The City of Hollister spent $1.79 million on fees for 23 outside
consulting firms in 2002 for projects ranging from wastewater
management to traffic safety studies, according to documents
obtained by the Free Lance.
The city’s frequent contracting with consultants recently became
an issue when City Councilman Robert Scattini criticized previous
Councils and city staff on two separate occasions for the overuse
of consultants. He said the city should perform many of those
projects in-house instead of hiring expensive outside help.
The City of Hollister spent $1.79 million on fees for 23 outside consulting firms in 2002 for projects ranging from wastewater management to traffic safety studies, according to documents obtained by the Free Lance.
The city’s frequent contracting with consultants recently became an issue when City Councilman Robert Scattini criticized previous Councils and city staff on two separate occasions for the overuse of consultants. He said the city should perform many of those projects in-house instead of hiring expensive outside help.
While Scattini expressed concern Thursday when hearing the 2002 figures – his initial response was “Oh, gosh!” – other officials supported the city’s use of consultants, including interim City Manager Ed Kreins.
“You really have to look at the cause (of needing them). It’s not unusual at all to have consultants,” said Kreins, who has been city manager of six different cities. “I’ve been involved with them since I’ve been in city government.”
As examples, Kreins pointed out the city’s need for consultants in 2002 on three major projects – the wastewater treatment plant, a second fire station and the renovation of the Veterans Memorial Building.
Those were incidentally the three most expensive consulting contracts for the year. The combined work of two firms on the Veterans building renovation cost $582,900. The combined work of three firms on the fire station cost $263,644, and Hydroscience Engineers’ handling of wastewater issues cost $234,369.
Scattini reiterated Thursday he is not against hiring consultants for projects that require them, such as the Veterans Memorial Building and the wastewater plant. It’s the various smaller consulting contracts, he said, that are often unnecessary.
“They (city staff) seem to want to get a consultant for everything,” he said.
The financing for the 23 firms’ services came from two primary sources – the city’s General Fund and the Capital Improvements Projects Fund, the latter of which is supported by building impact fees.
Other examples of projects for which the city hired consultants include the Westside Boulevard extension for $35,400, the Airport Master Plan for $15,800 and the repair of a levee broken during the May 4, 2002 15-million gallon sewage spill for $8,900.
Councilman Tony LoBue defended the Council and its use of consultants, pointing out an instance in 2002 when the city took action because a firm did not perform to expected standards.
“I think one of the biggest things we did was we got rid of Bracewell Engineering, which was the consultant for the wastewater facility (at the time of the spill),” LoBue said.
But with a faltering economy, he said the Council will be less willing to use consultants.
“We’re moving forward in reducing the amount of consultants we’re using,” he said. “You’ll see that number greatly reduced.”
Councilman Tony Bruscia said the city considers several factors before approving outside help.
“Would we be better off having staff do it or a consultant?” he said. “Ultimately, would it cost us more or less?”
After Scattini’s initial public objection at a Council meeting in January, Public Works Director Clint Quilter made a presentation Feb. 10 to justify the use of consultants.
At the time, Quilter said two main reasons for hiring consultants were “special expertise” and as an “extension of staff.” Quilter was at a conference this week and was not available for comment.
Additionally, Kreins said hiring consultants for short-term projects avoids paying long-term benefits. And Bruscia said the city staff doesn’t “sit around” as the consultants are working. They’re doing other important jobs, he said.
“Our staff works hard,” he said. “We run a very, very lean city. That’s why sometimes we have to use consultants to get work done.”
Since his election to the Council, Scattini said he has spent numerous hours each night studying the city’s budget for signs of mismanagement. He said the consultant spending was “just one of the things that popped up.”
“I told Larry Jackson (deputy director of public works), ‘You haven’t heard the end of it. You come up with consultants, it better be worth them doing the job.'”
Hollister Consultant Costs for 2002
These top five projects totaled 76 percent of the city’s cost for outside consultants. The total consultant cost during 2002 for 23 projects was $1.79 million.
ProjectCost
Veteran’s Building$582,878
New fire station$263,644
Wastewater handling$234,369
Road repair$153,722
Civic Center conversion$129,047
Total of top 5 projects$1.36 million
Source: City of Hollister
