DEPARTMENT OF PARKS AND RECREATION BUDGET REVIEW

OCTOBER 1, 2013 2014 BUDGET

DPR Strategic Overview

Citywide Vision: We will deliver a world-class city where everyone matters

As stewards of Denvers legacy, the Department of Parks and Recreation is dedicated to customer satisfaction and enhancing lives by providing innovative programs and safe, beautiful, sustainable places.

Sustainability

Equity

Engagement

Sound Economics

System-wide plan for implementation/management of irrigation systems

Increase # of Denver youth participating through MyDenver program

Develop service learning and youth internship program

Utilize resources effectively & efficiently

Attain ACSP Audubon Certifications

Inventory all park assets through the use of an asset tracking tool

Strengthen customer loyalty

Preserve & sustain urban forest

Source: DPR Strategic Plan

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Parks and Recreation Mission Level Metrics

Priority Metrics
% of Park sites converted to Central Irrigation Control # ACSP certifications received at Denver Golf Courses # of tree replacements in parks # of yth. participating in free out of school activities in rec. centers (visits) # of parks and recreation staff involved in the internship program # of youth in service learning projects # of adults participating in service learning projects # of volunteer projects Completion % for Parks task tracking project Average rating of recreation centers for appearance and cleanliness, willingness to assist, employee knowledge, service satisfaction and likeliness to recommend

2011

2012

2013 Estimated
35 4 1,000 250,000

2014 Projected
10 4 1,000 300,000

2014 Projected Expansion

NA NA NA NA

50 6 1,187 190,880

53 6 1,332 71,934

0 2,384 6,133 294 NA NA

8 2,662 8,850 434 90% Complete 4.28

8 2,700 9,000 435 95% Complete 4.2 or Better

8 2,800 9,100 450 100% 4.3 or Better

NA NA NA NA Implementation of Data Analysis NA

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DPR Budget Overview General Fund

Expenditure Category
Personnel Services Services & Supplies Capital Equipment Internal Services TOTAL Operating Capital Improvements Program**

2011 Actual
$31,962,215 $7,953,032 $439,929 $3,274,383 $43,629,559 $36,404,299

2012 Actual
$33,946,635 $9,928,306 $335,340 $3,359,421 $47,569,702 $20,038,174

2013 Revised Budget

$37,603,576 $9,820,126 $365,866 $3,077,200 $50,866,768 $17,095,591

2014 Proposed Budget

$39,888,306 $11,580,103 $297,000* $2,956,391 $54,721,800 $15,520,350

Variance
6.08% 17.92% -18.82% -3.93% 7.58% -9.21%

Summary of 2014 Budget Proposal Expenditures

Increase in personnel is due additional 2A funded staff; five for Park Maintenance Increases in supplies and materials is due in part to 2A funding for Recreation programming and Park Maintenance and rate/price increases for items such as park light repairs performed by Xcel Energy, portolets, and water. Another increase in supplies is the restoration of temporary funding cuts in water and training. Capital equipment requests for 2014 include fitness equipment for Recreation Centers, snowplow for the Mountain Parks and small equipment for Park Maintenance. Recreation equipment has been prioritized as our highest need.

Revenue
General Fund

2011 Actual
$6,677,115

2012 Actual
$7,443,330

2013 Revised
$7,032,850

2014 Proposed Budget

$7,044,900

Variance
0.17%

Summary of 2014 Budget Proposal Revenues

2013 revised revenue estimate down approximately $380,000, largely due to loss of youth membership revenue due to My Denver program which offers free recreation memberships to youth.

