Resolution No. 7644a
1 RESOLUTION NO. 7644
2 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
3 VERNON APPROVING AND AUTHORIZING THE EXECUTION OF
AN AGREEMENT TO PROVIDE MANDATED COST CLAIMING
4 SERVICES BY AND BETWEEN THE CITY OF VERNON AND DMG-
MAXIMUS FOR FISCAL YEAR 2000-2001
5
6 WHEREAS, on July 13, 1999, the City Council of the City of
7 Vernon adopted Resolution No. 7369 approving an Agreement to Provide
8 Mandated Cost Claiming Services for the 1999-2000 fiscal year with DMG-
9 MAXIMUS, formerly known as David M. Griffith & Associates, Ltd., which
10 provided for preparing, processing and filing the City of Vernon's
11 claims for reimbursement of state mandated costs from the State of
12 California; and
13 WHEREAS, DMG-MAXIMUS, or its predecessor company David M.
14 Griffith & Associates, Ltd., has prepared, processed and filed such
15 state mandated cost claims on behalf of the City of Vernon for several
16 years in an effective manner; and
17 WHEREAS, said contract has been extended annually since
18 October 20, 1992; and
19 WHEREAS, DMG-MAXIMUS has submitted the "Agreement to Provide
20 Mandated Cost Claiming Services" for the fiscal year 1999-2000 actual
21 costs and the fiscal year 2000-2001 estimated costs; and
22 WHEREAS, the fixed fee for Annual State Mandated Cost
23 Reimbursement Claims has been set at Three Thousand Six Hundred Fifty
24 Dollars ($3,650) for this fiscal year, and the fee for other claims
25 funded by the 2000 legislative session will be thirty percent (30%) of
26 such reimbursements up to a maximum fee of Three Thousand Four Hundred
27 Dollars ($3,400), with a minimum fee of Five Hundred Dollars ($500).
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NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF VERNON AS FOLLOWS:
SECTION 1: The City Council of the City of Vernon hereby
finds and determines that the recitals contained hereinabove are true
and correct.
SECTION 2: The City Council of the City of Vernon hereby
approves the Agreement to Provide Mandated Cost Claiming Services, a
copy of which is attached hereto as Exhibit "A" and made a part hereof.
SECTION 3: The City Council of the City of Vernon hereby
authorizes the Mayor and the City Clerk to execute said Agreement for,
and on behalf of, the City of Vernon.
SECTION 4: The City Council of the City of Vernon hereby
directs the City Clerk, or his designee, to transmit one fully executed
Agreement to:
DMG-MAXIMUS
Attn: J. Bradley Burgess, Vice President
4320 Auburn Boulevard, Suite 2000
Sacramento, CA 95841
SECTION 5: The City Clerk of the City of Vernon shall
certify to the passage of this resolution, and thereupon and thereafter
the same shall be in full force and effect.
APPROVED AND ADOPTED this 17th day of October, 2000.
ATTES
/�'��
BRUCE V. MALKENHORST, City Clerk
LEONIS C. MALBMG, Ma
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STATE OF CALIFORNIA )
ss
COUNTY OF LOS ANGELES )
I, BRUCE_V. MALKENHORST, City Clerk of the City of Vernon, do
hereby certify that the foregoing Resolution, being Resolution No.
7644, was duly adopted by the City Council of the City of Vernon at a
regular meeting of the City Council duly held on Tuesday,
October 17, 2000, and thereafter was duly signed by the Mayor of the
City of Vernon.
/Z—� y
BRUCE V. MALKENHORST, City Clerk
(SEAL)
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EXHIBIT
0
Contract Number : OOF-174
Agreement to Provide
Mandated Cost Claiming Services
THIS AGREEMENT, entered into this day of 2000 and
effective immediately by and between DMG-MAXIMUS (hereinafter "Consultant") and the City
of Vernon (hereinafter "City"),
WHEREAS, Article XIIIB of the California State Constitution provides that cities may recover
costs associated with carrying out programs mandated by the State of California,
WHEREAS, the City desires to obtain maximum reimbursement for costs incurred in carrying
out State mandated programs, and has determined that engaging the Consultant to assist in the
mandated cost claim preparation process is the most economical and cost effective means for
preparing the City's state mandated cost claims; and
WHEREAS, the Consultant is staffed with personnel knowledgeable and experienced in
determining the costs of governmental programs and in the submission of cost claims to the State
of California, and
WHEREAS, the Consultant, by letter dated August 28, 2000, submitted a proposal to City for
Renewal of State Mandated Cost Claiming Services that outlines the scope of the work
Consultant is prepared to perform and lists the Annual State Mandated Cost Reimbursement
Claims included in the State Controller's Claiming Instructions; and
WHEREAS, the City desires to engage the Consultant to assist in developing, submitting, and
negotiating cost claims pertaining to state mandated programs.
