Limerick Township Manager Dan Kerr has reduced the projected cost savings of outsourcing the code enforcement department by 58 percent.
Kerr delivered a mid-year budget address during Thursday’s Board of Supervisors meeting.
He highlighted several areas of savings in 2009, including “$85,000 that we will realize this year from this transition.”
The supervisors voted unanimously to lay off Paul Chestnut, Bob Bieber and Amanda Marinari on March 12. That night, a statement for “immediate release” entitled “Limerick Outsources Code and Zoning Duties, Reduces Costs” was issued to a reporter.
In addition to a few quotes from township officials, the statement reads: “The planned savings for the remainder of the 2009 calendar year is expected to be at least $205,000.”
Chestnut, the former code enforcement and zoning officer, attended Thursday’s meeting and asked about the earlier-cited $205,000 figure.
Kerr replied that Chestnut’s understanding was “not correct,” adding that the larger figure pertained to “fixed costs” achieved by outsourcing.
Chestnut said, “I would like a PowerPoint presentation of savings to date, salaries and benefits included.”
Supervisors’ Chairwoman Elaine DeWan said, “Um, you don’t get the chance to set the agenda.”
The former employee asked the entire board if they knew what the cost figures were to date.
“It would be great if everyone’s budget was sovereign,” Supervisor Renee Chesler said. Last week, she outlined several non-monetary benefits of outsourcing.
Health insurance, pension costs, and car expenses were all eliminated when the codes department was outsourced, Supervisor Joe St. Pedro stated.
Kerr’s finance presentation also updated the board on development revenue.
“The pipeline that the township has counted on for years with permitting and zoning is declining,” Kerr said.
There have been five land development applications for 2009, down from 20-plus just a few years ago. Furthermore, the township overestimated revenue from sewer fees by $770,682, a fact attributable to the building slowdown, Kerr said.
“Which means we can’t do capital sewer projects,” he said.
Limerick is doing everything it can to “downscale the size of this government” without raising taxes, the manager explained.
“This downward trend in Limerick is going to continue for some time,” Kerr said.
On the positive side, the parks and recreation department has seen an increase in program participation. Activities and trips have been so popular that the department will likely return money to the general fund this year, he said.
The board unanimously passed a budget amendment for 2009, updating several line items. One revenue source going up is “contributions.” Despite the loss of Home Depot’s $500,000 contribution, this figure is increasing from $150,000 to $700,000.
July 17th, 2009 at 9:32 pm
This to me is so sick and does not make sense at all. Dan, you’re doing a great job as a manager to cover up lies and deceitful motives. I will love for you to go as Limerick Township’s Manager because you most certainly do not deserve that power.
July 18th, 2009 at 8:13 am
Outsourcing work is a good trend for local, county and state governments. It’s a smart move for the taxpayer.
July 18th, 2009 at 5:05 pm
What the honest folks in Limerick wont tell you is that the $85,000.00 savings does not include the salaries of the two Limerick Township employees,who are now the code department secretaries at $97,000.00 a year. The cost of health insurance the Township is required to pay through the cobra law at $12,000,.00 a year and the (eliminated) vehicle at $2,000.00 a year is now being used by the Public Works Department to cut grass,costing the taxpayers just as much if not more than when it was operated by the code department.So when you add these actual costs to the equation the current savings is already NEGATIVE $26,000.00. Keep up the good work
July 19th, 2009 at 5:57 pm
Vogel – Do you live in Spring-Ford district? The “outsourcing” will be biting us all in the pocketbook. The school is now paying for services that were always handled by the in-house staff. Wait until you see all the bills the school district is incurring because Limerick has their outsourcing company charging the school. Pass through costs will be the price we ALL pay.
Theres nothing smart about politically motivated moves!
July 20th, 2009 at 6:43 pm
If you believe the private sector is more efficient than the public sector, outsourcing is a good deal. Most people I know think, in most instances, the private sector is more efficient than the public sector.
July 24th, 2009 at 5:27 pm
Vogel, I think in some instances it can be effective. When you consider the circumstances that these people were outsourced. There was a presentation and the savings was stated to be at least $204,000. I still have the newspaper article. Whats missing in this case… the manager lied to the board by using Dec., Jan. and Feb permit numbers. Im not sure about you but I never ordered a shed or put in a pool in the winter.
The numbers were manipulated in such a blatant way. The item wasnt on the agenda. There was no cost savings study, now the manager is claiming that the condition of some project paperwork has added to higher costs – thats what happens when you take a vote at 9 pm on a Thursday and kick the staff out by 9 am Friday. There was no transition. Purely politicial. The current board just spends spends spends and now theres an election looming, so they can brag about the “savings” .
August 4th, 2009 at 4:53 pm
before you could go into the twp building talk about what you want to do with your property and get a positive response…now you cant do what is your right well within the twp codes 155-11.1 instead i am handed 184-14 and 184-101 neither of which has to do with excisting structure with my house that has been standing since they were using horses to get around…so the revised codes dont apply but try to tell the twp that…the outsouring are people who only go by the codes…and not the situation…my legal firm has informed me that its all about getting you to jump through thr first hoop and if you do that then they have a second cash hoop and so on…sqeezing anyone that wants to do work on their house will not bring the revenues up…