HomeMy WebLinkAboutCORRESPONDENCE - PURCHASE ORDER - 9104375Johnson & Fabian Advisory Group 0G��10
30866 Shawnee Lane
Evergreen, CO 80439
Statement
Statement #: 10-0802
Date: August 9, 2010
Phone: 303-909-9052 or
303-520-1356
E-mail: jiohnson.ifadvis _earthlink.net
cfabian.ifadvi sors(7earthli nk. net
Bill To: City of Fort Collins
300 LaPorte Ave.
Fort Collins, CO 80521
attn: Mike Freeman
Professional Services Rendered
Advisory Services related to the implementation of Fiscal Health and Wellness (Prioritization) $10,000.00
Develop strategy to present City-wide prioritization model, present process to staff;
work with Result teams to complete scoring process, compile program scores:
prepare fist draft of Resource Allocation tool and City-wide prioritization spending profile
Travel -related Expenses
7/9/2010
Presentation to Results Team on Prioritization - 177 miles @ $0.50 per mile
$88.50
7/13/2010
Meet with individual Results Teams for coaching - 177 miles @ $0.50 per mile
$88.50
711412010
Meet with individual Results Teams for coaching - 177 miles @ $0.50 per mile
$88.50
8/6/2010
Presentation to Budget Executive Team - 177 miles @ $0.50 per mile
$88.50 $354.00
Please make checks payable to:
Terms: Upon Receipt
TOTAL AMOUNT DUE $10,354.00
Contract Amt. $14,000.00
Contract Addendum
$ i,500.00
Less Prey. Billed
$0.00
Less Current Billing
($10,000.00) .
8olance. Remaining
$5,500.00
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Project Premise and Objectives
The City of Fort Collins ("City") has requested the services of Jon Johnson and Chris Fabian d/b/a
Johnson and Fabian Advisory Group ('VFAdvisors") in order to prioritize the relevance of the City's
programs and services, relative to the fundamental results that City Council has established. The primary
deliverable of this agreement with JF Advisors is a Prioritization model that will allow the City's Budget
Lead Team ("BLT") to analyze City-wide spending, in the context of high -priority to low -priority
programs. Among many capabilities, this tool provides robust scenario -planning perspectives with
respect to various resource allocation approaches the City may explore in order to spend within their
means, ensuring that resources are allocated to preserve programs of the City's highest -priority.
Essential to this project is JF Advisors ability to develop and implement a process that will help the City
translate the work and products of their Budgeting for Outcomes (BFO) process, into the program
Prioritization model. This project is a first -step in program Prioritization, which will meet the objectives
for this budget cycle, while helping the City establish a framework for further integrating Prioritization
into future budget cycles.
Project Scope and Timeline
The scope of this project is outlined in the following steps, and is envisioned to take place during July
through September, 2010.
• Develop Process to Translate BFO into Prioritization
o Meet with City Manager, Chief Financial Officer, Mayor and members of Council to
provide overview of Prioritization as a value-added enhancement to Budgeting for
Outcomes (BFO), and provide overview of recommended steps in a process to translate
work and products of City's BFO process into the program Prioritization model.
• Provide Orientation to Result Team Members
o Provide overview of Prioritization, and engage audience made up of the City's Result
Team members in discussion that will result in an agreed upon process to translate BFO
work products into program Prioritization model. The agreed upon process (or process
options) will go to BLT for approval.
• Facilitate Meeting with Budget Lead Team (BLT) to Finalize Process
o Provide overview of Prioritization to BLT, summarize outcomes of meeting with Result
Team members and present options for process to translate BFO work products into
program Prioritization model.
o Coordinate timeline with BLT that will ensure that outcome of Prioritization model will
be completed in time to supplement budget discussions before City Manager's
recommended budget is complete.
• Develop Tools with BFO Project Manager to Supplement Process
o Work with BFO Project Manager to leverage work products already developed in order
to create "tools" (documents, spreadsheets, other supplemental information) that
suffice to aid Result Team members in the process of "scoring" offers.
o Work with BFO Project Manager to collect, assemble and/or develop required
information related to offers in order to populate tables in the program Prioritization
model (including, but not limited to 2011 proposed cost estimates for each offer,
estimated "program revenue" associated with each offer, funding sources presumed to
fund each offer, department or departments proposing each offer, etc).
