUING TO WORK ON THOSE PLANS AND ARE LOOKING FORWARD TO HIRING A MANAGER, TO KEEP THOSE PLANS MOVING, UM, EQUITY AND INCLUSION PROGRAM MANAGER IN OUR DEPARTMENT WORKS WITH ALL DEPARTMENTS ON THEIR PLANS AND THEY CALL US AND SAY, WE DON'T HAVE ENOUGH IN THIS COMMUNITY, HELP US.

WE WILL DO THAT.

WE HAVE NOT BEEN MORE PROACTIVE.

UM, AND I'M WELCOME TO DO THAT WITH MORE STAFF.

UM, IF WE WANT TO FOCUS ON GOING OUT AND LOOKING AHEAD OF TIME, UM, AND HELPING DEPARTMENTS VERSUS HAVING THEM SEE US AS A TOOL TO SUPPORT THEM.

UM, AND I WANT TO TELL YOU, AS I'VE MET WITH THE AFFINITY GROUPS, THEY HAVE MORE.

NOW I HAVE AFFINITY GROUPS OF EXECUTIVES.

SO THE, UH, THE HISPANIC AFRICAN-AMERICAN AND ASIAN EXECUTIVES HAVE MET WITH ME INDIVIDUALLY, IN ADDITION TO THE AFFINITY GROUPS TO TALK ABOUT THEIR CONCERNS OF REPRESENTATION.

UM, ONE OF THE THINGS THAT INITIALLY WAS GOING TO BE, UH, I THINK AN ADDITIONAL ACKNOWLEDGEMENT FROM COREY IN THIS REPORT WAS JUST SOME CONCERNS ABOUT REPRESENTATION OF COMMUNITIES IN OUR EXECUTIVE LEVEL.

I DIFFERENT AUDIT A DIFFERENT TIME, A DIFFERENT PROCESS.

WE DON'T HAVE THE MCS RULES AS A PART OF THAT, BUT CERTAINLY WE HAVE LISTENED TO THE CONCERNS OF THOSE EXECUTIVES.

UM, AND WE ADDRESSED THOSE WITH THE CITY MANAGER AS WE ADDRESS THE ISSUES OF THE AFFINITY GROUPS, SO THAT HE'S AWARE OF THE CONCERNS OF THE EMPLOYEES.

NEXT SLIDE, MS. HAYES, HOW MUCH MORE DO YOU HAVE LEFT? BECAUSE WE DO HAVE A PRETTY FULL AGENDA HERE.

OKAY.

IF YOU CAN TRY AND SPEED IT UP A LITTLE, PLEASE.

I'D APPRECIATE IT.

THANK YOU.

YEAH, I COULD DEFINITELY TALK FAST.

SO THAT IS ALL WE HAVE FOR FINDING NUMBER ONE FOR FINDING NUMBER TWO.

WHAT I SEE HERE, AND I CAN, I CAN SUMMARIZE THIS ONE VERY QUICKLY IS THAT THE AUDITOR'S OFFICE IS SUGGESTING THAT WE REALLY CHANGE THE TYPE OF WORK WE PROVIDE IN THE PARTNERSHIP WE PROVIDE TO DEPARTMENTS IN OUR ESTABLISHED UNDERSTANDING RIGHT NOW, HRD ESTABLISH POLICY CREATES PROCEDURES DETERMINES AND ESTABLISHES DEPARTMENT ROLES.

UM, AND THEN WE DO PERIODIC REVIEWS.

I THINK THE AUDITOR'S OFFICE IS SUGGESTING THAT WE GO INTO MORE OF AN ENFORCEMENT TO GO INTO THE SYSTEM TO SEE WHAT PEOPLE ARE NOT DOING CORRECTLY.

RIGHT NOW I SEND MEMOS AND SAY, HEY, PLEASE, DON'T FORGET TO CLOSE OUT YOUR, YOUR INFORMATION IN THE SYSTEM.

UM, BUT WE DON'T HAVE STAFF THAT GO BACK AND MANAGE THAT IN EVERY DEPARTMENT AND THEN IN FORCE THAT THEY'RE NOT DOING IT.

AND SO CERTAINLY IF WE WANT TO MOVE, YOU CAN MOVE TO THE NEXT SLIDE TO THAT.

IT DOES CHANGE, UH, THE, THE COMMUNICATION AND PARTNERSHIP THAT WE HAVE RIGHT NOW.

SO WE CAN PROVIDE MORE OPPORTUNITIES FOR PROCEDURES AS WE DO.

UM, BUT I DON'T SCREEN ALL POSITIONS.

IF YOU'LL LOOK AT MY RESPONSE, PAGE FOUR IN THE BOOK UP TO DATE, NOW WE'VE HAD OVER 7,000, UM, POSTINGS JUST THIS YEAR, I'VE HAD 1800.

I DON'T HAVE STAFF TO GO BACK AND LOOK AT ALL 1800 POSITIONS TO DETERMINE WHAT'S IN THEIR CHECKLIST AND DID THEY CLOSE IT OUT IN THE SYSTEM? AND SO WE WANT TO DO THAT.

THAT IS A PARADIGM SHIFT IN THE ROLE OF HRD CORPORATE THAT WE CAN CERTAINLY LOOK AT NEXT SLIDE.

SO OUR NEXT STEPS ARE TO CONTINUE WITH THE DIVERSITY RECRUITMENT INITIATIVES.

I THINK WE NEED TO LAY THAT OUT IN TERMS OF SOMETHING WRITTEN DOWN TO CONTINUE OUR PARTNERSHIPS WITH AFFINITY GROUPS AND EQUITY OFFICE, AND TO PARTNER MORE WITH DEPARTMENTS AND ESTABLISHING THEIR SPECIFIC DEPARTMENTAL HIRING STRATEGIES THAT REFLECT THEIR SPECIFIC DEPARTMENTAL NEEDS IN TERMS OF REPRESENTATION, UM, AND, AND TRY TO, UH, FILL A DEDICATED POSITION TO PROCEDURE COMPLIANCE.

THAT'S IT.

THANK YOU SO MUCH.

THANK YOU, MS. HAYES.

I APPRECIATE YOUR, YOUR PASSION AND THE ADDITIONAL INFORMATION, UM, FOR WRAPPING UP TWO QUESTIONS AND I'LL RECOGNIZE, UH,

[00:40:01]

MY CHAIR POOL IN A SECOND.

I JUST WANTED TO POINT OUT THAT THIS IS THE FIRST OF A SERIES OF AUDITS THAT WE'RE LOOKING INTO WITH RESPECT TO OUR WORKFORCE.

IT WAS NEVER MEANT TO BE, UM, SUM TOTAL OF THE INVESTIGATIONS AND THE LOOK THAT WE ARE, UM, EMBARKED ON.

UM, SO I JUST WANTED TO SORT OF TO FLAG THAT, UH, VICE CHAIR POOL.

WOULD YOU LIKE TO GO FIRST? YEAH, I WANTED TO, UM, JUST PROBE A LITTLE BIT ON THE, UM, COMPARISONS, THE CHOICES THAT THE AUDITOR'S MADE FOR THE GROUP, UH, TO COMPARE, UM, OUR HUMAN RESOURCES, UM, WORK, HANG ON A SECOND.

I'M TRYING TO FIX THAT.

OKAY.

UM, AND, AND IN PARTICULAR AS, UM, DR.

HAYES POINTS OUT PICKING THE STATE OF TEXAS, WHICH OF COURSE IS LITERALLY THE STATE OF TEXAS, NOT JUST ONE SMALL ISH CITY IN COMPARISON, IT ALSO INCLUDED, UM, A BIG COMPONENT OF, OF TEACHERS.

WHY WOULD THE COMPARISON NOT HAVE SEARCHED OUT A, UH, SIMILAR, UM, MUNICIPAL ENTITY TO COMPARE US AGAINST? I WOULD ARGUE THAT IF, IF, IF ASKED, IF I HAD BEEN ASKED, SHOULD WE COMPARE THE CITY OF AUSTIN'S HIRING AND RECRUITMENT DONE BY OUR HUMAN RESOURCES DEPARTMENT OF OUR NON-SWORN EMPLOYEES? SHOULD WE COMPARE THAT TO THE STATE OF TEXAS HAVING WORKED AT THE STATE OF TEXAS IN A COUPLE OF DIFFERENT AGENCIES? I WOULD SAY, NO, THERE'S NO WAY BECAUSE THERE'S SO MANY DIFFERENCES.

SO I LIKE TO KNOW FROM THE AUDITOR'S OFFICE, WHY, UH, THAT WAS THE COMPARISON THAT WAS CHOSEN.

SURE.

I CAN RESPOND TO THAT.

UM, SO I THINK REALLY OUR, OUR BEST COMPARISON, UH, WHICH WE THINK WAS CITED IN AN HRD MEMO IS TO COMPARE IT TO THE COMMUNITY.

SO THAT'S REALLY WHERE WE HINGED A LOT OF OUR ANALYSIS, UM, IN CONVERSATIONS, UH, THROUGHOUT THIS AUDIT, WE, UH, RECEIVED SOME REMARKS ABOUT, WELL ARE OTHER GOVERNMENT ENTITIES SIMILAR.

UM, AND SO THAT IS WHERE WE STARTED TO LOOK AT THE STATE OF TEXAS AND TRAVIS COUNTY.

I'M NOT SURE WE FULLY AGREE THAT THERE AREN'T OPERATIONAL TYPE JOBS, UH, IN THE STATE OF TEXAS AND TRAVIS COUNTY.

I THINK THAT TYPE OF WORK IS ALSO DONE BY THOSE ENTITIES.

SO IT DOES MAKE FOR A VALID COMPARISON.

CERTAINLY THE TEACHERS, I THINK, IS HISTORICALLY A FEMALE DOMINATED PROFESSION.

SO IF YOU WERE TO THROW THAT OUT AND COMPARE TO THE CITY OF AUSTIN, I THINK YOU WOULD ALSO MAYBE WANT TO THROW OUT LIBRARY OR AWESOME PUBLIC HEALTH OR ENTITIES WITHIN OUR BODY THAT TEND TO BE FEMALE DOMINATED TO MAKE THAT A VALID COMPARISON.

BUT OVERALL, WE FELT THAT GENERALLY AT THE STATE OF TEXAS AND TRAVIS COUNTY, THERE ARE OPERATIONAL POSITIONS THERE AND THEREFORE IT MADE FOR A VALID, UH, COMPARISON, BUT TRULY THE COMPARISON TO THE COMMUNITY AND THE MSA IS REALLY PROBABLY THE BETTER MEASURE HERE OR MORE SPECIFICALLY TO THE CITY AND NOT THE MSA, BECAUSE ALSO THE MSA INCLUDES A MUCH LARGER COHORT AND THEN THE CITY OF AUSTIN DOES ITSELF.

AND I APPRECIATE IT.

I APPRECIATE YOUR EXPLANATION OF WHY YOU CHOSE THE STATE OF TEXAS, BUT I WOULD, AGAIN ARGUE THAT YOU COULD HAVE REMOVED A PARTICULAR SUBSET THAT SO CLEARLY IS FEMALE DOMINATED AND THAT THE CITY OF AUSTIN DOES NOT HAVE ANYTHING APPROACHING.

UM, AND THAT, UH, AN EDUCATION COMPONENT, UNLESS YOU WANTED TO ADD IN AISD WITH THE CITY OF AUSTIN, WHICH WE WOULD NEVER DO.

SO, UM, I WOULD LIKE TO, UM, ENCOURAGE A LITTLE BIT MORE, UH, THOUGHTFULNESS ON, ON THE, UH, COMPARISONS SO THAT WE DON'T, UM, END UP WITH SOME RESULTS THAT, UM, ARE INTERNALLY DEBATABLE BECAUSE I WOULD LIKE ALL OF US TO BE VERY CONFIDENT AND ALIGNED IN OUR AGREEMENT, GOING FORWARD WITH HOW WE WORK, UM, ON, UH, ON MAKING IMPROVEMENTS.

AND I DO THINK THAT DR. HAYES AND HER TEAM ARE, ARE WORKING AS NIMBLY AS THEY POSSIBLY CAN GIVEN ALL OF THE CONSTRAINTS.

AND I ALSO APPRECIATE THE FACT THAT THIS IS THE FIRST IN A SERIES OF CAREFUL LOOKS AT HOW OUR DIFFERENT DEPARTMENTS ARE RESPONDING WITH HIRING AND RECRUITING.

THANKS.

SURE.

WELL THEN I WOULD JUST SAY, WE TRY NOT TO, TO PICK AND CHOOSE AND PIECE IT APART TOO MUCH THERE.

BUT IF WE WERE TO KIND OF LOOK IN TOTAL AT THE STATE OF TEXAS AND I AGREED OUGHT TO HAVE A SORT OF AN INTERNALLY ARGUABLE DATA POINTS, THEN WE WOULD MAYBE WANT TO COMPARE THAT TO OUR ENTIRE WORKFORCE TOO, WHICH WOULD BE ADDING IN POLICE AND FIRE AND OTHER POSITIONS, WHICH ARE GENERALLY MALE DOMINATED THAT MIGHT SKEW THINGS, YOU KNOW, KIND OF FURTHER, BUT IT WOULD BE KIND OF A COMPLETE BODY OF EVIDENCE TO COMPARE.

MS. HOUSTON, CAN YOU JUST POINT OUT, UM, I UNDERSTAND THAT

[00:45:01]

MS. HAYES RAISED THE ISSUE OF THE COMPARISON.

I'M JUST SORT OF LOOKING THROUGH THAT.

AND I DON'T SEE THAT AS A BIG FOCUS ON THE AUDIT TO ME, THE AUDIT WAS REALLY FOCUSED ON HOW WE WERE REFLECTING THE MSA.

UM, SO CAN SOMEBODY EVEN POINT OUT WHICH PAGE THAT COMPARISON IS ON? CAUSE THAT SEEMS LIKE A BIT OF A RED HERRING TO ME BECAUSE, UM, I JUST DON'T SEE THAT AS THE FOCUS, I THOUGHT THE FOCUS WAS MUCH MORE ON THE MSA.

UM, AND I, AND I'M NOT, I MEAN, JUST LOOKING THROUGH IT, I DIDN'T EVEN REMEMBER THAT WHEN I READ THE AUDIT AND LOOKING AT IT, I'M NOT SEEING WHERE THAT IS.

SO, UM, GRANTED I'M MULTITASKING HERE, BUT IF YOU CAN FLAG THAT FOR ME, I'D APPRECIATE IT.

SURE.

IT'S IN A CALL-OUT BOX ON PAGE SEVEN, IT'S JUST ONE KIND OF SENTENCE, TWO SENTENCES THERE OFF TO THE SIDE.

UH, YOU'RE CORRECT.

THE GREATER FOCUS WAS REALLY THE COMPARISON OF OUR WORKFORCE TO THE MSA.

OKAY.

YEAH.

THAT'S LIKE, GREG CAN BARELY SEE IT ON HERE.

OKAY.

UM, THANK YOU.

UM, COLLEAGUES, ARE THERE OTHER QUESTIONS? UM, I'M TRYING TO SEE CONCEPT NUMBER TOTAL AND THEN CONCEPT NUMBER ONE, TEST AND AM THEIR OTHER COUNCIL MEMBER TOBA.

DID YOU WANT TO YEAH.

THANK YOU.

YOU ALL FROZE THERE FOR A MINUTE AND I DIDN'T HEAR YOU RECOGNIZE ME.

THANK YOU.

UM, I APPRECIATE THE, BOTH THE AUDIT AND THE, AND THE, AND THE RESPONSE FROM HRG.

THANK YOU.

THAT'S, THAT'S ALL REALLY VALUABLE INFORMATION.

AND I, I DO THINK THERE ARE, UM, OPPORTUNITIES TO REALLY CONTINUE TO WORK TOWARD, UM, OUTCOMES IN THIS AREA, BUT I, I ALSO ACKNOWLEDGE AND APPRECIATE THE WORK THAT HRG IS DOING.

I'M WONDERING ABOUT, UH, A RELATED BUT SLIGHTLY DIFFERENT ISSUE.

IF WE LOOKED AT, YOU KNOW, WE'VE BEEN HAVING THIS CONVERSATION, UM, ABOUT CONTRACT EMPLOYEES, AND I WONDERED FROM HRDS PERSPECTIVE, IF YOU HAVE ANY SENSE OF HOW, HOW THOSE NUMBERS WOULD SKEW, ESPECIALLY WITH REGARD TO WELL, WITH REGARD TO ALL THE ISSUES WE'RE TALKING ABOUT, UM, REPRESENTATION, UM, WITH REGARD TO GENDER REPRESENTATION, WITH REGARD TO RACE AND ETHNICITY, HOW THAT WOULD, HOW THAT WOULD LOOK.

IF WE LOOKED AT OUR POOL OF CONTRACT EMPLOYEES, YOU KNOW, WE'VE BEEN FOCUSING ON BUILDING SECURITY, BUILDING SECURITY AND CUSTODIAL STAFF AS OUR FIRST, UH, YOU KNOW, OUR FIRST AREA OF, OF, UM, FOCUS.

