DATE: June 12, 2018
SUBJECT:
Title
RESOLUTION AUTHORIZING AMENDMENT NO. 2 TO THE AS-NEEDED TEMPORARY STAFFING SERVICES AGREEMENT WITH AMERIT CONSULTING, INC., INCREASING THE AGREEMENT AMOUNT BY $342,300.00, FOR A MAXIMUM AMOUNT NOT TO EXCEED $1,532,300. FY 2019 EXPENDITURES, IF NEEDED, ARE BUDGETED. ALL FUNDS REQUIRED FOR FUTURE FISCAL YEARS WILL BE BUDGETED IN THE APPROPRIATE FISCAL YEAR, SUBJECT TO BOARD APPROVAL UPON ADOPTION OF EACH FISCAL YEAR’S BUDGET
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EXECUTIVE SUMMARY:
This Agreement provides the San Diego Unified Port District (District) with temporary staffing services on an as-needed basis. The term of the Agreement is from July 12, 2017, and ends June 30, 2020. Funds under the Agreement are subject to annual budgeting with the current total aggregate amount not to exceed $1,190,000.
This 2nd amendment would increase the Agreement amount by the FY 2019 budgeted amount of $342,300, increasing the total aggregate amount from $1,190,000 to $1,532,300 in order to continue short-term relief during leaves of absences, vacancies, and other planned or unplanned operational requirements needing personnel resources or filing gaps in employment.
RECOMMENDATION:
Recommendation
Adopt a Resolution Authorizing Amendment No. 2 to the As-Needed Temporary Staffing Services Agreement with Amerit Consulting, Inc., increasing the Agreement amount by $342,300, for a maximum amount not to exceed $1,532,300. FY 2019 expenditures, if needed, are budgeted. All funds required for future fiscal years will be budgeted in the appropriate fiscal year, subject to Board approval upon adoption of each fiscal year’s budget.
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FISCAL IMPACT:
Funds for expenditures under this Agreement are incurred on an as-needed basis. The FY 2019 preliminary budget includes $342,300 in temporary personnel expense. Although the original Agreement has a three-year term which ends June 30, 2020, the District anticipates the full amount of the amended agreement to be expensed in FY 2019. Funding for future fiscal years will be budgeted in the appropriate fiscal year, subject to Board approval upon adoption of each fiscal year’s budget.
Compass Strategic Goals:
A temporary staffing services agreement provides a short-term, cost-saving measure to ensure uninterrupted business flow in critical need areas. This agenda item supports the following Strategic Goal(s).
• A Port with an innovative and motivated workforce.
DISCUSSION:
This Agreement provides departments with temporary staffing services on an as-needed basis. The term of the Agreement is from July 12, 2017, and ends June 30, 2020. At the time of award, $330,000 was evenly allocated for each of the three fiscal years with an approved budgeted amount of $259,000 in FY 17/18. In the first year of the Agreement, an unplanned operational requirement needing personnel resources to address the local public health emergency due to the Hepatitis A outbreak utilized 34% of the funding. Additionally, due to vacancies and other unplanned gaps in employment in multiple departments, the total aggregate amount of this three year Agreement was committed through the end of the first year. Funds under the Agreement are subject to annual budgeting with the current total aggregate amount not to exceed $1,190,000. The $342,300 is the budgeted amount for temporary personnel in the FY 2019 budget.
General Counsel’s Comments:
The Office of the General Counsel has reviewed the issues set forth in this agenda and found no legal concerns as presented. Section 81 of the San Diego Unified Port Act allows the District to expend funds to be used for the necessary expenses of conducting the District. Board of Port Commissioners - BPC Policy 110 requires that agreements in excess of $175,000 be authorized by the Board of Port Commissioners.
Environmental Review:
The Board direction or action, including without limitation, a resolution authorizing an amendment to an agreement for temporary staffing services, does not constitute an “approval” or a “project” under the definitions set forth in California Environmental Quality Act (CEQA) Guidelines Sections 15352 and 15378 because no direct or indirect changes to the physical environment would occur. CEQA requires that the District adequately assess the environmental impacts of projects and reasonably foreseeable activities that may result from projects prior to the approval of the same. Any project developed as a result of Board’s action or direction that requires the District or the Board’s discretionary approval resulting in a physical change to the environment will be analyzed in accordance with CEQA prior to such approval. CEQA review may result in the District, in its sole and absolute discretion, requiring implementation of mitigation measures, adopting an alternative, including without limitation, a “no project alternative” or adopting a Statement of Overriding Consideration, if required. The current Board direction in no way limits the exercise of this discretion. Therefore, no further CEQA review is required.
In addition, the proposed Board action complies with Section 81 of the Port Act which allows for the use of funds for necessary expenses of conducting the District. The Port Act was enacted by the California Legislature and is consistent with the Public Trust Doctrine. Consequently, the proposed Board action is consistent with the Public Trust Doctrine.
The proposed Board direction or action does not allow for “development,” as defined in Section 30106 of the California Coastal Act, or “new development,” pursuant to Section 1.a. of the District’s Coastal Development Permit (CDP) Regulations because they will not result in, without limitation, a physical change, change in use or increase the intensity of uses. Therefore, issuance of a Coastal Development Permit or exclusion is not required. However, development within the District requires processing under the District’s CDP Regulations. Future development, as defined in Section 30106 of the Coastal Act, will remain subject to its own independent review pursuant to the District’s certified CDP Regulations, PMP, and Chapters 3 and 8 of the Coastal Act. The Board’s direction or action in no way limits the exercise of the District’s discretion under the District’s CDP Regulations. Therefore, issuance of a CDP or exclusion is not required at this time.
Equal Opportunity Program:
Due to limited known subcontracting opportunities, no SBE goal was established for this Agreement.
PREPARED BY:
Shirley Hirai
Manager, Equal Opportunity
Attachment(s):
Attachment A: Agreement No. 151-2017RH
Attachment B: 1st Amendment
Attachment C: 2nd Amendment