Compton City Council
July 23, 2024

_______________________________

MAYOR OF THE CITY OF COMPTON
ATTEST:
___________________________________

CITY CLERK OF THE CITY OF COMPTON

STATE OF CALIFORNIA

COUNTY OF LOS ANGELES

CITY OF COMPTON
I, Vernell McDaniel, City Clerk of the City of Compton, do hereby certify that the foregoing Ordinance was adopted by the City Council of the City of Compton, signed by the Mayor and attested by the City Clerk at a regular meeting thereof held on the __________ day of ____________________, 2024.

That said Ordinance was adopted by the following vote, to wit:

AYES: COUNCILMEMBERS-
NOES: COUNCILMEMBERS-
ABSENT: COUNCILMEMBERS-
ABSTAIN: COUNCILMEMBERS-
___________________________________

CITY CLERK OF THE CITY OF COMPTON
July 23, 2024
TO: HONORABLE MAYOR AND COUNCIL MEMBERS
FROM: CITY CONTROLLER
SUBJECT: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COMPTON TO AUTHORIZE AN AMENDMENT TO THE CITY CONTROLLER’S
DEPARTMENT FY2024-2025 BUDGET, AND TO AUTHORIZE THE CITY

MANAGER TO OPEN A NEW PURCHASE ORDER TO TANDYM GROUP
LLC, AND ROBERT HALF INTERNATIONAL INC. FOR CONTINUAL
ACCOUNTING TEMP AGENCY SERVICES ($75,000 FOR ALL
AGREEMENTS COMBINED).

SUMMARY
Adoption of the attached Resolution will authorize the amendment to the City Controller’s Department FY2024-2025 budget, and to establish a new Purchase Order of Seventy- Five Thousand Dollars ($75,000) for the combined services of Tandym Group LLC and Robert Half International Inc.

BACKGROUND
Resolutions #25,879 and #25,983 authorized the City Manager to execute the initial agreement and extend the use of services from a Temp Agency for temporary staffing to assist in achieving compliance with the State Auditor, State Controller, and External Auditor’s recommendations for continuous staffing of qualified personnel. The City Controller requested the use of a Temp Agency, as it would be beneficial for the City to use temporary staff in the interim until the hiring process has been completed. Currently, the City Controller’s Department has been using the combined services of Robert Half International Inc. and Tandym for temporary staffing.

The term of the agreement was approved from July 25, 2023 through July 31, 2024. The Controller’s Department has been using (3) months increments to temporarily staff the office until the recruitment process was completed. Purchase Orders were approved reflecting this (3) months incremental time period in the amount of Seventy-Five Thousand Dollars ($75,000) per period for the services. The Purchase Orders covered the periods of August-October 2023 and November 2023-January 2024. The funds for these Purchase Orders have been exhausted.

17.17.17.17.17.17.17. Staff Report – A Resolution to amend the City Controller’s FY2024-2025 budget and open a new Purchase Order for Tandym Group LLC, and with Robert Half International INC for Accounting Temp Agency Services
July 23, 2024
2 STATEMENT OF THE ISSUE
The recruitment for the Accountant l, Accountant ll, and Accounting Specialist positions are still a work in progress and the expected duration for the use of the Temp Agencies have expired again.

The roles of these positions are needed as current, and foreseeable, expectations require their obligations and skill sets. The Controller’s Department will continue to work with the Human Resources Department to fill the vacancies in the office. In adherence to the State of California Auditor’s deadlines, the roles of these positions are pivotal, and a delay in progress will not be in the best interest of the City, as timely and legally required functions of the City Controller’s Department could be at risk if the staffing is not sufficiently maintained by the help of the temp agencies.

With the need to continue the use of the temp agencies for maintaining operations, the Controller’s Department has attempted to meet with the Bargaining Unit of the said positions again, but was unsuccessful in arranging a meeting.

Staff is requesting for the approval of an amendment to the City Controller’s Department FY2024-2025 budget, and to establish a new Purchase Order of Seventy-Five Thousand Dollars ($75,000) for the combined services of Tandym Group LLC and Robert Half International Inc, since the funds of the previous Purchase Orders have been exhausted.

FISCAL IMPACT
The cost for these services is not to exceed Seventy-Five-Thousand Dollars ($75,000). A budget amendment to the FY2024-2025 City Controller’s Department Budget is being requested for the following:

Decrease in Expenditure appropriations:

Account Code Account Name Amount
1001-650-000-4101 General Fund, Controller’s Dept $75,000 Salaries - Permanent
Increase in Expenditure appropriations:

Account Code Account Name Amount
1001-650-000-4262 General Fund, Controller’s Dept $75,000 Other Professional Services
A new Purchase Order for Seventy-Five Thousand Dollars ($75,000) is also being requested to be authorized to be issued to either firm or to all firms with a total-combined, but not-to-exceed the spending amount of Seventy-Five Thousand Dollars ($75,000), out of the following account:

Staff Report – A Resolution to amend the City Controller’s FY2024-2025 budget and open a new Purchase Order for Tandym Group LLC, and with Robert Half International INC for Accounting Temp Agency Services
July 23, 2024
3 Account Code Account Name Amount
1001-650-000-4262 Other Professional Services $75,000
Controller’s Department

RECOMMENDATION
Staff recommends that the City Council adopt the attached Resolution to authorize the City Manager to approve a budget amendment to the City Controller’s Department FY2024-2025 budget and to open a Purchase Order for Tandym Group LLC, and Robert Half International Inc. for Accounting Temp Agency Services.

SHARON RAHBAN NAVIZADEH

CITY CONTROLLER
APPROVED FOR FORWARDING:

WILLIE A. HOPKINS, JR.

CITY MANAGER
RESOLUTION NO. __________

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COMPTON TO AUTHORIZE AN AMENDMENT TO THE CITY CONTROLLER’S DEPARTMENT FY2024-2025 BUDGET, AND TO AUTHORIZE THE CITY MANAGER TO OPEN

A NEW PURCHASE ORDER TO TANDYM GROUP LLC, AND ROBERT HALF INTERNATIONAL INC. FOR CONTINUAL ACCOUNTING TEMP AGENCY SERVICES ($75,000 FOR ALL AGREEMENTS COMBINED).

WHEREAS, Resolutions #25,879 and #25,983 authorized the City Manager to execute the initial agreement and extend the use of services from a Temp Agency for temporary staffing to assist in achieving compliance with the State Auditor, State Controller, and External Auditor’s recommendations for continuous staffing of qualified personnel; and
WHEREAS, the City Controller requested the use of a Temp Agency, as it would be beneficial for the City to use temporary staff in the interim until the hiring process has been completed; and
WHEREAS, Currently, the City Controller’s Department has been using the combined services of Robert Half International Inc. and Tandym for temporary staffing; and
WHEREAS, the term of the agreement was approved from July 25th, 2023 through July 31st, 2024; and
WHEREAS, the Controller’s Department has been using (3) months increments to temporarily staff the office until the recruitment process was completed; and WHEREAS, Purchase Orders were approved reflecting this (3) months incremental time period in the amount of Seventy-Five Thousand Dollars ($75,000) per period for the services. The Purchase Orders covered the periods of August-October 2023 and November 2023-January 2024. The funds for these Purchase Orders have been exhausted; and
WHEREAS, The Controller’s Department will continue to work with the Human Resources Department to fill the vacancies in the office; and WHEREAS, the recruitments from the Accountant l, Accountant ll, and Accounting Specialist positions are still a work in progress and the expected duration for the use of the Temp Agencies have expired again; and
WHEREAS, the roles of these positions are needed as current, and foreseeable, expectations require their obligations and skill sets. In adherence to the State of California Auditor’s deadlines, the roles of these positions are pivotal, and a delay in progress will not be in the best interest of the City, as timely and legally required functions of the City Controller’s Department could be at risk if the staffing is not sufficiently maintained by the help of the temp agencies; and
WHEREAS, with the need to continue the use of the temp agencies for maintaining operations, the Controller’s Department has attempted to meet with the Bargaining Unit of the said positions again, but was unsuccessful in arranging a meeting; and WHEREAS, staff is requesting for the approval of an amendment to the City Controller’s Department FY2024-2025 budget, and to establish a new Purchase Order of Seventy-Five Thousand Dollars ($75,000) for the combined services of Tandym Group LLC and Robert Half International Inc, since the funds of the previous Purchase Orders have been exhausted; and
Resolution No. __________

2 WHEREAS, the cost for these services is not to exceed Seventy-Five-Thousand Dollars ($75,000). A budget amendment to the FY2024-2025 City Controller’s Department Budget is being requested for the following:

Decrease in Expenditure appropriations:

Account Code Account Name Amount
1001-650-000-4101 General Fund, Controller’s Dept $75,000 Salaries - Permanent
Increase in Expenditure appropriations:

Account Code Account Name Amount
1001-650-000-4262 General Fund, Controller’s Dept $75,000 Other Professional Services
WHEREAS, a new Purchase Order for Seventy-Five Thousand Dollars ($75,000) is also being requested to be authorized to be issued to either firm or to all firms with a total-combined, but not-to-exceed the spending amount of Seventy-Five Thousand Dollars ($75,000), out of the following account:

Account Code Account Name Amount
1001-650-000-4262 Other Professional Services $75,000
WHEREAS, staff recommends that the City Council adopt the attached Resolution to authorize the City Manager to approve a budget amendment to the City Controller’s Department FY2024-2025 budget and to open a new Purchase Order for Tandym Group LLC, and Robert Half International Inc. for Accounting Temp Agency Services; and

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF COMPTON DOES HEREBY RESOLVE AS FOLLOWS:

SECTION 1. That the City Controller’s Department Fiscal Year 2024-2025 Budget is authorized to be amended as follows:

Decrease in Expenditure appropriations:

Account Code Account Name Amount
1001-650-000-4101 General Fund, Controller’s Dept $75,000 Salaries - Permanent
Increase in Expenditure appropriations:

Account Code Account Name Amount
1001-650-000-4262 General Fund, Controller’s Dept $75,000 Other Professional Services
SECTION 2. That a new Purchase Order shall be issued to either firm or to all firms with a total combined, but not-to-exceed spending amount of Seventy-Five- Thousand Dollars ($75,000), out of the following account:

Account Code Account Name Amount
1001-650-000-4262 Other Professional Services $75,000 Controller’s Department
SECTION 3. That a copy of this Resolution shall be filed in the offices of the City Clerk, City Attorney, City Manager, and City Controller.

SECTION 4. That the Mayor shall sign and the City Clerk shall attest to the adoption of this Resolution.

Resolution No. __________

3 ADOPTED this ____________ day of _____________, 2024. ________________________________

MAYOR OF THE CITY OF COMPTON
ATTEST:
________________________________

CLERK OF THE CITY OF COMPTON

STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) ss

CITY OF COMPTON )
I, Vernell McDaniel, City Clerk of the City of Compton, hereby certify that the foregoing Resolution was adopted by the City Council of the City of Compton, signed by the Mayor and attested by the City Clerk at a regular meeting thereof held on this ___________ day of ________________, 2024.

That said Resolution was adopted by the following vote, to wit:

AYES: COUNCILMEMBERS -
NOES: COUNCILMEMBERS -
ABSTAIN: COUNCILMEMBERS -
ABSENT: COUNCILMEMBERS -
____________________________________

CITY CLERK OF THE CITY OF COMPTON

July 23, 2024
TO: HONORABLE MAYOR AND CITY COUNCIL MEMBERS
FROM: CITY MANAGER
SUBJECT: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COMPTON RESCINDING RESOLUTION NO. 25,810 AND ORDERING THAT A

MEASURE TO AMEND THE CITY OF COMPTON CHARTER IN

CONNECTION MAKING THE CITY ATTORNEY POSITION AN

APPOINTED POSITION AND REQUIRING MUNICIPAL LAW

EXPERIENCE EXCEEDING TEN YEARS BE SUBMITTED TO THE

VOTERS OF THE CITY AT THE NEXT STATEWIDE GENERAL

ELECTION AND DIRECTING THE CITY ATTORNEY TO PREPARE AN

IMPARTIAL ANALYSIS OF THE MEASURE

SUMMARY
Adoption of this resolution will rescind Resolution No. 25,810 that authorized the inclusion of “Open Competitive” ballot measure be included in the statewide general election taking place on November 5, 2024. The measure was requesting to amend the City Charter to include an open competitive hiring process for all positions.

The attached resolution also directed the City Attorney to prepare an impartial analysis of the measure pursuant to Elections Code section 9280.

BACKGROUND
In October 2022, the Auditor of the State of California issued Report 2021-802 (“Report”) to the City, which contained the results of the State Auditor’s audit of the City and recommendations. The “Priority 1” recommendation is to ensure the City has consistent, qualified management and fundamental plans in place to address the challenges it is currently facing. Report 2021-802 recommends that City Council should prioritize taking the following action:

“By April 2023, propose city charter amendments to be voted on in the next statewide general election—and amend all related guidelines, such as the personnel rules and regulations, to the extent permissible under the existing charter—to prioritize an open, competitive hiring process for all positions. The city council’s proposed charter amendments should also explicitly require that Compton use an open, competitive hiring process whenever it makes permanent appointments for key leadership positions that include but are not limited to the following: City Manager, City Controller, Human Resources Director, and Budget Officer. As part of this process, the City Council should develop detailed job qualifications for the City Manager position.”

18.18. Staff Report – Charter Amendment – City Attorney Position The proposed Charter amendments amend Article VII, Officers, Powers, and Duties, and Article XI, Civil Service, of the Charter. Proposing Charter amendments to prioritize an open, competitive hiring process requires City Council to bring forth a motion to amend the Charter and submit the proposal for the amendment to the voters at the next established statewide general election. (Gov. Code, § 34458.) A measure to amend the Charter can only be enacted by a majority vote of the City’s voters. (Cal. Constitution, Art. 11, § 3.)
Pursuant to the report’s recommendation, the City Council approved adding a ballot measure to the November 2024 statewide general election amending the City Charter to adopt an “open competitive” hiring process during its regular meeting on March 28, 2023.

STATEMENT OF THE ISSUE
Given further consideration, staff is requesting that the City Council withdraw its request to amend the City Charter by placing the “open competitive” hiring process measure on the ballot and amend the City Charter to modify the position of City Attorney.

As stated in the current City Charter: “To become eligible for City Attorney the person elected, or appointed to the office shall be an attorney at law duly licensed as such under the laws of the State of California and shall have engaged in the practice of law for at least three (3) years prior to his election or appointment.” Staff is recommending that the following modifications be made to the position of City Attorney:

1. Change the position from an elected position to an appointed position.

2. Change “practice of law” to specify “municipal law”

3. Increase the minimum years of experience from three (3) years to ten (10) years.

The ballot measure would read as follows, should the City Council find these changes amenable:

Pursuant to its right, power and authority under the laws of the State of California and the Compton Municipal Code, the City Council hereby orders that the following measure be submitted to the voters at the statewide general election to be held on November 5, 2024:

YESShall the Compton City Charter be amended to make the City Attorney an appointed position and possess at least ten years of municipal law experience?
NO
Staff Report – Charter Amendment – City Attorney Position

FISCAL IMPACT
None.

RECOMMENDATION
Staff recommends that the City Council adopt the attached Resolution.

WILLIE A. HOPKINS

CITY MANAGER
APPROVED FOR FORWARDING:

RESOLUTION NO. ___________

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COMPTON RESCINDING RESOLUTION NO. 25,810 AND ORDERING THAT A

MEASURE TO AMEND THE CITY OF COMPTON CHARTER IN

CONNECTION MAKING THE CITY ATTORNEY POSITION AN APPOINTED

POSITION AND REQUIRING MUNICIPAL LAW EXPERIENCE EXCEEDING

TEN YEARS BE SUBMITTED TO THE VOTERS OF THE CITY AT THE NEXT

STATEWIDE GENERAL ELECTION AND DIRECTING THE CITY ATTORNEY

TO PREPARE AN IMPARTIAL ANALYSIS OF THE MEASURE
WHEREAS, the City Council approved Resolution No. 25,810 on March 28, 2023, during its regular meeting; and
WHEREAS, the City Council rescind that resolution and desires to submit to the voters of the City at the next statewide general election a ballot measure relating to a Charter amendment to make the City Attorney an appointed position; and WHEREAS, the City Council desires to increase the law experience from three (3) to ten (10) years and require “municipa law” instead of “general law”; and WHEREAS, pursuant to its right, power and authority under the laws of the State of California and the Compton Municipal Code, the City Council hereby orders that the following measure be submitted to the voters at the statewide general election to be held on November 5, 2024
YESShall the Compton City Charter be amended to make the City Attorney an appointed position and possess at least ten years of municipal law experience?
NO
; and
WHEREAS, the text of the proposed amendment to be submitted to the voters is attached to this Resolution as Exhibit “A” and incorporated herein by reference. The proposed measure shall not take effect unless approved by a vote of at least a majority of the voters voting on the question at said statewide general election; and WHEREAS, the City Clerk is hereby directed to forward a copy of the measure to be voted on at said statewide general election to the City Attorney and the City Attorney is hereby directed to prepare an impartial analysis of the measure pursuant to Elections Code Section 9280; and
WHEREAS, the City Council hereby authorizes any of its members to submit a written ballot argument for or against the measure to be voted on at said statewide general election pursuant to Elections Code Section 9282; and WHEREAS, in all particulars not recited in this Resolution, the statewide general election shall be held and conducted as provided by law for holding elections. All persons qualified and registered to vote in the City of Compton as of the date of said election shall be entitled to vote.; and
WHEREAS, notice of the time and place of holding the statewide general election is hereby given and the City Clerk is authorized, instructed, and directed to give further or additional notice of the election, in the time, form and manner as required by law.; and
WHEREAS, if the proposed measure is approved by a vote of at least a majority of the voters voting on the question at the statewide general election, the Council shall forthwith take any required action to make any necessary changes to the Compton Resolution No. __________

Municipal Code, if any, so that the Municipal Code is consistent with the Charter, as amended.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF COMPTON RESOLVES AS FOLLOWS:

Section 1.That Resolution No. 25,810 is hereby rescinded.

Section 2. That adoption of this resolution will authorize the City Council to submit to the voters of the City of Compton at the next statewide general election, a ballot measure relating to a Charter amendment to make the City Attorney an appointed position and require at least ten years of municipal law experience.

Section 3. That a copy of this Resolution shall be filed in the offices of the City Manager, City Controller, City Clerk and City Attorney and the Registrar of Voters of the County of Los Angeles.

Section 4. That the Mayor shall sign and the City Clerk shall attest to the adoption of this Resolution.

ADOPTED this __________ day of ________________, 2024.
________________________________

MAYOR OF THE CITY OF COMPTON
ATTEST:
____________________________________

CITY CLERK OF THE CITY OF COMPTON

STATE OF CALIFORNIA

COUNTY OF LOS ANGELES
CITY OF COMPTON: ss
I, Vernell McDaniel, City Clerk of the City of Compton, hereby certify that the foregoing Resolution was adopted by the City Council, signed by the Mayor and attested by the City Clerk at the regular meeting thereof held on the ___________ day of _________________, 2024.

That said Resolution was adopted by the following vote, to wit:

AYES: COUNCIL MEMBERS-
NOES: COUNCIL MEMBERS-
ABSENT: COUNCIL MEMBERS-
ABSTAIN: COUNCIL MEMBERS-
____________________________________

CITY CLERK OF THE CITY OF COMPTO
July 23, 2024
TO: HONORABLE MAYOR AND CITY COUNCIL MEMBERS
FROM: CITY CONTROLLER
SUBJECT: AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF COMPTON LEVYING A MUNICIPAL TAX RATE FOR THE FISCAL YEAR 2024-2025

SUMMARY
The purpose of this Ordinance is to authorize the levy of the assessed valuation municipal tax rate for Fiscal Year 2024-2025.

BACKGROUND
The City has levied a municipal tax (parcel tax) for many years in line with Section 1402, 1600 and 1601 of the City Charter to pay for the City’s obligations under the Employees’ Retirement Plan managed by the California Public Employees’ Retirement System (CalPERS). The municipal tax is collected by the Los Angeles County Auditor-Controller on behalf of the City. The Los Angeles County Auditor-Controller has based assessed values at market values and it is necessary to set the municipal tax at a rate based on market value. The tax rate will decrease to 0.446484, which was 0.451632 in prior fiscal year.

STATEMENT OF ISSUE
The Los Angeles County Auditor-Controller requires that the municipal tax rate ordinance be passed each year by the City Council even though the municipal tax rate remains unchanged. This agenda item is required to comply with the County requirements.

FISCAL IMPACT
The passing of the attached Ordinance will ensure that the City’s retirement fund continues to receive the municipal parcel tax revenues in line with the requirements of the City Charter for the purposes stipulated by the Charter. The municipal parcel tax generates approximately $35.2 million per year.

ALTERNATIVE
The City’s General Fund would have to pay the cost of the retirement obligations resulting in severe financial consequences to other City programs and services.

19.19.19. RECOMMENDATION
Staff recommends that the City Council adopt the attached Ordinance.

SHARON RAHBAN NAVIZADEH,

CITY CONTROLLER
APPROVED FOR FORWARDING:

WILLIE A. HOPKINS, JR.

CITY MANAGER
ORDINANCE NO. __________

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF COMPTON LEVYING A MUNICIPAL TAX RATE FOR THE FISCAL YEAR 2024-2025
WHEREAS, the City has levied a municipal tax (parcel tax) for many years in line with Section 1402, 1600, and 1601 of the City Charter to pay for the City’s obligations under the Employees’ Retirement Plan managed by the California Public Employees’ Retirement System (CalPERS); and
WHEREAS, the municipal tax is collected by the Los Angeles County Auditor- Controller on behalf of the City; and
WHEREAS, the Los Angeles County Auditor-Controller has based assessed rates at market values and it is necessary to set the municipal tax at rate based on market value; and WHEREAS, it is required that the City certify the municipal tax rate every year.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF COMPTON DOES HEREBY ORDAIN AS FOLLOWS:

Section 1.That there is hereby levied a municipal tax upon the equalized assessment of the taxable property in the City of Compton at a market valuation of the following rates (per cent):

Taxation District #1……………………………………0.446484,
(Old City of Compton, Annexations 1 to 3 inc; 5 to 10 inc; 13 to 32 inc; 106, 107 111 to 122 inc; 125 to 133 inc; 136 to 139 inc; 141 to 143 inc; 145, 147, 149, 151, 152, 153A, 155, 158, 159, 160, 161, 163, 164, 168, 172A, 173B)
Rosecrans Redevelopment Project…………………0.446484,
Walnut Industrial Redevelopment Project………….0.446484,
Section 2.That said rate is made up as follow:

Employment Retirement (Debt Service)……………0. 446484,
Section 3. That the City Clerk shall certify to the adoption of this Ordinance by the City Council and shall cause this Ordinance to be published as required by law.

