Report to Mayor and City Council
Tuesday, September 19, 2023
Consent
SUBJECT:
Title
CONSIDER APPROVING AMENDMENT NO. 1 TO THE MACIAS GINI & O'CONNELL (MGO) CONTRACT (C-22-158) RELATED TO THE CITY'S PROCUREMENT AUDIT AND ANALYSIS TO INCREASE THE CONTRACT SUM BY AN ADDITIONAL $40,136.00 FOR A TOTAL NOT-TO-EXCEED AMOUNT OF $180,328.00 AND EXTEND THE TERM AN ADDITIONAL 6 MONTHS THROUGH MARCH 7, 2024 (CITY COUNCIL)
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I. SUMMARY
As a result of Request for Proposals (“RFP”) 22-009 contract #C-22-158 was awarded to Macias Gini & O’Connell (“MGO”) in September 2022 to provide a performance audit of the Citywide procurement policies and procedures for City’s procurement of goods, services, materials, and equipment necessary to support the City’s operational and administrative functions.
Staff is now asking City Council to consider approving Amendment No. 1 increasing the scope to account for additional tasks and increasing funding by additional $40,136.00 and increasing the contract term an additional six months through March 7, 2024.
II. RECOMMENDATION
Recommendation
TAKE the following actions:
1. APPROVE the Amendment No. 1 of the Agreement with Macias Gini & O’Connell adding $40,136.00 of additional funding and increasing the term through March 7, 2024.
2. AUTHORIZE the Mayor to execute Amendment No. 1 following approval as to form by the City Attorney.
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III. ALTERNATIVES
TAKE another action as deemed appropriate by the City Council.
IV. BACKGROUND
In September 2022, the City and MGO entered into the Contract Agreement, whereby the Consultant agreed to provide a performance audit of the Citywide procurement and contracts policies and procedures. The audit has entailed of assessing current challenges of the City’s procurement processes to develop recommended policy and procedural updates to strengthen and streamline the procurement process citywide.
During the audit process, the City and Consultant have identified additional needs and tasks that were not originally factored into the agreement. Based on the increase in scope, there is a need for both additional time and additional funding for this audit process.
Pursuant to Section 3.2 Schedule of Performance of the Original Agreement, the Contract Officer, Tarik Rahmani, approved in writing, the extension of the performance schedule an additional 180 days.
The City and Consultant now desire to amend the Agreement to: (i) add additional services that Consultant is to perform related to the procurement audit thereby increasing the total Contract Sum by $40, 136.00, bringing the adjusted Contract Sum to $180,328.00; and (ii) extend the Agreement Term for an additional 6 months from September 8, 2023 through March 7, 2024, effective retroactive to September 7, 2023.
V. FISCAL IMPACT
No Fiscal Impact.
The remaining contract balance of $40,136.00 will be appropriated from the Continued Appropriation approved by Council on Sep 19th, 2023.
VI. EXHIBITS
1. Amendment No. 1 to Agreement with Macias Gini & O’Connell (pgs.4-18)
Prepared by: William Jefferson, Director of Finance and Josilla Togiola, Purchasing Manager