Thursday, July 8, 2010

San Mateo Grand jury: County vehicles drive costs

July 07, 2010, 02:28 AM By Michelle Durand Daily Journal Staff

The county could save $1.7 million annually by reimbursing employees who drive their own cars rather than fleet vehicles, according to a grand jury report that also found that the county’s allowances are higher than other counties, offered to non-department heads and operated on the honor system.

In short, the San Mateo County Civil Grand Jury concluded the county’s vehicle fleet is “too large, not cost effective and has no comprehensive oversight.” The county would be better off eliminating vehicles assigned to departments and reimbursing qualified employees for their mileage, according to the report released Tuesday.

As for those qualified, they should only be elected officials and appointed department heads and receive twice-monthly allowances on par with other Bay Area counties, according to the civil grand jury.

The report raises several “important issues,” many of which the county is already looking at for possible cost savings, said Deputy County Manager Peggy Jensen.

San Mateo County spends $6.4 million each year for its 741-vehicle fleet, of which 556 are assigned to specific departments and individuals. The fleet cost — excluding replacement — nearly $3.1 million in fiscal year 2009.

In contrast, the county shelled out $813,157.86 in the same year to reimburse employees using their own vehicles at 55 cents per mile — mileage that is not routinely logged or checked, according to the grand jury. Instead, the jury reported that department managers believe any abuse would be discovered by in-department accountants who notice mileage fluctuation.

The honor system is also in play for the 84 employees allowed to drive vehicles home each night. Fifty-three do so every night while the others are as needed. The theory is that these employees, mainly in the sheriff’s, district attorney’s and probation offices, need to be available after hours for emergencies especially if the vehicle is specially equipped. The Sheriff’s Office was able to break down the type of emergencies to which the vehicles responded but didn’t indicate what employees did so, if the cars had the special equipment or which employees had a continuing need to take a county vehicle home.

The county picks up the commuting tab and liability for all these vehicles, even those driven as far as Morgan Hill, Pleasanton and San Jose. The sheriff’s and district attorney’s offices require employees live within 50 miles of Redwood City to qualify for an overnight vehicle, which the grand jury calculated as costing the county approximately $11,610 annually.

The jury noted that these costs can be cut, using for example the sheriff’s slashing of overnight vehicle approvals from 64 to 28, which saved $150,000.

The jury further found that the Public Works Department, charged with monitoring the use of county vehicles, had incomplete and untimely reports with missing or incorrect data.

Not all county workers given vehicle benefits use the county fleet, instead opting to drive a personal car or truck.

Employees who receive monthly transportation allowances — the Board of Supervisors, department heads and even legislative aides — cost the county $639,993.78 per year.

Only two individuals waived their allowance: Sheriff Greg Munks and Chief Deputy District Attorney Steve Wagstaffe.

Wagstaffe said he prefers taking the train from his single stop away from work.

The others received twice monthly stipends ranging from $181 for one legislative aide up to $513 for a county supervisor and County Manager David Boesch. District Attorney Jim Fox receives $486 every two weeks while other directors, superintendents and department heads received between $417 to $462.

The county’s vehicle policy is liberal compared to its neighbors which only gives an allowance to department heads and averages several thousand dollars less each year.

The vehicle allowance isn’t just a perk during an employee’s career with the county. The compensation is added to one’s salary to increase a pension if received during the last two or three years of employment.

Jenson said county officials will look at the savings identified in the report and compare it to alternatives before making any hard and fast decisions.

While none of the positions that receive an allowance are tied into union contracts, the employees may have specific contracts or job offers that include the benefit and need re-negotiating to undo, Jensen said.

“Those are all things that have to be examined,” she said.

Civil grand jury reports carry no legal weight but recipients are required to respond in writing within 90 days.

http://www.smdailyjournal.com/article_preview.php?id=135334&title=Grand%20jury:%20County%20vehicles%20drive%20costs

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