You Have Been Hired by the City of Twin Rivers

Essay

You have been hired by the city of Twin Rivers to conduct analyses in support of their "Care for our Children" program.
The city council of Twin Rivers recently passed a resolution to fund much needed child care facilities for the city. A total of $850,000 has been made available to buy or lease child care sites throughout the city. An initial survey of the requirements for city-supported facilities has already been conducted and that data will form the basis of the siting and facility selection analysis process. That initial survey indicated the need for facilities providing four categories of child care: infant care, pre-school care, after school care, and drop-in care. The survey indicated the following minimum requirements for each category of child care. Naturally, a goal of this program is not only to try and cover these minimum requirements, but also to try and maximize the total number of child care slots created.

Various sites have been identified and these sites are either for lease or for sale. The leased sites require no additional modification at city expense. All modification expenses are borne by the owner. The sites for sale will require some level of renovation and these renovation costs have been rolled into the purchase cost for the site. Additionally, some types of maintenance on leased sites will be borne by the owner reducing the expected maintenance costs the city must cover. The sites and the pertinent information about those sites is summarized in the table below. Note that all costs are in $1000s. Each site was also assessed regarding the relative "safety" of the site. Safety issues included such things as parking, condition of the grounds, and condition of the structure. A safety index was used with each site rated as 1 for acceptably safe, 2 for marginally safe, and 3 for marginally safe given some modifications. Any sites surveyed found unacceptable in the safety department were dropped from further consideration.

These new facilities will require staffing. The city council would like insight into the number of new staff required and the subsequent annual personnel budget to accommodate these new positions. Medical, administration, and of course providers are required for the facilities. The desired level of staffing is based on a projected child-to-staff ratio. For planning purposes, a Created Slot-to-Staff ratio can be employed.
Although the city council has agreed to fund this project for approximately $850,000, reasonable targets for maintenance and personnel costs, and safety index levels must be established. The city council members would not only like recommendations on site selection that account for all the goals established for this project, they would like a summary breakout of the personnel requirements and costs associated with the recommended options.
Requirements:
a. Formulate the MOLP appropriate for this problem.
b. Implement and solve the MOLP using the Risk Solver Platform (RSP).
c. Formulate the GP appropriate for this problem.
d. Implement and solve the GP using the Risk Solver Platform (RSP).
e. Report your initial recommendation and a summary of the requirements for that recommendation.
f. Consider other issues that might arise in the current situation, adjust your model and report the results accordingly.