Public Risk March 2010

Published by the Public Risk Management Association

www.primacentral.org

March 2010

RADAR SPEEDCHECK SIGNS RECEIVE AN

A Grade for Slowing School Zone Traffic Risk Management Presentations— The Little Things Count More Riders: Financial Boon or Risky Business?

How to help ensure an increase in public transit ridership won’t drive up claims and put the brakes on profitability.

RISK MANAGEMENT:

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Volume 26, No. 3 | March 2010 | www.primacentral.org

The Public Risk Management Association promotes effective risk management in the public interest as an essential component of public administration.

Executive Director Lisa Lopinsky, CAE

Contents

President Ron Hayes Risk Manager Calcasieu Parish School Board Lake Charles, LA Past President Sarah Perry, ARM-P Risk Manager City of Columbia Columbia, MO

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12

6 Radar Speedcheck Signs Receive an A Grade for Slowing School Zone Traffic

By John Dixon

12 Risk Management Presentations— The Little Things Count

By Paree Roper

16 More Riders: Financial Boon or Risky Business?

How to help ensure an increase in public transit ridership won’t drive up claims and put the brakes on profitability.

By Dennis Molenaar, JD

President-Elect Laura Peterson, JD, MPA State Risk Manager/Agency General Counsel State of Nebraska Lincoln, NE Directors Dan Hurley, ARM-P, CSP Sr. Director, Risk Management & Safety Norfolk Public Schools Chesapeake, VA Mary Sue Linville, ALCM, ARM-P Director of Risk Management and Operations Washington Schools Risk Mgt. Pool Tukwila, WA Cindy B. Mallett, AIC, CWCP, ARM-P Risk Manager City of Gainesville Gainesville, GA John J. Nacht, ARM Risk Management Program Administrator State of Washington, Employment Security Dept.

Olympia, WA Dave Parker, ARM-P Risk Manager Pima County Sheriff’s Department Tucson, AZ Marilyn Rivers, CPCU, ARM, AIC Risk and Safety Manager City of Saratoga Springs Saratoga Springs, NY Editor Jennifer Ackerman, CAE Senior Manager, Communications 703.253.1267 • jackerman@primacentral.org Advertising Donna Stigler 888.814.0022 • donna@ahi-services.com

16 In Every Issue 4 News Briefs | 19 Advertiser Index | 20 Member Spotlight

Public Risk (ISSN 0891-7183) is published 10 times per year by the Public Risk Management Association, 500 Montgomery Street, #750, Alexandria, VA 22314 tel: 703.528.7701 • fax: 703.739.0200 email: info@primacentral.org • Web site: www.primacentral.org Opinions and ideas expressed are not necessarily representative of the policies of PRIMA. Subscription rate: $140 per year.

Back issue copies for members available for $7 each ($13 each for non-PRIMA members). All back issues are subject to availability. Apply to the editor for permission to reprint any part of the magazine. Periodical postage paid at Alexandria, VA, and additional mailing offices.

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Copyright 2010 Public Risk Management Association Reprints: Contact the Reprint Outsource at 717.394.7350.

March 2010 | Public Risk

1

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Message from PRIMA President Ron Hayes

The FEMA Experience

I

f your entity has been visited by a natural disaster in recent years, you are probably familiar with FEMA and its involvement with post-disaster recovery. As a result of hurricane activity along the Gulf Coast since 2005, I have personally had the “FEMA experience.” I have observed the interpretations and directives’ originating from FEMA in their effort to simplify their assistance requirements as it applies to public entities, over the years.

In my effort to gain a deeper understanding of FEMA and the federal act that established it, I search for information.

It is that search that led me to an article addressing the Stafford Act and the need for its reform.

programs. This is a marked difference from the 60-to-90 days that it now takes to release money for initial work on critical needs including equipment and facilities.

Being from Louisiana and in view of the Katrina/Rita experience shared by the southeastern and southwestern parts of the state, many of our local officials are familiar with flaws in the federal Stafford Act. The U.S. Conference of Mayors appointed a task force led by New Orleans Mayor Ray Nagin with the task of reviewing the law. The committee’s report included guidelines for change intended to assist communities recover faster from large-scale disasters.

Finally, the task force supports a change in the appeals process to include a neutral third-party appeals process to settle disputes with FEMA involving damage assessments, cost estimates, project scope or other issues. Arbitration would be used only as a final step in larger projects.

