adequately monitoring and auditing and adjusting for where we have employees that are exceeding the 25% or coming close to exceeding. we're trying to catch this before they happen. we still have far too many of those. and many of the foregoing steps that i mentioned will enable us to reduce those. the slide shows some of the actions we have initiated that are completed since we last reported on at this. this is the timeline we have for, a kind of, completion and then ongoing management to ensure we are complying with the admin code. finally, going forward, there are a number of steps we're taking. i think we right sized the overtime budget. while an increase in budget well, if met, and i intend to meet its, will represent a

significant decrease in spending. we're ramping up our hiring so we can fill regular time positions anywhere where we have funded vacancies so we can rely less on overtime. we have put into place a much more rigorous policy to make sure that we are compliant with the admin code. we're seeking cost recovery where we can. we're using technology. we're making sure that we're we're dealing capital work thate are charging that work appropriately, and most of all, really make this, thanks to your leadership in the leadership of the board, a very strong focus at the executive level of the agency that we need to comply with. and that we live within the budgets that we set for the next year. that is the presentation, i would be more than happy to answer any presentations. >> i am glad that you walked us

through the overtime. i think that is definitely in the right direction. he used " a lot about the operators and the rationale why there were lots of overtime. it seems a little bit surprising, that the budget was only 270, but the other was significantly higher than what was budgeted. you have a rationale why that was the case? >> i've enclosed a 20% of the station agents got available for work home because of workers coghill horror other types of leave, part of this has been back killing of those positions to keep the station agent occupied. we have started to adjust that to bring down, so you will see

more often, in the subways, the second station agent booth will be unoccupied. please see it as a diminished service to the public, but it is a step that we feel we need to take. we're focusing very strongly on workers, and other issues so that we can get folks in the dark in fill the positions have back to work. supervisor campos: i think it is great to see all the changes that are taking place. there was a time when the board wasn't even -- it was a good thing to see this happening. i think more realistic budget and also makes sense. i know it will not be the last time we are talking about m.t.a. overtime.

it is a positive thing to see the direction in which the mta is moving. i want to thank you for jumping into it, hitting the ground running, and to the members of the board for making this a priority. i think the progress shows. >> let's move on to the next department. gosh morning, supervisors. and the deputy chief of the administration bureau. i will be brief. you will see on the overhead of the fiscal year break down scale of actual fund budget and

actual spending. i hope you noticed the downward trend. or we are asking for an appropriation to this year, with some mitigating factors including the overtime increased due to occupations at over 1.3 million didn't carry visits, 256,000, and a greater reliance on overtime. rather than risk limiting the essential services to the neighborhoods, we see to do it otherwise. i will address the individual's name of the comptroller's report of the 520 hour limit. they're both mitigated with federal funding.

i would be happy to entertain any questions. >> what of removed to the next department? >> i have a question, that you for being here. another of the general fund overtime has declined over the past several years in the police department, can you touch on that right now? just how much. i know before, i recall being above $20 million. >> i think it dropped to 13, and we hit a 11.8, a 11.1 over the next two years, and we have done that through using a lot of on- duty resources, and sometimes stripping to unsafe levels. with that, spontaneous events or

evidence that call for lots of staffing, we have changed people's hours and brough special risky and it's for those events. >> i am happy to report that we are under-budgeted in the overtime, and unlike our projection who for the six month report, we're projecting the annual overtime to be 7.9 million, which is lower than the controllers projected. i believe the reason for this is the controllers annualized this the first six months, and then we had a lot of spikes and

because of occupying as well as elections. in the second half of the year, we are seeing significant decreases in overtime. >> the production is going a year out if he'll the beginning of the year, that is not exactly a good representation of the trend going forward because of the other factors of the first part of the year? >> correct. we're projecting to end the year at about $7.9 million of overtime. some of the reasons for that are occupied, some of the special events that have happened, because of the medical ward being closed. we are working to see if we can see some understanding.

