training materials supplies with 20,000 on taxes licenses and permits. budget analysts had recommended just over $1 million. at this point they agreed to 115,000. items #2 and 3, roughly $962,000, they will require more discussion with the budget analyst regarding how we subject staffing and methodology that we use. we feel that we would not be able to balance our budget without proposing 610,000 over time. $351,000 in premium pay. i would ask that we come before

you next week for some resolution on those items. and then the other item, the policy issue brought up by supervisor camper, they are proposing to reduce, which we would strongly disagree with. supervisor chu: thank you, chief. let's go to the budget analyst. >> regarding the point about the 4.14% increase, the supervisor is absolutely correct. there is an increase in this budget and the mayor sent over a budget that was sent to the board of supervisors and it was declared to be balanced on the basis of the 9 million or whenever it was around the givebacks that the firefighters might give back. it is a complete the separate

issue, as we see it. a problem that must be resolved by the mayor's office if the budget is not balanced. i want to emphasize that if the committee accepted our cuts, it is a complete the separate issue. i want to call to your attention what we disagree with. page 27 of our report. let me read to you about the overtime. supervisors, there is some question about the statement that it is less expensive if we use over time. it is, to a point, but it is not completely clear in that regard. what we say in that overtime is we recommend that you cut it. we say that it has increased by $3.2 million.

here is the key. with the addition of 36 new firefighters, this recommendation would still allow for the committee's consideration a cut of 610,000, which still allows a budget increase of $2.6 million in overtime in fiscal year 0 11/12. in that recommendation, supervisors, we have considered the fact upset the fire department exceeded its budget over time by about $6 million. you are correct that they absorber, and i wanted to know that we consider the fact that overtime was exceeded.

we are recommending a cut of $309,000 and the comptroller's office is projecting a surplus of $345,000 in 2011 -- 2010- 2011. our recommended reduction including mandatory fringe benefits still allow for sufficient funding in 11-12. the neighborhood of emergency response team for the city residents, programmed primarily as an option for assigning staff through regular hours to provide the new services. we know that during those hours

there is down time by firefighters. no question about. primarily through the use of the apartment over time during the work hours is a policy matter. we are suggesting a cut as a policy option and i would be happy to answer any questions. thank you -- supervisor chu: thank you for the explanation. if there are no other questions, would like to have the department work -- chief? go ahead. >> i would like to commit that we will continue to work with the budget analyst. if you believe that we are being as efficient as we can, the one piece that is troubling to me is the state and that we have

overspent in overtime karpothis, which we have, but the challenge for us outside of acknowledging that we have overspent, we have not been overspending because we were careless, but how can i come to you and say that i support for the reduction is? we do not see anything getting rosier in terms of staffing. it is a challenge for us. >> the department is getting 36 new officers this year, a factor we have considered in this recommendation. we believe that over time can be reduced. supervisor chu: i do appreciate the conversation regarding the

overtime component. there is a desire to work that out of hand with the help of the comptroller's office and the chief, i think we will come to a conclusion that we can all live with. one thing that i will say is that i am also concerned, if we are seeing in the current year budget a revised budget of $21 million in overtime dollars, we spend $26.9 million. it is a concern that even if we have an additional #people, what does that mean? i am concerned about that a bit. if i could ask mr. rose to take a look at perhaps other alternatives for budget reduction in addition to the comptroller's office taking a look that over time? >> absolutely.

supervisor chu: chief, thank you for keeping us abreast of the changes on mou. >> thank you very much. supervisor mirkarimi: i know that the department of emergency management has been waiting patiently. let's take them as our last apartment and then we will go on a break. >> madam share, committee members, department of executive emergency management as the director of emergency management, as you know we have

been at the health department for 16.5 years. i came into this role in january of this year. i have a wonderful staff and then quickly coming up to speed. i wanted to give you a quick overview of the department. emergency management consists of three divisions. including administration and support staff. serving as an immediate and vital link between the boat -- between the public and facilitating planning coordination between city department residences, businesses, and others for comparing mitigating and responding to emergency disasters. so, really briefly, our emergency services division has

