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HomeMy WebLinkAboutX-E-03 Strategic Plan 2024 - 2027 City Council Memorandum To: Mayor Fasbender & City Councilmembers From: City Administrator Dan Wietecha Date: September 5, 2023 Item: Strategic Plan 2024-2027 Council Action Requested: Approve 2024-2027 Strategic Plan Background Information: In April, the City Council and Management Team held a facilitated retreat to develop priorities for the City’s strategic plan for the next couple years. Subsequently, the Management Team worked with consultant Craig Rapp to fill in a few blanks and refine the language of the priorities in particular, see page 2 of the report). On the operational side, the Management Team has also developed Action Plans for implementation of each of the 16 strategic initiatives. We are presently examining the “Project” module of MS Teams as a means for tracking progress on the initiatives. As with the 2021-2023 Strategic Plan, we will report progress to the City Council and the public on a quarterly basis. Financial Impact: Not applicable Committee Discussion: City Council retreat April 28, 2023 Attachment: 2024-2027 Strategic Plan (August 2023) X-E-03 FY 2024 – 2027STRATEGICPLANAUGUST 2023 X-E-03 917 W. Washington Blvd. #208 Chicago, IL 60607 800-550-0692 • rappconsultinggroup.com Craig R. Rapp President August 1, 2023 RE: 2024-2027 Strategic Plan – City of Hastings Dear Mayor Fasbender, I am pleased to present the 2024-2027 Strategic Plan and Summary Report to the City of Hastings. The plan reflects the organization’s priorities, commitment to measurable results and the delivery of quality services. It has been a pleasure assisting the City of Hastings with this important effort. The entire organization displayed openness, dedication, and a desire for continuous improvement. I particularly wish to thank City Administrator Dan Wietecha along with the City of Hasting's Management Team for their help and support during the process. Yours truly, X-E-03 TABLE OF CONTENTS 01 Transmittal Letter Executive Summary Strategic Plan Summary FY 2024-2027 Strategic Planning Process Core Values SWOT Analysis Strategic Priority 1: Financial Resilience Strategic Priority 2: Operational Effectiveness Strategic Priority 3: Responsive Community Development Strategic Priority 4: Infrastructure Sustainability Strategic Priority 5: Strategic Communication 02 03 05 06 07 08 09 10 11 Strategic Planning Participants 12 X-E-03 1 EXECUTIVE SUMMARY 1 Five Strategic Priorities The Plan FINANCIAL RESILIENCE From April 2023 through July 2023, the City of Hastings engaged in a strategic planning process. The process yielded a strategic plan covering 2024-2027. The planning effort began with an examination of the operating environment, consisting of a Strength, Weaknesses, Opportunities & Threats (SWOT) analysis. On April 28, 2023, the City’s leadership team held a full day strategic planning session. They identified a set of priorities, key outcomes, performance targets, and reviewed the City's vision, mission, and values statements. Based upon those priorities, the City’s management team met on May 18, 2023, to determine a set of strategic initiatives and begin the process of developing detailed action plans. The strategic priorities, key outcome indicators, performance targets and strategic initiatives are summarized here and on the following page. The plan consists of five strategic priorities — the issues of greatest importance to the City over the next four years. Associated with each priority is a set of desired outcomes, key outcome indicators, and performance targets, describing expected results and how the results will be measured. The plan also includes strategic initiatives that will be undertaken to achieve the targeted outcomes. OPERATIONAL EFFECTIVENESS RESPONSIVE COMMUNITY DEVELOPMENT INFRASTRUCTURE SUSTAINABILITY 2 3 4 STRATEGIC COMMUNICATION5 City of Hastings Strategic Plan FY 2024-2027 | August 2023 X-E-03 Strategic Priority Desired Outcome STRATEGIC PLAN SUMMARY 2024-2027 City of Hastings 2 Expanded revenue base Responsible use of debt Spending aligned with growth demands Increase in revenues by fund Increase in revenue sources Debt as percentage of General Fund revenues Operating budget increase CPI annual change Tax base growth increase 10% non-tax revenue increase (above growth) 2024-2027 Maintain compliance with City debt policy Debt financing plan developed by 12/2024 Operating budget increases limited to CPI + growth adjustment annually Key Outcome Indicator Target Strategic Initiatives Financial Resilience A financially sound organization Operational Effectiveness An organization that delivers results Responsive Community Development Development that meets present and future needs Infrastructure Sustainability Infrastructure that supports our community Strategic Communication A transparent, responsive government Staff capacity to meet service demands % of authorized staffing levels achieved All departments meetauthorized staffing levels by 7/2024 Improved core service delivery # of core processes improved% improvement in processes 10% improvement in each department's core process by12/2027 Improved workforce capabilities % of training requirements met # of credentials achieved 100% of employees meet minimum training requirements by 12/2024 Develop recruitment plans - all departments Process improvement program Develop organizational training plan 1. 