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HomeMy WebLinkAbout13123 I' I:. il II :i 1 'I :! I' 2 II 3 ,I II 4 ,I if 5 Ii " 6 11 I' i\ 7 I i 8 1 , 9 I 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 RESOLUTION NO. /.3/,;? <:3 RESOLUTION OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF AN AGREEMENT WITH REED, ROBERTS ASSOCIATES, INC. RELATING TO THE ADMINISTRATION OF THE CITY'S UNEMPLOYMENT INSURANCE PROGRAM. BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO AS FOLLOWS: SECTION 1. The Mayor of the City of San Bernardino is hereby authorized and directed to execute on behalf of said City an Agreement with Reed, Roberts Associates, Inc. relating to the administration of the City's unemployment insurance program, a copy of which is attached hereto, marked Exhibit "A" and incorporated herein by reference as fully as though set forth at length. I HEREBy CERTIFY that the foregoing resolution was duly adopted by the Mayor and Common Council of the City of San Bernardino at avn on the ~c5~day 0 meeting thereof, held , 1978, by the following vote, to wit: COT" (:f:/ff3 4(!~ :c;:z .~~~.~/ ~ ~/tf{{y~ . resolution is hereby app' this ,..;l0 day AYES: NAYS: ABSENT: of f'\.. The foregoing ,,~t4 I) ( '0" -...., ~. .....1, if. < :. . . td'''T; li , 1978. ,\ _j~1 ;,,1 ~ 10 11 12 13 14 15 16 17 18 20 21 22 I' - 1 A G R E E MEN T --------- 2 (Unemployment Insurance) lTHIS AGREEMENT is made and entered into this .:P Id day of J/lJ~.IL~____ , 1978, by and between the CITY OF SAN BP:RNARDINO, a ~unicipal corporation, hereinafter called "City", 3 4 5 6 and REED, ROBERTS ASSOCIATES, INC., a New York corporation, 7 hereinafter called "Administrator". 8 9 WIT N E SSE T H: ------ --- WHEREAS, it is anticipated that City will be subjected to paying unemployment compensation taxes pursuant to Unemployment Compensation Amendments of 1976, Public Law 94-566, if said law is declared constitutional pursuant totertain litigation presently in progress; and WHEREAS, it is anticipated that the State of California may enact enabling legislation pursuant to said Public Law 94-566; and WHEREAS, if said federal law is declared constitutional, and if the state passes and adopts its enabling legislation 19 pursuant to said Public Law 94-566, then City will be required to provide unemployment insurance compensation coverage ~o its employees effective January 1, 1978, and will be required to ~ administer an unemployment insurance program; and 23 WHEREAS, Administrator represents to City that it is 24 eminently well qualified to advise City with respect to City's 25 unemployment insurance program that may be required by law; and 26 WHEREAS, Administrator is willing to administer City's 27 unemployment insurance program if in fact one is ultimately 28 required, and City enters into this agreement on reliance upon r , 1 Administrator's said representations to City, 2 NOW, THEREFORE, in consideration of the mutual promises, 3 provisions and covenants herein contained, the parties hereto 4 hereby agree as follows: 5 6 1. Services to be Provided by Administrator: (a) Upon execution of this agreement, and upon notice to 7 Administrator by City's City Administrator to commence, Adminis- 8 trator shall provide the following: 9 (1) A comprehensive and complete financial analysis 10 and associated recommendations regarding the best possible method 11 of financing, including a detailed and complete cost analysis for 12 each of the three available options. 13 (2) Personnel practices evaluations, which will 14 include a thorough review of existing personnel practices such as 15 hiring and termination procedures, employee handbooks, union 16 contracts, application forms, separation forms, warning notices 17 and other items used in day-to-day personnel administration. 18 Upon completion of this study, a comprehensive written report 19 shall be provided by Administrator outlining all potential pro- 20 blem areas and specifying detailed recommendations for changes. 21 (b) Administrator shall conduct educational and training 22 seminars for all supervisory and management personnel at a time 23 established by City's City Administrator as soon as possible 24 after the City adopts a personnel policy and procedure program 25 based upon Administrator's services set forth in Paragraph 1 (a) 26 (2) hereinabove. These seminars shall be conducted by Administra- 27 tor for the purpose of acquainting said personnel with the new law 28 and for the purpose of training said personnel with respect to -2- 1 proper hiring and separation methods, accurate record keeping, 2 timely reporting, exit interviews, and in all other such areas 3 as will in the opinion of the City Administrator serve to minimize 4 City's cost for unemployment insurance taxes. Notwithstanding 5 anything in this agreement to the contrary, and by way of 6 limitation, Administrator's total compensation for anyone year 7 shall not exceed the sum of three thousand five hundred dollars 8 ($3,500.00). 9 (c) Administrator shall provide the following: 10 (1) Claims supervision to include: 11 (a) Examination of each individual claim as to 12 eligibility, amount of claim and benefit period. 13 (b) Investigation and protest of all question- 14 able claims. 15 (c) Verification that unwarranted charges are 16 not entered against City's experience. 