City Council Memorandum
TO: HONORABLE MAYOR AND CITY COUNCIL DATE: September 16, 2025 FROM: HUMAN RESOURCES DEPARTMENT WARDS: ALL
SUBJECT: THIRD AMENDMENT TO THE PROFESSIONAL SERVICES AGREEMENT WITH LEGAL ACCESS PLANS, INC., A CALIFORNIA CORPORATION DOING BUSINESS AS LEGALEASE, TO PROVIDE GROUP LEGAL INSURANCE FOR EMPLOYEES EFFECTIVE THORUGH NOVEMBER 30, 2025.
ISSUE:
Approve a four-month extension to the Professional Consultant Services Agreement Third Amendment between the City of Riverside, Human Resources Department and Legal Access Plans, Inc., to provide voluntary group legal insurance for employees through November 30, 2025.
RECOMMENDATIONS:
That the City Council:
Approve the Third Amendment to extend the previous Professional Consultant Services Agreement with Legal Access Plans, Inc., to provide group legal insurance for employees for an extended term of July 1, 2025 – November 30, 2025, upon mutual agreement of both parties. All fees are borne by Participants receiving the Services under this Agreement.
Authorize the City Manager, or his designee, to execute the agreement including making minor and non-substantive changes.
BACKGROUND:
The City of Riverside Human Resources Department manages a comprehensive benefit package for all eligible active City employees. Insurance benefits include but are not limited to medical, dental and vision; provided by two fully insured health plan carriers (Kaiser and Blue Shield), one fully insured dental plan, two self-insured dental plans and one self-insured vision plan. Additionally, the City offers voluntary group Legal Insurance for City employees to deliver a wide range of legal services such as family law, residential matters, estate planning, elder law, identity theft, consumer matters, mediation services, financial matters and other legal related matters to City employees at an affordable rate.
Legal Access Plans, Inc. has been providing voluntary group legal insurance to City employees since 2019. On January 22, 2019, the City Council approved the Professional Consultant Services Agreement with Legal Access Plans Inc. through June 30, 2020, with the option to extend for two, one-year terms thereafter upon mutual agreement of both parties for a total contract term of three and a half years through June 30, 2025.
DISCUSSION:
The Human Resources Department issued RFP No. 2451 through the Purchasing Division in November 2024 for a vendor to provide voluntary group legal insurance to employees. However, the final extension of the original contract will expire prior to Human Resources staff making its selection. As a result, this extension is needed to ensure that plan participants are covered until a new agreement is reached via the current RFP.
In November 2022, the City and Legal Access Plans, Inc. amended the Agreement (Second Amendment), extending the term to June 30, 2025. A special fourth-month extension is now being requested with Legal Access Plans, Inc. to allow the Human Resources Department to make a selection from RFP No. 2451 and provide ample time for a possible transition period should the department select a new vendor.
Purchasing Resolution No. 24101, Section 702 provides exceptions to Competitive Procurement through the Informal Procurement and Formal Procurement process and shall not be required…(w) “When approved by the Manager, Services not subject to the biding requirements of Section 1109 of the City Charter, which are of such a nature that suitable technical or performance specifications describing them are not readily available and cannot be developed in a timely manner to meet the needs of the City, in which case the Manager shall be authorized to negotiate with any Person or Persons for the Procurement thereof upon the price, terms and conditions need by the Manager to be in the best interest of the City and in doing so may utilize Informal Procurement or Negotiated Procurement process.” Purchasing Resolution No. 24101, Section 1104. Change Orders states that modifications to a Purchase Order shall be made only by Change Order, except that minor variances of $200 or less, where the variance is due to sales tax or freight charges may be processed without a Change Order. Subject to the availability of funds, Change Orders may be utilized for purposes of (5) modifying contract completion time or the term of a Contract. Unless otherwise specifically authorized by the Awarding Entity, Change Orders which cumulatively exceed the following will require Awarding Entity approval (d) A Contract amendment which extends the term of the agreement beyond one year of the original expiration date.
The Purchasing Manager concurs that this recommendation is in compliance with Purchasing Resolution No. 24101, Section 702(w) and 1104(5)(d).
FISCAL IMPACT:
There is no fiscal impact associated with the Agreement, as plan premiums are fully paid for by employees who elect coverage.
Prepared by: Rene Goldman, Human Resources Director
Certified as to
availability of funds: Kristie Thomas, Finance Director/Assistant Chief Financial Officer Approved by: Edward Enriquez, Assistant City Manager/CFO/City Treasurer Approved as to form: Rebecca McKee-Reimbold, Interim City Attorney Attachment: Third Amendment to the Professional Consultant Services Agreement with Legal Access Plans, Inc.
Legal Access Plans, Inc. Contract Extension ● Page 2