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2011-27740 Reso RESOLUTION NO. 2011 -27740 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 FOR SUCH PROFESSIONAL AND OTHER SERVICES TO PROVIDE SERVICES AND /OR WORK RELATED TO VACANT BUDGETED POSITIONS, AS IDENTIFIED IN THE CITY'S APPROVED FISCAL YEAR (FY) 2011/2012 ANNUAL BUDGET; 2) THE AMOUNT OF THE FEE AND /OR OTHER COMPENSATION TO BE PAID BY THE CITY UNDER SUCH CONTRACT(S) SHALL NOT EXCEED THE AUTHORIZED AMOUNT FOR THE RESPECTIVE POSITION /CLASSIFICATION, AS SET FORTH, RESPECTIVELY, 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 2011/2012 (SEPTEMBER 30, 2012); 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 THAN THE CITY'S FORM, BUT NOT MORE LENIENT; AND 5) PROVIDING THAT THE AUTHORITY GRANTED TO THE CITY MANAGER PURSUANT TO THIS RESOLUTION SHALL BE BROUGHT TO THE CITY COMMISSION FOR RENEWAL ANNUALLY AS PART OF THE ANNUAL OPERATING BUDGET APPROVALS. WHEREAS, under the City Charter, the City Manager has the authority to appoint an employee into a vacant, budgeted position with a salary within the range established by the City Commission for the classification; and WHEREAS, given current financial realities, the City has had to eliminate positions in its annual budget for each of the last four (4) fiscal years and again for the fiscal year starting on October 1, 2011; and WHEREAS, it has been the City's practice to restrict hiring for vacant positions where practicable; and WHEREAS, all vacant positions identified to be filled are carefully analyzed, and positions that were deemed mission critical have been filled, but others have been held vacant; and WHEREAS, this has been done to try to place employees whose positions may have been eliminated, and also to avoid hiring an employee and then possibly having to lay them off at the end of the fiscal year if their position is eliminated; and WHEREAS, in some instances where positions were held vacant, the City has retained independent contractors to provide the respective services and /or work; and WHEREAS, because the City Code requires contracts in excess $25,000 to be approved by the City Commission, these agreements have typically been limited to that maximum amount; and WHEREAS, on rare occasions, independent contractor agreements for amounts over $25,000 have been brought to the City Commission for approval; and WHEREAS, in an effort to save on both short -term and long -term costs, such as pension and health benefits, the Administration is recommending that the City Commission authorize the City Manager to negotiate, enter into, and execute certain independent contractor agreements, including those having an amount that may exceed $25,000, subject to the following parameters: • The independent contract agreements authoriz ed under this Resolution will be p 9 limited to services and /or work related to a vacant, budgeted position, as approved in the City's Fiscal Year (FY) 2011/2012 annual 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, 2012; and • Any agreement entered into will contain, at a minimum, the provisions outlined in the City's standard form independent contractor agreement (a copy of which is attached hereto and incorporated herein); and WHEREAS, the City Commission granted similar authority to the City Manager on December 9, 2009 for FY 2009/2010 and renewed the authority on September 20, 2010 for FY 2010/2011; and WHEREAS, during the discussions for the initial authority, it was said that this authority would be brought back for renewal on an annual basis as part of the budget process, as the authority expires at the end of the fiscal year. NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND THE CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the City Manager is authorized, 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 for such professional and other services to provide services and /or work related to vacant budgeted positions, as identified in the City's approved Fiscal Year (FY) 2011/2012 Annual Budget; 2) the amount of the fee and /or other compensation to be paid by the City under such contract(s) shall not exceed the authorized amount for the respective position /classification, as set forth, respectively, 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 2011/2012 (September 30, 2012); 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, provided that the City Manager may incorporate additional terms, which may be more stringent than the City's form, but not more lenient; and 5) providing that the authority granted to the City Manager pursuant to this Resolution shall be brought to the City Commission for renewal annually as part of the annual operating budget approvals. 