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SR 12-18-2018 3S City Council Report City Council Meeting: December 18, 2018 Agenda Item: 3.S 1 of 3 To: Mayor and City Council From: Christina Winting, Acting Director of Human Resources, Human Resources Department Subject: Modification to Agreement with NEOGOV, the City’s Onboarding and Performance Management Software Recommended Action Staff recommends that the City Council authorize the City Manager to negotiate and execute a first modification to agreement #10257 in the amount of $71,7634 with Governmentjobs.com, Inc. dba NEOGOV, a California based company, for Human Resources onboarding and performance management software. This recommended award is made as an exception to the competitive bidding process pursuant to Section 2.24.080(b) and will result in an amended five-year agreement with a new total amount not to exceed $165,069, with future year funding contingent on Council budget approval. Summary The Human Resources Department is seeking to improve the employee on-boarding and performance management experience and make the processes more efficient. Staff requests an exception to the competitive process in order to execute a modification to the City’s current agreement with Governmentjobs.com (doing business as NEOGOV). The City currently uses NEOGOV to post available jobs and accept applications online. The modification would incorporate two additional NEOGOV modules that support employee onboarding and performance management. These modules seamlessly integrate with the existing NEOGOV modules. Staff seeks authorization to modify the agreement with NEOGOV to include these two new modules, and budget for one-time set up costs as well as recurring costs on new and existing NEOGOV modules, for a total amount not to exceed $165,069 over a 5-year period. The original contract, executed in 2016, was for a term of two years, with three additional one-year renewal options. 2 of 3 Discussion In 2004, Human Resources contracted with NEOGOV to procure Insight, our applicant tracking system, which is used for hosting all open and promotional job openings with the City of Santa Monica. Since then, the City has continued to use Insight for all job applicant tracking. In 2017, at the direction of the City Manager, Human Resources revamped the employee onboarding process to create a more interactive and comprehensive experience for new hires. NEOGOV Onboard was the identified software that could seamlessly integrate with the NEOGOV Insight applicant tracking software and simplify the applicant experience when applying to the City of Santa Monica. Once hired, applicants would be able to complete all required onboarding paperwork online. In the interest of further developing the onboarding experience, staff recommends the procurement of NEOGOV’s Onboard to create a more seamless onboarding experience for new employees. Performance management becomes the next step in the lifecycle of a new employee. NEOGOV Perform allows the City to utilize the employee information from NEOGOV Onboard to identify and track timelines for supervisors to complete performance evaluations, replacing a manual system with an automated online workflow. In addition, Perform provides reports and dashboards to assist supervisors with the identification of areas for improvement and employee development. Perform provides Human Resources the opportunity to redesign performance evaluations into an online system that will improve the timeliness and meaningfulness of the employee performance evaluation process Citywide for supervisors and their staff. Past Council Actions Meeting Date Description 02/23/2016 (Attachment A) Authorization to execute a contractual services agreement with Governmentjobs.com Attachment A Financial Impacts and Budget Actions 3 of 3 Staff seeks authority to increase the amount of the contract with NEOGOV for onboarding and performance management software. Contract Modification Request Agreement # Current Authorized Amount Modified Request Amount FY 2018-19 Budget Account # Total Revised Contract Amount 10257 $93,305 $71,764 01130002.529230 $165,069 The costs are divided between one time set up costs and licensing. Description Ongoing Costs One-time Costs Total Onboard Subscription License $23,310 $23,310 Onboard Setup and implementation $5,000 $5,000 Onsite Training/system setup $10,000 $10,000 Perform Subscription License $18,454 $18,454 Perform Setup and implementation $5,000 $5,000 Onsite Training/system setup $10,000 $10,000 TOTAL $41,764 $30,000 $71,764 Future year funding is contingent on Council budget approval. Prepared By: Tatiana Morrison, Executive Administrative Assistant Approved Forwarded to Council Attachments: A. 2.23.16 ATTACHMENT A B. 2017 OAKS INITIATIVE FORM-signed City Council Report City Council Meeting: February 23, 2016 Agenda Item: 3.K 1 of 3 To: Mayor and City Council From: Donna Peter, Director, Human Resources Department Subject: Authorization to execute a contractual services agreement with Governmentjobs.com Recommended Action Staff recommends that the City Council authorize the City Manager to negotiate and execute a contractual services agreement with Governmentjobs.com, Inc. dba NEOGOV, a California-based company, for Human Resources’ applicant tracking software, under an exception to competitive bidding, in an amount not to exceed $36,000 for two years, with three additional one-year renewal option(s), each of which are subject to a 3% annual increase, otherwise on the same terms and conditions for a total amount not to exceed $93,305 over a five -year period, with future year funding contingent on Council budget approval. Executive Summary NEOGOV is a comprehensive applicant tracking software used by the Human Resources Department for daily hiring operations. NEOGOV is geared towards public sector hiring and performance management, offering a more developed product than the generic applicant tracking systems currently on the market. Staff recommends NEOGOV for its candidate eligibility list formation, performance evaluation tracking, electronic position requisition and approval, minimum qualifications screening and Equal Employment Opportunity reporting. These features are essential to public sector hiring and the Civil Service process. Background NEOGOV has provided applicant tracking services to the Human Resources Department since 2004 when an original agreement was put in place for a term of two years, in an amount not to exceed fifty-five thousand dollars ($55,000). Following the termination of the original agreement, the Human Resources Department requested an exception to the competitive bidding process, under the authority