REPORT TO COUNCIL
SUBJECT
Title
Modify an Existing Temporary Staffing Services Contract for the Purchasing Division of the Department of Finance (F17-056)
Report
REPORT IN BRIEF
Approval is requested to amend an existing contract with CSG Consultants, Inc. to provide temporary staffing assistance to the Purchasing Division, increasing the not-to-exceed value from $90,000 to $150,000 and extending the term of the agreement through June 30, 2017. Approval is also recommended to authorize the City Manager to increase the contract amount if necessary, not to exceed the department’s available budget.
EXISTING POLICY
Pursuant to Chapter 2.08 of the Sunnyvale Municipal Code, contracts greater than $100,000 require Council approval.
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(b)(4) in that it is a fiscal activity that does not involve any commitment to any specific project which may result in a potential significant impact on the environment.
BACKGROUND AND DISCUSSION
The Purchasing Division in the Department of Finance is responsible for the centralized procurement of goods and services for the City. In the last two years, the division’s two most senior buyers retired through attrition. At the same time, the division’s workload was increasing significantly, mainly due to a rebounding economy, increased demand for purchasing/procurements relative to Council approved service levels, increased construction and maintenance to address the City’s aging infrastructure and commencement of reconstruction of the new Water Pollution Control Plant (The Sunnyvale Clean Water Program).
While two new buyers have joined the City, a senior buyer position remains vacant, and an additional level of purchasing expertise is required to conduct some of the more complex public works projects that are in process or are scheduled to be bid out during the next few months, including the Sunnyvale Clean Water Program.
In order to augment the current situation, a temporary staffing contract was awarded to CSG in May 2016 in the amount of $60,000. CSG has provided the requisite level of engineering experience needed to conduct the more complex bids. The contract was recently increased to $90,000 with an expected assignment end date of November 30, 2016. However, CSG has agreed to extend the assignment for several more months
A recruitment process for a senior buyer is currently underway and should be completed by the end of the calendar year. Even with this expected addition to the Purchasing team, the possibility exists that augmented staffing will be needed over the next several months as workload is anticipated to remain at the current elevated level.
FISCAL IMPACT
Budgeted funding is available in the Department of Finance operating budget.
Funding Source
The cost for purchasing activities in the Department of Finance are charged back to all the City’s operating funds, including the General Fund, the Utility Funds, and the Development Enterprise Fund.
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
Authorize the City Manager to 1) execute an amendment to an existing contract with CSG Consultants, Inc., increasing the not-to-exceed value from $90,000 to $150,000 and extending the term of the agreement through June 30, 2017, and 2) increase the contract amount if necessary, not to exceed the department’s available budget.
Staff
Prepared by: Pete Gonda, Purchasing Officer
Reviewed by: Timothy J. Kirby, Director of Finance
Reviewed by: Teri Silva, Director of Human Resources
Reviewed by: Walter C. Rossmann, Assistant City Manager
Approved by: Deanna J. Santana, City Manager
ATTACHMENT
1. Draft Second Amendment to Temporary Staffing Agreement