+

Spafford Highway Committee Report

Town Board MeetingAugust 14, 2014

+Mission

Members: Make recommendations to improve the overall efficiency and effectiveness of the Town Highway department so as to aid in Town Board and Town Highway Superintendent decision-making.

Lou Hanlon Chair

Lee Springstead

Luke DeWitt

Mark Delaney

Kathy Bragg-Adams

+Key Issues

PESH recommendations were not fully implemented.

Current facility conditions in Town Highway facilities are below par. Though some issues are a result of structural issues over which the staff has no control, other issues may be a result of current work processes or practices that could be adjusted for better results.

Currently, there are no reserve funds available to support a capital building project.

The Town Board has questions about the current operating cost of the Highway Department, which appears to be the highest in Onondaga County.

+Highway Cost Comparison

Item Spafford Tully Fabius Otisco LaFayette Pompey

Highway Fund

$783,765 $594,549 $730,358 $1,045,818 $926,998 $1,462,590

Miles maintained/plowed

21 21.75 29.3 34.4 28.27 59

Plowed Miles: County

11 13.3 24.9 11.4 23.8 19.9

Plowed Miles: Total

32 35.06 45.1 45.8 52 78.9

Ratio: Local/County

1.91 1.64 1.18 3.02 1.19 2.96

Cost/mile $37,322 $27,336 $24,927 $30,402 $32,791 $24,790

Source: Tom Chartrand records

+Rough Budget Composition

+Highway Department Cost Trend

TAXCAP:1.5%,Then,Reductions

+Objectives

1. Assess and recommend the best approach to address the issues raised in the PESH report, in the Codes Enforcement Officer’s review of the Town Highway Garage, and in the Facilities Report by J. Fudo.

2. Determine the long-term viability of the Town Highway Garage building, and recommend the most efficient and effective way to address the structural, size and operational concerns.

3. Analyze cost drivers in the Highway Department; determine why Town of Spafford has the highest cost per mile of Onondaga County towns.

4. Evaluate equipment cost, maintenance and replacement processes and plans; make recommendations for improvements where needed

5. Evaluate road project planning, and make recommendations for process improvements where needed

6. Evaluate staff training and support needs

7. In the process of the overall assessment, identify potential opportunities for cost savings that would reduce or eliminate the need for tax increases to fund needed equipment and Town Highway Building projects.

+Project Process

+Assumptions/Point of View

Multiple constituencies

Friends and neighbors

Fresh eyes

Unique skills and experience

How can we help?

+Actions

1. Inspected Town Highway Garage and Storage Barn. Carl Wiers provided the tour and pointed out issues that were of concern to him and his employees.

2. Reviewed PESH and Codes Enforcement Officer inspection reports

3. Explored feasibility of adapting current facility for Town Highway Department needs. Produced concept drawings/sketches of potential alternatives

4. Inspected all town roads, culverts and bridges. Reviewed plans for highway maintenance and repair.

5. Reviewed maintenance records of selected pieces of town highway equipment. Prepared simple DRAFT spreadsheet tool to monitor time and expenditures.

6. Reviewed 2013 Highway expenditures; analyzed largest cost drivers.

7. Interviewed selected neighboring Town Highway Superintendents and visited their facilities.

8. Reviewed NY State Highway Laws and NY State Highway Superintendent Manual

9. (Two members) Attended Cornell Sponsored Highway School

10. Prioritized short and longer-term issues

11. Discussed findings…

+Categories

General

Budget Process

Buildings

Equipment

Operations

Shared Services

Human Resources

+Findings: General

Quality of workmanship is generally good to excellent.

Modern tools of management not in evidence, though manual records of equipment maintenance are kept, and all vouchers are filed.

Equipment and labor utilization is not tracked by project

Detailed reporting of Town Highway projects and activity is not usually provided to the Town Board or citizens of Spafford.

+Findings: Budget Process

Requests for funding during budget planning are not specific or project based, though requests for additional funding generally reference needs for new equipment or additional activity.