Section 4.That pursuant to Section 611 of the Compton Charter, this Ordinance shall take effect upon adoption of the City Council.

Section 5.That the Mayor shall sign and the City Clerk shall attest to the adoption of this Ordinance.

ADOPTED this ____________ day of _____________, 2024.
________________________________

MAYOR OF THE CITY OF COMPTON
2 Ordinance No. ___________

ATTEST:
___________________________________

CITY CLERK OF THE CITY OF COMPTON

STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) ss

CITY OF COMPTON )
I, Vernell McDaniel, City Clerk of the City of Compton, hereby certify that the foregoing Ordinance was adopted by the City Council of the City of Compton, signed by the Mayor and attested by the City Clerk at a regular meeting thereof held on this ___________ day of ________________, 2024.

That said Ordinance was adopted by the following vote, to wit:

AYES: COUNCILMEMBERS-
NOES: COUNCILMEMBERS-
ABSTAIN: COUNCILMEMBERS-
ABSENT: COUNCILMEMBERS-
____________________________________

CITY CLERK OF THE CITY OF COMPTON

July 23, 2024
TO: MAYOR AND CITY COUNCIL MEMBERS
FROM: MUNICIPAL WATER DEPARTMENT
SUBJECT: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COMPTON

AUTHORIZING THE CITY MANAGER TO AMEND THE MUNICIPAL
WATER DEPARTMENT’S ARPA 2024-2025 FISCAL YEAR BUDGET,

AND TO ESTABLISH A PURCHASE ORDER FOR THE CLA-VAL

COMPANY (SOLE SOURCE VENDOR) FOR REPAIR AND

REPLACEMENT OF CONTROL VALVES AT WATER WELL SITES IN AN

AMOUNT NOT TO EXCEED THREE HUNDRED TWENTY-TWO

THOUSAND EIGHT HUNDRED THIRTY-NINE DOLLARS AND FORTY
CENTS ($322,839.40).

SUMMARY
Adoption of this resolution will authorize the City Manager to amend the Municipal Water Department’s ARPA 2024-2025 Fiscal Year Budget and to establish a purchase order for the Cla-Val Company (Sole Source Vendor), for the repair and replacement of control valves at various well sites in an amount not to exceed Three Hundred Twenty-Two Thousand Eight Hundred Thirty-Nine Dollars and Forty Cents ($322,839.40).

BACKGROUND
The Compton Municipal Water Department (CMWD) is an Urban Retail Water Supplier providing water services to approximately 80% of the incorporated City limits. The water system consists of approximately 156 miles of water mains, 1,500 fire hydrants, 3,500 valves, 8 water wells, 2 water storage tank locations with 5 storage tanks total and 1 booster pump station.

Automatic control valves are located at all water well sites to obtain efficient water pressure and water flow management resulting in:
 Reduction of water loss through leakages.
 Reduction of the risk of water hammer and pipe bursts.  Reduction of energy consumption as less water needs to be pumped through the system.

If worn control valves are not properly and timely serviced, water leakage can result in loss to complete shut off.

The City Council of the City of Compton approved Resolution 25,765 allocating $7,988,000 to the Compton Municipal Water Department from the American Rescue Plan

20.20.20.20.20. Staff Report – CLA-VAL COMPANY
July 16, 2024, Page 2
Act funds for the purpose of funding various capital improvement projects that will upgrade the Water Department’s aging infrastructure. This expenditure is a part of the funding.

STATEMENT OF THE ISSUE
On June 25, 2024, the City Council adopted Resolution No 26,063, which authorized the City Manager to amend the Compton Municipal Water Department’s Fiscal Year 2023- 2024 American Rescue Plan Act (ARPA) Budget as follows:

Decrease Appropriations in Budget Account
o2810-860-009-4391 Capital Outlay- Other $322,839.40
Increase Appropriations in Budget Account
o2810-860-009-4236 Maintenance/Repair $322,839.40
Unfortunately, funds for this expenditure are no longer available in the 2023-2024 Fiscal Year Budget. It is necessary for the Department to change the funding source allocations to the 2024-2025 Fiscal Year Budget in the following Accounts:

Appropriations shall come from ARPA Fund Balance, Fund 2810 which has sufficient funds to pay for this expenditure.

Increase Appropriations in Budget Account
o2810-860-009-4236 Maintenance/Repair $322,839.40
The Service Agreement, as executed between the City and Cla-Val Company will remain in effect and the project will begin after the City Council’s recension of Resolution 26,063 and the approval of the attached resolution.

FISCAL IMPACT
The Municipal Water Department has a balanced budget and the recommendations are cost neutral to the ARPA funds and do not have a negative impact on the City’s 2024- 2025 Fiscal Year Budget.

This expenditure is ARPA eligible under the Drinking Water State Revolving Fund Eligibility Handbook in accordance with Part A – A3:
Install/replace earthquake shutoff valves and other pertinent valves Staff Report – CLA-VAL COMPANY
July 16, 2024, Page 3
Funds in the amount of Three Hundred Twenty-Two Thousand Eight Hundred Thirty-Nine Dollars and Forty Cents ($322,839.40) are allocated in American Rescue Plan Act (ARPA) Account 2810-860-009-4236- Maintenance/Repair for this expenditure.

Transfer of funds are revised as follows:

The amendments will not affect the balanced budget for Fiscal Year 2024-2025:

Appropriations shall come from ARPA Fund Balance, Fund 2810 which has sufficient funds to pay for this expenditure.

Increase Appropriations in Budget Account
o2810-860-009-4236 Maintenance/Repair $322,839.40
A purchase order in the amount of Three Hundred Twenty-Two Thousand Eight Hundred Thirty-Nine Dollars and Forty Cents ($322,839.40) shall be established for Cla-Val Company for the service and repair of control valves at water well sites.

RECOMMENDATION
Staff recommends that the City Council rescinds Resolution No 26,063, and adopt the attached resolution.

JOSE GARFIAS

INTERIM GENERAL MANAGER

MUNICIPAL WATER DEPARTMENT
APPROVED FOR FORWARDING:

WILLIE A. HOPKINS

CITY MANGER
RESOLUTION NO. ___________

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COMPTON

AUTHORIZING THE CITY MANAGER TO AMEND THE MUNICIPAL WATER DEPARTMENT’S ARPA 2024-2025 FISCAL YEAR BUDGET, AND TO ESTABLISH

A PURCHASE ORDER FOR THE CLA-VAL COMPANY (SOLE SOURCE VENDOR)

FOR REPAIR AND REPLACEMENT OF CONTROL VALVES AT WATER WELL

SITES IN AN AMOUNT NOT TO EXCEED THREE HUNDRED TWENTY-TWO

THOUSAND EIGHT HUNDRED THIRTY-NINE DOLLARS AND FORTY CENTS ($322,839.40).

WHEREAS, the Compton Municipal Water Department (CMWD) is an Urban Retail Water Supplier providing water services to approximately 80% of the incorporated City limits; and
WHEREAS, the water system consists of approximately 156 miles of water mains, 1,500 fire hydrants, 3,500 valves, 8 water wells, 2 water storage tank locations with 5 storage tanks total and 1 booster pump station; and
WHEREAS, automatic control valves are located at all water well sites to obtain efficient water pressure and water flow management resulting in:
Reduction of water loss through leakages.
Reduction of the risk of water hammer and pipe bursts. Reduction of energy consumption as less water needs to be pumped through the system; and
WHEREAS, if worn control valves are not properly and timely serviced, water leakage can result in loss to complete shut off; and
WHEREAS, the CMWD requested the Cla-Val Company (Sole Source Vendor) to assess the control valves throughout the CMWD water operations; and WHEREAS, the repairs and services to Water Wells 11-20 include but are not limited to: pipe train replacement, rebuilds, gate valves, solenoids, switches, waste valves, gaskets and bolts, travel, labor and shipping costs; and
WHEREAS, this expenditure is ARPA eligible under the Drinking Water State Revolving Fund Eligibility Handbook in accordance with Part A – A3:
Install/replace earthquake shutoff valves and other pertinent valves WHEREAS, the City Council of the City of Compton approved Resolution 25,765 allocating $7,988,000 to the Compton Municipal Water Department from the American Rescue Plan Act funds for the purpose of funding various capital improvement projects that will upgrade the Water Department’s aging infrastructure and this expenditure is apart of this funding; and
WHEREAS, on June 25, 2024, the City Council of the City of Compton adopted Resolution 26,063 which authorized the budget amendments for fiscal year 2023-2024 and the Service Agreement with Cla-Val Company for the repair and replacement of control valves at various well sites; and
WHEREAS, the funding allocation was as follows from the 2023-2024 Fiscal Year Budget:

Decrease Budget Account
o2810-860-009-4391 Capital Outlay- Other $322,839.40
Increase Budget Account
o2810-860-009-4236 Maintenance/Repair $322,839.40
RESOLUTION NO. ________________

WHEREAS, funds for this expenditure are no longer available in the 2023-2024 Fiscal Year Budget; and
WHEREAS; it is necessary for the Department to change the funding source allocations to the 2024-2025 Fiscal Year Budget in the following Accounts:

Appropriations shall come from ARPA Fund Balance, Fund 2810 which has sufficient funds to pay for this expenditure.

Increase Appropriations in Budget Account
o2810-860-009-4236 Maintenance/Repair $322,839.40

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF COMPTON DOES HEREBY RESOLVE AS FOLLOWS:

Section 1.That the City Manager is hereby authorized to amend the City of Compton’s Municipal Water Department’s ARPA 2024-2025 Fiscal Year Budget as follows:

Appropriations shall come from ARPA Fund Balance, Fund 2810 which has sufficient funds to pay for this expenditure.

Increase Appropriations in Budget Account
o2810-860-009-4236 Maintenance/Repair $322,839.40
Section 2.That funds in the amount of Three Hundred Twenty-Two Thousand Eight Hundred Thirty-Nine Dollars and Forty Cents ($322,839.40) shall be allocated in Fiscal Year 2024-2025 Fiscal Year Budget in Account 2810-860-009-4236.for this expenditure.

Section 3. That this expenditure is ARPA eligible under the Drinking Water State Revolving Fund Eligibility Handbook in accordance with Part A – A3:
Install/replace earthquake shutoff valves and other pertinent valves Section 4. That the City Manager is authorized to issue a purchase order to the Cla-Val Company for the repair and replacement of control valves at various well sites in the amount of Three Hundred Twenty-Two Thousand Eight Hundred Thirty-Nine Dollars and Forty Cents ($322,839.40) from Account 2810-860-009-4236.

Section 5. That copies of this Resolution shall be filed in the offices of the City Manager, City Controller, City Clerk, City Attorney and the Municipal Water Department.

Section 6.That the Mayor shall sign and the City Clerk shall attest to the adoption of this Resolution.

ADOPTED this _____________ day of ______________, 2024. ________________________________

MAYOR OF THE CITY OF COMPTON
RESOLUTION NO. ________________

ATTEST:
____________________________________

CITY CLERK OF THE CITY OF COMPTON

STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) ss

CITY OF COMPTON )
I, Vernell McDaniel, City Clerk of the City of Compton, hereby certify that the foregoing Resolution was adopted by the City Council of the City of Compton, signed by the Mayor and attested by the City Clerk at a regular meeting thereof held on the __________ day of ____________________, 2024.

That said Resolution was adopted by the following vote, to wit:

AYES: COUNCIL MEMBERS-
NOES: COUNCIL MEMBERS-
ABSTAIN: COUNCIL MEMBERS-
ABSENT: COUNCIL MEMBERS-
____________________________________

CITY CLERK OF THE CITY OF COMPTON

SERVICES AGREEMENT

BETWEEN THE CITY OF COMPTON AND

CLA-VAL COMPANY
This AGREEMENT is entered by and between the CITY OF COMPTON, a municipal corporation of the State of California (hereinafter referred to as “CITY”) located at 205 South Willowbrook Avenue, Compton, California 90220, and CLA-VAL COMPANY (hereinafter referred to as “CONTRACTOR”), located at 24100 Water Street, Perris, CA 92570

RECITALS
The City of Compton Municipal Water Department has determined that it requires services from a contractor to provide control valve repair and replacement at water well sites for the City of Compton Municipal Water operations.

The Contractor represents that it is fully qualified to perform such services by virtue of its experience and the training, education and expertise of its principals and employees.

Contractor further represents that it is willing to accept responsibility for performing such services in accordance with the terms and conditions set forth in this Agreement.

NOW, THEREFORE, for and in consideration of the performance by the Parties of the mutual covenants and conditions herein contained, the Parties hereto agree as follows:

AGREEMENT:

1. Services to be Rendered by Contractor.It is the mutual understanding of the parties that the Contractor shall perform and be responsible for providing and rendering the following services outlined in Exhibit A - (Quotes and Estimates – Cla-Val Company), which shall include, but not be limited to the below-indicated tasks and deliverables:

Furnish control valve repair and replacement:
Quotation Y24Q12584 – 041524 Compton Well 20 Pipe Train Quotation Y24Q12586 – 041524 Compton MWD C4 Pipe Train Quotation Y24Q12590 – 041524 Compton MWD C3 Pipe Train Quotation Y24Q12592 – 041524 City of Compton C1 Pipe Train Estimate WO-00009455 – City of Compton Well 20
Estimate WO-00009454 – City of Compton Well 19
Estimate WO-00009453 – City of Compton Well 18
Estimate WO-00009452 – City of Compton Well 17
Estimate WO -00009451 – City of Compton Well 16
Estimate WO-00009450 – City of Compton Well 15
Estimate WO-00009449 – City of Compton Well 11
Services Agreement
Cla-Val Company

Contractor acknowledges that in entering into this Agreement the City is relying on Contractor's special skills and experience to do and perform the services in accordance with best standards of professional practice. While performing the Services, Contractor agrees to perform all the said work and furnish all the necessary materials at its own cost and expense necessary to complete said services in a manner consistent with that degree of care and skill ordinarily exercised by members of the same profession currently practicing under similar circumstances and to the reasonable satisfaction of the City.

Contractor services hereunder shall be performed in good, workmanlike and professional manner. Contractor shall be responsible for correcting and completing all errors and omissions related to the services provided by the Contractor for this Agreement at no additional cost to the City. “Errors” and “Omissions” for purposes of this paragraph are defined to mean a failure by the Contractor to meet the standards of its profession as set forth in the preceding paragraph. The acceptance of the services by City does not release Contractor from these obligations.

Contractor will be responsible for employing or engaging all persons necessary to perform the services. All of Contractor's staff will be qualified by training and experience to perform their assigned tasks. Contractor will give its personal attention to the fulfillment of the provisions of this Agreement by all of its employees and subcontractors, if any, and will keep the services under its control. On demand of City, if any employee or subcontractor of Contractor fails or refuses to carry out the provisions of this Agreement or appears to be incompetent or to act in a disorderly or improper manner, he or she will be discharged immediately from the services performed pursuant to this Agreement.

2.Duration of Contract.Contractor agrees to commence the services provided for herein upon written Notification to Proceed from the City and to continue in a diligent and professional manner, for the duration of the term of this agreement upon completion of the work notated in Scope of Work.

Contractor will generally adhere to the schedule set forth by the City provided, that City will grant reasonable extensions of time for the performance of the services occasioned by unusually lengthy governmental reviews of Contractor’s work product or other unavoidable delays occasioned by unforeseen circumstances; provided, further, that such unavoidable delay will not include strikes, lockouts, work stoppages, or other labor disturbances conducted by, or on behalf of, Contractor’s officers or employees.

Contractor acknowledges the importance to City of City’s project schedule and agrees to put forth its best professional efforts to perform the services in a manner consistent with that schedule. City understands, however, that Contractor’s performance must be governed by sound practices. Contractor will work such overtime or engage such personnel and equipment as necessary to maintain the schedule, without additional compensation.

Services Agreement
Cla-Val Company

3. Compensation.The method of payment for this Contract will be on a fixed basis as specified within Contractor’s Cost Proposals (Quotes/Estimates). The total price paid to the Contractor will include compensation for all work, including travel, materials, supplies, vendor services, expenses and subcontracted work. No additional compensation will be paid to the Contractor, unless there is a change in the scope of the work or the scope of the project. In the instance of a change in the scope of work or scope of the project, adjustment to the total compensation will be negotiated between the Contractor and the City. Adjustment in the total compensation will not be effective until authorized and approved in writing by the City.

Progress payments may be made in arrears based on the percentage of work and deliverables completed by the Contractor. If Contractor fails to submit the required deliverable items according to schedule or as required by the Agreement, except for those amounts that are due and not reasonably in dispute, the City shall have the right to delay payment and/or terminate this Agreement in accordance with the provisions noted herein.

Contractor shall be reimbursed within thirty (30) days, or as promptly as fiscal procedures may permit, upon receipt by the City of itemized invoices for services completed. Invoices shall be submitted no later than 45 calendar days after the performance of work for which the Contractor is billing. Invoices shall detail the work performed on each task as applicable. Invoices shall be delivered or mailed to the Director of [identify department] Department at the following address: City of Compton, 205 South Willowbrook Avenue, Compton, California 90220.

As full and complete compensation for performance of all the services performed by the Contractor pursuant to this Agreement, City shall pay, and Contractor agrees to accept, a not-to-exceed maximum sum of Three Hundred Twenty-Two Thousand Eight Hundred Thirty-Nine Dollars and Forty Cents ($322,839.40).

In the event of termination, the Contractor shall be entitled to compensation for the undisputed reasonable value of services performed to the effective date of termination, including any noncancelable obligations incurred prior to termination; provided, however, that the City may condition payment of such compensation upon the Contractor’s delivery to the City of any and all City property, documents, reports, records, materials and work product associated with the performance of this Agreement.

4. Ownership of Materials.All product produced by Contractor or its agents, employees, and subcontractors pursuant to this Agreement (the “Work Product”) is the property of City. In the event this Agreement is terminated, all Work Product produced by Contractor or its agents, employees and subcontractors pursuant to this Agreement will be delivered to City pursuant to the termination clause of this Agreement. [Contractor will have the right to make one (1) copy of the Work Product for Contractor’s records.] The Work Product may be used by City and its agents, employees, Services Agreement
Cla-Val Company

representatives, and assigns, in whole or in part, or in modified form, for all purposes City may deem advisable, without further employment of or payment of any compensation to Contractor; provided, however, that if this Agreement is terminated for any reason prior to completion of the Project and if under such circumstances City uses, or engages the services of and directs another Contractor to use, the Work Product, City agrees to hold Contractor harmless from any and all liability, costs, and expenses relative to claims arising out of matters and/or events which occur subsequent to the termination of this Agreement as a result of causes other than the fault or negligence of Contractor, or anyone for whose acts it is responsible, in preparation of the Work Product. Contractor will not be responsible for deficiencies solely attributable to modifications of the Work Product performed by others, or that arise from use of the Documents in connection with a project or site other than that shown in the Work Product.

5. Independent Contractor Status. Contractor, its officers, employees, subcontractors, subcontractors, agents and volunteers (collectively hereinafter the “Contractor”), will perform the services in Contractor's own way and pursuant to this Agreement as an independent contractor and in pursuit of Contractor's independent calling, and not as an employee of City. The persons used by Contractor to provide the services under this Agreement will not be considered employees of City for any purposes.

Neither the City nor any of its officers, employees, agents or volunteers shall have any control over the conduct of the Contractor, except as expressly set forth in this Agreement.

Contractor expressly warrants that while engaged in carrying out and complying with any terms and conditions of this Agreement that Contractor shall not at any time or in any manner, represent that Contractor is in any manner officers, employees, agents or volunteers of the City. Contractor shall obtain no rights to retirement, health care or any other benefit that accrue to City officials, officers, or employees. Contractor expressly waives any claim to such rights.

The payment made to Contractor pursuant to the Agreement will be the full and complete compensation to which Contractor is entitled. City will not make any federal or state tax withholdings on behalf of Contractor or its agents, employees or subcontractors.

City will not pay any workers' compensation insurance, retirement contributions or unemployment contributions on behalf of Contractor or its employees or subcontractors.

Contractor agrees to indemnify and pay City within thirty (30) days for any tax, retirement contribution, social security, overtime payment, unemployment payment or workers' compensation payment which City may be required to make on behalf of Contractor or any agent, employee, or contractor of Contractor for work done under this Agreement. At the City’s election, City may deduct the amounts paid pursuant to this Section, from any balance owing to Contractor.

6. Successors, Assignment and Delegation.City and the Contractor each binds themselves, their partners, successors, assigns and legal representatives to the other hereto and to partners, successors, assigns and legal representatives of such other party in respect to all covenants, agreements and obligations contained in this Services Agreement
Cla-Val Company

Agreement.

The expertise and experience of Contractor are material considerations for this Agreement. Contractor shall not assign or transfer any interest in this Agreement or the performance of any of Contractor’s obligations under this Agreement without the prior written consent of the City. Any attempted assignment or transfer of any of Contractor’s rights, duties or obligations arising under this Agreement shall be null and void.

7. Nondiscriminatory Employment Practices.During the performance of this Agreement, the Contractor agrees not to discriminate against any employee or applicant for employment because of race, sex, creed, color, religion, age, sexual orientation, marital status, national origin, political affiliation, handicap or belief in accordance with requirements of City, State or Federal laws and regulations. Contractor will take affirmative action to ensure that applicants are employed, and that employees are treated during employment without regard to their race, sex, creed, color, religion, age, sexual orientation, marital status, national origin, political affiliation, handicap or belief in accordance with requirements of City, State or Federal laws and regulations. Such actions shall include, but not be limited to the following: employment, upgrading, demotion or transfer; recruitment or recruitment advertising; layoffs or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship. The Contractor agrees to post in conspicuous places, available to employees, applicants and subcontractors for employment, notices setting forth the provisions of this non-discrimination clause.

In the event of the Contractor’s non-compliance with the non-discrimination clause of this Agreement, this Agreement may be immediately canceled, terminated or suspended in whole or in part.

