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CITY OF SAN BERARDINO
ORI<;'/,",'/
- REQUEST ~R COUNCIL ACTION
From:
Roger DeFratis, Acting Director of
Personnel
Subject:
Addendum to the Agreement with Reed,
Roberts, Inc., for Unemoloyment Compensa-
tion Claims Administration Central Serv-
ices; to chan~e of name from GAB Business
Services, Inc., to R.E. Harrington Inc. an,
extend contract through December 31, 1988.
Dept:
Personnel
Date:
March 3, 1988
Synopsis of Previous Council action:
Council approved the initial agreement in April, 1985, for a term of 48 months
commencing January 1, 1934.
Recommended motion:
Adopt Resolution.
c2.,L! /fd
".
Signature
Contact person: Roger DeFratis
Phone:
5008
Supporting data attached:
Ward:
FUNDING REQUIREMENTS:
Amount:
Sou rce:
Finance:
Council Notes:
75-0262
Agenda Item No,
/1
. CITY OF SAN BERaRDINO - REQUEST ~OR COUNCIL ACTION
STAFF REPORT
The purpose of this agreement to provide the City with a
qualified agent to represent it at administrative claim
hearings and to process all unemployment claims against the
City.
The agreement has been in effect since January 1984 at a
cost of $3,500 per year maximum. This cost is based on the
number of full-time equivalent employees at the rate of $2.50
per employee on January l, of each year. The 3 year contract
cost is $lO,500 ($3,500 per year maximum). The claims
administrator, by submitting data to the State Employment
Development Department in the appropriate format and wording
"against" approximately 50 claims out of an approximate total
of 225 claims, resulted in the winning of 20 of these claims.
Thus the City did not have to payout approximately $32,295
in claims. The City has thus incurred a savings of
approximately $2l,700 over a 3 year period.
The original contract was with Reed, Roberts Associates,
Inc., from January 1, 19B4 through December 31, 1987. On
July 22, 1986 the contract was inured to GAB Business
Services, Inc., and an addendum to the contract was signed.
GAB Business Services, Inc., has inured the contract to R.E.
Harrington, Inc. effective January 22, 19B8, and the firm has
requested the contract be extended through December 1988 with
no changes.
75.0264
o
o
, ,
1
RESOLUTION NO.
2 RESOLUTION OF THE CITY OF SAN BERNARDINO AUTHORIZING THE
EXECUTION OF AN ADDENDUM TO THE AGREEMENT WITH REED, ROBERTS
3 ASSOCIATES, INC.,. FOR UNEMPLOYMENT COMPENSATION CLAIMS
ADMINISTRATION AND COST CONTROL SERVICES; TO CHANGE THE NAME
4 FROM GAB BUSINESS SERVICES, INC., TO R.E. HARRINGTON, INC.
AND TO EXTEND THE CONTRACT THROUGH DECEMBER 3l, 19B8.
5
BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF THE
6 CITY OF SAN BERNARDINO AS FOLLOWS:
7 SECTION l. The Director of Personnel is hereby author-
8 ized and directed to execute on behalf of said City an adden-
9 dum to the agreement with Reed, Roberts Associates, Inc., for
10 unemployment compensation claims administration and cost
11 ontrol services; to change the name from GAB Business Ser-
Inc., to R.E. Harrington, Inc., and to extend the
12
13 ontract through December 3l, 198B, which agreement is at-
14
15
hereto marked Exhibit nAn, and incorporated herein
reference as fully as though set forth at length.
16 I HEREBY CERTIFY that the foregoing resolution was duly
17 adopted by the Mayor and Common Council of the City of San
18 Bernardino at a
meeting thereof, held on the
19
of
, 19B8, by the following vote to
20 it:
21
22
23 NAYS:
AYES:
Councilmembers
24 ABSENT:
25
26
27
(Continued)
28 Page 1
3-3-88
City Clerk
o
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2
he foregoing resolution is hereby approved this
3 day of
, 1988.
4
5
6
Mayor of the City of San Bernardino
legal content:
City Attorney
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28 Page 2
3-3-88
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ADDENDUM
TO
UNEMPLOYMENT CONPENSATION
CLAIMS ADMINISTRATION SERVICES AGREEMENT
It is agreed that the Agreement between Citv of San Bernardino
and Reed Roberts Associates, Inc. (as amended on 7-24-86 to
inure to the benefit of its successor, GAB Business Services,
Inc.) effective Januarv I, 19B4 for unemployment compensation
claims administration and cost control services, is extended
through December 31, 1988 and revised to change the claims
administrator from GAB Business Services, Inc. to R. E.