2. 3. Alternative revenue analysis Asset management funding strategy (debt financing is within this) Budgeting system evaluation 1. 2. 3. Clarity regarding housing supply needs Successful development of opportunity sites Strategic Park investments determined Housing units available by demographic segment Housing demand by demographic segment Block 28 completion Block 1 completion Investment analysis completed Housing supply needs for all demographic segments determined by 12/2026 Block 28 completed by 12/2027 Block 1 completed by 12/2027 Park strategic investment analysis completed by 6/2024 Housing needs analysis Opportunity site development strategy Complete Vets Park and Arena projects, including economic investment analysis 1. 2. 3. Improved watertreatment capacity Successful completion of outsdie agency projects Expanded asset management capability Completed water system improvements Highway 61 rebuild targets met WWTP construction targets met Asset management plan developed Funding options identified Key water system improvements completed by 12/2027 Highway 61 completed by 6/2028 WWTP completed by 12/2028 Comprehensive asset management plan developed and funding strategy proposed by 2026 Develop asset management plan Implement water system expansion plan WWTP construction plan Highway 61 construction plan 1. 2. 3. 4. Improved collaborative relationships Improved media communication and relationship Enhanced community engagement Partner satisfaction rating # of one-on-one meetingswith local media # of reporting inaccuracies Improvements in external responsiveness Increases in inquiries via technology >90% of partners report improved collaborative relationship 2024-2027 Increase in one-on-one communications with localmedia from 2024 to 2027 Community engagement via expanded communications options increases 10% 2024- 2027 Comprehensive communication Plan Collaboration improvement plan Community engagement strategy 1. 2. 3. City of Hastings Strategic Plan FY 2024-2027 | August 2023 X-E-03 3 STRATEGIC PLANNING PROCESS Where we are Where we’re going Strategic planning is a process that helps leaders examine the current state of the organization, determine a desired future state, establish priorities, and define a set of actions to achieve specific outcomes. The process followed by the City of Hastings was designed to answer four key questions: (1) Where are we now? (2) Where are we going? (3) How will we get there? (4) What will we do? The process is divided into a development phase and an implementation phase. The full process is depicted below. The strategic planning process began with a meeting of the consultant and the City's senior staff on April 10, 2023. The meeting included a review of strategic planning principles, discussion on the status of previous strategic plans, current organizational challenges, and other operational issues. The group established a timeline for the strategic planning effort, a process for conducting a SWOT analysis, coordination of Council interviews and details regarding implementation. Initiating the Process: Setting Expectations, Charting the Course DEVELOPMENT Scan the environment – Conduct internal and external analysis (SWOT) – Develop Strategic Profile – Identify Strategic Challenges Define our Mission – Articulate Core Values – Set a Vision – Establish Goals – Identify Key Intended Outcomes Develop Initiatives – Define Performance Measures – Set Targets and Thresholds – Cascade throughout organization Create Detailed Action Plans – Establish Accountability: Who, What, When – Identify Success Indicators – Provide Resources How we'll get there What we'll do IMPLEMENTATION City of Hastings Strategic Plan FY 2024-2027 | August 2023 X-E-03 The leadership team engaged in a review of the current operating environment using the results of a SWOT (Strengths, Weaknesses, Opportunities, Threats) analysis conducted in advance of the planning session. Using the SWOT data, a facitlitated process yielded a set of organizational challenges and strategic issues confronting the City. Based upon the challenges and issues, the leadership group established a set of five strategic priorities. Within each priority, a set of desired