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• the Pricing in the Contract Is a Not-To-Exceed Cost And To: Mayor and City Council From: Michael Kovacs, City Manager Date: July 10, 2019 Agenda Item & Caption: Consider and take any necessary action regarding a resolution authorizing the City Manager to execute an agreement with Strategic Government Resources to perform the City’s human resource functions. Action Requested: Approval of the resolution. Overview and Background: Based on the discussion at the June 18th Council meeting, SGR has presented an agreement to perform the City’s human resource functions including HR staffing, recruitment services, live and online training, and employee communication. The pricing in the contract is a not-to-exceed cost and there will be no overage charges unless additional services or hours are requested by the City. Any additional service or hours must be pre-approved by the City Manager. SGR will provide the City Manager with a written assessment of SGR’s opinion of the City’s operational needs, possible compliance issues, and potential strategic initiatives to strengthen HR performance from best practices perspectives. SGR and the City Manager will work together to prioritize the action items and develop a written 12-month workplan. SGR will provide the City with monthly tracking of personnel hours, project status and costs incurred so that the City can evaluate both work progress and contract pricing compliance The initial term of the contract (beginning August 1, 2019) is fourteen (14) months so that subsequent renewals of twelve (12) months will align with the City’s fiscal year. Prior to renewal, SGR will provide the City with a notice of contract pricing changes ninety (90) days in advance. The City may terminate the contract without cause with sixty (60) days notice. Financial Considerations: The cost for the initial 14-month term is $143,857. The cost for the 12-month renewal will increase the personnel cost in direct proportion to the City’s budget for salary and benefit increases for the City’s own direct employees, and all other products and services provided by SGR hereunder shall be provided to the City at SGR’s current rates in effect at the first day of the automatically renewed Agreement. The agreement saves the City $12,000 in FY 19-20 budget compared to the current budget. Supporting Documents: Resolution, Agreement. RESOLUTION NO. R-2019-___ A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FATE, TEXAS, AUTHORIZING THE CITY MANAGER TO EXECUTE AN AGREEMENT FOR PARTNER SERVICES BY AND BETWEEN THE CITY OF FATE AND STRATEGIC GOVERNMENT RESOURCES PROVIDING FOR ASSISTANCE IN THE PERFORMANCE OF THE CITY’S HUMAN RESOURCES (HR) FUNCTIONS; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the City of Fate desires to enter into an agreement with Strategic Government Resources to assist the City in the performance of the City’s Human Resources (HR) functions. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FATE, TEXAS: Section 1. That the findings and premises contained in the preamble above are hereby deemed to be true and correct. Section 2. That the Agreement for partner services by and between the City of Fate and Strategic Government Resources, attached hereto as Exhibit A, is hereby approved and the City Manager is authorized to execute said agreement. Section 2. This resolution shall become effective upon the date of passage. AND IT IS SO RESOLVED. PASSED AND APPROVED by the City Council of Fate, Texas, on this, the 15th day of July, 2019. APPROVED: ________________________________ Joe Burger, Mayor ATTEST: ________________________________ Victoria Raduechel, TRMC City Secretary Date: June 24, 2019 Agreement for Partner Services By and Between Strategic Government Resources and City of Fate, Texas City of Fate, Texas Strategic Government Resources Michael Kovacs, City Manager Melissa Valentine, Managing Director, [email protected] Recruitment and Human Resources [email protected] (“City”) (“SGR”) Scope of Services. The City of Fate, Texas, (referred to as "City") seeks to contract with Strategic Government Resources (“SGR” and collectively with the City, “Parties”) to obtain the assistance of SGR employees (“Partner Services Personnel”) that are provided to the City to perform work that would otherwise have to be performed by the City’s own employees, and to obtain other products and services from SGR to assist the City in the performance of the City’s human resources (HR) functions. SGR will provide Partner Services Personnel and other products and services as specified in this agreement (“the Agreement”). The key strategies to be used in this project include: • SGR will provide the following Partner Services Personnel: one (1) Strategic HR Leader on-site for an average each month of two (2) days per week, and one (1) full-time on-site HR Generalist. SGR Personnel will perform the duties detailed in Exhibit “A”. • SGR will provide the following recruitment tools: Digital Talent Marketing packages, SGR Job Board annual subscription and SGRecruiter annual subscription. SGRecruiter is an online recruiting