four main components. it has emergency management, emergency medical service agencies that have the oversight of the free-hospital care. grants management for for a pair of this. the majority of this budget is grant funded and 23.5 in the department's division of emergency services and only comprises 4.2% of the overall budget. our emergency communication division has 185 fte's comprising 53% of our general fund budget. as you know, emergency communication does 911 call

information. we have also picked up sheriff's dispatcher over the last year. we do do data collection and sunshine requests related to 9/watt -- related to 911 calls. we have fielded about 18,000 calls in our 911 center. finally, the administration section is 40% of the budget comprising 30 fte's. 18 of those are i mean it area -- are in the it area. through the computer aided this that system, we have support that ensures that we are able to

respond to first responders and the public in a timely fashion. i know that chairwoman chu had asked about the five-year outlook of each department. looking outside of the year is we do not anticipate many changes. the majority of our funding, approximately 90% of it is general fund funding. actually, more than 90%. you are all aware that there used to be a fee that paid for the department of emergency management services. we no longer receive that feed and are relying primarily on the general fund. grant funding that we do receive pays for the department of emergency services, for the most part, but the emergency communications side is paid for

predominantly by the general fund. in the analysis of mr. roh's he states that we are 6% more than our original budget from fiscal year 10-11. the way that we calculate it, we are 2.8% less because there were two items calculated in there that if you pulled them out were less than the general fund, which is the update of our system that is very critical in our response effort coming to the end of its natural life. the system is no longer going to be supported and we must do upgrades as we are refurbishing it. the department of technology, we

have supported the efforts to upgrade that system, which is vital in terms of public response. people do not think about it and they see our men and women in blue and black on the streets and understand their role, but we are the invisible role behind what they do. even in the last week some of you may know that we have been hosting the conference at the hilton hotel downtown, the 50 annual youasee conference. my staff had not only done all of the planning for the conference, but they were doing the supervision and basically acting as a disaster service workers with the incident command post working with fireiy

questions. we have been working closely with mr. rose's office. we have not come to agreement on all areas. we do agree with the recommendations on work order reductions, and we agree also to the general fund encumbrances that are about $30,000. we are still working to come to some agreement on an the other areas. i am happy to answer any of your questions and thank you for your time today. i certainly think the mayor's budget office and the mayor's controller's office and the office of mr. rose. supervisor chu: thank you very much. mr. rose?

>> madam chair, members of the committee -- we recommend a reduction that is 100% of the ongoing general fund and reductions that will allow an increase of 5.3% in the budget. we also recommend closing bell general fund incumbrances. together these reductions result in general fund sailing -- savings and we will work with the department to get that to the committee. supervisor chu: thank you. seen we do not have questions from the committee, we will see you -- seeing that we do not have questions from the committee, we will see you next week after you get that worked through. all right, colleagues, why don't we take our recess?

supervisor chu: welcome back to the budget and finance committee. this is the second day of budget hearings. we are coming back with the second half of today's hearing. i know that there are a number of representatives from department here, but also members of the public. just want to make an announcement, we will but having -- we will be having public comment day at 10:00 on friday. if there are members of the public who wish to comment on the budget, any aspect of it, we will be holding public comment all day on friday. why don't we start with the

police department? and our new chief. >> do i just start? it is my first time. good afternoon. thank you for having me. i want to make a couple of acknowledgements before we go into our presentation. again, this is my first budget, and i appreciate all the help we have had from everyone in the department as we put this budget together. from the mayor's office, the comptroller's office, the budget analyst, harvey rose, and the

budget committee, who i had a chance to meet with, and again, i know it took a long time. i appreciate your patience. and supervisor carmen chu, for your leadership. with that, i guess we will get started. as far as the 2011-12 proposed expenditures, 80% of the budget is personnel salary and fringe. 3% for professional services, 1% to capital, 1% to materials and supplies. i can answer specifics on any of these slides. i should have acknowledged those to put this budget together. alice b. gomez and deborah

landis, our budget director. ok. the reductions already taken in 11-12, took a little better than $2.8 million in reductions. the current fiscal year savings is about $384,000. revenue increases were about $1,050,000. when i came on, it's a this almost $1.1 million. this next slide shows the command restructure. we went from, i believe it was 11 positions to 10 we eliminated

