HomeMy WebLinkAboutE-6 Staff Report - Blanket PO Increase - BBKCONSENT ITEM
E-6
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
VIA: SERGIO GONZALEZ, CITY MANAGER
FROM: TALIKA M. JOHNSON, DIRECTOR OF ADMINISTRATIVE SERVICES
DATE: JANUARY 21, 2025
SUBJECT: REQUEST TO INCREASE FISCAL YEAR 2024/25 BLANKET PURCHASE
ORDER FOR BEST, BEST & KRIEGER, LLP NO. 042422
BACKGROUND:
In accordance with Sec. 2-518 (a) of the Azusa Municipal Code, purchase orders over $50,000
requires Council approval. The Administrative Services Department is requesting authorization to
increase the FY 2024/25 blanket purchase order by $225,000 for legal services tendered to Best,
Best & Krieger, LLP (BB&K) for human resources and risk management related matters not
covered under the City’s insurance for a total not-to-exceed amount of $325,000.
RECOMMENDATION:
Staff recommends that the City Council take the following action:
1)Approve an increase of $225,000 to the Best, Best & Krieger, LLP Blanket Purchase Order
No. 042422, for Fiscal Year 2024/25 to a total not-to-exceed amount of $325,000.
ANALYSIS:
The Human Resources and Risk Management divisions uses several legal firms and professionals
to assist with confidential personnel matters and as defense counsel for matters not covered under
the City’s insurance program. Most often, Best, Best & Krieger, LLP, which also serves as the
City’s general counsel for retainer services pertaining to routine and day-to-day legal matters such
as review of council agendas, attending public meetings, and legal expertise for general city
operations, is used for special services needed throughout the year which are difficult to estimate
as legal services may vary from year-to-year.
Approved
City Council
January 21, 2025
Blanket Increase for BB&K Legal Services
January 21, 2025
Page 2
Included with the annual Blanket Purchase Orders over $50,000 approved by the City Council in
June 2024, was a $100,000 purchase order for BB&K. Given the pace of legal services tendered
to BB&K thus far, the Human Resources/Risk Management blanket purchase order for Fiscal Year
2024/25 requires an increase to $325,000. City Council action is required to increase the blanket
purchase order as the request exceeds the City Manager’s $50,000 approval authority in
accordance with the City’s purchasing policy.
Today, no additional budget is being requested. The recommended action increases the BB&K
purchase order approved amount, authorizing staff to continue to use BB&K’s special legal
services as needed.
FISCAL IMPACT:
Upon City Council approval, Staff will increase the Fiscal Year 2024/25 Blanket Purchase Order
#042422 by $225,000 to $325,000. Sufficient budget is currently available in the Human
Resources and Risk Management budgets. Therefore, no additional budget is being requested.
Staff will evaluate budgetary needs in conjunction with the annual Mid-Year budget review in
March/April 2025 and will request additional budget as needed.
Prepared by:
Talika M. Johnson
Director of Administrative Services
Reviewed and Approved by:
Sergio Gonzalez
City Manager