Budget Committee Hearing on Metro Technology Services FY 2026-2027 Budget - June 4, 2026

This meeting of the Louisville Metro Budget Committee, held on June 4, 2026, at 4:51 PM, focused on the proposed FY 2026-2027 budget for Metro Technology Services (MTS). The hearing was the last of the department budget hearings. Committee Member Anthony Piagentini (R-19) chaired the meeting in the absence of Chair Kevin Kramer and Vice Chair Markus Winkler, who later joined virtually. Seven committee members were present. The meeting adjourned at 5:27 PM.

Discussion Items

• ADA Compliance Analysis and Remediation (Project 58): Executive Director Chris Seidt reported that the first year was spent assessing digital systems and that contracted resources are now remediating PDFs, color patterns, and other elements. The U.S. Department of Justice extended the compliance deadline from April 2026 to April 2027. The budget includes $400,000 for ongoing work. Seidt noted that decentralized content management may require further funding to prevent future non-compliance.

• Contractual Services Increase: Councilmember Piagentini queried a 31% increase in contractual services from $15 million (FY 2025 actuals) to $20.5 million (proposed). Seidt attributed $1.8 million to AI investments approved last year, increases in SaaS subscriptions, and contracted ADA remediation staff. He explained that the AI budget supports longer service hours (e.g., 311) without adding headcount.

• AI Investments and ROI: Councilmember Piagentini and Vice Chair Winkler discussed how AI could bend the curve on personnel growth. Seidt highlighted a pilot using GenAI to allow 311 to operate 24/7, reducing hold times. Councilmember Chappell expressed caution about overinvestment, noting that some companies are scaling back AI. She requested a breakdown of the CRM budget ($3 million) and details on specific products. Vice Chair Winkler asked for a concrete AI action plan with measurable ROI by next June. Seidt agreed to provide a dashboard of pilot results.

• Cybersecurity: Councilmember Parker asked about the $1 million cybersecurity budget. Seidt stated that AI-driven threats (e.g., using tools like Claude’s “Mythos”) require AI-based defenses, and the current investment is a bare minimum. He noted that security services spending decreased from $1.4 million to $102,000 because contract cybersecurity staff are being converted to full-time employees, yielding savings.

• CRM Replacement: Councilmember Chappell asked about the replacement of the CELA system. Seidt clarified that the $3 million is for a new front-end resident interface, while CELA remains the back-end system of record. He also noted that the website platform has not been significantly updated since 2014, and a centralized content team is not in this budget but could be considered after the CRM project.

• Data Center Enhancements and Refresh: Councilmember Chappell asked about the $3 million capital request for data center upgrades, clarifying that it is not a new facility. Seidt stated that the equipment, installed in 2009, is past its service life and supports critical systems including 911. He indicated that an additional $4–6 million may be needed next year to complete the work.

• Staffing and Peer Comparison: Councilmember Parrish-Wright asked about staff size and salaries. Seidt reported 82 personnel, with entry-level help desk pay at $57,000–$58,000 and his own salary at $190,000. The department has one vacancy. Councilmember Chappell referenced a budget comparison with Columbus, Nashville, and Lexington, noting that Louisville runs very lean on IT staffing. Seidt confirmed that MTS supports over 40 agencies with roughly two IT staff per department.

• AI-Generated Questions Demonstration: Chair Piagentini displayed AI-generated questions based on prior transcripts and the proposed budget. The questions accurately predicted what members would ask, including queries about equity, vendor dependence, and operating risks. The demonstration was used to illustrate the tool’s potential for council preparation.

Key Outcomes

• No formal votes were taken during the hearing.
• Vice Chair Winkler requested that Metro Technology Services provide a detailed AI action plan with specific projects and ROI metrics by the next budget cycle.
• Councilmember Piagentini asked MTS to identify any surplus funds from previously approved capital projects that could offset borrowing for the data center upgrades.
• The committee accepted the testimony and information provided by Executive Director Chris Seidt for further consideration in the budget process.