City Council Memorandum
TO: HONORABLE MAYOR AND CITY COUNCIL DATE: AUGUST 19, 2025 FROM: FINANCE DEPARTMENT WARDS: ALL SUBJECT: FISCAL YEAR 2024/2025 ANNUAL REPORT OF CONTRACTS APPROVED BY THE CITY MANAGER ISSUE:
Receive and file the Fiscal Year 2024/2025 annual report of contracts approved by the City Manager.
RECOMMENDATIONS:
That the City Council receive and file the Fiscal Year 2024/2025 annual report of contracts approved by the City Manager.
BACKGROUND:
On March 19, 2024, the City Council approved Purchasing Resolution No. 24101, which increased the City Manager's approval authority for contracts from $50,000 to $100,000. This change applied to contracts that were not subject to City Charter Section 1109 or related to Public Utilities. The objective of this resolution was to streamline the contract approval process and enhance operational efficiency by reducing the number of contracts requiring City Council approval and the required additional legislative steps, including development of a staff report, submission into Legistar, and approval during a public meeting.
This enhancement aligned with the existing framework established by the previous Purchasing Resolution, the Administrative Manuals, the Adopted Budget, and the City Attorney’s Contract Review process. These guidance documents provide a strong set of internal controls to ensure that the increased signature authority does not compromise compliance, accountability, or fiscal responsibility. These controls include competitive procurement processes, adherence to ethical standards, strategic budgeting, and legal review, ensuring that all expenditures remain transparent, justified, and aligned with the City’s financial and operational goals.
The streamlined approval process allows qualifying contracts to be approved more expeditiously, reducing administrative burdens, and optimizing staff resources. This modification acknowledges the extensive internal review and approval processes already in place, ensuring that contracts undergo thorough scrutiny without unnecessarily delaying operations.
The decision to increase the City Manager’s approval authority is justified by stringent internal controls that safeguard the City's financial integrity. The procurement processes continue to mandate competitive bidding and ethical compliance, while strategic budgeting ensures that expenditures align with the City's fiscal priorities. Furthermore, the legal review process remains a critical checkpoint in validating contract legitimacy and adherence to regulations.
DISCUSSION:
Contracts that meet the following criteria are reported to the City Council in Attachment 1:
Non-construction or Public Utility contracts and/or purchase orders that are between $50,000 and $100,000 and have not otherwise been approved by the City Council.
This report serves to maintain transparency and accountability by providing the City Council with a summary of contracts that fall within the updated approval range per Purchasing Resolution No. 24101. By monitoring and reporting these transactions, the City upholds its commitment to responsible governance while streamlining administrative procedures to better serve operational needs.
This report presents the initial listing of contracts approved by the City Manager following the adoption of Purchasing Resolution No. 24101. It covers the period from March 20, 2024, through June 30, 2025. Moving forward, staff will provide an annual report of City Manager-approved contracts based on the City's fiscal year cycle.
FISCAL IMPACT:
There is no fiscal impact associated with the recommendation in this report.
Prepared by: Jennifer McCoy, Purchasing Manager
Approved by: Julie Nemes, Deputy Finance Director
Certified as to
availability of funds: Kristie Thomas, Finance Director/Assistant Chief Financial Officer Approved by: Edward Enriquez, Assistant City Manager/Chief Financial Officer Approved as to form: Jack Liu, Interim City Attorney
Attachment:
1. City Manager Approved Contracts
Contracts Approved by City Manager ● Page 2