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In many instances this process will result in some programs receiving a different amount of funding than they did previously. And in some cases, lower-valued programs, while popular, may not receive any funding at all. However, this process does ensure that the programs that matter the most, �et funded at an a�propriate level. Step #4 — Develop a Purchasing Plan Once it's been decided on which priorities to fund, the Council must then decide how to provide those programs. At this point, we throw out the assumption that the way we currently provide it is the "right" way. We may find that some of the programs we currently outsource could be done more effectively in-house. For others, we might conclude just the opposite. We might also conclude that a different City department, team, or group might be better suited to provide the � � service. � To arrive at this conclusion, a"Results Team" is created to evaluate proposals that are submitted by both City Staff and outside contractors. The Results Team evaluates the proposals based on pre-established criteria and makes recommendations to the Council on how to proceed. The City Council then "buys" the desired result at some agreed-upon price, and then "awards" a contract to the bidder. Bud.°geting for Outcomes — A n Exampl e As an example of how this process might work, let's assume the Council decides that it's a high priority to keep public areas inside City facilities clean and in good repair. The Council also decides that it is willing to spend around $150,000 annually to achieve this desired outcome. The Results Team solicits proposals from qualified parties such as custodial firms, existing City Staff, etc. When the proposals are turned in, the Results Team evaluates the qualifications, ability to deliver promised results, ability to stay within the $150,000 budget etc. The Results Team then makes a recommendation to the Council on who to award the custodial "contract" to. Upon making the award, the Council has effectively "bought" the desired outcome. Final Comments Realistically, not all of the City's programs and services could be evaluated and 'bid-out' at the same time. Furthermore, steps must be taken to ensure that legally restricted funds are used in the manner in which they've been prescribed. Finally, there are some functions of City government that do not lend themselves well to a competitive bidding process, or that can be easily switched from one provider to another. Certainly there are alternatives to the 'Budgeting for Outcome' approach, which could be explored. Staff will be available at the meeting to facilitate the discussion and to answer any Council inquiries.