0 y0 PASSED and ADOPTED this (2 / da of 5* 6' , 2011. ATTEST: 1 (0. ) , a • L / i CITY CLERK T:\AGENDA\2010 \September 20 \Consent \I:. - .r ��i:f�es�..doc i i 1 INCORP ORATED: " • --" CH 26 APPROVED AS TO FORM & LANGUAGE & FOR EXECUTION 1 11.4 . mt ttorn Date �l1 LUMMISSIUN 1 1 1 M SUMMARY Condensed Titles: Resolution authorizing the City to enter into certain Independent Contractor Agreements for professional and other services, as required and as are deemed in the best interest of the City, subject to and contingent upon the following parameters: (1) the City Manager shall only enter into contracts for such professional and other services to provide services and /or work related to vacant budgeted positions, as identified in the City's approved Fiscal Year (FY) 2011/2012 Annual Budget; (2) the amount of the fee and /or other compensation to be paid under such contract(s) shall not exceed the authorized amount for the respective position /classification, as set forth, respectively, in the 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 2011/2012 (September 30, 2012); (4) at a minimum, any Independent Contractor Agreement entered pursuant to this Resolution shall utilize the City's standard form for independent contractors (as attached to this Resolution), provided that the Manager may incorporate additional terms, which may be more stringent than the City's form, but not more lenient; and (5) providing that the authority granted pursuant to this Resolution shall be brought to the City commission for renewal annually as part of the annual operating budget approvals. Resolution authorizing the City to enter into certain independent contractor agreements for the following services, as required and as are deemed in the best interest of the City: dance instruction; ice skating instruction; athletics instruction /coaching; aerobics instruction; fitness instruction; literacy, math and SAT tutoring; computer (IT) services; School Liaison Officers; Resident Project Representatives (RPR); community information services; construction cost estimating /consulting services; television production services; videographer services; graphic designer services; program monitor services; cost allocation service; job audits; Step III Disciplinary Hearing Officer; and auditors; provided further that the City Manager shall be authorized to negotiate, enter into, and execute the aforestated agreements subject to the following minimum parameters: (1) the amount of the fee and /or other compensation to be paid by the City under such agreement(s) shall not exceed the authorized amount for the respective services, as set forth in the City's approved Fiscal Year (FY) 2011/2012 Annual Budget; (2) the term of any services agreement authorized herein shall not extend beyond the end of FY 2011/2012 (September 30, 2012); (3) at a minimum, any agreement entered pursuant to this Resolution shall utilize the City's standard form Independent Contractor Agreement (as attached to this Resolution), provided that the City may incorporate additional terms, which may be more stringent than the City's form, but not more lenient; and (4) providing that the authority granted pursuant to this Resolution shall be brought to the City commission for renewal annually as part of the annual operating budget approvals. Key Intended Outcome Supported: (1) Increase satisfaction with family recreational activities; (2) Enhance external and internal communications from and within the City; (3) Control costs of payroll including salary and fringes/ minimize taxes/ ensure expenditure trends are sustainable over the long term; and (4) attract and maintain a quality workforce. Supporting Data (Surveys, Environmental Scan, etc.): 2009 Community Satisfaction survey: 84.9% of residents rated Recreation Programs as excellent/good and 79.3% of residents rated the amount of information received from the City as excellent/good. Issue: Shall the City Manager be granted the authority to enter into certain Independent Contractor Agreements? Item Summary/Recommendation: Under the City Charter, the City Manager has the authority to appoint an employee into a