Conduct Individualized Guidance Sessions with Result Teams to Coach them on "Scoring" Offers
o Meet with each individual Result Team to provide further orientation as to the
objectives of program Prioritization (especially for Result Team members who were
absent during initial orientation), and to agree upon an implementation plan and
timeline to complete the Result Teams responsibility to evaluate offers relative to their
Outcome Area.
o Introduce Result Team members to the tools and resources that have been produced
for them in order to make the process as efficient as possible.
o Engage discussion with Result Team members to ensure that the first -step of program
Prioritization can be completed within the timeline, while taking specific note of ideas
and recommendations for integrating Prioritization into the next budget cycle.
o Provide on -call support to Result Team members for any additional questions or
thoughts that arise during two week period of scoring offers.
• Develop City's Prioritization Model., Resource Allocation Tool
o Develop City-wide Prioritization Array (top -to -bottom order of offers in prioritized
order), based on the compilation and assembly all offer scores, including scores relative
to each Outcome Area and the Basic Program Attributes
o Develop "Quartiles" for both Community -oriented Offers and High -Performing
Government Offers that establish the statistical difference between relative tiers of
offers and their relevance to Outcomes.
o Develop City-wide Spending Array which is a summary of the estimated cost of offers
within each quartile.
o Develop Prioritization Model — a dynamic, scenario planning model that will allow the
BLT to filter the Prioritization data by fund, by department, by revenue source, and by
any combination of scoring criteria.
Facilitate Meeting with BLTon Prioritization Results and Utilizing Prioritization Model
o Present Prioritization summary to the BLT, coach BLT through the many capabilities of
the Prioritization model, and facilitate discussion about the results of Prioritization and
the implications for resource allocation decisions.
Conduct Debriefing Workshop with BLT Regarding Long-term Strategy for Integrating
Prioritization into Next Budget Cycle
o Facilitate discussion with BLT to discuss options for integrating Prioritization into the
budget process for future budget cycle (exploring options, ideas and recommendations
bringing to bear experiences and examples from every City implementing Prioritization)
Optional: Conduct City Council Debriefing to Summarize Prioritization Results and utilizing
Prioritization Model
Proposed Budget
The estimated cost for completing each of the steps in the project scope as outlined is $14,000 with
direct costs associated with travel not to exceed an additional $900.
Contact Information
Jon Johnson and Chris Fabian
Johnson and Fabian Advisory Group LLC
30866 Shawnee Lane
Evergreen, CO 80439
303-909-9052 (Jon's cell)
303-520-1356 (Chris' cell)
iiohnson.ifadvisors@earthlink.net
cfabian.ifadvisors@earthlink.net
Experience Summary — Johnson & Fabian Advisory Group
Jon Johnson - Local Government Advisor
Jon has more than 25 years of experience as a practitioner in financial administration for municipalities,
counties, school districts and public universities. Throughout his career as a finance/budget director, he
has been responsible for the management of all aspects of local government finance operations for both
small and large organizations. Jon brings with him not only the "hands-on" technical skills associated with
the day-to-day financial operations of local governments, but also the ability to apply a diagnostic
approach to the analysis needed to assess the fiscal health of an organization and the management
experience to implement the resulting solutions from that diagnostic analysis.
Most recently, Jon served as the Director of Budget and Management Analysis for Jefferson County,
Colorado. Previous to that position, he was Assistant Director of Finance for Douglas County, Colorado.
Prior to moving to Colorado in 2002, Jon served as the Director of Finance for several municipalities in
Missouri, including the City of Blue Springs, the City of Joplin, and the City of Kansas City (MO) Aviation
Department. Jon holds a B.A. in political science and a B.S. in accounting from Missouri Southern State
University, as well as a master's degree in College Administration from Pittsburg (KS) State University.
Chris Fabian - Local Government Advisor
Chris has provided consulting and advisory services to numerous local governments across the country.
