City Council
Report
City Council Meeting: April 8, 2025
Agenda Item: 4.I
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To: Mayor and City Council
From: Dana Brown, Human Resources Director, Human Resources Department Subject: Authorize the Procurement Manager to Issue Purchase Orders to Temporary Staffing Agencies
Recommended Action
Staff recommends that the City Council:
1. Adopt a finding that the purchase orders are not a “project” subject to the California Environmental Quality Act (CEQA)
2. Award RFP #403 to 22nd Century Technologies, Inc.; Abacus Service Corporation; AppleOne, Inc. DBA AppleOne Employment Services; CathyJon Enterprises, Inc. DBA HB Staffing; Compunnel Software Group, Inc. DBA Compunnel, Inc.; and Tryfacta, Inc. for temporary staffing services;
3. Authorize the Procurement Manager to issue purchase orders with 22nd Century Technologies, Inc.; Abacus Service Corporation; AppleOne, Inc. DBA AppleOne Employment Services; CathyJon Enterprises, Inc. DBA HB Staffing; Compunnel Software Group, Inc., DBA Compunnel, Inc.; and Tryfacta, Inc., for temporary staffing for five years, for a total aggregate amount not to exceed $12,210,200.
4. Adopt a finding of no possibility of significant effect pursuant to Section 15061(b)(3) (Common Sense Exemption) of the California Environmental Quality Act (CEQA) Guidelines.
Summary
Staff recommends that the City Council authorize the Procurement Manager to issue purchase orders to six temporary staffing agencies on an as-needed basis to provide the City with temporary staffing services for a five-year term. These services are necessary to ensure sufficient staffing levels when employees are on leave, to temporarily fill vacant positions while recruiting to fill such positions on a permanent basis, and to address needs for additional temporary assistance. The need for these asneeded services varies on an annual basis; therefore, Human Resources seeks 2 of 6
approval to issue purchase orders with six vendors to ensure appropriate resources are in place to conduct such work as the need arises. The projected aggregate not to exceed amount of the services would be $12,210,200 over a five-year period. The services would be paid for by the departments utilizing such services within their respective budgets, contingent on availability of funding.
Discussion
City departments utilize Temporary Staffing Agencies for a variety of reasons, including temporarily staffing positions held by permanent employees on leave and to temporarily fill vacant positions while recruiting to fill such positions on a permanent basis. In such instances, City departments request a temporary staff person through the Human Resources Department. Human Resources staff work with the requesting department to fully assess the need and then selects from the list of pre-approved agencies to acquire the assistance, ensuring that the temporary staff possess the necessary qualifications.
Once the temporary staff person is assigned, Human Resources staff remain in communication with the requesting department to monitor the appointment to ensure compliance with CalPERS regulations and internal policies. In FY2022-2023 and 2023- 2024, the City utilized staff from temporary agencies 48 times with a total cost of $2,600,955 to support administrative and professional functions.
The total requested amount for approval is based on anticipated temporary staffing needs for the current and upcoming fiscal years. Expenditures will be charged to various departmental budgets and accounts as services are rendered. Before engaging with vendors, HR will ensure requesting departments have available funding for these services from their existing departmental adopted budgets.
City departments are responsible for the temporary staffing services through the Purchase Order (PO) process. This ensures that financial transactions are clearly documented and tracked for staffing needs and departments remain within budgetary constraints.
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The estimated expenditure for temporary staff is not expected to exceed $2,000,000 in fiscal year 2025-2026. This estimate is based on past expenditures of:
• $1,272,750 in FY 2021-2022
• $1,500,000 in FY 2022-2023
• $1,100,955 in FY 2023-2024
• $1,291,185 in FY 2024-2025
Due to anticipated increased costs and potential increases in temporary staffing demands, the Human Resources Department is applying a 10% annual adjustment which results in the following projected expenditures:
• FY 2025-2026: $2,000,000
• FY 2026-2027: $2,200,000
• FY 2027-2028: $2,420,000
• FY 2028-2029: $2,662,000
• FY 2029-2030: $2,928,200
Vendor Selection
Staff prepared and posted an RFP that detailed the City’s requirements for the associated work. The City received 45 proposals from which six firms were selected in consideration of their ability to deliver the level of services that may be required of the City. Proposals were evaluated in consideration of cost of services, vendor qualifications, and work plan details, including the candidate screening process, process for placement and replacement of qualified personnel, and billing practices.
