07-29-2016 MinutesMINUTES
SPECIAL MEETING
July 29, 2016
A Special Meeting was held by the Schertz City Council of the City of Schertz, Texas, on July 29,
2016, at 8:30 a.m., at the Fairfield Inn & Suites, 5008 Corridor Loop Road, Schertz, Texas. The
following members present to -wit:
Mayor Michael Carpenter
Councilmember Jim Fowler Councilmember Daryl John
Councilmember Robin Thompson
Staff Present:
Executive Director Brian James
City Attorney Dan Santee
Assistant to the City Manager Sarah Gonzalez
Myles Clauser, IT Director
Guests Present:
Robert Brockman
Tom Turke
City Manager John Kessel
Executive Director Dudley Wait
City Secretary Brenda Dennis
Juan Santoya, Finance Director
James Walters, Asst. Finance Director
Glen Outlaw
Mayor Pro -Tem Edwards and Councilmember Azzoz were absent.
Welcome /Overview
Discussion and direction regarding mid- budget preparation, including but not limited to the
Infrastructure, Road Improvement and Facilities Master Plan recommendations, as well as key
growth and service provision indicators such as population growth, tax base development,
staffing levels and structure, and how to apply the information to assist in appropriate priority
based decision making. (J. Kessel)
General Comments
Mayor Carpenter recognized City Manager John Kessel who outlined the goals for the retreat.
Mr. Kessel also reviewed the goals from last year. Mr. Kessel spoke of the City's three
circles: Core Services, Economic Engine and Quality of Life.
City Manager John Kessel provided information on the following topics:
• 20 Mile March, as referenced in Jim Collins book "Great by Choice"
Mr. Kessel referenced the above book stating this was a story about Robert Scott and
Ronald Amundsen and their race to the South Pole in 1912. Scott's and Amundsen's
ships, the Terra Nova and the Fram, met at the South Pole before the expeditions began.
Scott trained in Norway and, on the expedition, used mechanical sleds and ponies. The
sleds' motors cracked in a few days and the ponies died as their sweat froze and their
legs post - holed. Amundsen used techniques he learned from time living with Eskimos,
07 -29 -2016 Minutes Page -1-
including Eskimo clothing, dog sleds, blubber diet, and management of exertion (energy
reserves and perspiration).
Remember, the key characteristics of a "Twenty Mile March" are the abilities of a city
to:
I. both perform well in difficult times and to hold back in good times
2. to achieve long term consistency,
3. to maintain control in uncertain times (self - imposed discipline),
4. and to build ca aci for unexpected events (good or bad).
Councilmember Daryl John arrived at 9:28 a.m.
Call to Order
Mayor Carpenter called the meeting to order at 9:28 a.m. as there was a quorum present.
Topics of discussion continued regarding the 20 Mile March and the correlations with what we are
doing in the city today.
Mr. Kessel reviewed the following correlations as mentioned regarding the 20 Mile March and how it
relates to major concepts which we have used since 2012.
A 1�4 0 010 Oki 1,
.aw�
Twenty Mile March to a Balanced City
Core Services, Quality of Life, and Economic Engine: we have several key areas that need our major
focus that we should keep in mind when considering roadway funding:
— roadways (new & existing)
— buildings /facilities (new & existing)
— park facilities (new & existing)
07 -29 -2016 Minutes Page - 2 -
— water and waste water utilities (new & existing)
— drainage (floodplain and clean water)
— economic development/development process
— personnel (staffing levels & competitive salaries)
— technology (new & existing)
— and many more important areas (these are just a few)
ISSUE: We tend to focus on what is most apparent to us and what we know best, and we tend not to
focus on things that are less apparent to us and about which we know little. We have to be aware of
this and make a conscious effort to identify all of the issues we face, not just the ones we see.
POLICY 1: We need to continue to invest in our full range of city services, from roadways to parks to
economic development. An over emphasis in one area will inherently be at the expense of another.
