IBTS Delivers Local Government More Efficiently at a Lower Cost

Municipalities across the nation are struggling to hold down the cost of providing basic city services.  Failing that, they turn to raising taxes, which often results in voter backlash.

However, a non-profit organization called IBTS is making a name for itself nationally by actually lowering the cost of city services, while doing a better job of providing those services. It has been particularly successful in doing that in new cities, which are not tied to a 19th century model of how to do things.

For example, compare the City of Hammond, LA, with a population of 20,000 and 325 city employees to the City of Central, LA, which contracts with IBTS.

In Central, IBTS provides almost all city services except fire and police.  This includes finance, administration, code enforcement, planning and zoning, public works, which is half the budget, Geographic Information System, engineering, and building inspections.

Central has a population of 29,000 but only five city employees.  City services are provided by IBTS, which provides staffing for ordinary city services.  These are not city employees and the city has no ongoing obligation to them. Currently, IBTS has about 40 staff members assigned to Central.

As a result, very few people will ever draw retirement or other benefits from the City of Central. 

The cost of running the City of Central is much less, and citizen satisfaction is high.

One reason is IBTS takes a pro-active approach to solving problems, rather than reacting to problems as they arise.

This July, Central will have been a city for 20 years.  It has been privatized since 2008, and IBTS has had the master city contract since 2011.

Central Mayor Wade Evans said he is very pleased with IBTS’ performance and so are the citizens.

“They do a great job!  IBTS is a highly-efficient business operation providing high quality city services at a fraction of the cost of government in traditional cities.  I don’t think

we would ever go back,” he said.

“If they had the choice, very few cities would continue running government the old way.  They would contract out city services.  IBTS allows me to be nimble. We can change the organizational structure as needed without going to the Council at every turn.  We’re not burdened by Civil Service or legacy costs. It’s a lean, mean operation.”

“The purpose of government is to provide necessary services to the public — not be everything to everybody.  Our focus is good roads, drainage, police, fire, and quality of life.  IBTS helps us do those things very well.”

Matt Vaughn-Zyjewski is senior project manager for IBTS in the City of Central, which in effect makes him the City Manager of Central.  He is also the Southeast U.S. director over IBTS projects in the region.

Shortly after St. George Mayor Dustin Yates and members of the City Council were appointed last year, they retained IBTS to handle Planning and Zoning, building permits, and occupational licensing for the new City of St. George.

IBTS has established an office in St. George at 13646 Perkins Road. The staff includes 12 individuals including many who are experts in their fields.  If IBTS decides to compete to become the master contractor for providing city services in St. George later this year, the staff already in place will be the anchor of that organization.

Vaughn-Zyjewski says the number of IBTS employees would grow significantly.

In St. George, the IBTS project manager is Scot Byrd, who would provide the duties equivalent to a  City Manager. 

IBTS was founded 30 years ago. Among the founders were the Council of State Governments, the National Association of Counties, the National Governors Association, the National League of Cities, and the International City/Council Management Association, 

As a non-profit organization, IBTS actually returns part of any “profit” to the city, depending on contract terms.

IBTS is into many diverse projects — new buildings at LSU, Metro lines in DC, aiding the Architect of the U.S. Capitol, quality control for manufacturers of mobile homes, rebuilding Puerto Rico after the hurricane, solar power, and more.

IBTS’ approach to public works in Central could benefit many cities in the area.

First, potholes.  Central doesn’t wait for someone to complain about potholes.  IBTS is constantly out repairing them, and if someone does complain, they are normally fixed within a week.

Second, drainage.  IBTS has iden-

tified “hot spots” in Central, which are the places that cause drainage problems. Whenever a weather event is coming, the hot spots are checked and cleared, and everyone is ready.

Mayor Evans says when a city is pro-active, rather than reactive, everything is easier.  And when the city does get a complaint, IBTS acts swiftly to solve the problem.

Matt Vaughn-Zyjewski says IBTS is enjoying getting to know the people of St. George and identifying problems.  They hope to expand the scope of their work here and serve the community for years to come.

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