A key point emerging from the report involves the law distinguishing between a disaster that is serious and catastrophes like Hurricane Katrina. The creation of a catastrophic disaster designation that would give the President authority to waive Stafford Act provisions while providing 100 percent federal funding for all categories of eligible work for the duration of the disaster is one recommendation of the task force. It further asks the federal government to immediately release funding for 50 percent of the preliminary damage assessment estimate for all grant

FEMA is urged to finalize the National Disaster Housing Plan. Attention is focused on addressing the needs of communities hit by disasters as well as those hosting evacuees from affected areas. The Community Disaster Loan program is deemed inadequate by the task force due to its providing operating funds for governments’ loss of revenue during disasters due to a cap of $5 million and 50 percent of revenue loss being inadequate for the needs of large cities.

Recommendations regarding the Stafford Act should be seriously considered prior to another catastrophe impacting the country. Useful discussion with meaningful dialogue among decision makers could lead to beneficial and positive adjustments to this important act, which could benefit us all.

Sincerely,

I have observed the interpretations and directives’ originating from FEMA in their effort to simplify their assistance requirements as it applies to public entities, over the years. In my effort to gain a deeper understanding of FEMA and the federal act that established it, I search for

Ron Hayes 2009–2010 PRIMA President Risk Manager, Calcasieu (La.) Parish School Board

information.

March 2010 | Public Risk

3

News Briefs

News

Briefs Sheriff Plans to Set Up Own SWAT Team The Harris County (Texas) Sheriff’s Office is starting an elite “high-risk” squad with the aim of developing it into a full-fledged SWAT team, reports the Houston Chronicle.

Maj. Bob Doguim began soliciting applications for the eight-member team two weeks ago, just about the time his boss, Sheriff Adrian Garcia, was preparing a budget plan that would slash department spending by $47 million in the year that begins March 1.

The high-risk unit’s first hires will come from the existing ranks as the deputies’ union is sending out a newsletter criticizing the sheriff for what it calls “reduced boots on the ground.”

Doguim said that because the start-up costs for equipment, training and vehicles are covered by a $1 million federal grant and the unit’s members will be drawn from existing deputies, it will not necessitate additional spending, at first. But he acknowledged that replacement equipment, future training and, perhaps, even backfilled positions vacated by the deputies who join the team could cost general fund money in the future.

The Sheriff’s Office typically summons the Houston Police Department’s Special Weapons and Tactics, or SWAT, unit for high-risk situations.

The FBI and the Texas Department of Public Safety also have SWAT units that can deploy in Harris County.

Stamford, Conn., Officials Investigate Chemical Containers Found near School, Retirement Home Stamford, Conn., officials are investigating the discovery of potentially hazardous materials on the property of Scofield Magnet Middle School and the nearby Scofield Manor retirement facility, reports The Stamford Advocate.

Turn of River firefighters and a state Department of Environmental Protection official responded to the locations after a North Stamford resident reported finding a rusted 55-gallon barrel north of Scofield Magnet Middle School. Later that day, area residents led officials to nearby Scofield Manor, where they found a 5-pound bag of a banned pesticide and other chemical containers, according to witnesses.

City officials said they are treating the materials as hazardous and have enlisted an environmental consultant to investigate the barrels’ contents. City officials planned to begin testing the contents, but heavy rain prevented further investigation, they said. The investigation is expected to continue, according to city Operations Director Ernie Orgera.

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Public Risk | March 2010

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Meet Mikey, 8: U.S. Has Him on Watch List The Transportation Security Administration, under scrutiny after a Christmas bombing attempt, has on its Web site a “mythbuster” that tries to reassure the public.

Myth: The No-Fly list includes an 8-year-old boy.

Buster: No 8-year-old is on a T.S.A. watch list.

“Meet Mikey Hicks,” said Najlah Feanny Hicks, introducing her 8-year-old son, a New Jersey Cub Scout and frequent traveler who has seldom boarded a plane without a hassle because he shares the name of a suspicious person. “It’s not a myth.”

Michael Winston Hicks’s mother initially sensed trouble when he was a baby and she could not get a seat for him on their flight to Florida at an airport kiosk; airline officials explained that his name “was on the list,” she recalled.

“Up your arms, down your arms, up your crotch — someone is patting your 8-year-old down like he’s a criminal,” Mrs. Hicks recounted. “A terrorist can blow his underwear up and they don’t catch him. But my 8-year-old can’t walk through security without being frisked.”

