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REQUEST FOR <br />COUNCIL ACTION <br />CITY COUNCIL MEETING DATE: <br />SEPTEMBER 18, 2018 <br />TITLE: <br />AWARD OF LEGAL SERVICES AGREEMENT WITH <br />BEST, BEST & KRIEGER, LLP, RELATED TO LEGAL <br />ANALYSIS OF PAYROLL PRACTICES, CALPERS <br />REPORTING, AND FAIR LABOR STANDARDS ACT <br />COMPLIANCE <br />(STRATEGIC PLAN NO. 1,3,4) <br />cljr�Y MANAGER <br />RECOMMENDED ACTION <br />CLERK OF COUNCIL USE ONLY: <br />APPROVED <br />❑ As Recommended <br />❑ As Amended <br />❑ Ordinance on 1s' Reading <br />❑ Ordinance on 2nd Reading <br />❑ Implementing Resolution <br />❑ Set Public Hearing For <br />CONTINUED TO <br />FILE NUMBER <br />Authorize the City Manager and Clerk of the Council to execute a legal services agreement with <br />Best, Best & Krieger, LLP, ("Firm') in an amount not to exceed $200,000 related to legal analysis <br />of Payroll Practices including employee compensation, CalPERS Reporting, and Fair Labor <br />Standards Act compliance starting September 18, 2018 and ending on December 31, 2019 subject <br />to non -substantive changes approved by the City Manager and the City Attorney's Office. <br />Agreement may be extended for up to one (1) year exercisable by the City Manager and Senior <br />Assistant or Assistant City Attorney. <br />DISCUSSION <br />The City Attorney's office handles and manages a variety of transactional and litigation matters. <br />From time -to -time, the City Attorney's Office will refer administrative and litigation matters to <br />outside law firms with specialized expertise to handle. The City Attorney's Office, City Manager's <br />Office, and Human Resources Department determined that an outside Firm should be engaged to <br />conduct a legal analysis and audit of the City's Payroll Practices, CalPERS Reporting, and Fair <br />Labor Standards Act compliance for the past three (3) fiscal years. <br />On May 25, 2018, the City Attorney's Office sent out a request for proposal to six firms specializing <br />in compensation, payroll and/or CalPERS matters and received three written proposals. Interviews <br />were conducted with the three firms' by a panel consisting of representatives from the City <br />Attorney's Office, Human Resources, the Police Department and the Finance Department. Best, <br />Best & Krieger, LLP received the highest rating and was selected by the panel for award of the <br />Agreement. Best, Best & Krieger, LLP, has decades of experience with federal and state <br />employment tax laws, the Public Employees' Retirement Law (PERL) which governs the California <br />' The three firms were Liebert, Cassidy & Whitmore; Burke, Williams & Sorenson; and Best Best & Krieger. <br />251-1 <br />