AGENDA
ITEM
13 AGENDA
CALEXICO California ITEM
13 CITY COUNCIL
AGENDA STAFF REPORT
DATE: December 18, 2024
TO: Mayor and City Council
APPROVED BY: Juan Contreras, City Manager, K
REVIEWED BY: Armando Orozco, Chief of Police AC
Sandy Fonseca, Interim Finance Director
PREPARED BY: Sean Acuña, Acting Lieutenant Sean A. Acuña SUBJECT: Adopt a Resolution Authorizing the City Council of the City of Calexico to Enter into an Agreement with Nichols Consulting Services. ======== =================:
Recommendation:
Adopt a resolution authorizing the City Council of the City of Calexico to enter into an agreement with Nichols Consulting Services. This agreement will enable the firm to process and secure reimbursement claims for various programs for which the City of Calexico is eligible.
Background:
Nichols Consulting Services reached out to the Calexico Police Department offering a wide variety of reimbursement opportunities available to the department through SB 90 State Mandated Cost reimbursement claims. The claiming opportunities for the City of Calexico include but is not limited to the following:
• Driving under the influence (DUI) - Administrative License Suspension (a.k.a. "Admin per Se)
• Domestic Violence Calls - Reimbursable programs include • Domestic Violence Arrests Polices and Standards
• Domestic Violence Arrests and Victims Assistance
• Peace Officers Procedural Bill of Rights (POBAR) - Reimbursement is based on number of Full-Time Sworn Officers employed by the city. • Peace Officer Procedural Bill of Rights II (POBAR II) - Reimbursement for written notices to peace officers) being investigated/disciplined • Peace Officer Personnel Records: Unfounded Complaints and Discovery - Provide Immediate Notice to Officer and Provide Written Notification to Complainant within 30 days.
• Local Government Employee Relations - Costs associated with Public Employment Relations Board (PERB) cases as required by the Meyers-Lilias Brown Act (MMBA). • Local Agency Employee Organizations: Impasse Procedures II - Costs associated with factfinding after impasse has been reached.
• Peace Officer Training: Mental Health/Crisis Intervention Costs for Training FTO's as required by SB 29.
• Racial and Identity Profiling Act (Wave 4): Costs associated with the requirements of AB 953 (RIPA).
• Rape Victim Counseling Center Notices - Request each victim's consent to notify a rape counseling center; furnish a "Victims of Domestic Violence" card; record, file, and/or date-process state mandated information, and provide hospital verification. • U Visa 918 Form, Victims of Crime: Nonimmigrant Status - Costs for completing the Federal U Visa application.
• All Other Eligible Claiming Opportunities - Any Other Claim Deadlines which the City is able to claim eligible costs.
Discussion:
The City of Calexico currently does not have a system or manpower to facilitate SB 90/State Mandated Cost Reimbursement Claim preparation services. Nichols Consulting provides this service by a fixed fee of $3,600 for all eligible claims per fiscal year, or a contingent fee (20%) for all eligible claims with a "Not to exceed" of $5,400. Currently the city of El Centro is using Nichols Consulting Service for similar tasks.
Analysis:
Contracting Nichols Consulting would benefit the City of Calexico by reimbursing funds expended by the Calexico Police Departments daily, specifically, the costs associated with the Racial and Identity Profiling Act (Wave 4). This requires all Calexico Police officers to document all public contacts including but not limited to all field interviews, consensual encounters, detentions, arrests, and vehicle enforcement stops.
Fiscal Impact:
The financial implications include a fixed fee of $3,600 for all eligible claims, or a contingent fee of 20% on those claims, capped at $5,400 annually. Furthermore, the revenue generated from this arrangement would not only cover the costs of implementing the services provided but also create additional revenue streams. Nichols Consulting estimates conservatively about $36,000 in revenue recovery.
In summary, partnering with Nichols Consulting would generate funds to support the Revenue Improvement and Performance Assessment (RIPA) and other services utilized by the City of Calexico daily, thereby reducing the financial burden on the general fund. 2 Coordinated With:
Juan Contreras, City Manager
Sandy Fonseca, Acting Finance Director
Attachments):
1. Report provided to the City by Nichols Consulting.
ATTACHMENT NO. 1
Nichols
Consulting
SB 90/State Mandated Cost Reimbursement
Claim Preparation Services by Nichols Consulting
for the City of Calexico
I. History & Background of the Senate Bill 90 (SB 90)/State-Mandated Cost Process mandated petities orimbud with to lorop ate tax ander Act it for at Bill 90, Chapter 1406, Statutes of 1972), known as SB 90. The primary purpose of the Act was t limit the ability of local agencies and school districts to levy taxes. To offset these limitations, the Legislature declared its intent to reimburse local agencies and school districts for the costs of new programs or increased levels of service mandated by state government.
