Item 29/2026
Final
City of Garden Grove
INTER-DEPARTMENT MEMORANDUM
To:
Lisa L. Kim From: Jany Lee
Dept:
City Manager Dept: Human Resources
Date: 1/27/2026
Subject: Authorization for the issuance of a purchase order to GovernmentJobs, Inc. to provide cloud-based human resources software. (Cost: Not to exceed $55,000) (Action Item)
OBJECTIVE
To request City Council to authorize issuance of a purchase order to GovernmentJobs, Inc. (dba NEOGOV) for cloud-based human resources software.
BACKGROUND
Since 2007, the City has contracted with NEOGOV for its specialized cloud-based human resources software to government agencies, including applicant tracking and recruitment, onboarding, performance management, training, and remote examination tools designed specifically for the public sector.
The City first implemented NEOGOV’s Insight module in 2007 to manage the City’s recruitment processes. This module is an applicant tracking system that allows staff to post jobs and manage applicants through each step of the recruitment and selection process.
In 2021, as part of the City’s transition to a new ERP system, the Human Resources Department identified a need t o further automate Human Resources processe s. The Department received City Manager approval to amend its NEOGOV contract to include two additional products, eForms and eSkill. These modules enable staff to electronically collect and manage onboarding documents, support employee self-service functions, and administer remote candidate testing.
NEOGOV is the only vendor that provides the required combination of recruitment, onboarding, and assessment functionality within a single integrated platform.
DISCUSSION
In prior years, the total cost for all NEOGOV products (Insight, eForms, eSkill, and GovernmentJobs.com) remained under $50,000. However, the cost for these services have Item 29/2026
increased by an average of approximately 6.5% annually, and the total cost for 2026 now exceeds $50,000, requiring City Council approval.
Human Resources is requesting City Council approval of a purchase order for NEOGOV.
Subscription costs are expected to continue increasing an average of 6% –7%, annually. To prevent delays in renewal processing, it is also recommended that City Council authorize the Finance Director, or designee, to approve future purchase orders for NEOGOV subscription renewals, subject to available funds and annual budget appropriations.
FINANCIAL IMPACT
The total cost for all current subscriptions is approximately $55,000. The Human Resources Department has sufficient budget appropriations to cover the 2026 renewal cost.
Human Resources will coordinate with Finance to monitor subscription increases and plan for future increases. The Department may also explore cost -sharing opportunities with departments that benefit from the use of these services.
RECOMMENDATION
It is recommended that the City Council:
Approve dispensing of the bidding process pursuant to Garden Grove Municipal Code Section 2.50.060(G), and proceed with a purchase order to GovernmentJobs, Inc. (dba NEOGOV); and
Authorize the Finance Director, or designee, to issue a purchase order to GovernmentJobs, Inc. in the amount of $55,000 to cover 2026 subscriptions; and
Authorize the Finance Director, or designee, to issue future purchase orders for subscription renewals of existing modules, subject to annual budget approval and available appropriations.
By: Caitlyn Stephenson
Principal Human Resource Analyst