DO YOU HAVE A SENSE OF, OF WHO IS, YOU KNOW, WHAT THE, WHAT THE REPRESENTATION LOOKS LIKE IN THE CAR, WHICH R D HAS NOT DONE ANY ANALYSIS ON REPRESENTATION OF CONTRACT EMPLOYEES.

WE'VE DONE SOME FOCUS, WORK ON THEM AS YOUR IFCS HAVE COME THROUGH RELATIVE TO THIS DISCUSSION OVER TIME.

I THINK IT WOULD PROBABLY IMPROVE OUR, OUR COMMUNITY OF COLOR REPRESENTATION IN MANY OF THOSE FACES, BUT I CAN'T SPEAK TO GENDER.

UM, I CAN ATTEMPT TO LOOK AT WHAT OUR, UM, CONTRACT, UH, THAT THE DEMOGRAPHICS LOOK LIKE AND SEE HOW THAT CONTRIBUTES TO BOTH THE OVERALL PIECE.

I THINK ANOTHER POINT, UM, MS. HOUSTON MADE IS THIS ALSO DID NOT INCLUDE POLICE, FIRE EMS, CAUSE THEY'RE, YOU KNOW, THEY'RE VERY RESTRICTIVE TO 1 43.

AND SO I DEFINITELY THINK THEY'RE THAT.

AND THOSE OTHER VARIABLES MAY IMPACT OUR OVERALL REPRESENTATION, UM, IN BOTH GENDER AND IN RACE.

AND SO WE CAN LOOK AT IT, BUT I DON'T THINK WE HAVE ANY AVAILABLE INFORMATION RIGHT NOW.

OKAY.

THANKS.

YEAH.

I AM INTERESTED IN AND SEEING THAT BECAUSE, YOU KNOW, THAT WOULD, IF OUR CONTRACT POOL IS MORE REPRESENTATIVE THAN OUR, THAN OUR PERMANENT CITY STAFF, UM, THAT TO ME WOULD, WOULD, UM, BE, HAVE, WOULD ADD TO MY CONCERNS ABOUT CONTINUING TO RELY ON CONTRACT LABOR.

UM, SO I THINK THAT THAT'S, UH, THAT WOULD BE, THAT WOULD BE YET ANOTHER INCENTIVE TO REALLY WORK, TO BRING IT, BRING LONGTIME EMPLOYEES, UM, INTO THE CITY OF AUSTIN AS FULL-TIME EMPLOYEES.

AND THEN I JUST WONDERED IF YOU COULD RESPOND.

UM, YOU KNOW, I THINK I'VE HEARD YOU SAY THAT, UH, THAT YOU'VE, THAT YOU ARE DOING TARGETED OUTREACH WITH SOME OF THE AFFINITY GROUPS THAT HAVE NOW FORMED AROUND THE EXECUTIVE LEVEL LEADERSHIP.

AND I JUST WANTED TO REMIND MY COLLEAGUES, UM, ABOUT, UH, UH, COUNCIL RESOLUTION THAT I SPONSORED THAT I THINK MANY OF YOU WERE ON THE DYESS AND VOTED FOR, WHICH WAS, UH, DIRECTING THE CITY MANAGER TO WORK WITH HRG AND THE EQUITY OFFICE TO RESEARCH BEST PRACTICES FOR THE HIRING OF EXECUTIVE LEVEL POSITIONS, UM, TO, TO REALLY ESTABLISH A MORE CONSISTENT, TRANSPARENT PROCESS FOR THOSE INTERIM DECISIONS, AS WELL AS FOR REGULAR APPOINTMENTS, WITH AN EYE TOWARD IMPROVING DIVERSITY.

UM, AND SO I DON'T KNOW IF, IF DIRECTOR HAYES YOU CAN SPEAK TO ANY OF ANY OF THE WORK THAT'S COME OUT OF THAT.

I KNOW IT'S SLIGHTLY OUT OF IT IS

[00:50:01]

WELL WITHIN THE SCOPE OF THE CONVERSATION.

WE'RE HAVING A LITTLE BIT OUTSIDE THE AUDIT, BUT IF YOU HAD ANY, YES, SO WE DID DO THAT WORK WITH THE EQUITY OFFICE AND WE ESTABLISHED SOME BENCHMARK PRACTICES THAT WE THOUGHT WOULD CONTRIBUTE TO A BETTER REPRESENTATION AS WE GO THROUGH THE RECRUITMENT PROCESS FOR EXECUTIVES.

UM, WE PROVIDED A REPORT TO THE CITY MANAGER'S OFFICE.

IT JUST TALKED A LITTLE BIT ABOUT THAT.

AND THEN WE MADE SOME CHANGES IN IMPLEMENTING OUR PROCESSES AS WE LOOK TO RECRUITMENT ENTITIES THAT COME IN AND DO OUR RECRUITMENTS FOR US.

SO, YOU KNOW, CAN I, CAN I USE THE POLICE CHIEFS, THE POSITION? AND SO AS WE GO INTO IT, WE ASK THAT FUNDAMENTALLY RECRUITMENT COMPANIES CREATE, UM, CANDIDATE POOLS THAT ARE MORE REPRESENTATIVE OF BOTH FROM GENDER AND FROM A COMMUNITY OF COLOR, THE REPRESENTATIVE OF AUSTIN, UM, AS KATIE TALKED ABOUT, WE HAVE USED THE REPRESENTATION OF COMMUNITY AS A VARIABLE TO MOVE US TOWARD IT.

IT'S JUST NOT THE ONLY VARIABLE.

SO FOR US, THE MSA IS CERTAINLY SOMETHING THAT WE DON'T, UH, WE DON'T NOT LOOK AT, BUT FOR US, THE ARGUMENT IS NOT THAT IT'S NOT THAT EXCLUSIVELY.

AND SO IN OUR STRATEGIES, AND WE CAN CERTAINLY SEND THOSE OUT TO YOU TO LET YOU KNOW WHAT STRATEGIES CAME ABOUT FROM THAT.

I THINK WE CLOSED THAT ISC OUT WITH SOME INFORMATION, BUT WE CAN LET YOU KNOW, WE ALSO HAVE A MASTER AGREEMENT WITH, UM, MULTIPLE RECRUITMENT COMPANIES AS A PART OF THAT MASTER AGREEMENT.

THEY HAD TO MEET SOME THRESHOLDS TO ENSURE THAT THEY COULD PROVIDE THE DIVERSITY THAT, THAT WE NEED IN THE RECRUITMENT PROCESS.

YEAH.

THANK YOU.

I WOULD REALLY WELCOME, UM, THAT INFORMATION ABOUT HOW, HOW YOU RESPONDED TO THAT RESOLUTION.

I'M NOT SURE, I'M NOT SURE HOW MUCH OF THAT TRICKLED FOR OUR COUNCIL OFFICES.

SO THAT WOULD BE GREAT.

THANK YOU.

THANKS FOR ALL OF YOUR WORK COUNCIL MEMBER FOREIGN TEST.

THANK YOU CHAIR.

AND THANK YOU TO OUR AUDIT TEAM.

AND HRDS IS INCREDIBLE PRESENTATION.

AND I SPECIFICALLY JOINED THIS COMMITTEE MEETING TO HEAR ABOUT THE FINDINGS.

ONE OF THE QUESTIONS I HAVE IS AROUND, UM, SETTING GOAL SETTING, YOU KNOW, HAVING OUR DIVERSITY REFLECT OUR COMMUNITY, UM, DIRECTOR.

YOU MENTIONED THAT WE, AS A CITY, WE CANNOT MANDATE PERCENTAGES IN OUR HIRING IN THAT DIVERSITY.

UM, BUT HOW DOES THAT PRECLUDE GOAL SETTING? CAN YOU JUST ELABORATE A LITTLE BIT MORE OF, YOU KNOW, HOW DOES THAT TAKE AWAY FROM US SETTING GOALS AND OUR GUIDING DOCUMENTS? WE ALREADY SET GOALS.

AS I TALKED ABOUT THE WORK WE DO WITH THE AFFINITY GROUPS, UM, WHEN I MEET WITH THE AFFINITY GROUPS, I HAVE TAKEN THEIR CONCERNS AND WHAT THEY WANTED TO SEE IN TERMS OF STRATEGIES AND SET THOSE AS GOALS.

AND WHEN I GO BACK TO THE AFFINITY GROUPS, WE TALK ABOUT OUR SUCCESSES AND MOVING THE PENDULUM.

UM, SO WE DO SET GOALS, BUT THE GOALS DO NOT REFLECT PERCENTAGE REPRESENTATION.

SO FOR INSTANCE, IN THE LATINO COMMUNITY, THERE WAS A, A GREAT DEAL OF CONCERN THAT WHILE THEY HAD A HIGHER PERCENTAGE OF REPRESENTATION AND MCS LEVEL POSITIONS, THAT WAS CONCERNED THAT THEY DID NOT HAVE THAT SAME OPPORTUNITY TO BE REFLECTED AT EXECUTIVE LEVEL POSITIONS.

AND SO WE DID CREATE GOALS TO ENSURE THAT THERE WAS MORE OPPORTUNITY FOR DIVERSITY OF COLOR IN OUR CANDIDATE POOL FOR EXECUTIVE POSITIONS.

SO WE ARE SETTING GOALS THAT HELP MOVE THE PENDULUM FORWARD FOR REPRESENTATION, BUT THOSE GOALS DO NOT RESULT IN.

WE LIKE TO SEE 5% MORE LATINO POPULATION, 3% MORE AFRICAN-AMERICANS.

SO IT DOESN'T SPEAK TO THE SPECIFIC REPRESENTATION NUMBERS, BUT THERE ARE, THERE ARE GOALS ARE ASSOCIATED WITH CREATING A MORE DIVERSE CANDIDATE POOL, CREATING PROCESSES AS CONSEQUENTIAL TOBO JUST SPOKE ABOUT IN TERMS OF PROCESSES.

AND SO THOSE GOALS ARE BEING SET.

I THINK WHAT I HEAR FROM THE AUDITOR'S OFFICE, AND I DON'T WANT TO SPEAK FOR THEM.

NONE OF THAT IS IN ONE DOCUMENT SPECIFIC TO DIVERSITY.

THEY'RE IN OUR RECRUITMENT PROCESSES, THEY'RE IN OUR MEETINGS WITH AFFINITY GROUPS.

AND SO THEY ARE RECOMMENDING THAT WE CREATE SOME COLLABORATIVE DOCUMENT OF SORTS THAT SPEAKS TO ALL OF OUR GOALS RELATIVE TO DIVERSITY IN A PLACE THAT CAN BE EVALUATED FOR SUCCESS.

AND, AND, AND KATIE, I DON'T KNOW IF I SAID THAT RIGHT FOR YOU ALL, BUT I THINK WE'RE DOING GOALS.

WE, WE DON'T HAVE IT IN ONE PLACE.

DOES THAT ANSWER YOUR QUESTION, COUNCIL MEMBER? WELL, SO YOU MENTIONED, UM, YES, IT DOES.

UM, YOU MENTIONED THAT WE CAN'T, I MEAN, CAN WE, IF WE CAN'T DO GOALS ON PERCENTAGES OF SAYING, WE WANT TO HAVE, YOU KNOW, 30% OF OUR EXECUTIVE LEVEL LEADERSHIP POSITIONS BE LATINO, WE CAN'T DO THAT, BUT CAN WE DO, WE WOULD LIKE TO INCREASE OUR, UM, LATINO REPRESENTATION BY 5% IN THE NEXT FISCAL YEAR? LIKE, CAN WE DO IT BY A PERCENTAGE OF AN INCREASE? I WOULDN'T DO THAT BECAUSE IT'S ALMOST SETTING GOALS AND QUOTAS IN TERMS OF WHAT YOU WANT TO SEE IN A PARTICULAR GROUP.

I WOULD ALSO POINT OUT TO YOU THAT IN OUR MCS DOCUMENT, UM, THERE'S A VERY CLEAR PROCESS OF WHAT THE RECRUITMENT PROCESS MUST LOOK LIKE.

AND SO THAT'S NOT BASED ON REPRESENTATION BY GENDER.

SO IT'S BASED ON MERIT AND FITNESS.

AND SO CLOTHES ARE THE ONLY TOOLS THAT CAN BE USED TO DETERMINE THE SELECTION

[00:55:01]

OF AN OTHER CANDIDATE.

SO FOR INSTANCE, IF I HAVE A DEPARTMENT THAT'S A MAJORITY CAUCASIAN, CAUCASIAN, RIGHT? OR A MAJORITY WHITE, IF THAT DEPARTMENT HAS A PROCESS, THEY CAN'T SAY, WELL, YOU KNOW, WE HAVE NO REPRESENTATION.

AND SO WE'RE GOING TO USE THAT AS A TOOL TO DETERMINE IF THIS CANDIDATE VERSUS THIS CANDIDATE GETS THE JOB.

THEY'RE BOTH EQUALLY QUALIFIED.

ONE IS A COMMUNITY OF COLOR THAT CAN NOT BE A TOOL OR DECISION USED FOR THE HIRING PROCESS.

AND SO WE DON'T WANT TO CREATE ANY GOAL AND OBJECTIVE THAT LOOKS LIKE A QUOTA THAT WOULD SUGGEST THAT THE DECISION IS BASED ON SOMETHING OTHER, AND IN THIS PROCESS, WE'RE TALKING ABOUT MCS RYAN AND THIS AND THIS AUDIT.

SO WE DON'T WANT TO CREATE ANY CRITERIA THAT SUGGESTS THAT RACE OR GENDER IS A DETERMINING FACTOR.

THAT'S LEGITIMATELY USED IN THE DECISION OF HIRING.

NOW FOR EXECUTIVES, THERE IS NO MCS RULES.

AND SO WE HAVE MUCH MORE FLEXIBILITY, UM, TO, TO, TO CREATE OPPORTUNITIES, TO CREATE MORE CANDIDATE POOLS AND MORE OPPORTUNITIES FOR SELECTION.

AND SO I DEFINITELY THINK THAT'S A DIFFERENT PROCESS.

UM, THE CITY MANAGER DOES HAVE THE ABILITY AND EXECUTIVE TEAM DOES HAVE THE ABILITY TO HIRE EXECUTIVES DIFFERENTLY.

AND SO FOR THE SCOPE OF THIS AUDIT, I WOULD NOT SET THAT, BUT CERTAINLY AS WE LOOK AT EXECUTIVE POSITIONS, THERE'S MORE FLEXIBILITY TO TRY TO ENCOURAGE MORE REPRESENTATION AND DIVERSITY IN, IN THE SELECTION AND IN THE FINAL PROCESS OF HIRING.

THANK YOU.

OKAY.

THANK YOU.

I REALLY APPRECIATE THE WORK, BOTH THE AUDIT DEPARTMENT AND, UH, AND, AND HUMAN RELATIONS PRETTY, UH, COMPLETE SKETCHED IN THIS.

AND THERE'S A LOT HERE.

AND I THINK THE FIRST THING TO NOTICE THE FIRST OF THE PROPOSED SERIES, A IT'S REALLY GOING TO TAKE, YOU KNOW, DOING MORE OF THESE AREAS TO GET A, UH, A MORE COMPLETE PICTURE.

UM, I JUST WANT TO POINT THAT OUT.

UH, I WAS, YOU KNOW, WE SPENT A LOT OF TIME TALKING ABOUT THE COMPARISON OF THE NUMBERS RELATIVE TO THE DEMOGRAPHICS IN THE, IN THE POPULATION AND DIFFERENCES BETWEEN PERHAPS STATE AND CITY DEPARTMENTS.

AND I'M NOT SURE IF THERE'S A GOOD WAY TO RESOLVE THAT OTHER THAN TO IDENTIFY THAT THAT ISSUE EXISTS.

UH, AND IT'S, AND IT'S REAL.

UM, UH, BUT, UM, UH, GEORGE DID POINT OUT, UH, THAT THEIR FOCUS IS ON THE, THE WORKFORCE IN THAT AREA AND TRYING TO MATCH THE WORKFORCE AVAILABILITY, WHICH IS HOW WE DO OUR, OUR, UM, UH, DIVERSITY, UH, HIRING PROGRAM FOR, FOR VENDORS.

IT'S SAME KIND OF THEORY ASSOCIATED WITH THAT.

AND I DON'T KNOW IF THERE'S A WAY TO DRAW THAT COMPARISON IN TERMS OF THE AVAILABLE WORKFORCE IN THAT AREA, AND HOW ARE WE DOING RELATIVE TO THOSE, UH, AVAILABLE WORKFORCES, UH, IN THOSE, UH, UH, AREAS.

UM, I NOTE THAT, UH, UH, WOMEN MAKE UP 39% OF THE CIVILIAN WORKFORCE.

OUR OVERALL, WE HAVE DEPARTMENTS OF RANGE FROM 15% TO 75%, UH, WHICH AGAIN, KIND OF BEGS THAT QUESTION THAT, THAT, THAT JULIA, UH, RAISED, UH, AS WE LOOK AT HIRING PRACTICES IN THE CITY.

ANOTHER THING THAT I THINK WOULD BE HELPFUL TO LOOK AT IS THAT I REALLY DO THINK THAT AS A CITY AND AS A COMMUNITY IN GOVERNMENT WHERE WE'RE A LOT MORE EQUITY FOCUSED PROBABLY THAN WE WERE 10 YEARS AGO, UM, JUST BECAUSE OF THE NATURE OF WHO WE ARE AND HOW WE'VE EVOLVED, AND ALSO KIND OF SOCIETY HALF THE WORKERS IN OUR CITY RIGHT NOW, WHERE PEOPLE THAT WERE HERE 10 YEARS AGO.

