Attachment VI: Cost Saving and Efficiency Measures
Key:
Likely In-Progress/More Research
Needed
Not Recommended
Expense Reduction Decrease in Cost Notes
Navigation Center $1.6 Million
Annual
(ONGOING)
Reductions in program costs due to
economies of scale with Regis Village
project and ongoing grant funding,
with no impacts to anticipated
outcomes.
Remove FY 26/27 OPEB
Trust Transfer
$1.5 Million
Annual
(ONE-TIME)
Remove the annual contribution to
the City’s OPEB trust accounts from
the budget.
Rephase non-critical
capital projects. Delay or
scale back lower-priority
CIP projects to free cash
flow for operations.
To-Be-
Determined
(ONE-TIME)
All General Fund CIP projects are
being evaluated with the directive of
delaying non-essential projects. For
context, the General Fund only
supports about 2%-3% of annual CIP
budget.
Executive Concessions $250,000 Annual
(ONGOING)
Executives and unrepresented
employees do not receive COLAS.
Vacancy
Management/Maintain
FY26 VSIP/Layoffs
$8,231,453
Annual
(ONGOING)
These positions will continue to be
held vacant.
Overtime Management (ONGOING) The City is on track to stay within the OT budget for FY26, which is a 25%
reduction from the FY25.
Reduce Janitorial Services
at City Hall
$160,000
Annually
(ONGOING)
A new janitorial contract was issued
December 2025. The scope and
service was refined, resulting in an
annual savings of $160,000.
Fire Department Non-
Sworn 100% Cost Recovery
To-Be-
Determined
(ONGOING)
Costs and fees are being reviewed
and analyzed for complete cost
recovery.
Restructure Hayward Jail
Operations/Other Police
Departmental Savings
$1.7 Million
Annually
(ONGOING)
Reductions associated with pausing
hiring and downsizing jail operations.
Continue Hayward Police
Department Overtime
Savings – Shift Change
$2 Million Annual
(ONE-
TIME/ONGOING)
This will require negotiations and
agreements from labor partners
Continue Hayward Fire
Department Overtime
Savings – Minimum Staffing
$4 Million Annual
(ONE-TIME)
This will require negotiations and
agreements from labor partners
Furlough Hours (Non-
Sworn)
40 hours -
$960,293
80 hours - $1.92
Million
(ONE-TIME)
This will require negotiations and
agreements from labor partners.
Forgo FY2026-27 COLAs $3.48 Million if All
Labor Groups
Forgo
(ONE-TIME)
This will require negotiations and
agreements from labor partners.
Ensure Employee
Time/Wages are Properly
Charged to Enterprise
Funds When Applicable
To-Be-
Determined
(ONGOING)
Staff is actively reviewing with a target
completion of March.
Analyze/Increase
Technology Fee in the
Master Fee Schedule
To-Be-
Determined
(ONGOING)
Staff is actively reviewing for the FY
2027 fee schedule.
Analyze Current
Information Technology
Internal Service Fund
Methodology to Ensure
Proper Allocation to
Departments
$100,000 per 1%
shift to non-
general funds.
(ONGOING)
Staff is actively reviewing for the FY
2027 budget.
Pause Measure C Projects To-Be-
Determined
(ONE-TIME)
Two of the three Measure C projects
were delayed indefinitely (Jackson
and Harder Median projects) and the
Measure C contribution to the La
Vista project was reduced by 80%.
City Council and Mayor
Reduce Salaries by an
additional 5%
To-Be-
Determined, but
Minimal
(ONGOING)
Would require Council action.
Technology Enhancements
& Investments
Efficiency
Measure
Information Technology will continue
to explore methods to use technology
to improve efficiency. Active research
areas include: pre plan review, staff
report generation, automated note
taking and meeting minute creation,
first responder drone technology, and
Permit Center virtual queue and
dashboard.
Two Council Meetings per
Month
Efficiency
measure
Given reductions in workforce,
consider actions that reduce ongoing
staff time. Would require Council
approval.
Consolidate Committee
Meetings
Efficiency
measure
Given reductions in workforce,
consider actions that reduce ongoing
staff time. Would require Council
approval.
Adopt a Citywide
Compensation Philosophy
to Create Equity and Better
Define what “Market”
Means in Hayward
Process
Improvement
This is an active project in the Human
Resources Department.
Examine Airport
Administration for
Efficiency Increases and
Operational Reductions
No Savings to the
General Fund
Hayward Executive Airport is an
enterprise fund, and any savings are
not shared with the General Fund.
Payroll Process Review and
Analysis
Process
Improvement
This is an active project in the Finance
Department, with a priority of first
fully staffing in the Payroll Division.
Modifications to Military
Leave to Prevent
Overpayment Above State
and Federal Requirements
To-Be-
Determined
(ONGOING)
Human Resources is currently
investigating rewriting existing City
resolutions regarding military leave to
offer better clarity.