Table A - Bidder Recommendation
Best Qualified Person/Firm • 22nd Century Technologies, Inc.; • Abacus Service Corporation;
• AppleOne, Inc. dba AppleOne Employment
Services;
• CathyJon Enterprises, Inc. dba HB Staffing;
• Compunnel Software Group, Inc. dba Compunnel,
Inc.; and
• Tryfacta, Inc.
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Evaluation Criteria Qualifications, fees, and workplan
Municipal Code SMMC 2.24.190
Table B - RFPs Received
22nd Century
Technologies, Inc.
Abacus Service
Corporation
Adil Business
Systems, Inc.
AGC Consulting
Group
Akshar Staffing
LLC
AppleOne, Inc. dba
AppleOne
Employment
Services
ATWork personnel
services
BayInfotech LLC
Beatty's Services,
Inc.
BuzzClan LLC California Creative
Solutions Inc.
Cambay Consulting
LLC
CathyJon
Enterprises, Inc.
DBA HB Staffing
Clovity Inc. COGENT Infotech
Corporation
Commercial
Programming
Systems, Inc.
Compunnel
Software Group,
Inc.
DatamanUSA, LLC DevCare Solutions Diskriter, Inc.
EMR CPR LLC Health Advocates
Network, Inc. DBA
Staff Today
Healthcare Staffing
Professionals, Inc.
HonorVet
Technologies
Infojini, Inc. Info Way Solutions
LLC
InstantServe LLC Jada Systems Inc.
Johnson Service
Group
K-Tek Resourcing
LLC
LA Business
Personnel, Inc.
Noor Associates,
Inc.
Partners in
Diversity, Inc.
RADgov, Inc. Savio Pais SoftHQ, Inc.
Softsage
Technology
Talantage, LLC The Midtown Group Tryfacta, Inc.
Two Roads
Professional
Services, dba
Motive Workforce
Solutions
Vish Consulting
Services Inc.
V-Soft Consulting
Group, Inc.
waterTALENT
William W.
Professional
Staffing LLC
RFP Data
Posted On Posted On Advertised In Vendors
Downloaded
Date Publicly
Opened
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2/21/24 City’s Online
Bidding Site
Santa Monica
Daily Press
177 4/15/24
Environmental Finding
The purchase orders for temporary staffing agencies are not a “project” subject to CEQA. Pursuant to CEQA Section 21065, the purchase orders do not meet the definition of a “project” subject to CEQA as it will not “cause either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment.” Additionally, per Section 15378(b) of the CEQA Guidelines, a “project” does not include continuing administrative or maintenance activities, such as purchases for supplies, personnel-related actions, general policy and procedure making.
Therefore, the purchase orders are not subject to CEQA.
Financial Impacts and Budget Actions
Staff seeks to issue purchase orders as an alternative contracting/procurement method and to approve available funding from various existing funds in the Council-approved City Budget to issue purchase orders to the vendors listed in Table A above. The aggregate amount is not to exceed $12,210,200 over a five-year period.
Future year funding is contingent on Council budget approval.
Prepared By: Michael Arnoldus, Human Resources Manager
Approved Forwarded to Council
Attachments:
A. OAKS_INITIATIVE_FORM (Compunnel)
B. OAKS_INITIATIVE_FORM (HB Staffing)
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C. Levine_Act_Disclosure_Form (Abacus)
D. OAKS_INITIATIVE_FORM (AppleOne)
E. Levine_Act_Disclosure_Form (AppleOne)
F. OAKS_INITIATIVE_FORM (Tryfacta)
G. Levine_Act_Disclosure_Form (Tryfacta)
H. Levine_Act_Disclosure_Form (Compunnel)
I. OAKS_INITIATIVE_FORM (Abacus)
J. Levine_Act_Disclosure_Form (TSTCI)
K. OAKS_INITIATIVE_FORM (TSCTI)
L. Levine_Act_Disclosure_Form (HB Staffing)