FISCAL NOTE
The proposed resolution authorizes a 2-year extension to the contract with MGT of America Consulting, LLC to provide develop a central services cost allocation plan in 2024 and 2025. The cost in 2024 is $18,566 and is included in the Finance Department’s 2024 adopted operating budget. The cost in 2025 is $19,000 and will be included in the 2025 budget request.
TITLE
Authorizing a 2-year extension to a noncompetitive contract with MGT of America Consulting, 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 of America Consulting, LLC (“MGT of America”) is expiring at the end of 2023; and,
WHEREAS, the Finance Department will begin preparation for the 2025 budget at the beginning of the 2024 calendar year, which requires a cost allocation plan consultant to be selected by the end of 2023; and
WHEREAS, MGT of America 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 timeframe needed at the price of $18,566 in 2024 and $19,000 in 2025; and
WHEREAS, under sec. 4.26(4)(b), of the Madison General Ordinances if the aggregate amount of the fee for services will be $50,000 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 of America 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 Mayor and City Clerk are authorized to execute a 2-year extension to purchase of services contract not to exceed $37,566.00 with MGT of America for the above described services.