HomeMy WebLinkAboutStaff Report 240-05City of Palo Alto
City Manager's Report
TO: HONORABLE CITY COUNCIL
FROM: CITY MANAGER DEPARTMENT: HUMAN RESOURCES
DATE: MAY 16,2005 CMR: 240:05
SUBJECT: APPROVAL OF CHANGE ORDER TO THE BLANKET PURCHASE
ORDER WITH MANPOWER STAFFING SERVICES FOR TEMPORARY
EMPLOYEE SERVICES
RECOMMENDATION
Staff recommends that Council approve and authorize the City Manager to execute a change order to
the blanket purchase order with Manpower Staffing ServiCes to increase the maximum by the amount
of $25,000 for temporary employee services, bringing total amount of the revised order to $110,000.
BACKGROUND
For many years, the City used temporary employment services to provide temporary employees to
City departments on an as-needed basis. These staffing agencies provide an available, qualified pool
of applicants in specialized areas such as finance/accounting and engineering as well as general labor
and clerical positions. It was often more cost-effective and more efficient for the City to hire
temporary staff through a staffing agency due to the competitive rates and the availability of qualified
personnel that staffing agencies offer. For the past three years, the City contracted Corestaff and
Manpower to provide temporary employees to departments. The contract with Corestaff and
Manpower expired in May 2004.
DISCUSSION
In May 2004, upon the expiration of the temporary employee services contract, the City decided to
discontinue the practice of hiring temporary personnel through agencies. In August 2004, as an
interim measure, the City established a blanket purchase order in the amount of $85,000 to facilitate
department needs for some seasonal and short-term staffing. The dollar amount was estimated with
the intent of phasing out the use of contract agency employee services. Manpower Staffing Services
was selected as the service provider through a formal solicitation process completed in the spring of
2004.
Upon final accounting from the various-user departments, it was found that an additional $17,063 is
needed to cover the final payments to Manpower Staffing Services. The oversight was partially
related to the vendor (Manpower) having multiple offices. The issue was not identified until after
the expiration of the contract, but the additional charges are for valid services that were provided to
the City. City Council approval is requested to finalize payment with Manpower since these
outstanding invoices exceed the City Manager's contract authorization for professional services.
CMR: 240:05 Page lof2
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RESOURCE IMPACT
No additional funding is required for this amendment since there are sufficient funds available in the
Planning and Utilities Department budgets to cover these final expenses.
POLICY IMPLICATIONS
The recommendation is consistent with existing City policies.
ENVIRONMENTAL REVIEW
This is not a project under the California Environmental Quality Act (CEQA).
PREPARED BY: Kathy Lee, HR Administrator
DEPARTMENTHEAD: ___ ---==\~= .. ~=~=". .. ~~==--~....;.. ... ;.....:/=/ =-____ _
RUSS CARLSEN
Acting Director of Human Resources
CITY MANAGER APPROVAL: ~ &,~
EMILY HARRISON .
Assistant City Manager
CMR: 240:05 Page 2 of2