Some budget items have required additional unplanned funding during budget year

NY State mandated budget system for Town Highway departments not completely followed, specifically: No estimated cost per project No Section 284 Agreement with Town Board

+Findings: Buildings

Current building is too small, making maintenance on equipment difficult to accomplish in the available space, and making supply, equipment and tool organization a challenge.

Building facilities are drab and in disrepair.

Building cleanliness is subpar, when compared to other Town Highway buildings in nearby towns.

Progress has been made in addressing PESH and CEO findings; some issues are still outstanding.

+Findings: Equipment

Highway Department employees perform equipment maintenance regularly, and record in each machine’s binder

Receipts for external service and parts kept in binder, but total costs are not calculated

Equipment utilization by project is not monitored or maintained.

Data insufficient to determine optimal time to replace or overhaul equipment

Town of Spafford owns majority of equipment needed

+Findings: Machinery—Voucher totals for 2013

+Findings: Equipment Maintenance Sample

Interval Harvester Truck #1 (2000)

Maintenance

Parts/External Labor

Date Miles HoursMiles/Op Hr

Mtce Interv

Oil/FilterChange

Hyd Filter

Trans Filter

Fuel Filter Grease

Oil Change Work By Date Need Action Work By Miles Quant Cost Each Total

2/28/06 53230 3470 15.34 START y n y y y y J & D 12/7/05 Snow Wheels on Plow Install Snow Wheels on Plow 51000 0

7/2/06 56410 3970 14.21 500 y y y n y y Jody 12/7/05 TiresInstall 8 New Goodyear G177 Tires on Rear of Truck 51000 0

10/12/06 59669 4150 14.38 180 y y y y y y Jody 1/4/06 Batteries Install 3 New GP 31 Batteries 3 72.98 218.94

3/14/07 62422 4440 14.06 290 y n y y y y Jody 2/7/06 Clutch/Trans Overhaul Clutch/Trans 1 5394.34 5394.34

9/11/07 65560 4615 14.21 175 y y y y y y J & D 10/12/06 Brake/Hyd HoseAdjust Brakes and Replace Hyd Hose to pump from valve body side Jody 59669 0

2/8/08 68396 4854 14.09 239 y n y y y y J/D/M 9/11/07 eng oil pan gasket Install Dan/Jody 65560 0

12/1/08 73551 5152 14.28 298 y y y y y y Jody 11/15/07 Tires Replace Front Tires 0

3/2/09 5399 0.00 247 y y y y y y Jody 11/19/07Steering Box Right Side/?/Balljoints Replace Jody 0

12/30/09 79555 5668 14.04 269 y y y y y y J/M/R Walking Beam Bushings Replace Jody 0

5/5/10 82353 5932 13.88 264 y y y y y y J/M/R Steering Box Left Side Replace Jody 0

12/30/10 85691 6174 13.88 242 y n y y y y 10/6/08 Fuel tank & Straps Replace 72677 1 1000 1000

8/4/11 88660 6473 13.70 299 y y y y y y Jody 5/6/10 Air Filter Replace J/M/R 82353 1 0

5/2/12 92090 6757 13.63 284 y y y y y Jody 12/15/10 Left Rear Hub & 2 Tires Replace 0

11/30/13 96016 7038 13.64 281 y n y y y y Jody 4/10/12 Rt Front Axle Seals, Stud & BRG Replace Jody 0

12/20/13 7353 0.00 315 y y y y y y Jody 5/2/12 Air Filter, alternator Replace Jody 0

-7353 0

TOTAL 6613.28

+Findings: Operations

Highway Superintendent independently determines work to be done each year

Responsiveness to problems is very good

Quality of work is generally very good

Cost per road or project is not tracked

+Findings: Shared Services

Spafford Highway Department, like other local municipalities engages in “informal” cooperation on significant projects… but, we’re not getting credit for this.