Pro.jec-t Management Tflang Ile
ST
ISSUE: The triple constraint of "cost, time, quality: pick two" is true, yet we can't simply forgo any
one to achieve the other two because they all matter. This is based on the laws of competing demands
(short time = high cost or low quality, low cost = long time or low quality, high quality = high cost or
long time).
POLICY 2: Agree upon the right balance of cost, time, and quality in order to achieve a thoughtful
and appropriate solution.
ISSUE: The size and number of our projects limits our abilities to perform in a reasonable period of
time while still maintaining day to day operations.
POLICY 3: Chip away at a variety of things every year, not just one thing each year: a balanced
approach.
POLICY 4: Distribution of work to many departments, not just one department: a balanced approach.
ISSUE: We learn from the work we do. Rather than committing larger resources (time, money) up
front, we are wiser to perform smaller jobs and learn what works best and then commit to larger
projects /more aggressive timetables. Calibration allows scaling up what we have learned.
07 -29 -2016 Minutes Page - 3 -
POLICY 5: Perform smaller jobs and learn what works best, recognize limitations in skills or
resources and then commit to larger projects /more aggressive timetables.
ISSUE: Conditions, priorities, and understanding change over time; rather than committing larger
resources (time, money) up front, we are wiser to perform the higher priority yet properly scaled jobs
first.
POLICY 6: Perform phased or scaled jobs that allow success, learning, and agility when possible,
while not over - committing resources. This promotes greater calibration and prepares us for
addressing unexpected needs.
ISSUE: The success of new projects can come at the expense of existing responsibilities.
POLICY 7: Recognize and address the resources that are needed to maintain current responsibilities
when considering taking on additional responsibilities.
Strategic Plan: Key Operational Values
Systems management allows us to integrate and consolidate our resources, share best practices, and
achieve greater results and efficiencies across the organization rather than settling for the results we
get at the individual or departmental level.
Being innovative seeks to create new value for our community through meaningful change.
Being proactive creates a professional environment that fosters efficiency, offers greater ranges of
choice and meets stakeholder expectations.
Mr. Kessel broke for an outside demonstration of crack seal repair by the Public Works Department
at 10:00 a.m: Members present discussed and provided their comments regarding the value of the
demonstration. Public Works Manager Doug Letbetter and Street Supervisor Robert Martinez
provided further information regarding the different types of road maintenance they provide to the
City. Members present suggested that at a future community forum they discuss these processes.
Mr. Kessel stated that this all relates back to our Strategic Plan. He addressed Systems Management,
being motivated and being proactive.
Mr. Kessel recognized Executive Director Dudley Wait who provided a PowerPoint presentation
regarding information on the following:
• Road Maintenance Options
• Pavement Condition (From PCI Assessment)
o Performance Prediction Curves
• Road Maintenance Options
- Pot Dole Filling
- Crack Sealing
- Slurry Seals
- Chip Seal
- Mill and Overlay
Roadway Stewardship
07 -29 -2016 Minutes Page - 4 -
What is roadway stewardship?
Roadway stewardship helps us more effectively spend scarce roadway funds in order to maximize the
benefits to our city.
Roadway stewardship helps us extend the life of our existing roads by making earlier, smaller
investments to gain greater road life.
Roadway stewardship attempts to answer the questions which road, which repair, who to do it, and
when to do it.
The Committee of Committees Advisory Board (CCAB) considered a draft version of the Twenty
Mile March philosophies, the Maintenance information, and the Roadway Stewardship information
on Wednesday, July 20, 2016. The CCAB supported this direction and approach to addressing
roadways.
City Staff arrived at 12:53 p.m.
The Staff Leadership Team (SLT) reviewed and refined the Twenty Mile March philosophies on July
28, 2016. The SLT supported this direction and approach to addressing roadways.
Policy Strategic Tactics Operations
-/1 Plan
Council Boards SLT Mgmt./Front Line Staff
Roadway Stewardship
With roadways, we have three primary areas of investment:
• new roadway construction
• in -house maintenance
• outsourced maintenance.
Each one needs a separate strategy to be effective.