8. Subcontracting.Contractor's services are unique and personal. Except as may be specified in Contractor’s Proposal and agreed to by the City, Contractor will not subcontract any portion of the services without prior written approval of City Manager or his/her designee. If Contractor subcontracts any of the services, Contractor will be fully responsible to City for the acts, errors and omissions of Contractor's subcontractor and of the persons either directly or indirectly employed by the subcontractor, as Contractor is for the acts and omissions of persons directly employed by Contractor. Nothing contained in this Agreement will create any contractual relationship between any subcontractor of Contractor and City. Contractor will be responsible for payment of subcontractors. Contractor will bind every subcontractor and every subcontractor of a subcontractor by the terms of this Agreement applicable to Contractor's work unless specifically noted to the contrary in the subcontract and approved in writing by City.

9. Other Contractors.The City reserves the right to employ other Contractors in connection with the services.

Services Agreement
Cla-Val Company

10. Indemnification.Contractor shall indemnify and save harmless the City, its officials, officers, employees, agents and volunteers (collectively hereinafter the “City”), against any and all damages to property or injuries to or death of any person or persons, including property and employees or agents of the City and shall indemnify and save the City from any and all liability and expense including reimbursement of reasonable defense costs and legal fees, and claims, demands, suits, actions or proceedings of any kind or nature, including Workers’ Compensation claims, of or by anyone whomsoever to the extent resulting from or arising out of the negligent, reckless or willful misconduct for the Contractor, its officers, employees, subcontractors, subcontractors or agents in the performance of the duties undertaken by Contractor pursuant to this Agreement.

This indemnification and hold harmless obligation does not extend to claims arising out of the negligence or willful misconduct of the City.

11. Insurance.Without limiting the Contractor’s indemnification of the City, Contractor shall obtain and maintain, at its cost and expense, for the duration of the Agreement and any and all amendments, insurance against claims for injuries to persons or damage to property which may arise out of or in connection with performance of the services by Contractor or Contractor’s agents, representatives, employees or subcontractors. The insurance will be obtained from an insurance carrier admitted and authorized to do business in the State of California. Such evidence shall specifically identify this Agreement and shall contain express conditions that the City is to be given written notice at least thirty (30) days in advance of any termination or implementation of a reduction of limits or material change of insurance coverage as specified herein.

Failure on the part of the Contractor to procure or maintain insurance shall constitute a material breach upon which the City may immediately terminate this Agreement. All insurance required hereunder shall be primary with respect to any insurance maintained by the City.

Coverages and Limits. Contractor will maintain the types of coverages and minimum limits indicated below, unless the Risk Manager or City Manager, in consultation with the City Attorney approves a lower amount. These minimum amounts of coverage will not constitute any limitations or cap on Contractor's indemnification obligations under this Agreement. City, its officers, agents, volunteers and employees make no representation that the limits of the insurance specified to be carried by Contractor pursuant to this Agreement are adequate to protect Contractor. The coverage will contain no special limitations on the scope of its protection to the below-indicated insureds except for Workers’ Compensation and errors and omissions insurance. Contractor will obtain occurrence coverage, excluding Professional Liability, which will be written as claims- made coverage. If Contractor believes that any required insurance coverage is inadequate, Contractor will obtain such additional insurance coverage, as Contractor deems adequate, at Contractor's sole expense.

11.1 Commercial General Liability Insurance. $1,000,000 combined Services Agreement
Cla-Val Company

single-limit per occurrence for bodily injury, personal injury and property damage. If the submitted policies contain aggregate limits, general aggregate limits will apply separately to the work under this Agreement or the general aggregate will be twice the required per occurrence limit.

11.2 Automobile Liability. $1,000,000 combined single-limit per accident for bodily injury and property damage.

11.3 Workers' Compensation and Employer's Liability. Workers' Compensation limits as required by the California Labor Code and Employer's Liability limits of $1,000,000 per accident for bodily injury. Workers' Compensation and Employer's Liability insurance will not be required if Contractor has no employees and provides, to City's satisfaction, a declaration stating this.

11.4 Professional Liability. Errors and omissions liability appropriate to Contractor’s profession with limits of not less than $1,000,000 per claim. The coverage shall also provide an extended two (2) year reporting period commencing upon termination or cancellation of this Agreement.

Endorsements. For Commercial General Liability Insurance and Automobile Liability Insurance, Contractor will ensure that the policies are endorsed to name the City of Compton and its respective elected and appointed officers, officials, employees, agents and volunteers as “additional insureds” with respect to liability arising out of the activities of the Contractor. Any failure to comply with reporting provisions of the policies shall not affect coverage provided to the City. Prior to City's execution of this Agreement, Contractor will furnish certificates of insurance and endorsements to City.

Waiver of Subrogation. The policies shall contain a waiver of subrogation for the benefit of City.

12. Permits and Licenses.Contractor, at its own expense, during the term of this Agreement, shall obtain and maintain all appropriate business and professional permits, licenses and certificates that may be required in connection with the performance of services by the Contractor. Upon execution of this Agreement, the Contractor shall show evidence of a business license permit in conformance with Section 9-1.2 of the Compton Municipal Code.

13. Maintenance of Records. Contractor will maintain complete and accurate records with respect to costs incurred under this Agreement. All records will be clearly identifiable. Contractor will allow a representative of City during normal business hours to examine, audit, and make transcripts or copies of records and any other documents created pursuant to this Agreement. Contractor shall maintain all records and will allow inspection of all work, data, documents, proceedings, and activities related to the Services Agreement
Cla-Val Company

Agreement for a period and to the extent required by laws relating to audits of public agencies and their expenditures, from the date of final payment under this Agreement.

14. Warranties.Contractor represents and warrants (i) that Contractor has no obligations, legal or otherwise, inconsistent with the terms of this Agreement or with Contractor’s undertaking this relationship with City, (ii) that the performance of the services called for by this Agreement do not and will not violate any applicable law, rule or regulation or any proprietary or other right of any third party, (iii) that Contractor will not use in the performance of his responsibilities under this Agreement any confidential information or trade secrets of any other person or entity and (iv) that Contractor has not knowingly entered into or will enter into any agreement (whether oral or written) in conflict with this Agreement.

15. Federal and State Withholding Taxes.Contractor shall be responsible for paying when due all federal and state income withholding taxes for all earning under this Agreement. Contractor agrees to indemnify City for any claims, costs, losses, fees, penalties, interest, or damages suffered by City resulting from Contractor’s failure to comply with this provision.

16. General Compliance with Laws. Contractor will keep fully informed of federal, state and local laws and ordinances and regulations which in any manner affect those employed by Contractor, or in any way affect the performance of the services by Contractor. Contractor will at all times observe and comply with these laws, ordinances, and regulations and will be responsible for the compliance of the services with all applicable laws, ordinances and regulations.

17. Termination.In the event of the Contractor's failure to prosecute, deliver, or perform the services, after giving written notice of default and two (2) days to correct the same, then, in addition to any other remedies, City may terminate this Agreement for nonperformance by notifying Contractor in writing. Contractor has five (5) business days to deliver any documents owned by City and all work in progress to City address contained in this Agreement. City will make a determination of fact based upon the work product delivered to City and of the percentage of work that Contractor has performed which is usable and of worth to City in having the Agreement completed. Based upon that finding City will determine the final payment of the Agreement. In the event City elects to terminate, City will have the right to immediate possession of all Work Product and work in progress prepared by Contractor, whether located at the project site, at Contractor's place of business, or at the offices of a subcontractor.

The City’s obligation is payable only from funds appropriated for the purpose of this Agreement. All funds for payments after the end of the current fiscal year are subject to the City’s legislative appropriation for this purpose. In the event this Agreement extends into succeeding fiscal year periods and the City Council does not allocate sufficient funds for the next succeeding fiscal year payments, this Agreement shall Services Agreement
Cla-Val Company

terminate immediately upon written notice from the City.

Either Party, upon tendering fifteen (15) calendar days written notice to the other Party, may terminate this Agreement for convenience. In this event and upon request of City, Contractor will assemble the work product without charge and put it in order for proper filing and closing and deliver it to City. Contractor will be paid for work performed to the termination date; however, the total will not exceed the lump sum fee payable under this Agreement. City will make the final determination as to the portions of tasks completed and the compensation to be made.

18. Covenants Against Contingent Fees. Contractor warrants that Contractor has not employed or retained any company or person, other than a bona fide employee working for Contractor, to solicit or secure this Agreement, and that Contractor has not paid or agreed to pay any company or person, other than a bona fide employee, any fee, commission, percentage, brokerage fee, gift, or any other consideration contingent upon, or resulting from, the award or making of this Agreement. For breach or violation of this warranty, City will have the right to terminate this Agreement for nonperformance, or, in its discretion, to deduct from the Agreement price or consideration, or otherwise recover, the full amount of the fee, commission, percentage, brokerage fees, gift, or contingent fee.

19. Claims and Lawsuits.By signing this Agreement, Contractor agrees that any Agreement claim submitted to City must be asserted as part of the Agreement process as set forth in this Agreement and not in anticipation of litigation or in conjunction with litigation. Contractor acknowledges that if a false claim is submitted to City by Contractor, it may be considered fraud and Contractor may be subject to criminal prosecution.

Contractor acknowledges that California Government Code sections 12650 et seq., the False Claim Act, applies to this Agreement and provides for civil penalties where a person knowingly submits a false claim to a public entity. These provisions include false claims made with deliberate ignorance of the false information or in reckless disregard of the truth or falsity of information. If City seeks to recover penalties pursuant to the False Claims Act, it is entitled to recover its litigation costs, including attorney’s fees.

Contractor acknowledges that the filing of a false claim may subject Contractor to an administrative proceeding as a result of which Contractor may be prevented to act as a Contractor on any public work or improvement for a period of up to five (5) years.

Contractor acknowledges debarment by another jurisdiction is grounds for City to terminate this Agreement.

20. Certifications.The Contractor, under penalty of perjury, certifies that, except as noted below, he/she or any other person association therewith in the capacity of owner, partner, director, officer, manager;
Is not currently under supervision, voluntary exclusion, or determination of ineligibility by any Federal, State or local agency;
Services Agreement
Cla-Val Company

Has not been suspended, voluntarily excluded or determined ineligible by any Federal, State or local agency within the past 3 years; Has not been indicted, convicted or had a civil judgment rendered against he/she/it by a court of competent jurisdiction in any matter involving fraud or official misconduct in connection with obtaining , attempting to obtain, or performing a public (Federal, State or local) transaction or contract under a public transaction; violation of Federal or State antitrust statues or commission of embezzlement, theft, forgery, bribery, falsification or destruction of records, making false statements, or receiving stolen property within the past 3 years. Are not presently indicted or otherwise criminally or civilly charged by a governmental entity (Federal, State or local) with commission of any of the offenses enumerated in the preceding paragraph; and
Have not had one or more public transactions (Federal, State or local) terminated for
cause or default within in the past 3 years.

If there are any exceptions to this certification, inset the exceptions in the following space. [Supply exceptions on separate page]
For any exception noted above, indicate below to whom it applies, initiating agency and dates of action.
[Attach separate page]
This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction. The above certifications are part of this contract. Signing this agreement on the signature portion thereof shall also constitute signature of the above certifications.
__________________________________ Date: _________________ David Koeblitz
CFO
__________________________________ Date: _________________ Martin Pickett
CEO/President

21. Jurisdiction, Venue and Governing Law. Any action at law or in equity brought by either of the Parties for the purpose of enforcing a right or rights provided for by this Agreement will be tried in a court of competent jurisdiction in the County of Los Angeles, State of California, and the Parties waive all provisions of law providing for a change of Services Agreement
Cla-Val Company

venue in these proceedings to any other county. This agreement will be governed by the laws of the State of California.

22. Testimony.Contractor will testify at City's request if litigation is brought against City in connection with Contractor's services under this agreement. Unless the action is brought by Contractor, or is based upon Contractor's actual or alleged negligence or other wrongdoing, City, upon prior written agreement with Contractor will compensate Contractor for time spent in preparation for testimony, testimony, and travel at Contractor's standard hourly rates at the time of actual testimony.

23. Waivers.The waiver by either Party of any breach or violation of any term, covenant, or condition of this Agreement or of any applicable law will not be deemed to be a waiver of such term, covenant, condition or law or of any subsequent breach or violation of same or of any other term, covenant, condition or law. The acceptance by either Party of any fee or other payment which may become due under this Agreement will not be deemed to be a waiver of any preceding breach or violation by the other Party of any term, covenant, or condition of this Agreement or any applicable law.

24. Authority.The individuals executing this Agreement and the instruments referenced in it on behalf of Contractor each represent and warrant that they have the legal power, right and actual authority to bind Contractor to the terms and conditions of this Agreement.

25. Severability.If any term, provision, condition or covenant of this Agreement or its application to any party or circumstances shall be held, to any extent, invalid or unenforceable, the remainder of this Agreement, or the application of the term, provision, condition or covenant to persons or circumstances other than those as to whom or which it is held invalid or unenforceable, shall not be affected, and shall be valid and enforceable to the fullest extent permitted by law.

26. Amendments.This Agreement may be modified or amended only be written document executed by both Contractor and City’s City Manager and approved as to form by the City Attorney. Such document shall expressly state that it is intended by the parties to amend the terms and conditions of this Agreement.

27. Confidentiality. All documents, reports, information, data, and exhibits prepared or assembled by Contractor in connection with the performance of the Services pursuant to the Agreement are confidential until released by the City to the public, and the Contractor will not make any of these documents or information available to any individual or organization not employed by the Contractor or the City without the written consent of the City before any such release.

28. Entire Agreement. This Agreement, together with any other written document referred to or contemplated by it embody the entire Agreement and understanding Services Agreement
Cla-Val Company

between the parties relating to the subject matter of it. The City Manager is authorized, in consultation with the City Attorney, to agree to non-material amendments to this Agreement. Neither this Agreement nor any of its provisions may be amended, modified, waived or discharged except in a writing signed by both parties.

29. Notices.Any notices required or permitted under this Agreement shall be effective when delivered in person; and effective one (1) business day after delivery by facsimile transmission; and effective five (5) days after mailing by U.S. Mail, postage prepaid and properly addressed as follows:

TO CONTRACTOR: CLA-VAL COMPANY
David Koeblitz, CFO
Martin Pickett, CEO/President
24100 Water Street
Perris, CA 92570
TO CITY: CITY OF COMPTON
205 South Willowbrook Avenue
Compton, California 90220
Attn: General Manager, Water Department
(310) 605-5555
With Copy to: CITY OF COMPTON
205 South Willowbrook Avenue
Compton, California 90220
Attn: City Manager

30. Miscellaneous.No provision of this Agreement is to be interpreted for or against either party because that party or that party’s legal representative drafted such provision.

Should either party hereto, or any representative, successor or assign of either party hereto, resort to litigation to enforce the provisions of this Agreement, the party or parties prevailing in such litigation shall be entitled, in addition to such other relief as may be granted, to recover its or their reasonable attorney’s fees and costs in such litigation from the party or parties against whom enforcement is sought.

IN WITNESS WHEREOF, CONTRACTOR has executed this Agreement, and the CITY, by its City Manager, who is authorized to do so, has executed this Agreement.

TO EFFECTUATE THIS AGREEMENT, the Parties have caused their duly authorized Services Agreement
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representatives to execute this Agreement on the dates set forth below.

CONTRACTOR:

By_____________________________________ Dated: ______________ David Koeblitz
CFO
__________________________________ Date: ________________ Martin Pickett
CEO/President
CITY OF COMPTON:

Approved by:

By __________________________________ Dated: ______________ Willie A. Hopkins, City Manager
Approved as to form:

By _________________________________ Dated: ______________ Eric J. Perrodin, City Attorney
ATTEST:

Dated: ______________ By ______________________________ Vernell McDaniel, City Clerk

July 23, 2024
TO: MAYOR AND CITY COUNCIL MEMBERS
FROM: CITY CONTROLLER
SUBJECT: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

COMPTON AUTHORIZING THE CITY MANAGER TO ENTER INTO A MULTI-

YEAR PROFESSIONAL SERVICES AGREEMENT WITH CENTRALSQUARE TECHNOLOGIES, LLC ($613,858.86) FOR ENTERPRISE RESOURCE

PLANNING SOFTWARE SERVICES, AND TO ISSUE A PURCHASE ORDER

IN THE AMOUNT OF THREE HUNDRED NINETY-EIGHT THOUSAND NINE

HUNDRED FIFTY-ONE DOLLARS AND TWENTY-THREE CENTS
($398,951.23) TO CENTRALSQUARE TECHNOLOGIES, LLC FOR
ENTERPRISE RESOURCE PLANNING SOFTWARE SERVICES.

SUMMARY
Staff is requesting that the City Council consider adopting a Resolution authorizing the City Manager to enter into a five (5) year professional services agreement (along with authorization to extend the term of the agreement for three (3) additional years) with CentralSquare Technologies, LLC to provide Enterprise Resource Planning Software Services to the City ($613,858.86) for a 5 year term, and to issue a Purchase Order for the amount of Three Hundred Ninety-Eight Thousand Nine Hundred Fifty-One Dollars and Twenty-Three Cents ($398,951.23) for services provided in years 1 through 3. Funding for years 4 and 5 of the agreement will be allocated in future City budgets.

BACKGROUND
The City uses the ONESolution module system to electronically record and maintain its financial accounting data. The City’s departments rely heavily on this finance software in their operations daily. Such operations include making payments to vendors, recording financial information, providing financial reports to governmental auditors and decision makers, responding to public requests, and many other facets of the City’s daily operations. Currently, the City’s financial software is maintained by CentralSquare Technologies, LLC.

Resolution #25,124, authorized the City Manager to enter into an agreement with CentralSquare (Superion, LLC) for the maintenance of the City’s financial module. On July 31, 2024, that agreement will expire.

STATEMENT OF ISSUE
In January 2024, City staff released a Request for Proposal (RFP) for Enterprise Resource

21.21.21.21.21.21. Staff Report – Resolution Authorizing Multi-Year Agreement CentralSquare Technologies, LLC (Enterprise Resource Planning Software Services) July 23, 2024
Page. 2
Planning (ERP) Software Services. The RFP was published in the Compton Bulletin newspaper, the City’s website, and the California Society of Municipal Finance Officers (CSMFO) RFP website, which is accessed by CSMFO’s commercial vendors actively providing financial and software services to municipalities in California. The City received four responses. The respondents to the ERP RFP were CentralSquare Technologies, LLC, Paycom Payroll, LLC, CYRET Technologies INC, and Oracle America INC.

Staff reviewed the proposals and conducted an apples-to-apples comparison on their prices.

Staff from the Controller’s Department organized and conducted interviews with all of the firms, and solicited the participation and input of other City Departments for which the respondent’s services would be received, to establish the best candidate to meet the City’s needs at the best cost. The apples-to-apples comparison weighed the value of the provided service to the mentioned cost listed in the proposals. During the interviews, the candidates were allowed to present extensive demonstrations of their software. Some other particular areas of interests included Payroll, Human Resources, Budgeting, Cashiering and Planning. After conducting the apples-to-apples cost comparison and candidate interviews, staff has determined that CentralSquare Technologies, LLC is the lowest responsible bidder for the Enterprise Resource Planning Software Services.
(Please see Attachment “A” for cost comparison)
CentralSquare Technologies, LLC is a leading software and information technology solutions provider that meets the specialized needs of the City. They currently provide a variety of solutions to more than 8,000 agencies, including local governments, across the United States.

CentralSquare Technologies, LLC is proposing to integrate their Finance Enterprise software which is a cloud-based, commercial off the shelf (COTS) system. As the City is anticipating to upgrade the current OneSolution system with a new ERP solution, staff believes CentralSquare Technologies, LLC’s familiarity with the City’s current system and operations will be beneficial.

CentralSquare Technologies, LLC has provided the following fee schedule:

Year 1- $204,023.68 (Includes implementation and training) Year 2- $95,086.61
Year 3- $99,840.94
Year 4- $104,832.99
Year 5- $110,074.64
Subtotal (Yrs. 1-5) - $613,858.86
Year 6- $115,578.29 (Optional)
Year 7- $121,357.29 (Optional)
Year 8- $127,425.16 (Optional)
Total (Yrs. 1-8) - $978,219.60
Staff Report – Resolution Authorizing Multi-Year Agreement CentralSquare Technologies, LLC (Enterprise Resource Planning Software Services) July 23, 2024
Page. 3
(Please see Attachment “B” for cost breakdown)
The City has relied on CentralSquare Technologies, LLC, previously known as Superion LLC, to provide financial software modules for the City to perform its daily operations (Please see Attachment “C” for current modules). Upon approval to enter into a new contract with CentralSquare, Technologies, LLC, services to migrate OneSolution to the Cloud and updating to the latest version of Finance Enterprise, implementation of new modules for Accounts Receivable, Project Ledger, Fixed Assets, and Cognos Analytics Training will be added to the current software services provided. After the approval of the new contract, staff will be releasing an RFP (Request for Proposal) to attain the services of a consultant to help facilitate a thorough implementation process of the modules in accordance to the City’s needs (Please see Attachment “D” for the Controller’s plan for the implementation consultant).

CentralSquare Technologies, LLC have other software modules that are optional. Those optional modules include Payroll, Human Resources, Cashiering, Permitting, and Utility Billing.

These modules have been considered, but due to the needs of the City, staff believes it is in the best interest of the City to continue to consider other options for some of these modules, such as Payroll and Human Resources.

Payroll and Human Resources divisions are currently using the ADP (Automatic Data Processing) software to facilitate their daily operations. During the RFP process for the Enterprise Resource Planning (ERP), there were other software options for these services that staff is considering, but no decision has been made.

Staff is requesting authorization be given to enter into a multi-year agreement with CentralSquare Technologies, LLC for Enterprise Resource Planning Software services ($613,858.86) for a term of 5 years, and to open a Purchase Order in the amount of Three Hundred Ninety-Eight Thousand Nine Hundred Fifty-One Dollars and Twenty-Three Cents ($398,951.23) for services to be provided by CentralSquare Technologies, LLC in years 1 through 3.