Rarrinqton, Inc.
All other terms and conditions of the original Agreement will
continue in effect.
Signed this
day of
, 19
R. E. Harrington, Inc.
By
By
Title
President
Title
o
0,
. .
ADDENDUM TO CONTRACT
The existing contract dated April 1, 1985. between Reed
Roberts Associates. Incorporated, and The City of San Bern-
adino, shall and has inured to the benefit of its successor,
GAB/Resources Management Services, a division of GAB Business
Services, Incorporated.
a
~(~
7-:;1;;)-8 (;.
Management Se ices.
Gerald Cunningham
Sr. Client Service Representative
Date
Au,:.::1~HV"
City of San Bernadino
7-2f-,jt.
Date
o
o
1
A G R E E MEN T
---------
2
(Unemployment Insurance)
3 THIS AGREEMENT is made and entered into effective January 1,
4 1984; by and between the CITY OF SAN BERNARDINO, a municipal
5 corporation, referred to as .City., and REED, ROBERTS ASSOCIATES,
6 INC., a New York corporation, referred to as .Administrator..
7 The parties agree as follows:
8
9
l. Recitals.
A. City pays unemployment compensation taxes pursuant to
10 Unemployment Compensation Amendments of 1976, Public Law 94-566.
11
B. Administrator represents to City that it is qualified
12 to advise City with respect to City's unemployment insurance
13 program.
.
14
2. Services to be Provided by Administrator. Administrator
15 shall provide the following:
16
A. Evaluations of personnel practices, as required by
17 City, including review of hiring and termination procedures,
18 employee handbooks, union contracts, application forms, separation
19 forms, warning notices and other items used in day-to-day
20 personnel administration. After such review, Administrator shall
21 make appropriate recommendations for changes.
22
23
B. Claims supervision to include:
(l) Examination of each individual claim as to
24 eligibility, amount of claim and benefit period.
25
(2) Investigation and protest of all questionable
26 claims.
27
(3) Verification that unwarranted charges are not
28 entered against City's experience.
EXHIBIT A
o
o
1
(4) Verification of the California Department of
2 Economic Development's periodic statements of amounts due.
3
C. Analysis of merit rating (if under tax provisions of
4 law) which includes:
5
(1) Verification of the accuracy of City's annual
6 contribution rate as assigned by the California Department of
7 Economic Development.
8
(2) Study and test of procedures leading to the
9 lowest tax rating allowable, if applicable.
10
D. Current reports, including:
11
(l) Reconciliation of current payroll records with
12 quarterly tax reports submitted, if applicable.
13
(2) Issuance of service letters relating to
.
14 unemployment tax matters where pertinent.
15
(3) Periodic visits to City offices to review
16 procedures which will effect a complete system for the supervision
17 and control of unemployment tax data.
18
E. Continuing education and training for key City staff,
19 including instruction in changes in the law necessary to ensure
20 proper compliance.
21
F. Attend all Administrative Law Judge and Appeals Board
22
hearings, whether initiated by Administrator on behalf of City or
I by claimants in the exercise of their appeal rights. City will be
I advised by letter as to the results of each hearing.
G. At the conclusion of each year, an annual financial
23
24
25
26
with appropriate details and recommendations to enable
determine whether the financing option is appropriate or
, analysis
;
I .
il Clty to
I in need
of change.
27
28
29
H. A detailed quarterly computer report listing the
-.,-
.
1
2
3
4
S
6
7
8
9
10
11
12
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14
IS
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2..
2S
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o
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names of those individuals who have filed for benefits and the
disposition of each claim. This report shall classify claims by
department and location within City.
3. Services to be Performed by City. City shall promptly
provide Administrator with all relevant information and data that
it has in its possession required by Administrator.
4. Administrator's Fee. City shall pay Administrator for
its services an annual fee computed on the basis of the number of
full-time equivalent employees as of January 1 of each year at the
rate of $2.50 per full-time employee, except that Administrator's
total fee for anyone year shall not exceed $3,500.00. Payment
shall be made in equal quarterly installments with the first
installment to be made on or before March 3l, 1984. The annual
.
fee shall be adjusted each year based on the number of full-time
equivalent employees on December 3l of the preceding year.