* Does not include fleet replacement requests * Includes all payments, maintenance and discretionary projects as well as grant and bond funding
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DPR Budget Overview Golf Enterprise Fund

Expenditure Category
Personnel Services Services & Supplies Capital Equipment Internal Services TOTAL Operations Capital Improvement Projects TOTAL EXPENSES

2011 Actual
$4,063,504 $2,041,081 $149,685 $1,603,361 $7,857,631 $419,048 $8,276,679

2012 Actual
$4,234,326 $2,612,047 $65,645 $1,281,577 $8,193,591 $338,742 $8,532,337

2013 Revised Budget

$5,150,209 $3,539,379 $119,000 $1,401,496 $10,210,084 $1,349,000 $10,709,084

2014 Proposed Budget

$5,420,597 $4,168,061 $174,000 $1,267,342 $11,030,000 $390,000 $11,420,000

Variance
5.25% 17.76% 46.22% -9.57% 8.03% -29.66% 6.63%

Summary of 2014 Budget Proposal Expenditures

2014 increase is due to Denver Golf managing Overland and Evergreen rather than a concessionaire contract.
Net operating income is utilized to make capital improvements to the golf courses including dams, bridges, cart paths, buildings, tee and green replacement.

Revenue

2011 Actual

2012 Actual

2013 Revised

2014 Proposed Budget

Variance

Enterprise Fund Rev.

$9,135,611

$9,857,307

$10,782,00

$11,932,900

10.68%

Summary of 2014 Budget Proposal Revenues

2014 increase is due to Denver Golf managing Overland and Evergreen rather than a concessionaire contract.
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DPR General Fund Personnel Overview

Career Service Authority (CSA) Employees
Total Personnel Comp Time Overtime Permanent FTE

2011 Actual

2012 Actual

2013 Revised Budget

$37,603,576 $23,013 $70,500

2014 Proposed Budget

$39,888,306 $23,752 $81,950

$31,962,215 $19,068 $39,217

$33,946,635 $24,908 $77,225

Total FTE
On-Call Regular Compensation On-Call FTE Key Drivers:

414
$5,991,798 266

397
$6,951,364 277

406
$8,237,672 292

413.5
$8,363,655 292

2A funding for Recreation My Denver and annually for six years, five additional Park Maintenance staff. Parks continues to collaborate with DIA by sending 25 FTE to DIA from October-March. Parks continues to see high use of popular regional parks on weekends. Weekend park maintenance shifts have been added to keep parks clean which has caused some of the overtime. However, most of the overtime is due to snow removal. Parks and Recreation uses a pool of on-calls 1100-1900 (individual employees) to meet workloads throughout the year.
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Department of Parks & Recreation Org. Chart

Lauri Dannemiller Manager
Erin Brown Deputy Manager Recreation Scott Gilmore Deputy Manager Parks and Planning

Thomas Herndon Director Recreation 14 Recreation Centers Aquatics Youth Sports Fitness Active Older Adults

John Martinez Recreation Manager Outdoor Recreation Denver Employee Fitness Center Citywide Sports

Dolores Moreno Director Recreation 13 Recreation Centers Community Recreation Adaptive Recreation Social Enrichment Arts and Culture

Dody Erickson Sp. Project Director

Fred Weiss Director Finance & Admin Accounting & Finance Contract Compliance Permitting Event Facilities

Jeff Green Director Marketing & Communicat. Media & Community Relations

Eleni Sarris Director Developm.

Bob Finch Director Nat. Resources City Naturalist Buffalo Bill Museum Park Rangers Mountain Parks Forestry

Doug Woods Director Parks Citywide Operations Water Conserv. 4 Urban Maint. Districts Facility Maint. City Greenhouse

Gordon Robertson Director PDC Parks Planning Design & Construction CW Maintenance Downtown & Special Projects

Scott Rethlake Director Golf 7 Golf Courses Aqua Golf Junior Golf

Graphic Design

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2014 Budget Highlights for Parks and Recreation

Title: Aquatics Risk Management Coordinator - 1.0 FTE Description: New staff member will implement recommendations for continuous improvements to risk management
assessment and safety issues in aquatics. Standardize aquatic management to minimize risk for potential litigation.

