TITLE
Recommendation to authorize City Manager to execute First Amendments to Agreement Nos. 31742 with the City of Cerritos, 31708 with the City of Los Alamitos, 31707 with the City of Seal Beach, and 31714 with the City of Signal Hill, and any related documents to extend the provision of services by the City of Long Beach's Animal Care Services Bureau through June 30, 2014; establish a Compensation Schedule for Fiscal Year 2013 (FY 13); and provide for an adjustment to the Compensation Schedule to match the percent change in the Consumer Price Index in Fiscal Year 2014 (FY 14). (Citywide)
DISCUSSION
For the past 20 years, the City of Long Beach's Animal Care Services Bureau (ACS) has provided various services, including sheltering, impounding, and calls for service (Services) to the cities of Cerritos, Los Alamitos, Seal Beach, and Signal Hill (collectively referred to as Contract Cities). On July 8, 2010, the City Council authorized Agreement Nos. 31742 with the City of Cerritos, 31708 with the City of Los Alamitos, 31707 with the City of Seal Beach, and 31714 with the City of Signal Hill (Agreements), which established parameters for the City of Long Beach's provision of Services to the Contract Cities, and established a Compensation Schedule based upon a Total Cost Allocation Model. This allowed the Contract Cities to pay only their respective share of ACS' total budget for Services.
The above-mentioned Agreements will expire on June 30, 2012. In order to continue the provision of Services to the Contract Cities, it is necessary to amend the Term and Compensation Schedule provisions of the Agreements to extend each term through June 30, 2014, establish the Compensation Schedule for FY 13, and provide for an adjustment of the FY 14 Compensation Schedule based upon the percent change in the Consumer Price Index (CPI). The Department of Parks, Recreation and Marine (PRM) has worked with the Contract Cities and has received consent from each to proceed with amending the Agreements and establishing revised Compensation Schedules for each of the Contract Cities.
The proposed action will amend the following provisions:
· Amended Term: Two years, from July 1, 2012 through June 30, 2014.
· Compensation Schedule for FY 13: For reference purposes, the Compensation Schedule has historically been based upon a Total Cost Allocation Model, wherein each of the Contract Cities are charged only the percentage of Services rendered during the prior fiscal year of each of the individual cities. The Compensation Schedule below is based upon budget actuals for Services from FY 11, and will take effect on July 1, 2012, as follows:
1. |
Cerritos |
$295,099 |
2. |
Los Alamitos |
$ 77,572 |
3. |
Seal Beach |
$141,356 |
4. |
Signal Hill |
$ 68,501 |
|
Total: |
$582,528 |
· FY 14 CPI Adjustment: On June 1, 2014, the above-mentioned Compensation Schedule shall be adjusted by the percent change in the CPI for All Urban Consumers, All Items, Base Period 1982-84=100, for the Los Angeles-Riverside-Orange County, CA Area, (March 2013 to March 2014), as published by the United States Department of Labor, Bureau of Labor Statistics (CUURA421SA0), which shall not exceed eight percent in any given fiscal year.
This matter was reviewed by Deputy City Attorney Gary J. Anderson on April 23, 2012, and Budget Management Officer Victoria Bell on April 27, 2012.
TIMING CONSIDERATIONS
City Council action is requested on May 15, 2012, in order to amend the Agreements to enable the City of Long Beach to continue providing Services, and to avoid any delays and/or interruptions of Services to the Contract Cities.
FISCAL IMPACT
In FY 13, a total of $582,528 will accrue to the General Fund (GP) in the Department of Parks, Recreation and Marine (PR). In FY 14, the Compensation Schedule will be adjusted by the CPI. There is no job impact associated with the recommended action.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
GEORGE CHAPJIAN
DIRECTOR OF PARKS, RECREATION AND MARINE
APPROVED:
PATRICK H. WEST
CITY MANAGER