Reduce Consultants and
Outside Contractors –
Freeze Non-Essential
Consulting Contracts and
Transition Work In-House
Where Possible
To-Be-
Determined
(ONGOING)
Staff will continue prioritize
completing work in-house without the
use of outside consultants whenever
possible.
Cut Temporary Staff To-Be-
Determined
(ONGOING)
Where possible, temporary staff have
been released.
Pause Community Events,
Sponsorships, and Grants
to Community
Organizations
To-Be-
Determined
(ONE-TIME/
ONGOING)
This work has been fully paused and
will continue to be paused in FY 2027.
Pause Spending Related to
Travel, Training, and
Memberships Unless
Required for Job, and Make
Training Online if Possible
To-Be-
Determined
(ONE-TIME/
ONGOING)
This pause has been in place since
August 2025.
Reduce Contribution to
Worker’s Compensation
Fund to FY 2026 Level
$3.7 Million
Annually
(ONE-TIME)
Underfunding this fund could
increase the risk of unbudgeted costs
from claims.
Additional 1-2% Reduction
in General Fund
Departmental Costs
$2.5 - $5 Million
Annual
(ONGOING)
Another across the board
departmental cut would include
layoffs and significant service
impacts to City services.
Using the Purchase of
Service Credit or “Golden
Handshakes” to Reduce
Staff Levels
To-Be-
Determined
(ONGOING)
Staff is working with CalPERS to attain
an actuarial report. This is likely to
have a greater cost than savings and
could further impact service levels.
Stop Allowing Take Home
Cars for so Many People
No Savings For non-sworn departments, take
home vehicles are limits to on-call
employees. Sworn departments are
actively reviewing take home cars and
have already made initial changes to
reduce impact.
Pursue Liability Damages in
CIP Contracts
(ONE-TIME) Work is ongoing regarding this
suggestion, but it is an extremely
complicated and nuanced issue.
Pause Contribution to Fleet
and Technology Services
Fund
(ONE-TIME) These are core operational costs that
are needed to run the infrastructure of
the City (public safety, finance,
revenue, etc.). Staff will work closely
to ensure the budget is aligned to the
need and those departments are
evaluating costs closely.
Software Changes – Switch
to Adobe from Docusign
No Savings Annual cost of Docusign is much less
than Adobe.
Eliminate Hayward
Navigation Center
$2.185 Million
Annually
(
ONGOING)
Complete elimination of the Center
would result in 25-30 additional
unhoused on City streets every day. It
would also prevent the City from
receiving already approved grants.
Eliminate LINK program
(part of HEART)
$700,000
Annually
(ONGOING)
The LINK program is the primary
referral tool that HPD and other
departments use for individuals with
mental health challenges, and gives
Hayward an entry into County
services.
Eliminate the Hayward Jail
Program
$3 Million
Annually
(ONGOING)
This would increase other Police
Department costs and would have
major impacts on service delivery.
Expand Adopt-a-Block /
Address Nuisance
Properties by Utilizing the
Clean and Green
Commission
To-Be-
Determined, but
Minimal
(ONGOING)
Members of the C&G Commission do
not regularly attend subcommittee
meetings and volunteer outreach
opportunities, adding additional
responsibilities to this group may not
be productive.
Transition non-sworn
employees to a 4-Day/32
Hour Work Week
$7.35 Million
(ONGOING)
This would require labor agreement
and would impact service delivery to
the community by reducing staff
hours by 10%. The corresponding
reduction in pay could result in
employees leaving the organization.
Transition to 4/10 Work
Week and close City Hall on
Fridays
Minimal Savings
on Facilities
Costs
(ONGOING)
This would require labor agreement
and would impact service delivery to
the community with minimal savings
Require Staff to Take Time
Off During Business
Closures
To-Be-
Determined
(ONGOING)
This would require labor agreement
since it is not in line with the current
practice and understanding of
business closures.
Explore Merging the Library
with Alameda County
To-Be-
Determined
More research is needed to determine
feasibility and possible cost savings.
Bilingual Pay Inequities –
Some Staff are Burdened
with Requests While Others
Are Not, Yet All Receive the
Benefit
To-Be-
Determined, but
Minimal
(ONGOING)
Due to lack of staff capacity, staff
does not recommend pursuing at this
time. Any changes to the bilingual pay
program would require labor
agreement and the cost savings
would be minor.
Eliminate SWAT Program To-Be-
Determined
(ONGOING)
For public safety reasons, this is not
recommended due to significant
emergency and crisis training benefits
beyond just use by the SWAT program
and minimal to no savings, depending
on use of the County program.
Business License Software
– Put Revenue Division on
Energov
No Savings While there may be process benefits
from this change, Revenue’s current
business license software is much
cheaper than Energov and no savings
would be realized.