New roadway construction is currently hinging on a leverage strategy, seeking partnerships, grants,
and other contributions.
We can consider Roadway Impact Fees "partnership" funds as they come from development that
typically would not have otherwise contributed towards their fair share of the roadway burden.
Focusing on our TXDOT partnership is important, particularly as we work towards funding for phase
two of the FM 1518 roadway.
In -house maintenance requires the city to have a better understanding and management of what we
can do well and what we need to outsource.
07 -29 -2016 Minutes Page - 5 -
Our strategy should revolve around knowing the right road, the right repair and the right agency to do
the work needed, as well as only taking on the things we can do well enough to make a lasting
difference.
Outsourced maintenance requires the city understand where we can get the best value for the dollars
spent (Return On Investment) and where we lack the ability to perform at minimum levels or where it
would prevent us from performing other required maintenance. It doesn't make sense for us to buy
the equipment, train our staff, and try to do all things in- house.
Our strategy should be to look for areas we can innovate our maintenance practices less expensively
or more quickly than we could taking those tasks on in- house, as well as those things that would
consume too great a percentage of the street department's time each year.
Discussion began with the seven (7) policies discussed earlier; we all agreed to them. We are all in
alignment in respect to roadways. We still need to focus on policy & the strategic plan. The PCI
should help drive our mechanism for priorities, both which roads to work on first and what type of
repairs to do in order to foster the best results for every dollar spent.
What is PCI? The following example was provided:
100
a 8a
M
e
r 60
40
0
U
0
E
M
0
a-
Resurface ($1.75- 32.501s� Y
Pavement Age
ISSUE: All roads in every area of Schertz should be treated fairly and the best use of our taxpayer
dollars for road maintenance should be strived for. How do we best use our PCI data to make wise
choices that maximize our roadway maintenance funds (ROI)?
POLICY: Our PCI should be the foundation that drives our maintenance priorities, both which roads
to work on first and what type of repairs to do in order to foster the best results for every dollar spent.
Maintain trust — transparency, planning, and following the strategic plan. Our PCI should be the
"foundation" that drives it.
Mr. Kessel recognized Assistant to the City Manager Sarah Gonzalez who provided a Power Point
presentation regarding some results of the recent Employee Engagement Survey:
07 -29 -2016 Minutes Page - 6 -
Strategic Plane
• An engaged workforce provides better service to our internal and external customers and is
the foundation for continuous growth and progress.
Overview:
na
• 2 Employee Engagement Survey
• Administered by the University of Texas at Austin
0 Institute for Organizational Excellence
• 84% response rate from Employees (up 13.5 1/6)
The first survey was conducted in 2014, plan on conducting survey every other year (in the even
years) next one will be summer of 2018. The organization who did it last time, they have over 30
years of experience surveying hundreds of organizations and hundreds of thousands of employees.
We cannot quite see a trend with this second data point, but after the 2018 survey, we will be able to.
273 employees responded out of 325, which is considered a high response rate. This 84%
demonstrates that employees are willing to take the time to complete the survey.
The 2016 score is in the healthy range. Overall score increased from 345 to 369 — this represents an
increase of 4.8 %. We are moving the needle in the right direction.
• Levels of Employee Engagement
18% Highly Engaged
30% Engaged
41% Moderately Engaged
11% Disengaged
This measure is new to this survey iteration. These four levels of engagement are modeled to how
Gallup measures their levels of employee engagement. Gallup is an organization that is known for
their public opinion polls; employee engagement is a specific key practice area they focus on. The
48% of highly engaged/engaged employee's represents a nice balance. While 52% of our workforce
is either moderately engaged or disengaged, we are actually above the average for this measure. The
average is 2/3 of your workforce falling in the bottom two levels.
Survey Results — Interpreting the Data — Presented by Executive Director Kyle Kinateder
• Score — averaging all items responses on a 5 point scale. A year over year change of 0.2 is
significant and should be looked at closer to either celebrate or focus our attention. The score
is also shown by multiplying the average score by 100.