vacant, budgeted position with a salary within the range established by the City Commission for that classification. Given the current financial realities, the City has had to eliminate positions in its annual budget the past four (4) Fiscal Years, and again for the one ending on September 30, 2012. It has been the City's practice to restrict hiring for vacant positions where practicable. In some instances where positions were held vacant, the City has retained independent contractors to provide the service or work. The Administration recommends that the City Commission authorize the City Manager to negotiate, enter and execute certain independent contractor agreements, including those having an amount exceeding $25,000, to provide services or work related to vacant, budgeted positions, subject to certain parameters. Additionally, the Administration recommends that the City Manager be authorized to negotiate, enter and execute independent contractor agreements, including those exceeding $25,000, to provide services related to certain activities typically retained on an annual basis as outlined in the City Commission Memorandum, subject to certain minimum parameters. Advisory Board Recommendation: N/A Financial Information: Source of Amount Account Funds: 1 2 OBPI Total Financial Impact Summary: Funds are already included in the FY 2010/2011 Annual Operating Budget, in either Salaries or Professional Services line items in various respective departments City Clerk's Office Legislative Tracking: Ramiro Inguanzo, Human Resources Director Sign -Offs: epa ment Director(s) s' ant C it Manage City Manager n . . MI A MI B E ACH AGENDA. ITEM � 7A ��� DATE 9-4Z7-11 -- MIAMI BEACH City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miamibeachfl.gov COMMISSION MEMORANDUM TO: Mayor Matti Herrera Bower and Members of the City Commission FROM: Jorge M. Gonzalez, City Manager DATE: September 27, 2011 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 FOR SUCH PROFESSIONAL AND OTHER SERVICES TO PROVIDE SERVICES AND /OR WORK RELATED TO VACANT BUDGETED POSITIONS, AS IDENTIFIED IN THE CITY'S APPROVED FISCAL YEAR (FY) 2011/2012 ANNUAL BUDGET; 2) THE AMOUNT OF THE FEE AND /OR OTHER COMPENSATION TO BE PAID BY THE CITY UNDER SUCH CONTRACT(S) SHALL NOT EXCEED THE AUTHORIZED AMOUNT FOR THE RESPECTIVE POSITION /CLASSIFICATION, AS SET FORTH, RESPECTIVELY, 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 2011/2012 (SEPTEMBER 30, 2012); 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 THAN THE CITY'S FORM, BUT NOT MORE LENIENT; AND 5) PROVIDING THAT THE AUTHORITY GRANTED TO THE CITY MANAGER PURSUANT TO THIS RESOLUTION SHALL BE BROUGHT TO THE CITY COMMISSION FOR RENEWAL ANNUALLY AS PART OF THE ANNUAL OPERATING BUDGET APPROVALS. 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 THE FOLLOWING SERVICES, AS REQUIRED AND AS THE CITY MANAGER DEEMS IN THE BEST INTEREST OF THE CITY: DANCE INSTRUCTION; ICE SKATING INSTRUCTION; ATHLETICS INSTRUCTION/ COACHING; AEROBICS INSTRUCTION; FITNESS INSTRUCTION; LITERACY, MATH AND SAT TUTORING; COMPUTER (IT) SERVICES; SCHOOL LIAISON OFFICERS; RESIDENT PROJECT REPRESENTATIVES (RPR); COMMUNITY INFORMATION SERVICES; CONSTRUCTION COST ESTIMATING /CONSULTING SERVICES; TELEVISION PRODUCTION SERVICES; VIDEOGRAPHER SERVICES; GRAPHIC DESIGNER SERVICES; PROGRAM MONITOR SERVICES; COST ALLOCATION SERVICE; JOB AUDITS; STEP III DISCIPLINARY GRIEVANCE HEARING OFFICER; AND AUDITORS; PROVIDED FURTHER THAT THE CITY MANAGER SHALL BE AUTHORIZED TO NEGOTIATE, ENTER INTO, AND EXECUTE THE AFORESTATED AGREEMENTS SUBJECT TO THE FOLLOWING MINIMUM PARAMETERS: 1) THE AMOUNT OF THE FEE AND /OR OTHER City Commission Memorandum September 27, 2011 Independent Contractor Agreements Page 2 of 4 COMPENSATION TO BE PAID BY THE CITY UNDER SUCH AGREEMENT(S) SHALL NOT EXCEED THE AUTHORIZED AMOUNT FOR THE RESPECTIVE SERVICES, AS SET FORTH IN THE CITY'S APPROVED FISCAL YEAR (FY) 2011/2012 ANNUAL BUDGET; 2) THE TERM OF ANY SERVICES AGREEMENT AUTHORIZED HEREIN SHALL NOT EXTEND BEYOND THE END OF FY 2011/2012 (SEPTEMBER 30, 2012); 3) AT A MINIMUM, THE CITY MANAGER SHALL REQUIRE THAT ANY AGREEMENT ENTERED INTO PURSUANT TO THIS RESOLUTION SHALL UTILIZE THE CITY'S STANDARD FORM INDEPENDENT CONTRACTOR AGREEMENT (AS ATTACHED TO THIS RESOLUTION), PROVIDED THAT THE CITY MANAGER MAY INCORPORATE ADDITIONAL TERMS, WHICH MAY BE MORE STRINGENT THAN THE CITY'S FORM, BUT NOT MORE LENIENT; AND 4) PROVIDING THAT