A spokesman for the T.S.A., James Fotenos, said that as a rule, “there are no children on the no-fly or selectee lists,” but would not comment on Mikey’s situation specifically. Fotenos promised improvements in a few months, as the agency’s Secure Flight Program takes full effect. Under the new system, airlines will collect every passenger’s birth date and gender, along with their names. The TSA will cross-check all that with the watch lists. Previously, the airlines cross-checked the lists themselves, using only the names.

Certainly, Mikey’s date of birth, less than a month before 9/11, should prevent him from being mistaken as a terrorist.

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Radar Speedcheck Signs

RADAR SPEEDCHECK SIGNS RECEIVE AN

A Grade FOR SLOWING SCHOOL ZONE TRAFFIC

By John Dixon Police Sergeant Joseph Deignan admits he’s not the best driver on the road. As an officer within the traffic division for the city of Watertown Mass., Deignan has seen his share of automobile accidents and severe injuries caused by speeding drivers. Yet he still knows he sometimes drives too fast. So it was really a revelation for Joe when one day, he drove by a radar speedcheck sign and found himself slowing down.

“It actually worked,” said Deignan. “I wasn’t intent on speeding, I simply wasn’t aware of my speed at the time. The speedcheck sign refocused my attention from whatever was on my mind at the time, back to my speedometer. My immediate reaction was to slow down and adjust my speed in accordance to the posted limit.”

Looking back on this experience, Sergeant Deignan figured that if this technology got him to slow down, chances were good that it would work for other drivers as well.

Radar speedcheck signs—also known as driver feedback signs, radar speed signs and a variety of other nomenclatures— display to drivers the speed of their cars as they drive by. They may also display warning messages or flash lights at drivers traveling at particularly fast speeds. In doing so, the displays act as a reminder to drivers to check their speedometers and to adjust their speeds accordingly.

Today, thanks in part to Sergeant Deignan’s revelation, the city of Watertown now has permanently mounted radar speedcheck signs installed along the busy streets of each of its five school zones. Using data collection technology that works with the signs, the city has determined that the displays have had a significant impact on slowing traffic around these particularly hazardous locations.

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Public Risk | March 2010

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“It is estimated that half of school children hit by cars in school zones are actually hit by parents of students at the same school,” said Cole. “The use of radar speed signs is proving to be one of the most valuable tools available for increasing the safety of those children that do walk or ride their bicycle to school.”

“The first radar speed sign we installed was on a busy four-lane highway alongside one of our elementary schools,” said Deignan. “Prior to this, we were using flashing lights to remind drivers of the slower school zone speed limits. Over time, the flashing had become virtually invisible to most drivers. Average speeds were about 10 to 17 miles per hour over the limit.”

According to Deignan, two months after the speed display was in operation, average speeds dropped by about 10 mph—an amount that can have a significant effect on reducing accidents and the severity of injuries when accidents do occur.

Studies have shown that in the event of a pedestrian-related traffic accident, the reduction of speed by just 10 mph can make the difference between a cast or a casket. According to a 1990 report from the U.S. Department of Transportation, the number and severity of pedestrian-related accidents is directly related to automotive traffic speeds. While only five percent of pedestrian accidents reviewed in the report resulted in fatalities when the cars were traveling 20mph or less, this number jumped to 40 percent when the cars were driving 30 mph and 80 percent at 40 mph.

Like Watertown, thousands of cities across the country confront concerns over school zone traffic each year. This problem has only increased as the number of children being driven to school has grown. According to Jen Cole, director of the Safe Routes To School program for Feet First, a non-profit advocacy group dedicated to the promotion of walking, one of the key reasons that more parents are opting to drive their children to school is that they perceive it to be the safest option. Ironically, the subsequent increase in cars that this creates near schoolyards only serves to augment the hazards to those children that do walk.

“It is estimated that half of school children hit by cars in school zones are actually hit by parents of students at the same school,” said Cole. “The use of radar speed signs is proving to be one of the most valuable tools available for increasing the safety of those children that do walk or ride their bicycle to school.”

During 2009’s “Walk & Roll To School Month,” an annual Feet First event designed to encourage both children and parents to walk together to school, the non-profit used a radar speed sign to increase pedestrian safety.

“The distractions that parents face as drivers dropping off and picking up their children can be enormous,” said Cole. “The speedcheck signs help to remind these drivers to slow down and be particularly cautious.”

In Illinois, three speedcheck signs installed near and around one of Naperville Township’s elementary schools are taking the guesswork out of school zone speed limits. Using the display’s internal scheduling capabilities, the units have been set to operate only during times when school zone speeds are in effect.