UH, SO HAVING SOME KIND OF ONE TO, TO, TO GET THIS, I MEAN, HOW ARE WE DOING IN RECENT HIRES OVER THE LAST FIVE YEARS, PERHAPS RELATIVE TO HOW WE WERE HIRING 15 YEARS AGO? I DON'T KNOW IF THAT INFORMATION OR DATA IS HELPFUL, BUT IT, BUT IT MIGHT BE SOMETHING THAT, THAT TELLS US HOW THE PROGRAMS THAT ARE BEING IMPLEMENTED ARE IMPACTING, UH, THE NUMBERS THAT WE'RE, THAT WE'RE, UH, THAT WE'RE SEEING BY THEN.

AND THEN FINALLY, I'D BE REALLY INTERESTED IN GETTING THE EQUITY OFFICES KIND OF ASSESSMENT OF THIS TOO, NOW THAT WE HAVE THAT OFFICE.

SO HEARING BACK FROM THEM AND ASKING THEM TO RESPOND IN NOVEMBER, OR WHAT INFORMED, JUST KIND OF THEIR THOUGHTS, I THINK WOULD BE REALLY HELPFUL, UH, NOW THAT WE HAVE THERE BEEN, UH, YOU KNOW, THERE WAS THE, UH, FINDING IN THE AUDIT THAT THE EQUITY ASSESSMENTS AT THIS POINT, WHICH ARE NEW IN OUR CITY AND THE TOOLS NEW AT OUR CITY ARE HELPFUL, UH, SNAPSHOTS, BUT, UH, PERHAPS NOT, UH, POSITIONED WELL TO GIVE US LARGE TWO-DOOR ANALYSIS OVER TIME.

UM, SO I, I HOPE THAT, UH, WE, UM, LOOK AT THAT ON AN FINDING AND IT'LL TRY TO STANDARDIZE OR INSTITUTIONALIZE HOW IT IS.

WE DO THOSE, UH, SO THAT WE HAVE THE ABILITY TO BE ABLE TO DO THAT.

WE LAUNCHED TWO AGO A STUFFING, UH, BUT I WOULD

[01:00:01]

BE INTERESTED CHAIR AUDITOR TO, TO GET SOME KIND OF, UM, UH, REACTION TO THIS FROM THE, FROM THAT EQUITY LENS.

THANKS AND CHEER.

IF I HAVE THE ABILITY TO ADD TO THAT, I JUST WANT TO REMIND YOU ALL, WE'VE CREATED AN ONLINE TOOL TO ASSESS OUR DEMOGRAPHICS.

SO ALL COMMUNITY THAT IS, THAT WAS A YEAR PROJECT TO CREATE AN OPPORTUNITY FOR COMMUNITY TO RUN THESE DEMOGRAPHICS OF OUR EMPLOYEES AND TO DO ALL OF THAT WORK ONLINE SO THAT YOU OR YOUR OFFICE AND ANYONE IN THE COMMUNITY, SO WE CAN PROVIDE YOU DATA, BUT YOU CAN ALSO RUN THOSE DATA ANALYSIS YOURSELF AND ASK US QUESTIONS ABOUT THOSE AS WELL.

SO I JUST WANTED TO MAKE SURE I ADDED THAT THAT TOOL HAS BEEN PROVIDED TO CREATE SOME TRANSPARENCY ABOUT OUR WORKFORCE.

SO MS. HAYES, MAYBE YOU CAN SEND THAT OUT.

UM, YOU KNOW, I REMAIN CONCERNED ABOUT THE GENDER GAP.

I THINK IT'S, UH, YOU KNOW, IT'S BEEN IMPORTANT THAT WE ARE, UM, FAIRLY REPRESENTATIVE WITH RESPECT TO, TO, TO RACE.

UM, BUT I DO REMAIN CONCERNED ABOUT THE GENDER GAP.

THESE ARE DATA THAT DON'T INCLUDE OUR DEPARTMENTS THAT ARE MOST SKEWED TOWARDS MALE.

UM, AND, AND SO I DO REMAIN CONCERNED ABOUT THAT.

I SEE, UM, SOME DO THE EQUITY OFFICE IS DOING REALLY GOOD WORK, BUT IT IS REALLY FOCUSED ON RACE.

IT IS NOT FOCUSED ON GENDER AND THIS HAS BEEN SOMETHING I KNOW THAT THE WOMEN'S COMMISSION HAS BEEN RAISING SOME QUESTIONS ON AND ASKING ABOUT HOW WE ADD A GENDER, MORE OF A GENDER LENS INTO THE EQUITY ASSESSMENT.

UM, AND SO, YOU KNOW, IF THE CITY MANAGER'S OFFICE CAN HAVE THE EQUITY OFFICE, YOU KNOW, PROVIDE US SOME COMMENTARY WOULD ALSO LIKE TO BETTER UNDERSTAND HOW THEY ARE ADJUSTING, UM, GENDER AND NOT JUST RACE, UM, IN THEIR EFFORTS BECAUSE, UM, IT MAY BE THAT FOR CERTAIN DEPARTMENTS, IT'S THE GENDER ISSUE THAT IS MORE, MORE OF AN ISSUE.

AND, UM, YOU KNOW, THE STRATEGIES MAY BE SOMEWHAT, SOMEWHAT DIFFERENT.

AND, UM, YOU KNOW, IT'S NOT BEEN MY EXPERIENCE THAT GENDER HAS BEEN THE LENS THROUGH WHICH THE EQUITY OFFICE HAS BEEN VIEWING THINGS.

UM, I DO WANT TO POINT OUT THAT, UM, YOU KNOW, AGAIN, THAT THIS IS THE FIRST OF A SERIES OF, OF LOOKS THAT WE'RE DOING TO MAKE, UM, THAT WE ARE SHEPHERDING OUR WORKFORCE, UM, AS, AS EFFECTIVELY AS WE CAN.

UM, I'M GONNA CONCLUDE BY CALLING ON COUNCIL MEMBER PULLMAN, I'M GONNA ASK YOU TO BE SURE BECAUSE WE REALLY ARE RUNNING, RUNNING LATE ON TIME.

THANKS.

WHEN I HAD MY PRELIMINARY MEETING WITH AUDIT AND FINANCE STAFF, I ASKED THE QUESTION THAT, UM, THE MAYOR BROUGHT UP ABOUT THE LONGITUDINAL ASPECTS OF THIS AND WHAT IMPROVEMENTS HAVE WE SEEN SAY JUST IN THE LAST FIVE YEARS? I THINK THAT DATA POINT IS REALLY IMPORTANT.

I WISH IT HAD BEEN, UM, UH, MENTIONED, UH, IN THE REPORT TODAY TO GIVE US THE CONTEXT THAT THIS IS AS WAS EMPHASIZED IN MY PRELIMINARY MEETING.

I PORN, I POINT IN TIME, BUT WE DON'T HAVE ANYTHING.

WE DON'T HAVE ANY CONTEXT TO, TO COMPARE IT, TO, TO SEE WHETHER WE'VE FALLEN BEHIND OR, OR ARE MAKING IMPROVEMENTS.

AND SO I WOULD URGE THE AUDITOR'S OFFICE TO INCLUDE THAT ADDITIONAL INFORMATION, INCLUDING IN YOUR DESCRIPTION OF THE AUDIT AND WHAT THIS DOES AND DOESN'T INCLUDE, UM, SO THAT WE HAVE SOME REAL STRONG ANCHORS TO HOLD ON TO AS WE WORK TO BE A MUCH BETTER PERSON AND DIVERSE AND, UH, GREAT.

UM, MR. ROBBINS, IF YOU CAN MUTE YOURSELF, PLEASE MONITOR MR. MADANS.

CAN YOU MUTE YOURSELF PLEASE? MADAM CHAIRMAN, I DO WANT TO LET YOU ALL KNOW THAT I HAVE ASKED FOR A THIRD-PARTY CONSULTANT TO COME IN AND DO AN ANALYSIS ON THE IMPACT OF COVID TO OUR WORKFORCE.

UM, AND SO AS THAT REPORT COMES OUT, I THINK IT WILL PROBABLY BE VERY GERMANE TO SOME OF THE THINGS THAT THE AUDIT COMMITTEE IS LOOKING AT.

SO WE'LL DEFINITELY PROVIDE THAT TO YOU AS WELL, UM, AND BE AVAILABLE TO YOU ALL.

IF YOU HAVE QUESTIONS AND COUNCIL MEMBER POOL, WE DO HAVE INFORMATION OVER THE LAST FIVE YEARS.

UM, OUR FEMALE REPRESENTATION HAS BECOME CONSISTENT, UM, AND THE SAME ACROSS THE BOARD.

AND SO I CAN PROVIDE THAT AS A BACKUP TO BOTH YOU AND THE AUDITOR'S OFFICE FOR DIGITAL COMMUNICATION.

THAT'S GREAT.

THANKS SO MUCH.

AND I APPRECIATE EVERYBODY'S WORK ON THIS TOPIC.

THANK YOU, MS. STOKES, DO YOU HAVE A RECOMMENDATION FOR THE APPROPRIATE MOTION FOR APPROVING THIS? IF WE WANT TO HAVE ANY OF THAT INFO ADDED OR HOW THAT COULD JUST BE PART OF THE MANAGEMENT RESPONSE AS OPPOSED TO THE AUDIT OR I DON'T, I DON'T KNOW WHAT WOULD BE APPROPRIATE SOMEONE'S I'M SURE.

SO GENERALLY, I MEAN, WE LIKE TO PRESENT THE AUDITS AS WE COMPLETE THEM.

THEY'VE GONE THROUGH OUR QA PROCESS.

WE PREFER NOT TO ADD INFORMATION TO THEM ONCE THEY'VE BEEN POSTED AS A DRAFT, UM, THAT WE, WE CAN, UM, ISSUE SEPARATE INFORMATION OR PROVIDE INFORMATION SEPARATELY, UM, RELATED TO THIS, I KNOW THAT PORTAL IS AVAILABLE.

UM, AND, AND I AGREE,

[01:05:01]

YOU KNOW, THIS IS WORK THAT WE DID THERE, THERE ARE COMPLICATIONS WITH THESE COMPARISONS, I THINK MANY CAVEATS FOR WHY WE DID NOT INCLUDE THEM IN THE REPORT.

ONE BEING THAT THE NUMBER OF DEPARTMENTS AND WHERE PEOPLE WERE, UM, FIVE YEARS AGO VERSUS TODAY HAS, HAS SHIFTED.

WE KNOW WE'VE CONSOLIDATED DEPARTMENTS AND CREATED NEW DEPARTMENTS AND SHIFTED THINGS IN THAT THAT ALWAYS HAPPENS IN THE CITY.

UM, SO, UM, THAT, THAT WAS A PIECE OF OUR DECISION NOT TO INCLUDE IT.

IT CERTAINLY INFORMATION, YOU KNOW, I'VE LOOKED AT THE DATA PORTAL.

AND SO AS A TEAM, UM, THAT THAT'S OUT THERE AND CAN BE PULLED TOGETHER, UM, FOR THE PURPOSES OF PROVIDING TO THE PUBLIC.

OKAY.

SO, UM, I WILL ENTERTAIN, ENTERTAIN A MOTION TO APPROVE THE AUDIT, EXCEPT THE AUDIT TOMORROW.

WHEN I MOVE TO ACCEPT THE AUDIT, SOMEONE ON THE COMMITTEE, IS THERE A DIFFERENT MISSION COUNCIL MEMBER TOBO YOU HAVE TO APPROVE? I WILL SECOND THAT, UM, ALL THOSE IN FAVOR OF ACCEPTING THE AUDIT, I'M GOING TO ABSTAIN.

OKAY.

SO SIMILAR REASONS THAT, UM, THERE WAS AN AUDIT A COUPLE OF YEARS AGO THAT I CAN HAVE, HAVE CONTINUING CONCERNS ABOUT AND WENT AHEAD AND APPROVED IT.

AND, UM, IT WAS USED IN THE COMMUNITY AND IN, UM, CHALLENGING WAYS AND WE WERE NEVER ABLE REALLY TO DEAL WITH THAT.

SO, UM, AND AS I, AS I MENTIONED TO COREY IN MY PRELIMINARY MEETING, I, THIS LINES UP FOR ME IN THE SAME CATEGORY.

AND SO I'M GOING TO RESPECTFULLY ABSTAIN.

OKAY.

SO COUNCIL MEMBER POOL IS ABSTAINING AND COUNCIL MEMBER ALTAR TOHO AND KELLY ARE VOTING IN FAVOR, MAYOR ADLER.

ARE YOU THERE MOVING, UM, SOME OF YOUR OTHERS OFF THE DIOCESE? I WILL NOTE, IT LOOKS LIKE COUNCIL MEMBER MEMBER TIME.

HOWEVER, MADISON HAS JOINED US.

SHE'S NOT ON THE COMMITTEE THOUGH.

ALL RIGHT.

SO THAT AUDIT WILL BE ACCEPTED.

THANK YOU.

UM, WE ARE GOING TO NOW MOVE, UM, TO ITEM

[3. Discussion and possible action regarding the Interlocal Agreements Audit]

THREE ON, YOU KNOW, LOCAL AGREEMENTS AUDIT, AND IF WE CAN TRY AND MOVE THROUGH THIS QUICKLY AND APPRECIATE IT.

GREAT.

UM, SO, SO THIS AUDIT, AS WE PULLED US UP, THIS'LL BE, UM, NAO SHARMA WAS THE MANAGER OF AUDIT AND KATHY HARRISON WAS THE LEAD.

AND SO IF YOU CAN MOVE THOSE FOLKS OVER, WE HAVE A PRESENTATION HERE.

UM, I WOULD SAY, UM, ON THIS AUDIT TOPIC, THIS WAS AN AUDIT.

WHEN WE STARTED OUT, WE WANTED TO DO A BROAD LOOK AT, UM, TO TRY TO IDENTIFY AREAS WHERE WE MAY HAVE OVERLAP OR GAPS OR, UM, OTHER ISSUES WITH OUR, WITH OUR INTER-LOCAL AGREEMENTS.

WE HAVE A LOT OF THESE WITH A LOT OF ENTITIES.

UM, AND, AND WHAT WE FOUND WAS WE DON'T REALLY HAVE THE DATA TO DO THAT ANALYSIS EASILY.

UM, SO THIS AUDIT IS REALLY FOCUSED ON THE FIRST PART OF THAT, WHICH IS HOW DO WE GET THAT DATA, UM, SO THAT WE CAN DO THIS ANALYSIS.

SO WITH THAT, I'LL TURN IT OVER TO KATHY AND SHE'LL GO THROUGH OUR PRESENTATION.

THANK YOU, COREY.

GOOD MORNING COMMITTEE MEMBERS.

MY NAME IS KATHY HARRISON.

I'M THE AUDIT LEAD ON THIS PROJECT AND I'LL BE GIVING THIS NEXT SLIDE, PLEASE, TO GIVE SOME BACKGROUND INTO LOCAL AGREEMENTS OR SPECIALIZED CONTRACTS THAT ALLOW GOVERNMENTS TO EXCHANGE BEDS AND SERVICES.

THEY MUST COMPLY WITH REQUIRED CAUSES OUTLINED IN THE TEXAS GOVERNMENT CODE.

AS SHOWN ON THE SLIDE.

THE CITY IS INVOLVED IN FOUR TYPES OF INTER LOCAL AGREEMENTS.

THESE AGREEMENTS ALLOW ENTITIES TO WORK TOGETHER TOWARDS A COMMON GOAL AND SAVE MONEY.

ONE EXAMPLE IS WHEN THE COUNTY PAYS THE CITY TO PROVIDE ANIMAL SERVICES ON COUNTY LAND.

ANOTHER EXAMPLE IS WHEN THE CITY PAYS THE COUNTY TO JAIL, PEOPLE ARRESTED BY THE POLICE.

NEXT SLIDE PLEASE.

NEXT SLIDE PLEASE.

THANK YOU.

THERE ARE MULTIPLE DEPARTMENTS INVOLVED IN THE MANAGEMENT OF INTER LOCAL AGREEMENTS.

THIS PROCESS IS DECENTRALIZED AND NO ONE DEPARTMENT OVERSEES THE ENTIRE PROCESS AS SHOWN ON THIS SLIDE.

UNLIKE OTHER CONTRACTS, THE PURCHASING OFFICE IS NOT INVOLVED IN MOST OF THE CONTROL LOCAL AGREEMENT PROCESS.

INSTEAD, THE LOT DEPARTMENT WORKS CLOSELY WITH INDIVIDUAL DEPARTMENTS TO WRITE THE AGREEMENTS AND ASSIST WITH NEGOTIATIONS, CITY COUNCIL APPROVES THE AGREEMENT, THE PURCHASING OFFICE UPLOADS, THE APPROVED AGREEMENTS INTO THE CITY SYSTEMS AND INDIVIDUAL CITY DEPARTMENTS PERFORM ALL MONITORING ACTIVITIES FOR, UNTIL LOCAL AGREEMENTS.

