Finance and Management Committee
July 11, 2023
AGENDA REPORT
TO: Jestin D. Johnson
City Administrator
SUBJECT: Temporary Staffing Service Agencies
Agreements Extension
FROM: Mark Love
Interim Director, HRM
DATE: June 5, 2023
City Administrator Approval Date:
RECOMMENDATION
Staff Recommends That The City Council Adopt A Resolution Authorizing The City Administrator To Extend The Professional Services Agreement With Howroyd-Wright Employment Agency, Inc., d.b.a Appleone Employment Services, HR Management, Inc., And Tempositions, Inc. To Continue The Provision Of Temporary Personnel Staffing Services for The Period of December 1, 2023, Through December 1, 2025, In An Amount Of $125,000.00 For Contract Year 2023-2024 And An Amount Of $125,000.00 For Contract Year 2024-2025 For A Total Amount Over The Five Year Term Of The Contract Of $500,000.00 for Each Temporary Staffing Services Agency.
EXECUTIVE SUMMARY
The City of Oakland issued a Request for Proposals (“RFP”) for Temporary Employment Services on December 6, 2020. Responses for that RFP were due on January 6, 2020.
Accordingly, the resolutions accompanying this report authorize the City Administrator to extend the Professional Services Agreement with Howroyd-Wright Employment Agency, Inc., d.b.a Appleone Employment Services, HR Management, Inc., and Tempositions, Inc. Staff proposes that the City Council authorize a two-year extension of the current contract services agreement with the three temporary staffing agencies and incorporate a cost increase in year one of $125,000.00, and incorporate a cost increase in year two of $125,000.00. This contract extension and increase provide city-wide temporary staffing services through December 2025.
BACKGROUND / LEGISLATIVE HISTORY
The Human Resources Management Department (HRM) administers the City’s temporary agency contract agreements. To support that administration, the City engages temporary staffing agencies Howroyd-Wright Employment Agency, Inc., d.b.a Appleone Employment Services, HR Management, Inc., and Tempositions, Inc., to provide services that ensure all City departments have temporary staff available to cover temporary staffing needs.
Pursuant to the RFP process that concluded on January 6, 2020, the City selected Howroyd- Wright Employment Agency, Inc., d.b.a Appleone Employment Services, HR Management, Inc., and Tempositions, Inc.to provide temporary staffing services. In May 2020, the City completed a
Jestin Johnson, City Administrator
Subject: Temporary Staffing Services Agencies Agreement Extension Date: July 11, 2023 Page 2
Finance and Management Committee
July 11, 2023
contract agreement with each of the three selected staffing agencies in the amount of $250,000.00 each through May 2022.
On March 31, 2020, a directive from the City Administrator’s office implemented controls on temporary services employees due to the negative fiscal impact of the COVID-19 pandemic. On December 17, 2020, a directive from the Mayor’s office and the City Administrator’s office implemented a citywide curtailment on the use of temporary employees due to additional negative fiscal challenges that resulted from the COVID-19 pandemic. As a result, the contracts executed with Howroyd-Wright Employment Agency, Inc., d.b.a Appleone Employment Services, HR Management, Inc., and Tempositions, Inc. in May of 2020 were not accessed until the hiring freeze was lifted on July 9, 2021.
In May of 2022, the contract agreements with Howroyd-Wright Employment Agency, Inc., d.b.a Appleone Employment Services, HR Management, Inc., and Tempositions, Inc. were extended through December 2023, with the contract amount remaining the same at $250,000.00 for each vendor.
In May of 2022, the contract agreement with Tempositions,Inc. reached its maximum of $250,000.00 due to an increased need for temporary personnel, following the lifting of the hiring freeze. The Howroyd-Wright Employment Agency, Inc., and d.b.a Appleone Employment Services contract has slightly over 40% available funds. The HR Management, Inc. contract has 35% funding available. Following the hiring freeze, departments utilized staffing services while recruitments were conducted to fill the vacancies with permanent personnel. Temporary personnel services augment current staff for service delivery.
ANALYSIS AND RECOMMENDATIONS
Temporary personnel services provide departments with the ability to manage workload while the hiring process continues. Currently, there are pending invoices due to Tempositions,Inc. in the amount of $22,654.00. At the current rate of use, it is anticipated that the contracts with Howroyd-Wright Employment Agency, Inc., d.b.a Appleone Employment Services, and HR Management, Inc. will be depleted before the December 1, 2023 contract end date.
Staff recommends authorization of this two-year contract extension and increase of $250,000.00 since Howroyd-Wright Employment Agency, Inc., d.b.a Appleone Employment Services, HR Management, Inc., and Tempositions, Inc. have provided the best quality and value of temporary staffing services.
FISCAL IMPACT
This contract extension will continue for two years and allow for up to a $125,000 limit for both fiscal years 2023-2024 and 2024-2025. Funding for this contract is budgeted by individual departments that utilize the temporary agency services and no additional budgetary adjustment is necessary. Departments utilize savings of salary and benefits from vacancies to fund temporary personnel services.
Jestin Johnson, City Administrator
Subject: Temporary Staffing Services Agencies Agreement Extension Date: July 11, 2023 Page 3
Finance and Management Committee
July 11, 2023
PUBLIC OUTREACH / INTEREST
There are no public outreach opportunities associated with this report further than the required publication on the City’s website.
COORDINATION
The development of this report was coordinated with internal staff in HRM.
SUSTAINABLE OPPORTUNITIES
Economic: There are no economic opportunities associated with this report.
Environmental: There are no environmental opportunities associated with this report.
Race & Equity: There are no social equity opportunities associated with this report.
Jestin Johnson, City Administrator
Subject: Temporary Staffing Services Agencies Agreement Extension Date: July 11, 2023 Page 4
Finance and Management Committee
July 11, 2023
ACTION REQUESTED OF THE CITY COUNCIL
Staff Recommends That The City Council Adopt A Resolution Authorizing The City Administrator To Extend The Professional Services Agreement With Howroyd-Wright Employment Agency, Inc., d.b.a Appleone Employment Services, HR Management, Inc., And Tempositions, Inc. To Continue The Provision Of Providing Temporary Staffing Services For The Period Of December 1, 2023, Through December 1, 2025, In An Amount Of $125,000.00 For Contract Year 2023-2024 And An Amount Of $125,000.00 For Contract Year 2024-2025 For A Total Amount Over The Five Year Term Of The Contract Of $500,000.00 For Each Temporary Staffing Services Agency.
For questions regarding this report, please contact Lara Williams, Management Assistant, at (510) 238-6676.
Respectfully submitted,
MARK LOVE
Interim Director/Human Resources
Management Department
Prepared by:
Lara Williams, Management Assistant