“We tried other solutions including posting a deputy sheriff and placing radar speed wagons in trouble spots,” said Stan Wojtasiak, highway commissioner for Naperville Township Road District 31, “but the problems resumed as soon a these measures were removed. The permanently mounted speedcheck displays continue to work year round.”

March 2010 | Public Risk

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Radar Speedcheck Signs

Months after being employed, the permanently mounted signs continued to reduce speeds by approximately 12.4 percent.

In addition, the number of speeding cars was greatly reduced and the 85th percentile speed was also significantly decreased.

The report concluded that the use of radar speedcheck signs in school zones produced a positive impact on the drivers’ behaviors for a long period of time.

A growing number of traffic research studies have confirmed what many school administrators, traffic engineers and safety professionals have witnessed first-hand. Radar speed signs can have both an immediate and long-lasting impact on slowing cars and keeping children safe around schools, playgrounds and neighborhood parks.

Findings of two studies published in 2006 by The Journal of the Transportation Research Board reported that vehicle speeds were reduced in school zones by about 17.5 percent when radar speed signs were first installed. Months after being employed, the permanently mounted signs continued to reduce speeds by approximately 12.4 percent. In addition, the number of speeding cars was greatly reduced and the 85th percentile speed was also significantly decreased. The report concluded that the use of radar speedcheck signs in school zones produced a positive impact on the drivers’ behaviors for a long period of time.

In 2005, the city of Mount Vernon, Wash., purchased its first two speedcheck signs. Both

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Public Risk | March 2010

were mounted on mobile trailers so that they could be moved and used at various school sites throughout the city’s jurisdiction. After their effectiveness was proven, the city replaced the mobile displays with permanently mounted signs. Over the next two years, Mount Vernon purchased and installed several more radar speedcheck signs, bringing the total number currently in use to 14.

“The city felt that a large percentage of motorists had become numb to the typical black-on-yellow school zone signs we had used for years,” said Dean Gilbert, public works inspector for Mount Vernon. “We replaced them with radar speed signs that have a more visible display.

We also installed amber LED lights above the speed limit displays that flash when approaching cars exceed the limit.”

Eight of the displays now being used by the city are equipped with traffic data collection capabilities that provide information on the number and average speed of cars passing by during various times throughout the day. By comparing this data over time, city officials can confidently quantify the effectiveness of the signs.

Mount Vernon officials also decided to run each of their 14 signs using solar power, rather than hardwiring them to external electrical sources. Still, the signs work year round and have enough power to run the auxiliary flashers.

“We’ve noticed that most motorists react instantly to the flashing lights,” said Gilbert. “Apparently they do not want to be seen by others as law breakers.”

According to a 2007 survey of traffic engineers and safety professionals, radar speedcheck signs were consistently ranked the solution of choice for slowing traffic around school zones and neighborhood streets. The survey, commissioned by Information Display Company, found that more than 96.5 percent of respondents agreed or strongly agreed that speedcheck signs were effective in this regards.

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This compares to only 33.3 percent or less that felt similarly about speedbumps and other traffic-calming solutions.

Each new school year, concerns over childhood safety take top priority for thousands of parents, teachers and school administrators. In many cases, a key component of the safety equation involves the protection of children as they walk to and from school. Ensuring that drivers adhere to school zone speed limits is a key piece to solving the problem and radar speed signs have, for hundreds of cities across the country, proven to be a big part of the answer.

John Dixon is a freelance technology writer based out of Portland, Ore.

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Risk Management Presentations

Risk Management Presentations—

The Little Things Count

By Paree Roper

At some point in a risk manager’s career, it will be necessary to give a presentation on an aspect of a risk management program or process. These presentations can cover a range of topicsanywhere from getting the buy-in of skeptical governmental officials to implementing new loss control initiatives for employee work units.

These presentations often focus on what to say. This is necessary, but no matter the size of the audience or intent of the presentation, how the message is delivered is just as important as its subject matter. This article takes a look at some tips and “behind the scenes” preparations that can enhance the content of a risk management presentation. This is by no means an all-inclusive list, but these tips come from diverse resources and contain many of the “little things” that help convey the message.

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Public Risk | March 2010

Before, During and After the Presentation Risk managers have excellent and successful processes for dealing with claims, issuing RFPs, calculating costs of risk and implementing a myriad of loss control recommendations.

These processes take away the need to ‘reinvent the wheel’ and are familiar parts of the work. Just as these processes support risk management as a whole, there are mechanisms that support the risk management message as well.

