Performance Measurement as a Budgeting Tool

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Performance Measurement as a Budgeting
Tool ICMA September 2003
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David L. Tyeryar Budget Director Prince William
County Office of Executive Management dtyeryar_at_pwc
gov.org [phone] Visit the County web
site at http//www.pwcgov.org/oem.htm
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About Prince William County, Virginia

• Suburb of Washington, D.C.
• Population Approximately 332,500
• FY 2004 General Fund Budget 611 Million 48 to
  Schools
• All Funds 1.6 Billion
• 3,131 FTE Employees (3,664 Total Employees)
• Eight-Member Elected Board of County Supervisors
• Appointed County Executive

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Key Components of Performance Measurement

• Goal Setting
• System for Monitoring and Measuring
• Periodic Monitoring Not Just Annually

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PWC System for Results Oriented Government
Define Community Based Outcomes
Regular Update Plans Based on Results and
Community Needs
Strategic Plan Goals Strategies Objectives
Evaluate Results S.E.A. Citizen Survey Citizen
Input Performance Reporting
Performance Measures
Improve Services
Deliver Services Efficiency Prog. Work Program
Link Resources to Outcomes
Budget Process Service Level Decisions
Provide Accountability for Results
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Goals/Outcomes

• Establish Goals/Outcomes Based on Community Needs
  and Expectations
• Future Visioning Citizens
• Issue Identification Citizens
• Issue Analysis and Development Staff
• Community Outcomes Adopted Elected Officials
• Establish Goals Based on Program Needs and
  Expectations
• Issue Identification Customer
• Issue Analysis and Development Staff
• Program Outcomes Approved Executive Management

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Monitoring

• ? Swimming
• ? Treading Water Be alert
• Drowning Throw a floatation device not an
  anchor

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What Makes Up a Family of Measures

• Inputs
• Outputs
• Efficiency
• Effectiveness (Service Quality)
• Outcomes

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About the Budget Process

• Prince William County Uses a Two Phase Budget
  Process
• Phase I
• Phase II

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About the Budget Process - Phase I

• Measure progress towards strategic plan
  objectives
• Report prior fiscal year performance in achieving
  adopted agency outcomes and service levels
• Gauge how meaningful and useful performance
  measures are in making decisions
• Assess agency performance with an eye to
  improving the quality of service
• Provide accountability to the Board of County
  Supervisors and citizens
• Make sure you have the right set of measures
• Set targets for improved performance

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About the Budget Process Focus in Phase I
Meetings

• Sample Agenda
• Report card measures met and unmet
• Critical performance measurement trends
• Did we get closer to our strategic plan goals?
• What did we learn?
• Is this the right/wrong family of measures?
• Did we monitor frequently?
• What decisions did we make?
• Performance measurement evolution
• Additions
• Deletions
• What did we learn/how are these measures better
  for decision-making?

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About the Budget Process - Phase II

• Distribute budget instructions and performance
  budget targets to agencies
• Submit budget increase requests and new
  performance measure targets
• Demonstrate link between monetary request and the
  new targets
• Review, analyze and recommend
• Look for link to the targets
• Do the benefits outweigh the costs
• Grant or deny request if deny, revert to Phase
  I target

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Example Fire and Rescue Tanker Unit at Station
15

• Description Tanker unit staffed during career
  hours at Station 15 (Evergreen) a low density
  station
• Staff Four full-time employees
• Cost - 167,085
• Community Outcomes
• Reduce fire injuries from 14.8/1,000 to 13/1,000
• Improve response time for Basic Life Support by
  5
• Improve response time for fire service by 5

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Example Fire and Rescue Tanker Unit at Station
15

• Impacts
• FY 01 Base FY 01 Addition
• Fire/Hazardous Materials responses
• by Tanker 15 0 75
• Basic Life Support responses 0 113
• Fires under control within 15 minutes
• in Station 15 first due area 70 90
• Basic Life Support response within eight
• minutes 85 88
• Time from dispatch to establishment of a
• Sustained fire flow of 150 gpm 80 of the
• time in Station 15s first due area 30
  minutes 10 minutes

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Example Juvenile Drug Court Program (Three-Year
Pilot)

• Description Innovative/collaborative
  effort/intensive judicial intervention/continuous
  supervision/comprehensive treatment and services
• Staff Two full-time employees
• Cost - 343,111
• Community/Program Outcomes
• Decrease the number of drug and alcohol arrests
  by 10 to 5.38 and 15.62 per 1,000 adult
  population and the number of juvenile drug and
  alcohol arrests to 1.33 and 1.90 per 1,000 youth
  population
• Maintain juvenile arrests per 1,000 youth
  population at less than 23 per year

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Example Juvenile Drug Court Program (Three-Year
Pilot)

• Impacts
• FY 04 Adopted
• Cases successfully completed 12
• Monthly caseload (active cases) 12
• Clients served 20
• Cost per case successfully completed 28,593
• Clients successfully completing program 75

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Key Components

• Goal Setting
• System for Monitoring and Measuring
• Periodic Monitoring Not Just Annually
• Flexibility