FISCAL IMPACT
The cost for these services is not to exceed Six Hundred Thirteen Thousand Eight Hundred Fifty-Eight Dollars and Eighty-Six Cents ($613,858.86) for a 5 year term. A Purchase Order is requested to be authorized in the amount of Three Hundred Ninety-Eight Thousand Nine Hundred Fifty-One Dollars and Twenty-Three Cents ($398,951.23) for services to be provided by CentralSquare Technologies, LLC in years 1 through 3, from the following account:

Staff Report – Resolution Authorizing Multi-Year Agreement CentralSquare Technologies, LLC (Enterprise Resource Planning Software Services) July 23, 2024
Page. 4
Account Code Account Name Amount
1001-650-000-4222 General Fund $398,951.23
Controller’s Department
Computer Software
Funding for the remaining years of the agreement will be allocated in future City budgets.

ALTERNATIVE
As of July 31, 2024, the agreement with CentralSquare (Superion, LLC) for the software modules and maintenance of the City’s financial software will expire. Financial operations such as making payments to vendors, recording financial information, providing financial reports to governmental auditors and decision makers, responding to public requests, and many other facets of the City’s daily operations may be affected.

RECOMMENDATION
Staff recommends the City Council to adopt the attached Resolution to authorize the City Manager to enter into a multi-year agreement with CentralSquare Technologies, LLC, and also authorize the City Manager to open a Purchase Order in the amount of Three Hundred Ninety-Eight Thousand Nine Hundred Fifty-One Dollars and Twenty-Three Cents ($398,951.23) for services to be provided by CentralSquare Technologies, LLC in years 1 through 3.

SHARON RAHBAN NAVIZADEH

CITY CONTROLLER
APPROVED FOR FORWARDING:

WILLIE A. HOPKINS JR.

EXECUTIVE DIRECTOR
RESOLUTION NO. __________

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

COMPTON AUTHORIZING THE CITY MANAGER TO ENTER INTO A MULTI-

YEAR PROFESSIONAL SERVICES AGREEMENT WITH CENTRALSQUARE TECHNOLOGIES, LLC ($613,858.86) FOR ENTERPRISE RESOURCE

PLANNING SOFTWARE SERVICES, AND TO ISSUE A PURCHASE ORDER IN

THE AMOUNT OF THREE HUNDRED NINETY-EIGHT THOUSAND NINE

HUNDRED FIFTY-ONE DOLLARS AND TWENTY-THREE CENTS
($398,951.23) TO CENTRALSQUARE TECHNOLOGIES, LLC FOR
ENTERPRISE RESOURCE PLANNING SOFTWARE SERVICES.

WHEREAS, the City uses the ONESolution module system to electronically record and maintain its financial accounting data; and
WHEREAS, the City’s departments rely heavily on this finance software in their operations daily. Such operations include making payments to vendors, recording financial information, providing financial reports to governmental auditors and decision makers, responding to public requests, and many other facets of the City’s daily operations; and
WHEREAS, currently, the City’s financial software is maintained by CentralSquare Technologies, LLC; and
WHEREAS, Resolution #25,124, authorized the City Manager to enter into an agreement with CentralSquare (Superion, LLC) for the maintenance of the City’s financial module; and
WHEREAS, On July 31, 2024, that agreement will expire; and WHEREAS, in January 2024, City staff released a Request for Proposal (RFP) for Enterprise Resource Planning (ERP) Software Services, in which the City received four proposals. The respondents to the ERP RFP were CentralSquare Technologies, LLC, Paycom Payroll, LLC, CYRET Technologies INC., and Oracle America INC; and WHEREAS, staff reviewed the proposals and conducted an apples-to-apples comparison on their prices; and
WHEREAS, staff from the Controller’s Department organized and conducted interviews with all of the firms, and solicited the participation and input of other City Departments for which the respondent’s services would be received, to establish the best candidate to meet the City’s needs at the best cost; and WHEREAS, the apples-to-apples comparison weighed the value of the provided service to the mentioned cost listed in the proposals; and WHEREAS, during the interviews, the candidates were allowed to present extensive demonstrations of their software; and
WHEREAS, after conducting the apples-to-apples cost comparison and candidate interviews, staff has determined that CentralSquare Technologies, LLC is the lowest responsible bidder for the Enterprise Resource Planning Software Services; and WHEREAS, CentralSquare Technologies, LLC is a leading software and information technology solutions provider that meets the specialized needs of the City.

They currently provide a variety of solutions to more than 8,000 agencies, including local Resolution No. _______

2 governments, across the United States. CentralSquare Technologies, LLC is proposing to integrate their Finance Enterprise software which is a cloud-based, commercial off the shelf (COTS) system; and
WHEREAS, as the City is anticipating to upgrade the current OneSolution system with a new ERP solution, staff believes CentralSquare’s familiarity with the City’s current system and operations will be beneficial; and
WHEREAS, CentralSquare Technologies, LLC has provided the following fee schedule:

Year 1- $204,023.68 (Includes implementation and training) Year 2- $95,086.61
Year 3- $99,840.94
Year 4- $104,832.99
Year 5- $110,074.64
Subtotal (Yrs. 1-5) - $613,858.86
Year 6- $115,578.29 (Optional)
Year 7- $121,357.29 (Optional)
Year 8- $127,425.16 (Optional)
Total (Yrs. 1-8) - $978,219.60
WHEREAS, the City has relied on CentralSquare Technologies, LLC, previously known as Superion LLC, to provide financial software modules for the City to perform its daily operations. Upon approval to enter into a new contract with CentralSquare, Technologies, LLC, services to migrate OneSolution to the Cloud and updating to the latest version of Finance Enterprise, implementation of new modules for Accounts Receivable, Project Ledger, Fixed Assets, and Cognos Analytics Training will be added to the current software services provided. After the approval of the new contract, staff will be releasing an RFP (Request for Proposal) to attain the services of a consultant to help facilitate a thorough implementation process of the modules in accordance to the City’s needs; and
WHEREAS, staff is requesting authorization be given to enter into a multi-year agreement with CentralSquare Technologies, LLC for Enterprise Resource Planning Software services ($613,858.86), and to open a Purchase Order in the amount of Three Hundred Ninety-Eight Thousand Nine Hundred Fifty-One Dollars and Twenty- Three Cents ($398,951.23) for services to be provided by CentralSquare Technologies, LLC in years 1 through 3 from account:

Account Code Account Name Amount
1001-650-000-4222 General Fund $398,951.23
Controller’s Department
Computer Software
WHEREAS, funding for the remaining years of the agreement will be allocated in future City budgets; and
WHEREAS, as of July 31, 2024, the agreement with CentralSquare (Superion, LLC) for the maintenance of the City’s financial module will expire. Financial operations such as making payments to vendors, recording financial information, providing financial reports to governmental auditors and decision makers, responding to public requests, and Resolution No. _______

3 many other facets of the City’s daily operations may be affected; and WHEREAS, staff recommends the City Council to adopt the attached Resolution to authorize the City Manager to enter into a multi-year agreement with CentralSquare Technologies, LLC, and also authorize the City Manager to open a Purchase Order in the amount of Three Hundred Ninety-Eight Thousand Nine Hundred Fifty-One Dollars and Twenty-Three Cents ($398,951.23) for services to be provided by CentralSquare Technologies, LLC in years 1 through 3; and

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF COMPTON DOES HEREBY RESOLVE AS FOLLOWS:

SECTION 1. That the City Manager is hereby authorized to enter into a multi- year professional services agreement with CentralSquare Technologies, LLC Enterprise Resource Planning (ERP) Software services ($613,858.86), SECTION 2. That a Purchase Order is to be issued in the amount of Three Hundred Ninety-Eight Thousand Nine Hundred Fifty-One Dollars and Twenty-Three Cents ($398,951.23) for services to be provided by CentralSquare Technologies, LLC in years 1 through 3 from the following account:

Account Code Account Name Amount
1001-650-000-4222 General Fund $398,951.23
Controller’s Department
Computer Software
Funding for the remaining years of the agreement will be allocated in future City budgets.

SECTION 3. That a duly copy of the Resolution shall be filed with the offices of the City Manager, City Clerk, City Attorney, and City Controller.

SECTION 4. That the Mayor shall sign and the City Clerk shall attest to the adoption of this Resolution.

ADOPTED this ____________ day of _____________, 2024.
________________________________

MAYOR OF THE CITY OF COMPTON
ATTEST:
________________________________

CLERK OF THE CITY OF COMPTON

STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) ss

CITY OF COMPTON )
I, Vernell McDaniel, City Clerk of the City of Compton, hereby certify that the foregoing Resolution was adopted by the City Council of the City of Compton, signed by the Mayor and attested by the City Clerk at a regular meeting thereof held on this ___________ day of ________________, 2024.

Resolution No. _______

4 That said Resolution was adopted by the following vote, to wit:

AYES: COUNCILMEMBERS -
NOES: COUNCILMEMBERS -
ABSTAIN: COUNCILMEMBERS -
ABSENT: COUNCILMEMBERS -
____________________________________

CITY CLERK OF THE CITY OF COMPTON
Firm name Set-up Services and Modules Additional Services Other Fees Travel Year 1 Fee Year 2 Fee Year 3 Fee Year 4 Fee Year 5 Fee Total Fee Implementation CentralSquare Cloud Set-up$10,000 One-Time Fee
Consulting Services (Fixed Fee) - $55,380Project Management (Fixed Fee) - $17,160Technical Services Fixed Fee) - $10,920Training Services (Fixed Fee) - $19,305VPN Hardware and Support - $2,700 Software Yearly Subscription - $88,558.68 (Discounted 20% off the MSRP $110,698, Yearly Subscription subject to 5% CPI) - General Ledger- Budgeting- Accounts Payable and Receivable- Bank Reconciliation- Cash Receipts- Fixed Assets- Purchasing Intergrated Finance Enterprise
HR Module, Cashiering, and Utility Billing Modulesnot included, but can be added *Please see Attachment "C" for other included modules
Includes migrating ONESolution to the cloud and updating to the latest version of Finance Enterprise. - Forms- Documents Online- CentralSquare Analytics- Implementation Methodology- Project Management- Implementation- Stores Inventory- Project Allocation- Grants Management- Contract Management- PunchOut- Workflow All services are included in the annual fee, except the Optional Services No travel Cost $204,023.68 $95,086.61 $99,840.94 $104,832.99$110,074.64 $613,858.86 Paycom $41,000One Time
HR Module, Payroll Module Only
- Beti- Employee Self-Service- Garnishments- Time Off Requests- Scheduling- Geofencing- Gone- Benefits Administration- Documents and Checklists- GL Concierge- Check Stuffing- Reporting and Analytics- Enhanced ACA- Applicant Tracking- Tax Credits- Paycom Learing FEE - $137,000 base fee in Yr. 1CPI - 2% for yr. 2, 4% for yr. 3 added to the base fee Performance and CompensationPersonnel Action FormsGovernment and CompliancePush Reporting Note: All service fees are estimated. According to the proposal, more information is needed to give a precise cost.

None listed in the proposal Not listed in the proposal $153,875.00 $136,552.00 $139,283.00$142,069.00$144,910.00 $716,689.00 Oracle $290,000(One time Fee)
Software Yearly Subscription - $97,740 Fixed
General LedgerAccounts Payable/ReceivableCash ManagementPurchasing/Procure-to-PayBank ReconciliationFixed Assets/Capital AssetsPlanning and BudgetingFinancial ReportingVendor MaintenancePurchase CardsTravel/Expense Management Budgeting Module, Some Cashiering Module (No Point of Sale), Payroll Module, HR Module, Planning Module All services are inclusive Travel - Estimated at 10% of total fee $77,870.00 $387,740.00 $97,740.00 $97,740.00 $97,740.00 $97,740.00 $778,700.00 CYRET $292,850(One time Fee)
Accounts PayableAccounts Receivable General LedgerPayroll Reporting Budgeting Module, Payroll Module, Cashering Module, HR Module All services are inclusive $16,000.00 $368,450.00 $93,600.00 $95,220.00 $68,244.00 $69,104.00 $694,618.00 Attachment A
Enterprise Resource Planning (ERP)Apples-to-Apples Comparison All services are inclusive
OptionalServices(Not included)
Onsite services may be purchased at $2,300 per trip which covers lodging and travel.

None listed in the proposal. All services are included in the fee.

Onsite and remote services (Travel and Expenses) are in additon to the service fee.

Attachment B
Compton, CA - RFP for Enterprise Resource Planning Software Services Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Finance Enterprise $ 88,558.68 $ 92,986.61 $ 97,635.94 $ 102,517.74 $ 107,643.63 $ 113,025.81 $ 118,677.10 $ 124,610.96 VPN Hardware $ 2,000.00 $ 2,100.00 $ 2,205.00 $ 2,315.25 $ 2,431.01 $ 2,552.56 $ 2,680.19 $ 2,814.20 VPN Support $ 700.00
Implementation:
-Cloud Set Up
-Consulting Service
(BPR, go post support,
etc..)
-Project Management
-Technical Services
-Training Services $ 112,765.00
Yearly Total $204,023.68 $95,086.61 $99,840.94 $104,832.99 $110,074.64 $115,578.37 $121,357.29 $127,425.16 Subtotal (Yrs. 1-5) - $613,858.86
Total (Yrs. 1-8) - $978,219.60
*Note: Years 6-8 are optional
Attachment C

Attachment D
Project Approach
(Below is the general project approach.)

1. Project Kick-off
a. Review CentralSquare’s scope of work
b. Identify members of the Executive Steering Committee c. Identify members of CentralSquare’s implementation staff and their duties d. Review CentralSquare’s implementation plan and address any concerns e. Establish preferred time for regular meetings to update City staff on status of project milestones
f. Establish training and meeting logistics regarding software, hardware, facilities, and the need to take attendance
g. File sharing site training

2. Project Planning
a. Develop schedule for project phases
i. Included will be a plan for testing environment phases. The earlier testing can be done, the more time City staff will have to make desired changes. ii. A plan for staggered implementation will also be developed, including how staff will be able to run and integrate the system until all modules of CentralSquare are implemented
b. Develop plan for any needed third-party solutions
c. Coordinate and schedule training and module set-up sessions for each module. The training schedule should be realistic and leave room to make up for absenteeism and/or other unanticipated interruptions of staff participation. This also includes time for staff to review manuals for each module.
i. Module set-up acceptance relies heavily on staff understanding and participation during these training sessions. Staff performance of “homework” and practicing with the modules at their own desks also helps with staff understanding and participation. We will follow up on staff progress of this. d. Determine staff/resource availability over the proposed implementation timeline e. Identify Subject Matter Experts, Module Leads, and Project Participants from City staff.

Identify back-ups, and obtain staff’s commitment to participate in the project. Determine a back-up plan if staff exhibits wavering commitment to the project. f. Identify staff for technical training and system administration training g. Identify participants in the Change Management Team. This is recommended to be a sample of staff at various levels from different departments who will be users of the software. This team should primarily ask about and delve into issues that come up during training that will affect existing policies and procedures of the organization.

Recommendations from this team will eventually reach the Executive Steering Committee for final decision-making. Information will be flowing to and from CentralSquare as well. i. In addition to organizing the meeting, the first meeting agenda should include discussion of software features viewed in the demo that the City wants to take advantage of. This discussion should include possible policy or procedural changes that are already known to be likely with the implementation of the new ERP. h. Develop a plan for how/when Subject Matter Experts will train the rest of City staff once Central Square’s training responsibilities have expired. CentralSquare’s focus is to “train the trainer”.
i. Plan goals and objectives for Conversion of data from existing software, and any document-management concerns this may create. Data conversion early on can allow for easier testing of the modules and chart of accounts set up. j. Develop plan on how to maintain and access data sitting in the City’s existing ERP system.

Gather and review costs of conversion and maintenance of old data with staff. k. Identify access to File sharing site

3. System Admin
a. Coordinate software installation activities and verification testing i. Review verification testing deliverables before sign off b. Schedule system admin and chart of accounts design training i. Coordinate meeting(s) for chart of accounts needs assessment ii. Review materials provided by CentralSquare for organized and systematic chart of accounts design. Follow up with CentralSquare to ensure that City staff will not need to perform tedious data entry into the software.
iii. Can make recommendations to chart of accounts design if needed c. Verify chart of accounts acceptance for G/L, Project Ledger, A/R, and Fixed Assets module in order to move forward.

4. Staff Training, Change Management, and Module Set-up a. For all Executive Steering Committee meetings we will prepare an agenda and will follow up on action items.
i. Any new policy or procedural changes that get approved through these meetings will be added to CentralSquare training and module set-up agendas to ensure the intended usage of the software is understood by CentralSquare and City staff. This will also provide a tool to monitor CentralSquare’s deliverable of its “As-is vs. To- be” analysis.
ii. If needed, consultant should assist City staff with formalizing and distributing the new policies and procedures
b. For all CentralSquare meetings, consultant should review agendas prepared by CentralSquare and distribute those agendas to the meeting participants. Consultant should follow up with those meeting participants to determine if there was any deviation from the meeting agenda and whether all topics on the agenda (as well as if all software options) were covered in detail. Consultant should follow up with CentralSquare for any irregularities or needs for additional training.
i. This will directly affect implementation in terms of adequacy of module set-up.

This will be part of accepting/rejecting implementation control points and deliverables. We will provide feedback on rejections.
ii. Consultant should follow up with Module Leads to determine if planned City policy or procedural changes were taken into consideration adequately enough during the CentralSquare meetings.
iii. Consultant should follow up with CentralSquare and City staff to ensure all module manuals have been provided by CentralSquare and received by Staff. iv. Consultant should follow up with Module Leads to determine which options or forms will have modification requests. Consultant should verify the costs of these requests, if any, and present to the City Management for a decision. c. Consultant should maintain a list of project issues with the CentralSquare Project manager, and assign and communicate the priority of each issue. i. Consultant should identify the individual responsible for facilitating resolution and follow up regularly until resolution has taken place. If resolution has not taken place by the needed time frame, consultant should escalate the issue through CentralSquare management.
d. Consultant should follow up with Module Leads, SMEs, and Participants after each training session or module set-up session to assess the project risks and the need for any policy changes within the City. Consultant should communicate those risks to the City Management, and to CentralSquare when necessary. Consultant should follow up until the risks have been resolved or eliminated.
i. This may include or result in scope-change, software development, or product- enhancement requests for CentralSquare. Consultant should also track, monitor, and follow up on these requests as well.
ii. This also applies to the “homework” that is done by City staff for Form Design, completion of auxiliary data tables, and workflow tables. The homework may also spur potential project risks, or needed policy changes.
e. Creation of user training accounts for all users. Consultant should follow up on staff usage and testing of the software in relation to their individual data and menu access rights. Consultant should monitor and communicate user progress and any resulting project risks or concerns to City Management.
f. Consultant should coordinate the review and approval of CentralSquare’s As-Is vs. To-Be understanding. Consultant should follow up with City staff to approve CentralSquare’s flow chart and/or questionnaire results, which will document the City’s internal controls and operations with respect to software usage.
g. Consultant should follow up with meeting SMEs and Participants to determine if anything is needed for them to be able to eventually train other staff within the organization. This is to prepare staff for “train the trainer” approach that CentralSquare generally takes with their training sessions. Consultant should request and schedule more training secessions if needed.

5. Testing
a. Consultant should follow up with CentralSquare and determine if there are any unresolved issues with the conversion of old data. We will work with staff and CentralSquare to resolve those issues so adequate testing can occur. Consultant should ensure testing is done with reports and spot-checking from the legacy system to prove accuracy of conversion.
b. Consultant should ensure the testing environment reflects the “To-be” analysis done by CentralSquare for each module and for each of the forms within the modules. c. Consultant should follow up with the Change Management Team to determine if there are any other issues that need to be addressed or resolved for the static test environment to be complete and ready for testing.
d. Consultant should review and determine if CentralSquare deliverables have been fulfilled in order for the City to provide the authorization to proceed upon the static test environment.
e. Consultant should confirm with staff whether adequate testing has been performed for each module, and the forms contained therein
i. A testing outline will be reviewed and followed for quality and timeliness ii. This includes trial runs, the testing of interfaces, module integration, stress testing, and proper functioning of workflow and security features iii. The infrastructure of hardware and network design will also be included in this verification
f. Consultant should determine if any contract modifications are needed as a result of requests made for product enhancement, changes in scope, or software development. i. Consultant should work with CentralSquare and with the City staff to do a cost- benefit analysis of any contract modifications
ii. Consultant should ensure the contract modifications are included in the final static test environment
g. Consultant should review with CentralSquare which data sets can avoid manual entry and minimize tedious data entry for the City.
h. Consultant should follow up with testing-participants to determine if there are any testing issues and bring those issues to the attention of CentralSquare for resolution i. Consultant should ask testing-participants about the software’s ability (within each module) to calculate properly, its workflow efficiency, ability to handle complex transactions as well as typical transactions, and sufficiency of available reporting.
ii. Consultant should follow up with staff to comment on the differences in the “parallel process” in testing CentralSquare’s modules with real live transactions in comparison to processing those transactions in the City’s existing software iii. Consultant should confirm with staff and with CentralSquare that the results of the “parallel process” were (at a minimum) equivalent in terms of software deliverables
i. Consultant should follow up with City staff as to whether there are any impediments in being able to accept the static environment test performance and forward that information to CentralSquare to resolve any issues
j. Consultant should also follow up on the testing of the functionality of the staggered implementation approach, pre-live planning, and document a contingency plan

6. Go-Live
a. Consultant should follow up with CentralSquare and City staff to determine the status of the authorization to Go-Live, and assist with resolving any impediments to achieving the authorization to Go-Live.
b. Consultant should schedule end-user training and ensure out-reach to all end-users c. Consultant should assist with disseminating Change Management Team Decisions d. Consultant should finalize the Go-Live schedule and communicate to all participants e. Consultant should confirm that all issues in relation to Conversion of old data have been resolved
f. Consultant should monitor Go-live use and gather issues from staff and follow up with CentralSquare for resolution
g. Consultant should ensure the CentralSquare Go-live support team responds to and resolves any issues with the software
h. Consultant should verify with Module Leads, and the Change Management Team, that the software is working as intended for each module
i. After final acceptance of the software during Go-Live consultant should assist the City in moving to the support relationship it will have with CentralSquare. Consultant should formalize a protocol for requesting and obtaining CentralSquare support or from any other needed resource
j. If there are projects/enhancements set aside for after the Go-Live phase, consultant should ensure the City has a plan to continue and ensure those projects are addressed or implemented.

July 23, 2024
TO: MAYOR AND COUNCIL MEMBERS
FROM: CITY MANAGER
SUBJECT: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COMPTON RESCINDING RESOLUTION NUMBER 26,083 RE-ADOPTING AND
RATIFYING THE SUBMISSION OF THE CITY’S FISCAL YEAR 2024- 2025 CONSOLIDATED ANNUAL ACTION PLAN TO THE U.S.

DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT (HUD) AND

USE OF FUNDS FOR THE COMMUNITY DEVELOPMENT BLOCK

GRANT (CDBG), THE HOME INVESTMENT PARTNERSHIP GRANT
(HOME) PROGRAMS

SUMMARY
Adoption of this resolution will authorize the City Manager to submit a revised City of Compton Fiscal Year (FY) 2024-2025 Consolidated Annual Action Plan to the U.S.

Department of Housing and Urban Development (HUD); the revised FY 2024-2025 Consolidated Annual Action Plan includes the City of Compton’s (City) proposed use of funds in the amount of $1,302,913 in Community Development Block Grant (CDBG) and $446,886.47 in Home Investment Partnership Program (HOME).

BACKGROUND
On July 16, 2024, the City Council adopted Resolution 26,083 which authorized the submission of the City’s FY 2024-2025 Consolidated Annual Action Plan. Upon closer review, it was determined by staff that the sections regarding CDBG and HOME proposed expenditure plan were last Fiscal Year (2023-2024) Council approved CDBG and HOME expenditure plans. Furthermore, the absence of the correct CDBG and HOME expenditure plan poses significant risks to the FY 2024-2025 Consolidated Annual Action Plan development and overall success of the program implementation as outlined in the original resolution. Thus, it is necessary to rescind Resolution No. 26,083 for the purpose of including the correct proposed expenditure plan.

In order to be eligible to receive Federal funds, the U.S. Department of Housing and Urban Development (HUD) requires the City of Compton (“City”) to prepare an Annual Action Plan for each of the five (5) years covered by the City’s 5-Year Consolidated Plan (2019- 2024). The City must develop a Consolidated Annual Action Plan, which combines into a single submission to HUD the planning and application elements for the CDBG and HOME grants. The City produces the Action Plan annually before July 8 th of each fiscal year to ensure its eligibility for CDBG and HOME grant funds.

22.22.22. Staff Report – Resolution To Adopt and Authorize Submission of City’s Fiscal Year 2024-2025 Consolidated Action Plan to U.S. Department of HUD
July 2, Page 2 of 3
HUD’s Fiscal Year 2024-2025 federal grant allocation for the City’s Community Development Block Grant (CDBG) is $1,302,913. The City’s HOME program allocation for fiscal year 2024-2025 is $446,886.47 for programming. In accordance with HUD requirements and consistent with the City’s Consolidated 5-Year Plan, Staff prepared the draft FY 2024-2025 Consolidated Annual Action Plan. As part of the planning process, a Notice of Funding Availability (NOFA) will be posted on the City’s website and published in the Compton Bulletin Newspaper. CDBG applications will be made available beginning November 2024 and ending on January 2025. The Grants Division conducted one (1) Technical Assistance Workshop designed to provide prospective applicants with information regarding the FY 2024 application process and eligibility requirements for the grants mentioned above programs. Staff met with seven individuals representing seven organizations. The City received eight public service applications that included $306,386 funding requests from eight distinctive organizations.

On May 22, 2024, the City released a NOFA for the drafted FY 2024-2025 HUD Funding Recommendations for CDBG & HOME funding for a 30-day review period to obtain public input and comments on the proposed Action Plan. The City of Compton has met all HUD requirements in the development of the Annual Action Plan.

CDBG Program:

The primary objective of the CDBG program is to develop viable urban communities by providing decent housing and a suitable living environment, principally for persons of low and moderate income. The proposed eligible CDBG activities for Fiscal Year 2024-2025 are as follows:

FY 2024-2025 CDBG PROGRAM / ACTIVITY AMOUNT
1 CDBG Program Administration $260,582.60
2 Fair Housing Foundation $ 10,000
3 Champions of Caring $ 12,600
4 Compton Youth Build $ 35,000
5 Community Legal Aid SoCal $ 20,000
6 The Children’s Clinic $ 35,000
7 Unearth and Empower Communities $15,000
8 Housing Rehabilitation Program $200,000
9 Park Improvement Project $250,000
10 Business Façade Project $250,000
11 Employment Training Program $214,730.40
TOTAL 1,302,913
Staff Report – Resolution To Adopt and Authorize
Submission of City’s Fiscal Year 2024-2025 Consolidated Action Plan to U.S. Department of HUD
July 2, Page 3 of 3
Home Program:

The primary purpose of the HOME Program is to preserve and increase the supply of decent, safe, and sanitary affordable rental and owner-occupied housing primarily for persons of low and moderate income. The proposed eligible HOME activities for Fiscal Year 2024-2025 are as follows:

FY 2024-2025 HOME PROGRAM / ACTIVITY AMOUNT
a HOME Program Administration $44,688.65
b HOME CHDO Activity $67,029.97
c HOME First Time Homebuyers Program $335,149.85
TOTAL $446,886.47

STATEMENT OF ISSUE
In order for the City of Compton to receive the federal fund grant allocations from HUD in the form of CDBG and HOME grant funds, City Council authorization is required to approve and submit the Consolidated Annual Action Plan for FY 2024-2025 which includes CDBG and HOME grant applications and the City’s proposed use of federal funds.

FISCAL IMPACT
The General Fund will not be negatively impacted by the proposed FY 2024-2025 Consolidated Annual Action Plan.

RECOMMENDATIONS
Staff recommends that City Council adopt the proposed FY 2024-2025 Consolidated Annual Action Plan (“Plan”) and authorize the City Manager to submit the Plan to HUD and execute any and all necessary applications and/or agreements to implement the proposed programs pursuant to the funding allocations in the City’s Plan.

TURMEL WOODS

GRANTS COMPLIANCE MANAGER
APPROVED FOR FORWARDING:

WILLIE A. HOPKINS JR.

CITY MANAGER
RESOLUTION NO. ____________

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COMPTON RESCINDING RESOLUTION NUMBER 26,083 RE-ADOPTING AND
RATIFYING THE SUBMISSION OF THE CITY’S FISCAL YEAR 2024- 2025 CONSOLIDATED ANNUAL ACTION PLAN TO THE U.S.

DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT (HUD) AND

USE OF FUNDS FOR THE COMMUNITY DEVELOPMENT BLOCK

GRANT (CDBG), THE HOME INVESTMENT PARTNERSHIP GRANT
(HOME) PROGRAMS
WHEREAS, in order to be eligible to receive federal funds, the U.S. Department of Housing and Urban Development (HUD) requires the City of Compton (“City”) to prepare an Annual Action Plan for each of the five (5) years covered by the City’s Consolidated 5-Year Plan (2019-2024); and
WHEREAS, the City must develop a Consolidated Annual Action Plan which combines into a single submission to HUD the planning and application elements for the CDBG and HOME grants. The City produces the Action Plan annually, which is due before July 8 th of each fiscal year, to ensure its eligibility for CDBG and HOME grant funds; and
WHEREAS, HUD’s Fiscal Year 2024-2025 federal grant allocation for the City’s Community Development Block Grant (CDBG) is $1,302,913. The City’s HOME program allocation for fiscal year 2024-2025 is $446,886.47 for programming; and WHEREAS, in accordance with HUD requirements and consistent with the City’s Consolidated 5-Year Plan, Staff prepared the draft FY 2024-2025 Consolidated Annual Action Plan which outlines the City’s planned use of CDBG and HOME grant funds; and WHEREAS, on July 16, 2024, the City Council adopted Resolution 26,083 which authorized the submission of the City’s FY 2024-2025 Consolidated Annual Action Plan.

Upon closer review, it was determined by staff that the sections regarding CDBG and HOME proposed expenditure plan were last Fiscal Year (2023-2024) Council approved CDBG and HOME expenditure plans; and
WHEREAS, furthermore, the absence of the correct CDBG and HOME expenditure plan poses significant risks to the FY 2024-2025 Consolidated Annual Action Plan development and overall success of the program implementation as outlined in the original resolution. Thus, it is necessary to rescind Resolution No. 26,083 for the purpose of including the correct proposed expenditure plan; and WHEREAS, as part of the planning process, a Notice of Funding Availability (NOFA) will be posted on the City’s website and published in the Compton Bulletin Newspaper. CDBG applications will be made available beginning November 2024 and ending in January 2025. The Grants Division conducted one (1) Technical Assistance Workshop designed to provide prospective applicants with information regarding the FY 2024 application process and eligibility requirements for the grants mentioned above programs; and
WHEREAS, on May 22, 2024, the City released a NOFA for the drafted FY 2024- 2025 HUD Funding Recommendations for CDBG & HOME funding for a 30-day review period to obtain public input and comments on the proposed Action Plan. The City of Compton has met all HUD requirements in the development of the Annual Action Plan and
WHEREAS, the primary objective of the CDBG program is to develop viable urban communities by providing decent housing and a suitable living environment, principally for persons of low and moderate income; and
RESOLUTION NO. __________
PAGE 2
WHEREAS, the primary purpose of the HOME Program is to preserve and increase the supply of decent, safe, and sanitary affordable rental and owner-occupied housing primarily for persons of low and moderate income.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF COMPTON DOES HEREBY RESOLVE AS FOLLOWS:

SECTION 1: That the City Council shall adopt the funding recommendations of the draft FY 2024-2025 Consolidated Annual Action Plan as follows:

FY 2024-2025 CDBG PROGRAM / ACTIVITY AMOUNT
1 CDBG Program Administration $260,582.60
2 Fair Housing Foundation $ 10,000
3 Champions of Caring $ 12,600
4 Compton Youth Build $ 35,000
5 Community Legal Aid SoCal $ 20,000
6 The Children’s Clinic $ 35,000
7 Unearth and Empower Communities $15,000
8 Housing Rehabilitation Program $200,000
9 Park Improvement Project $250,000
10 Business Façade Project $250,000
11 Employment Training Program $214,730.40
TOTAL 1,302,913
FY 2024-2025 HOME PROGRAM / ACTIVITY AMOUNT
a HOME Program Administration $44,688.65
b HOME CHDO Activity $67,029.97
c HOME First Time Homebuyers Program $335,149.85
TOTAL $446,886.47

SECTION 2.That the City Manager is authorized to submit the revised Fiscal Year 2024-2025 Consolidated Annual Action Plan to the Department of Housing and Urban Development (HUD).

SECTION 3.That the City Manager is authorized to execute all necessary documents and implement all programs included in the FY 2024-2025 Consolidated Annual Action Plan.

SECTION 4.That a certified copy of this Resolution shall be filed in the offices of the City Manager, City Attorney, City Controller, City Clerk, and the Grants Division.

SECTION 5.That the Mayor shall sign and the City Clerk shall attest to the adoption of this Resolution.

ADOPTED this _______ day of _____________________, 2024. ________________________________

MAYOR OF THE CITY OF COMPTON
RESOLUTION NO. __________
PAGE 3
ATTEST:
____________________________________

CITY CLERK OF THE CITY OF COMPTON

STATE OF CALIFORNIA

COUNTY OF LOS ANGELES

CITY OF COMPTON
I, Vernell McDaniel, City Clerk of the City of Compton, do hereby certify that the foregoing Resolution was adopted by the City Council of the City of Compton, signed by the Mayor and attested by the City Clerk at a regular meeting thereof held on the _______ day of ________________, 2024.

That said Resolution was adopted by the following vote, to wit:

AYES: COUNCIL MEMBERS-
NOES: COUNCIL MEMBERS-
ABSENT: COUNCIL MEMBERS-
ABSTAIN: COUNCIL MEMBERS-
__________________________________

CITY CLERK OF THE CITY OF COMPTON

July 16, 2024
TO: HONORABLE MAYOR AND CITY COUNCIL MEMBERS
FROM: CITY CLERK
SUBJECT: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

COMPTON AUTHORIZING THE CITY MANAGER TO ENTER INTO
A THREE (3) YEAR AGREEMENT FOR THE RENEWAL OF

COMPUTER SOFTWARE MAINTENANCE AND SUPPORT, AND

AGENDA MEDIA SERVICES, AND ESTABLISH A PURCHASE
ORDER WITH HYLAND SOFTWARE, INC. FOR AGENDA

DOCUMENT MANAGEMENT AND PUBLIC MEETING

MANAGEMENT FOR DOLLAR AMOUNT OF ONE HUNDRED

TWENTY-EIGHT THOUSAND SIX HUNDRED THIRTY-FOUR
DOLLARS AND TWENTY-SEVEN CENTS. ($128,634.27).

SUMMARY
Adoption of the attached resolution will authorize the City Manager to enter into a three (3) year agreement with Hyland Software, Inc. for the renewal of computer software maintenance, support, and agenda media services for the City’s paperless agenda software application and the public meeting management system, and authorize the establishment of a purchase order in the amount of Forty Thousand Five Hundred Thirty-One Dollars and Two Cents ($40,531.02).

BACKGROUND
In 2018, the City contracted with Hyland Software Inc. to provide computer software product maintenance, and support of an automated agenda system designed to provide for the effective processing, record keeping, and use of the City’s website agenda access, and to provide streaming media management software and services that would facilitate the streaming and distribution of live and archived video and audio content from public meetings. This enhanced the City’s government transparency and public access to its legislative bodies’ meetings.

STATEMENT OF ISSUE
The City maintained a contract with Hyland Software for five years from 2018-2023. It is now crucial to renew the contract to maintain services throughout the City for the agenda process.

If the City Council does not approve the attached resolution, the City will be left without agenda management and public meeting management. This would necessitate the City to seek another source and pay an initial fee plus training fee(s) and such, potentially leading to additional financial burden and operational disruptions.

23.23.23. Staff Report – Resolution Authorizing 3-Year Software Maintenance, Support, and Agenda Media Services Contract with Hyland Software, Inc.

July 16, 2024

FISCAL IMPACT
The costs for the renewed software maintenance and support, and agenda media services are as follows:

Agenda Media Subscription fees:

July 1, 2024 – June 30, 2025 $ 16,861.57
July 1, 2025 – June 30, 2026 $ 17,751.19
July 1, 2026 – June 31, 2027 $ 18,707.53
Software Subscription fees
July 1, 2024 – June 30, 2025 $ 23,669.45
July 1, 2025 – June 30, 2026 $ 25,069.65
July 1, 2026 – June 30, 2027 $ 26,574.88
Total Amount $128,634.27
Funds for this expenditure of Thirty Thousand Five Hundred Thirty-One Dollars and Two Cents ($40,531.02) for the first twelve months of the agreement will be available in the 2024-2025 fiscal year budget in Account No. 1001-470-000-4222. Funds for the remaining years of the agreement will be allocated in future City budgets.

RECOMMENDATION
It is recommended that the Council adopt the attached Resolution.

VERNELL MCDANIEL

CITY CLERK
APPROVED FOR FORWARDING:

WILLIE A. HOPKINS

CITY MANAGER
RESOLUTION NO. ________________

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COMPTON AUTHORIZING THE CITY MANAGER TO ENTER INTO A THREE (3) YEAR

AGREEMENT FOR THE RENEWAL OF COMPUTER SOFTWARE

MAINTENANCE AND SUPPORT, AND AGENDA MEDIA SERVICES,
APPROVING A BUDGET AMENDMENT TO THE FISCAL YEAR 2024 – 2025 CITY CLERK’S DEPARTMENT AND ESTABLISH A PURCHASE ORDER
WITH HYLAND SOFTWARE, INC. FOR AGENDA DOCUMENT

MANAGEMENT AND PUBLIC MEETING MANAGEMENT FOR DOLLAR

AMOUNT OF ONE HUNDRED TWENTY-EIGHT THOUSAND SIX HUNDRED THIRTY-FOUR DOLLARS AND TWENTY-SEVEN CENTS. ($128,634.27).

WHEREAS, in 2018, the City contracted with Hyland Software Inc. to provide computer software product maintenance and support of an automated agenda system designed to provide for the effective processing, record keeping, and use of the City’s website agenda access, and to provide streaming media management software and services that would facilitate the streaming and distribution of live and archived video and audio content from public meetings; and
WHEREAS, the use of this software has enhanced the City’s government transparency and public access to its legislative bodies’ meetings; and WHEREAS, Hyland Software, Inc. has consistently and satisfactorily serviced and maintained the current system and programs, and maintaining such specifications is vital to the effective operations of the City’s business; and WHEREAS, staff recommends authorization of a multi-year (i.e., 3 years) contract with Hyland Software, Inc.; and
WHEREAS, the fees of $40,531.02 for the first twelve (12) months of the agreement are available in the 2024-2025 Fiscal Year Budget; and

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF COMPTON DOES HEREBY RESOLVE:

Section 1.That the City Manager, upon the advice and approval of the City Attorney is hereby authorized to enter into a three (3) year renewal of computer software maintenance and support and agenda media services agreement with Hyland Software, Inc. for the computer software systems and programs for the City’s paperless agenda software application and the public meeting management system.

Section 2.That the three (3) year term of the agreement shall commence effective as of the date the agreement is fully executed by the parties, or late date mutually agreed upon by the parties.

Section 3.That an amendment to the FY2024-2025 City Clerk Department’s budget is authorized as follows:

Decrease appropriations in expenditures from:

Account Code Account Name Amount
1001-470-000-4266 General Fund, Contractual Services $40,531.02 Increase appropriations in expenditures to:

Account Code Account Name Amount
1001-470-000-4222 General Fund, Software Services $40,531.02 RESOLUTION NO.__________
PAGE 2
Section 4.That a purchase order is authorized to be established in the amount of forty thousand five hundred thirty-one dollars and two cents ($40,531.02) for services rendered by Hyland Software, Inc. during the twelve (12) months of the agreement from Account No. 1001-470-000-4222. Funds for the remaining years of the agreement will be allocated in future City budgets.

Section 5.That the funds for the agreement expenditures shall be available in the 2024-2025 Fiscal Year budget in Account No. 1001-470-000-4222 Section 6.That a copy of this Resolution shall be filled in the offices of the City Clerk, City Manager, City Attorney, City Controller, and Information Technology (IT).

Section 7.That the Mayor shall sign and the City Clerk shall attest to the adoption of this Resolution.

ADOPTED this __________ day of ________________, 2024.
________________________________

MAYOR OF THE CITY OF COMPTON
ATTEST:
____________________________________

CITY CLERK OF THE CITY OF COMPTON

STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) ss

CITY OF COMPTON )
I, Vernell McDaniel, City Clerk of the City of Compton, hereby certify that the foregoing Resolution was adopted by the City Council of the City of Compton, signed by the Mayor, and attested by the City Clerk at a regular meeting thereof held on the ________ day of __________________, 2024.

That said Resolution was adopted by the following vote, to wit:

AYES: COUNCIL MEMBERS-
NOES: COUNCIL MEMBERS-
ABSTAIN: COUNCIL MEMBERS-
ABSENT: COUNCIL MEMBERS-
____________________________________

CITY CLERK OF THE CITY OF COMPTON
Contract #: EU-14474-26125932
Copyright  2024 Hyland Software, Inc. (Confidential) 1 of 3

MAINTENANCE AND SUPPORT SUBSCRIPTION ORDER FORM
This Maintenance and Support Subscription Order Form (“Order Form ”) is made and entered into effective as of the date that the last party to sign this Order Form has executed the same (as indicated by the date entered by such party with its signature below) (“Order Form Effective Date”), by and between Hyland Software, Inc. (“Hyland”) and City of Compton (“Customer”) and is governed by the Master Agreement with an Effective Date of February 7, 2018. Hyland and Customer agree that in the event a new agreement is executed by Hyland and Customer, and that such agreement governs the Software provided in this Order Form, then to the extent applicable the terms of the new agreement shall govern this Order Form.

1. DEFINED TERMS: Capitalized terms used in this Order Form and not defined herein are used herein with the same meanings given such terms under the Master Agreement between the parties for the Existing Software referenced in this Order Form.

2. PERMISSION TO ISSUE INVOICE: Customer acknowledges and agrees that, when this Order Form is signed by both parties, Hyland is permitted to invoice Customer for the matters described herein and as more particularly set forth in this Amendment. Commencing on or after the Order Form Effective Date, Hyland shall invoice Customer for the period commencing on July 1, 2024, and Customer shall pay such invoice in accordance with the terms of the Master Agreement.

3. SUBSCRIPTION FOR MAINTENANCE AND SUPPORT IN CONNECTION WITH THE SOFTWARE LICENSED BY CUSTOMER: The Master Agreement is extended for the period commencing on July 1, 2024 through June 30, 2027. Customer shall pay annual Maintenance and Support subscription fees of the Software outlined in Exhibit A in the amount of $128,634.27 (as detailed in the tables below). Subscription fees are due prior to the commencement of the applicable annual period. On July 1, 2027, the Master Agreement will renew for successive terms of one year each (for subscription fees as invoiced by Hyland or otherwise mutually agreed by the parties), unless and until either party provides at least thirty days advance written notice of non-renewal, in which case this Order Form and associated Master Agreement, shall terminate at the end of the then current term.

Agenda Media Subscription fees:

Subscription fees
July 1, 2024 – June 30, 2025 $ 16,861.57
July 1, 2025 – June 30, 2026 $ 17,751.19
July 1, 2026 – June 30, 2027 $ 18,707.53
Software Subscription fees
Subscription fees
July 1, 2024 – June 30, 2025 $ 23,669.45
July 1, 2025 – June 30, 2026 $ 25,069.65
July 1, 2026 – June 30, 2027 $ 26,574.88
Total Amount $128,634.27

4. MAINTENANCE INVOICE LE01-291783: Pursuant to the terms of the Master Agreement, upon the Order Form Effective Date, Customer is obligated to pay to Hyland, Software License Fees as described under Agenda Media Invoice number LE01-291783 issued on February 14, 2023, in the amount of $11,034.02. Failure to make such payment will result in breach of payment terms resulting in termination of this Order Form and Master Agreement.

Contract #: EU-14474-26125932
Copyright  2024 Hyland Software, Inc. (Confidential) 2 of 3 IN WITNESS WHEREOF, the parties have executed this Order Form as of the day and year set forth after their respective names below:

CITY OF COMPTON HYLAND SOFTWARE, INC.

