City of St. John’s tightening finances
Second phase of program review completed, expects to save $4.7M in 2017, $4.8M in 2018
The City of St. John’s says the second phase of its program review has identified a potential $4.7 million in savings next year. And, even more the following year.
A news release from the city says savings for 2017 are estimated at $4,705,612, increasing to $4,876,239 for 2018.
It says this figure represents more than eight per cent of the total budgets of the programs reviewed to cut costs.
The review involved 31 programs or budget areas, including all corporate services, five program areas in the planning, development and engineering departments, administration for roads and most parks programs in the city’s public works department and administration in community services.
The city says the estimated savings in this second phase of the program review come from the elimination of 19.90 full-time equivalent positions, achieved through a combination of vacancies, attrition, reduced hours, layoffs and reduced staffing in spring and fall seasons.
Staff whose positions are affected have been notified.
The news release says the total jobs eliminated in 2017 will be 24.73 full-time equivalent positions and 27.06 in 2018.
“To date, we have identified over $6.25 million in efficiencies for 2017 and $6.7 million for 2018,” said Coun. Jonathan Galgay, chairman of the council’s standing committee on finance and administration.
“The final review group for 2016 which will come forward in October includes approximately 75 program areas which, when combined with phases one and two, will constitute nearly three quarters of all programs to be reviewed.”
The remaining programs will be reviewed early in 2017 with results expected in March.
Following the release of its Budget 2016-18, the city announced a new comprehensive departmental review process to analyze every service and program within the organization, given current fiscal restraint.
“This has been a very challenging process for staff, management and council, but it is clearly a necessary one,” said Galgay.
“We are committed to ensuring that public resources are used efficiently, and we are confident that this process will result in a more efficient and effective organization for the future.”