i like to point out that we have got hired in some time, hot since september of 2010. credit is an issue we're looking at closely with the mayor's office. >> why don't we go to the department of public health? >> in the morning, supervisors. i don't have a presentation prepared for you, but just to give an overall look of where we are, the bottom line number of the comptroller's report is correct. we have set the dates that those numbers came from. a revised between divisions, and we are essentially where they projected in the supplemental appropriation that you have

before you later this afternoon. we will be asking for your approval to appropriate revenues to cover about one point i in additional overtime. there are a couple of reasons for the overtime being > budget. the big who picture for us as a% of the total budget. our total overtime is relatively small portion of that salary budget. we do have some issues that we have been working through and the current year and the past year, at the crux of the issue is that we have a significant portion of the operations on 24/7 staffing. when we are in a situation where we need to backfill, on some occasions, we are only able to do that through overtime. that has been affected the over the last two years, some of the

legal issues and trying to manage the staffing to cover the backfill chefs. for the current year compared the budget, we are over $600,000. 1.3 million at laguna honda hospital. we are working with the comptroller's office and the mayor's office. we are a good place for the system is in place to hire to fill 247 staffing. we have an agreement on what those are, and remove them through the process very quickly. we are working to control the overall level of cost. >> if there are no questions for the department of public health, i will open it up to general questions overall. >> if i may, i wanted to ask the department of human resources, and many of these questions

relate to the department of public health, but the issue is probably more prevalent. and at the outset, let me apologize that i will not be able to stay for the entirety of this hearing. there is a prior commitment that i have to attend to. i want to thank all the members of the public that were here and the workers that were here on this very important issue. i guess my question to the head of dhr, what is the situation in terms of the use of as-needed employees right now? >> i think that we have been hearing this morning about overtime use, and we have new limits on overtime use. and there is work that must be done in the city, typically 24/7 operations.

we have heard from some of the department's, typically with miscellaneous employees, a restriction on the amount of overtime were work must be accomplished will result in an increased use of as-needed employees exacerbated by a reduction of resources available to conduct examinations, including our own department. and because this was an issue that was raised in negotiations, we spent a number of days looking at polling data out of our systems, and i can share some information with you about that. it has been pointed out, based on the information we provided, that 21% by headcount of the employees are categorized as temporary exemption, which is usually as needed. some are used sporadically,

others are filling in for people on leave. some are waiting for it to be completed under the merit system. and there is a variety of reasons. however, of those, 13.8% are in the latest harold -- payroll period and active in the headcount. in gives you a better picture, and what we found is that 7.3% of the total hours worked as needed. it is not necessarily indicative of widespread abuse.

full-time employees are about when house and 93 hours. at the average as needed employee is 395. some of them might be working every day. because it is certainly not equivalent to the hours overall of full time. this is a great interest to the union bargaining. about 10% of the people in sciu are in the jobs now program. it is kind of a trading program that is entirely in horne's for those individuals to be in

contemporary exempt position. it is appropriate to be temporary. >> so that the people watching in the audience that may not know what an as-needed employee is, is there a definition of what it means to be an as-needed employee? hand in terms of comparing that employee to a permanent employee, what are the differences in terms of the benefits or protections that the employee has? >> the charter has several categories of exemptions employees. typically, what we consider as- needed employees, there will the people that are intended to be used for non-career jobs. we know they are going to the

people in those categories cannot receive, under the health service system, medical benefits or retirement benefits. the are limited. let's say the department is using employee to back a long medical leave. they typically will have a turnover in the individual filling the position. we do have an agreement where we developed a medical program for as needed employees. they are eligible for the number of hours they work. is the same program that is

used. >> are they needed protection in terms of termination of employment? dodge the labor agreement provides that. the labor agreement does provide that they have due process. they can be released for any legal reason. obviously, there are certain reasons. the job ends, it is not working out. >> has a fair to say that you don't want as-needed employees to be as-needed in terms of work of a permanent employee?

they are temporary, they are there for a limited time. is that the concept? ha there will always be, in certain area, a need for as- needed employees. for example, we clear the backlog of cases. there is a balance, you can never this continue as-needed employees. >> do we have a situation where someone is being treated as an as-needed employee when they should be a permanent employee?

