Title:
Title
Supplemental Agreement No. 3 with the Metro Chamber Foundation for the Thousand Strong Program [Continued from 03/24/2020]
End
FileID
File ID: 2020-00325
Location
Location: Citywide
Recommendation:
Recommendation
Pass a Motion authorizing the City Manager or City Manager’s designee to execute Supplemental Agreement No. 3 with Metro Chamber Foundation for services for the Thousand Strong program in an amount of $300,000, for a new not-to-exceed total contract amount of $880,000.
Contact: Andrew Kehoe, Thousand Strong Program Manager, (916) 808-7221, Office of the Mayor; Heather Hoekstra, Program Analyst, (916) 808-5691; Mario Lara, Director (916) 808-1041, Youth, Parks, & Community Enrichment Department
Body
Presenter: None
Attachments:
1-Description/Analysis
2-Supplemental Agreement No. 3
Description/Analysis
Issue Detail: On October 2, 2017, the City contracted with the Metro Chamber Foundation to provide payroll services for student participants and recruit employment partners, as well as provide administrative oversight, work permitting support, and on-boarding of both students and employers. The contract term has been extended because the Metro Chamber Foundation has provided exceptional work as the administrative backbone for Thousand Strong.
The original contract amount for these services for the first year was $280,000. The first supplemental agreement in 2018 added $300,000 to increase the total not-to-exceed amount to $580,000. In 2019, the second supplement extended the term to June 30, 2020, but no additional funds were added at that time because there was still funding available under the contract.
For the 2019-2020 cohort of students, Thousand Strong has been very successful in maintaining students’ employment. The program is planned to transition in fiscal year 2020-2021, so there is a need to close-out the contract with the Metro Chamber Foundation.
Currently, there is an outstanding balance of $100,950 owed for student wages and services performed by the Metro Chamber Foundation. There is an estimated $149,043 in work hours that may need to be paid to students through the end of this fiscal year based on current employment levels. There is also a final payment to the Metro Chamber Foundation owed for their administrative services of $15,000. Therefore, an additional $300,000 is requested to be added to the contract with the Metro Chamber Foundation under supplement No. 3. The approved Thousand Strong budget has sufficient funds to meet these obligations through June 30, 2020.
Policy Considerations: This action is consistent with City Code Chapter 3.64 and complies with existing policies regarding professional service agreements per Administrative Policy AP-4102.
Economic Impacts: Not applicable.
Environmental Considerations: Not applicable.
California Environmental Quality Act (CEQA): This report concerns administrative activities that do not constitute a “project” as defined by the CEQA [CEQA Guidelines Section 15378(b)(2) (Title 14 Cal. Code Reg. 15000 et seq.)].
Sustainability: Not applicable.
Commission/Committee Action: Not applicable.
Rationale for Recommendation: In an effort to continue to move the program forward seamlessly, staff is recommending that the Metro Chamber Foundation contract be supplemented to allow them to continue to deliver services through the end of this fiscal year. The Metro Chamber Foundation has an established track record of success in regional workforce development with recruiting, placing, and supporting youth in internship and employment programs with local agencies and provides a mechanism to track City dollars paid to youth for their services.
Financial Considerations: Sufficient funding exists in the Thousand Strong Project (I01000301) to fund Supplemental Agreement No. 3, which increases the not-to-exceed amount by $300,000 to $880,000.
Local Business Enterprise (LBE): The Metro Chamber Foundation is an LBE.
Background: There are many non-profit employers that have a desire to engage in Thousand Strong, but do not have the funding to pay for interns. To accommodate this demand in a city that is rich in community-based organizations, staff recommended providing financial support for students who work for local nonprofits as a means to provide job opportunities for young adults. Partnering with the Metro Chamber Foundation to deliver the payroll services and assist with the intern placement program will ensure the program meets its intended outcomes of providing job skills and readiness training to at-risk youth.
The additional costs for student wages and administrative support services comes from the fiscal year 2019-2020 funding already allocated for Thousand Strong.