Mayor Andy Schor today announced major savings for the City of Lansing after the administration introduced a number of purchasing card (p-card) reforms since he took office in January 2018.
Total p-card spending the year prior to Schor’s inauguration was nearly $7 million. Schor’s early reforms reduced that amount by nearly $1.5 million in his first year and another $173,044 by the end of 2019.
2017 total P-card spending = $6,932,411
*Mayor Schor took office January 1, 2018.
2018 total P-card spending = $5,452,312
2019 total P-card spending = $5,279,268
“I am proud that my administration has been able to reduce spending and create a savings of more than $1.65 million during my first two years in office,” Schor stated. “We have limited the number of purchasing cards and tightened up processes, ensuring that employees are able to purchase the things needed by the City while still following the proper protocols.”
In August 2019, the City of Lansing’s first Chief Strategy Officer (CSO) was hired, as recommended by Lansing’s Financial Health Team (FHT), to look at short-term expenditures and long-term debts, as well as review and further evaluate other processes, like procurement, within the City. Further p-card reforms were instituted, including cutting the number of active p-cards from 238 to 136, updating the p-card manual with clearer guidelines for usages, instituting new user agreements and creating new forms to better manage spending for all conferences and out-of-state travel.
P-Card Reform Timeline
*CSO reduced total number of active p-cards leading to an additional savings of $173,044 over 2017 spending.
July 2019: 238
July 2020: 136
“Ensuring Lansing’s fiscal stability is critical during these uncertain times,” Schor concluded. “I will continue to work within my administration, City Council and our partners across the city to find further savings that we can invest back into programs and resources for residents, and ways to keep our budget and future financial health on track.”