Title
Recommendation to Authorize the Acting City Manager to Execute an Amendment to the Agreement with Susan Mayer, to Extend the Term by Nine Months and Increase Compensation in an Amount Not to Exceed $50,000, for a Total Agreement Compensation Not to Exceed $124,998, for Financial Services in Connection with Completing the Implementation of the Cost Allocation Plan and Indirect Cost Rate Proposal (ICRP). (Finance 2410)
Body
To: Honorable Mayor and Members of the City Council
From: Elizabeth D. Warmerdam, Acting City Manager
Re: Recommendation to Authorize the Acting City Manager to Execute an Amendment to the Agreement with Susan Mayer, to Extend the Term by Nine Months and Increase Compensation in an Amount Not to Exceed $50,000, for a Total Agreement Compensation Not to Exceed $124,998, for Financial Services in Connection with Completing the Implementation of the Cost Allocation Plan and Indirect Cost Rate Proposal (ICRP)
BACKGROUND
In December 2017, the City of Alameda hired Ms. Susan Mayer, a Municipal Finance Consultant to provide management consulting services to the City during the extended leave of absence of the Finance Director. Ms. Mayer was tasked to provide a project management support for several City Finance department initiatives as listed below:
1. Assist the Finance Department in the development of Fiscal Year (FY) 2017-18 Mid-Year and FY 2018-19 Mid-Cycle Budget Update;
2. Assist in the procurement and selection of a Cost Allocation Plan (CAP) and ICRP consultant; and
3. Facilitate the development and implementation of the CAP to be incorporated into the FY 2018-19 Mid-Cycle Budget Update.
The total compensation for the work under this Agreement was not to exceed $74,998 and, to date, the contract is fully expended.
DISCUSSION
The primary task assigned to Ms. Mayer was to assist with development of the FY 2017-18 Mid-Year Budget Update and FY 2018-19 Mid-Cycle Budget Update. This task, although completed, was a significant undertaking as most of the professional staff in the Finance Department are new to the City. In addition, as part of the Mid-Cycle Update, the organization of the Budget Document was restructured. Due to these circumstances, it took more time than anticipated to complete the task of the budget updates.
To finish the remaining tasks, Ms. Mayer’s financial services agreement needs to be extended and total compensation increased. This will allow for Ms. Mayer to finalize the implementation of the CAP, federally compliant CAP, and ICRP, which will be used in the development of the upcoming biennial Budget. The consultant services are critical as this provides additional resource to the Finance Department in completing multiple department initiatives in conjunction with ongoing operations.
FINANCIAL IMPACT
This amendment will increase the compensation by $50,000 for a total contract price of $124,778. There are sufficient appropriations available in the Finance Department Budget to cover these additional costs.
MUNICIPAL CODE/POLICY DOCUMENT CROSS REFERENCE
This action is in conformance with the Alameda Municipal Code and all policy documents.
ENVIRONMENTAL REVIEW
This activity is not a project and is exempt from the California Environmental Quality Act (CEQA) pursuant to section 15378(b)(4) of the CEQA guidelines, because it involves governmental fiscal activities which do not involve any commitment to any specific project which may result in a potentially significant physical impact on the environment.
RECOMMENDATION
Authorize the Acting City Manager to execute an amendment to the agreement with Susan Mayer, to extend the term by nine months and increase compensation in an amount not to exceed $50,000, for a total agreement compensation not to exceed $124,998, for financial services in connection with completing the Implementation of the CAP and ICRP.
Respectfully submitted,
Elena Adair, Finance Director
Exhibits:
1. Original Contract
2. Contract Amendment