Title
AUTHORIZATION TO ENTER INTO AMENDMENT NO. 1 TO THE AGREEMENT WITH ARIZONA TRAINING & EVALUATION CENTER, INC., FOR OCCUPATIONAL TRAINING AND TEMPORARY STAFFING SERVICES AND RATIFICATION OF EXPENDITURES
Staff Contact: Jack Friedline, Director, Public Works
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Purpose and Recommended Action
Recommendation
This is a request for City Council to authorize the City Manager to enter into Amendment No. 1 to the Agreement with Arizona Training & Evaluation Center, Inc., (AZTEC) Contract No. C-10519, for an increase of $75,000, for a total not to exceed amount of $250,000 for the entire term of the Agreement and to extend the term of the agreement through December 7, 2017, for occupational training and temporary staffing services and to ratify expenditures in the approximate amount of $26,000 for services rendered.
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Background
AZTEC is an Arizona non-profit corporation whose mission is to provide occupational training to individuals with disabilities. The City of Glendale Materials Recovery Facility (MRF) utilizes individuals from AZTEC to perform quality control inspections of processed and baled newspaper at the MRF prior to sale on the open market. The services that AZTEC provides are one of the driving factors in garnering the maximum revenue possible for baled newspaper sold by the MRF. The ultimate goal of AZTEC for each trainee is competitive placement within the community.
On December 8, 2015, the City entered into an Agreement for occupational training and temporary staffing services with AZTEC. The Agreement was for a one-year term with the option to renew for an additional four years, allowing the Agreement to be extended through December 8, 2020.
A ratification of expenditures is also requested because the city and AZTEC were unable to incorporate revisions to the minimum wage into the agreement as mandated in Arizona Revised Statute §23-363 prior to expiration of the initial term.
Analysis
AZTEC provides a unique service to disabled individuals and the community. This Amendment No. 1 will allow the city to continue to partner with AZTEC for occupational training services, while benefiting from their quality control inspections of baled newspaper, and to remain compliant with recent legislation. The increase in compensation includes annual increases in the minimum wage that were not anticipated in the original Agreement.
Public Works staff estimate the value of services provided from December 8, 2016 though ratification of Amendment No. 1 at $26,000.
Previous Related Council Action
On December 8, 2015, Council authorized entering into an Agreement, C-10519, with AZTEC, for occupational training and temporary staffing services in an amount not to exceed $35,000 per year or a total of $175,000 for the entire term of the Agreement.
Community Benefit/Public Involvement
This agreement provides a financial benefit to the community because the use of temporary workers for unskilled and semi-skilled labor allows the city to keep staffing expenditures low for solid waste services.
Budget and Financial Impacts
Funding for the ratification was available in the Fiscal Year 2016-17 MRF Operating and Maintenance budget. The increase in expenditures with AZTEC is $75,000, for a total not to exceed amount of $250,000 for the entire term of the Agreement, contingent upon Council budget approval.
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Cost |
Fund-Department-Account |
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$75,000 |
2440-17750-515200, MRF Operations, Contracted Temporary Help |
Capital Expense? No
Budgeted? Yes
Requesting Budget or Appropriation Transfer? No
If yes, where will the transfer be taken from?