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CC 03-04-2025 Item No. 7 Baker Tilly Budget Format Review_Written CommunicationsCC 03-04-2025 Item No. 7 Baker Tilly Budget Format Review and Performance Measure Updates Written Communications From:Santosh Rao To:City Council; Pamela Wu; Kristina Alfaro; City Clerk; Tina Kapoor Subject:Baker Tilly consultant agenda item 7. Date:Tuesday, March 4, 2025 3:32:09 PM CAUTION: This email originated from outside of the organization. Do not click links or open attachments unless you recognize the sender and know the content is safe. Dear City Clerk, Please include the below in written communications for the 03/04/25 city council meeting. [Writing on behalf of myself only, as a Cupertino resident and taxpayer.] Subject: Concerns on Baker Tilly Budget Recommendations Dear Mayor Chao and Cupertino Council Members, I am writing as a Cupertino resident regarding Agenda Item 7 – Baker Tilly budget recommendations. I have several concerns: 1. When and under what direction was Baker Tilly hired? 2. Was this initiative part of a prior Council’s City Work Program (CWP)? 3. What is the total cost, and who authorized the expenditure? 4. How was Baker Tilly selected, and were alternatives considered? 5. How much staff time was allocated, and at what cost? Consulting projects should not proceed without clear Council approval or CWP inclusion. Repeated reliance on consultants is costly and unaffordable given our budget situation. Modern free AI tools can generate similar analyses in minutes at no cost. For example, I used an AI tool to analyze the FY24-25 budget in minutes, producing a set of recommendations for your consideration. A similar exercise could be done using different editorial or formatting or readability considerations I urge the City to train staff for free on available free AI tools and eliminate unnecessary consultant expenses. Please take immediate action to eliminate wasteful spending on consultants. 32 Actionable Recommendations to Improve Cupertino's Budget Document Clarity & Readability 1. Executive Summary: Provide a one-page high-level overview of revenues, expenditures, priorities, and financial challenges. 2. Plain Language: Eliminate jargon and simplify financial terms with clear, direct explanations. 3. Hyperlinked Table of Contents: Enable clickable navigation for faster access in digital formats. 4. Budget at a Glance: Include a single-page snapshot of major financial figures and trends. 5. Infographics & Visuals: Use more charts, Sankey diagrams, and dashboards to illustrate financial data. 6. Consistent Formatting: Standardize fonts, headings, colors, and section layouts for readability. 7. Sidebars & Callouts: Highlight key budget takeaways, major changes, and important updates. 8. Glossary of Terms: Provide a simplified glossary for key budget and financial terms. Financial Transparency & Accessibility 9. Narrative Justifications: Provide brief explanations for significant revenue and expenditure changes. 10. Reserve Fund Usage: Clearly explain why and how fund balances are used, with long- term impact analysis. 11. Historical Data Comparisons: Show five-year trends for revenues, expenditures, and fund balances. 12. Departmental Budget Summaries: Standardize department overviews with funding sources, changes, and initiatives. 13. Capital Improvement Plan (CIP) Breakdown: Summarize major infrastructure and public works projects with funding sources and timelines. 14. Debt & Liabilities Overview: Provide a clear breakdown of outstanding debt, obligations, and repayment schedules. 15. Grant & External Funding Tracking: Highlight how much of the budget is funded by grants or external contributions. Strategic Alignment & Prioritization 16. Direct Link to Strategic Goals: Explicitly connect budget allocations to city priorities and objectives. 17. Outcome-Based Budgeting: Shift focus from spending categories to service delivery and effectiveness. 18. Priority Ranking System: Clearly indicate which initiatives are top priorities and why. 19. Work Program Integration: Align budgeted projects with the City Work Program for transparency. 20. New Initiatives Section: Separate new and ongoing projects to clarify budgetary impact. 21. Scenario Planning: Include alternative budget scenarios based on revenue changes or economic shifts. Performance Measurement & Accountability 22. Key Performance Indicators (KPIs): Define SMART (Specific, Measurable, Achievable, Relevant, Time-bound) metrics for each department. 23. Year-over-Year Performance Tracking: Include past results alongside targets for comparison. 24. Resident Impact Measures: Indicate how budget decisions affect service levels and community benefits. 25. Program Evaluations: Assess cost-effectiveness and outcomes of major city programs. 26. Benchmarking Against Peer Cities: Compare budget allocations and financial performance with similar cities. 27. Quarterly Progress Reports: Publish updates on financial performance and goal attainment. Public Engagement & Usability 28. Resident-Friendly Budget Summary: Create a short, easy-to-read version with key takeaways. 29. Community Input Summary: Show how public feedback influenced budget decisions. 30. Online Budget Dashboard: Develop an interactive digital tool for residents to explore city finances. 31. Annual Public Budget Survey: Gather resident priorities before budget drafting. 32. Budget Q&A Section: Address common community questions in a dedicated FAQ section. Thanks, San Rao (Cupertino resident and taxpayer)