FOR THE SADA.

WE LOOKED AT HOW THE CITY MANAGES INTER LOCAL AGREEMENTS.

NEXT SLIDE PLEASE.

UM, REVIEW OF CITYWIDE PRACTICES IDENTIFIED ISSUES THAT PREVENT THE CITY FROM HAVING COMPREHENSIVE INFORMATION ABOUT INTER

[01:10:01]

LOCAL AGREEMENT, SUCH AS THE AMOUNT OF AUTHORIZED FUNDS AND TO LOCAL PARTNERS AND NUMBER OF AGREEMENTS.

THIS COULD HELP THE CITY KNOW WHAT INTER LOCAL AGREEMENTS.

IT HAS IMPROVED COORDINATION BETWEEN CITY DEPARTMENTS AND AVOID DUPLICATION OF AGREEMENTS.

AND THE NEXT FEW SLIDES I'LL COVER THE ISSUES IDENTIFIED FOR THIS AUDIT.

NEXT SLIDE, PLEASE.

FOR THE FIRST PART OF THE FINDING, WE NOTED THAT CITY DEPARTMENTS HAVE NOT FULLY IMPLEMENTED PROCESSES FOR MANAGING INTER LOCAL AGREEMENTS, WHICH ARE ESTABLISHED BY THE PURCHASING OFFICE.

BASED ON OUR REVIEW, WE NOTED THAT THIS PROCESS HAS NOT BEEN FULLY IMPLEMENTED FOR PROVIDER RECEIVER AND NONFINANCIAL AGREEMENTS.

WE NOTICED FROM OUR SURVEY AND INTERVIEWS, THAT DEPARTMENTS DID NOT CONSISTENTLY PROVIDE THEIR PURCHASING OFFICE WITH THE REQUIRED INFORMATION FOR, INTO LOCAL AGREEMENTS.

AS A RESULT, NOT ALL INTER LOCAL AGREEMENTS ARE RECORDED AND UPLOAD IT INTO CITY SYSTEMS. WE SELECTED A SAMPLE OF 25 AND TWO LOCAL AGREEMENTS AND FOUND THAT 76% WERE NOT RECORDED IN THE CITY'S FINANCIAL SYSTEM.

NEXT SLIDE PLEASE.

YEAH.

THE SECOND PART OF THE FINDING WHILE THE PURCHASING OFFICE HAS IDENTIFIED DIFFERENT SYSTEMS TO MAINTAIN RECORDS OR INTO LOCAL AGREEMENTS, THIS IS NOT ALONG WITH BREAST PRACTICES, WHICH RECOMMEND A STANDARDIZED SYSTEM FOR CONTRACT MANAGEMENT.

AS A RESULT CONTRACT MANAGERS KEEP THEIR RECORDS IN VARIOUS LOCATIONS, INCLUDING PAPER FILES, DEPARTMENT SHARE DRIVES, DEPARTMENT DATABASES AND CITY SYSTEMS. WE NOTE THAT 44% OF DEPARTMENTS STORE THEIR INFORMATION IN ONE LOCATION AND 56% OF DEPARTMENT STORE THEIR INFORMATION IN TWO OR MORE LOCATIONS, KEEPING CONTROL, LOCAL AGREEMENT INFORMATION, AND VARIOUS LOCATIONS MAY RESULT IN INEFFICIENCIES AND INCOMPLETE RECORDS.

NEXT SLIDE, PLEASE.

FOR THE LAST PART OF THE FINDING, WE FOUND THAT 902 LOCAL AGREEMENTS WE REVIEWED INCLUDE ALL REQUIRE CLAUSES AND CONTAIN MOST RECOMMENDED CLAUSES, BUT SOME EXCEPTIONS, SOME EXCEPTIONS WERE NOTED.

WE NOTED TO RECOMMEND A CLAUSES THAT WERE NOT INCLUDED IN SOME OF THE AGREEMENTS YOU SAMPLED AS SHOWN AS SHOWN ON THE SIDE, THE FORCE MAJEURE CLAUSE, WHICH ALLOWS THE CONTRACTOR PARTIES TO STOP SERVICES DUE TO UNCONTROLLABLE EVENTS, SUCH AS FLOOD OR PANDEMIC WAS NOT FOUND IN SIX AGREEMENTS.

ALSO THE AUDIT CLAUSE THAT ALLOWS THE CITY TO AUDIT TERMS AND SERVICES WAS NOT INCLUDED IN ONE OF THE AGREEMENTS.

NEXT SLIDE PLEASE.

OKAY.

WE ISSUED FOUR RECOMMENDATIONS WHERE THE CITY CAN IMPROVE BY HAVING COMPREHENSIVE INFORMATION ABOUT INTER LOCAL AGREEMENT AND ENSURING THESE AGREEMENTS ARE CONSISTENTLY MANAGED ACROSS DEPARTMENTS MANAGEMENT AGREED WITH OUR RECOMMENDATIONS.

THIS CONCLUDES MY PRESENTATION, AND I'M HAPPY TO ANSWER ANY QUESTIONS.

THANK YOU VERY MUCH.

UM, DOES THE CITY MANAGER'S OFFICE HAVE ANY KIND OF RESPONSE OR THEY WANT TO MAKE ON THIS CALL? THERE SHOULD BE REPRESENTATIVES FROM THE PURCHASING OFFICE AS WELL AS THE LAW DEPARTMENT.

SO I DON'T KNOW IF YOU WANTED TO MAKE ANY COMMENTS OR JUST BE AVAILABLE FOR QUESTIONS, COMMITTEE, CHAIR, MEMBERS OF THE COMMITTEE.

THIS IS JAMES SCARBOROUGH WITH FINANCIAL SERVICES DEPARTMENT.

I'M HERE ON BEHALF OF CHIEF FINANCIAL OFFICER, ED VAN, YOU KNOW, UM, WHO IS, UH, IN A MEETING WITH CITY MANAGER'S OFFICE, UH, IN REGRET.

REGRETTABLY WAS NOT ABLE TO JOIN THE COMMITTEE THIS MORNING.

UM, WE PARTICIPATED IN THE REVIEW OF THIS AUDIT WITH THE AUDITOR'S OFFICE AND WE CONCUR WITH THEIR FINDINGS AND WE HAVE RESPONDED WITH, UH, RECOMMENDED MANAGEMENT ACTIONS TO ADDRESS THE FINDINGS IN THE AUDIT.

THANK YOU.

UM, I WANT TO JUST POINT OUT FOR THOSE WHO ARE NEW TO THIS AUDIT, THAT AUDIT WAS ORIGINALLY TO BE LOOKING AT OVERLAPS OF OUR INTER LOCAL AGREEMENTS.

AND WHEN IT WENT INTO LOOK AT THAT, DISCOVER THAT WE DID NOT HAVE THE APPROPRIATE PROCESSES IN PLACE TO BE, UM, TRACKING THESE AGREEMENTS, WHICH IS A PRECURSOR IN ORDER TO BE ABLE TO REALLY INVESTIGATE WHETHER WE HAVE, UM, TOO MANY AGREEMENTS OR AGREEMENTS THAT CONTRADICT OR OVERLAP, ET CETERA, UM, WHICH HOPEFULLY DOWN THE LINE, WE'LL BE IN A BETTER POSITION TO LOOK AT AS, UM, THE FINANCE DEPARTMENT PUTS, UM, THESE ADDITIONAL PROCEDURES AND SAFEGUARDS IN PLACE.

UM, COLLEAGUES, ARE THERE ANY QUESTIONS OR COMMENTS ON THIS AUDIT? OKAY.

SEEING NONE, I WILL ENTERTAIN A MOTION TO ACCEPT THIS AUDIT THE COMMITTEE.

YEAH.

[01:15:01]

ANYONE WANT TO MAKE THAT MOTION TO ACCEPT THIS AUDIT? I SEE ANYONE IS IN THEIR HAND.

OKAY.

COUNCIL MEMBER TOVO MAKES THE MOTION MAYOR ADLER SECONDS.

UM, WITHOUT OBJECTION, WE WILL ACCEPT THAT AUDIT.

UM, WE WILL NOW

[4. Discussion and possible action on the Water & Wastewater Recommendation for the Customer Assistance Program]

MOVE ON TO ITEM FOUR, WHICH IS DISCUSSION AND POSSIBLE ACTION ON THE WATER AND WASTEWATER RECOMMENDATION FOR THE CUSTOMER ASSISTANCE PROGRAM.

UM, DO WE HAVE SOMEONE FROM THAT COMMISSION HERE WHO WANTS TO SPEAK, OR IS THIS JUST SOMETHING THAT THE AUDITOR'S GOING TO SPEAK TO FIRST? MY UNDERSTANDING IS THAT WE HAVE A MEMBER OF THE WATER WASTEWATER COMMISSION JOINING US, UM, AS WELL AS STAFF AVAILABLE TO ANSWER QUESTIONS FROM AUSTIN ENERGY AND AUSTIN WATER.

GIVE THEM A SECOND TO MOVE OVER.

I BELIEVE IT WAS MR. MORIARTY IS NOT CORRECT.

YES.

LAST I HEARD.

CAN YOU HEAR ME GREAT.

WE CAN PLEASE GO AHEAD, MR. MOREIRA.

THANK YOU FOR JOINING US.

THANK YOU.

UH, ELECTED OFFICIALS.

UM, DO YOU WANT TO TURN YOUR VIDEO ON YOU PROBABLY CAN.

YOU'RE NOT, UH, YOU'RE ACTUALLY A MEMBER OF THE PANEL RIGHT NOW, IF YOU DON'T WANT TO.

THAT'S FINE AS WELL.

IS IT WORKING OKAY? YES.

THANK YOU.

I WAS ASKED BY OUR, UH, CHAIRMAN SCHENLEY TO ATTEND THIS MEETING ON BEHALF OF THE WATER AND WASTEWATER COMMISSION.

AND OUR CONCERN IS THE CUSTOMER ASSISTANCE PROGRAM.

I, UH, MAKE THE OBSERVATION THAT THE WATER WASTEWATER COMMISSION I BELIEVE IS VERY SUPPORTIVE OF THE CAP PROGRAM AND THINK IT DOES A TREMENDOUS AMOUNT OF GOOD, BUT OVER THE LAST SEVERAL YEARS, WE'VE CONTINUED TO HEAR THESE REPORTS OF, UH, IT'D BE AN ELIGIBLE PEOPLE GAINING THE BENEFIT.

AND, UH, WE THINK THERE NEEDS TO BE THAT IT'S PROBABLY TIME TO REFRESH THE PROGRAM AND LOOK AT IT IN MY, UH, EVALUATION.

I THINK OTHER CITIES ARE DOING THIS BETTER AND I THINK IT WOULD BE GOOD IF WE LOOKED INTO THIS AND TRY TO, UH, CLEAN THIS UP.

SO, UM, THAT'S OUR, UH, OUR REQUEST TODAY IS TO, UH, JUST TO LOOK INTO THIS AND SEE IF WE CAN'T, UH, ORGANIZE A BETTER AND CLEANER PROGRAM TO GO FORWARD.

THANK YOU.

THANK YOU.

UM, MS. STOKES, DID YOU WANT TO SPEAK TO THE REQUEST? NO, I APPRECIATE THEIR REQUEST.

AS, AS PAUL ROBIN SAID EARLIER, THIS IS SOMETHING THAT HE'S, HE'S BROUGHT TO OUR ATTENTION AND TO Y'ALL'S ATTENTION PREVIOUSLY.

UM, TH THIS IS A PROGRAM THAT WE, WE CAN CONSIDER FOR INCLUSION ON OUR NEXT AUDIT PLAN.

IT WON'T BE NEXT FISCAL YEAR, WHICH I THINK THE RESOLUTION DIRECTS, UM, NEXT FISCAL YEAR, BUT WE'RE MOVING TO A CALENDAR YEAR PLAN IS AS YOU GUYS KNOW, UM, BUT NEXT CALENDAR YEAR, WE CAN CERTAINLY INCLUDE IT AS AN OPTION FOR THE PLAN.

I'D LIKE TO KIND OF MOVE THROUGH OUR PROCESS, INCLUDE THAT AS A DISCUSSION ITEM, UM, AS WE MEET WITH EACH COUNCIL OFFICE AND COME UP WITH THE LIST OF POTENTIAL PROJECTS.

BUT, UM, THAT'S CERTAINLY, UM, AN OPTION IS TO DO, DO AN AUDIT FRONT IN TERMS OF HOW THIS COMPARES TO OTHER CITIES PROGRAMS, SIMILAR PROGRAMS, AS WELL AS, UM, HOW WE PROCESS INELIGIBILITY.

UM, I ALSO THINK THERE ARE KIND OF SHORTER TERMS THINGS WE COULD DO IF COUNCIL MEMBERS WERE INTERESTED IN TERMS OF MAYBE A SPECIAL REQUEST, UM, LOOKING AT SPECIFIC ENABLED, ELIGIBLE PROPERTIES THAT HAVE BEEN IDENTIFIED BY MR. ROBBINS.

UM, SO I THINK WE HAVE SOME DIFFERENT VENUES WE, WE COULD USE TO LOOK AT THIS.

THANK YOU.

AND WE ALSO DISCUSSED IN OUR MEETING, UM, MS. STOKES, THAT, UM, IT WOULD ALSO BE POSSIBLE TO DO A SPECIAL PROJECT THAT WAS LOOKING AT HOW OTHER CITIES WERE DOING THEIR, THEIR PROGRAMS AS WELL.

UM, I DO WANT TO UNDERSCORE THAT THERE ARE, UM, YOU KNOW, AS WE THINK ABOUT THE APPROPRIATE NEXT STEPS, WE NEED TO UNDERSTAND THAT THERE ARE TRADE OFFS IN TERMS OF THE ADMINISTRATIVE BURDENS, IF YOU WANT TO BE ABLE TO MAKE IT EASY FOR PEOPLE TO ENROLL IN AND, UM, YOU KNOW, FOLKS WHO MAY HAVE TROUBLE RUNNING THROUGH HOOPS, UM, AND YOU KNOW, SO THERE'S A BALANCE THAT WE NEED TO ACHIEVE.

THAT IS NOT TO SAY THAT WE DON'T NEED TO INVESTIGATE.

I JUST WANT TO POINT OUT, UM, THAT SOME OF THE CHANGES THAT WERE MADE, UM, TO INCREASE ACCESS, UM, YOU KNOW, ARE REALLY IMPORTANT FOR IMPROVING ACCESS TO THESE PROGRAMS. UM, AND WE NEED TO MAKE SURE THAT WHEREVER WE LAND, IF WE DO DECIDE TO DEAL WITH AN AUDIT, WHEN WE HAVE THE FULL PICTURE FOR OUR AUDITS, UM, DOES KEEP THAT BALANCE IN MIND.

AND, AND, AND THAT GOAL IN MIND, UM, IT LOOKED LIKE I HAD A COUPLE OF HANDS UP MAYOR ADLER AND COUNCIL MEMBER TABLE.

YOU KNOW, THIS IS, UH, IT HAS BEEN A RE RECURRENT ISSUE IN THE LAST SIX OR SEVEN

[01:20:01]

YEARS THAT I'VE BEEN ON THE, ON THE DAYS.

UH, AND I KNOW THAT OUR, OUR STAFF, BY RAISING THE BALANCE QUESTION THAT YOU JUST RAISED A CHAIR AND SUGGESTING THAT THEY THINK THAT THEY'VE FOUND THE RIGHT BALANCE.

IT'S NOT PERFECT, BUT IF THEY START MOVING TO EITHER, UH, AND THEY THINK RESULTS IN LESS EFFICIENT AND JUST OUTCOME, BUT THE ISSUE IS RECURRENT ENOUGH THAT I THINK IT PROBABLY IS WORTH US TAKING A LOOK AT AND HAVING THE AUDITORS TAKE A LOOK AT WHETHER THAT BE, UH, A SPECIAL, UM, OR MORE LIMITED REVIEW OR TOTAL REVIEW.

I DON'T KNOW.

I JUST KNOW WHAT YOUR CURRENT ISSUE, UH, AND IF THERE'S A WAY TO HAVE SOMETHING THAT ENABLES US TO, UH, OR THEY'RE DETERMINED THAT WE NEED TO MAKE CHANGES OR THAT WE PROVIDE THE RIGHT BALANCE.

UH, I THINK THAT WOULD BE A HELPFUL THING FOR US TO DO.

YEAH.

I, I WOULD LIKE TO ASK SOME QUESTIONS AS MR. MORIARTY, PLEASE.

I'M AVAILABLE COUNCIL MEMBER.

CAN YOU HEAR ME? I CAN.

THANK YOU.

THANKS FOR BEING HERE TODAY.

AND YOU USED SOME, SOME PRETTY STRONG LANGUAGE ABOUT CLEANING UP THE PROGRAM, AND I'D LIKE TO BETTER UNDERSTAND, I GUESS WHAT THE EXTENT OF THE INFORMATION THAT THE WATER AND WASTEWATER COMMISSIONS REVIEWED.

UM, WE GET PRESENTATIONS BY, UH, THE MANAGERS OF THE CAP PROGRAM AS WELL AS PAUL ROBBINS.

SO WE KIND OF LISTENED TO BOTH SIDES.

