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Type:
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Technical Budget Adjustment
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Status:
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Passed
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On agenda:
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6/23/2021
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Final action:
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6/23/2021
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Title:
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2021 Technical Budget Adjustment
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TO: Board of Trustees
THROUGH: Carolyn Gonot, Executive Director
FROM: Bill Greene, Chief Financial Officer
PRESENTER(S): Bill Greene, Chief Financial Officer
TITLE: 
title
2021 Technical Budget Adjustment
end
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AGENDA ITEM TYPE: |
Discussion |
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RECOMMENDATION: |
Approve the request for additional staffing (9.3 FTEs) to advance capital program delivery, improve asset management and control, implement audit recommendations, address workload issues in the Total Rewards program including compliance with federally mandated drug and alcohol regulations and staffing for the Rail Maintenance Apprenticeship Program. |
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BACKGROUND: |
In 2019, in response to recommendations from FTA and auditors, UTA made significant strides to update its inventory management process including integrating asset management practices. Although significant progress was made in 2019, subsequent audits highlighted ongoing issues and the need to consolidate/centralize responsibility and oversight of asset/inventory management. This request creates an office responsible for inventorying, recording, planning, monitoring and reporting on UTA’s 16,000 assets. The 2021 Utah Legislature approved over $326 million in capital investments in UTA’s system. This package of investments including strategic double-tracking FrontRunner alignment will require additional environmental documentation and planning support. The influx of Stimulus funding and UTA’s past and ongoing success in securing federal funding for capital projects has increased the volume and value of federal transactions and requires dedicated capital/grant accounting support. The occupational medicine and drug and alcohol programs are critical safety functions. UTA’s wellness program has a proven track record of improving employee health and engagement, reducing costs, and increasing efficiency. There have been significant increases in the responsibilities and expectations for the Total Rewards program, including huge growth in the Leave of Absence program administration in the People Office without a commensurate increase in support. In the adopted 2021 Operating Budget, the Board of Trustees approved $250,000 for ongoing support for the development/delivery of the new Rail Maintenance Apprenticeship Programs. After internal review and an analysis of the best model for delivering this program, staff recommends hiring two staff to support the program. |
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DISCUSSION: |
This technical budget adjustment includes three elements: 1. After the Board of Trustees adopted the 2021 budget and supporting 5-year capital plan, the Utah state legislature appropriated $324 million to UTA for capital improvements including strategic double tracking of rail segments for FrontRunner. This request would provide UTA resources to support project controls, environmental documentation and improve the asset management function that will allow UTA to ramp up delivery of the capital program (6 FTEs). These positions would be funded by a combination of utilizing contingency funding in the operating budget and charging to the capital program. 2021 Cost - $161,000 and 6 FTEs (assumes September 1, 2021 hire dates) 2. This request would fund a dedicated drug and alcohol program administrator (1 FTE) and a fractional increase in administrative support for the office (0.3 FTE). These additions will also help Total Rewards manage major workload increases experienced in the Leave of Absence program. Funded with operating contingencies in 2021. 2021 Cost - $31,000 and 1.3 FTEs (assumes September 1, 2021 hire dates) 3. Rail Maintenance Apprenticeship Programs. MOW Trainer : Training has been relying on existing bargaining unit staff to work on training development. This position will move that work into the training department, allowing MOW to use their staff for actual MOW assignments. Instructional Designer: Apprenticeship programs require initial development and ongoing updates to curriculum. This position is required to assist in development of the three new programs, along with ongoing updates as the programs are deployed. Both positions funded by reallocating existing contract service budget authority. 2021 Cost - $0 budget and 2.0 FTEs (assumes September 1, 2021 hire dates) |
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ALTERNATIVES: |
The Board could choose to modify the requests. Each of these requests responds to needs identified by internal and external auditors, positions UTA to begin developing and implementing a capital program delivery plan in response to the 2021 Legislature’s significant commitment to UTA or address workload issues in the People Office. Denying these requests would perpetuate practices that have been identified as problematic, could negatively impact service delivery and/or timely completion of state funded major capital investments. |
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FISCAL IMPACT: |
See Attachment A |
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ATTACHMENTS: |
1. Attachment A - Financial Detail |
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