Communicating about risk management may come easy to some, but for others, presentations can be the most terrifying part of the job. The ARM, CSP or CPCU certification programs do a great job preparing risk managers for the tasks of the job, but in order to let others know what needs to be done, one must look to additional resources. Let’s take look at a few techniques that can help manage the mechanics of a presentation so that the content is well-received.

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Communicating about risk management may come easy to some, but for others, presentations can be the most terrifying part of the job. The Before the presentation. Long before a risk manager sits in front of that skeptical city manager or group of public works supervisors, there is plenty of preliminary planning that needs to happen. The time that is requested for the presentation usually does not come easy. Everyone is stretched to do more with less and there is pressure to make every minute count toward something productive.

In keeping with this spirit, note the following items about the timing of a presentation: • Get an understanding beforehand of the amount of time available for the presentation, i.e. time allowed for questions and comments. Block these components of the presentation into this time frame in order to stay within the allotted period. This includes time for audio visual presentations, distribution and review of handouts and live demonstrations.

• The attention span of adults averages approximately 20 minutes. When one adds in items that will distract from your message such as Blackberries, cell phones and good old-fashioned doodling, time management becomes imperative. Plan ahead for these sorts of time stealers.

Cell phone interruptions and attention-getters such as personalized ringtones are annoying, but can be managed by clear and direct expectations. Make a list of expectations during the planning phase of the presentation and make these expectations concerning the use of these devices known at the beginning of the presentation. Do not be afraid to ask for help from a member of the group that is being addressed, if necessary. In a situation where there is no control over time or audience (such as a council meeting), go into the presentation with that particular understanding and focus even more intently on the message.

Just as time needs must be considered, so must the needs of the persons receiving the information. The phrase

‘know your audience’ may sound cliché, but it is wise to heed such advice. The audience will have expectations that the presenter will know something about their work and contributions to the entity. Find out where their interests lie and know something about the things that motivate them.

Integrate this information with the goals of the presentation.

Check out the space where the presentation is being held.

Note items like furniture arrangement and lighting and comfort issues such as heating, air conditioning, and exterior noise. If allowed, rearrange the furniture to accommodate the activities that will occur during the presentation.

During the presentation. After reviewing housekeeping items, immediately state the objectives of the presentation and what needs to be achieved as a result. The use of “golden” questions can help focus the group and keep things moving in a timely manner. They can also serve as anchor points throughout the presentation, alert the audience that the topic is changing and provide a natural break in the action.

ARM, CSP or CPCU certification programs do a great job preparing risk managers for the tasks of the job, but in order to let others know what needs to be done, one must look to additional resources.

A typical set of golden questions is shown below. The statements concerning workers’ compensation experience are shown as potential talking points that can come from the questions: • Where are we now (workers’ compensation experience modification rating has risen steadily over the past three years)?

• How did we get here (lost-time claims have increased in severity and frequency during this period)?

• Where do we need to go (experience modification needs to decrease from 1.2 to less than 1.0 in order to experience injury and cost reductions)?

• How do we get there (risk management is launching a revised loss control initiative)?

March 2010 | Public Risk

13

Risk Management Presentations

Yes, public speaking is ranked by many as one of the most nerve-jangling activities an adult could do, but the focus here is on conveying the message.

When presenting a risk management issue, a great deal of information is often squeezed into a very limited time frame. Communicating quickly and effectively takes on an added urgency. PowerPoint presentations can fill this need if done correctly, and the following tips are given in order to get the most effective use out of this visual medium: • Fonts. PowerPoint makes it very easy for the average person to create a slide presentation. The instructions are straightforward and simple, but the user is not often skilled on how visual cues work. It is suggested from numerous graphics-related resources that 18 point or larger fonts be used for large audiences and that 14 point or larger be used for small audiences. It is recommended that a sans-serif font be used (examples include Helvetica and Arial). The reason behind these recommendations is that these type sizes and typefaces minimize eyestrain and blurring.

• Slides. Remember that the average attention span for adults is 20 minutes, therefore: • The maximum amount of time to spend on any given slide is 1–2 minutes.

• Limit bullet points on a slide to five or fewer. Six or more points could have the audience reading slides when they need to be listening to the speaker.

• Make bullet points short and do not use complete sentences. Most people read all the text in a slide before listening to the speaker. Shorter sentences help them keep on track.

• Color, graphics and illustrations. It is only natural to be concerned about how a presentation looks, but in some cases, good-looking presentations are not necessarily the ones that communicate most effectively.