5. Term. This agreement shall be for a term of 48 months,
commencing on January l, 1984, and continuing through December 31,
1987. The City shall have the option to renew this agreement
under the same terms and conditions and for a like term by giving
written notice to Administrator at least sixty (60) days prior to
the expiration date of this agreement. Notwithstanding the
foregoing, City shall have the right to terminate this agreement
at any time upon thirty (30) days' advance written notice to
Administrator.
6. Accounting Records. Administrator shall maintain records
lof all expenditures made pertaining to its services under this
agreement. Said records shall be maintained in accordance with
generally accepted accounting principles and shall be available
tOI
, .
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o
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City for its audit at all reasonable times and places.
7. Expenses. Administrator shall bear all expenses it
incurs in performance of its duties hereunder and hold City free
and harmless for all and any liability therefor.
8. Notices. All notices herein required shall be in writing
and delivered in person or sent by certified mail, postage
prepaid, addressed as follows:
City of San Bernardino
300 North -D- Street
San Bernardino, CA 92418
Reed, Roberts Associates, Inc.
P.O. Box 5050
Carson, CA 90749-5050
9. Assignability. The experience, skill and expertise of
Administrator is of the essence of this agreement. Administrator
shall not assign (whether by assignment or novation) this
agreement or delegate its duties hereunder in whole or in part or
.
any right or interest hereunder without the prior written consent
of City. Any assignment or attempt to assign this agreement
without such prior written consent or by operation of law shall
constitute cause for termination.
IN WITNESS WHEREOF, the parties hereto have executed this
agreement on the /7;t1 day of
~
, 1985.
ATTEST:
CITY OF SAN
~/$~
C'lty C erk
REED, ROBERTS ASSOCIATES, INC.
Approved as to form:
../.1 J) / ?A:::;~..JZ 7--
By _ -J,UA.-I/ ~
, . .d
' .L __ _ I / . "1--
Title ,CO-VLV'TUL{!/~,..--r:J -~-bvL.
1/
-4-
CITY OF SAN BBR~RDINO - RBQUBST ~R COUNCIL ACTION
Dept:
Personnel
r,EC'r<4AMIIlA<!.IIendum to the Agreement with Reed,
. RObe'rts, Inc., for Unemployment Compensa-
I'CO 11'.D '. . tion Claims Administration Central Serv-
,"vi 1'.1... ices; to chan!le of name from GAB BusinesS
Services, Inc., to R.E. Harrington Inc. an
extend contract through December 31, 1988.
From:
Roger DeFratis, Acting Director of
Personnel
Date:
March 3, 1988
Synopsilof Previous Council action:
Council approved the initial agreement in April, 1985, for a term of 48 months
commencing January I, 1984.
Recommended motion:
Adopt Resolution.
~jt?v~
Signature
Contllc:t pel'lOn: Roger DeFratis
Supporting data attached:
Phone:
5008
Ward:
FUNDING REQUIREMENTS:
Amount:
Source:
Finance:
Council Notes:
Agenda Item No
17--
CITY OF SAN BBRrQRDINO - RBQUBST Q,R COUNCIL ACTION
STAFF REPORT
The purpose of this agreement to provide the City with a
qualified agent to represent it at administrative claim
hearings and to process all unemployment claims against the
City.
The agreement has been in effect since January 1984 at a
cost of $3,500 per year maximum. This cost is based on the
number of full-time equivalent employees at the rate of $2.50
per employee on January 1, of each year. The 3 year contract
cost is $10,500 ($3,500 per year maximum). The claims
administrator, by submitting data to the State Employment
Development Department in the appropriate format and wording
"against" approximately 50 claims out of an approximate total
of 225 claims, resulted in the winning of 20 of these claims.
Thus the City did not have to pay Dut approximately $32,295
in claims. The City has thus incurred a savings of
approximately $21,700 over a 3 year period.
The original contract was with Reed, Roberts Associates,
Inc., from January 1, 1984 through December 31, 1987. On
July 22, 1986 the contract was inured to GAB Business
Services, Inc., and an addendum to the contract was signed.
GAB Business Services, Inc., has inured the contract to R.E.
Harrington, Inc. effective January 22, 1988, and the firm has
requested the contract be extended through December 1988 with
no changes.