>> there are situations in which if we had enough condition, authority, and funding that he would seek to try to create more positions and do that analysis. there has been a longstanding committee with the as-needed and provisional use. some of the challenge there has to do with the position of authority. >> i would imagine there is a benefit to having permanent employees doing certain work because then you don't have to train people time and time again, you have someone who knows the job that does have developed relationships. i am trying to understand the benefits.

>> has a noted, there is loyalty to the job. they are committed to the employer and they have a history that the bill sonority. from the employer's perspective , what of the challenges is that it does not allow them to convert simply from as-needed status. we're being audited that involves an examination process. one of the challenges, we have seen this in-house -- recently with civil service commission's.

to create permanent positions, we have an eligible list. sometimes the people doing the job may not be reachable. they will not ultimately be the individuals that get the job. it might be a reason why the departments or the individuals are not pushing to quickly move those positions. >> it would seem to me that if someone has been doing the job for a number of years, is there any consideration given for that? you'd think that they were good enough to do that job for a bit of time, so it will become permanent? >> hit will require the test for what is required to do the job successfully. people don't fear the way -- we

will ask the unions for flexibility, for example. they can hire from not the first three on the list. we can have it to give the department of the ability to choose a person that did not examine well but has been doing their job. >> i know that we have people here to speak on this item. one of the concerns i have, i recognize the use of as-needed, i don't want to see a situation where someone is that kind of employee for a long time when they should be a permanent employee. as a matter of fairness, it deprives the worker for the projections.

i also worry about the interaction with the public. i think there is a benefit to the permanent status. >> it is beneficial to the employees and the employer, to have hot regular employment. we should be looking at that, and identifying if they have the resources in the ongoing need to create online positions. that individual may not be the one they gets the job, at one of the things that will look back, a permanent full-time employee in the miscellaneous groups are about 46% of them in san francisco. 62% lived in san francisco. it is more like the people and

have the jobs are more likely -- and they are local, and they are more able to take a job that will give them the experience that will lead to permanent. they are not allowed to be given a leg up, if you will. it is supposed to be open and fair to all comers. it becomes a challenge which we can certainly talk to the commission about whether they would consider legal amendments. >> i think this is something that we need to continue to monitor. frankly, i am learning about this issue and i think it is appropriate for us to have this discussion in the context of over time. part of the answer when it comes to over time is making sure you have the proper staffing. and the issue is directly

connected to that. nothing about overtime is, it is not the workers' fault that they worked overtime. i think that over time comes down to a mainly a management issue. that is why we need to manage the staffing in such a way that we have the right level of staffing. i would hope that the civil service commission looks at this issue when they want to become permanent, because i think that it is consistent with good public policy and fairness to take into consideration the fact that the employee has been doing that job. >> people that have been doing the job will do better on the exam, but we have he circumstances where it doesn't work out.

>> just a quick clarification, i think he talked about the federal jobs now programs in the proportion of the as-needed employs related to that program? >> is a successor to the federal program, and the thing that you could have more data on that. i think we have 282 people that are full-time, as-needed under the local program. >> as opposed to how many in total? >> it looks to be about 10% of the total. supervisor avalos: are we allowed to take information on how many are minorities, women?

are we seeing disproportionate numbers of folks that are as- needed they have a former they don't have to check in if they're male, female or ethnicity. we certainly could look at that. the building trades have one demographic and predominantly male.

can't give out information that would identify any individuals. >> i don't always think it is necessarily accidental that people get -- is a question about the civil service examinations. they have the experience -- in terms of having qualifications for the job, it could be language barriers that make it difficult for success on the examinations.