Item Coversheet

Resolutions - C7  G




COMMISSION MEMORANDUM

TO:Honorable Mayor and Members of the City Commission 
FROM:Jimmy L. Morales, City Manager 
DATE:May  17, 2017
 



SUBJECT:A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, RETROACTIVELY AUTHORIZING THE CITY MANAGER, ON BEHALF OF THE CITY, TO ENTER INTO CERTAIN INDEPENDENT CONTRACTOR AGREEMENTS FOR PROFESSIONAL AND OTHER SERVICES, AS REQUIRED, AND AS THE CITY MANAGER DEEMS IN THE BEST INTEREST OF THE CITY, SUBJECT TO AND CONTINGENT UPON THE FOLLOWING PARAMETERS: 1) THE CITY MANAGER SHALL ONLY ENTER INTO CONTRACTS TO PROVIDE SERVICES OR WORK RELATED TO VACANT BUDGETED POSITIONS, AS IDENTIFIED IN THE CITY’S APPROVED FISCAL YEAR (FY) 2016/2017 BUDGET; 2) THE AMOUNT OF THE FEE OR OTHER COMPENSATION UNDER SUCH CONTRACT(S) SHALL NOT EXCEED THE AUTHORIZED AMOUNT FOR THE RESPECTIVE CLASSIFICATION, AS SET FORTH IN THE CITY’S CLASSIFIED OR UNCLASSIFIED SALARY ORDINANCE (AS THE CASE MAY BE); 3) THE TERM OF ANY INDEPENDENT CONTRACTOR AGREEMENT AUTHORIZED HEREIN SHALL NOT EXTEND BEYOND THE END OF FY 2016/2017 (SEPTEMBER 30, 2017); 4) AT A MINIMUM, THE CITY MANAGER SHALL REQUIRE THAT ANY INDEPENDENT CONTRACTOR AGREEMENT ENTERED INTO PURSUANT TO THIS RESOLUTION SHALL UTILIZE THE CITY’S STANDARD FORM FOR INDEPENDENT CONTRACTORS (AS ATTACHED TO THIS RESOLUTION), PROVIDED THAT THE CITY MANAGER MAY INCORPORATE ADDITIONAL TERMS, WHICH MAY BE MORE STRINGENT, BUT NOT MORE LENIENT; 5) REQUIRING THE CITY MANAGER TO ISSUE A LETTER TO COMMISSION EACH FISCAL QUARTER COMMENCING ON JANUARY 1, 2017, WHICH DELINEATES THOSE INDEPENDENT CONTRACTOR AGREEMENTS THAT EXCEED $50,000 AND 6) PROVIDING THAT THE AUTHORITY GRANTED TO THE CITY MANAGER PURSUANT TO THIS RESOLUTION SHALL BE BROUGHT TO THE CITY COMMISSION FOR RENEWAL AS PART OF THE ANNUAL OPERATING BUDGET APPROVAL.

RECOMMENDATION

The Administration recommends approving the Resolution

ANALYSIS

The resolution pertains to independent contractor agreements for individuals hired to perform a specific function, who are usually compensated on an hourly or project specific rate.

In an effort to save on costs, such as pension and health benefits, the Administration is recommending that for FY 2016/17, the City Commission reauthorize the City Manager to negotiate, enter into, and execute independent contractor agreements, including some at an amount not to exceed $50,000, subject to all of the following provisions:


• The value of the agreement will not exceed the amount already authorized in the City’s Classified and Unclassified Salary Ordinances (as applicable), and will not extend beyond September 30, 2017. Any agreement entered into will contain, at a minimum, the provisions outlined in the City’s standard form independent contractor agreement, which, among other things, requires the issuance of a purchase order. (Attachment A).

• The authority granted the City Manager will be subject to monitoring through quarterly Letters to the Commission (LTC), identifying any independent contractor agreement that does not exceeds the $50,000 threshold.

A resolution requesting the initial authorization for the City Manager to enter into these agreements was first heard at the September 24, 2009, City Commission meeting, where it was referred to the Finance and Citywide Projects Committee (FCWPC). At its October 29, 2009, meeting, as part of the discussion, the Administration clarified that the purpose of this item was not to replace current employees or eliminate positions and lay off employees to hire independent contractors to perform the same functions. The independent contractors were to be used to perform the functions of vacant, budgeted positions where former employees separated from the City.

The City Commission approved the resolution at its December 9, 2009, meeting for the fiscal year ending September 30, 2010; renewed it on September 20, 2010 for the fiscal year ending September 30, 2011; on September 27, 2011 for the fiscal year ending on September 30, 2012; on September 27, 2012 for the fiscal year ending on September 30, 2013, and on September 30, 2014, for the fiscal year ending September 30, 2015, and on September 30, 2015, for the fiscal year ending September 30, 2016. This matter is presented on an annual basis as part of the budget process, as authorization expires at the end of each fiscal year.

This updated resolution is for FY 2016/17.

CONCLUSION

The City Commission has approved the resolution on an annual basis since December 9, 2009, with the requirement that the Administration bring back the item on an annual basis as part of the budget process. The authority granted the City Manage is subject to monitoring through periodic Letters to the Commission (LTC), identifying any independent contractor agreement that exceeds the $50,000 threshold. This updated resolution is for FY 2016/17.
Legislative Tracking
Human Resources

ATTACHMENTS:
Description
Resolution
ICA
PSA