of the City Manager, to continue authorized payments to the vendor. Justification for the se requests stated that Governmentjobs.com is the only vendor with rights to host and support NEOGOV, 2 of 3 making the applicant tracking system used by Human Resources exclusive to this vendor. Continuing payments to this vendor would exceed the authority of the City Manager and therefore City Council approval is requested. Discussion Today, NEOGOV continues to lead the market for public sector applicant tracking systems. The Human Resources Department recommends a two-year agreement with NEOGOV to receive critical software updates and support. This two-year agreement will allow the City to determine if the new Enterprise Resource Planning System would impact applicant tracking and offer another alternative. Staff recommends NEOGOV to furnish and deliver/provide applicant tracking software on a sole source basis. Governmentjobs.com was selected through a competitive bud process in 2004 to provide online recruiting and applicant tracking. The NEOGOV Insight software is a web based product tailored for the public sector; it automates the City’s hiring process from requisition to hire. Each year, the Human Resources Department renews a license subscription with Governmentjobs.com. The subscription allows for Governmentjobs.com to continue to host the City’s online recruiting and applicant tracking system and provides the City with the necessary support to minimize the interruptions to the City’s recruitment processes. Since Governmentjobs.com is the hosting company, there are no other vendors that have rights to provide training, support and access to their NEOGOV software. Vendor Selection Governmentjobs.com is the sole vendor that can provide maintenance and support for its software system and is therefore the exclusive vendor for NEOGOV pursuant to Section 2.24.080(b) of the Municipal Code. Financial Impacts and Budget Actions The contract to be awarded to NEOGOV is for an amount not to exceed $93,305. Funds are available in the FY 2015-16 budget in the Human Resources Department. The 3 of 3 contract will be charged to account 01251.533580. Future year funding is contingent on Council budget approval. Prepared By: Donna Peter, Director Approved Forwarded to Council Reference:    Agreement No. 10257   (CCS)    CITY OF SANTA MONICA OAKS INITI ATIVE NOTICE NOTICE TO APPLICANTS, BIDDERS, PROPOSERS AND OTHERS SEEKING DISCRETIONARY PERMITS, CONTRACTS, OR OTHER BENEFITS FROM THE CITY OF SANTA MONICA Santa Monica’s voters adopted a City Charter amendment commonly known as the Oaks Initiative. The Oaks Initiative requires the City to provide this notice and information about the Initiative’s requirements. You may obtain a full copy of the Initiative’s text from the City Clerk. This information is required by City Charter Article XXII—Taxpayer Protection. It prohibits a public off icial from receiving, and a person or entity from conferring, specified personal benef its or campaign advantages from a person or entity after the official votes, or otherwise takes official action, to award a “public benefit” to that person or entity. The prohibition applies within and outside of the geographical boundaries of Santa Monica. All persons or entities applying or receiving public benefits from the City of Santa Monica shall provide the names of trustees, directors, partners, and officers, and names of persons with more than a 10% equity, participation or revenue interest. An exception exists f or persons serving in those capacities as volunteers, without compensation, for organizations exempt from income taxes under Section 501(c)(3), (4), or (6), of the Internal Revenue Code. However, this exception does not apply if the organization is a political committee or controls political committees. Examples of a “public benefit” include public contracts to provide goods or services worth more than $25,000 or a land use approval worth more than $25,000 over a 12-month period. In order to facilitate compliance with the requirements of the Oaks Initiative, the City compiles and maintains certain information. That information includes the name of any person or persons who is seeking a “public benefit.” If the “public benefit” is sought by an entity, rather than an individual person, the information includes the name of every person who is: (a) trustee, (b) director, (c) partner, (d) officer, or has (e) more than a ten percent interest in the entity. Therefore, if you are seeking a “public benefit” covered by the Oaks Initiative, you must supply that information on the Oaks Initiative Disclosure Form. This inf ormation must be updated and supplied every 12 months. CITY OF SANTA MONICA OAKS INITI ATIVE DISCLOSURE FORM In order to facilitate compliance with the requirements of the Oaks Initiative, the City compiles and maintains certain information. That information includes the name of any person or persons who is seeking a “public benefit.” If the “public benefit” is sought by an entity, rather than an individual person, the information includes the name of every person who is: (a) trustee, (b) director, (c) partner, (d) officer, or has (e) more than a ten percent interest in the entity. Public benef its include: 1. Personal services contracts in excess of $25,000 over any 12-month period; 2. Sale of material, equipment or supplies to the City in excess of $25,000 over a 12- month period; 3. Purchase, sale or lease of real property to or from the City in excess of $25,000 over a 12- month period; 4. Non-competitive franchise awards with gross revenue of $50,000 or more in any 12-month period; 5. Land use variance, special use permit, or other exception to an established land use plan, where the decision has a value in excess of $25,000; 6. Tax “abatement, exception, or benefit” of a value in excess of $5,000 in any 12- month period; or 7. Payment of “cash or specie” of a net value to the recipient of $10,000 in any 12- month period. Name(s) of persons or entities receiving public benefit: Name(s) of trustees, directors, partners, and officers: Name(s) of persons with more than a 10% equity, participation, or revenue interest: Prepared by: ____________________________Title: __________________________ Signature: ______________________________________ Date: ________________ Email: ____________________________________ Phone: ____________________ FOR CITY USE ONLY: Bid/PO/Contract # ____________________________ Permit # ___________________________ John Closs Controller 11/28/2018 accounting@neogov.com 310-426-6304 Governmentjobs.com, Inc, DBA NEOGOV Shane Evangelist, Nicholas Smith Wang, Brian Chang None REFERENCE: Modified Agreement No. 10257 (CCS)