In 1979, voters approved Proposition 4, which added article XIII B to the California Constitution and superseded the SB 90 legislation. Article XIII B imposed appropriation limits on the tax proceeds of both state and local governments. Section 6 of article XIII B requires that whenever the Legislature or any state agency mandates a new program or higher level of service on local government, the state must provide a subvention of funds to reimburse the associated costs, with certain exceptions.
To implement section 6 of article XIII B, the Legislature enacted Government Code section 17500 under Chapter 1459, Statutes of 1984. Under Government Code section 17500, the State Controller's Office releases Claiming Instructions for SB 90/State Mandated Cost Claims. Local Government Agencies have 120 days to file timely claims and one-year after that deadline to file "Late" claims with a 10% penalty.
II. Claiming Opportunities for the City of Calexico
As described above, the City of Calexico is eligible to file SB 90/State Mandated Cost reimbursement claims for a variety of programs, the scope of services for the City of Calexico is for the reimbursable State Mandated Cost activities of:
• Driving Under Influence (DUI) - Administrative License Suspension (a.k.a. "Admin per Se")
• Domestic Violence Calls - Reimbursable programs include:
, o Domestic Violence Arrest Policies and Standards
Domestic Violence Arrests and Victims Assistance
Peace Officers Procedural Bill of Rights (POBOR) - Reimbursement is based on number of Full-Time Sworn Officers employed by the City. • Peace Officers Procedural Bill of Rights II (POBOR II) - Reimbursement for written notices to the peace officers) being investigated/disciplined.
Nichols
Consulting
• Peace Officer Personnel Records: Unfounded Complaints and Discovery - Provide Immediate Notice to Officer and Provide Written Notification to Complainant within 30 days.
• Local Government Employee Relations - Costs associated with Public Employment Relations Board (PERB) cases as required by the Meyers-Milias- Brown Act (MMBA)
• Local Agency Employee Organizations: Impasse Procedures II - Costs associated with Factfinding after Impasse has been reached. • Peace Officer Training: Mental Health/Crisis Intervention - Costs for Training FTOs as required by SB 29.
• Racial and Identity Profiling (Wave 4): Costs associated with the requirements of AB 953 (RIPA).
• Rape Victims Counseling Center Notices - Request each victim's consent to notify a rape counseling center, furnish a "Victims of Domestic Violence" card; record, file, and/or data-process state mandated information; and, provide hospital verification.
0. U Visa 918 Form, Victims of Crime: Nonimmigrant Status - Costs for completing the Federal U Visa application.
All Other Eligible Claiming Opportunities - Any Other Claim Deadlines which the City is able to claim eligible costs,
INX. Information and Data Requested by Nichols Consulting During the course of gathering all necessary information for the preparation of eligible programs for the City of Calexico:
• Police Statistics - Approximately 3.5 - 4.0 hours of Police Department time to pull data in general and non-specific terms and summarize this information on our forms in order to prepare these claims in accordance with State Controller's Office guidelines.
• Police Department Salaries - Salaries of Police Department Staff by Title. As an alternative, I could use the State Controller's Office Government Compensation Database for Calexico Police Department Staff, which is calculated from the city's audited financial statements (Goyernment Code section 53891(a)).
I would leave it up to the City's preference to gather the data. • Police Department Expenditures for FY 2022-23 and FY 2023-24 — Salaries & Benefits and Services & Supplies for both fiscal years. The information I need to calculate a Police Department Benefit Rate in accordance with State Controller's Office Guidelines and also an Overhead Rate in accordance with Federal Guidelines (Office of Management and Budget Circular (OMB) Circular 2 CFR, Chapter I and Chapter II, Part 200 et al.) for "Actual Expenditures" for the Police Department.