outcomes were defined, along with key outcome indicators (KOI's), and a set of performance targets. To successfully address the strategic priorities, achieve outcomes and reach the targets, the management staff, in collaboration with the City Council, identified a set of strategic initiatives and detailed action plans to be implemented over the duration of the plan. On April 28, 2023 the City Council and senior staff held a retreat to develop the strategic plan. To address the question "Where are we now?" the group was challenged to define its value proposition. A value proposition is how an organization chooses to deliver its services and provide value to its customers (citizens). Three different value propositions used across all sectors of the economy (see below). Organizations choose a primary value proposition, then set, and meet threshold standards on the other two. During extended discussion, it was acknowledged that value propositions and service approaches varied by department and circumstance. It was concluded however, that operational excellence has been foundational and will continue to be important for operational stability. For that reason, operational excellence was chosen as the primary value proposition, with customer intimacy the secondary focus. 4City of Hastings Strategic Plan FY 2024-2027 | August 2023 Operational Excellence (example: Wal-Mart, Southwest Airlines) Motto: They adjust to us Product/Service Leadership (example: Apple, Google) Motto: They 'ooh and ah' over our services Customer Intimacy (example: Nordstrom, Ritz-Carlton) Motto: We get to know them, solve their problems, satisfy their needs Setting Direction: Mission, Value Proposition, Vision, Priorities From Challenges to Priorities THREE VALUE PROPOSITIONS X-E-03 We Are Committed to Protect and Promote the Unique Characteristics of Our Community, Including Its History and Scenic Beauty. We Will Seek to Infuse Enthusiasm in Our Daily Interactions with Citizens, Visitors, and One Another. ENTHUSIASM We Will Value and Promote Participation and Interaction with Citizens and Staff. We Will Seek to Assure Timely and Open Communications, While Providing Background and Context for the Decisions that Are Made. COMMUNICATIONS We Recognize the Importance of Providing Timely, Courteous and Respectful Service to the Public and One Another. We Will Seek to Serve the Public and Other Employees in a Constructive, Creative and Practical Manner. OPTIMAL SERVICE We Recognize the Value of Using All City Resources in an Efficient and Effective Manner. We Will Seek to Utilize City Resources to Serve The Common Good of All. RESPECT FOR RESOURCES 5 Our CORE Values City of Hastings Strategic Plan FY 2024-2027 | August 2023 X-E-03 Collaboration between Businesses/Government Agencies/School Districts/Residents/Staff Update attractions: Parks & Rec/Tourism/Arts & Culture/Local Businesses Create development between Business/Residential/Tourism Increase communication via our brand & message Strong Community Support Many Businesses & Groups want to be engaged Staff is committed, knowledgeable, dedicated & work hard Elected leaders are engaged & competent There is strong communication between Staff, Council & Community There is a lack of money and a weak tax base Being behind on both long- term and short-term maintenance / improvements Needing forward thinking goals or a future plan Lack of shared goals/direction between Council & staff Inadequate working relationships at leadership levels 6 Lack of growth in housing & population Attracting & retaining staff Lack of a collective vision Increasing service need (+ Staff to accommodate) Lack of funding to meet growing service needs Mistrust of Government Reviewing the Environment, SWOT Analysis An important part of the strategic planning process is a review of the current operating environment and an evaluation of the challenges confronting the community. This was accomplished via a SWOT analysis—a process that examines the organization’s internal strengths and weaknesses, as well as the opportunities and threats in the external environment. The results are displayed below. A link to the entire SWOT data can be found HERE. STRENGTHS OPPORTUNITIES THREATS WEAKNESSES SWOT Analysis City of Hastings Strategic Plan FY 2024-2027 | August 2023 X-E-03 7 STRATEGIC PRIORITY 1 Financial Resilience Responsible use of debt Spending aligned with growth demands Expanded revenue base OUTCOME OUTCOME OUTCOME Debt as a percentage of General Fund revenues Maintain compliance with City debt policy Debt financing plan developed by 12/2024 Operating budget increases limited to CPI + growth adjustment annually 10% non-tax revenue increase (above growth) 2024-2027 Operating budget increase; CPI annual change; tax base growth increase Increase in revenues by fund; increase in revenue