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Public Risk | March 2010

The key is to use color, graphics and illustrations judiciously. Some basic tips: • Use of a light font color on a dark background results in less glare. Yellow or white on blue or black background is recommended.

• Graphics often obscure the important information.

Use sparingly. Graphics used to identify an entity should be used on the first slide only. If used on subsequent pages, make them unobtrusive.

• Illustrations should be used to emphasize a point instead of for decoration. If screen shots are used, make sure they are enlarged and easily seen without additional effort. A quick note on special effects: they tend to break the listener’s concentration and create unnecessary breaks, so judicious use is advised.

Now, the room is perfect, the slides pass muster and the audience is rapt. It is time to check one more component of the presentation—in fact, the most important part.

The speaker.

The first thing to do is relax. Yes, public speaking is ranked by many as one of the most nerve-jangling activities an adult could do, but the focus here is on conveying the message. The following are a few tips that can help with that focus: • Relax. This is repeated because it is of utmost importance. Most audiences are not there to critique the speaker; they want good information in exchange for their investment of time. Give it to them.

• Do not read slides. Do have notes that emphasize what the slides state or that give additional facts.

• Keep a glass of water available. Vocal chords need lubrication when used for long periods. In addition,

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• Keep the presentation flowing. An occasional ‘uh’ is not a crime, but be aware of how a flock of them can slow things down. When faced with a question that cannot be answered at the moment, acknowledge that the answer is not available at that particular time, state what can be done in order to answer the question and then move back to the stated agenda. It is okay to let a person know that you are available after the presentation, but time is limited and there are other items to discuss. If there are constant interruptions, defer questions until the end of the presentation.

• Eye contact. Face the audience and scan the room.

Make periodic eye contact so that members of the audience feel that they are begin spoken to directly.

Carry yourself in a professional and confident manner; communicate confidence even if you do not consider yourself a good speaker.

After the presentation. The moments after a presentation are some of the best times to convey your message. Some persons are uncomfortable with a more formal setting and will talk if they can do so one-on-one or in a small group.

Instead of instantly leaving the scene, build in time for those who have questions. It is also a time to approach those who may have had puzzled expressions or opposition to what was said in order to get clarification from all parties. These moments are also the ideal time for recapping how the presentation went and noting important observations that occurred.

For the first time, PRIMA is offering annual conference attendees and exhibitors the opportunity to attend this ground-breaking, dynamic and interactive half day presentation skills workshop. Presenter Michael Jackson will teach registrants exactly how to create and deliver a top-quality business presentation. Guaranteed to improve the level of any attendee’s presentation skills!

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These tips represent a few of the “little things” that can play an important role in how a risk management presentation is received. Now go out there and wow ‘em!

Paree Roper is PRIMA’s industry specialist.

Visit www.primacentral.org for more information

March 2010 | Public Risk

15

More Riders: Financial Boon or Risky Business?

More Riders: Financial Boon or Risky Business?

How to help ensure an increase in public transit ridership won’t drive up claims and put the brakes on profitability

By Dennis Molenaar, JD It began a couple of years ago. And it’s evolved into a public transit perfect storm with the potential for severe consequences.

Fueling discontent and compromising budgets In 2008, when gas prices shot up to $4 a gallon—and even higher in some regions—consumers fumed. It forced many to “go green” on behalf of the environment and their wallets: many bought hybrids, some started biking to work and a significant number opted for public transportation rather than pay a ransom at the pumps. In fact, the U.S. Department of Transportation notes that Americans took 10.7 billion transit trips in 2008, a 4 percent increase over 2007 and the highest ridership level in 52 years.

Right on the heels of the gas spike came the economic meltdown, which, of course, wreaked havoc on public transit agency coffers. State and local funding cuts led to agency budget slashing that resulted in significant layoffs, curtailed service and other operational belt-tightening, including reduced funding for training on procedures

16

Public Risk | March 2010

and protocols. According to a June 2009 survey by the American Public Transportation Association, more than 80 percent of public transit systems have seen flat or decreased funding from local, regional and state sources. In addition, 89 percent of the surveyed systems were forced to raise fares or cut service.

Collectively, these developments have created the opportunity for big problems. More riders supported by fewer staff members in a time of training cut-backs add up to a greater potential for injuries and other incidents leading to liability claims. And that, of course, is the kind of stuff that keeps risk managers up at night worrying about the ability to protect both customers and protect the bottom line.

Minimizing the ridership risk What can be done to manage this threat in the midst of an incredibly challenging economic environment?