By: By:

Print Name: Print Name:

Title: Title:

Date: Date:

Hyland Legal
Approved By:

Date:

Contract #: EU-14474-26125932
Copyright  2024 Hyland Software, Inc. (Confidential) 3 of 3

EXHIBIT A
Product Name Quantity
OnBase Agenda Concurrent Client 11
OnBase Agenda 1
Agenda To Go 1
Local Government Concurrent Client 5
Local Government Full-Text Indexing Concurrent Client for Autonomy IDOL
5 Local Government Full-Text Indexing Server for Autonomy IDOL
1 Local Government Office Business Application 1
Local Government Integration for Microsoft Outlook 1
Local Government Unity Client Server 1
Local Government Workflow Concurrent Client SL 5
Local Government Web Server 1
Unity Forms 1
Unity Integration Toolkit 1
Agenda Media Service - 750 kbps Streaming 1
July 23, 2024
TO: MAYOR AND CITY COUNCIL MEMBERS
FROM: CITY CONTROLLER
SUBJECT: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

COMPTON AUTHORIZING THE CITY MANAGER TO ENTER INTO A MULTI-

YEAR PROFESSIONAL SERVICES AGREEMENT WITH EVERGREEN

PROFESSIONAL RECOVERIES IN AN AMOUNT NOT TO EXCEED ONE
HUNDRED TWELVE THOUSAND FIVE HUNDRED DOLLARS ($112,500) FOR

COLLECTION VENDOR SERVICES, TO AMEND THE CITY CONTROLLER DEPARTMENT’S FY 2024-2025 BUDGET, AND TO ISSUE A PURCHASE

ORDER IN THE AMOUNT TWENTY-TWO THOUSAND FIVE HUNDRED
DOLLARS ($22,500) TO EVERGREEN PROFESSIONAL RECOVERIES.

SUMMARY
Staff is requesting that the City Council consider adopting a Resolution authorizing the City Manager to enter into a five (5) year professional services agreement with Evergreen Professional Recoveries in a not-to-exceed amount of One Hundred Twelve Thousand Five Hundred Dollars ($112,500) to provide Collection Services to the City, to amend the City Controller Department’s FY2024-2025 Budget, and to issue a Purchase Order for the amount of Twenty-Two Thousand Five Hundred Dollars ($22,500) for services to be provided by Evergreen Professional.

BACKGROUND
The City has endured its challenges with establishing and/or maintaining a consistent and effective method to retrieve debts owed to the City. A Collections Specialist is needed to assist with debt collection from operations such as past due water, sewer and municipal waste related charges, past due alarm fees, damage to City property, and other debts that may come due to the City. The lack of establishing and/or maintaining a consistent and effective method to retrieve debts has possibly lead to City funds being uncollected.

STATEMENT OF ISSUE
In August 2023, City staff released an RFP (Request for Proposal) for Collections Vendor Services. Some of the key expected deliverables mentioned in the RFP were the following:
 Maintain complete records of each account referred by the City, including all correspondence, documents, accounting records, transactions, working papers, and a detailed log of all collection records.
 Advise the city of any accounts deemed uncollectible and provide information regarding the determination.

24.24.24.24.24. Staff Report – Resolution Authorizing Multi-Year Agreement Evergreen Professional Recoveries (Collections Vendor Services) July 23, 2024
Page. 2
File bankruptcy claims on behalf of the City, as necessary. Maintain an audit trail of all transactions.
Initiate standard accepted debt collection procedures within 10 days from the date of assignment.
Report, correct, and/or delete credit bureau reporting and provide evidentiary documentation to the City Controller or designee.
Provide an annual report for all accounts deemed to be uncollectible, along with reasons for no collection and actions taken to attempt collection.

The City received four bids in response to the RFP. The respondents were Ability Recovery Services, Professional Credit Services, Pacific Credit Services, and Evergreen Professional Recoveries. Staff reviewed the proposals and conducted an apples-to-apples comparison of their costs. Staff from the Controller’s Department conducted interviews with the firms, and included other City Department’s input for which their services would be received to establish the best candidate to meet the City’s needs at the best cost. The apples-to-apples comparison weighed the value of the provided service to the mentioned contingency cost listed in the proposals. A sample size for Standard Collection Fees and Legal Collection Fees were used to estimate the cost for each candidate. During the interviews, the candidates were asked a series of questions and were allowed to present a short presentation of their structure and capabilities, in which staff rated their overall interview afterwards. After conducting the apples- to-apples comparison, which included the provided services and estimated costs based on the sample size and weighted contingencies, and candidate interviews, staff has determined that Evergreen Professional Recoveries is the lowest responsible bidder for the Collections Vendor Services.
(Please see Attachment “A” for cost comparison and Attachment “B” for Staff Rating Sheets) Evergreen Professional Recoveries (EPR) is known for their abilities to meet the needs and requirements of their clients. They are efficiently staffed with over 50 Collections desks with highly trained and experienced staff. EPR is established as a solid trusted partner for government contracts and local municipalities nationwide. Their clientele includes the City of Philadelphia, City of Seattle, City of Albuquerque, and the State of Montana.

Staff believes that EPR’s skill, capabilities, and experience with working with local municipalities will be a significant assistance to the City of Compton. Their due diligence in the collections process will assist the City in maximizing its revenue streams from debt collections.

Staff is requesting authorization be given to enter into a multi-year agreement with Evergreen Professional Recoveries for Collection Vendor Services ($112,500) and to approve a budget amendment to the City Controller Department’s FY2024-2025 Budget as follows:

Staff Report – Resolution Authorizing Multi-Year Agreement Evergreen Professional Recoveries (Collections Vendor Services) July 23, 2024
Page. 3
Increase in revenue appropriations:

Account Code Account Name Amount
1001-610-000-3890 General Fund $90,000
Non-Departmental
Miscellaneous Charges for Current Services
Increase in expenditure appropriations:

Account Code Account Name Amount
1001-650-000-4266 General Fund $22,500
City Controller’s Department
Contract Services
Additionally, staff is requesting authorization be given to open a Purchase Order in the amount of Twenty-two Thousand Five Hundred Dollars ($22,500) for services to be provided by Evergreen Professional Recoveries from the following account:

Account Code Account Name Amount
1001-650-000-4266 General Fund $22,500
City Controller’s Department
Contract Services

FISCAL IMPACT
Staff is requesting authorization be given to enter into a multi-year agreement with Evergreen Professional Recoveries for Collection Vendor Services ($112,500) and to request a budget amendment to the City Controller Department’s FY2024-2025 Budget as follows:

Increase in revenue appropriations:

Account Code Account Name Amount
1001-610-000-3890 General Fund $90,000
Non-Departmental
Miscellaneous Charges for Current Services
Staff Report – Resolution Authorizing Multi-Year Agreement Evergreen Professional Recoveries (Collections Vendor Services) July 23, 2024
Page. 4
Increase in expenditure appropriations:

Account Code Account Name Amount
1001-650-000-4266 General Fund $22,500
City Controller’s Department
Contract Services
Additionally, staff is requesting authorization be given to open a Purchase Order in the amount of Twenty-two Thousand Five Hundred Dollars ($22,500) for services to be provided by Evergreen Professional Recoveries from the following account:

Account Code Account Name Amount
1001-650-000-4266 General Fund $22,500
City Controller’s Department
Contract Services

RECOMMENDATION
Staff recommends the City Council to adopt the attached Resolution to authorize the City Manager to enter into a multi-year agreement with Evergreen Professional Recoveries ($112,500), and also authorize the City Manager to open a Purchase Order in the amount of Twenty-two Thousand Five Hundred Dollars ($22,500) for Collection Vendor services.

SHARON RAHBAN NAVIZADEH

CITY CONTROLLER
APPROVED FOR FORWARDING:

WILLIE A. HOPKINS JR.

CITY MANAGER
RESOLUTION NO. __________

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

COMPTON AUTHORIZING THE CITY MANAGER TO ENTER INTO A MULTI-

YEAR PROFESSIONAL SERVICES AGREEMENT WITH EVERGREEN

PROFESSIONAL RECOVERIES IN AN AMOUNT NOT TO EXCEED ONE
HUNDRED TWELVE THOUSAND FIVE HUNDRED DOLLARS ($112,500) FOR

COLLECTION VENDOR SERVICES, TO AMEND THE CITY CONTROLLER DEPARTMENT’S FY 2024-2025 BUDGET, AND TO ISSUE A PURCHASE

ORDER IN THE AMOUNT TWENTY-TWO THOUSAND FIVE HUNDRED
DOLLARS ($22,500) TO EVERGREEN PROFESSIONAL RECOVERIES.

WHEREAS, the City has endured its challenges with establishing and/or maintaining a consistent and effective method to retrieve debts owed to the City. A Collections Specialist is needed to assist with debt collection from operations such as past due water, sewer and municipal waste related charges, past due alarm fees, damage to City property, and other debts that may come due to the City. The lack of establishing and/or maintaining a consistent and effective method to retrieve debts has possibly lead to City funds being uncollected; and
WHEREAS, in August 2023, City staff released an RFP (Request for Proposal) for Collections Vendor Services; and
WHEREAS, the City received four bids in response to the RFP. The respondents were Ability Recovery Services, Professional Credit Services, Pacific Credit Services, and Evergreen Professional Recoveries; and
WHEREAS, staff reviewed the proposals and conducted an apples-to-apples comparison of their costs. Staff from the Controller’s Department conducted interviews with the firms, and included other City Department’s input for which their services would be received to establish the best candidate to meet the City’s needs at the best cost; and WHEREAS, the apples-to-apples comparison weighed the value of the provided service to the mentioned contingency cost listed in the proposals. A sample size for Standard Collection Fees and Legal Collection Fees were used to estimate the cost for each candidate; and
WHEREAS, after conducting the apples-to-apples comparison, which included the provided services and estimated costs based on the sample size and weighted contingencies, and candidate interviews, staff has determined that Evergreen Professional Recoveries is the lowest responsible bidder for the Collections Vendor Services; and
WHEREAS, Evergreen Professional Recoveries (EPR) is known for their abilities to meet the needs and requirements of their clients. They are efficiently staffed with over 50 Collections desks with highly trained and experienced staff. EPR is established as a solid trusted partner for government contracts and local municipalities nationwide. Their clientele includes the City of Philadelphia, City of Seattle, City of Albuquerque, and the State of Montana; and
WHEREAS, staff believes that EPR’s skill, capabilities, and experience with working with local municipalities will be a significant assistance to the City of Compton.

Their due diligence in the collections process will assist the City in maximizing its revenue streams from debt collections; and
Resolution No. _______

2 WHEREAS, staff is requesting authorization be given to enter into a multi-year agreement with Evergreen Professional Recoveries for Collection Vendor Services ($112,500), and to open a Purchase Order in the amount of Twenty-two Thousand Five Hundred Dollars ($22,500) for services to be provided by Evergreen Professional Recoveries; and
WHEREAS, Staff is requesting a budget amendment to the City Controller Department’s FY2024-2025 Budget as follows:

Increase in revenue appropriations:

Account Code Account Name Amount
1001-610-000-3890 General Fund $90,000
Non-Departmental
Miscellaneous Charges for Current Services
Increase in expenditure appropriations:

Account Code Account Name Amount
1001-650-000-4266 General Fund $22,500
City Controller’s Department
Contract Services
WHEREAS, staff recommends the City Council to adopt the attached Resolution to authorize the City Manager to enter into a multi-year agreement with Evergreen Professional Recoveries ($112,500), and also authorize the City Manager to open a Purchase Order in the amount of Twenty-two Thousand Five Hundred Dollars ($22,500) for Collection Vendor services; and

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF COMPTON DOES HEREBY RESOLVE AS FOLLOWS:

SECTION 1. That the City Manager is hereby authorized to enter into a multi- year professional services agreement with Evergreen Professional Recoveries for Collection Vendor Services ($112,500).

SECTION 2. That an amendment to the FY2024-2025 City Controller Department’s Budget be approved as follows:

Increase in revenue appropriations:

Account Code Account Name Amount
1001-610-000-3890 General Fund $90,000
Non-Departmental
Miscellaneous Charges for Current Services
Increase in expenditure appropriations:

Account Code Account Name Amount
1001-650-000-4266 General Fund $22,500
City Controller’s Department
Contract Services
SECTION 2. That a Purchase Order is to be issued for the amount of Twenty- two Thousand Five Hundred Dollars ($22,500) for services to be provided by Evergreen Professional Recoveries from the following account code:

Resolution No. _______

3 Account Code Account Name Amount
1001-650-000-4266 General Fund $22,500
City Controller’s Department
Contract Services

SECTION 3. That a duly copy of the Resolution shall be filed with the offices of the City Manager, City Clerk, City Attorney, and City Controller.

SECTION 4. That the Mayor shall sign and the City Clerk shall attest to the adoption of this Resolution.

ADOPTED this ____________ day of _____________, 2024.
________________________________

MAYOR OF THE CITY OF COMPTON
ATTEST:
________________________________

CLERK OF THE CITY OF COMPTON

STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) ss

CITY OF COMPTON )
I, Vernell McDaniel, City Clerk of the City of Compton, hereby certify that the foregoing Resolution was adopted by the City Council of the City of Compton, signed by the Mayor and attested by the City Clerk at a regular meeting thereof held on this ___________ day of ________________, 2024.

That said Resolution was adopted by the following vote, to wit:

AYES: COUNCILMEMBERS -
NOES: COUNCILMEMBERS -
Resolution No. _______

4 ABSTAIN: COUNCILMEMBERS -
ABSENT: COUNCILMEMBERS -
____________________________________

CITY CLERK OF THE CITY OF COMPTON
Firm name Staffing Fees Collection Service Fee Services Special Attributes Year 1 Fee Year 2 Fee Year 3 Fee Year 4 Fee Year 5 Fee Total Fee (Included) Estimate50,000 Reg 50,000 Legal
Estimate50,000 Reg 50,000 Legal
Estimate50,000 Reg 50,000 Legal
Estimate50,000 Reg 50,000 Legal
Estimate50,000 Reg 50,000 Legal
Professional Credit Service
Partners, Managers, Supervisory, Other…
Fee: All fees are contigency based included in the commissions, and no other fees associated with the collection of the accounts.

Full Collection Service: A commission rate shall be paid to Professional Credit Services for services rendered on principal payments received by either Professional Credit Services or the client.

Commission: 18%
Contingency- 25%
Standard and Customized reports including the following:- Account Payment History- Account Status Report- Acknowledgment Report- Agency Activity Report- Daily Adjustment Report- daily Payment Transmittal Report- Inventory Report - Summary of Account Activity report- Remittance of Trust Report- Performance Dashboard- Uncollectible Accounts Report Quarterly Client Scorecard- an assessment of performance and account progress. It includes collection rates, dollars collected, calls placed, and notifications sent Widespread adoption of the industry's first mobile app specifically tailored for collections.

Revolutionized transparency with Client Tools as the most user-friendly portal available today.

Implemented a highly robust and efficient process that ensures optimal outcomes.

Harnessed the power of Robotic Process Automation to streamline client and consumer efficiences.

Enable seamless end to end automation of call recording auditing and analytics.

Introduction of "Grace" which is a virtual agent that assists and supports around the clock RoboDX empowers seamless intergartion and flexible data interchange, enabling effortless system application connectivity. $21,500.00 $21,500.00 $21,500.00 $21,500.00 $21,500.00 $107,500.00 EvergreenProfessionalRecoveries
Partners, Managers, Supervisory, Other…
Fee: All fees are contigency based included in the commissions, and no other fees associated with the collection of the accounts.

Full Collection Service:A commission rate shall be paid to Evergreen Professional Recoveries for services rendered on principal payments received by either Evergreen Professional Recoveries or the client.

Commission: 20%
Contingency- 25% Equipped with 50 collection desks and has the capability to expand per client request All collection calls are recorded and notes documented. Notes can be accessed through a secured client portal. 10 Bilingual agents
Rigorously trained staff in modules of HIPPA, FDCPA, TCPA, FCRA, and applicable jurisdictional laws $22,500.00 $22,500.00 $22,500.00 $22,500.00 $22,500.00 $112,500.00 Pacific Credit Services
Partners, Managers, Supervisory, Other…
Fee: All fees are contigency based included in the commissions, and no other fees associated with the collection of the accounts.

Full Collection Service: A commission rate shall be paid to Pacific Credit Services for services rendered on principal payments received by either Pacific Credit Services or the client.

Early-Out Program- Payments received within 30-days are 100% commission free Commission: 22%
Contingency- 22%
Every account placed with Pacific Credit Services receives 1 letter and 1 phone call by a live agent during the first 30 days (Early-Out Program).

Accounts that have not been paid within the 30 days will roll to Direct Collections by the Skip Trace Department for more attempts.

Provides detailed reports:- Early-Out Notice- Detailed Listing Report-Detailed Report Listing of Closed Accounts- Collection Analysis Report- Account Placement Acknowledgement Report-Trust Report Early-Out Program- Commission Free ifpayment is received within 30 days No additional commision fees for Legal Services
$22,000.00 $22,000.00 $22,000.00 $22,000.00 $22,000.00 $110,000.00 Ability RecoveryServices
Partners, Managers, Supervisory, Other…
Fee: All fees are contigency based included in the commissions, and no other fees associated with the collection of the accounts.

Full Collection Service:A commission rate shall be paid to Ability Recovery Services for services rendered on principal payments received by either Ability Recovery Services or the client.

Commission: 17.5%
Contingency-32.5%(15% additional to the regular commision fee) Provide training for all applicable City employees for set up and onboarding if needed.

All collection activity including mail, letters, phone calls, skip ktracing and credit reporting.

All programming for custom reporting needs of the City.

Data coversion
Daily, weekly, and monthly financial remittance ad collection datat as required Access to Ability's collection system and records
Promotional and informational communications
Credit Bureau Reporting
Dedicated Collectors
Family Owned
Prides themselves with Customer Service and building long term relationship with clients.

Research team keeps them abreast of recent trends and regulations.

Proven success in municipal and county collections. $25,000.00 $25,000.00 $25,000.00 $25,000.00 $25,000.00 $125,000.00 Commissioned Based
Legal Collection Service
Transportation: Included within the 32.5% contigency fee Out of Pocket Fees
Commissioned Based
Legal Collection Service: A commision rate shall be paid to Professional Credit Services on prindipal payments received on referred accounts that Professional Credit Services has filed a court action or has incured legal expense.

Transportation: Included within the 25% contigency fee
Commissioned Based
Legal Collection Service
Transportation: Included within the 25% contigency fee
Commissioned Based
Legal Collection Service
Transportation: Included within the 22% contigency fee
Collections VendorAttachment "A"
Sample:(Services) Sample Collections Professional CreditService Evergreen ProfessionalRecoveries Pacific Credit Services Abilility Recovery Services Standard Collections Fee 50,000 9,000.00 10,000.00 11,000.00 8,750.00 Legal Collections Fee 50,000 12,500.00 12,500.00 11,000.00 16,250.00 Number of Raters:
1 The proposal/presentation outlines an approach that is tailored based on obtaining an understanding of the City of Compton activities, operating systems, personnel and special needs. 0-5 4 5 4 5 3 4 5 4 3 4 4 3 3.33 4.33 4.33 4.00 2The proposal/presentation outlines the firm's processes for ensuring an efficient and effective process. 0-5 5 5 5 5 3 3 5 4 4 5 5 3 4.00 4.33 5.00 4.00 3The proposal showcases the firm’s commitment to providing quality services by voluntarily adhering to higher standards of quality. 0-5 5 5 5 5 3 3 5 4 3 4 5 3 3.67 4.00 5.00 4.00 4The proposal/presentation outlines the firm's processes for ensuring on-going access to qualified staff. 0-5 5 5 5 5 3 4 5 4 3 4 5 4 3.67 4.33 5.00 4.33 5Is the process clearly understood? 0-5 5 5 5 5 3 4 5 4 4 5 5 3 4.00 4.67 5.00 4.0024 25 24 25 15 18 25 20 17 22 24 16 18.67 21.67 24.33 20.33 6The proposal/presentation highlights the firms’ commitment to professional training and staff continuity. 0-5 5 5 5 5 4 4 5 4 3 4 5 3 4.00 4.33 5.00 4.00 7The proposal/presentation outlines qualifications, industry experience, and strengths for all partners. 0-5 5 5 5 5 3 4 5 4 4 4 5 5 4.00 4.33 5.00 4.67 8 The proposal/presentation specifies the strengths of assigned team members as well as their years of prior experience in the area of Municipal Government engagement. 0-5 5 5 5 5 3 4 5 5 4 4 4 5 4.00 4.33 4.67 5.00 9The proposal/presentation identifies how the firm will comply with applicable regulations and trends 0-5 5 5 5 5 3 4 4 4 4 3 4 4 4.00 4.00 4.33 4.33 10The proposal/presentation provides the firm's background, client base, licensing information and years in business. 0-5 5 5 5 5 3 4 5 5 5 4 5 4 4.33 4.33 5.00 4.67 25 25 25 25 16 20 24 22 20 19 23 21 20.33 21.33 24.00 22.67 11It is evident that the firm understands our business and our challenges. The firm is committed to working with the City beyong this engagement. 0-5 5 5 5 5 3 5 5 5 5 4 5 4 4.33 4.67 5.00 4.67 12Will the firm provide regular communication with staff 0-5 5 5 5 5 4 4 5 5 5 5 5 0 4.67 4.67 5.00 3.33 13Does the firm provide recommendations for more efficiency and effectiveness. 0-5 5 5 5 5 5 5 5 5 3 3 4 1 4.33 4.33 4.67 3.67 14Does the firm offer sufficient staff training services 0-5 5 5 5 5 4 4 4 4 4 5 5 0 4.33 4.67 4.67 3.00 15Does the firm value professional customer service while attempting to collect debt? 0-5 5 5 5 5 3 4 5 5 4 5 5 4 4.00 4.67 5.00 4.6725 25 25 25 19 22 24 24 21 22 24 9 21.67 23.00 24.33 19.33 Ability Recovery ProfessionalCredit Svc Evergreen Prof. Recoveries Pacific Credit Svc Ability Recovery ProfessionalCredit Svc Evergreen Prof. Recoveries Pacific Credit Svc Ability Recovery ProfessionalCredit Svc Evergreen Prof. Recoveries Pacific Credit Svc Ability Recovery ProfessionalCredit Svc Evergreen Prof. Recoveries Pacific Credit Svc 16 The proposal/presentation clearly provides a framework for the scope, timing, steps and resources to complete the engagement. 0-5 5 5 5 5 3 4 5 5 4 4 4 3 4.00 4.33 4.67 4.33 17The proposal specifies the price for the engagement and how it will be billed. 0-5 5 5 5 5 3 5 5 5 4 4 4 4 4.00 4.67 4.67 4.67 18The proposal addresses all items requested by us whether verbally or in the RFP 0-5 5 5 5 5 4 4 5 4 4 4 4 4 4.33 4.33 4.67 4.33 19The proposed fee is reasonable based on the experience, unique value and knowledge the firm brings to the engagement. 0-5 2 5 3 4 3 4 4 4 3 4 4 5 2.67 4.33 3.67 4.33 20Provision of 3 minimum references 0-5 5 5 5 5 3 5 5 5 5 3 3 5 4.33 4.33 4.33 5.0022 25 23 24 16 22 24 23 20 19 19 21 19.33 22.00 22.00 22.67 100 96 100 97 99
Team Knowledge and Experience
Approach to Service Quality
Sharon
Evergreen Prof. Recoveries
Total Interview
Total Scope and Pricing of the Engagement
Proposal Criteria
Scope and Pricing of the Engagement
Total Approach to Service Quality
Total Knowledge and Experience
Total Value Added Services
Ability Recovery ProfessionalCredit Svc Pacific Credit Svc Value Added Services Ability Recovery ProfessionalCredit Svc Evergreen Prof. Recoveries Pacific Credit Svc Ability Recovery ProfessionalCredit Svc Evergreen Prof. Recoveries Pacific Credit Svc Ability Recovery ProfessionalCredit Svc Evergreen Prof. Recoveries Pacific Credit Svc 66 82 97 89
Curtis
Ability Recovery ProfessionalCredit Svc Evergreen Prof. Recoveries Pacific Credit Svc Ability Recovery ProfessionalCredit Svc Evergreen Prof. Recoveries Pacific Credit Svc Ability Recovery ProfessionalCredit Svc Evergreen Prof. Recoveries Pacific Credit Svc 78 82 90 67
Sonia
Ability Recovery ProfessionalCredit Svc Evergreen Prof. Recoveries Pacific Credit Svc Ability Recovery ProfessionalCredit Svc Evergreen Prof. Recoveries Pacific Credit Svc Collections Vendor ServicesRating Sheet For:
3 Ability Recovery ProfessionalCredit Svc Evergreen Prof. Recoveries Pacific Credit Svc

80.00 88.00 94.67 85.00
Average Score
Ability Recovery ProfessionalCredit Svc Evergreen Prof. Recoveries Pacific Credit Svc Ability Recovery ProfessionalCredit Svc Evergreen Prof. Recoveries Pacific Credit Svc

PROFESSIONAL SERVICES AGREEMENT

BETWEEN

CITY OF COMPTON
AND

EVERGREEN PROFESSIONAL RECOVERIES, INC
This AGREEMENT is entered by and between the CITY OF COMPTON, a municipal corporation of the State of California (hereinafter referred to as “City”) located at 205 South Willowbrook Avenue, Compton, California 90220, and
EVERGREEN PROFESSIONAL RECOVERIES, INC . (hereinafter referred to as “Consultant”), located at 12100 NE 195TH ST SUITE 125 BOTHELL, WA 98011 RECITALS:

WHEREAS, the City has determined that it will be prudent to engage the services of a professional and experienced Consultant to assist with Collection Agency Services for past due accounts and debts owed to the City; and
WHEREAS, Consultant warrants that it is specifically trained, experienced, competent, and has the resources to provide such services which will be required by this Agreement; and WHEREAS, Consultant is willing to render such professional services subject to the terms and conditions set forth in this Agreement.