His consulting experience has focused on public entities at all levels, advising top municipal managers,
department heads and program directors from over 30 organizations concerning the fundamental
business issues of local government. Of most significance, his work has centered on the budget process as
a lever to produce results, accountability and change; performance and outcome -based management;
purpose, productivity, and efficiency in operations; and rigorous financial analysis and strategy. Pursing
the objectives of Budgeting for Outcomes (BFO), Chris was a partner of the consulting team that
implemented BFO in Ft. Collins, Colorado, one of the leading organizations using this approach.
Most recently Chris has served as a budget practitioner with Jefferson County, Colorado, where he
incorporated the lessons learned from BFO into the development of the Budgeting for Priorities process.
He holds a B.S. in engineering from the Colorado School of Mines.
Jon and Chris have been featured speakers at numerous national and regional conferences webinars, and
workshops sponsored. by the Government Finance Officers Association (GFOA), the International
City/County Management Association (ICMA), the National Association of Counties (NACo) and the
Alliance for Innovations. They have co-authored several articles describing their approach to Fiscal
Health and Wellness for local governments including:
• "Getting Your Priorities Stralaht" published by ICMA in the June 2008 issue of PM magazine
• "Leading the Way to Fiscal Health" published by Government Finance Officers Association
(GFOA) in their December 2008 issue of the "Government Finance Review"
• "it's All In the Questions: The Manager's Role in Achieving Fiscal Health" a two-part article
appearing in the September and October 2009 issues of PM magazine
• "Anatomy of a Priority -Based Budget Process", co-authored with Shayne Kavanagh of GFOA,
published in the May, 2010 issue of the "Government Finance Review"
The Prioritization process was first developed by Jon Johnson and Chris Fabian for Jefferson County,
Colorado, where both of them served prior to April, 2009. At the present time, there are 16 local
governments, who have either completed, or are in the process of completing, the implementation
of Fiscal Health and Wellness through Prioritization, with a host of additional organizations
currently considering how they might utilize this process in their upcoming budget cycles. Several
not -for -profit professional associations such as the Alliance for Innovation, the International
City/County Management Association (ICMA), the Government Finance Officers Association (GFOA),
the National Association of Counties (NACo), and most recently the Institute for Local Government
(ILG), an affiliate of the League of California Cities, are among the most prominent organizations
endorsing Fiscal Health and Wellness through Prioritization as a best practice — publishing case
studies, journal articles, and hosting seminars and conferences to promote the accomplishments of
the cities and counties implementing this work.
For more insights about the outcomes of Prioritization, we encourage you to contact any of the
cities and counties who have implemented (or who are nearing completion of implementing) the
process:
• City of Lakeland, Florida — Mr. Stanley Hawthorne, Assistant City Manager, at 863-834-6006 or
Stanley.Hawthorne@lakelandeov.net.
• City of Walnut Creek, California — Ms. Lorie Tinfow, Assistant City Manager, at 925-943-5899 or
Tinfow@walnut-creek.org
• City of San Jose, California —
Kim.Walesh(a)sanjoseca.gov, Walter
Waiter. Rossman n@sanjoseca.gov
• City of Blue Ash, Ohio -
dwaltz@blueash.com, Ms. Kelly
kosler@blueash.com
• City of Boulder, Colorado —
eichemb@bouldercolorado.eov,
McGuireK@bouldercolorado.gov,
Ms. Kim Walesh, Chief Strategist, at 408-535-8177 or
Rossmann, Budget (City Manager's Office), 408-535-8188,
Mr. David Waltz, City Manager, at 513-745-8538 or
Osler, Assistant City Manager, at 513-745-8503 or
Mr. Bob Eichem, Finance Director, at 303-441-1819 or
Ms. Kathy McGuire, Director of Budget, at or
• City of Grand Island, Nebraska — Mr. Jeff Pederson, City Administrator, at 308-383-1559 or
ieffp@grand-island.com, Ms. Mary Lou Brown, Finance Director, at 308-385-5444 ext 220 or
marvioub@grand-island.com
Additional documentation of various city's and county's experiences in implementation of our
Prioritization process can be found at:
http://www.fiscaIhealthandwellness.blogspot.com/