75-0264
o 0
1 RESOLUTION NO.
2 RESOLUTION OF THE CITY OF SAN BERNARDINO AUTHORIZING THE
EXECUTION OF AN ADDENDUM TO THE AGREEMENT WITH REED, ROBERTS
3 ASSOCIATES, INC. , FOR UNEMPLOYMENT COMPENSATION CLAIMS
ADMINISTRATION AND COST CONTROL SERVICES7 TO CHANGE THE NAME
4 FROM GAB BUSINESS SERVICES, INC., TO R.E. HARRINGTON, INC.
AND TO EXTEND THE CONTRACT THROUGH DECEMBER 31, 1988.
5
BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF THE
6 ITY OF SAN BERNARDINO AS FOLLOWS:
7 SECTION 1. The Director of Personnel is hereby author-
8 ized and directed to execute on behalf of said City an adden-
9 dum to the agreement with Reed, Roberts Associates, Inc., for
10 nemployment compensation claims administration and cost
11 ontrol services7 to change the name from GAB Business Ser-
12
13
14
15
Inc., to R.E. Harrington, Inc., and to extend the
through December 31, 1988, which agreement is at-
hereto marked Exhibit wAw, and incorporated herein
reference as fully as though set forth at length.
16 I HEREBY CERTIFY that the foregoing resolution was duly
17 adopted by the Mayor and Common council of the City of San
18 Bernardino at a
meeting thereof, held on the
, 1988, by the following vote to
19
of
20 it:
21
AYES:
CouncilmemberB
22
23 NAYS:
24 ABSENT:
25
26
27
(Continued)
28 Page 1
3-3-88
City Clerk
.
o
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3
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8
9
10
11
12
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15
16
foregoing resolution is hereby approved this
of
, 1988.
Mayor of the city of San Bernardino
pproved as to form and legal content:
city Attorney
17
18
19
20
21
22
23
24
25
26
27
28 Page 2
3-3-88
.
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ADDENDUM
TO
UNEMPLOYMENT CONPENSATION
CLAIMS ADMINISTRATION SERVICES AGREEMENT
It is agreed that the Agreement between Citv of San Bernardino
and Reed Roberts Associates. Inc. (as amended on 7-24-86 to
in~re to the benefit of its successor, GAB Business Services,
Inc.) effective Januarv 1. 1984 for unemployment compensation
claims administration and cost control services, is extended
through December 31, 1988 and revised to change the claims
ad~inistrator from GAB Business Services. Inc. to R. E.
Harrinqton. Inc.
All other terms and conditions of the original Agreement will
co~tinue in effect.
Signed this
day of
, 19
.
R. E. Harrington, Inc.
President
By
Title
By
Title
-
.
o
o
1
2
AGREEM!!!!
(Unemployment Insurance)
3 THIS AGREEMENT is made and entered into effective January 1,
4 1984, by and between the CITY OF SAN BERNARDINO, a municipal
5 corporation, referred to as .City., and REED, ROBERTS ASSOCIATES,
6 INC., a New York corporation, referred to as .Administrator..
7 The parties agree as follows:
8
9
1. Recitals.
A. City pays unemployment compensation taxes pursuant to
10 Unemployment Compensation Amendments of 1976, Public Law 94-566.
11 B. Administrator represents to City that it is qualified
12 to advise City with respect to City's unemployment insurance
13 program.
.
14 2. Services to be Provided by Administrator. Administrator
15 shall provide the following:
16
A. Evaluations of personnel practices, as required by
17 City, including review of hiring and termination procedures,
18 employee handbooks, union contracts, application forms, separation
19 forms, warning notices and other items used in day-to-day
20 personnel administration. After such review, Administrator shall
21 make appropriate recommendations for changes.
22
23
B. Claims supervision to include:
(1) Examination of each individual claim as to
24 eligibility, amount of claim and benefit period.
25
(2) Investigation and protest of all questionable
26 claims.
27 (3) Verification that unwarranted charges are not
28 entered against City's experience.
EXHIBIT A
,
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
u
.::.
III
--
C?) Verification of the ~ifornia Department of
Economic Development's periodic statements of amounts due.
C. Analysis of merit rating (if under tax provisions of
law) which includes:
(1) Verification of the accuracy of City's annual
contribution rate as assigned by the California Department of
Economic Development.
