Report to Mayor and City Council
Tuesday, September 20, 2022
Consent
SUBJECT:
Title
CONSIDER APPROVING AN AWARD OF CONTRACT TO MACIAS GINI & O'CONNELL (MGO) FOR PERFORMANCE AUDIT OF THE CITYWIDE PROCUREMENT AND CONTRACT PROCESS AND APPROVING RESOLUTION NO. 22-172, "A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARSON, CALIFORNIA, AMENDING THE FY 2022/2023 BUDGET IN THE GENERAL FUND" (CITY COUNCIL)
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I. SUMMARY
A Request for Proposal, RFP 22-009 Procurement and Contract Services Audit was released on April 28, 2022 to solicit consultants to provide a performance audit of the Citywide procurement and contracts process for City’s procurement of goods, services, materials, and equipment necessary to support the City’s operational and administrative functions.
This audit will assess the current challenges of the City’s procurement processes to understand and propose value added recommendations. The selected consultant shall identify opportunities to strengthen and streamline the contract process citywide (including but not limited to staffing levels, City Council policies, management practices and use of technology).
Staff is recommending approving a contract for an amount not to exceed $140,192 with Macias Gini & O’Connell.
II. RECOMMENDATION
Recommendation
TAKE the following actions:
1. AWARD and APPROVE a Contract Services Agreement with Macias Gini & O’Connell for audit of the Citywide procurement and contracts process for an amount not to exceed of $140,192. (Exhibit No. 1)
2. AUTHORIZE the Mayor to execute the Contract following approval as to form by the City Attorney.
3. WAIVE further reading and ADOPT Resolution No. 22-172, “A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARSON, CALIFORNIA, AMENDING THE FY 2022/2023 BUDGET IN THE GENERAL FUND “
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III. ALTERNATIVES
1. REJECT all bids.
2. TAKE another action the City Council deems appropriate consistent with the requirements of the law.
IV. BACKGROUND
A formal solicitation, RFP 22-009 - Procurement and Contract Services Audit, was released on PlanetBids and published through the Daily Journal seeking consulting services to provide a performance audit of the Citywide procurement and contract process for City’s procurement of goods, services, materials, and equipment necessary to support the City’s operational and administrative functions. The performance audit will assess the current challenges of the City’s procurement processes to understand and propose value added recommendations. The selected consultant shall identify opportunities to strengthen and streamline the contract process citywide (including but not limited to staffing levels, City Council policies, management practices and use of technology). The solicitation closed on May 19, 2022, and two proposals were received from:
• Macias Gini & O’Connell LLP (MGO) $140,192
• The LeFlore Group (TLG) $ 90,000
An evaluation committee convened and reviewed the two proposals, and is now recommending award of the contract to MGO after making the determination that MGO is most suited to provide the required services based on demonstrated competence and professional qualifications at a fair and reasonable price, in accordance with Section 2611(c) of the Carson Municipal Code. MGO is being recommended in spite of its higher cost proposal.
MGO is a nationwide certified public accounting (CPA) and advisory firm. With 18 offices throughout the nation and internationally, their staff includes over 600 professionals including 125 governmental practitioners. The public sector services include operational, performance, and compliance assessments in organizational structure, business processes, internal controls, and information technology
V. FISCAL IMPACT
If approved, $140,192 will be withdrawn from the General Fund Reserve into GL Account # 101-60-630-101-6004 for services with Macias Gini & O’Connell.
VI. EXHIBITS
1. Contract Services Agreement Between City of Carson and Macias Gini & O’Connell. (pgs. 4-41)
2. Budget Resolution No. 22-172 (pgs. 42-43)
Prepared by: Tarik Rahmani, Finance Director and Rita McCullum, Purchasing Manager