• Benchmark — ability to compare previous years and similar organizations.
• Standard Deviation — the level of agreement between the responses. Larger deviations
indicate grater disagreement.
• Lowest 0.71 (Score 4.24) — Question #6: I know how my work impacts others in the
organization.
• Highest 1.24 (Score 3.26) — Question 434: Health insurance benefits are competitive
with similar jobs in the community.
07 -29 -2016 Minutes Page - 7 -
• Construct — groups similar items together.
Survey Results Highlights:
• Consisted of 48 primary questions.
• In the specific questions about pay (questions 30 -32), while still low with regard to the
agreement percentage, we moved the needle in the right direction.
• For those questions that reflected a past score (43 out of 48), we moved the needle to the right
in all but one question.
Shorter iteration this time; reduced from 71 in 2014. Question 30 (which was "My pay keeps pace
with the cost of living" — increased from 1.92 to 2.61. Question 31 (which was "salaries are
competitive with similar jobs in the community"— increased from 1.95 to 2.80. Question 32 — (which
was "I feel I am paid fairly for the work I do ") increased from 2.17 to 2.89. The one question was
regarding health insurance benefits, which many organizations are also similarly facing.
Comparison of constructs:
Constructs are similar items that are grouped together; the scores are averaged and then multiplied to
produce the scores. These constructs capture the concepts most utilized by leadership and drive
organizational performance and engagement. Result of that score reflects in the breakdown_
2014 low scores — Pay — 201, Internal Communication -305, Diversity — 330
2014 high scores — Employee Engagement — 369, Employee Development — 379, strategic — 380
2016 low scores — Pay — 277, Internal Communication — 346, Benefits — 351.
2016 high scores — Employee Engagement 388, Employee Development 389, strategic 402
Don't look at us needing to move everyone all the way to strongly agree. Moving the neutrals to
agree; and moving the disagrees to neutrals is a start. Examples of success of this were provided to
the group.
Going forward our employees have high expectations from this leadership team to act upon the
survey results. From the survey 1 in 5 employees believe the information from this survey will go
unused. It's more than looking at the Employee Engagement and Construct pages. The survey itself
isn't a report card but the foundation for a discussion. Communication: Talk to your employees.
Mr. Kessel reviewed the constructs which going forward it's more than looking at the employee
engagement survey and construct pages, its individual and organizational satisfaction. He discussed
the following major engagement drivers:
Level 1: Fundamental Resources & Equipment
Level 2: Individual Contributions
Level 3: Team Contributions
Level 4: Organizational Improvement
Mr. Kessel discussed the following major drivers for individuals:
Level 1: Since of Purpose
Level 2: Mastery of Job
07 -29 -2016 Minutes Page - 8 -
Level 3: Workplace Autonomy
Mr. Kessel reviewed an "Engaged Workforce" utilizing and from our Strategic Plan — "Healthy 1
Balance ". An engaged workforce provides better service to our internal and external customers and is
the foundation for continuous growth and progress.
Mr. Kessel mentioned that we will possibly have four (4) new Councilmembers, all members' present
discussed items for a new council orientation program and what it should include. Some items of
suggestion included:
• Meet staff/departments (overview v. detail)
• Budget 101 and Municipal Finance briefing
• Council Rules, Procedures and Code of Ethics
• Strategic Plan overview
• Glossary of terms
• Boards, commissions, intergovernmental partnerships overview; relationship with Council
and staff.
• City tour with lots of maps (zoning, ETJ, etc.)
• Open meetings training/legal topics review
• Media Training
• Retreat/personality profiles (DiSC, leadership etc.)
• Governance Model
• Charter 101
• EDC overview
• Comprehensive Development Plan
Final comments were provided by Mr. Kessel, Mayor and members of Council that were present.
Adjournment
Mayor Carpenter adjourned the meeting at 2:51 p.m.
44c Carpenter, Mayor
T
renda Dennis, City Secretary
07 -29 -2016 Minutes Page - 9 -