sources TARGET TARGET TARGET KEY OUTCOME INDICATOR KEY OUTCOME INDICATOR KEY OUTCOME INDICATOR STRATEGIC INITIATIVES 1. Alternative revenue analysis 2. Asset management funding strategy (debt financing is within this) 3. Budgeting system evaluation City of Hastings Strategic Plan FY 2024-2027 | August 2023 X-E-03 8 STRATEGIC PRIORITY 2 Operational Effectiveness Improved core service delivery Improved workforce capabilities Staff capacity to meet service demands OUTCOME OUTCOME OUTCOME # of core processes improved; % improvement in processes 10% improvement in each department's core processes by 12/2027 100% of employees meet minimum training requirements by 12/2024 All departments meet authorized staffing levels by 7/2024 % of training requirements met; # of credentials achieved % of authorized staffing levels achieved TARGET TARGET TARGET KEY OUTCOME INDICATOR KEY OUTCOME INDICATOR KEY OUTCOME INDICATOR STRATEGIC INITIATIVES 1. Develop recruitment plans - all departments 2. Process improvement program 3. Develop organizational training program City of Hastings Strategic Plan FY 2024-2027 | August 2023 X-E-03 9 STRATEGIC PRIORITY 3 Responsive Community Development Successful development of opportunity sites Strategic Park investments determined Clarity regarding housing supply needs OUTCOME OUTCOME OUTCOME Block 28 completion; block 1 completion Block 28 completed by 12/2027 Block 1 completed by 12/2027 Park strategic investment analysis completed by 6/2024 Housing supply needs for all demographic segments determined by 12/2026 Investment analysis completed Housing units available by demographic segment; housing demand by demographic segment TARGET TARGET TARGET KEY OUTCOME INDICATOR KEY OUTCOME INDICATOR KEY OUTCOME INDICATOR STRATEGIC INITIATIVES 1. Housing need analysis 2. Opportunity site development strategy 3. Complete Vets Park and Arena projects, including economic investment analysis City of Hastings Strategic Plan FY 2024-2027 | August 2023 X-E-03 Expanded asset management capability Improved water treatment capacity Successful completion of outside agency projects Highway 61 completed by 6/2028 WWTP completed by 12/2028 Highway 61 rebuild targets met; WWTP construction targets met Comprehensive asset management plan developed and funding strategy proposed by 2026 Asset management plan developed; funding options identified Key water system improvements completed by 12/2027 10 Completed water system improvements STRATEGIC PRIORITY 4 Infrastructure Sustainability OUTCOME OUTCOME OUTCOME TARGET TARGET TARGET KEY OUTCOME INDICATOR KEY OUTCOME INDICATOR KEY OUTCOME INDICATOR STRATEGIC INITIATIVES 1. Develop asset management plan 2. Implement water system expansion plan 3. WWTP construction plan 4. Highway 61 construction plan City of Hastings Strategic Plan FY 2024-2027 | August 2023 X-E-03 Enhanced community engagement Improved collaborative relationships Improved media communication and relationship Increase in one-on-one communications with local media from 2024 to 2027 # of one-on-one meetings with local media; # of reporting inaccuracies Community engagement via expanded communications options increases 10% 2024-2027 Improvements in external responsiveness; increases in inquiries via technology >90% of partners report improved collaborative relationship 2024-2027 11 Partner satisfaction rating STRATEGIC PRIORITY 5 Strategic Communication OUTCOME OUTCOME OUTCOME TARGET TARGET TARGET KEY OUTCOME INDICATOR KEY OUTCOME INDICATOR KEY OUTCOME INDICATOR STRATEGIC INITIATIVES 1. Comprehensive communication plan 2. Collaboration improvement plan 3. Community engagement strategy City of Hastings Strategic Plan FY 2024-2027 | August 2023 X-E-03 12 STRATEGIC PLANNING PARTICIPANTS Mary Fasbender, Mayor Tina Folch, Councilmember Jen Fox, Councilmember Angie Haus, Councilmember Lisa Leifeld, Councilmember Trevor Lund, Councilmember Dave Pemble, Councilmember Dan Wietecha, City Administrator Kelly Murtaugh, Assistant City Administrator Chris Eitemiller, Finance Manager John Hinzman, Community Development Director Chris Jenkins, Parks Director Dawn Skelly, Communications Coordinator Ryan Stempski, Public Works Director John Townsend, Fire Chief David Wilske, Police Chief Rapp Consulting Group Craig Rapp, President The Strategic Plan was developed with the hard work and dedication of many individuals. The City Council led the way, taking time out of their schedules to commit to long-term thinking. They defined a direction and a set of outcomes that are important to the community stakeholders with whom they partner and serve. The City's senior staff supported the Council and offered an operations perspective as well as ideas for continuous improvement. CITY COUNCIL DEPARTMENT HEADS & STAFF CONSULTANTS City of Hastings Strategic Plan FY 2024-2027 | August 2023 X-E-03