>> do you have any announcements? >> please silence all cellular phones, and any speaker cards should be turned in. item number one, a hearing to

receive the update on the police department's budget for 2012- 2013 and 2013-2014. >> item #1 is a series of department budget updates to provide the committee members with the opportunity for feedback before the budget is submitted to us. we have chief sir to present the department's budget. >> i am ready to present a budget. we will give you an overview of war -- where we are, and the situations we are dealing with. this is not a complicated budget but some of the problems with relation to staffing in vehicles are pronounced. if you look right now on the

screen, the proposed budget is 480,000 -- 480 million, -- 89% of that his salary and fringe, and that is a huge proportion of the budget. next is services to other departments at 7%. these are things i don't have a lot of control over. 96% of the budget is static. and the remainder is the non- personnel expenses. the current budget proposal includes a reduction of 36 sworn positions, and the reduction of 36 more in the following year. this is equal to 5.8 million for each year. non-personnel contracts include maintenance and consulting services.

the department's our workmen's comp charges, the other is capital equipment. >> can i just ask what the regards to the proposed budget, services to the other departments, does this include the bay airport officers? >> muni would be yes, assigned airport officers, no. the next one, the fund's expendatures, we spend 56% of the budget on patrol, 16% on investigations, 10% is the airport, and occ, is one percent. >> just a question -- >> a clarification. just a clarification.

on the first chart, airport is inclusive of the salary and fringe? >> yes. >> and service of the other departments, they have the work order from muni. >> where is this? >> this is not. the other services. services of other departments. this is in there. >> ok. >> the funding expenditures, as expected, over 55% of that is patrol. this is not to be overstated that this is the backbone of the police department and the other units support patrol, and

the officers within those districts. the budget is -- although this is going to grow from where was last year, this is basically because all of the concessions made over the life of the labor contract came to this year, so the furlough days and the postponement of the salary increases and all of that, that will become due in 2013. the big issue for us is staffing. we are down about 200 officers, 200 officers -- and this goes up and down a little bit but will keep going down in the succeeding charts. we lost 68 officers in 2012 to the drop and the option program and will lose another 111 or

more in 2013, and we will lose the balance of the 265 total before the end of fiscal year 2013-2014. this will be exacerbated when the current contract expires -- and there are things with them a contract that mayor may not continue. certain benefits have gone away in the other contracts. with the wellness program. we could lose as many or more, as 100 officers. at the end of 2015. the total net loss of current staffing between now and then, would be somewhere around 400 officers. less we turn up of 500 officers

down. it would be difficult for the police department to do much of the front end stuff. the primary responsibility is answering the 911 calls. the other agencies that have suffered losses of personnel are suffering increases in violent crime because the officers are not there for the front end work, doing the extra time with community policing. this does not really serve anybody. >> i want to make certain that we are doing -- the number that you see -- this is according to the formula -- according to the number from 1971. if you have officers assigned to the airport, this is not counted. >> this is on top of everything. they are down about 10% from

with the equal staffing would be. if you look at the next slide, there are no class is scheduled, -- classes scheduled, and every member of the board knows that we need some academy classes. if we had no academy classes, when we get to that point of june 15, we would be at 1480 officers, the least amount we w ill have ever had. >> can you explain how you got to these numbers? is this the number of those who are enrolled and drop, and those who would have to leave because of the drought program, what does this bill in attrition? >> this is counting on a certain amount -- certain amount of attrition on top of that.

those are conservative numbers. >> in terms of the attrition, there are going to be some people who would have overlap on the drop where they are retiring because of the program. you are not double-counting on the attrition number. the situation would go the other way. there are certain people that did not go into the drop that will retire. the minimum would be the drop numbers, and those numbers will likely be higher. the next slide shows the staffing plans that i presented to the mayor. the key number to look at is the final number, the red number. the number that never gets to 1971, that is if we never hired -- if we never hired any --

anything but three classes. we need to add some time by the bullet and higher -- hire four or five classes. when we get to full staffing, we need to of them per year to stay there. we have gone through a cycle where we go through these spikes, and then create the circumstances where everyone who is hired leaves at the same time, creating a huge deficit. we have not hired a general fund since 2009. the first class that we will hire will be this year in june. and the reason it was hired late was that prior to getting -- we did not have a test schedule when i came in as chief.

we did not have enough qualified candidates to make up the full class. we will use a combination of the old list and people from the new list that we now happen to have several hundred candidates and we believe we can hire enough classes. >> supervisor avalos? supervisor avalos: if you could give us, what is the full cost of the academy class, if they were to start at the beginning of the fiscal year? >> it depends on when you hire a class. the range would be -- it depends. this is somewhere around $8 million, for the whole year. you can take away from that

cost. we do have a slide, if you can put this up. >> this would be less than $40 million per year. >> if you look at this -- >> i can multiplied. >> this is the spike that gets created because those middle years, this is when we would have the full academy and the people who are still going to retire on the books at the same time. in 12th-13, the expense depends on how many that you hire -- the true spy would be in 2013 and 2014 -- because the officers that would be on the books, are

actually making a lower rate of pay, if that makes any sense. >> that makes sense, and i see the need to want to have -- to make certain that we get as close as we can to the full command. $75 million over one budget year is a lot. if i read this incorrectly -- >> this is 36. this is half of that. >> this is a lot. >> and again, the situation, as it goes, we put ourselves in this situation and we do not hire, and then we go low. we will get to later slide, and this is questionable if you pay this in salary, or overtime. the job still needs to get done and we have a historical slide

here that shows how we go into an adverse situation, as the salaries go down and over time goes up. if we have the full staffing, we save this in overtime. this is 12-$13 million less than it was a few years ago. and there are the record low homicide rates when we have the bodies to do the front end work. >> this is surely commendable and i am impressed with the police department bringing down that number. i recall in 2006, the response was to increase overtime. and this is not a direct correlation for the higher rates of overtime. this is a testament to the work that you have done, and the men and women of the police force.

>> just a question for the mayor's budget office, i have heard a different number, more in the range of $5 million. can you identify? >> i think as the chief said, the number -- no. does depend on when this starts, and it depends on some of the economies of scale. there are some savings to the department, and the class is marginally cheaper when you have more of them. you don't have to shut down times on the front or the back end. we have tended to plan for $5 million, the cost of the academy class. >> i am trying to understand this -- that these are all full recruits and we are not assuming any lateral classes?

>> now that everyone is low and hiring again, the competition is great. another thing with lateral, in the situation where laterals were laid off, it was due to no fault of thier own. when you get laterals, they are looking for the best financial deal. this is not the best reason to switch over. >> can you explain the difference in the colored lines? >> we color-coded if you had five the first year -- and the purple line, full-staffing the fastest would be five classes, then three, then two. that makes the biggest financial

hit the soonest, the fastest, but don't see the prolonged high numbers. >> and you roughly space this -- >> to put it in context, we have had a couple of situations but one of the big issues that we had was when captain goldberg and i came in. they had six academy classes a year. all of those have now hit 30 years of the same time. supervisor cohen: when you say a lateral hire, this is someone from opd to come over to our force? >> yes. they would go through the abbreviated academy, and they are more ready to hit the streets. but they are