the rank of assistant chief. one deputy chief was reduced to commander. and one mma position was eliminated and another position was eliminated, and those are staffed now by captains. staffing always comes up. i know yesterday's the -- yesterday's the drop program went away. we have 550 people eligible to retire next year. there are 200 people who are entitled to be drop. i do not think we are at a crisis right now in that the drop program for the rank and file, the uniformed officers on the street, take place over a

three year period. however, they can decide over any point in those three years that they just month to go. another group that is still eligible to retire will meet mack's retirement in three years, which will be the drop dead point for the drop. -- for the drop. this situation is going to become a very serious for next year's budget. we need three academy class is to just day where we are now, where we are short, but doable. as we improve, we can keep the level of service, but now -- but not if we're down 300-400 officers. with that, if you look at the

hiring costs of having three academy class is, the salary costs are about $1 million, and the salary costs for our regular academy without law enforcement experience is about $5 million. the reason for the difference is certain lateral officers have post-certifications they bring with them, so they do not start at the bottom step. and we graduate more people from lateral class's. there is a varying pace to get through the academy, having already successfully operated in other police departments. the tricky part there is many police officers -- at some point in time, you start getting officers that perform at less than or not having achieved.

you to not want to hire someone else's problems. young officers with long, long futures, but no experience are probably the better way to go. if we can find someone to give the test, made late summer, early fall. -- may be late summer, early fall. supervisor chu: thank you. supervisor wiener: i always get very confused in the light of some of the information out there. what is the total global cost of one police academy class? it is a lot of numbers that flowed around. >> i am going to defer to debra landis. supervisor wiener: i heard other information after. >> the costs would put on the

slide today include salaries after the academy and field training is finished, because we already backed out the retirements for next year. we are not paying any individuals at this point for additional cost for next year. if you're looking at just the academy and fto portion of the salary, then it is more like $4 million for the salary and $1 million for the non-salary. >> that is plus six months of field training? >> i believe is 28 weeks in the academy and 16 weeks in the field training. supervisor wiener: this is plus the cost of the field training? that takes you to reject almost a year? >> yes. supervisor wiener: if we were to put in one or more academy

classes into the budget, what with the timetable be to get today one of the first academy class? how many months? >> the usual time frame for the first academy class would be mid-september. numbers we have in the presentation today are $5 million, $6 million are assuming a mid-september start date. supervisor wiener: that would have been less than $5 million because it would have been less than a full load? >> no, if you started later, then it would be decreased. supervisor wiener: if we were to start one at the end of the year and start another one, we would actually be looking at potentially around $5 million for two glasses? >> yes.

supervisor wiener: that is something i know a number of us are interested in. we have talked about putting one academy -- not on the board, but just in the world -- trying to put an academy class in. it occurs to me that if we staggered it the right way, we could put maybe two class's in -- classes in, and one is not going to be enough. we need to get to the point where we will be doing three a year for a while. i will be interested to hear the budget analyst from the mayor's office, maybe running some different models, if we want to do two class's next year. what it would book club -- what it would look like in terms of the timing to get to $3

million, $4 million, $5 million. just to get some options. supervisor chu: thank you, supervisor. supervisor wiener: can i ask one more question? and in terms of lateral classes, i know you will be more picky about who you're going to take and some people do not want to relocate. 14, 15 -- is that standard? can you have a larger lateral class while maintaining quality standards? >> absolutely. every time you pick up the paper, you can find out how many other departments are laying off officers to to no fault of their run. it is a budget crunch. i know san jose is laying off 100 officers. and they made it through the

background, successfully completed fto. it is just a financial situation that sets them free. we are happy to claim them. once this recession grex, your own -- you're only strategy -- once this recession corrects come like you're only strategy should not be to just take laterals. we have the luxury right now we can take the best officers. supervisor wiener: is there any concern that once the economy picks up, those officers might want to go back to their original departments? >> and not work for the best police department in the world in the best city? i don't think so. once we get them, we keep them. supervisor chu: a question on the laterals -- actually, i am surprised. i did not know the laterals and had more in