THE AUTHORITY GRANTED TO THE CITY MANAGER PURSUANT TO THIS RESOLUTION SHALL BE BROUGHT TO THE CITY COMMISSION FOR RENEWAL ANNUALLY AS PART OF THE ANNUAL OPERATING BUDGET APPROVALS. ADMINISTRATION RECOMMENDATION Adopt both Resolutions. BACKGROUND / ANALYSIS The first Resolution pertains to independent contractor agreements for individuals hired to perform a specific function for a temporary period. These individuals are usually compensated at 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 within the range established by the City Commission for that classification. Given current financial realities, the City has had to eliminate 246 full -time position and 14 part -time positions between Fiscal Years (FY) 2007/08 and 2010/11, and will eliminate additional positions in the fiscal year starting on October 1, 2011. It has been the City's practice to restrict hiring for vacant positions where practicable. All vacant positions identified to be filled are carefully analyzed. Positions that were deemed "mission critical" have been filled, but others have been held vacant. This has been done to try to place employees whose positions may have been eliminated, and also to avoid hiring an employee and then possibly having to lay them off at the end of the fiscal year if their position is eliminated. In some instances where positions were held vacant, the City has retained independent contractors to provide the respective services and /or work. Because the City Code requires contracts in excess of $25,000 to be approved by the City Commission, these agreements have typically been limited to that maximum amount. In an effort to save on both short -term and long -term costs, such as pension and health benefits, the Administration is recommending that the City Commission authorize the City Manager to negotiate, enter into, and execute certain independent contractor agreements, including those having an amount that may exceed $25,000, subject to all of the following parameters: • The independent contractor agreements authorized under this Resolution will be limited to services and /or work related to a vacant, budgeted position, as approved in the City's FY 2011/2012 annual operating budget; • The value of the agreement will not exceed the amount already authorized in the City's City Commission Memorandum September 27, 2011 Independent Contractor Agreements Page 3 of 4 Classified and Unclassified Salary Ordinances (as applicable), and will not extend beyond September 30, 2012; and • Any agreement entered into will contain, at a minimum, the provisions outlined in the City's standard form independent contractor agreement (Attachment A). 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. At its October 29, 2009 meeting, the Finance and Citywide Projects Committee held a discussion regarding this item. As part of the discussion, the Administration clarified that the purpose of this item was not to replace those employees currently in a position, or to eliminate a position and layoff an employee to then hire an independent contractor to perform the same functions. The independent contractors will be used to perform the functions of vacant, budgeted positions where a previous incumbent employee separated from City of their own choosing, or through termination based on cause. The City Commission originally approved this Resolution at its December 9, 2009 meeting for the fiscal year ending on September 30, 2010; and renewed it on September 20, 2010 for the fiscal year ending on September 30, 2011. It was agreed that the use of Independent Contractor Agreements would be monitored through periodic Letters to the Commission (LTC), and that this authority would be brought back for renewal on an annual basis as part of the budget process, as the authority expires at the end of the fiscal year. To date, during the 2010/2011 Fiscal Year, the following three (3) agreements were executed pursuant to this authority: • One (1) Fingerprint Latent Examiner for the Police Department, in an amount not to exceed $78,000.00; • One (1) Office Associate IV for the Public Works Department, in an amount not to exceed $6,857.00; and • One (1) Supplementary Field Inspection Services Provider for the Public Works Department, in an amount not to exceed $22,500.00, to assist the Department in performing some of the duties of the vacant Assistant City Engineer position. This updated resolution is for the 2011/2012 