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City of Sandy Springs to Transition Some Services form Public-Private Model

SANDY SPRINGS, Ga. (May 14, 2019) –  During a special-called meeting on Tuesday, May 14, 2019, the Sandy Springs City Council approved a resolution to cancel its solicitations for General Government Services with the intent of bringing those services in-house.  Beginning July 1, 2019, services including Public Works/TSPLOST, Community Development, IT, Finance, Economic Development, Communications, and Facilities. will be conducted by employees of the City versus contracted staff.  Recreation and Parks and Municipal Court contracts will be terminated, transitioning to City-provided services August 15, 2019.

“The City has pioneered the public/private partnership service delivery model, but, we believe, due to the robust economy and very tight labor market, private sector bidders did not deliver the prices we expected,” said Sandy Springs Mayor Rusty Paul.   “We frequently compare the private sector offerings we receive with the in-house cost of delivering services and have elected in the past to rely on the private sector due to cost, flexibility and innovation.”

“In this recompete, the gap between private sector prices and in-house costs for these services was such we cannot justify the difference,” Paul said.  “We are not abandoning the P3 model and are keeping some private sector providers for services where the costs make sense.   We will continue to evaluate P3 options with in-house service delivery and will again ask the private sector to bid on these services when job conditions and other market forces allow us to obtain competitive prices.  Meanwhile, we have a fiduciary responsibility to our taxpayers to deliver our services as the lowest cost and most efficient manner possible.”

The City estimates it will save more than $14M over five years as compared with the proposed costs in using private sector partners.

The City of Sandy Springs has used a public-private partnership model for service delivery since its incorporation in 2005.  In 2010, the City moved from a single source provider to contracting with seven private companies, saving the City an estimated $7M per year over five years.  In 2018, the City transitioned Department Heads from contract to City-held positions.  The current transition will move approximately 183 positions from contract to City-held positions, bringing the total of City-held positions to 482.

While the move is a substantial shift, as Paul noted, the City will continue to use a hybrid model of outsourced and City-provided services.  The City’s Call Center and 911 Services, as well as Public Works Field Services, Fleet Services, City Attorney’s Office, and Municipal Court Solicitor will remain with private sector partners, with those contracts valued at more than $11 million.

“Sandy Springs is known for its efficiency and focus on customer service, and working collaboratively with our contracting partners, we have delivered residents a high level of service delivery,” said Paul. “We will continue to annually evaluate our operations to explore how to provide services better, faster, and the most economically, adapting our model to best meet the needs of the community.”

For more information, please visit us online at www.sandyspringsga.gov, or call the Citizen Response Center at 770-730-5600.  Follow breaking news and traffic alerts on Twitter and breaking and community news on Facebook; both @SandySpringsGA.

Source: http://www.sandyspringsga.gov/Home/Components/News/News/2710/52