INDUSTRY: GOVERNMENT, HOUSING AUTHORITYNeubrain’s budgeting and business analytics solution helped Los Angeles Community Development Commission reduce its operating and capital budgeting cycles, automate complex cost allocation processes, improve productivity and accuracy of information, as well as achieved compliance with local and federal regulations.
In 1982, the Los Angeles County Board of Supervisors consolidated three entities - the Housing Authority, the Community Development Department, and the Redevelopment Agency - to form the Community Development Commission (CDC). The CDC serves in the County of Los Angeles as an Affordable Housing and Community and Economic Development Agency. The CDC's wide-ranging programs benefit residents and business owners in unincorporated County areas and in various incorporated cities that participate in different CDC programs.
In Fiscal Year (FY) 2010-2011, the agency had a budget of $494 million. Over 80 percent of the CDC's funding comes from the U.S. Department of Housing and Urban Development (HUD). At the time LA CDC was managing:
- 5306 Active Projects
- 179 Active Departments
- 396 Active Accounts
- 210 Active Funds
- 800 employees
The CDC used a manual process for budget preparation, forecasting, allocation, and consolidation, which was very inadequate for the level of data granularity required. The manual process required months worth of time commitment per cycle, was highly prone to error, required completed reprocessing if any changes were made to existing financial models, and certain mandated cost allocation methods were simply not possible.
As a result of the strong partnership with the LA CDC personnel, industry leading solution, advanced knowledge of business analytics and budgeting technology, and exemplary commitment to the project, a new budgeting and business analytics system was implemented. The system provided the following benefits:
- Reduced operating and capital budgeting cycles times from months to days
- Tight integration with the LA CDC’s PeopleSoft Financial system and a single version of truth for all budgetary and actual-to-date in-formation, cost allocation methodologies, etc.
- Automation of complex cost allocation processes, allowing for the rapid creation of over 1,000 cost allocation scenarios that met HUD and other re-gulatory mandates
After complexities and challenges experienced by the CDC in the past, with Neubrain’s solution and its team expertise the Commission’s decision makers are now equipped with consistent, accurate, and trusted information, allowing immediate insights into financial and budget performance; deeper analysis of trends and patterns; and clear foresight for planning and allocating resources.