Fiscal Note
The proposed resolution authorizes a 1-year extension to the contract with MGT Impact Solutions, LLC to provide develop a central services cost allocation plan in 2026, for a total cost of $19,950. This amount is included in the Finance Department’s 2026 executive operating budget.
Title
Authorizing a one-year extension to a non-competitive service contract with MGT Impact Solutions, LLC for a central services cost allocation plan
Body
WHEREAS, the City of Madison utilizes a central services cost allocation plan to recover indirect costs for services provided by central service departments to non-general fund agencies; and
WHEREAS, developing a cost allocation plan requires the services of a 3rd party consultant to collect and analyze data on expenditures and allocation metrics; and
WHEREAS, City’s contract with its current cost allocation plan consultant, MGT Impact Solutions, LLC (“MGT”) is expiring at the end of 2025; and,
WHEREAS, the Finance Department will begin preparation for the 2027 budget at the beginning of the 2026 calendar year, which requires a cost allocation plan consultant to be selected by the end of 2025; and
WHEREAS, MGT has worked with the City previously on our central services cost allocation plan, is familiar with our process, and is available to do this work in the time frame needed at the price of $19,950 in 2026; and
WHEREAS, under sec. 4.26(4)(b), of the Madison General Ordinances if the aggregate amount of the fee for services will be $75,000 or more and the contract was not subject to a competitive bidding process, the contract shall meet one of the other requirements of sec. 4.26(4)(a) and be approved by the Common Council; and
WHEREAS, for the reasons stated in the attached Noncompetitive Selection Request Form, the proposed contract with MGT meets the exception to the bidding process in section 4.26(4)(a)7. which states “A particular consultant has provided services to the City on a similar or continuing project in the recent past, and it would be economical to the City on the basis of time and money to retain the same consultant.”
NOW THEREFORE BE IT RESOLVED that the Finance Director or designee is authorized to execute a 1-year extension to a purchase of services contract not to exceed $19,950 with MGT for the above described services.