UM, WE, OVER MY HISTORY ON THE WATER WASTEWATER COMMISSION, WE'VE HEARD THESE PRESENTATIONS BEFORE.

UH, SO, UH, IT'S THROUGH THOSE VENUES THAT WE BECAME AWARE OF, UH, OF THE SITUATION DID YOU ACTUALLY REVIEW? UM, OKAY, THANK YOU.

UM, I THINK MY CONCERN, I CERTAINLY HAVE CONCERNS ABOUT AUDITOR DOING MAYBE A SPECIAL, A SPECIAL REPORT ON IT.

YOU KNOW, THERE WAS A PRETTY FUNDAMENTAL CHANGE AND NOT EVERYONE AGREED WITH IT.

AND THAT WAS TO GO TO AUTO-ENROLLMENT.

AND THIS CAME ABOUT, THIS WAS A CHANGE THAT, THAT CAME ABOUT AS A RESULT OF, UM, THE RESEARCH AND THE EXPERTISE AND THE REAL DEDICATED ADVOCACY OF SEVERAL CONSUMER ADVOCATES.

I THINK IT'S BEEN GENERALLY OF ENORMOUS BENEFIT IT'S, IT'S ALLOWED MORE, UM, RATE PAYERS IN THIS COMMUNITY WHO REALLY NEED THAT ASSISTANCE, WHO FAILED THEMSELVES OF IT IN A WAY THAT, THAT AUSTIN ENERGY THAT WORKED FOR AUSTIN ENERGY'S PROCESSES AS MR. ROBBINS HAS RAISED CONCERNS OVER THE YEARS.

UM, IT'S MY UNDERSTANDING, I DON'T KNOW THAT WE HAVE ANYBODY HERE FROM AUSTIN ENERGY OR AUSTIN WATER UTILITY TO VERIFY THIS, BUT IT'S MY UNDERSTANDING THAT AUSTIN ENERGY HAS MADE, UM, HAS ENHANCED ITS PROCESS HAS MADE REFINEMENTS TO MAKE SURE, YOU KNOW, TO ADDRESS THIS, THAT THERE MIGHT BE INDIVIDUAL HOUSEHOLDS THAT ARE SLIPPING THROUGH WHO SHOULD NOT BE RECEIVING THIS BENEFIT.

UM, BUT I, YOU KNOW, I WOULD JUST CAUTION US ALL AGAINST, UM, ASSERTIONS THAT, THAT THE PRODUCT THAT THE PROGRAM IS PRIMARILY SERVING PEOPLE WHO ARE INTELLIGIBLE OR ANYTHING LIKE THAT.

I THINK THAT THIS HAS BEEN JUST A LIFELINE TO PEOPLE, UM, IN TERMS OF ALLOWING THEM TO, TO ACCESS WATER AND UTILITY WHEN THEIR HOUSEHOLD BUDGET MIGHT NOT OTHERWISE PERMIT THEM TO DO SO.

ABSOLUTELY PEOPLE WHO ARE NOT ELIGIBLE SHOULD NOT BE RECEIVING THAT BENEFIT.

AS I REMEMBER FROM THE LAST TIME WE HAD A MORE IN-DEPTH CONVERSATION ABOUT IT.

I DON'T REMEMBER WHAT THAT VENUE WAS, WHETHER IT WAS AN ENERGY COMMITTEE, WHICH IS CERTAINLY A GOOD PLACE TO RECESSION.

UM, BUT THE LAST TIME WE HAD THAT CONVERSATION, YOU KNOW, THE, THE, UM, AUSTIN ENERGY LOOKED AT A FEW OF THE EXAMPLES THAT HAD BEEN RAISED AND, AND EXPLAINED WHY SOME OF THEM HAD BEEN RECEIVING THE BENEFIT.

AND, AND I KNOW I'M NOT SURE THE LEVEL OF DETAIL WE CAN GET INTO ON SOME OF THOSE ACCOUNTS WITHOUT, WITHOUT BEGINNING TO, YOU KNOW, AS I RECALL, THERE WERE SOME PRIVACY ELEMENTS TO SOME OF THOSE SITUATIONS WHERE THERE MIGHT BE ONE FAMILY MEMBER WHO QUALIFIED, UM, BASED ON CERTAIN CIRCUMSTANCES, BUT IN ANY CASE, I'M, I'M SUPPORTIVE.

UM, I'M SUPPORTIVE OF DOING A VERY LIMITED IN SCOPE AUDIT.

UM, IF IT IS ACTUALLY GOING TO TAKE INTO ACCOUNT, YOU KNOW, SOME OF THESE MORE COMPLICATED ISSUES AND JUST COMPARING IT TO OTHER UTILITIES MAY NOT, MAY NOT BE THE RIGHT COMPARISON BECAUSE IN OTHER, THERE ARE UTILITIES THAT DON'T HAVE PROGRAMS. THERE ARE ALSO UTILITIES THAT RELY ON, I THINK

[01:25:01]

IT'S, UM, UH, SUDDENLY FORGOTTEN WHAT IT'S CALLED.

IT HAS A CATCHY NAME, IT'S THE STATE PROGRAM THAT PROVIDES SOME LEVEL OF ASSISTANCE FOR UTILITY CUSTOMERS WHOSE UTILITIES DON'T IN AND OF THEMSELVES HAVE A, HAVE A PROGRAM IT'S LIKE LIGHTS, LIGHTS ON TEXAS OR SOMETHING LIKE THAT.

SO, YOU KNOW, WE WOULD HAVE TO BE REALLY CAREFUL.

WE WOULD HAVE TO REALLY HELP SHAPE AND GUIDE AND SCOPE THAT AUDIT TO MAKE SURE THAT WE'RE REALLY GOING TO GET BACK INFORMATION THAT IS USEFUL.

AND I, I THINK IT WOULD BE ONE AVENUE OF EXPLORATION I THINK WOULD BE, JUST, WOULD BE TO LOOK AT OUR PROGRAM AND, AND LOOK AT SOME OF THOSE SITUATIONS WHERE A HOUSEHOLD MAY BE GETTING A BENEFIT, UM, AND WOULD NOT APPEAR TO BE QUALIFIED AND SEE HOW THAT'S HAPPENING AND WHAT OTHER SYSTEMS MIGHT, MIGHT PROVE TO BE PROVED TO BE BETTER.

BUT, YOU KNOW, PLEASE, I REALLY WANT TO MAKE SURE THE PUBLIC KNOWS THAT THIS HAS COME UP AND, AND IT HAS BEEN, YOU KNOW, A SUBJECT OF CONVERSATIONS NOW, MULTIPLE TIMES THAT I CAN RECALL.

UM, SO I WANT TO BE SURE THAT WE'RE ALL GOING TO HAVE AN INFORMED CONVERSATION ABOUT IT WHEN, WHEN WE, WHEN WE TAKE THAT QUESTION UP AGAIN, THANK YOU, COUNCIL MEMBER TOVO I THINK AT, AT THIS POINT, UM, YOU KNOW, THE APPROPRIATE ACTION IS FOR THIS TO COME BACK AS, AS, AS ONE OPTION THAT WE CAN CONSIDER AS PART OF THE PLAN.

UM, I WOULD LIKE TO OFFER THAT, UM, I THINK IF SOMEONE WOULD LIKE TO JOIN ME IN A SPECIAL PROJECT TO TAKE AN APPROPRIATE LOOK AT SOME OF THE, UM, HOUSEHOLDS THAT HAVE BEEN CITED, SO WE CAN GET IT INITIAL, LOOK AND SEE, YOU KNOW, WHY THE HOUSEHOLDS ARE RECEIVING IT WITHOUT UNDERMINING, WITHOUT, UM, INJECTING OURSELVES INTO SOME OF THE PRIVACY QUESTIONS.

AND PERHAPS SOME STOKES YOU CAN, UM, YOU CAN FASHION AN APPROPRIATE, UH, WAY OF FRAMING THAT QUESTION THAT RESPECTS THE PRIVACY, BECAUSE THERE ARE, YOU KNOW, THERE ARE ELIGIBILITY ISSUES.

IF SOMEBODY HAS A FOSTER CHILD, IF SOMEBODY HAS A DISABILITY, ET CETERA, AND THEY MAY NOT EVER NOTICE THAT IT'S ON THEIR SYSTEM OR WHATEVER.

AND, UM, YOU KNOW, WHETHER THEY NEED IT OR NOT, THEY ARE ELIGIBLE ACCORDING TO THOSE CRITERIA, UM, WHICH CATCH A LOT OF OTHER FOLKS.

AND SO I THINK WE COULD GET, UM, I THINK IT WOULD BE HELPFUL TO GO INTO ANY DISCUSSION ABOUT PUTTING IT ON THE AUDIT PLAN TO UNDERSTAND WHAT THE CHALLENGES ARE.

AND IT MAY BE THAT THERE'S, UM, A SIMPLE FIX, OR IT MAY BE THAT IT IS INAPPROPRIATE, UM, INAPPROPRIATE SET UP.

SO IF FOLKS WANT TO LET ME KNOW, I'M HAPPY TO CO-SPONSOR THAT CHAIR.

OKAY, GREAT.

MAYOR ADLER.

I CAN'T HEAR YOU WAS HAPPY, HAPPY TO JOIN.

THAT IS PROBABLY A GOOD PLACE TO START.

OKAY.

SO THE THREE OF US CAN BE ON THAT.

AND MS. STOKES, IF YOU CAN HELP US TO, UM, SHAPE THAT QUESTION APPROPRIATELY, PARTICULARLY WITH RESPECT TO THE PRIVACY.

AND AS WE HAVE DISCUSSED BEFOREHAND, IN A WAY THAT WOULD BE USEFUL FOR US TO BE ABLE TO DETERMINE WHETHER WHETHER A FULLER AUDIT, UM, IS APPROPRIATE.

AND THEN ONCE WE HAVE THAT, WE CAN DETERMINE WHETHER WE WANT A FULLER AUDIT OR WHETHER WE WANT A SPECIAL AUDIT ON, YOU KNOW, OTHER CITIES, SPECIAL PROJECT ON OTHER CITIES PROCEDURES.

WHAT WE THINK WOULD BE THE MOST PRUDENT NEXT STEP.

BUT I THINK GIVEN THE TIMING PROBABLY WOULD BE ABLE TO GET, UM, SOME ANALYSIS DONE MOVING FORWARD.

AND I WOULD ASK THAT AUSTIN ENERGY AND AUSTIN WATERS STAFF WHO ARE IN THEIR AUDITOR'S OFFICE OR THE APPROPRIATE PROCEDURES, UM, BE ABLE TO, TO HELP US GET THAT DONE QUICKLY.

I CAN CERTAINLY DO THAT AND I CAN COORDINATE WITH THOSE OTHER AUDITORS, UM, TO GET LANGUAGE BACK TO Y'ALL AS THE REQUESTERS, UM, TO, TO LAY OUT THE PARAMETERS OF WHAT WE'VE HEARD FROM YOU.

AND THEN, AND THEN ALSO, UM, TONYA AND THE INFORMATION WE HAVE RECEIVED FROM MR. HALL FROM MR. ROBIN, RIGHT? AND THE AUDIT PLAN IS A DECISION OF THE FULL COUNCIL.

SO, UM, YOU KNOW, IT WOULD BE APPROPRIATE FOR, TO BE CONSIDERED AN OPTION, UM, AS PART OF, AS PART OF THAT.

OKAY, GREAT.

THANK YOU.

UM, I DON'T THINK WE NEED TO TAKE A VOTE ON THAT.

UM, SO I BELIEVE WE HAVE ABOUT 30 MINUTES FOR

[5. Briefing on Austin Procurement 3.0, the long-term strategy for the City’s procurement business functions]

ITEM FIVE.

UM, IF, UH, I BELIEVE AS MR. SCARBOROUGH WANTS TO, TO JOIN US, THIS IS THE BRIEFING ON AUSTIN PROCUREMENT 3.0 THE LONG-TERM STRATEGY FOR THE CITY'S PROCUREMENT BUSINESS FUNCTIONS.

UM, I KNOW THAT THIS IS A PROCESS THAT MR SCARBOROUGH HAS BEEN WORKING ON FOR SOME TIME AS OUR DIRECTOR OF PROCUREMENT.

I BELIEVE THAT'S YOUR TITLE.

UM, YOU KNOW, AS A WAY OF INCREASING EFFICIENCIES, UM, INTO OUR SYSTEM AND UPDATING OUR CONTRACTING PROCESS APPROPRIATELY, UM, THIS IS SOMETHING THAT

[01:30:01]

MY OFFICE HAS BEEN FOLLOWING, AND I'M VERY EXCITED TO HEAR THE LATEST UPDATE ON THIS.

UM, THIS WILL ULTIMATELY REQUIRE A VOTE OF COUNCIL.

UM, AND SO I THOUGHT IT WAS IMPORTANT FOR US TO, UM, INTRODUCE THIS HERE AT THIS COMMITTEE SO THAT WE CAN GET A SENSE OF WHERE THEY'RE AT IN THE PROCESS AND WHAT MIGHT BE COMING AND BE ABLE TO PROVIDE SOME FEEDBACK IF WE HAVE ANY SUGGESTIONS OR CONCERNS.

SO THANK YOU, MR. SCARBOROUGH.

THANK YOU.

COMMITTEE CHAIR, ALTAR, UM, MAYOR ADLER MEMBERS OF THE COMMITTEE.

UH, MY NAME IS JAMES SCARBOROUGH WITH THE PURCHASING OFFICE OF FINANCIAL SERVICES DEPARTMENT AND, UH, HELLO FROM DOWNTOWN AUSTIN AND THE HISTORIC MUNICIPAL BUILDING.

UM, JOINING ME IS THE, UH, DEPUTY PROCUREMENT OFFICER, UH, SEAN WILLETT, UM, HER NEW ROLE, UM, OR UPDATED ROLE IT SHOULD SAY IS, UM, IS GOING TO BE LARGELY RESPONSIBLE FOR IMPLEMENTING MANY OF THE ASPECTS OF OUR LONGTERM STRATEGY.

SO I WANTED TO MAKE SURE THAT YOU WERE FAMILIAR.

MANY OF YOU HAVE MET WITH JOHN.

UH, SHE'S BEEN HERE, UH, WITH ME AND, UH, UM, UH, HAS BEEN INSTRUMENTAL TO HELPING US IMPLEMENT A NUMBER OF CITY PROCUREMENT PROGRAMS FOR SEVERAL YEARS.

SO, UM, WITHOUT FURTHER ADO, UM, THIS IS A VERY SHORT HIGH LEVEL PRESENTATION AND, UH, WE'LL, UH, PRESERVE SOME TIME TO ASK ANY QUESTIONS AT THE END.

I JUST WANTED TO COMMENT THAT I, UH, I KNOW THAT MANY OF OUR EXCHANGES, UH, WITH YOU HAVE BEEN TRANSACTIONAL AS IT PERTAINS TO INDIVIDUAL, UM, ITEMS THAT GO BEFORE COUNCIL FOR AUTHORIZATION.

ALSO, THEY HAVE BEEN FOCUSED ON INDIVIDUAL PROGRAMS AND ELEMENTS OF POLICY WITHIN THOSE PROGRAMS. UM, UH, WE ARE MORE THAN GLAD TO, UM, RETURN TO THE AUDIT FINANCE COMMITTEE TO DISCUSS THOSE, UH, PROGRAMS FURTHER AS THEY EVOLVE AND TO GET YOUR FEEDBACK AND AUTHORIZATION, UM, THEREIN.

UM, BUT WE THOUGHT, UH, AS, AS YOU MENTIONED, UH, UM, UH, COMMITTEE CHAIR, UM, THAT IT WOULD BE HELPFUL TO GIVE SOME CONTEXT REGARDING THE CITY'S OVERALL PROCUREMENT ORGANIZATION AND HOW IT IS STRUCTURED AND HOW THOSE PROGRAMS AND POLICIES FALL WITHIN THAT STRUCTURE.

SO AGAIN, WITHOUT FURTHER ADO, UH, IF WE COULD START THE PRESENTATION, THANK YOU.

OKAY.

SO AUSTIN PROCUREMENT, THREE DOT OH, OR THREE.ZERO IS A LONGTERM STRATEGY OF THE FINANCIAL SERVICES DEPARTMENT, UH, TO TRANSITION THE CITY'S PROCUREMENT BUSINESS FUNCTION TO A HYBRID DISTRIBUTED ORGANIZATIONAL MODEL.

EXCELLENT.

SO IN THIS PRESENTATION, WE'LL GO OVER JUST A SHORT OVERVIEW OF AUSTIN PROCUREMENT, AND WE USE THOSE TERMS, UH, SPECIFICALLY, UM, BECAUSE OUR ORGANIZATIONS HAVE, UH, NAMES THAT ARE MORE SPECIFIC TO OUR DEPARTMENT, UM, AND OTHER DEPARTMENTS AND SO FORTH.

SO WE WANTED TO USE A, THE BROADEST POSSIBLE TERM SO THAT YOU KNEW, AND THAT THEY, THE OBSERVERS OF THE PRESENTATION KNEW THAT WE WERE REFERRING TO THE ENTIRE PROCUREMENT ORGANIZATION, EVEN OUTSIDE OF FINANCIAL SERVICES DEPARTMENT.

