REPORT TO COUNCIL
SUBJECT
Title
Modify an Existing Contract for Temporary Staffing for the Information Technology Department (F16-109)
Report
REPORT IN BRIEF
Approval is requested to modify an existing contract with Robert Half Technology Company of San Jose to provide temporary agency services for the Information Technology Department (ITD) by extending the contract through December 31, 2016 and increasing the not-to-exceed value from $90,000 to $190,000. Approval is also requested to delegate authority to the City Manager to extend the contract for an additional period of time not to exceed one year, if operationally necessary and subject to the availability of funds.
EXISTING POLICY
Pursuant to Chapter 2.08 of the Sunnyvale Municipal Code, Council approval is required for contracts exceeding $100,000.
ENVIRONMENTAL REVIEW
The action being considered does not constitute a “project” within the meaning of the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines section 15378(a) as it has no potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment.
BACKGROUND AND DISCUSSION
For many years, the City has contracted with temporary personnel placement agencies to enhance and supplement its regular workforce. Temporary agency employees are generally used for short-term assignments, such as filling in for an employee who is on a leave of absence or while a vacancy exists pending the recruitment and selection process to fill the position on a regular basis, or for seasonal work or special projects of a one-time or limited nature.
Due to the retirement of a Network Engineer in the Fall of 2015, it became necessary to hire a full-time temporary staff person to complete several major projects that were already underway, including the transition to VOIP, and network upgrades for the Department of Public Safety, Library and Community Services, and Traffic Engineering. A short-term contract in the amount of $80,000 was awarded for this purpose to Robert Half Technology under the City Manager’s contracting authority. The contract was subsequently increased to $90,000 and extended through June 30, 2016.
Concurrently, ITD started the recruitment for another permanent Network Engineer to backfill the existing vacancy. Unfortunately, the recruitment effort was not successful and took longer than anticipated. Another recruitment process is now underway.
With the unsuccessful recruitment process, it was necessary for the temporary agency employee to work more hours than initially planned. In the process, City staff inadvertently incurred costs under the current agreement which exceed the City Manager’s contracting authority, requiring Council approval to pay outstanding invoices. Once the error was discovered, the temporary employee’s assignment was suspended until a contract amendment could be presented to Council for approval.
Based on the need to provide continued support for the city network to ensure minimal interruption of service and business processes, coupled with the unsuccessful recruitment, an extension and increase of the contract is recommended. Should the current recruitment be unsuccessful or another crucial vacancy occur in the future, the contract may need to be extended further. Therefore, staff requests that the City Manager is authorized to extend the contract for an additional period of time not to exceed one year and subject to the availability of salary and benefits savings.
FISCAL IMPACT
Budgeted funds are available in operating program 746, IT Services and Support. The temporary agency staffing is supplementing a vacant Network Engineer position, and the unused salaries and benefits will be used for this contract.
Funding Source
Fund 595 General Services, Subfund 350 Technology and Communication Services.
PUBLIC CONTACT
Public contact was made by posting the Council agenda on the City's official-notice bulletin board outside City Hall, at the Sunnyvale Senior Center, Community Center and Department of Public Safety; and by making the agenda and report available at the Sunnyvale Public Library, the Office of the City Clerk and on the City's website.
RECOMMENDATION
Recommendation
1) Authorize the City Manager to execute a Second Amendment to an existing contract with Robert Half Technology in substantially the same form as Attachment 1 to the report, by extending the contract through December 31, 2016 and increasing the not-to-exceed value from $90,000 to $190,000; and 2) Delegate authority to the City Manager to extend the contract for an additional period of time not to exceed one year, if operationally necessary and subject to the availability of funds.
Staff
Prepared by: Pete Gonda, Purchasing Officer
Reviewed by: Timothy J. Kirby, Acting Director of Finance
Reviewed by: David Jensen, Director, Information Technology
Reviewed by: Walter C. Rossmann, Assistant City Manager
Approved by: Deanna J. Santana, City Manager
ATTACHMENT
1. Draft Second Amendment to Staffing Agreement