NOW, THEREFORE, Consultant and City, for the consideration, terms and conditions herein described, mutually agree as follows:

AGREEMENT:

1. SCOPE OF SERVICES TO BE RENDERED BY CONSULTANT
It is the mutual understanding of the parties that the Consultant shall perform and be responsible for rendering consulting services regarding Collection Agency Services for past due accounts and debts owed to the City. Professional services shall include, but not be limited to, the Task(s) indicated below:

Task(s) – COLLECTION AGENCY SERVICES:

EVERGREEN PROFESSIONAL RECOVERIES, INC is pleased to partner with Compton to deliver a comprehensive suite of services tailored to meet the Client's needs for Collection Agency Services to collect past due accounts and debts owed to the City. Below is an outline of the specific services we will be providing:

Collection agency Services for Past due accounts and debts owed to the City including:
• Maintain complete records of each account referred by the city, including all correspondence, documents, accounting records, transactions, working papers, and a detailed log of all collection records.
• Handle and process all customer calls for the assigned accounts.

Professional Services Agreement – EVERGREEN PROFESSIONAL RECOVERIES, INC Consulting Services for COLLECTION AGENCY SERVICES
2 • Notify, and obtain permission from the City of payment plan arrangements with customers. • Advise the city of any accounts deemed uncollectible and provide information regarding the determination.
• File bankruptcy claims on behalf of the City, as necessary. • In accordance to Section 701a of the City Charter, all public funds must go to the Treasurer’s Department. Evergreen Professional Recoveries Inc. shall follow the guidelines set by the City Charter during the collections process of any and all funds. • Evergreen Professional Recoveries Inc. shall return specific accounts that have not been collected after six months of assignment, unless there is a payment plan, litigation has commenced, or the contractor has obtained a judgment.
• Evergreen Professional Recoveries Inc. shall. shall collect outstanding fees and other delinquent charges or accounts owed to the City of Compton as may be requested by the City of Compton from time to time during the contract period, including but not limited to:
(1) Past due water, sewer, and municipal waste related charges (2) Past Due Alarm Fees
(3) Damage to City property
(4) Other debts that may come due to the City
• Evergreen Professional Recoveries Inc. shall maintain an audit trail of all transactions. • Evergreen Professional Recoveries Inc. shall initiate standard accepted debt collection procedures within 10 days from the date of assignment.
• Evergreen Professional Recoveries Inc. shall report, correct and/or delete credit bureau reporting and provide evidentiary documentation to the City Controller or designee. • Evergreen Professional Recoveries Inc. shall comply with Federal, State and Local regulations and laws regarding fair debt collection practices. Collection shall be conducted through the highest professional, ethical and lawful means with the highest level of customer service. • Evergreen Professional Recoveries Inc. shall maintain a professional customer service image in working with City customers and debtors.
• Evergreen Professional Recoveries Inc. shall maintain separate files for each account for audit purposes. Audit of any and all assigned records is at the discretion of the City. • Evergreen Professional Recoveries Inc. shall maintain confidentiality on all accounts assigned by the City.
• Evergreen Professional Recoveries Inc. shall immediately return of all accounts still pending upon termination of contract by any party.
• Evergreen Professional Recoveries Inc. shall be responsible for all costs associated with this service.
• Evergreen Professional Recoveries Inc. shall bear all expenses and costs incurred to effect collection of any account referred to them by the City, including, but not limited to, litigation and transportation.
• Evergreen Professional Recoveries Inc. shall provide a confirmation of all accounts entered into their collection system to the City within ten (10) days after receipt from the City. This report should include debtor’s name, address, account number and balance due. • Evergreen Professional Recoveries Inc. shall provide monthly reports no later than ten (10) days after the end of the month. This report should include, but not be limited to, the following:
a. Status of each account with customer pertinent information b. Monthly status of accounts, including assigned and current balance, number of open accounts and number of returned accounts.
c. Amount of debt recoveries during the month
d. Percentage of recovery in comparison to the total dollar value of assigned accounts Professional Services Agreement – EVERGREEN PROFESSIONAL RECOVERIES, INC Consulting Services for COLLECTION AGENCY SERVICES
3 e. A monthly report detailing current address and phone number of debtors who have relocated
f. Credit Reporting Service Notifications
g. On as needed basis, ad hoc reports as requested including, but not limited to collections, legal actions, adjustments, updated addresses and corrections • Provide weekly reports of amounts paid by debtors (or sooner if necessary). • On a yearly basis, a report for all accounts deemed to be uncollectible, along with reasons for no collection and actions taken to attempt collection must be provided. • The Firm must obtain the City’s written approval for any payment. • All costs for required permits, licenses and taxes shall be borne by Evergreen Professional Recoveries Inc.
• Evergreen Professional Recoveries Inc. must be currently licensed to perform the scope of services in conformity with municipal, state or federal law, if licensure is required.
• Evergreen Professional Recoveries Inc. shall must immediately notify the City of any breach of information and notify the
Consultant acknowledges that in entering into this Agreement, the City is relying on the Consultant's special skills and experience to do and perform the services in accordance with best standards of professional practice. While performing the services, Consultant agrees to perform all the said work and furnish all the necessary materials at its own cost and expense necessary to complete said services in a manner consistent with the degree of care and skill ordinarily exercised by members of the same profession which are currently practicing under similar circumstances, and to the reasonable satisfaction of the City.

Consultant services hereunder shall be performed in good, workmanlike and professional manner. Consultant shall be responsible for correcting and completing all errors and omissions related to the services provided by the Consultant for this Agreement at no additional cost to the City. “Errors” and “Omissions” for purposes of this paragraph are defined to mean a failure by the Consultant to meet the standards of its profession as set forth in the preceding paragraph.

The acceptance of the services by City does not release Consultant from these obligations.

Consultant will be responsible for employing or engaging all persons necessary to perform the services. All of Consultant's staff will be qualified by training and experience to perform their assigned tasks. Consultant will give its personal attention to the fulfillment of the provisions of this Agreement by all of its employees and subcontractors, if any, and will keep the services under its control. On demand of the City, if any employee or subcontractor of Consultant fails or refuses to carry out the provisions of this Agreement or appears to be incompetent or to act in a disorderly or improper manner, he or she will be discharged immediately from the services.

TANIA ANGEL will serve as the Project Manager and shall be primarily responsible for representing the Consultant in the performance of this Agreement.

2. Duration of Contract.Consultant agrees to commence the services provided for herein upon written Notification to Proceed from the City and to continue in a diligent and professional manner until the project is complete, or upon exhaustion of authorized funding, whichever occurs first, unless this Agreement is terminated as provided herein. The parties agree to a 5-year contract through July 1, 2029 .

Professional Services Agreement – EVERGREEN PROFESSIONAL RECOVERIES, INC Consulting Services for COLLECTION AGENCY SERVICES
4 Consultant will generally adhere to the schedule set forth within Consultant’s Proposal provided that City will grant reasonable extensions of time for the performance of the services occasioned by unusually lengthy governmental reviews of Consultant’s work product or other unavoidable delays occasioned by unforeseen circumstances; provided, further, that such unavoidable delay will not include strikes, lockouts, work stoppages, or other labor disturbances conducted by, or on behalf of, Consultant’s officers or employees.

Consultant acknowledges the importance of the City’s project schedule and agrees to put forth its best professional efforts to perform the services in a manner consistent with that schedule.

City understands, however, that Consultant’s performance must be governed by sound practices.

Consultant will work such overtime or engage such personnel and equipment as necessary to maintain the schedule, without additional compensation.

3. Compensation.The method of payment for these services will be billed on a commission basis, as identified in the Consultant’s attached/incorporated Proposal (See Exhibit A). The total price paid to the Consultant will include compensation for all work, including travel, materials, supplies, vendor services, expenses and subcontracted work. No additional compensation will be paid to the Consultant, unless there is a change in the scope of the work or the scope of the project. In the instance of a change in the scope of work or scope of the project, adjustment to the total compensation will be negotiated between the Consultant and the City.

Adjustment in the total compensation will not be effective until authorized and approved in writing by the City.

Progress payments may be made in arrears based on the percentage of work and deliverables completed by the Consultant. If Consultant fails to submit the required deliverable items according to schedule or as required by the Agreement, except for those amounts that are due and not reasonably in dispute, the City shall have the right to delay payment and/or terminate this Agreement in accordance with the provisions noted herein.

Consultant shall be reimbursed within sixty (60) days, or as promptly as fiscal procedures may permit, upon receipt by the City of itemized invoices for services completed. Invoices shall be submitted no later than 45 calendar days after the performance of work for which the Consultant is billing. Invoices shall detail the work performed on each task as applicable. Invoices shall be delivered or mailed to the City Controller’s Department at the following address: City of Compton, 205 South Willowbrook Avenue, Compton, California 90220.

The Consultant is required to comply with all federal, state and local laws and ordinances applicable to the services provided under this Agreement.

As full and complete compensation for performance of all the services performed by the Consultant as described in Section 1 of this Agreement, City shall pay, and Consultant agrees to accept the commission, which the estimated amount from services is not-to-exceed the sum of One Hundred Twelve Thousand, Five Hundred Dollars ($112,500).

In the event of termination, the Consultant shall be entitled to compensation for the undisputed reasonable value of services performed to the effective date of termination, including any non-cancellable obligations incurred prior to termination; provided, however, that the City may condition payment of such compensation upon the Consultant’s delivery to the City of any and all City property, documents, records, materials and work product associated with the performance of this Agreement.

Professional Services Agreement – EVERGREEN PROFESSIONAL RECOVERIES, INC Consulting Services for COLLECTION AGENCY SERVICES
5 4. Ownership of Materials.All product produced by Consultant or its agents, employees, and subcontractors pursuant to this Agreement (the “Work Product”) is the property of City. In the event this Agreement is terminated, all Work Product produced by the Consultant or its agents, employees, and subcontractors pursuant to this Agreement, will be delivered to City pursuant to the termination clause of this Agreement. Consultant will have the right to make one (1) copy of the Work Product for Consultant’s records.

The Work Product may be used by City and its agents, employees, representatives, and assigns, in whole or in part, or in modified form, for all purposes the City may deem advisable, without further employment of or payment of any compensation to the Consultant; however, if this Agreement is terminated for any reason prior to the completion of the Project and if under such circumstances City uses, or engages the services of and directs another consultant to use, the Work Product, City agrees to hold the Consultant harmless from any and all liability, costs, and expenses relative to claims arising out of matters and/or events which occur subsequent to the termination of this Agreement as a result of causes other than the fault or negligence of the Consultant, or anyone for whose acts it is responsible, in preparation of the Work Product.

Consultant will not be responsible for deficiencies solely attributable to modifications of the Work Product performed by others, or that arise from use of the Documents in connection with a project or site other than that shown in the Work Product.

5. Independent Contractor Status.Consultant, its officers, employees, subconsultants, subcontractors, agents and volunteers (collectively hereinafter the “Consultant”), will perform the services in Consultant's own way and pursuant to this Agreement as an independent contractor and in pursuit of the Consultant's independent calling, and not as an employee of City. The persons used by the Consultant to provide the services under this Agreement will not be considered employees of City for any purposes. Neither the City, nor any of its officers, employees, agents or volunteers shall have any control over the conduct of the Consultant, except as expressly set forth in this Agreement. Consultant expressly warrants that while engaged in carrying out and complying with any terms and conditions of this Agreement that Consultant shall not, at any time or in any manner, represent that Consultant is in any manner an officer, employee, agents or volunteer of the City. Consultant shall obtain no rights to retirement, health care or any other benefit that accrue to City officials, officers, or employees. Consultant expressly waives any claim to such rights.

The payment made to Consultant pursuant to the Agreement will be the full and complete compensation to which the Consultant is entitled. City will not make any federal or state tax withholdings on behalf of Consultant or its agents, employees or subcontractors. City will not pay any workers' compensation insurance, retirement contributions or unemployment contributions on behalf of Consultant or its employees or subcontractors. Consultant agrees to indemnify and pay City within thirty (30) days for any tax, retirement contribution, social security, overtime payment, unemployment payment or workers' compensation payment which City may be required to make on behalf of Consultant or any agent, employee, or contractor of Consultant for work done under this Agreement. At the City’s election, City may deduct the amounts paid pursuant to this Section, from any balance owing to Consultant.

6. Successors, Assignment and Delegation.City and the Consultant each binds themselves, their partners, successors, assignees and legal representatives to the other hereto and to partners, successors, assignees and legal representatives of such other party in respect to all covenants, agreements and obligations contained in this Agreement.

Professional Services Agreement – EVERGREEN PROFESSIONAL RECOVERIES, INC Consulting Services for COLLECTION AGENCY SERVICES
6 The expertise and experience of Consultant are material considerations for this Agreement. Consultant shall not assign or transfer any interest in this Agreement or the performance of any of Consultant’s obligations under this Agreement without the prior written consent of the City. Any attempted assignment or transfer of any of Consultant’s rights, duties or obligations arising under this Agreement shall be null and void.

7. Nondiscriminatory Employment Practices. During the performance of this Agreement, the Consultant agrees not to discriminate against any employee or applicant for employment because of race, sex, creed, color, religion, age, sexual orientation, marital status, national origin, political affiliation, handicap or belief in accordance with requirements of City, State or Federal laws and regulations. Consultant will take affirmative action to ensure that applicants are employed, and that employees are treated during employment without regard to their race, sex, creed, color, religion, age, sexual orientation, marital status, national origin, political affiliation, handicap or belief in accordance with requirements of City, State or Federal laws and regulations. Such actions shall include, but not be limited to the following: employment, upgrading, demotion or transfer; recruitment or recruitment advertising; layoffs or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship.

The Consultant agrees to post in conspicuous places, available to employees, applicants and subcontractors for employment, notices setting forth the provisions of this non-discrimination clause.

In the event of the Consultant’s non-compliance with the non-discrimination clause of this Agreement, this Agreement may be immediately canceled, terminated or suspended in whole or in part.

8. Subcontracting.Consultant's services are unique and personal. Except as may be specified in Consultant’s Proposal and agreed to by the City, Consultant will not subcontract any portion of the services without prior written approval of City Manager or his/her designee. If Consultant subcontracts any of the services, Consultant will be fully responsible to City for the acts, errors and omissions of Consultant's subcontractor and of the persons either directly or indirectly employed by the subcontractor, as Consultant is for the acts and omissions of persons directly employed by Consultant. Nothing contained in this Agreement will create any contractual relationship between any subcontractor of Consultant and City. Consultant will be responsible for payment of subcontractors. Consultant will bind every subcontractor and every subcontractor of a subcontractor by the terms of this Agreement applicable to Consultant's work unless specifically noted to the contrary in the subcontract and approved in writing by City.

9. Other Consultants.The City reserves the right to employ other consultants in connection with the services.

10. Indemnification.Consultant shall indemnify and save harmless the City, its officials, officers, employees, agents and volunteers (collectively hereinafter the “City”), against any and all damages to property or injuries to or death of any person or persons, including property and employees or agents of the City and shall indemnify and save the City from any and all liability and expense including reimbursement of reasonable defense costs and legal fees, and claims, demands, suits, actions or proceedings of any kind or nature, including Workers’ Compensation claims, of or by anyone whomsoever to the extent resulting from or arising out of the negligent, reckless or willful misconduct for the Consultant, its officers, employees, subconsultants, subcontractors or agents in the performance of the duties undertaken by Consultant pursuant to this Agreement.

Professional Services Agreement – EVERGREEN PROFESSIONAL RECOVERIES, INC Consulting Services for COLLECTION AGENCY SERVICES
7 This indemnification and hold harmless obligation do not extend to claims arising out of the negligence or willful misconduct of the City.

11. Insurance.Without limiting the Consultant’s indemnification of the City, Consultant shall obtain and maintain, at its cost and expense, for the duration of the Agreement and any and all amendments, insurance against claims for injuries to persons or damage to property which may arise out of or in connection with performance of the services by Consultant or Consultant’s agents, representatives, employees or subcontractors. The insurance will be obtained from an insurance carrier admitted and authorized to do business in the State of California. Such evidence shall specifically identify this Agreement and shall contain express conditions that the City is to be given written notice at least thirty (30) days in advance of any termination or implementation of a reduction of limits or material change of insurance coverage as specified herein. Failure on the part of the Consultant to procure or maintain insurance shall constitute a material breach upon which the City may immediately terminate this Agreement. All insurance required hereunder shall be primary with respect to any insurance maintained by the City.

Coverages and Limits. Consultant will maintain the types of coverages and minimum limits indicated below, unless the Risk Manager or City Manager, in consultation with the City Attorney approves a lower amount. These minimum amounts of coverage will not constitute any limitations or cap on Consultant's indemnification obligations under this Agreement. City, its officers, agents, volunteers and employees make no representation that the limits of the insurance specified to be carried by Consultant pursuant to this Agreement are adequate to protect Consultant. The coverage will contain no special limitations on the scope of its protection to the above-designated insureds except for Workers Compensation and Professional Liability (i.e. errors and omissions insurance). Consultant will obtain occurrence coverage, excluding Professional Liability, which will be written as claims-made coverage. If Consultant believes that any required insurance coverage is inadequate, Consultant will obtain such additional insurance coverage, as Consultant deems adequate, at Consultant's sole expense.

11.1 Commercial General Liability Insurance. $1,000,000 combined single- limit per occurrence for bodily injury, personal injury and property damage. If the submitted policies contain aggregate limits, general aggregate limits will apply separately to the work under this Agreement or the general aggregate will be twice the required per occurrence limit.

11.2 Automobile Liability. $1,000,000 combined single-limit per accident for bodily injury and property damage. Consultant is exempt from this requirement. Consultant conducts business exclusively in WA State which does not have an automobile insurance policy requirement for employers. In lieu of providing an Automobile Liability Policy, Consultant has provided an Insurance Declaration Affidavit certifying Consultant does not own any automobiles or utilize automobiles to conduct business. Consultant will notify the City immediately if they plan to use automobiles to conduct business on behalf of the City and obtain the proper coverage.

11.3 Workers' Compensation and Employer's Liability. Workers' Compensation limits as required by the California Labor Code and Employer's Liability limits of $1,000,000 per accident for bodily injury. Workers' Compensation and Employer's Liability insurance will not be required if Consultant has no employees and provides, to City's satisfaction, a declaration stating this. Consultant is exempt from this requirement. Consultant conducts business exclusively in WA State which has a privately funded Workers Compensation program.

In lieu of providing a Workers Compensation and Liability policy, Consultant has provided a copy of their Certificate of Worker’s Compensation Coverage certificate. Consultant will notify the City immediately if they hire employees within the state of California.

Professional Services Agreement – EVERGREEN PROFESSIONAL RECOVERIES, INC Consulting Services for COLLECTION AGENCY SERVICES
8 11.4 Professional Liability. Errors and omissions liability appropriate to Consultant’s profession with limits of not less than $1,000,000 per claim. The coverage shall also provide an extended two (2) year period commencing upon termination or cancellation of this Agreement.

Endorsements. For Commercial General Liability Insurance and Automobile Liability Insurance, Consultant will ensure that the policies are endorsed to name the City of Compton and its respective elected and appointed officers, officials, employees, agents and volunteers as “additional insureds” with respect to liability arising out of the activities of the Consultant. Any failure to comply with provisions of the policies shall not affect coverage provided to the City.