While there’s no magic bullet, there are several important steps risk managers can take to help make a difference.

Although many may seem fundamental, for that reason alone, they may have been too easily taken for granted or overlooked.

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More riders supported by fewer staff members in a time of training cut-backs add up to a greater potential for injuries and other incidents leading to liability claims.

And that, of course, is the kind of stuff that keeps risk managers up at night worrying about the ability to protect both customers and protect the bottom line.

Step away from the training budget If you haven’t already done so, consider taking a step back on the budget front to ensure you have the benefit of a big-picture perspective. While training may be a likely suspect when it comes to sharpening the budget pencil, liability issues can ultimately make that a costly decision.

Are there other areas where possible cuts can be made? Have you considered both the obvious and the not-so-obvious areas? Are there creative approaches to the budget issue that you may not have considered? Given the public safety and financial issues at stake, the training budget should be carefully protected.

Resuscitate your handbook Is your operator handbook on life support? Or is it the lifeblood of an integral approach to day-to-day operations and policy and procedure training? Now is a great time to dust off the cobwebs and review and revitalize it. How outdated is it? What changes need to be made to bring it up to speed and incorporate current industry standards?

What strategies do you have to increase awareness of the handbook provisions among employees, including making it part of periodic reviews and training refreshers? In the case of the personal injury claim highlighted in the sidebar, lack of familiarity with standard handbook practices was the likely cause for operator behavior that led to a very unfortunate outcome.

Catch it on camera From the Rodney King incident to the YouTube explosion, video is putting our deeds on record and holding us accountable. Operations of all shapes and sizes have adopted video surveillance to deter and solve crimes against people and property. Reflecting again on the personal injury claim highlighted in this article, how differently may the aggressors and bus operator have acted if video surveillance was in place? The Chicago Police Department has a pretty good idea. In a May 2008 report tracing the evolution of their innovative video surveillance program, the Department notes that highly visible video systems have proven to be a strong deterrent and very effective tool in fighting crime. While video systems are certainly not an inexpensive investment for a public transit fleet, they can make a very real difference when it comes to eliminating doubt of negligence and reducing risk.

Be a best practices practitioner Looking to peer groups and trusted associations like PRIMA for best practices is a smart idea. That includes best practices in hiring to ensure the public’s safety is entrusted to those with a strong commitment and sound judgment.

It also includes best practices in training—offering annual training and training specific to emergency behavior (violent passengers, collision situation, passenger injury).

And it includes best practices in maintenance—conducting

March 2010 | Public Risk

17

More Riders: Financial Boon or Risky Business?

Ripped from the public record: a worst-practices example of not going “by the book” As they say, you can learn a lot from mistakes. Case in point—an example highlighting the increased risks of not following standard operating procedures.

It happened on a fixed-route bus in a Midwestern city.

A woman was repeatedly threatened by two other riders. She alerted the bus operator several times and asked him to call the police, but he took no action, failing to follow handbook protocol. As a result, the woman’s son and boyfriend were assaulted and received stab wounds.

The operator’s actions—or in this case inaction—begs several key questions, including: • Was the operator unaware of the required procedures for the situation presented?

• Was proper training made available to the operator to create awareness or reinforce handbook policies and procedures?

• If he had been aware of the appropriate procedures, could this incident have been avoided?

• What changes should the transit entity make to its training strategy to help ensure better passenger safety?

Coleman v. Greater Cleveland Regional Transit Authority, 884 N.E.2d 648, 174 Ohio App.3d 735, 2008 -Ohio- 317 (Ohio App. Dist.8 01/31/2008)

18

regular vehicle checkups, keeping vehicles inspected and maintained with documentation of repairs, and providing daily documented inspections.

Safety first, second and third The importance of being vigilant when it comes to instituting safety measures cannot be overstated. That vigilance is a smart investment and a small price to pay considering what’s at stake. Your big, expensive fleet—which may or may not be approaching its “golden” years—takes a pounding day in and day out, and therefore needs constant care and attention. To reemphasize a point above on best practices, this should include conducting safety checks on every vehicle, every day. You simply can’t afford not to.

Also, look to ensure that your vehicles are equipped with proper operating safety features. For example, larger units should have warning devices to signal right-hand turns.

And unfortunately, risk doesn’t simply disappear once a passenger disembarks. Bus stops and other loading/drop-off areas are fertile ground for mishap. These sites should be regularly inspected for proper signage and lighting to help avoid slip and fall hazards.

drop-site inspections referenced earlier. Bringing quality expertise and support to clients is the mantra of virtually every carrier. Now is a great time to learn first-hand about your carrier’s ability to “walk the talk” when it comes to delivering on that promise.

