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LTC 067-2009 Analysis of Fire Department Unanticipated Leave Usage and Overtime - Quarter 1 FY 2008/09 2009 FShR ! 0 Pik 3~ 06 m MIAMI BEACH ~ ,, ~;~ ;, : 'li i ~t: OFFICE OF THE CITY MANAGER NO. LTC # 067-2009 LETTER TO COMMISSION TO Mayor Matti Herrera Bower and Members of the City Commission FROM; Jorge M. Gonzalez, City Manager DATE: March 10, 2009 SUBJECT: Analysis of Fire Department Unanticipated Leave Usage and Overtime - Quarter 1 FY 2008109 This letter summarizes an analysis of Fire Rescue Overtime and Leave Usage based on direction from the Budget Briefings at the Finance and Citywide Projects Committee meeting June 30, 2008. Background At the City's annual Commission retreat in May 2008 and during the City's budget briefings. the impact of the Fire Department unanticipated leave usage.and overtime was discussed as overtime has traditionally been an issue but had become even more pronounced since the minimum staffing ordinance was implemented in February 2003 -- based on a review conducted in mid FY 2006107, the Fire Department level of unanticipated leave usage had the highest of any other department in the City. Unanticipated leave (or unscheduled leave) includes, sick leave, injury, and emergency vacation. As compared with FY 2002103, overtime in the Fire Department Suppression, Rescue, and Support Divisions has increased from $365,362 to $1.27 million through FY 2007/08. While the FY 2007/08 overtime reflected a decrease from the prior year, as well as a lower amount than had been projected at mid-year, the total cumulative increase over FY 2002103 is still significant at 247%. Fiscal Year Adopted Budget Actual Over/(Under) FY 02 426,986 368.680 (58;306) FY 03 321,013 365.362 44,349 FY 04 321,013 700,805 379;792 FY 05 587,974 1.010,179 422,205 FY 06 652,488 1.057,701 405;213 FY 07 1,238,731 1,518,898 280;167 FY 08 1,272,219 1,269,597 (2,622} Prior to FY 2007/08, efforts made to address control overtime usage, including increasing the overtime budget, adding positions, hiring in advance of anticipated vacancies and instituting a sick leave sell-back program as well as a random drug testing for employees whose leave balance fall below 200 hours (300 hours for shift personnel) continued to fail in yielding results -between FY 2001102 and FY 2007108, 7 fire fighter positions were added. Analysis of Fire Department Unanticipated Leave Usage and Overtime Quarter 1 FY 2008!09 Page 2 of 6 Current staffing levels provides coverage for leave types such as R-days, scheduled leave, training, and some level of unanticipated leave. However, over the years unanticipated leave usage increased, resulting in the need for more overtime. As a result, one of the alternatives analyzed for the FY 2008109 budget, was the impact of changing the minimum staffing ordinance to allow for a decrease from 44 to 42 in times of higher levels of unanticipated leave usage. In the event of a major fire, in addition to the ability to call in additional personnel on overtime, the Department would still have the ability to use mutual aid from other Fire departments. Based on this analysis, it was estimated that over $800,000 in department overtime (approximately 2/3rs) could be eliminated by reducing the minimum staffing requirement from 44 to 42. The $800,000 was estimated using 365 days times 2 personnel for 24 hours at S57.OO/hour (average OT Hourly rate) and reflects a mix of 60% FF1s and 30% FF2's, 5%Lts and 5%Cpts, and was based on the following data at that time. The average hourly rate for OT was based on the formula of the average of six FFi's (two senior, two mid career and two new, with three in Rescue and three in combat), three FFII's (one senior, one mid career and one junior) and the aggregation of two Lieutenants and two Captains in to one position for averaging into the FFI and FFII positions. The average rate was calculated at $57.28 and rounded to $57.00/hour. Potential savings will always be a range. The max of the range in going from 44 positions to 42 is just over 1 million dollars. Based on staffing and usage from last year we projected an 80% coverage rate to project the 800K in savings. Shift staff assigned: Less staff not available': (Based on averages) Vacancies (hiring once per year) R-Days: Scheduled Leave: Training: Total Unanticipated leave: Total Shift Positions Unavailable: 62(A Shift),61{B Shift), 61 (C Shift) 2.0 8.8 6.0 (maximum) 0.5 3.2 per day 20.5 Net Positions Available: Resulting Overtime FTE's At 44 Minimum Staffing At 42 Minimum Staffing 41.5 (A Shift), 40.5 (B & C Shifts) 2.5 (A Shift}, 3.5 (B & C Shifts} 0.5 (A Shift}, 1.5 (B & C Shifts} -Actual daily staff availability may be greater or less on any given day due to fluctuations around the avoragn but, but generally vary by one or two positions. Analysis of Fire Department Unanticipated Leave Usage and Overtime Quarter 1 FY 2008/09 Page 3 of 6 The current minimum staffing for Fire Suppression of 44 positions is based on the following assignments: Equipment Minimum Positions Before Incurrin Overtime T~pe_ Number Per E ui ment Total Rescue _ 6 3 18 Ladder 1 2 ~ 4 8 Engines 4 4 16 Battalion Chief and EMS Lt. 2 1 2 TOTAL 14 .;. .