Prior to City's execution of this Agreement, Consultant shall furnish certificates of insurance and endorsements to City.

Waiver of Subrogation. The policies shall contain a waiver of subrogation for the benefit of City.

12. Permits and Licenses.Consultant, at its own expense, during the term of this Agreement, shall obtain and maintain all appropriate business and professional permits, licenses and certificates that may be required in connection with the performance of services by the Consultant. Upon execution of this Agreement, the Consultant shall show evidence of a business license permit in conformance with Section 9-1.2 of the Compton Municipal Code.

13. Maintenance of Records. Consultant will maintain complete and accurate records with respect to costs incurred under this Agreement. All records will be clearly identifiable. Consultant will allow a representative of the City, during normal business hours to examine, audit, and make transcripts or copies of records and any other documents created pursuant to this Agreement.

Consultant will allow inspection of all work, data, documents, proceedings, and activities related to the Agreement for a period of three (5) years, or longer if required by law, from the date of final payment under this Agreement.

14. Warranties.Consultant represents and warrants (i) that Consultant has no obligations, legal or otherwise, inconsistent with the terms of this Agreement or with Consultant’s undertaking this relationship with City, (ii) that the performance of the services called for by this Agreement do not and will not violate any applicable law, rule or regulation or any proprietary or other right of any third party, (iii) that Consultant will not use in the performance of his responsibilities under this Agreement any confidential information or trade secrets of any other person or entity and (iv) that Consultant has not knowingly entered into or will enter into any agreement (whether oral or written) in conflict with this Agreement.

15. Federal and State Withholding Taxes.Consultant shall be responsible for paying when due all federal and state income withholding taxes for all earning under this Agreement.

Consultant agrees to indemnify City for any claims, costs, losses, fees, penalties, interest, or damages suffered by City resulting from Consultant’s failure to comply with this provision.

16. General Compliance with Laws. Consultant will keep fully informed of federal, state and local laws and ordinances and regulations which in any manner affect those employed by Consultant, or in any way affect the performance of the services by Consultant. Consultant will at all times observe and comply with these laws, ordinances, and regulations and will be responsible for the compliance of the services with all applicable laws, ordinances and regulations.

Professional Services Agreement – EVERGREEN PROFESSIONAL RECOVERIES, INC Consulting Services for COLLECTION AGENCY SERVICES
9 17. Termination.In the event of the Consultant's failure to prosecute, deliver, or perform the services, after giving written notice of default and two (2) days to correct the same, then, in addition to any other remedies, City may terminate this Agreement for nonperformance by notifying Consultant in writing. Consultant has five (5) business days to deliver any documents owned by City and all work in progress to City address contained in this Agreement. City will make a determination of fact based upon the work product delivered to City and of the percentage of work that Consultant has performed. Based upon that finding City will determine the final payment of the Agreement. In the event City elects to terminate, City will have the right to immediate possession of all Work Product and work in progress prepared by Consultant, whether located at the project site, at Consultant's place of business, or at the offices of a subconsultant.

The City’s obligation is payable only from funds appropriated for the purpose of this Agreement. All funds for payments after the end of the current fiscal year are subject to the City’s legislative appropriation for this purpose. In the event this Agreement extends into succeeding fiscal year periods and the City Council does not allocate sufficient funds for the next succeeding fiscal year payments, this Agreement shall terminate immediately upon written notice from the City.

Either Party, upon tendering thirty (30) calendar days written notice to the other Party, may terminate this Agreement for convenience. In this event and upon request of City, Consultant will assemble the work product without charge and put it in order for proper filing and closing and deliver it to City. Consultant will be paid for work performed to the termination date; however, the total will not exceed the lump sum fee payable under this Agreement. City will make the final determination as to the portions of tasks completed and the compensation to be made.

18. Covenants Against Contingent Fees. Consultant warrants that Consultant has not employed or retained any company or person, other than a bona fide employee working for Consultant, to solicit or secure this Agreement, and that Consultant has not paid or agreed to pay any company or person, other than a bona fide employee, any fee, commission, percentage, brokerage fee, gift, or any other consideration contingent upon, or resulting from, the award or making of this Agreement. For breach or violation of this warranty, City will have the right to terminate this Agreement for nonperformance, or, in its discretion, to deduct from the Agreement price or consideration, or otherwise recover, the full amount of the fee, commission, percentage, brokerage fees, gift, or contingent fee.

19. Claims And Lawsuits. By signing this Agreement, Consultant agrees that any Agreement claim submitted to City must be asserted as part of the Agreement process as set forth in this Agreement and not in anticipation of litigation or in conjunction with litigation.

Consultant acknowledges that if a false claim is submitted to City by Consultant, it may be considered fraud and Consultant may be subject to criminal prosecution. Consultant acknowledges that California Government Code sections 12650 et seq., the False Claims Act, applies to this Agreement and, provides for civil penalties where a person knowingly submits a false claim to a public entity. These provisions include false claims made with deliberate ignorance of the false information or in reckless disregard of the truth or falsity of information. If City seeks to recover penalties pursuant to the False Claims Act, it is entitled to recover its litigation costs, including attorney's fees. Consultant acknowledges that the filing of a false claim may subject Consultant to an administrative proceeding as the result of which Consultant may be prevented to act as a Consultant on any public work or improvement for a period of up to five (5) years. Consultant acknowledges debarment by another jurisdiction is grounds for City to terminate this Agreement.

Professional Services Agreement – EVERGREEN PROFESSIONAL RECOVERIES, INC Consulting Services for COLLECTION AGENCY SERVICES
10 20. Certifications.The Consultant, under penalty of perjury, certifies that, except as noted below, he/she or any other person associated therewith in the capacity of owner, partner, director, officer, manager:
is not currently under suspension, voluntary exclusion, or determination of ineligibility by any Federal, State or local agency;
• has not been suspended, voluntarily excluded or determined ineligible by any Federal, State or local agency within the past 3 years;
• has not been indicted, convicted, or had a civil judgment rendered against he/she/it by a court of competent jurisdiction in any matter involving fraud or official misconduct in connection with obtaining, attempting to obtain, or performing a public (Federal, state or local) transaction or contract under a public transaction; violation of Federal or state antitrust statutes or commission of embezzlement, theft, forgery, bribery, falsification or destruction of records, making false statements, or receiving stolen property within the past 3 years; and
are not presently indicted or otherwise criminally or civilly charged by a governmental entity (Federal, State or local) with commission of any of the offenses enumerated in the preceding paragraph; and
have not had one or more public transactions (Federal, State or local) terminated for cause or default within the past 3 years.

If there are any exceptions to this certification, insert the exceptions in the following space. [Supply exceptions on separate page]
For any exception noted above, indicate below to whom it applies, initiating agency, and dates of action.
[Attach separate page]
This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction. The above certifications are part of this contract. Signing this agreement on the signature portion thereof shall also constitute signature of the above Certifications.
______________________________________ ___________________ Monica Severtsen, President (Date)

21. Jurisdiction, Venue and Governing Law. Any action at law or in equity brought by either of the Parties for the purpose of enforcing a right or rights provided for by this Agreement will be tried in a court of competent jurisdiction in the County of Los Angeles, State of California, and the Parties waive all provisions of law providing for a change of venue in these proceedings to any other county. This agreement will be governed by the laws of the State of California.

22. Testimony.Consultant will testify at City's request if litigation is brought against City in connection with Consultant's services under this agreement. Unless the action is brought by Consultant, or is based upon Consultant's actual or alleged negligence or other wrongdoing, City, upon prior written agreement with Consultant will compensate Consultant for time spent in Professional Services Agreement – EVERGREEN PROFESSIONAL RECOVERIES, INC Consulting Services for COLLECTION AGENCY SERVICES
11 preparation for testimony, testimony, and travel at Consultant's standard hourly rates at the time of actual testimony.

23. Waivers.The waiver by either Party of any breach or violation of any term, covenant, or condition of this Agreement or of any applicable law will not be deemed to be a waiver of such term, covenant, condition or law or of any subsequent breach or violation of same or of any other term, covenant, condition or law. The acceptance by either Party of any fee or other payment which may become due under this Agreement will not be deemed to be a waiver of any preceding breach or violation by the other Party of any term, covenant, or condition of this Agreement or any applicable law.

24. Authority.The individuals executing this Agreement and the instruments referenced in it on behalf of Consultant each represent and warrant that they have the legal power, right and actual authority to bind Consultant to the terms and conditions of this Agreement.

25. Severability.If any term, provision, condition or covenant of this Agreement or its application to any party or circumstances shall be held, to any extent, invalid or unenforceable, the remainder of this Agreement, or the application of the term, provision, condition or covenant to persons or circumstances other than those as to whom or which it is held invalid or unenforceable, shall not be affected, and shall be valid and enforceable to the fullest extent permitted by law.

26. Amendments.This Agreement may be modified or amended only be written document executed by both Consultant and City’s City Manager and approved as to form by the City Attorney. Such document shall expressly state that it is intended by the parties to amend the terms and conditions of this Agreement.

27. Confidentiality. All documents, information, data, and exhibits prepared or assembled by Consultant in connection with the performance of the Services pursuant to the Agreement are confidential until released by the City to the public, and the Consultant will not make any of these documents or information available to any individual or organization not employed by the Consultant or the City without the written consent of the City before any such release.

28. Entire Agreement. This Agreement, together with any other written document referred to or contemplated by it embody the entire Agreement and understanding between the parties relating to the subject matter of it. The City Manager is authorized, in consultation with the City Attorney, to agree to non-material amendments to this Agreement. Neither this Agreement nor any of its provisions may be amended, modified, waived or discharged except in a writing signed by both parties.

29. Notices.Any notices required or permitted under this Agreement shall be effective when delivered in person; and effective one (1) business day after delivery by facsimile transmission; and effective five (5) days after mailing by U.S. Mail, postage prepaid and properly addressed as follows:

TO CONSULTANT: EVERGREEN PROFESSIONAL RECOVERIES, INC
PO BOX 666
BOTHELL, WA 98041
Attn: TANIA ANGEL, PROJECT MANAGER
800-241-1305 X 1270 OR 425-939-1270
Professional Services Agreement – EVERGREEN PROFESSIONAL RECOVERIES, INC Consulting Services for COLLECTION AGENCY SERVICES
12 TO CITY: CITY OF COMPTON
205 South Willowbrook Avenue
Compton, California 90220
Attn: Sharon Rahban Navizadeh, City Controller
City Controller Department
(310) 605-5678
Note: A copy of any notice provided to the President shall also be provided to: City Manager, 205 South Willowbrook Avenue, Compton, California 90220.

30. Miscellaneous.No provision of this Agreement is to be interpreted for or against either party because that party or that party’s legal representative drafted such provision.

Should either party hereto, or any representative, successor or assignee of either party hereto, resort to litigation to enforce the provisions of this Agreement, the party or parties prevailing in such litigation shall be entitled, in addition to such other relief as may be granted, to recover its or their reasonable attorney’s fees and costs in such litigation from the party or parties against whom enforcement is sought.

IN WITNESS WHEREOF, Consultant has executed this Agreement, and the City, by its City Manager, who is authorized to do so, has executed this Agreement.

EVERGREEN PROFESSIONAL RECOVERIES, INC.

Dated: _______________ By ___________________________________ Monica Severtsen, President

CITY OF COMPTON
Recommended for Approval:

By __________________________________ Dated: ______________ Sharon Rahban Navizadeh
City Controller
Approved by:

Dated: _______________ By _________________________________ Willie A. Hopkins Jr., City Manager
Approved as to form:

By _________________________________ Dated: ______________ Eric Perrodin, City Attorney
Professional Services Agreement – EVERGREEN PROFESSIONAL RECOVERIES, INC Consulting Services for COLLECTION AGENCY SERVICES
13 ATTEST:

Dated: _______________ By __________________________________ Vernell McDaniel, City Clerk
Professional Services Agreement – EVERGREEN PROFESSIONAL RECOVERIES, INC Consulting Services for COLLECTION AGENCY SERVICES
14 EXHIBIT A
This pricing is good until July 30, 2029

July 16, 2024
TO: HONORABLE MAYOR AND COUNCIL MEMBERS
FROM: CITY MANAGER
SUBJECT: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COMPTON RESCINDING RESOLUTION NO. 25,001 AND RATIFYING THE

MAXIMUM APPROVAL LEVEL AUTHORIZED FOR THE CITY
MANAGER’S SINGLE TRANSACTION LIMIT INCREASING THE LIMIT FROM $25,000 TO $75,000, AND HIS EMERGENCY SPENDING LIMIT TO $200,000 AND AUTHORIZING FULL SPENDING AUTHORITY IN THE

EVENT OF AN EMERGENCY OR DISASTER DURING THE MONTH OF
AUGUST

SUMMARY
This resolution establishes a single transaction limit for the City Manager of $75,000 (previously $25,000) or less, and a single transaction limit of $200,000 (previously $75,000) for purchases of urgent necessity for the preservation of life, health, property, or fiscal stability, and, rescinds Resolution No. 25,001. This resolution will also establish full spending authority for the City Manager during the month of August when council is out of session.

BACKGROUND
On April 23, 2019, the City Council adopted Resolution No. 25,001 revising the City’s policies and procedures for the approval of purchase orders, budgetary transfers, and contracts, and increasing the City Manager’s maximum approval level of expenditures.

Per Resolution No. 25,001, the single transaction limit established for the City Manager that would not require adoption by a separate resolution of the City Council is $25,000 or less. Additionally, the same Resolution No. 25,001 also establishes a single transaction limit of $75,000 for the City Manager if the purchase is of urgent necessity for the preservation of life, health, property or fiscal stability. Resolution No. 25,001 is attached.

Due to inflation eroding the purchasing power of these limitations, the existing limitations frequently create operational issues and cause delays in conducting routine business matters. Purchase of supplies and materials are often delayed for weeks as a result.

These issues often create obstacles in staff’s attempts to create efficiencies in service delivery to the community.

Full spending authority is being requested due to the council being out of session for the month of August, in order to continue providing services to the community. Historically items have had to be tabled and or held during the month of August which has impacted

25.25. Staff Report – Rescinding Resolution No. 25,001 and Increasing the City Manager’s Maximum Approval Level of Expenditures June 14, 2022, Page 2
the City’s business relationships and delayed much needed repairs, enhancements, payments, etc. The full spending authority will only be exercised in the event of an extreme emergency, or disaster (natural or otherwise). Council will receive weekly reporting of any expenditures that have been authorized outside of the established limits of $75,000 for single transactions and $200,000 for urgent necessity.

Proposed spending limits of $75,000 for a single transaction and $200,000 for emergency spending authority are in-line with the City Manager’s spending limits of cities in this region.

STATEMENT OF THE ISSUE
The normal conduct of City business has created organizational needs relative to the City Manager’s spending authority limits and needs exceeding his existing spending limits of $25,000 per single transaction, and $75,000 for purchases of urgent necessity. Therefore, staff is requesting to rescind the prior resolution No. 25,001, and to adopt a new resolution with the similar terms as resolution No. 25,001, however to more clearly indicate that the single transaction limit for the City Manager should be $75,000, and also to increase the purchase amount for purchases of urgent necessity to $200,000. Staff has deemed that the updated amounts are reasonable, and will support the purchases necessary for the proper conduct of the city’s business.

FISCAL IMPACT
This resolution will solely increase the spending limit authorized for the City Manager.

There is no fiscal impact for adoption of this resolution. The spending limit will increase to $75,000 for single transactions, and to $200,000 for purchases of urgent necessity.

RECOMMENDATION
The City Manager’s Office recommends that City Council adopt this resolution.

WILLIE A. HOPKINS, Jr.

CITY MANAGER
RESOLUTION NO.___________

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COMPTON RESCINDING RESOLUTION NO. 25,001 AND RATIFYING THE MAXIMUM APPROVAL LEVEL AUTHORIZED FOR THE CITY MANAGER’S SINGLE TRANSACTION LIMIT INCREASING THE LIMIT FROM $25,000 TO $75,000, AND HIS EMERGENCY SPENDING LIMIT TO $200,000 AND AUTHORIZING FULL SPENDING AUTHORITY

IN THE EVENT OF AN EMERGENCY OR DISASTER DURING THE MONTH OF AUGUST
WHEREAS, On April 23, 2019, the City Council adopted Resolution No. 25,001 revising the City’s policies and procedures for the approval of purchase orders, budgetary transfers, and contracts, and increasing the City Manager’s maximum approval level of expenditures; and
WHEREAS, Per Resolution No. 25,001, the single transaction limit established for the City Manager that would not require adoption by a separate resolution of the City Council was $25,000 or less. Additionally, the same Resolution No. 25,001 also establishes a single transaction limit of $75,000 for the City Manager if the purchase is of urgent necessity for the preservation of life, health, property or fiscal stability.; and WHEREAS, the conduct of City business relative to use of the City Manager’s spending authority is not limited to travel and emergency situations, but includes all aspects of City business activity wherein it is necessary for the City Manager to authorize transactions related to City operations on an as required and/or necessary basis; and WHEREAS, due to inflation eroding the purchasing power of these limitations, the existing limitations frequently create operational issues and cause delays in conducting routine business matters. Purchase of supplies and materials are often delayed for weeks as a result. These issues often create obstacles in staff’s attempts to create efficiencies in service delivery to the community; and
WHEREAS, this resolution will solely increase the spending limit authorized for the City Manager. There is no fiscal impact for adoption of this resolution. The spending limit will increase to $75,000 for single transactions, and to $200,000 for purchases of urgent necessity; and
WHEREAS, full spending authority is being requested due to the council being out of session for the month of August, in order to continue providing services to the community. The full spending authority will only be exercised in the event of an extreme emergency, or disaster (natural or otherwise). Council will receive weekly reporting of any expenditures that have been authorized outside of the established limits of $75,000 for single transactions and $150,000 for urgent necessity
Resolution No. ______

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF COMPTON RESOLVES AS FOLLOWS:

SECTION 1. That Resolution No. 25,001, adopted by the City Council on April 23, 2019, is hereby rescinded.

SECTION 2. That Purchase Orders do not require adoption by separate resolution of the City Council if they:
Are for an amount of $50,000 or less, however except for the purchase of materials, supplies and goods, a written contract approved as to form only by the City Attorney or special counsel to the City Council or City Manager may be required. However, if the City Attorney or special counsel fails to approve the matter “as to form,” such action by the City Attorney or special counsel shall not prevent or prohibit the contract from being signed by the City Manager; and
Are properly approved by the City Manager and/or required staff; and Are applied to an existing appropriation; or
Fulfill in whole or in part a budgeted appropriation as adopted by Council in the Combined Budget Resolution for the current fiscal year; or Are purchase orders, regardless of amount, for the City-owned utility payments (e.g. electricity, water, gas), that are applied to an existing appropriation.

SECTION 3. That the following Purchase Order Procedures are now in effect:
Purchase Orders for the same vendor, for the acquisition of related goods/services, and occurring in the same fiscal year shall be treated as one combined Purchase Order for purposes of determining if the $50,000 threshold is met.
A new addition to an existing Purchase Order shall be combined with the original Purchase Order and any previous additions to the Purchase Order for purposes of determining if the $50,000 threshold is met. Purchase Orders will not be split in order to avoid the $50,000 threshold, including splits near the cutoff between fiscal years.
A list of all Purchase Orders and Purchase additions over $5,000 issued during the previous month will be provided to the City Council by the City Controller on a monthly basis.

SECTION 4. That upon the review and approval as to form only by the City Attorney or special counsel to the City Council or City Manager, the City Manager is authorized to enter into contracts on behalf of the City, without first having City Council adoption of a separate resolution, when the total amount of compensation to be paid by the City pursuant to the contract is $50,000 or less. However, if the City Attorney or special Resolution No. ______

counsel fails to approve the matter “as to form,” such action by the City Attorney or special counsel shall not prevent or prohibit the City Manager from signing the contract. A list of such contracts entered into by the City wherein the amount of compensation to be paid is above $5,000 but below $50,000 shall be provided to the City Council by the City Manager on a monthly basis.

SECTION 5.That when faced with an urgent situation, the City Manager may authorize a purchase order of up to $200,000 without first having City Council adoption by resolution, if the purchase order is of urgent necessity for the preservation of life, health, property or fiscal stability. The City Manager, shall be recognized with full spending authority in the absence of the City Council for the month of August, when Council is out of session, to be exercised in the event of an extreme emergency, or disaster natural or otherwise.

SECTION 6. That work change orders on capital projects that are within the limits of California Public Contract Code Section 20455 (a) and (b) do not require City Council adoption by resolution. Work change orders using this section must be approved by the City Manager, in addition to any other required approval. If, in total, the work change orders on a single City project exceed $75,000 in the same fiscal year, the City Manager shall explain the work change orders at the next City Council meeting as an agenda item.

SECTION 7. That the City Manager may transfer budgeted amounts from one activity, cost center or department to another activity, cost center or department so long as they are within the same fund and do not increase the total budget authorized by City Council for that fund. A budgetary transfer that increases the total budgetary authority for the fund or between funds may only be authorized by a resolution of City Council. The administrative accounting for budgetary transfers is performed by the City Controller.

Therefore, all such transfers shall be reported to the City Council on a monthly basis by the City Controller.

SECTION 8. That a certified copy of this Resolution shall be filed in the offices of the City Clerk and with every City department and agency.

SECTION 9. That the Mayor shall sign and the City Clerk shall attest to the adoption of this Resolution.

ADOPTED this _______ day of ___________, 2024.
________________________________

MAYOR OF THE CITY OF COMPTON
Resolution No. ______

ATTEST:
____________________________________

CITY CLERK OF THE CITY OF COMPTON

STATE OF CALIFORNIA

COUNTY OF LOS ANGELES
CITY OF COMPTON: ss
I, Vernell McDaniel, City Clerk of the City of Compton, hereby certify that the foregoing Resolution was adopted by the City Council, signed by the Mayor, and attested by the City Clerk at a regular meeting thereof held on the ______ day of _____________, 2024.

That said Resolution was adopted by the following vote, to wit:

AYES: COUNCIL MEMBERS-
NOES: COUNCIL MEMBERS-
ABSENT: COUNCIL MEMBERS-
ABSTAINS: COUNCIL MEMBERS-
____________________________________

CITY CLERK OF THE CITY OF COMPTON