Financial Impact: $78,698 Performance Metrics:

2011 Actual Workload Metric #1: Developing and documenting policy and procedures Current policies and procedures. 2012 Actual Current Begin planning /restructure for aquatics operations 2013 Estimated Current Planning/development based on aquatics audit. 2014 Projected (total as of 6/30/14) Standardized policy and procedures manuals. 2014 Projected (total as of 12/31/14) Standard Operating Procedures Emergency Management Plan Environmental/ Health Management System

Workload Metric #2: # of pools audited

Workload Metric #3 # pool attendance by youth Mid-Range Outcome Standardize inservice/recertification training and development Mission-Level Metric Outcome Development of tracking tool to manage required training hours for 325 lifeguards

None

None

7- Indoor pools 6-Outdoor pools

268,845

6-Indoor pools 10-Outdoor pools

145,000

13-Indoor pools 16-Outdoor pools

290,000

158,471

231,990

None

3 Indoor pools

3 Indoor pools Outdoor pool operations standard due to short season

10-Indoor pools Outdoor pool operations standard due to short season Tool development complete; tracking tool implemented in 6 centers

13-Indoor pools

None

Varies by center no standard tracking system

Varies by center no standard tracking system

Data collected for 7 additional indoor pools (13 total) and 16 outdoor pools ; ongoing tracking for required training hours

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2014 Budget Highlights for Parks and Recreation

Title: Project Management Mtn. Parks CIP - 1.0 FTE Description: Create a dedicated Mountain Parks project manager/planner position to adequately address CIP planning
and project management in Denver Mountain Parks.

Financial Impact: $118,053 Performance Metrics:

2011 Actual Workload Metric #1: # projects completed from Mtn. Parks Master Plan Workload Metric #2: $ spent for maintenance and capital improvements in Mtn. Parks ($30 million investment recommended from master plan) Mid-Term Outcome Reduction in maintenance cost of replaced assets Mission-Level Metric Outcome Increase in Mtn. Park visitors (1 million plus visitors annually) 16 2012 Actual 16 2013 Estimated 16 2014 Projected (total as of 6/30/14) 25 2014 Projected (total as of 12/31/14) 35

$500,000

$500,000

$500,000

$1,000,000

$3,000,000

$15,000

$15,000

$15,000

$30,000

$60,000

1%

1%

1%

3%

5%

Considerations: Currently, we have project manager working on Mtn. Parks CIP only 30% of the time. This
position would be 100% allowing us to make significant progress implementing the Mtn. Parks Master Plan and free up another position to concentrate on regional trails 30% of the time.
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2014 Budget Highlights for Parks and Recreation

Title: Project Management for CIP 1.00 FTE (.25 change 2013 vs. 2014) Description: Convert temporary project management position from limited to full time to ensure adequate project
management staffing for currently funded projects.

Financial Impact: $97,406 Performance Metrics:

2011 Actual Workload Metric #1: # of projects completed Workload Metric #2: Dollar value of the reduction in asset replacement backlog Mid-Range Outcome Reduction in maintenance cost of replaced assets Mission-Level Metric Outcome Additional residents impacted by completing projects 0 2012 Actual 5 projects 2013 Estimated 8 projects 2014 Projected (total as of 6/30/14) 4 project 2014 Projected (total as of 12/31/14) 9 projects

$1,000,000

$1,600,000

$800,000

$1,800,000

$20,000 reduction

$32,000 reduction

$16,000 reduction

$36,000 reduction

37,500 residents

60,000 residents

30,000 residents

67,500 residents

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2014 Budget Highlights for Parks and Recreation

Title: On-Call Raise Description: Parks and Recreation employs approximately 1100-1900 individuals part-time depending
on the season. These part-time employees have not had a raise in five years due to budget reductions. This raise is important to maintain a well trained workforce and retaining employees.

Financial Impact: $124,982

Considerations: Maintaining a well trained workforce and retaining employees.

