R 3334
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RESOLUTION NO. 3334
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF ARROYO GRANDE AUTHORIZING A CONTRACT
WITH DMG-MAXIMUS FOR THE MANDATED COST
RECOVERY SERVICES
WHEREAS, City of Arroyo Grande, County of San Luis Obispo, State of California
("City") is duly authorized and existing under the laws of said State; and
WHEREAS, the City has entered or will enter into agreements for the development,
submission, and negotiation of cost claims pertaining to state 'l1andated programs,
NOW, THEREFORE, BE IT RESOLVED, that the City Manager of the City of Arroyo
Grande be' hereby authorized in the name and on behalf of City to enter into binding
agreements with the Corporation for mandated cost recovery services, upon such terms
as may seem advisable to said officer)s) and to execute, as agent for the City, all
necessary agreements. The authority given hereunder shall be deemed retroactive
and any and all acts authorized hereunder performed prior to the passage of this
resolution are hereby ratified and affirmed.
On motion of Council Member Runels, seconded by Council MemberTolley ,
and on the following roll call vote, to wit:
AYES: Council Members Runels, Tolley, Lady, Fuller, and Mayor Dougall
NOES: None
ABSENT: None
lution was passed and adopted this 27trday ofO::;td:-er, 1998.
ATTEST:
'fla. ~
NANC~S, CITY CLERK.
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RESOLUTION NO. 3334
Page 2
APPROVED AS TO FORM:
APPROVED AS TO CONTENT:
~LvsL_~~
ROBERT L. HUNT, CITY MANAGER
I, NANCY A. DAVIS, City Clerk of the City of Arroyo Grande, County of San luis
Obispo, State of California, do hereby certify under penalty of perjury that the foregoing
Resolution NO.33 3 4 is a true, full, and correct copy of said Resolution passed and
adopted at a regular meeting of said Council on the 27th day of 0::Xd:er 1998.
WITNESS my hand and the Seal of the City of Arroyo Grande affixed this 5th day of
November ,1998.
.
0..
~VIS, CITY CLERK
RESOLUTION NO. 3334
PAGE 3
INCUMBENCY CERTIFICATE
City of Arroyo Grande
I further certify that the officer(s) referred to in the foregoing resolution is/are now held
by the following:
Title Name
Mayor A.K "Pete" Dougal
MaY9r Pro T em Michael Lady
Council Member Michael Fuller
Council Member Thomas A. Runels
Council Member Steve Tolley
WITNESS my hand and the Seal of the City of Arroyo Grande affixed this 20th day of
November, 1998.
NANCY A. AVIS, CITY CLERK
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Contract Number: F9~~233
Agreement to Provide ;
Mandated Cost Claiming Services
TIllS AGREEMENT, entered into this 20th day of. November , 1998 and
effective immediately by and between David M. Griffith & Associates, Ltd. (hereimlfter
"Consultant") and the City of Arroyo Grande (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 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 ftle applicable actual annual state mandated cost
reimbursement claims for the 1997-98 fiscal year and estimated claim(s) for the 1998-99
fiscal year. The fiscal year 1997-98 actual claims to be filed are claims that are included in
the State Controller's Claimirig Instructions that provide for timely filed claims to ~e
submitted by January 15, 1999. "
B. All Other Claims for Which Claiming Instructions Are Issued in FY 1998-99
With the exception of the claims in Scope of Services 1.A. 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 1998-99 fiscal year.
- . _ 1 _ September 29, 1998
Contract Number: F9~233
2. Consultant Claim Filinl! Reauirements
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 1.A. - Annual State Mandated Cost Reimbursement Claims
For the services provided pursuant to Scope of Services 1.A., the City agrees to
pay the Consultant upon submission of the claims to the State Controller, a fixed
fee of two thousand four hundred dollars ($2,400). The fixed fee shall be due
upon receipt of Consultant's invoice following submission of such claim(s).
B. ,. Scope of Services 1.B. - All Other New Claims for Which Claiming
Instructions are Issued in FY 1998-99
For the services provided pursuant to Scope of Services 1.B, the City agrees to
pay the Consultant a contingent fee of thirty percent (30%) of the amount claimed
and paid, to a maximum of two thousand four hundred dollars ($2,400). 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 1.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 bv 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 arid
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.
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
City of Arroyo Grande - 2- September 29, 1998
.
Contract Number: F98-233
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 Obli2'ated to Third Parties
The City shall not be obligated or liable hereunder to any party other than t~e Consultant.
6. Consultant Liabilitv 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 not 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 doIlars ($750), whichever is greater.
Reductions of less than twenty percent (20%) or seven hundred fifty dollars ($750) shall
not be contested by the Consultant. Notbing in this section or any part of this Agreement
shaH 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.
10. ' Chan2:es
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.
- , ~ . -':1- September 29, 1998
Contract Number: F9,8;.233
11. Termination of A2reement
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: Robert L. Hunt Telephone: (805 ) 473-5404
Title: .Ci ty Manager Fax: (805) 473-0386
Address: P.o. Box 550, Arroyo Grande, CA 93421
OFFER IS MADE BY CONSULTANT OFFER IS ACCEPTED BY CITY
KtJL~tTL, H.~l -..'
By:
City Official- Ci ty Manager
Date: September 29. 1998 Date: November 1998
City of Arroyo Grande ~4- September 29, 1998