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File #: 16-0974    Name: Delete AP 5 - Contract Salary Limitation
In control: Administrative Office
On agenda: 10/11/2016 Final action: 10/11/2016
Enactment date: Enactment #:
Title: Approve the deletion of Board of Supervisors Administrative Policy No. 5 - Contract Salary Limitation.
Attachments: 1. Agenda Item, 2. Administrative Policy No. 5 - Deleted
DATE: October 11, 2016

TO: Board of Supervisors

SUBMITTED BY: Jean M. Rousseau, County Administrative Officer

SUBJECT: Delete Board of Supervisors Administrative Policy No. 5 - Contract Salary Limitation

RECOMMENDED ACTION:
TITLE
Approve the deletion of Board of Supervisors Administrative Policy No. 5 - Contract Salary Limitation.
REPORT
On June 16, 2015, in response to multiple agenda items requesting the Board of Supervisors waive Administrative Policy No. 5 - Contract Salary Limitation (Policy), your Board directed staff to review the Policy, last amended in 1986. The Policy sets a 15% administrative cost and a 20% employee benefits limit for renewal or multi-year contracts with nonprofit organizations which primarily serve the County and professional service contracts where the County is the sole client.

Approval of the recommended action, will delete the policy as recommended by County representatives following the determination that the policy is unnecessary due to funding source restrictions on administrative costs and employee benefits implemented after 1986. Additionally, future requests for proposals will state that indirect or administrative costs and employee benefits should be both reasonable and necessary for the administration of the program. For agreements with a non-profit organization funded with County discretionary revenue, the County will apply the reasonable and necessary evaluation.

ALTERNATIVE ACTION(S):

Your Board may elect to retain the Policy, resulting in continued waiver requests from county departments as a result of vendors exceeding the 20% employee benefits limit established in 1986. Your Board may also choose to amend the Policy.

FISCAL IMPACT:

There is no known additional Net County Cost associated with the recommended action.

DISCUSSION:

On June 16, 2015, your Board directed staff to review the Policy. County representatives from the Administrative Office, Auditor Controller/Treasurer-Tax Collector's Office, Pu...

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