SO THAT'S WHY WE'RE REFERRING TO IT AS AUSTIN PROCUREMENT.

AND AS YOU WOULD GUESS, THE AP AND AP THREE DOT O UH, COME FROM AUSTIN PROCUREMENT.

SO WE'LL TALK ABOUT, UM, FISCAL YEAR 20 AND SOME OF THE VOLUMES AND, UM, METRICS ASSOCIATED WITH CITY'S PROCUREMENT ACTIVITY.

TALK ABOUT BRIEFLY ABOUT THE AUTHORITY TO, UM, CONDUCT PROCUREMENT, UM, AND PROCEDURE TO PERFORM PROCUREMENT ON BEHALF OF THE CITY.

THEN WE'LL TALK ABOUT THE VARIOUS GOVERNMENT PROCUREMENT MODELS VERY QUICKLY, JUST A SLIDE EACH TO TALK ABOUT OR D BETTER, UM, UH, EXPLAINED DECENTRALIZED VERSUS CENTRALIZED AND WHERE WE ARE PROPOSING TO MOVE THE ORGANIZATION TO A HYBRID, UH, DISTRIBUTED MODEL.

UH, THEN WE'LL TALK ABOUT THE ELEMENTS OF AUSTIN PROCUREMENT, THREE DOT O INCLUDING THE MANAGEMENT STRUCTURE, UM, AND OUR SYSTEMS, UM, AS WELL AS HOW THE ORGANIZATIONAL STRUCTURE WOULD WORK.

UM, W LAST, LASTLY, WE'LL TALK ABOUT PROGRESS TO DATE AND NEXT STEPS.

NEXT SLIDE PLEASE.

SO IN FISCAL YEAR 20, BY SPEND, WE, UH, AS THE CITY TRANSACTED 1.4, 2 BILLION AND CONTRACTS BEEN, UM, SIMILAR WITH MOST ORGANIZATIONS, BOTH PUBLIC AND PRIVATE, UM, THE MAJORITY OF OUR CONTRACTS BEEN IS FOR SERVICES, 80% SERVICES.

THAT INCLUDES GENERAL CONSTRUCTION AND PROFESSIONAL SERVICES REMAINING 20% IS FOR THINGS FINISHED

[01:35:01]

GOODS AND MATERIALS BY VOLUME.

WE HAVE A LARGE, UM, PORTFOLIO OF CONTRACTS.

UM, WE HAVE, UM, OVER 2,600 MULTITERM CONTRACTS AND OVER 4,000 SINGLE PROJECT, TRANSACTIONAL CONTRACTS AS THOSE GOT CONTRACTS OCCUR THROUGHOUT THE YEAR, UM, UH, THEY WILL COME INTO EXISTENCE AND THEN, AND THEN THERE'LL BE PERFORMED AND THEN THEY'LL WILL END.

SO WE JUST COUNT THE CONTRACTS THAT ACTUALLY ENDED, UH, DURING THE, UH, THE FISCAL YEAR, UM, AT ANY GIVEN TIME WE COULD HAVE, WELL, MORE THAN THAT, UH, UNDERWAY BY ORGANIZATION.

WE ARE VERY CENTRALIZED, UH, FINANCIAL SERVICES DEPARTMENT ADMINISTERS THE MAJORITY OF THE CITY CONTRACTS AND SPEND THE MAJORITY OF THE CONTRACTS AND SPEND ARE UNDER THE PURCHASING OFFICE.

AND, BUT A LARGE PORTION ARE ALSO UNDER THE CAPITAL CONTRACTING OFFICE, AS YOU CAN SEE FROM THE COUNTS AND SPEND.

UM, ALTHOUGH THERE'S A SMALLER COUNT OF CONTRACTS, UH, THE CONTRACTS AND CAPITAL CONTRACTING REPRESENT A LARGE PORTION OF THE SPEND, UM, ON A PER CONTRACT BASIS.

UM, THE COUNTS IN PURCHASING OFFICE ALSO INCLUDE CONTRACTS THAT WERE CREATED OUTSIDE OF THE PURCHASING OFFICE, BUT WE SERVE AS THE ADMINISTRATIVE REPRESENTATIVE OF THOSE CONTRACTS, UM, BY PUTTING THEM INTO THE FINANCIAL SYSTEM THAT WOULD INCLUDE LEGAL SERVICES CONTRACTS, UH, CREATED BY THE LAW DEPARTMENT AND OTHER CONTRACTS CREATED BY DEPARTMENTS WHERE, AND THEY HAVE, UH, SPECIALIZED OR UNIQUE AUTHORIZATION.

UM, THEY PERFORMED OUTSIDE OF PURCHASING LAST YEAR, WE BROUGHT OVER 300 ITEMS TO COUNCIL, UM, INCLUDING OVER 250 FROM PURCHASING AND OVER 80 FROM CAPITAL CONTRACTING OFFICE.

NEXT SLIDE PLEASE.

SO IN TERMS OF PROCUREMENT AUTHORITY, CITY CHARTER AUTHORIZES THE CITY MANAGER TO, UH, WARD AND, AND, AND EXECUTE CONTRACTS UNDER $62,000 PER YEAR ABOVE THAT AMOUNT.

UH, THE CITY, UM, UH, UH, CHARTER REQUIRES THE, THOSE CONTRACTS TO BE AUTHORIZED BY COUNCIL.

THAT AMOUNT IS SUBJECT TO ANNUAL ADJUSTMENTS BASED ON THE CPI.

WE'VE JUST COMPLETED THE, UM, UH, UM, THE ANALYSIS FOR THE COMING FISCAL YEAR.

AND WE'LL BE ANNOUNCING THE NEW AMOUNT SHORTLY CINDY MANAGER, THEN DELEGATES PROCUREMENT AUTHORITY TO VARIOUS, UH, UM, OFFICES AND DEPARTMENTS UNDER ADMINISTRATIVE BULLETIN, 84 0 7.

UM, THE, UM, PRIMARY RECIPIENT OF THIS AUTHORITY IS THE PURCHASING OFFICE AND THE PURCHASING OFFICER, UM, INCLUDING THE AUTHORITY TO FURTHER DELEGATE TO OTHER OFFICES AND DEPARTMENTS.

UH, THERE IS ALSO A DELEGATION TO CAPITAL CONTRACTING OFFICE FOR CONSTRUCTION PROCUREMENT LAW FOR LEGAL SERVICES, EDD FOR DEVELOPMENT PROJECTS, AUSTIN POLICE FOR PROCUREMENT USING SEIZED FUNDS IN TERMS OF PROCEDURE.

THERE ARE SOME, UM, VERY, UM, BASIC PROCEDURE, UH, PRESCRIBED IN THE CHARTER ESSENTIALLY THAT, UH, WE COMPETE WHENEVER POSSIBLE, UM, UM, UM, CONTRACTS OVER $5,000.

AND THERE ARE SOME SPECIAL CONSIDERATION FOR PROFESSIONAL SERVICES CONTRACTS THAT WE NEED TO KEEP IN MIND.

THERE ARE MULTIPLE STATE PROCUREMENT STATUTES THAT APPLY TO OUR ACTIVITIES, AND THEY ARE, UM, OFTENTIMES WRITTEN IN ISOLATION WITHOUT CONSIDERATION OF THE VERBIAGE AND THE TERMINOLOGY AND THE OTHER STATUTE, SO THEY CAN OVERLAP.

UM, SOMETIMES THERE ARE SOME INTERPRETATION DIFFERENCES BECAUSE OF THE TERMINOLOGY DIFFERENCES.

SO, UH, WE ARE, WE, WE, THAT'S PART OF THE COMPLEXITIES OF, UH, PERFORMING PROCUREMENT AS A LOCAL GOVERNMENT, THE MULTIPLE STATUTES AND HOW THEY OVERLAP AND HOW THEY INTERPRET.

UM, WE HAVE, UM, A SUBSTANTIAL BODY OF CITY MUNICIPAL CODE, UM, FOR OUR MWB PROGRAM AND, UM, ONE OR TWO OTHER PROCUREMENT PROGRAMS, BUT NO GENERAL PROCUREMENT CODE.

WE HAVE A LARGE QUANTITY OVER 40 RESOLUTIONS OVER THE YEARS THAT HAVE IMPACTED, UH, THE CITY'S PROCUREMENT ACTIVITIES.

UM, IN TERMS OF MANUALS, UM, WE HAVE A NUMBER OF MANUALS, UH, PRIMARILY THE PROCUREMENT MANUAL MAINTAINED BY THE PURCHASING OFFICE.

CAPITOL CONTRACTING HAS ANOTHER SERIES OF PROCEDURES, AS WELL AS OTHER DEPARTMENTS THAT PERFORM PROCUREMENT AND PROCUREMENT LIFE FUNCTIONS HAVE THEIR OWN PROCEDURES AS WELL.

EXCELLENT.

SO OF THE MODELS THAT WE WOULD CONSIDER, AND THESE ARE, SHOULD BE THOUGHT OF MORE AS BEING ON A CONTINUUM AND NOT, UH, ANY, ANY SPECIFIC MODEL THAT WE WOULD BE, OR ANOTHER ORGANIZATION WOULD BE AT ANY GIVEN TIME, UM, EMERGING, UM, GOVERNMENTS, SMALL, TYPICALLY SMALLER IN SIZE, TYPICALLY FOCUSED ON GROWTH AND, AND, AND BEING, UM,

[01:40:01]

RESPONSIVE TO THE GROWING NEEDS OF THEIR CONSTITUENTS ARE TYPICALLY DE-CENTRALIZED EACH MEANING.

EACH ORGANIZATIONAL UNIT IS GOING TO PERFORM PROCUREMENT TO MEET ITS NEEDS.

TYPICALLY THERE'S NOT GOING TO BE ANY CENTRAL REGULATION FOR PROCUREMENT, OTHER THAN, UH, APPLICABLE STATUTES.

THE ORGANIZATIONS WILL TYPICALLY ASSIGN PROCUREMENT TO, UH, PERSONS TO PERFORM AS NEEDED, UH, WHEN NEEDED.

TYPICALLY THESE PERSONS ARE NOT SPECIALIZED.

AND SO THERE IS NOT A LOT OF, UH, PROCEDURAL STANDARDIZATION ACROSS THE UNITS.

UM, BUT THIS, THIS, UM, MODEL DOES ALLOW FOR A HIGH DEGREE OF, UH, CUSTOMER BUSINESS INTEGRATION BECAUSE THE PERSON OR THE PERSONS, UH, PERFORMING PROCUREMENT ARE LOCATED WITHIN EACH UNIT.

AND, UH, AS A RESULT, THERE'S HIGHER SITUATIONAL AGILITY.

NEXT SLIDE, AS THE, AS THE ORGANIZATIONS GROW, UM, THERE IS A GREATER NEED FOR STANDARDIZATION ACROSS THE ORGANIZATION.

SO, UM, MANY CITIES, LOCAL GOVERNMENTS, AND SIMILAR GOVERNMENTS WILL, AT SOME POINT CENTRALIZE THEIR PROCUREMENT BUSINESS FUNCTION TO BE DONE BY A CENTRAL UNIT.

THIS INCREASES THE ABILITY OF THE STAFF TO SPECIALIZE.

IT ALSO INCREASES PROCEDURAL STANDARDIZATION.

THERE'S A LOT MORE RELIABILITY AND COMPLIANCE WITH POLICY OBJECTIVES, UH, USING THIS MODEL.

UM, THERE IS A, UH, A LESSENING IN A CONSUMER BUSINESS, A CUSTOMER BUSINESS INTEGRATION, AS WELL AS SITUATIONAL AGILITY AGAIN, BECAUSE ALL OF THE BUSINESS FUNCTION FOR THE ORGANIZATION IS GOING THROUGH US IN THE OFFICE.

UM, ALTHOUGH WE ARE NOT 100% CENTRALIZED, WE ARE VERY CENTRALIZED.

AND SO THIS IS THE MODEL THAT WE WOULD CURRENTLY BE THE MOST SIMILAR TO NEXT SLIDE, PLEASE.

SO YOU'RE THE LARGEST AND MOST DEVELOPED ORGANIZATION.

UH, GOVERNMENT ORGANIZATIONAL MODELS ARE GOING TO HAVE, UM, WHAT WE REFER TO IN THE PROFESSION AS A, AS A HYBRID DISTRIBUTED, UM, UM, UM, ORGANIZATION.

AND THIS IS WHERE A CENTRAL UNIT, UM, WOULD BE RESPONSIBLE FOR THE LEADERSHIP OF THE BUSINESS FUNCTION ON BEHALF OF THE REST OF THE ORGANIZATION, THE CENTRAL UNIT, HOWEVER, WOULD NOT PERFORM ALL OF THE PROCUREMENT.

RATHER THEY WOULD FOCUS ON THOSE THINGS THAT THEY WOULD DO OR BE BEST SUITED TO DO, AND THEN TO PROVIDE GUIDANCE AND SUPPORT FOR THE REST OF THE ORGANIZATION, THAT IT MADE MORE SENSE FOR THEM TO PERFORM THAT BUSINESS FUNCTION.

SO THE CENTRAL UNIT WOULD PROVIDE ORGANIZATION-WIDE CONTRACTS OR WHAT THE FEDERAL GOVERNMENT REFERS TO AS GOVERNMENT WIDE OR G WHACK CONTRACTS.

THE STATE WOULD REFER TO AS, AS STATEWIDE WE REFERRED TO AS CITY-WIDE CONTRACTS.

UM, THE CENTRAL UNIT WOULD ALSO SUPPORT SMALLER, UH, UM, DEPARTMENTS AND, OR THOSE DEPARTMENTS THAT WERE LESS CONTRACT RELIANCE.

SOME OF THE MISSIONS OF THE VARIOUS DEPARTMENTS, THEY JUST DON'T CONSUME A LOT OF CONTRACTS.

SO IT DOESN'T, IT WOULD NOT MAKE SENSE FOR THEM TO, UM, MAINTAIN RESOURCES TO PERFORM TWO OR THREE SOLICITATIONS PER YEAR.

THEY WOULD NOT MAINTAIN THE, UH, THE BUSINESS PROCESS KNOWLEDGE OR THE, OR THE EXPERIENCE NECESSARY TO, TO, TO, UH, PERFORM THESE FUNCTIONS.

UM, CONSISTENTLY, UM, THE CENTRAL UNIT WOULD ALSO BE RESPONSIBLE FOR PROCEDURES, TRAINING, AND COMPLIANCE.

THEN THE SPECIFIED UNITS, UH, WOULD PROVIDE THEIR OWN PROCUREMENT SERVICES.

SO WE'RE NOT, WE'RE NOT REFERRING TO ALL OF THE DEPARTMENTS PERFORMING THEIR OWN PROCUREMENT SERVICES, BUT RATHER THOSE WHERE IT MADE SENSE FOR THEM TO PERFORM THEIR OWN PROCUREMENT SERVICES.

CHARACTERISTICS OF THIS MODEL WOULD BE HIGHER STAFF PROCUREMENT SPECIALIZATION, BECAUSE THE PROCUREMENT WOULD BE DONE IN THE CENTRAL OFFICE, AS WELL AS THOSE UNITS WHERE IT MADE SENSE, AND THEREFORE THEY WOULD HAVE THE SAME STANDARD, UH, SPECIALIZED STAFF AS, UH, AS WOULD BE AVAILABLE IN THE CENTRAL OFFICE.

UH, WE WOULD BE ABLE TO PRESERVE HIGHER PROCEDURAL STANDARDIZATION AS WELL AS CUSTOMER BUSINESS INTEGRATION AND SITUATIONAL AGILITY, NEXT SLIDE.

SO THAT BRINGS US TO AUSTIN PROCUREMENT THREE DOT O, AND THAT'S REALLY WHERE THE TERMINOLOGY, THE TERM CAME FROM AP 3.0, IT'S JUST A, A BRANDING WAY TO HELP US QUICKLY IDENTIFY OUR LONGTERM STRATEGY TO TRANSITION THE CITY'S PROCUREMENT BUSINESS FUNCTION TO A HYBRID DISTRIBUTED LARGE GOVERNMENT PROCUREMENT ORGANIZATIONAL MODEL DRIVERS FOR THIS LONG-TERM STRATEGY WOULD BE TO FACILITATE CONTINUED GROWTH IN SIZE AND OR

[01:45:01]

IN SCOPE OF PROGRAMS TO ADDRESS THE INCREASINGLY UNIQUE, UNIQUE CONTRACTUAL NEEDS AND OR RELIANCE ON CONTRACTS BY THE DEPARTMENTS.

IT RECOGNIZES THAT DEPARTMENTS HAVE DIFFERENT OPERATIONAL VELOCITIES.

SOME OF THEM NEED TO MOVE FASTER THAN OTHERS.

SOME OF THEM ARE, ARE, ARE PRODUCTION ORIENTED AND HAVE DIFFERENT CONTRACTUAL NEEDS IN TERMS OF TIMELINESS THAN OTHER DEPARTMENTS.

IT ALSO ALLOWS US TO MAINTAIN AGILITY AND RESPONSIVENESS TO EMERGENCY CONDITIONS AS WE HAVE INCREASINGLY EXPERIENCED OVER THE LAST FEW YEARS.

