Atlanta - May 6, 2003 - Today, Mayor Shirley Franklin announced the next step in her comprehensive program of City government reform: Reorganization of the City’s Finance Department. Chief Financial Officer Rick Anderson and his team developed the reorganization plan.
Mayor Franklin said, "The reorganization plan represents a significant step towards improving financial controls, both within the Finance Department and City-wide; enhancing the integrity and effectiveness of the City’s budget process; promoting accurate and reliable financial information, and providing more effective stewardship over public money and City assets & records."
The plan is an ambitious program of change, to be implemented in 2 phases over the next few months.
The First Phase will address primarily the leadership positions and the budget and financial management activities of the Department. Of particular note is that the Finance Department will have senior leadership through a new City Controller and Chief of Budget and Fiscal Policy.
The Second Phase will address the accounting and transaction processing activities, as well as risk and asset management for the entire City of Atlanta enterprise.
Early in her administration, Franklin decided on the concept of utilizing independent, expert panels to review important areas of city government and get specific, practical advice on city policy. Franklin stated, "This is the best way to create change and involve citizens. Our experience with these independent panels has been extremely positive: ethics, housing, United Water, festivals, the Sewer Consent Decree, Parks and Greenspace, homelessness and the consolidation of the Courts are all major city issues that have been addressed using this model. We have received very detailed and practical advice from all these outside panels, and their recommendations have become city policy."
Mayor Franklin recently appointed an advisory panel of four respected business professionals to seek independent and objective advice on the proposed Finance Department Reorganization plan. This panel has extensive experience in private and public sector finance and general management and therefore could provide substantive input and advice to the City.
The members of the Finance Reorganization Review Panel are Harald Hansen, retired CEO of First Union National Bank of Georgia; Peggy McCormick, founder of McCormick LLC, and retired partner with Deloitte & Touche; Aaron Turpeau, President of the Aaron Group, who has formerly served the City of Atlanta as a Commissioner and as Chief of Staff; and Wayne Woody, Chairman of the City’s Audit Committee and retired partner with KPMG.
Mayor Franklin asked the panel to review the Finance Department reorganization plan and give her their sense as to whether it advanced the goals put forward. The panel recently submitted their review and recommendations to Mayor Franklin. She thanked them for their service and said she would share the panel's report with both Mr. Anderson and the Atlanta City Council. The text of the panel's report is available in a separate press release, and may be viewed on the city website, www.ci.atlanta.ga.us.
Mayor Franklin said, "I am confident that elevating the capabilities of our Finance Department through this reorganization will help to achieve a more efficient and effective stewardship of the public’s money and City assets; strengthen the financial controls that impact today’s spending, the accountability for that spending, and its relationship to the City’s future debt; improve the quality of the city’s budget development and budget management; and enhance the integrity of city financial data and reports."
Chief Financial Officer Rick Anderson explained the details of the Reorganization Plan and said, "This has been a thoughtful and well-planned process and I believe the results will achieve an even greater budget and financial operation that ensures the highest levels of control and trust in the City's finances."
The reorganization plan was introduced through an ordinance at the May 5, 2003 City Council meeting, and will be reviewed by the City Council's Finance/Executive Committee at its next meeting.