Washington City Manager proposes re-organization for Washington city government | Eastern North Carolina Now

    Publisher's Note: This article originally appeared in the Beaufort Observer.

    At Monday's (2-27-12) Washington City Council meeting City Manager Josh Kay made a presentation to the council and public for a reorganization of Washington city government. You can hear he presentation in the video clips below, as well as the discussion by council members and the Mayor. You will hear all six endorse the plan.

    As you listen to the presentation you may want to download this file to view a pdf of the proposed organizational chart as you listen to the presentation.







    You will hear Mr. Kay project that the plan is designed to be implemented over three years. It is anticipated that it will reduce expenditures for personnel by as much as $1.2 million.

    As a follow-up we asked Mr. Kay to explain how he computed that $1.2 million and here is his response:

    1. Retirements

    a. 28 current employees will have 28 years of continuous service with the City of Washington during the 3-year transition period (2012-2015)

    i. Estimate 21 retirees (75%) from this group retiring within the transition period

    ii. Estimated salary savings is approximately $840,000 ($1.134 million with benefits)

    b. Estimated 5 employees with service from other jurisdictions with a minimum of 28 years of service in the state retirement system

    i. Estimate 3 of these 5 will retire within the 3-year period

    ii. Estimated salary savings is approximately $120,000 ($162,000 with benefits)

    2. Vacancies: Average attrition rate differs by department and function, therefore the following assumptions are used:

    a. General Fund - 2 vacancies per year

    i. Estimated salary savings over the transition period is $180,000 ($243,000 with benefits)

    b. Utility Funds - 1 vacancy per year

    i. Estimated salary savings over the transition period is $90,000 ($121,500 with benefits)

    3. Summary

    a. Total estimated annual savings: $1.23 million ($1.66 million with benefits)

    b. Total estimate used: $1.2 million

    i. Margin of Error: 25% or $430,000

    Notes:

    A. The margin of error will be used to fill those positions that are not "scheduled" to be removed and thus need a replacement;

    B. I envision that we will strategically reallocate or offer transfers to qualified employees from targeted positions into vacant or newly created positions;

    C. The estimated salaries are purposefully estimated low ($40,000 for a 28+ year employee and $30,000 for an average vacancy in General and Utility Funds) to create more room for error on my part from my assumptions.