Time and equipment allocated to projects for nearby municipalities is not tracked

+Findings: Human Resources

Time required to perform maintenance on equipment or complete a project is not tracked.

+Can we fund…

New Equipment? A Better Building?

Without better data and a more refined budget process, unfortunately…

We don’t know.

But our theory is… Yes. If we plan and spend carefully.

+Conclusions: Competing Priorities

Tax Cap and Citizen Expectations

Services, New Building and New Equipment

+Conclusions: Competing Priorities

Manual Systems

Computerized Tracking and Analysis Tools

+Conclusions: Competing Priorities

Unplanned projects; focus on responsive-ness

Proactively planned and budgeted projects

+Conclusions: Competing Priorities

Independent authority of Highway Superintendent

Checks and Balances between Town Board and Highway Superintendent

+Recommendations: HD

Track expenditures by project, by road/culvert and by each piece of equipment so you will know where cost and savings opportunities are. Track both internal and external costs so that you can be accountable to the citizens of Spafford.

Conduct Highway Department operations with modern management tools and techniques.

Improve maintenance and cleanliness of existing facilities.

Adopt a planned maintenance program for all Town roads, bridges, culverts and ditches.

Adopt best practices for Town Highway operations as discussed in Highway School—for example, put each road on a planned maintenance schedule

+Adopt a Planned Road Maintenance Schedule

http://www.clrp.cornell.edu

+Recommendations: TB

With data collection and project tracking in place, monitor costs closely. Support the Highway Superintendent by ensuring that all expenditures are prudent.

Develop and execute a long term budget plan that will help accumulate a reserve for a new building using funds available through cost saving measures.

With appropriate stakeholders, develop a set of building requirements that support long term plans for Highway Department

+Recommendations: TB and HD

Contact Cornell Local Roads program for assistance

Begin immediately to track costs and labor by project and by vehicle/equipment

Follow the required Town budget system: Budget for individual projects, with funds set aside for unforeseen

requirements Enter into a Section 284 Agreement between Town Board and

Highway Superintendent

Allocate savings to reserve fund for new/modified building and for new equipment

+Recommendations: TB & HD

Explore sale of older equipment to generate cash, replace with leased equipment that can be turned over on an optimal schedule

Explore inter-municipal cooperation more formally, where shared services and equipment are planned for and tracked, in order to reduce need for sole ownership of intermittently used equipment and to limit operating costs

+Learn the Law: TB & HD Powers and Duties of Local Highway Officials

Workshop: Powers and Duties of Local Highway Officials September 11 - Ontario County Ontario County Cooperative Extension,480 North Main Street, Canandaigua NY

14424

Who Should Attend

Town, county, city and village highway, public works and municipal officials who have responsibility for or are interested in the legal responsibilities of the operations and management of highway departments in New York State.

Instructors: James L. Gelormini is a Municipal Legal Consultant and a former New York State Assistant Attorney General, recently retired after 20 years of service.

Topics

The four sources of ‘law’ pertaining to highway officials.

How to determine the right-of-way of a highway or street.

The difference between discontinuing and abandoning a highway.

How a town, village, city or county can establish a highway or street.

The process for removing dedicated obstructions from town highways.

The Highway Law §284 agreement - why it is important and how it works.

Where the authority to establish, alter, widen or discontinue village streets resides.

Whether or not a town superintendent of highways has the authority to award contracts.

Whether or not a town is obligated to upgrade its highway infrastructure to meet new design standards.

+2013 Highway Budget Expenditures by Category:Total: 709,634

+Budget Concept: Start Saving Now Starting Reserve: 150000

YearTotal Highway

BudgetFund Balance Balance Carried

2014 750000 60000 210000

2015 750000 150000 360000

2016 750000 150000 510000

However… We recommend reducing the Highway Budget to provide flexibility to the Town Board, since allocated Highway Funds cannot be returned to the General Fund, but monies from the General Fund can be allocated to the Highway Department with a resolution by the Town Board.

+Questions?