(2) Study and test of procedures leading to the
lowest tax rating allowable, if applicable.
D. Current reports, including:
(1) Reconciliation of current payroll records with
quarterly tax reports submitted, if applicable.
(2) Issuance of service letters relating to
.
unemployment tax matters where pertinent.
(3) periodic visits to City offices to review
procedures which will effect a complete system for the supervision
and control of unemployment tax data.
E. Continuing education and training for key City staff,
including instruction in changes in the law necessary to ensure
proper compliance.
F. Attend all Administrative Law Judge and Appeals Board
hearings, whether initiated by Administrator on behalf of City or
by claimants in the exercise of their appeal rights. City will be
advised by letter as to the results of each hearing.
G. At the conclusion of each year, an annual financial
I analysis with appropriate details and recommendations to enable
City to determine whether the financing option is appropriate or
in need of change.
H. A detailed quarterly computer report listing the
_?-
&
o 0
I names of those individuals who have filed for benefits and the
2 disposition of each claim. This report shall classify claims by
3 department and location within City.
4
3. Services to be Performed by City. City shall promptly
5 provide Administrator with all relevant information and data that
6 it has in its possession required by Administrator.
7
4. Administrator's Fee. City shall pay Administrator for
8 its services an annual fee computed on the basis of the number of I
9 full-time equivalent employees as of January 1 of each year at the
10 rate of $2.50 per full-time employee, except that Administrator's
II total fee for anyone year shall not exceed $3,500.00. Payment
11 shall be made in equal quarterly installments with the first
13 installment to be made on or before March 31, 1984. The annual
.
14 fee shall be adjusted each year based on the number of full-time
15 equivalent employees on December 31 of the preceding year.
16
5. !!!!!. This agreement shall be for a term of 48 1IIOnths,
17 commencing on January 1, 1984, and continuing through December 31,
18 1987. The City shall have the option to renew this agreement
19 under the same terms and conditions and for a like term by giving
20 written notice to Administrator at least sizty (60) days prior to
21 the expiration date of this agreement. Notwithstanding tbe
22 foregoing, City shall have the right to terminate tbis agreement
23 at any time upon thirty (30) days' advance written notice to
24 Administrator.
25
6. Accounting Records. Administrator sball maintain record I
26 of all expenditures made pertaining to its services under this
27 agreement. Said records shall be maintained in accordance with
21 generally accepted accounting principles and sball be available ~
~
.
-
o
o
1 City for its audit at all reasonable times and places.
2
7. Expenses. Administrator shall bear all expenses it
3 incurs in performance of its duties hereunder and hold City free
4
5
and harmless for all and any liability therefor.
writing I
8. Notices. All notices herein required shall be in
6 and delivered in person or sent by certified mail, postage
7 prepaid, addressed as follows:
10
8
9
City of San Bernardino
300 North -D- Street
San Bernardino, CA 92418
Reed, Roberts Associates, Inc.
P.O. Box 5050
Carson, CA 90749-5050
9. Assignability. The experience, skill and expertise of
11 Administrator is of the essence of this agreement. Administrator
12 shall not assign (whether by assignment or novation) this
13 agreement or delegate its duties hereunder in whole or in part or
.
14 any right or interest hereunder without the prior written consent
15 of City. Any assignment or attempt to assign this agreement
16 without such prior written consent or by operation of law shall
17 constitute cause for termination.
18 IN WITNESS WHEREOF, the parties hereto have executed this
/l.d
19 agreement on the /7;tL day of ~ ' 1985.
20 CITY OF SAN
ATTEST:
21
22
~1fr~~
REED, ROBERTS ASSOCIATES, INC.
23
24
25
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27
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1.1 )JJ~ ~--
By ..-. . ~ .
Title?~ I/~' ,.~
r
I Approved as to form:
-4-
-
o
o
ADDENDUM TO CONTRACT
The existing contract dated April 1, 1985, between Reed
Roberts Associates. Incorporated, and The City of San Bern-
adino, shall and has inured to the benefit of its successor,
GAB/Resources Management Services, a division of GAB Business
Services, Incorporated.
/J t.~
~_ li,
7-,:).:;)-8 ~
esource Management Se ices,
Gerald Cunningham
Sr. Client Service Representative
Date
~p/ //.
I~
I
Authori ed Representative.
City of San Bernadino
7-2(-;-&
Date