Increased ridership is good news for the environment, consumers and the public transit agencies that serve them.

Buttoning down the basics, including strong adherence to policies and procedures, as well as the revitalization of training routines, can help ensure the well-being of passengers and your bottom line.

Dennis Molenaar, JD, is the vice president, risk control, for OneBeacon Government Risks.

Leverage insurer expertise and support Whether it’s possible or not to retain the integrity of your training budget, don’t overlook the valuable resources your key business partners can provide. Your insurance carrier certainly has expertise that can support your training needs, and of course, has a particularly strong incentive to help you succeed. For instance, a carrier’s risk control department can help risk managers with protocols essential to the hiring process. That includes forms, documentation and advice in conducting vital routines such as drug testing and background checks for all drivers. Your carriers’ risk control experts may also facilitate various driver training courses. In addition, they can provide very practical sample forms and checklists to help document the vehicle maintenance checks and

Public Risk | March 2010

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Has your entity launched a successful program? An innovative solution to a common problem? A money-saving idea that kept a program underbudget? Each month, Public Risk features articles from practitioners like you. Share your successes with your colleagues by writing for Public Risk magazine! For more information, or to submit an article, contact Jennifer Ackerman at jackerman@primacentral.org or 703.253.1267.

RISKWATCH RiskWatch is PRIMA’s weekly e-news service that delivers handpicked, high-quality news articles relating to the public risk management industry directly to your email inbox. In addition, RiskWatch will provide PRIMA members with valuable association-related news.

Distributed each Thursday, RiskWatch is an excellent opportunity for you to increase the value of your PRIMA membership and share valuable knowledge with your peers!

Want others in your entity—such as your senior management—to receive this new benefit of PRIMA membership? Subscribe up to two additional recipients in your entity by contacting Jessica Konrath at jkonrath@primacentral.org and provide the name, title and email address of your colleague(s).

March 2010 | Public Risk

19

Member Spotlight

City of Stillwater Promotes Safety Culture Each month, Public Risk features a member who has gone above and beyond in a feature column titled “Member Spotlight.” Do you know someone who deserves recognition, has made a contribution or excelled in their profession?

If so, we’d like to hear from

I

n 2008, the Oklahoma city of Stillwater’s workers compensation costs were on the rise, up nearly $100,000 from 2007 and more than $200,000 from 2006.The city’s behavior-based safety training program was not working. The core problem was that supervisors and employees accepted that injuries “were just part of the job,” said Safety Coordinator Stephen Davenport.

Davenport and the city’s risk management department set out to change the culture and attitude of all city employees when it came to safety. With a grant from Meridian Technology Center, they created the city’s first Safety Culture Program, which provided a fresh start for safety initiatives across the city.

you for this exciting column, as PRIMA shines the spotlight on its members.

To be considered for the Member Spotlight column, contact Jennifer Ackerman at jackerman@primacentral.org or 703.253.1267.

As part of the new program, all city employees participated in a four-hour safety culture workshop. Later, teams of two representatives from each city department began to meet and discuss what needed to be improved, changed or developed. The planning team, with the help of a strategic planning consultant, worked to develop an infrastructure in which all departments looked at what they did, where accidents and injuries occurred and how to reduce or eliminate them, said Davenport. Employees also developed best practices for jobs or activities that had the potential to generate workers’ compensation claims, such as how to locate buried cables, using trailers and mowing.

The city also implemented a comprehensive electronic tracking system to track near misses, injuries and property damage. The system allows all staff to receive details on incidents as well as any follow-up that occurred. The creation of a Job Hazard Analysis for each position allowed city supervisors to easily see what risks employee face for any given task.

During the first half of 2009, the city of Stillwater lowered its workers comp claims by 60 percent from the same period on 2008, saving the city more than $316,000. The success of Stillwater’s program has led to speaking engagements for its human resources departments at other public entities around the state of Oklahoma.

“Part of the reason we feel we made a difference is that we had a say in the process and we know we were contributing to a program that was designed to keep people and property safe,” said Justin Buchanan, safety culture committee member and member of Stillwater’s electric utilities department.

For more information on the city of Stillwater’s Safety Culture Program, contact Stephen Davenport at sdavenport@stillwater.org.

“The result was that employees, regardless of department, had consistent and detailed guidelines on the safest way to do their job,” said Davenport.

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Public Risk | March 2010

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