<;~%##%'E;# f 44 The minimum staffing alternative of 42 positions d uring periods of higher unanticipated leave usage assumed the following assignments: Equipment ~ Minimum Positions Before Incurrin Overtime T e Number Per E ui ment Total_ Rescue 6 3 18 Ladder 2 3 6 En fines 4 _ 4 16 Battalion Chief and EMS Lt. 2 1 2 TOTAL 14 ~ 42 As part of the budget discussions, it was agreed that, in lieu of changing the minimum staffing ordinance to reflect a reduction to 42 positions during periods of higher unanticipated leave usage, the City would implement a more restrictive sick leave policy and monitor the results. The Fire Department was directed to monitor results for the first quarter and report back with the results of the restrictive sick leave policy. If the results were unsuccessful after the first quarter, the City would then pursue the prior proposed change to the minimum staffing ordinance. Status as of Quarter 1 FY 2008109 In preparing the analysis for Quarter 1 2008/09, both overtime usage and unanticipated leave usage were analyzed. As can be seen in the attached charts, during the first quarter of FY 2008/09, overtime decreased significantly for all days of the week, for a total overtime reduction from $386,108 to $206,733 during the quarter for the Fire Suppression and Fire Rescue Divisions.. However, this cannot be attributed solely to the recently implemented restrictive leave policy as there was only a very slight decrease in the use of unscheduled leave. The main component of the savings were derived from the five additional personnel were added to the staffing of the Fire Suppression and Fire Rescue Divisions from the Fire Prevention Bureau as the result of a separate initiative. As part of the FY 2008109 budget, 5 fire inspector positions, previously staffed by Fire Fighter 1's, were designated to be replaced by certified civilian positions. As a result, the five FF1s returned to the Suppression Division and are available to provide excess staffing levels and reduce the overtime normally associated with unanticipated leave usage, until 5 Analysis of Fire Department Unanticipated Leave Usage and Overtime Quarter 1 FY 2008109 Page 4 of 6 FF1's retire in March 2009. The impact of the five positions can be estimated by using the Q1 difference in OT hours worked by the Fire Suppression and Fire Rescue Divisions in 2007 and 2008. Those Divisions worked 3702 OT hours more in Q1 07108 than in Q1 08109. Using the average OT rate of $57.00, this represents a $211,014 savings that came from the higher staffing levels. Unanticipated leave usage during the same time period onlydecreased by 147 hours for the first quarter. In the first quarter of 07108 there were a total of 1355.75 hours of EVAC and 2945 hours of Sick Leave for a total of 4,300.75 hours of unscheduled leave. In the first quarter of 08/09 there were a total of 1,228.5 hours of EVAC and 2,925 hours of Sick leave for a total of 4,153.5 hours of unscheduled leave. Looking at the graphs of both quarters, it is clear that the trend of unscheduled leave being significantly higher on Friday, Saturday and Sunday was unchanged, and the need for additional overtime to backfill on those days continued. Unanticipated Leave Usage Quarter 1 FY 2007/08 Sunda Monda Tuesda Wednesda Thursda Frida Saturday_ EVAC 8 3.37 5.62 _ 3.67 8 12 15.72 SICK _ _ 26 10.25 14.79 13.5 10.66 21.5 26 Total 34 13.62 20.41 17.17 18.66 33.5 41.72 Unanticipated Leave Usage Quarter 1 FY 2008109 Sunday Monday Tuesday Wednesday Thursda Frida Saturda _EVAC 7.4 6. 2.2 6 12 1 SICK 2 11.7 9.6 13.3 12.79 44.41 _ 34 Total 29.4 18.2 14.6 15.5 18.79 56.41 49~ Recently, the Fire Chief and I met with the union President, Adonis Garcia, to review the data and requested his assistance in ensuring that the necessarysteps are taken to address the continued high levels of unanticipated leave usage. At that meeting, he assured us that he would bring up the issue with his membership in an effort to have them adjust their behavior. Staff will continue to monitor and will provide you with a full report at the next Finance and Citywide Projects Committee. Analysis of Fire Department Unanticipated Leave Usage and Overtime Quarter 1 FY 2008/09 Page 5 of 6 24 hour shifts by day of week 24 hour shifts by day of week c Q1 07108 Unscheduled Leave • SICK ®EVAC ^ SICK ®EVAC m ro m1 m m O 2 ~ ~ t S D ~ !rte b` r 4 h 1 Suday -Saturday o m b ~ m a~ ~ 'p m 2 QS N 4C ~ ~`~ ar ~ hm 3~ Sunday -Saturday Q1 08/09 Unscheduled Leave Analysis of Fire Department Unanticipated Leave Usage and Overtime Quarter 1 FY 2008/09 Page 6 of 6 01 07108 OT 24 Hour Shuts by Day of Week ~O'I pm'' ~c m y 3 a~ ~ >`~ b 3 Sunday-; Q1 08109 OT 24 Hour 24 Hour Shifts by Oay of Week ~ ° A ~ 4C ti aturday ^ OTl m pm R m m i m ~ o 6 ai `~1 `~ tcc ~ f ~~ t ~r ~ Sunday -Saturday JMGlEY/KGB