17 (d) Verification of the state Agency's periodic 18 Statements of Amounts due. 19 (2) Analysis of merit rating (if under tax provisions 20 of law) which includes: 21 (a) Verification of the accuracy of City's 22 annual contribution rate as assigned by the State Unemployment 23 Agency. 24 (b) Study and test of procedures leading to the 25 lowest tax rating allowable, if applicable. 26 (3) Current reports, including: 27 (a) Reconciliation of current payroll records 28 with quarterly tax reports submitted, if applicable. -3- .. 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 (b) Issuance of service letters relating to unemployment tax matters where pertinent. (c) Periodic visits to City offices to review procedures which will effect a complete system for the super- vision and control of unemployment tax data. (4) Continuing education and training for key City staff, including instruction in changes in the law necessary to ensure proper compliance. (5) 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. (6) At the conclusion of each year, an annual finan- cial analysis with appropriate details and recommendations to enable City to determine whether the financing option is appro- priate or in need of change. (7) A detailed quarterly computer report listing the 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. 2. Services to be Performed by City: (a) City shall promptly provide Administrator with all relevant information and data that it has in its possession required by Administrator. 3. Administrator's Fee: City shall pay Administrator for its services hereunder, an annual fee computed on the basis of the number of full-time equivalent employees as of January I of each year at the rate of $2.50 per full-time employee. Payment -4- 4 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 of said fee shall be made in equal quarterly installments with the first installment to be made on or before March 31, 1978. The annual fee shall be adjusted on a quarterly basis based on the number of full-time equivalent employees on the date ending the preceding quarter. Notwithstanding the foregoing, Adminis- trator shall not be entitled to any fees for any services prior to January 1, 1978. Provided, further, in the event a legal requirement is not imposed upon City to provide unemployment insurance compensation as anticipated then Administrator shall only be entitled to compensation for its services on a pro- rata basis based upon the period of time elapsed from the date Administrator is advised to commence pursuant to subsection (a) of Paragraph 1, and the time Administrator is advised by City to cease all of its activities on behalf of City. Notwith~ standing any provision in this agreement to the contrary, and by way of limitation, Administrator's total compensation for anyone year shall not exceed the sum of three thousand five hundred dollars ($3,500.00). 4. Term: This agreement shall be for a term of 36 months, commencing on January 1, 1978, and continuing through December 31, 1980. 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 fore- going, City shall have the right to terminate this agreement at any time upon fifteen (15) days advance written notice to Administrator. Provided, further, that in the event a legal obligation to maintain unemployment insurance is not imposed upon -5- . II, I 1 City, then City may terminate this agreement immediately by 2 3 giving Administrator telegraphic notification of said termination, and, thereafter, City's obligation to Administrator hereunder 4 shall terminate forthwith upon receipt of said notice by Adminis- 5 6 trator. 5. Accounting Records: Administrator shall maintain 7 records of all expenditures made pertaining to its services 8 under this agreement. Said records shall be maintained in 9 accordance with generally accepted accounting principles and 10 shall be available to City for its audit at all reasonable times 11 and places. 6. Expenses: Administrator shall bear all of its 13 expenses that it incurs in performance of its duties hereunder 12 14 and hold City free and harmless for all and any liability there- 15 for. 16 7. Notices: All notices herein required shall be in 17 writing and delivered in person or sent by certified mail, 18 postage prepaid, addressed as follows: 19 City of San Bernardino 300 North "D" Street San Bernardino, CA 92418 Reed, Roberts Associates, Inc. P. O. Box 1346 Beverly Hills, CA 90213 20 .g~, Assignability. The experience, skill and expertise 22 of Administrator is of the essence of this agreement. Adminis- 21 23 trator shall not assign (whether by assignment or novation) this 24 agreement or delegate its duties hereunder in whole or in part or 25 any right or interest hereunder without the prior written con- 26 sent of City. Any assignment or attempt to assign this agreement 27 without such prior written consent or by operation of law shall 28 constitute cause for termination. -6- . - 1 9. Time of Essence: Time is of the essence with respect 2 to Administrator's performance under this agreement. 3 IN WITNESS WHEREOF, the parties hereto have executed this 4 Agreement on the date first hereinabove written. 5 6 NO ATTEST: 7 ... /. c?:tffe~/ .~ / ~ 8 9 ASSOCIATES, INC. 10 By 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 -7-