Title
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MEMORANDUM
TO: Honorable Board of Supervisors
FROM: Cathy Saderlund, Auditor-Controller
DATE: September 29, 2017
SUBJECT: Agreement for Cost Allocation Plan Professional Services
EXECUTIVE SUMMARY:
The County-wide Cost Allocation Plan is a coordinated effort of the Auditor-Controller’s Office, all County service to service departments and the expertise of an outside consultant. Compilation of the Cost Plan is a required task of the County Auditor-Controller and enables federal and state grantees (County departments) to recover costs incurred in the administration of a grant, entitlement, or other such form of assistance. The Cost plan identifies indirect costs for all County service to service departments in administering and providing support services to all users of services, and allocates those costs using a reasonable and equitable basis. It provides the mechanism for reimbursement from County departments to the general fund for the services provided to them.
We have come to the end of a three year agreement with our current Cost Plan consultant and to ensure that we are still true to market, we put out an informal request to Cost Plan consultants throughout the State for consultant cost quotes. We received quotes from two firms-one in the amount of $26,700 and one in the amount of $66,618. Our current Cost Plan consultant, MGT Consulting Group provided the $26,700 cost quote and confirmed that due to the unique nature of the Cost Plan, formal competitive bidding would produce no economic benefit to the County. As important, MGT has performed satisfactorily in the past, there is an obvious benefit and efficiency in continuity, and I hope you will agree that it is in the best interest of the County to continue with MGT Consulting Group.
This three year agreement falls outside of my consultant purchasing authority limit of $25,000 and I respectfully request your approval of the Agreement for Cost Allocation Plan Professional Service for Fiscal Years Ending 2018, 2019, 2020 in the amount $26,700.
FISCAL IMPACT: __ None _X_Budgeted __Non-Budgeted
Estimated Cost: $8,600 17/18
Amount Budgeted: $8,600
Additional Requested:
Annual Cost (if planned for future years): $8,600/$8,900/$9,200
FISCAL IMPACT (Narrative):
STAFFING IMPACT (if applicable):
Recommended Action
RECOMMENDED ACTION:
Approve Agreement for Cost Plan Allocation Plan Professional Services with MGT Consulting Group in the amount of $26,700 for fiscal years 17/18, 18/19 and 19/20.