NOW, THEREFORE, the parties hereto mutually agree as follows:
1. Scope of Services
The Consultant shall prepare claims for reimbursable state mandated costs as provided
herein.
A. Annual State Mandated Cost Reimbursement Claims
The Consultant shall prepare and file applicable actual annual state mandated cost
reimbursement claims for the 1999-2000 fiscal year and estimated claim(s) for the 2000-
2001 fiscal year. The fiscal year 1999-2000 actual claims to be filed are claims that are
included in the State Controller's Claiming Instructions that provide for timely filed
claims to be submitted by January 15, 2001, including without limitation, those claims
listed under the heading "Annual Claims" in the Consultant's proposal dated August 28,
2000.
City of Vernon - 1 - August 28, 2000
Contract Number OOF-174
B. All Other Claims for Which Claiming Instructions Are Issued in FY 2000 -
2001
With the exception of the claims in Scope of Services LA. above, the Consultant shall
prepare, submit and file on the City's behalf, all other eligible actual and estimated state
mandated cost reimbursement claims for which State Controller Claiming Instructions are
issued in the 2000-2001 fiscal year.
2. Consultant Claim Filing Requirements
The Consultant shall file these claims to the extent that appropriate documentation is
available and verifiable and that claim amounts exceed $200 per claim.
3. Costs and Method of Compensation
A. Scope of Services LA. - Annual State Mandated Cost Reimbursement Claims
For the services provided pursuant to Scope of Services LA., the City agrees to
pay the Consultant upon submission of the claims to the State Controller, a fixed
fee of three thousand six hundred fifty dollars ($ 3,650). The fixed fee shall be
due upon receipt of Consultant's invoice following submission of such claim(s).
B. Scope of Services LB. - All Other New Claims for Which Claiming
Instructions are Issued in FY 2000-2001
For the services provided pursuant to Scope of Services 1.13, the City agrees to
pay the Consultant a contingent fee of 30% of the amount claimed and paid, to a
maximum of three thousand four hundred dollars ($ 3,400). Payment shall be
made from monies actually received from the State resulting from the Consultant's
efforts. Monies received shall be defined as payments resulting from the
Consultant's filing of cost claims listed in Scope of Services I.B.
In the event that the total amount of claims paid by the State is less than one
thousand six hundred sixty-seven dollars ($1,667), the City shall pay the
Consultant a fixed fee of five hundred dollars ($500).
The fee, which in no case shall exceed the maximum amount, is due within four
weeks of City receipt of reimbursement from the State.
4. Services and Materials to be Furnished by the City
The Consultant shall provide guidance to the City in determining the data required for
claims submission. The Consultant shall assume all data so provided to be correct. The
City further agrees to provide all specifically requested data, documentation and
information to the Consultant in a timely manner. Consultant shall make its best effort to
file claims in a timely manner pursuant to Scope of Services. Consultant shall not be
liable for claims that cannot be filed as a result of inadequate data or data provided in an
untimely manner.
City of Vernon - 2 - August 28, 2000
Contract Number : OOF-174
For purposes of this Agreement, data that is requested by the Consultant must be
provided within three weeks of the request, or three weeks prior to the filing deadline,
whichever would come first, to be deemed to have been received in a timely manner. It is
the responsibility of the City to provide the Consultant with payment information upon
receipt of disbursements from the State for any and all claims filed pursuant to this
agreement.
5. Not Obligated to Third Parties
The City shall not be obligated or liable hereunder to any party other than the Consultant.
6. Consultant Liability if Audited
The Consultant will assume all financial and statistical information provided to the
Consultant by City employees or representatives is accurate and complete. Any
subsequent disallowance of funds paid to the City under the claims for whatever reason is
the sole responsibility of the City.
7. Indirect Costs
The cost claims to be submitted by the Consultant may consist of both direct and indirect
costs. The Consultant may either utilize the ten percent (10%) indirect cost rate allowed
by the State Controller or calculate a higher rate if City records support such a
calculation. The Consultant by this Agreement is riot required to prepare a central service
cost allocation plan or departmental indirect cost rate proposals for the City.
8. Consultant Assistance if Audited
If audited, the Consultant shall make workpapers and other records available to the State
auditors. If requested by the City, the Consultant shall provide assistance to the City in
defending claims at the desk audit level if an audit results in a disallowance of at least
twenty percent (20%) or seven hundred fifty dollars ($750), whichever is greater.