Nichols
Consulting
Outlook
City of Calexico - Reimbursement of Law Enforcement Activities, including RIPA ($36,000+) From Andy Nichols <[email protected]>
Date Tue 11/19/2024 9:03 AM
To Cynthia Fraker <[email protected]>
Cc Armando Orozco <[email protected]>; Martha Gutierrez < [email protected]> U 1 attachment (251 KB)
SB 90 Reimbursement Services FY 2024-25 - Calexico.pdf; Hi Sergeant Fraker,
Some time has passed since our meeting about two months ago (Tuesday, September 10).
I was curious to see if the City of Calexico was still interested in my company's services. I have attached a PDF copy of the document I shared during our meeting in first-half of September.
Please let me know as I would like to help Calexico receive this reimbursement of General Funds from the State of California (conservatively estimated at $36,000+).
Thank you for your consideration.
Sincerely,
F. Andy Nichols
Nichols
Consulting
V
916.455.3939 OFFICE
916.803.6750 MOBILE
Twitter: @NicholsSB90
Nichols-Consulting.com/blog
From: Andy Nichols
Sent: Friday, September 6, 2024 9:22 AM
To: Cynthia Fraker <[email protected]>
Subject: In Your Area Between 11:15 AM and 2 PM on Monday (September 9) Hi Sergeant,
Similar to the voice message I left approximately 15 minutes ago, I will be in your area between 11:15 AM and 2 PM on Monday (September 9) and could briefly swing by to introduce myself in-person and to say "Hi" to you.
•
Please let me know if you have a preferred time during that late-morning/early-afternoon window.
Sincerely,
F. Andy Nichols
Nichols
Consulting
916.455.3939 OFFICE
916.803.6750 MOBILE
Twitter: @NicholsSB90
Nichols-Consulting.com/blog
From: Cynthia Fraker <[email protected]>
Sent: Tuesday, August 27, 2024 10:58 AM
To: Andy Nichols <[email protected]>
Subject: Ripa reimbursement Questions
Good morning, Sir,
I was wondering if you could tell me if our agency has filed for reimbursement in reference to our RIPA contacts. I work for the Calexico Police Department, and we do our contacts using Veritone. My Chief (Armando Orozco) was wondering who would need to file the claim to get reimbursed? When it would need to be completed. Also, would the money be sent to the City or to the Police Department.
Thank you,
Cynthia Fraker
Administration Sergeant
Calexico Police Department
420 E. Fifth Street
Calexico, CA 92231
768-768-2140 Ext. 106
IV. Compilation of All Eligible Costs for Reimbursement from the State of California Nichols Consulting has proposed to prepare all eligible SB90/State Mandated Cost claims for the City of Calexico through the end of the 2024-2025 fiscal year. Nichols Consulting will calculate all eligible direct and indirect costs in accordance with both State and Federal Guidelines, in order to maximize reimbursement for the City of After your claims have been completed and approved to your satisfaction, Nichols Consulting will hand-deliver the claims to the State Controller's Office and will receive a receipt of transmission.
V. Payment Dates for FY 2023-24 Annual Claims
With regards to payments from the State of California, the State Controller's Office will be issuing checks for the "Late" FY 2022-23 Annual Claims as early as June 2023.
Payments for FY 2023-24 Annual Claims will be made in the Summer/Fall of 2025. Any remaining/outstanding balance will be paid by June 30, 2026, as required by Article XIII B Section 6 (b)(1) of the California State Constitution.
VI. Fee Options for Nichols Consulting Claim Preparation Services Nichols Consulting is proud to offer two different fee options (Fixed or Contingent) for the City of Calexico:
do Fixed Fee of $3,600 for all Eligible Claims for FX 2022-23 and FX 2023-24 Nichols Consulting is offering to prepare and submit all eligible claims. Under this arrangement, Nichols Consulting is offering comprehensive SB 90/State Mandated Cost Claim Preparation Services for a Fixed Fee of $3,600. This fee would be due in one payment of $3,600. The date of this payment would be May 31, 2025.
OR
b. Contingent Fee (20%) for all Eligible Claims for FY 2022-23 and FY 2023-24 Nichols Consulting is offering to prepare and submit all eligible claims. Under this arrangement, Nichols Consulting is offering comprehensive SB 90/State Mandated Cost Claim Preparation Services for a Contingent Fee of 20%, with a "Not-to-Exceed" of $5,400.
Although Nichols Consulting is offering two different fee methods, we are also willing to consider alternative fee arrangements for our Professional Services for State-Mandated Cost Claiming Services.
Nichols
Consulting