Fiscal Year. The second Resolution also pertains to independent contractors who will be providing certain specific services and /or work that were otherwise budgeted in each of the respective departmental budgets. Some of the services budgeted include: Dance Instruction, Ice Skating Instruction, Athletics Instruction /Coaching, Aerobics Instruction, Fitness Instruction, and Literacy, Math and SAT Tutoring for the Parks and Recreation Department; School Liaison Officers for the Police Department; Resident Project Representatives (RPR); Community Information Services; Construction Cost Estimating /Consulting Services for the Capital Improvement Projects (CIP) Office; Television Production Services, Videographer Services, and Graphic Designer Services for the Office of Communications; Homeless Outreach, Housing Services, Tutoring Services and Program Monitor Services for the Office of Real Estate, Housing and Community Development; Cost Allocation Services for the Finance Department; and Auditor Services for the Office of Budget and Performance Improvement. Additionally, for this upcoming fiscal year, we are requesting the inclusion of the following three (3) new categories: computer (IT) services provider, to support the computers that are used by Parks and Recreation Youth Center participants; job audits and surveys related to job positions, to provide part of the functions previously performed by the HR Specialist that was eliminated from the upcoming fiscal year budget; and a Step III Disciplinary Grievance City Commission Memorandum September 27, 2011 Independent Contractor Agreements Page 4 of 4 hearing officer to act as the City Manager's Designee for Labor Relations on cases where the involvement of HR staff in the preliminary disciplinary process prevents them from acting as a neutral arbitrator. In an effort to coordinate the execution of agreements for the kind of services and /or work referenced in the second Resolution, the Administration also recommends that the City Manager be authorized to negotiate, enter into, and execute such agreements, including those having an amount greater than $25,000, subject to all of the following parameters: • The agreements will be limited to the services and /or work specifically listed in the second Resolution; • The value of the agreement will not exceed the authorized amount for the respective services and /or work, as set forth in the City's Approved FY 2011/2012 Annual Budget; • The term of the agreement shall not extend beyond the end of FY 2011/2012 (September 30, 2012); 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 City Commission also approved this Resolution at its December 9, 2009 meeting for the fiscal year ending on September 30, 2010; and renewed it on September 20, 2010 for the fiscal year ending September 30, 2011. The resolutions were subject to the same monitoring through periodic Letters to the Commission (LTC) as the Resolutions above, and that this authority would be brought back for renewal on an annual basis as part of the budget process, as the authority expires at the end of the fiscal year. • To date, during the 2010/2011 Fiscal Year, one (1) agreement for a Homeless Prevention Program Monitor for the Real Estate, Housing & Community Development Division, in an amount not to exceed $59,836.92 (grant funded) was executed pursuant to this authority. Additionally, one (1) Professional Services Agreement for Television Production Services, in an amount not to exceed $51,000, was entered during the current fiscal year. • Other agreements for services such as program monitoring, videographer services, lease managers, tutoring, coaching, IT summer interns, and instructors in the area of dance, athletics, music and skating have been executed in the current fiscal year. However, these agreements did not fall under the purview of this authority, as each contractor was awarded agreements totaling $25,000 or less. Additionally, the Parks and Recreation Department retained the services of one (1) computer (IT) services provider to support the computers that are utilized by youth center participants, in an amount not to exceed $5,000. This updated resolution is for the 2011/2012 Fiscal Year. CONCLUSION The Administration recommends adopting both Resolutions. Attachment T:WGENDA\2011 \9 -27 -11 \Independent Contractor Memo 2011 -2012 D 2 a.doc ATTACHMENT A CITY'S STANDARD FORM FOR INDEPENDENT CONTRACTORS __ r