HomeMy WebLinkAboutE-8 Staff Report - Purchase Order Department of Industrial RelationsCONSENT ITEM
E-8
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
VIA: SERGIO GONZALEZ, CITY MANAGER
FROM: TALIKA M. JOHNSON, DIRECTOR OF ADMINISTRATIVE SERVICES
DATE: FEBRUARY 6, 2023
SUBJECT: ISSUANCE OF ANNUAL DEPARTMENT OF INDUSTRIAL RELATIONS
PURCHASE ORDER
BACKGROUND:
The Department of Industrial Relations (DIR) sends the City an invoice annually for our Self-Insured
Workers’ Compensation Program. This invoice is based on the City’s 2021-2022 Public Annual Report
which includes review of our 2021-2022 workers compensation claims and expenses. The invoice is
greater than the City Manager’s $50,000 signing authority, thus, requires approval by the City Council.
RECOMMENDATION:
Staff recommends the City Council take the following action:
1)Retroactively approve Purchase Order #038466 to the Department of Industrial Relations in the
amount of $65,919.34.
ANALYSIS:
Based on the City’s reported claim data for the 2021-2022 claim year, the DIR determines what the
City’s contribution will be for the following state funds:
•Workers’ Compensation Administration Revolving Fund Assessment
•Uninsured Employers Benefits Trust Fund Assessment
•Subsequent Injuries Benefits Trust Fund Assessment
•Occupational Safety and Health Fund Assessment
•Workers’ Compensation Fraud Account Assessment
•Labor Enforcement and Compliance Fund
APPROVED
CITY COUNCIL
2/9/2023
Approve DIR Purchase Order
February 6, 2023
Page 2
The annual fee has historically been under the City Manager’s signing authority, however the cost this
year increased by nearly $25,000. This is not a cost controlled by the City. The invoice for $65,919.34
has already been paid in order to avoid penalties. Approval of the recommended action, retroactively
approves issuance of Purchase Order 038466.
FISCAL IMPACT:
Funding for this payment is available in the Fiscal Year 2022-23 budget, account number 42-50-923-
000-6745.
Prepared by: Reviewed and Approved:
Veronica Mojica Talika M. Johnson
HR/Risk Management Analyst Director of Administrative Services
Reviewed and Approved:
Sergio Gonzalez
City Manager