SO THERE ARE THREE MAJOR ELEMENTS OF MANAGEMENT, WHICH WE RECOMMEND TO BE CENTRALIZED, TO CONTINUE TO BE CENTRALIZED SYSTEMS, WHICH WE, UM, AS, AS WE POINTED OUT IN OUR MANAGEMENT RESPONSE TO THE PREVIOUS, UH, AUDIT, WE RECOMMEND THAT WE CONTINUE TO CONSOLIDATE AND CENTRALIZE OUR SYSTEMS AND ORGANIZATION, WHICH THAT IS THE, UM, THE FUNDAMENTAL ASPECT OF AP THREE DOT O THAT IS THE DEPARTURE FROM OUR PAST ACTION WHERE WE ARE NOW RECOGNIZING THAT AS WE GROW THE CITY'S PROCUREMENT BUSINESS FUNCTION WILL FUNCTION BETTER IF WE ALLOW FOR STRATEGIC AND PURPOSEFUL DISTRIBUTION OF THIS FUNCTION, TO THOSE DEPARTMENTS WHERE IT MAKES THE MOST SENSE TO DO SO NEXT SLIDE.

SO FOR THOSE THREE SECTIONS MANAGEMENT, WE WOULD RECOMMEND THAT PROCUREMENT PROGRAMS, POLICIES, AND PROCEDURE TRAINING, AND COMPLIANCE STAY WITH A CENTRAL OFFICE BY THAT WE'RE REFERRING TO FINANCIAL SERVICES DEPARTMENT SYSTEMS THAT WE CONTINUE TO CONSOLIDATE THEM IN TERMS OF THE VARIOUS APPLICATIONS THAT WE USE, AS WELL AS THE HELP DESK SUPPORT.

IF WE WERE NOT FOCUSING ON THESE SYSTEMS, THE DEPARTMENTS THAT WE MIGHT CONSIDER DELEGATING OR EMBEDDING STAFF, AND MAY START TO ESTABLISH THEIR OWN PROCUREMENT SYSTEMS, THEIR OWN CONTRACT MANAGEMENT SYSTEMS, FURTHER COMPLICATING OUR ABILITY TO MANAGE THIS FUNCTION CONSISTENTLY ACROSS THE ORGANIZATION.

SO A KEY COMPONENT OF AP THREE DOT O IS TO HAVE THE SYSTEMS OVERSEEING OUT OF THE, THE, UH, CENTRAL OFFICE OR THE, OR THE, UH, FSD AND THEN THE ORGANIZATION TO ESTABLISH MECHANISMS TO ALLOW FOR, AND ENABLE THE DISTRIBUTED PERFORMANCE OF, UH, UM, PROCUREMENT BUSINESS FUNCTION ACROSS THE CITY THAT HAVE FSD TO PROVIDE GENERAL PROCUREMENT SERVICES TO ALL DEPARTMENTS, INCLUDING CITY-WIDE CONTRACTS AND CATEGORY MANAGEMENT, AS WELL AS PROVIDING PROCEDURES, TRAINING, AND PROCUREMENT COMPLIANCE, WE WOULD THEN SUPPORT THE GENERAL DEPARTMENTS WOULD, WHICH WOULD BE THE MAJORITY OF DEPARTMENTS AND OFFICES ACROSS THE CITY AS WE DO NOW, BUT THEN WOULD CREATE A PROCEDURE AND, AND ENABLE CERTAIN DEPARTMENTS WHERE IT MADE SENSE FOR THEM TO TRANSITION TO TOWARDS A DEPARTMENT DEDICATED STAFF, TO HAVE FSD STAFF LOCATE IN THEIR, IN THEIR BUILDING, IN THEIR PROGRAMS AND WORK ALONGSIDE THEM, UM, PROVIDING SINGLE SINGLE DEPARTMENT CONTRACTING SUPPORT, UM, AS WE REFER TO AS EMBEDDED DEPARTMENTS, AN EXAMPLE OF WHICH WOULD BE THE FSD PROCUREMENT GROUP, UH, THAT SUPPORTS AUSTIN ENERGY IS LOCATED WITHIN AUSTIN ENERGY'S ORGANIZATION AND SUPPORTS AUSTIN ENERGY AS OPPOSED TO SUPPORTING OTHER DEPARTMENTS, WHICH IF YOU WERE IN THE PURCHASING OFFICE, UH, IN THE MUNICIPAL BUILDING, UM, UM, AND OVER AT CTM, YOU WOULD BE SUPPORTING ALL DEPARTMENTS AND THEN ALSO ENABLING CREATING, UM, UH, PROCEDURE AND SUPPORT FOR DELEGATED DEPARTMENTS OR DEPARTMENTS THAT WOULD BE PERFORMING PROCUREMENT SERVICES ON THEIR OWN USING THEIR OWN STAFF, BUT SUBJECT TO OUR SUPPORT.

NEXT SLIDE.

SO AGAIN, GENERAL DEPARTMENTS FSD PROVIDE SINGLE DEPARTMENT CONTRACTS, FSD REPRESENTS THE RCAS TO COUNSEL EMBEDDED DEPARTMENTS.

FSD WOULD PROVIDE SINGLE DEPARTMENT CONTRACTS.

WE WOULD PROVIDE DEPARTMENT ASSIGNED STAFF AND FSD WOULD CONTINUE TO REPRESENT THE ITEMS TO COUNCIL DELEGATED DEPARTMENTS DEPARTMENT WOULD PROVIDE THEIR OWN SINGLE DEPARTMENT CONTRACTS.

THEY WOULD STILL USE CITY-WIDE CONTRACTS AND OTHER CONTRACTS THAT WE DETERMINED THERE WOULD BE BENEFIT BY THEM USING, UM, AND, AND, AND NOT CREATING THEIR OWN CONTRACTS, BUT TO THE EXTENT THAT THEY WERE CONTRACTING FOR THEMSELVES FOR UNIQUE PRODUCTS AND SERVICES, AND IT WAS TO THE CITY'S GENERAL BENEFIT THAT THEY DO.

SO WE WOULD THEN FREE THEM TO CREATE THEIR OWN SINGLE DEPARTMENT CONTRACTS.

THOSE ITEMS WOULD THEN GO UNDER THOSE DEPARTMENTS ELEMENT, UH, ASPECTS OF THE,

[01:50:01]

UH, THE, UH, COUNCIL AGENDA, UM, THAT WOULD GO BEFORE CITY COUNCIL, WE WOULD THEN PROVIDE COMPLIANCE SUPPORT FOR THOSE DEPARTMENTS TO ENSURE THAT THEY WERE NOT SUBJECT TO, UM, UH, ANY AUDIT FINDINGS OR, OR COMPLIANCE ISSUES IN THE FUTURE, BECAUSE WE WOULD BE DELEGATING AUTHORITY TO THEM.

WE WOULD HAVE AN ONGOING RESPONSIBILITY TO ENSURE THAT THEY WERE CONTINUING TO PERFORM.

SO IT WOULD NOT BE LIKE WE WERE DELEGATING TO THEM, AND THEN THEY WOULD BE OFF ON THEIR OWN.

UM, UM, WE WOULD CONTINUE TO PROVIDE SUPPORT, UM, THROUGHOUT THE YEAR TO MAKE SURE THAT THEY WERE PERFORMING PROCUREMENT AS WE WOULD HAVE PERFORMANCE.

HAD WE NOT DELEGATED IT TO THEM.

NEXT SLIDE.

SO PROGRESS TODAY.

UM, AND ONE OF THE REASONS WHY I WANTED TO MAKE SURE THAT SHAWN WAS WITH US AT THIS PRESENTATION THIS MORNING, WE HAVE REALIGNED THE PURCHASING OFFICE STAFF TO CONTRACT CATEGORY ASSIGNMENTS.

UM, WHEN I JOINED THE CITY OF, OF, UM, OVER SIX YEARS AGO, UM, OUR STAFF WERE ASSIGNED TO, UM, INDIVIDUAL DEPARTMENTS.

AND THAT IS, THAT IS A COMMON ORGANIZATIONAL, UM, APPROACH TO, UM, SUPPORTING MULTIPLE CUSTOMERS.

UM, WELL, THERE ARE SOME BENEFITS THERE IN TERMS OF KNOWLEDGE OF THE OPERATIONS OF THE DEPARTMENT, KNOWLEDGE OF THE, THE PERSONNEL WITHIN THE DEPARTMENT.

THE DOWNSIDES OF, OF THIS IN A PROCUREMENT ENVIRONMENT IS THAT WE CAN OFTEN CREATE THE SAME KINDS OF CONTRACTS FOR DIFFERENT DEPARTMENTS, UM, USING DIFFERENT STAFF WITH DIFFERENT AREAS OF SPECIALIZATION AND, AND, AND EXPERIENCE.

WE MAY END UP WITH THE SAME KINDS OF CONTRACTS WITH THE SAME CONTRACTORS SOMETIMES AT DIFFERENT PRICING.

AND WE'RE NOT ABLE TO TAKE ADVANTAGE OF THE VOLUME BETWEEN THE TWO DEPARTMENTS.

SO OVER THE LAST COUPLE OF YEARS, WE HAVE TRANSITIONED, UM, TO WHAT YOU WILL TYPICALLY SEE IN A LARGER PROCUREMENT ORGANIZATION AT THE FEDERAL STATE AND LARGE GOVERNMENT LEVEL, UM, TO A CATEGORY ALIGNED SIMONS.

WE WERE ALREADY PARTIALLY CATEGORY.

IT'S NOT, WE HAD A TEAM OF STAFF THAT, UM, PERFORMED ALL OF THE IT CONTRACTS, UM, AS YOU KNOW, CAPITAL CONTRACTING OFFICE, UM, DOES ALL OF THE CONSTRUCTION AND CONSTRUCTION RELATED TO PROFESSIONAL SERVICE CONTRACTS.

THEY WERE ALREADY CATEGORY ALIGNED.

WE SIMPLY COMPLETED THE CATEGORY ALIGNMENT BY REASSIGNING OUR STAFF TO SPECIFIC CATEGORIES OF CONTRACTS, INDUSTRIAL MRO, HEALTH, AND SAFETY CONTRACTS, UM, AND SO FORTH.

WE ALSO DIFFERENTIATED OUR TO DEPUTY PROCUREMENT OFFICERS, WHEREAS BEFORE THEY WERE OVER GROUPS OF PROCUREMENT STAFF THAT WERE DEDICATED TOWARDS SPECIFIC DEPARTMENTS, RATHER NOW, ONE IS PRIMARILY OVER OPERATIONS AND OVER THE MAJORITY OF OUR PROCUREMENT STAFF AND THE OTHER IS OVER POLICY IN TERMS OF PROGRAMS, UM, UM, PROCEDURE, UH, TRAINING AND COMPLIANCE.

AND SO THE POLICY CHAIRMAN DEPUTY FOR THE, THE CITY IS SEAN WILLETT, WHO IS WITH US IN THE, UH, PRESENTATION THIS MORNING.

NEXT STEPS WILL BE TO CONSOLIDATE OUR VARIOUS SOURCES OF REGULATION.

UH, WE HAVE ALREADY STARTED THE FRAMEWORK FOR UPDATING OUR PROCUREMENT MANUAL AND IDENTIFYING THOSE PORTIONS OF OUR REGULATION THAT WOULD BENEFIT BY INCLUDING IN MUNICIPAL CODE.

THAT IS THE FOUNDATION OF WHICH WE WOULD BE COMING BACK TO YOU ASKING FOR AUTHORIZATION OF CERTAIN, UM, UH, ORDINANCES AND CODE THAT WOULD BETTER ENABLE OUR ONGOING OPERATIONS.

UM, FOR EXAMPLE, INTERPRETING, UM, UH, STATUTE, UM, IT COULD BE SUBJECT TO MULTIPLE INTERPRETATIONS.

WE WOULD LIKE TO INTERPRET IT ONE WAY.

SO WE WOULD BRING FORWARD A, UH, UH, A, UH, UM, A CODE, AN ORDINANCE REQUEST TO YOU WHERE COUNCIL COULD PROVIDE US THAT CLARIFICATION SO THAT WE WERE, WE WERE APPLYING THAT INTERPRETATION, UH, CONSISTENTLY.

UM, WE WOULD ALSO WANT TO CONTINUE OUR WORK ON CONSOLIDATING AND ANALYZING THE VARIOUS SYSTEMS THAT WE USE TO CONDUCT THE PR THE PROCUREMENT BUSINESS FUNCTION INTO A FEWER NUMBER OF SYSTEMS AND, UM, UH, LOOK AT, UH, OUR CONTINUED DEVELOPMENT OF SYSTEMS, AS OPPOSED TO, UM, UH, POSSIBLY MOVING TO A THIRD-PARTY OR COMMERCIALLY DEVELOPED SYSTEM.

UH, WE ALSO WANT TO EXPAND OUR PROCUREMENT TRAINING, UH, BECAUSE MOST PROCUREMENT IS CONDUCTED BY STAFF AND FINANCIAL SERVICES DEPARTMENT.

A LOT OF OUR TRAINING CAN BE INWARDLY DIRECTED.

AND SO OUR TRAINING MATERIAL IS OFTENTIMES SPEAKING TO OURSELVES.

AND AS YOU KNOW, WHEN YOU SPEAK TO YOURSELF, YOU MAY SPEAK DIFFERENTLY TO THOSE THAT ARE OUTSIDE OF YOUR ORGANIZATION.

AND, AND, AND,

[01:55:01]

AND THEY DON'T HAVE THE OPPORTUNITY TO HAVE THE, ON THE JOB TRAINING OR SIDE-BY-SIDE EXPERIENTIAL LEARNING THAT WE CAN GIVE TO EACH OTHER.

AND A LOT OF WHAT YOU'LL SEE IN OUR, IN OUR MANUALS IS ASSUMING A SIDE-BY-SIDE EXPERIMENT, EXPERIENTIAL LEARNING.

SO WE ARE, UM, UM, LOOKING AT DEVELOPING OUR TRAINING PROGRAMS SO THAT WE CAN MORE EFFECTIVELY PROVIDE THESE SERVICES TO, UM, STAFF OUTSIDE OF FSD.

WE ALSO WANT TO BUILD OUT OUR PROCUREMENT COMPLIANCE PROGRAMS SO THAT WE ARE MONITORING, NOT JUST WHAT WE DO, BUT ALSO THE PROCUREMENT ACTIVITIES OF FORMED BY EMBEDDED AND DELEGATED DEPARTMENTS, SO THAT WE KNOW AT ANY TIME THAT THEY ARE AGAIN, UH, CONDUCTING PROCUREMENT AS WE WOULD HAVE CONDUCTED IT, WHERE WE, UM, STILL DOING IT ON THEIR BEHALF.

UH, WE WILL ALSO DEVELOP CRITERIA FOR DETERMINING WHICH DEPARTMENTS ARE SUITABLE FOR EMBEDDED AND DELEGATED, UH, PROCUREMENT ACTIVITIES, AND THEN SCHEDULE THE IMPLEMENTATION, UH, AND MOVEMENT TOWARDS, UM, THAT NEW STATUS.

SO THAT IS A VERY, VERY HIGH LEVEL OVERVIEW, UM, OF AP THREE DOT O AND M AND WHAT WE HAVE DONE THUS FAR IN MOVING US TOWARDS THAT OBJECTIVE, NEXT SLIDE.

SO IN SUMMARY CHAIRMAN, UH, ORGANIZATION OF THE CITY IS CURRENTLY PREDOMINANTLY CENTRALIZED.

A LONG-TERM STRATEGY IS TO TRANSITION TO A HYBRID DISTRIBUTED MODEL.

THERE ARE THREE ELEMENTS OF THIS MODEL.

UH, WE WILL FOCUS ON INCLUDING MANAGEMENT SYSTEMS AND OPERATIONS, THE BENEFITS TO CITY LEADERSHIP, INCLUDING INCREASED FOCUS ON PROCUREMENT MANAGEMENT, UH, PROCUREMENT SUPPORT AND CONTROLLED GROWTH.

WE WILL ALSO, UM, INTEND TO MAINTAIN STANDARDIZATION AND POLICY EFFECTIVENESS AS WE DISTRIBUTE THESE ACTIVITIES ACROSS THE ORGANIZATION.

AND WITH THIS, WE HOPE TO ACHIEVE, UM, GREATER FLEXIBILITY, UM, AND ABILITY TO MEET THE VARYING NEEDS OF THE DEPARTMENT.

NEXT SLIDE.

SO WOULD THAT, I, UH, I'M OPEN AND AVAILABLE FOR ANY QUESTIONS THAT YOU MAY HAVE, UH, COMMITTEE, CHAIR, OR MEMBERS OF THE COMMITTEE.

THANK YOU.

AND, UM, IF IT TAKES, ADAM CAN SEE IF THEY CAN FIND A COUNCIL MEMBER TOBO WHO'S ON THE PHONE, SO SHE CAN BE BROUGHT OVER AS A PANELIST.

THAT'D BE GREAT.

THERE SHE IS.

OKAY.

OKAY.

UM, THANK YOU, MR. SCARBOROUGH FOR THIS OVERVIEW.

THIS IS A COMPLICATED AREA.

