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HomeMy WebLinkAbout8.F.2. Tranistion to New Organizational Structure General Business 8. F. 2. SHAKOPEE TO: Mayor and City Council FROM: Kris Wilson, Acting City Administrator DATE: 04/07/2015 SUBJECT: Transition to New Organizational Structure (E) Action Sought The Council is asked to consider the following transition plan for moving to the City's new organizational structure. Background At its March 17 meeting, the City Council adopted a new organizational structure based around the City's major "lines of business". One groups together the development and infrastructure-related functions of planning, engineering, building inspections, economic development, natural resources and public works; and the other unites the administrative services of finance, human resources, city clerk, information technology, communications and facilities maintenance. A copy of the adopted organizational structure is attached. Staff was directed to return with a proposed transition plan to move the organization from the current structure to the new structure in a planned way. The following is the proposed transition plan: A. Development & Infrastructure 1. I recommend that we begin by combining planning, building inspections and economic development this spring / summer and then allow for a few months for orientation and adjustment. The second step would be to merge Public Works, Engineering and Natural Resources into the group late in 2015 or early in 2016. This will require eliminating the current Community Development Director position and then hiring a Director of Development & Infrastructure (or Assistant City Administrator for Development & Infrastructure) and a Planning Director. The current Community Development Director has been with the City for almost 19 years and has brought a great deal of knowledge and countless hours of service to the City. In recognition of this, I recommend that the City provide a severance package and separation agreement that provides a payment equal to six-months' salary plus six-months of employer contribution toward medical, dental and life insurance in exchange for a resignation effective May 31, 2015. If this approach is approved by the Council, the next step would be to immediately begin recruitment for a Planning Director. After a new City Administrator has been hired, we would proceed with recruitment for the Director of Development and Infrastructure. 2. The second position that currently exists but is not in the new organizational structure is that of Public Works Director/ City Engineer. As this position oversees the areas to be phased into the new Development and Infrastructure group later in the year, I recommend that Council plan on a similar separation agreement for that position but hold off on the exact details until closer to the time of action. B. Administrative Services 1. The first step of the transition for this side of the organizational chart is already underway and that is the recruitment and hiring of an IT Director, as was previously approved by the Council. 2. I recommend that the second step be the hiring of a full-time City Clerk, returning this position to a stand-alone position rather than one combined with the Finance Director position. 3. Beginning in July, the City will need to begin recruitment for a permanent Finance Director as the current interim Finance Director is scheduled to remain only through mid-September. 4. The final portion of this section would be to consider the addition of a full-time HR Manager position as part of the 2016 budget process. Budget Impact This transition will not be budget neutral in the long-term, however I believe the proposed costs for the remainder of this year can be accommodated within the City's adopted budget. I will have a full cost analysis to present at the Council meeting. Relationship to Vision This item relates to Goal B: Positively manage the challenges and opportunities presented by growth, development and change. Recommendation I recommend approval of the above outlined transition plan and the offering of the outlined separation agreement to the Community Development Director. Requested Action The Council is asked to discuss and provide direction regarding the proposed transition plan. Attachments: Organizational Chart City of Shakopee (recommended) City Council I City Administrator Administrative Assistant I I I I I Development & Police Chief Fire Chief Parks & Recreation Assistant City Infrastructure Director Administrator Planning Economic Finance Human Development Resources Engineering Building City Clerk Information Official Technology Natural Public Facilities Communications Resources Works Maintenance