DATE: October 18, 2016
TO: Board of Supervisors
SUBMITTED BY: Robert W. Bash, Director of Internal Services/Chief Information Officer
SUBJECT: Transfer of Funds/Assets and Close Out of Orgs for the Internal
Services Department
RECOMMENDED ACTION(S):
TITLE
1. Adopt Budget Resolution increasing the FY 2016-17 appropriations and estimated revenues in the Information Technology Services Org 8905 in the amount of $919,540 (4/5 vote);
2. Adopt Budget Resolution increasing the FY 2016-17 appropriations and estimated revenues in the Information Technology Services Equipment Org 8908 in the amount of $2,266,560 (4/5 vote);
3. Adopt Budget Resolution increasing the FY 2016-17 appropriations in the Graphic Communication Services Org 8920 in the amount of $312,900 (4/5 vote);
4. Adopt Budget Resolution increasing the FY 2016-17 appropriations in the Telecommunications Org 8930 in the amount of $490,550 (4/5 vote);
5. Adopt Budget Resolution increasing the FY 2016-17 appropriations in the Telecommunications Equipment Org 8931 in the amount of $1,691,450 (4/5 vote);
6. Adopt Budget Resolution increasing the FY 2016-17 appropriations in the Radio Operations Org 8932 in the amount of $116,090 (4/5 vote);
7. Adopt Budget Resolution increasing the FY 2016-17 appropriations in the Radio Equipment Org 8934 in the amount of $575,110 (4/5 vote); and
8. Approve and authorize the Auditor-Controller/Treasurer-Tax Collector and County Administrative Officer to execute all necessary documents related to the transfer and close out of Orgs 8920, 8930, 8931, 8932 and 8934.
REPORT
Approval of the recommended actions will allow the Internal Services Department (ISD) to transfer the funds/assets related to Graphic Communication Services Org 8920, Telecommunications Org 8930, Telecommunications Equipment Org 8931, Radio Operations Org 8932, and Radio Equipment Org 8934 and to complete the close out process resulting from the consolidation of functions into Information Technology Services Org 8905 and Information Technology Services Equipment Org 8908.
ALTERNATIVE ACTION(S):
If your Board does not approve the recommended actions, the Department will not be able to complete the transfer of funds/assets necessary to properly close out the now vacant budget Orgs 8920, 8930, 8931, 8932, 8934.
FISCAL IMPACT:
There is no increase in Net County Cost associated with the recommended actions. The first recommended action increases the FY 2016-17 appropriations and estimated revenues in the Information Technology Services Org 8905 in the amount of $919,540 through a Residual Equity Transfer In from Graphic Communication Services Org 8920 ($312,900), Telecommunications Org 8930 ($490,550), and Radio Operations Org 8932 ($116,090).
The second recommended action increases the FY 2016-17 appropriations and estimated revenues in the Information Technology Services Equipment Org 8908 in the amount of $2,266,560 through a Residual Equity Transfer In from Telecommunications-Equipment Org 8931 ($1,691,450) and Radio Equipment Org 8934 ($575,110). These funds will be utilized for the remodel project related to the building located at 333. W. Pontiac Way which the Information Technology Services division now occupies.
The third recommended action increases the FY 2016-17 appropriations in the Graphic Communication Services Org 8920 in the amount of $312,900 using retained earnings of the Graphic Communication Services, Fund 1050, Subclass 10000, to fund a Residual Equity Transfer Out to the Information Technology Services Org 8905.
The fourth recommended action increases the FY 2016-17 appropriations in the Telecommunications Org 8930 in the amount of $490,550 using retained earnings of the Communications, Fund 1080, Subclass 10000, to fund a Residual Equity Transfer Out to the Information Technology Services Org 8905.
The fifth recommended action increases the FY 2016-17 appropriations in the Telecommunications Equipment Org 8931 in the amount of $1,691,450 using retained earnings of the Communications, Fund 1080, General Equipment Subclass 19000, to fund a Residual Equity Transfer Out to the Information Technology Services Equipment Org 8908.
The sixth recommended action increases the FY 2016-17 appropriations in the Radio Operations Org 8932 in the amount of $116,090 using retained earnings of the Communications, Fund 1080, Radio Operations Subclass 10932, to fund a Residual Equity Transfer Out to the Information Technology Services Org 8905.
The seventh recommended action increases the FY 2016-17 appropriations in the Radio Equipment Org 8934 in the amount of $575,110 using retained earnings of the Communications, Fund 1080, Radio Equipment Subclass 19934, to fund a Residual Equity Transfer Out to the Information Technology Services Equipment Org 8908.
DISCUSSION:
Over the past couple of years, ISD has evaluated its processes within each division seeking to more effectively provide services to County departments. Due to changes in technology and to leverage the economies of scale within the larger organization, the Department recommended consolidation of some division Orgs for better operational continuity planning. The following information outlines the events that lead to today’s recommended actions:
On March 12, 2015, the Department released a Board Briefing Report (BBR) informing your Board of the intent to make an organizational adjustment by assimilating the Telecommunications Orgs 8930-31 into the Information Technology Services Orgs 8905-08. On April 21, 2015, your Board approved the Department’s salary resolution amendment request to transfer staff from the Telecommunications Org 8930 into the Information Technology Services Org 8905. Today’s recommended action numbers 4 and 5 provide the necessary appropriations to allow the transfer of funds.
On March 11, 2016, the Department released a BBR informing your Board of the intent to update the classifications in the Graphic Communications Org 8920 and consolidate the Org into the Information Technology Services Org 8905. On April 5, 2016, your Board approved the Department’s salary resolution amendment request to make the recommended modifications to the classifications and consolidate the positions from Graphic Communications Org 8920 into the Information Technology Services Org 8905. Today’s recommended action number 3 provides the appropriations to allow the transfer of funds.
On March 17, 2016, the Department released a BBR informing your Board of the intent to combine positions from Radio Operations Org 8932 into the Information Technology Services Org 8905. On April 12, 2016, your Board approved the Department’s salary resolution amendment request to move the positions from Radio Operations Org 8932 into Internal Services Org 8905 and delete Radio Operations Org 8932. Today’s recommended action numbers 6 and 7 provide the necessary appropriations to allow the transfer of funds from the Radio Operations Org 8932 and the Radio Equipment Org 8934 into the Information Technology Services Org 8905 and Org 8908, respectively.
Approval of the recommended actions will allow the Internal Services Department (ISD) to transfer the funds/assets and close out Orgs 8920, 8930, 8931, 8932, 8934 that were consolidated into Orgs 8905-08. Amounts not included in the Adopted FY 2016-17 budget for Information Technology Services are a result of consolidation efforts and the need for payment of ongoing costs related to day to day operations for the support of associated Information Technology Services.
REFERENCE MATERIAL:
BBR - Consolidation of Radio Operations Org 8932 into Internal Services Org 8905,
March 17, 2016
BBR - Consolidation of Graphic Communications Org 8920 into Internal Services Org 8905,
March 11, 2016
BBR - Assimilation of ISD-Telecommunications (Org 8930-31) into ISD-Information Technology
Division (Org 8905-08), March 12, 2015
BAI #29, April 12, 2016
BAI #34, April 5, 2016
BAI #35, April 21, 2015
ATTACHMENTS INCLUDED AND/OR ON FILE:
On file with Clerk - Budget Resolutions (Orgs 8905, 8908, 8920, 8930, 8931, 8932, 8934)
CAO ANALYST:
John Hays