UM, CAN YOU SPEAK A LITTLE BIT SPECIFICALLY TO HOW THIS REFORM WOULD HELP US TO, YOU KNOW, EXPEDITE SOME OF THE CONTRACT PROCESSES WHERE, YOU KNOW, NOW SOMETHING CAN TAKE NINE MONTHS TO GET THROUGH THE SYSTEM AND, AND SORT OF JUST SPEAKING, YOU KNOW, VERY SPECIFICALLY TO HOW THIS WILL IMPACT OUR SPEED AND AGILITY? YES.

WELL, WHEN WE LOOK AT A, A PROCUREMENT PROCESS, UM, THERE ARE, UM, A NUMBER OF ELEMENTS, AS YOU KNOW, AND THEN THERE ARE A NUMBER OF PERSONS AND, AND, UM, ENTITIES THAT ARE INVOLVED IN THAT PROCESS AT DIFFERENT STAGES.

IF WE LOOK AT A, A, A GIVEN STANDARD, UM, UM, PROCUREMENT PROCESS, ASSUMING IT WAS COMPETITIVE, UM, WHAT WE SEE THE LONGEST AMOUNT OF TIME IS THAT THE IN, IN THAT PROCESS IS THE DEVELOPMENT OF REQUIREMENTS.

OFTENTIMES WHEN WE DEVELOP REQUIREMENTS THAT GO INTO SOLICITATIONS, WE ARE BOTH DESCRIBING WHAT WE NEED IN THE RESULTING CONTRACT, BUT WE ARE ALSO, UM, ARE ARTICULATING THOSE REQUIREMENTS SO THAT WE CAN ACHIEVE COMPETITION IN THE SOLICITATION AND SOMETIMES WHAT YOU WANT IN THE RESULTING CONTRACT.

AND WHAT YOU DESCRIBED THOSE WANTS IN THE COMPETITIVE DOCUMENT ARE KIND OF HARD TO, UM, ASSEMBLE.

SO WHEN WE ARE PUTTING TOGETHER A SOLICITATION, THAT IS USUALLY THE LONGEST TIME IT TAKES TO DEVELOP, UM, UH, OUR LONGEST PERIOD OF TIME IN A PROCUREMENT PROCESS.

THE SECOND LONGEST PERIOD OF TIME IS AFTER THE AWARD RECOMMENDATION IS MADE UP THROUGH COUNCIL AUTHORIZATION.

AS YOU KNOW, THERE ARE A NUMBER OF REVIEWS THAT THESE RECOMMENDATIONS GO THROUGH A NUMBER OF BOARDS AND COMMISSIONS, UH, THAT THEY GO THROUGH FOR CITY-WIDE CONTRACTS OR CONTRACTS THAT ARE USED BY MULTIPLE DEPARTMENTS.

THOSE ITEMS MAY GO THROUGH MULTIPLE BOARDS AND COMMISSIONS, AND SIMPLY GETTING ON THEIR AGENDA CAN TAKE SEVERAL WEEKS IF NOT MONTHS.

SO THIS WOULD FREE THE CENTRAL OFFICE UP, OR THE FINANCIAL SERVICES UP, UM, TO BACK AWAY FROM CONDUCTING ALL OF THE PROCUREMENT PROCESSES FOR THE DEPARTMENTS, BUT TO FOCUS ON THE PROCESS ITSELF THAT WE DO AND THAT THE OTHER DEPARTMENTS DO TO LOOK FOR

[02:00:01]

AND ACHIEVE EFFICIENCIES WHEREVER POSSIBLE.

SO, SO WHEREAS NOW WE'RE MORE, WE'RE MORE PRODUCTION ORIENTED.

WE ARE MORE PROCESS ORIENTED.

UM, UM, WE ARE SPENDING LESS TIME LOOKING AT THE, THE OVERALL OPERATIONS AND LESS TIME LOOKING AT THE MANAGEMENT AND THE EFFICIENCY OF THESE OPERATIONS, BECAUSE WE ARE IN THE DAY-TO-DAY, UM, ACTUAL ACTIVITY OF CONDUCTING THESE PROCUREMENT.

THAT IS OUR PRIORITY.

AS WE START TO DELEGATE SOME OF THESE THINGS OUT TO THE DEPARTMENT, WE WILL HAVE THE RESOURCES AND THE, THE MANAGEMENT PRIORITY TO FOCUS ON HELPING THE OVERALL ORGANIZATION BE MORE EFFICIENT THAT WILL FREE US UP TO BE ABLE TO MAKE THESE PROCESS AS OPTIMAL AS POSSIBLE.

THANK YOU WHAT RESOURCES WILL BE NEEDED IN THIS PROCESS IN TERMS OF ADDITIONAL STAFF.

THAT IS, THAT'S ONE OF THE BENEFITS OF THE, UH, THE MOVE TO HYBRID DELEGATED.

IF WE WERE TO CONTINUE TO PROVIDE ALL OF THE PROCUREMENT SERVICES FOR THE CITY, THEN WE WOULD NEED TO GROW AT THE SAME SCALE AS THE CITY GROWS, BOTH IN TERMS OF THE NUMBER OF CITY STAFF AND THE NUMBER OF CITIZENS THAT WE SERVE, WE WOULD QUICKLY BECOME THE LARGEST, UM, SEC SEGMENT OF THE STAFF AND THE FINANCIAL SERVICES DEPARTMENT.

AND AT SOME POINT WE MIGHT ACTUALLY BE LARGER THAN THE FINANCIAL SERVICE DEPARTMENT ITSELF AND, AND WHAT YOU SEE, WHAT, WHAT WE SEE IN OUR COLLEAGUES AND THE LARGER GOVERNMENTS AND THE GOVERNMENT THAT, THAT THE GOVERNMENTS THAT I WORKED FOR IN THE PAST THAT WERE LARGER THAN THE CITY OF AUSTIN IS, IS THE CENTRAL OFFICE DOESN'T SCALE TO THE SIZE OF THE REST OF THE ORGANIZATION, BECAUSE THE REST OF THE ORGANIZATION, THEY DON'T MOVE AT THE SAME SPEED.

THEY'RE NOT ALL, ALL DEPARTMENTS ARE NOT THE SAME SIZE.

SO AS THE, THE, UH, ENTERPRISE DEPARTMENTS MAY GROW FASTER, MAY HAVE MORE VARIETY OF SOURCES OF FUNDING.

THE GENERAL FUND DEPARTMENTS MAY NOT GROW AS FAST.

AND SO IF WE HAVE DEPARTMENTS THAT ARE, ARE MOVING AT A CERTAIN CLIP, AND WE HAVE OTHER DEPARTMENTS THAT ARE MOVING AT A, AT A, AT A SLOWER CLIP, WE HAVE TO SUPPORT THEM ALL.

THAT MEANS THAT WE WOULD HAVE TO HAVE SOME OF OUR FOLKS MOVING AT A FASTER PACE THAN OTHER FOLKS.

AND, AND THERE THERE'S A POINT OF DIMINISHING RETURNS THERE.

SO WE WOULD IDENTIFY THOSE DEPARTMENTS AS BENEFITING BY HAVING THEIR OWN STAFF, THEREFORE FREEING US UP, NOT TO NEED TO CONTINUE TO GROW AT THE RATE THAT WE WERE PREVIOUSLY GROWING.

SO THE BENEFIT FOR US FROM A STAFFING MODEL WOULD BE, WE WOULD NOT NEED TO ADD ADDITIONAL STAFF.

RATHER.

WE WOULD BE ABLE TO REPURPOSE OUR EXISTING STAFF TO FOCUS MORE ON THOSE CENTRAL SUPPORT SERVICES AND LESS ON THE PRODUCTION ACTIVITY THAT WE WOULD BE DELEGATING OUT TO THE OTHER DEPARTMENTS.

NOW, THE OTHER DEPARTMENTS MAY NEED ADDITIONAL STAFF.

WE WOULD NOT.

AND SO, SO WE SEE THAT AS A, AN EFFICIENCY FOR THE CITY OVERALL.

UM, UH, IT WOULD PREVENT ME FROM BUILDING A PROCUREMENT EMPIRE, OF COURSE, BUT IT WOULD BE A BENEFIT TO THE CITY BECAUSE WE WOULD NOT NEED TO INCREASE OUR STAFF AS THE CITY STAFF INCREASED.

THANK YOU.

AND ONE LAST QUESTION, BEFORE I OPEN IT UP, HOW DOES THIS FIT IN WITH THE WORK THAT YOU'VE BEEN DOING TO CONSOLIDATE CERTAIN CONTRACTS AND, UM, RATIONALIZE SOME OF THAT SO THAT, UM, WE'RE GETTING THE EFFICIENCIES OF THE ECONOMIES OF SCALE.

UM, BUT ALSO JUST, YOU KNOW, NOT EVERY DEPARTMENT HAS TO GO OUT AND DO A CONTRACT FOR X, IF MULTIPLE CONTRACTS ARE DOING X.

I KNOW WE TRADITIONALLY DO SOME OF THAT, BUT I KNOW THAT THAT'S ONE OF THE THINGS YOU'VE BEEN STEPPING UP ON.

YES.

UM, WHEN WE, WHEN WE WENT TO A CATEGORY LINE MODEL, UM, OUR INTENTION WAS TO STRIKE A BALANCE OR TO OPTIMIZE OR 80 20.

WE REALIZED THAT WE CANNOT ACHIEVE, OR WE CANNOT MEET THE NEEDS OF ALL THE DEPARTMENTS IN A, IN A GIVEN CONTRACT, BUT WE CAN VERY EFFECTIVELY MEET THE NEEDS OF MOST DEPARTMENTS IN A GIVEN CONTRACT.

THERE ARE GOING TO BE INSTANCES WHERE CERTAIN DEPARTMENTS HAVE REQUIREMENTS THAT ARE UNIQUE ENOUGH, THAT IT MAKES SENSE FOR THEM TO HAVE A STANDALONE CONTRACT.

SO HISTORICALLY WE HAVE BEEN CREATING THOSE STANDALONE CONTRACTS THAT RUN ALONGSIDE THE WIDE CONTRACT.

SO WE'LL HAVE A CITY-WIDE CONTRACT FOR A GIVEN PRODUCT OR SERVICE, AND WE WILL HAVE A DEPARTMENT SPECIFIC CONTRACT FOR THAT FOR A SIMILAR SAME OR SIMILAR, UM, UH, PRODUCT OR SERVICE.

BUT THERE ARE SOMETHING UNIQUE IN THAT CONTRACT THAT, THAT, THAT NECESSITATES DOING.

SO THAT PARTICULAR SCENARIO IN A HYBRID DISTRIBUTED MODEL, WE WOULD HAVE THAT DEPARTMENT CONDUCT THAT CONTRACT, BUT THEY WOULD HAVE THE BENEFIT OF THE GUIDANCE AND THE EXPERTISE AND THE RESOURCES AND TOOLS OF THE CATEGORY MANAGER THAT WAS RESPONSIBLE FOR THE CITY-WIDE CONTRACTS UNDER, UNDER A CATEGORY ALIGNED PER, UM, UM, MODEL.

EACH CATEGORY HAS A CATEGORY OWNER WHO IS RESPONSIBLE FOR THAT PORTFOLIO

[02:05:01]

CONTRACTS IN THAT, IN THAT LINE OF BUSINESS THAT ALLOWS THEM TO SPECIALIZE, TO DEVELOP UNIQUE KNOWLEDGE ABOUT THE MARKET AND UNIQUE KNOWLEDGE ABOUT THE CONTRACTORS SUPPLIERS IN THAT MARKET, AND TO LOOK ACROSS MULTIPLE CONTRACTS WHEN MAKING A SINGLE CONTRACT DECISION.

SO IF WE WERE TO THEN ALLOW A DELEGATED DEPARTMENT, OUR EMBEDDED DEPARTMENT TO DO THEIR OWN CONTRACT FOR SOMETHING THAT WAS IN A GIVEN CATEGORY, THEY WOULD NOT BE DOING SO OUT BY THEMSELVES WITHOUT ANY MARKET INTELLIGENCE OR ANY ADVISEMENT OR RESOURCES, THEY WOULD HAVE THE BENEFIT OF THE CATEGORY OWNER THAT WOULD BE, UM, RESIDING IN THE, UH, CENTRAL OFFICE IN, UH, FSP.

THANK YOU, UM, COLLEAGUES TO OTHER FOLKS HAVE ANY QUESTIONS AT THIS POINT.

OKAY.

UM, ONE LAST, WHEN WILL THE ORDINANCES BE COMING TO COUNCIL? WHEN ARE YOU ANTICIPATING TO BE READY FOR THAT? YES, MA'AM.

AS, AS WE PROCEED, UM, WE HOPE TO FLESH OUT A MORE CLEAR PROJECT PLAN WITH A CRITICAL PATH THAT WILL TOUCH ON THE VARIOUS, UH, ELEMENTS, UH, UM, THAT WE HAVE TO ADDRESS.

WE WOULD LIKE TO IN SUBSEQUENT UPDATES TO THE AUDIT FINANCE COMMITTEE, SHARE THAT PROJECT PLAN WITH YOU, UH, INCLUDING, UH, THE GENERAL DATES FOR THOSE ACTIVITIES.

WE ARE ACTIVELY NOW WORKING ON UPDATING OUR PROCUREMENT MANUAL, WHICH WILL INCLUDE STATE PROCUREMENT STATUTES, CITY CHARTER, EXISTING ORDINANCES, NEEDED ORDINANCES AND RULES, UM, EXISTING ADMINISTRATIVE BULLETINS, AND NEEDED NEW OR CLARIFIED OR UPDATED ADMINISTRATIVE BULLETINS, ALONG WITH ALL THE POLICIES AND PROCEDURES THAT WOULD FALL UNDER THOSE GIVEN AREAS.

WE INTEND TO STRUCTURE THE MANUAL AND THEREFORE THE, THE ADMIT THE, UM, MUNICIPAL CODE THAT WE BRING, UH, FOR COUNCIL'S CONSIDERATION IN ACCORDANCE WITH THE AMERICAN BAR ASSOCIATIONS MODEL PROCUREMENT CODE AND THE 12 PLUS, UH, ARTICLES UNDER THAT CODE.

THIS WILL MAKE OUR PROCUREMENT REGULATIONS IMMEDIATELY RECOGNIZABLE TO, UM, ENTITIES THAT DO BUSINESS WITH GOVERNMENTS ACROSS THE COUNTRY, AND WE'LL MAKE IT SO THAT WE WILL BE ABLE TO GROW OUR ORGANIZATION INTO THE OTHER DEPARTMENTS, BY BRINGING IN NEW STAFF THAT ARE FAMILIAR WITH MODEL PROCUREMENT CODE AND CODE TERMINOLOGY, UH, SO THAT, UM, WE WILL NOT HAVE TO KIND OF OJT PEOPLE FROM SCRATCH TO TEACH THEM AUSTIN PROCUREMENT, RATHER THEY WILL RECOGNIZE CONCEPTS AND THE TERMINOLOGY THAT IS USED IN OUR PROFESSION ACROSS THE COUNTRY.

GREAT.

THANK YOU VERY MUCH.

APPRECIATE, UM, THE UPDATE AND, AND KEEPING US ABREAST OF WHAT'S GOING ON.

UM, SO COLLEAGUES, WE POSTPONED ITEM SIX.

THE LAST ITEM

[7. Identify items to be discussed at future meetings.]

IS ITEM SEVEN TO IDENTIFY ITEMS, TO BE DISCUSSED AT FUTURE MEETINGS.

UM, I UNDERSTAND THAT WE HAVE A, THE STRATEGIC FACILITIES, UM, GOVERNANCE TEAM WILL BE SPEAKING TO US, UM, AT OUR NEXT MEETING.

UM, AND OVER THE COURSE OF THE FALL, WE WILL BE DISCUSSING THE, THE AUDIT PLAN.

UM, WE ALSO LIKELY WILL WANT TO HEAR ABOUT THE LISTENING TO THE WORKFORCE SURVEY, WHICH WAS CONDUCTED THIS YEAR, WHICH SHOULD BE BACK AT SOME POINT THIS FALL.

UM, MS. STOKES, DID YOU WANT TO ADD ANYTHING? THE, UM, WE HAVE, UH, THE ITEM THAT WE HAVE IN SEPTEMBER FROM AN AUDIT PERSPECTIVE IS, UM, THE TECHNOLOGY PROCUREMENT ON IT.

UM, SO, SO WE'LL BE BRINGING THAT IN SEPTEMBER.

OTHER THAN THAT, UM, I THINK YOU'VE COVERED THE ITEMS THAT WE'RE EXPECTING AT THIS POINT THERE, YOU KNOW, THINGS ALWAYS POP UP BETWEEN NOW AND THEN MS. THOMAS, WAS THERE ANYTHING ELSE YOU WANTED TO ADD? OKAY.

ANY COLLEAGUES HAVE THINGS TO ADD? GREAT.

WELL, THANK YOU EVERYONE FOR INDULGING US THAT EXTRA 10 MINUTES THIS MORNING.

I THINK THAT WAS IMPORTANT PRESENTATION.

WE HAD A LOT ON OUR PLATE.

THANK YOU VERY MUCH.

IT IS NOW 1142.

AND WITH THAT, I WILL ADJOURN THE AUDIT AND FINANCE COMMITTEE MEETING.

THANK YOU.