platform that allows employers to search the platform database and match hiring criteria to potential candidates. • SGR will provide up to four (4) onsite employee training classes chosen by the City from SGR’s Live Training Catalog. • SGR will provide the City with the SGR LMS system for online training available to all City employees. LMS is SGR’s online learning platform and course library. • Within fifteen (15) business days after execution of this Agreement, SGR will provide the City Manager with a written assessment of SGR’s opinion as to the City’s operational needs, possible compliance issues, and potential strategic initiatives to strengthen HR performance from best practices perspectives (collectively, “Potential Action Items”). Within ten (10) business days thereafter, the City Manager will identify in writing which of those Potential Action Items the City wants SGR to work on. Within ten (10) business days thereafter, SGR will develop a 12-month prioritized work plan regarding development of those Potential Action Items. SGR will meet with the City Manager quarterly to review progress and make adjustments to the 12-month work plan as mutually agreed. • SGR will provide a monthly report to the City Manager tracking progress on strategic initiatives, work plan and hours spent on-site (Exhibit “B”). Recommended Partner Service Personnel. SGR recommends Leigh Corson to serve as the Strategic HR Leader for this engagement. The resume of the recommended partner is attached as Exhibit “C” to the agreement. SGR will recruit and make recommendations to the City for the HR Generalist position. City and SGR will interview and make final selection for the HR Generalist position. City must approve the final selection. If at any time during the assignment, City wishes to have other individual(s) provided to serve as Partner Services Personnel, SGR will produce additional experienced local government professionals to fill the position(s), to the satisfaction of City subject to availability. Terms and Conditions. The contract will commence on August 1, 2019 for a term of fourteen (14) months. The contract will automatically renew for successive twelve (12) month terms if notice of termination is not given on or before 60 days before expiration of the term of the Agreement. If this Agreement does automatically renew, then the amounts charged by SGR hereunder shall increase in direct proportion to the City’s budget for salary and benefit increases for the City’s own direct employees, and all other products and services provided by SGR hereunder shall be provided to the City at SGR’s current rates in effect at the first day of the automatically renewed Agreement. SGR will provide the City with notice of cost changes ninety (90) days prior to renewal. City or SGR may terminate the agreement for Partner Services Personnel Services with a sixty (60) day written notice, without cause or penalty. This Agreement may also be terminated by either Party for a material breach of this Agreement by the other Party, but only after the non-breaching Party has given prior, written notice of the material breach and has also given the breaching Party 14 days to cure such breach. If this Agreement is terminated without cause, all monies due up to the effective date of termination shall be immediately payable. SGR will provide Partner Services personnel Services to City at a cost not to exceed $143,857 for the initial fourteen (14) month term as follows: Strategic HR Leadership $4,229.33 per month HR Generalist $5,214.42 per month SGR Job Board Annual Subscription $349.00 per year Digital Talent Marketing Package $299.00 each SGRecruiter Annual Subscription $3,000.00 per year Recruitment Marketing Materials $1,500 flat rate Intranet Development $1,000 flat rate Online Training $29.00 per user plus $500 set-up fee Live Training $2,500 each Additional hours for HR Strategic Leadership are available at a rate of $62.00 per hour. Any additional hours must be pre-approved by the City Manager. SGR will submit an invoice for services provided on a monthly basis. The invoice is due within seven (7) days of receipt. City Contact for Invoicing: Name: ________________________________________ Email: ________________________________________ Phone: ________________________________________ All routine business expenses incurred by SGR's representative in their role as Partner Services will be reimbursed under the same terms and conditions that such expenses would be reimbursed for any other employee of City, such as mileage, hotel, and per diem when traveling at the request of City, and business meals incurred for local meetings. Reimbursement for routine business expenses in not included in the not to exceed cost listed above and will not be reflected on SGR billing to the City. Confidentiality Agreement. The work required hereunder may require the City to disclose information to Partner Services Personnel or which may require City to grant authorization to the Partner Services Personnel to make financial and legal transactions on behalf of the City.
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