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2014 Budget Highlights for Parks and Recreation

Title: Cap on Indirect Charges for the Golf Enterprise Fund Description: The amount of indirect charges owed to the general fund is not to exceed 5 percent of Golfs 2014
operating budget. Historically, the Golf Enterprise Fund has received total indirect charge bills that approximate 13 percent of its operating budget. That percentage is disproportionally high compared to other enterprise funds.

Financial Impact: Approximately $700,000 Performance Metrics:

2011 Actual 2012 Actual 2013 Estimated 2014 Projected (total as of 6/30/14) 2014 Projected (total as of 12/31/14) $1,375,000

Workload Metric #1: $ spent on CIP Mid-Range Outcome Fund Balance

$394,532

$387,650

$1,549,437

$400,000

$2,922,082

$3,482,236

$2,032,321

$2,169,693

$1,193,709

Risks and Considerations:

1) The indirect charges are mathematically correct as prepared by the Citys cost allocation consultant. However, Golfs indirect cost allocation amount is disproportionately high. 2) To absorb the full amount, Golf would have to increase fees exorbitantly and price themselves out of the metro area golf market which would reduce play and therefore revenue. 3) If fees were not raised, capital improvements, maintenance, and equipment, would be deferred resulting in diminished assets, reduced play and revenue. 4) 4) The full cost allocation amount is an excessive overhead burden vs. other municipalities and the golf industry average .
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Other Key 2014 Budget Changes

Title: Water Rate Increase & Temporary Savings Reduction Description: Fund expected rate increases and restore $200K of temporary savings to increase usage from 27 acres per inch to 28.5 acres per inch. Financial Impact: $587,000 Title: CIP to General Fund Transfer Description: Restore funding for operating items that have been paid for through CIP. Financial Impact: $260,000 Title: Portolet Service Increase Description: Expand funding for more portolet units as well as increased maintenance cycles to address the top park-related customer complaint received by the department. Financial Impact: $125,000 Title: Park Designation Research & Analysis Description: Hire a consultant or contractor to do surveying and a title company to do title research on park land to determine exact park land designation. Financial Impact: $100,000 Title: Forestry Education & Outreach FTE Description: Restore funding for 0.50 FTE; portions of the position were partially funded via a grant as temporary savings measures in 2012 and 2013. Financial Impact: $45,700
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Parks and Recreation Fee Implications from RAPP

Resources Allocations and Priorities Plan (RAPP)
This plan identifies core services, points out duplication in services, recommends service provision strategies, and recommends resources allocation and pricing strategies. The project includes conducting an inventory and analysis of all parks and recreation services in relation to the Citys values, visions, and needs of the community, as well as market position, and reaffirming the Departments mission. Includes the development of a cost recovery pyramid for pricing Department services. 2014 Work Plan includes reviewing and proposing changes to existing fees, permits and services based on their current cost recovery. While we plan on bringing forward fee increases in 2014, no fee increases are currently proposed as part of the 2014 budget.

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Parks Capital Improvement Program

Parks annual capital maintenance projects include pool rehabilitation, citywide trail improvements, playground rehabilitation, and other park improvements. Only $8-10M is available each year for all citywide capital discretionary project requests, including requests from Parks, Public Works, DPL, OED, OEM, CPD, DEH, Safety, General Services, Denver Health, etc. Approximately $2-3M of discretionary funds must be dedicated to parks uses each year, based on parks dedicated revenue received.
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Parks and Recreation Capital Program Highlights

$2.0M in second year local match for Great Outdoors Colorado (GOCO) grant awarded to the City for improvements to the S. Platte River Corridor recommended as part of the S. Platte River Master Planning efforts. $500K for implementation of the Genesee & Katherine Craig Mountain Parks, Park and Trail Improvement Plan. $500K for continued implementation of the Ruby Hill Master Plan with the goal of serving the surrounding neighborhoods. $282K in local match to support reconstruction of bicycle and pedestrian ramps in Confluence Park improving circulation, pedestrian safety and connectivity.

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Thank you!
Questions or Comments?

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