HomeMy WebLinkAbout26 - CC-12 - Award PSA to FTOG, Inc. - 5/5/2015CITY COUNCIL AGENDA REPORT
MEETING DATE: MAY 5, 2015 ITEM NUMBER: CC -12
SUBJECT: AWARD PROFESSIONAL SERVICE AGREEMENT TO FTOG, INC. FOR PURCHASING
PERFORMANCE PLAN
DATE: APRIL 21, 2015
FROM: FINANCE DEPARTMENTIPURCHASING DIVISION
PRESENTATION BY: STEPHEN DUNIVENT, INTERIM FINANCE DIRECTOR.
FOR FURTHER INFORMATION CONTACT: KATHLEEN OROZCO, PURCHASING SUPERVISOR
'714-764-6062
RECOMMENDED ACTION:
1. Award Professional Services Agreement to FTOG, Inc. for procurement consulting
services for a six (6) month period in the amount . not to exceed $50,600.00
commencing on the date of execution.
2. Authorize the Mayor and the City Clerk to execute the Professional Services
Agreement.
BACKGROUND:
The City entered into a Professional Services Agreement with FTOG, Inc. on December
10, 2013 through June 2, 2014 with the option to extend the contract in two six-month
periods to provide interim support to the Purchasing Division. In August 2014, the first
amendment to extend this Agreement was approved by City Council, effective July 1,
2014 through January 2, 2015. On January 2, 2015, the second amendment to extend
this Agreement was executed commencing on January 2, 2015 through April 3, 2015.
FTOG, Inc. has provided professional procurement services to supplement the
Purchasing Division due to limited staffing over the last several years. During this time,
the vendor has become intricately involved in the processing of Purchase Requisitions
to Purchase Orders (P.O.), obtaining bids, quotes and assisting with Request for
Proposals (RFPs), budget validations and adherence to the City's Purchasing Policy
and Municipal Code.
ANALYSIS:
The Purchasing Division has identified the following objectives to be implemented to
streamline and simplify the procurement process:
Implementation of an Electronic Requisition Process (ERP) to allow for electronic
routing and approval of requisitions, improved tracking of project status, and
creating a more `green' system eliminating the use of paper requisitions.
• Training to be coordinated and conducted once the ERP is implemented.
Development and implementation a comprehensive Master Contract list that will
allow for Purchasing Division Staff to identify contracts that will require a renewal
or will be expiring.
• Reorganization of the City's warehouse to serve the various departments within
the City and include surplus procedures.
FTOG's professional services are required to ensure implementation of these critical
objectives, as this firm possesses significant institutional knowledge of the City's
procurement policies and procedures. In addition, in order to meet the expedited target
implementation date for these objectives (September 1, 2015), the Purchasing Division
will require FTOG, Inc.'s services and support.
ALTERNATIVES:
City Council may choose not to approve award of the Agreement, however this would
impact implementation of critical Procurement Division objectives that will significantly
streamline the City's purchasing practices.
FISCAL REVIEW:
The FY 14-15 budget provides funding for this service.
LEGAL REVIEW:
The City Attorney has reviewed the documents and approved them as to form.
CONCLUSION:
Staff recommends approval of the Professional Services Agreement with FTOG, Inc. for
procurement consulting services, for a six (6) month term in an amount not to exceed
$50,600 and to authorize the Mayor and the City Clerk to execute the Professional
Services Agreement.
STEP EN DUNIVENT
Interim in a Dir ctor
TdM INJMTE/
City Attorney
OMAS R. H,4TCH
Chief Executive Officer
Attachment 1: FTOG, Inc. Professional Services Agreement
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