Item Coversheet

Resolutions - C7  C




COMMISSION MEMORANDUM

TO:Honorable Mayor and Members of the City Commission 
FROM:Jimmy L. Morales, City Manager 
DATE:January  17, 2018
 



SUBJECT:A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, 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) 2017/2018 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 2017/2018 (SEPTEMBER 30, 2018); 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 THE CITY COMMISSION MEMORANDUM ACCOMPANYING 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, 2018, 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 adopting both Resolutions.


ANALYSIS

The first 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.

 

Under the City Charter, the City Manager has the authority to appoint an employee into a vacant, budgeted position with a salary that falls within the range established by the City Commission for the subject classification.  Sometimes, when positions have been vacated the City has retained independent contractors to provide the services or work.

 

In an effort to save on costs, such as pension and health benefits, the Administration is recommending that for FY 2017/18, the City Commission reauthorize the City Manager to negotiate, enter into, and execute independent contractor agreements, including some at an amount exceeding $50,000, subject to all of the following provisions:

 

  • The independent contractor agreements authorized under the proposed resolution will be limited to services or work related to a vacant, budgeted position, as approved in the City’s FY 2017/18 operating budget; 

     

  • 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, 2018. 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.

 

  • The authority granted the City Manage will be subject to monitoring through periodic Letters to the Commission (LTC), identifying any independent contractor agreement that 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, , and on September 30, 2016, for the fiscal year ending September 30, 2017. 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 2017/18.   

 

The second resolution also pertains to independent contractors who will be providing specific services or work reflected in departmental budgets. Some of the services include: baseball, softball, soccer, gymnastics, cheerleading, volleyball; ice-skating, skating, hockey, swimming, ice guards, aerobics instruction; fitness instruction; arts/music/cultural/drama instruction and or instrument repair; computer/media services, including but not limited to, instruction, and repair; recreational programming and instruction; instruction and therapy for participants with special needs, including but not limited to, education, health and wellness; instruction/tutoring, including but not limited to education; cotillion; speech; debate, social skills, literacy, math and SAT; fitness classes, including but not limited to, aerobics, zumba, weight room, weight loss, general fitness instruction, adult and youth boot camp and baby boot camp; school liaison officers; resident project representatives (RPR); community/public information services; construction cost estimating/consulting services; video production services; photography/videography services; graphic designer services; program monitor services;  cost allocation services; job audits; step III disciplinary grievance hearing officer; auditors; historical researcher; latent examiner services; medical director and accreditation services/support; psychological and testing services; organizational development meeting facilitation services; professional training services, including but not limited to, sexual harassment, diversity and team building; home visitors for the parent-child home program; instructors for the Mornings all-star program and HUD compliance.

 

To coordinate the execution of agreements for the kinds of services or work referenced in the second resolution, the Administration also recommends that the City Manager be authorized to negotiate, enter into, and execute agreements, including those in an amount greater than $50,000, subject to all of the following provisions:

 

  • The agreements will be limited to the services or work specifically listed in the second resolution;

     

  • The value of the agreement will not exceed the authorized amount for the respective  services or work, as set forth in the City’s approved FY 2017/18 operating budget;   

     

  • The term of the agreement shall not extend beyond the end of FY 2016/17 (September 30, 2017); and

     

  • Any agreement entered into will contain, at a minimum, the provisions outlined in the City’s standard form agreement for independent contractors (Attachment A).

 

  • The authority granted the City Manager be subject to monitoring through periodic Letters to the Commission (LTC), identifying any independent contractor agreement that exceeds the $50,000 threshold.


CONCLUSION

The City Commission has approved both resolutions 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 2017/18.


Legislative Tracking
Human Resources

ATTACHMENTS:
Description
Resolution