Reductions of less than twenty percent (20%) or seven hundred fifty dollars ($750) shall
not be contested by the Consultant. Nothing in this section or any part of this Agreement
shall be construed to include Incorrect Reduction Claims preparation.
9. Insurance
Consultant shall acquire and maintain appropriate general liability insurance, workers'
compensation insurance, automobile insurance, and professional liability insurance. Such
insurance shall (a) name City, its appointed and elected officials, and its employees as
insured; and (b) be primary with respect to insurance or self-insurance programs
maintained by City. Consultant shall furnish a properly executed Certificate of Insurance
to City prior to commencement of work under this Agreement which shall clearly
evidence coverages afforded and provide that such insurance shall not be materially
changed, terminated, or allowed to expire except on thirty -days' prior written notice to
City. Consultant shall maintain such insurance from the time work first commences until
City of Vernon - 3 - August 28, 2000
Contract Number: OOF-174
completion of the work under this Agreement, and shall replace such certificates for
policies expiring prior to completion of work under this Agreement.
10. Changes
The City may, from time to time, require changes in the scope of services of the
Consultant to be performed hereunder. Such changes, which are mutually agreed upon
by and between the City and the Consultant, shall be incorporated in written amendment
to this agreement.
11. Termination of Agreement
If, through any cause, the Consultant shall fail to fulfill in a timely and proper manner its
obligation under this agreement, the City shall thereupon have the right to terminate this
agreement by giving written notice to the Consultant of such termination and specifying
the effective date thereof, at least five (5) days before the effective date of such
termination.
12. City Contact Person
The City designates the following individual as contact person for this contract:
Name: Lewis Pozzebon Telephone: 323-583-8811
Title: Director Fax: 323-588-4320
Address: 4305 Santa Fe Avenue, Vernon, CA 90058
OFFER IS MADE BY CONSULTANT
Date: August 28, 2000
CITY OF VERNON
Leonis C. Malburg, Mayor
ATTEST
By:
Bruce V. Malkenhorst, City Clerk
City of Vernon - 4 - August 28, 2000
• 9 • % • +
Contract Number : OOF-174
By:
3��A ,— t--
Robert E. Taggart, C
DMG-MAXIMUS
Date: Oo
Approved as to form:
By:
Eduardo Olivo, City Attorney
Date:
City of Vernon - 5 - August 28, 2000
SUPPORTING
DOCUMENTS
CITY COUNCIL
LEONIS C. MALBURG
Mayor
THOMAS A. YBARRA
Mayor Pro-Tem
WM. 'BILL" DAVIS
Councilman
H. "LARRY" GONZALES
Councilman
W. MICHAEL MCCORMICK
Councilman
BRUCE V. MALKENHORST
City Administrator / City Clerk
FAX (323) 581-7924
CITY HALL
4305 SANTA FE AVENUE, VERNON, CALIFORNIA 90058
TELEPHONE (323) 583-8811
December 11, 2000
Mr. J. Bradley Burgess, Vice President
DMG-Maximus
4320 Auburn Blvd., Suite 2000
Sacramento, CA 95841
Re: DMG-Maximus Agreement
Dear Mr. Burgess:
EDUARDO OLIVO
City Attorney
FAX: (562) 927-8722
KEVIN WILSON
Director of Community Services & Water
FAX: (323) 588-2761
KENNETH J. DeDARIO
Director of Municipal Utilities
FAX: (323) 583-1983
DAVE TELFORD
Fire Chief
FAX: (323) 581-1385
BRUCE W. OLSON
Police Chief
FAX: (323) 583-5236
The above referenced agreement was approved by the Vernon City Council
on October 17, 2000 through Resolution No. 7644.
However, prior to commencing work, proof of insurance is required as
indicated in Section 9, of said contract. Please forward the necessary
insurance documents to Joan Francone, Risk Manager. Upon receipt and
approval of said documents, this office will then forward a duplicate
original, fully executed agreement to you.
Your prompt attention to this matter would be greatly appreciated.
Very t my yours,
o i� O
Chief Dep y City Clerk
GJO:mt
Cc: Lewis Popzzebon
Joan Francone
OFFICE OF THE CITY ADMINISTRATOR/CITY CLERK
INTER -OFFICE MEMORANDUM
DATE: December 11, 2000
TO: Lewis Pozzebon, rector of Environmental Health
FROM: Gloria J. Oro c ief Deputy City Clerk
RE: DMG-Maximus Agreement
Transmitted herewith is a copy of the stated above agreement and a
copy of Resolution No. 7644, which was approved by Vernon -City
Council on October 17, 2000. Please note that as of this date we
are still awaiting proof of insurance.
The originals are being retained in this office for our files.
Thank you.
GJO:mt