HomeMy WebLinkAboutAgenda Statement 1980/08/05 Item 13
COUNCIL AGENDA STATEMENT
Item
13
Meeting Date
8-5-80
ITEM TITLE:
Resolution/IJ2~- Approving agreement with the City of El Cajon for
the provision of Data Processing services
SUBMITTED BY: Director of Policy Analysis and
Program Evaluation
On July 22, 1980, the El Cajon City Council approved the subject "Data Processing Services
Agreement". This contract provides that our Data Processing Division will provide data
processing services to the City of El Cajon and that El Cajon will be billed for the
utilization of our staff, equipment, and facilities. Since this contract is beneficial
to both cities, it is my
11
(4/5ths Vote: Yes___ No~)
RECOMMENDATION: that Council:
1. Adopt the resolution approving the agreement.
BOARD/COMMISSION RECOMMENDATION: Not Applicable.
DISCUSSION
Chula Vista has been providing contractual data processing services to El Cajon since 1972,
and currently El Cajon is our second largest data processing account among the outside
users. Since the rates for billing El Cajon had last been revised in April of 1978 and
since the capabilities of the City's new Burrough's B-2805 computer required a revised
billing system, I initiated rate revision negotiations with El Cajon in January of 1980.
In March, El Cajon's Director of Finance and I reached conceptual agreement on a totally
new billing system and El Cajon agreed to pay Chula Vista interim revised rates from
March 1 until July 1, when the details of the new billing system could be worked out and
become effective as provided in the agreement.
The new contract is designed to be a flexible, long-term, mutually beneficial and fair
agreement that minimizes the staff time required for periodic rate negotiations and
eliminates the need for periodic contract updating. The billing system is based on the
fair-share, full cost recovery principle that the cost to El Cajon for receiving a data
processing service should be the same as the cost to Chula Vista for receiving the same
service. The agreement delineates the methodology for determining the billing rates
during the life of the agreement rather than specifying particular rates. For any given
period, the rates charged to El Cajon will depend on the full cost and the total usage
of the Data Processing Division as well as on the particular service provided to El Cajon.
Initially, the proposed agreement would involve the provision of the following services
to El Cajon: payroll and personnel, fixed assets, automated accounting, 1911 Acts billing,
project accounting, business licenses, and dog licenses. We will be providing data entry
and computer processing services for these and any future systems. El Cajon will arrange
independently for any significant systems analysis and programming it requires.
Continued
10 -t,;2. ?
Form A-113 (Rev. 11/79)
EXHIBITS
Agreement____ Resolution~ Ordinance____ Plat____ Notification List
Other
ENVIRONMENTAL DOCUMENT: Attached
Submitted on
Item -13
Meeting Date 8-5-80
Page 2
FISCAL IMPACT
A very rough estimate of the expected revenue from this agreement is $22,000 for FY 1980-81.
Although the lack of long-term base data on the usage of some of the components of the
8-2805 computer makes an accurate projection impossible, the revenue should exceed the
$19,721 billed to El Cajon during FY 1979-80.
The Data Processing Division will be able to absorb the work for El Cajon without any
additional budget increases. The 1980-81 budget reflects a nominal cost for consumable
items, such as paper and printer ribbons, related to work to be performed for El Cajon.
~.;--
by the City Council of
Chula Vista, Caiifornia
JRT:ac
Dated ~"S.,. ~O
)oz-z,.~
Office of
JENNIE M. FULASZ, CITY CLERK
City Ob ChuQa C\JUJta
CALIFORNIA
Date:
To:
Subject:
( ) Resolution No.
( ) Ordinance No.
You will find enclosed a certified copy of the City Council
document approved at the meeting of
~~:r.
JENNIE M. FULASZ, CMC
City Clerk
Enclosures
STAR NEWS: P ..te.a1J e. pubw h ;thA-6 do c.ume.nt on
and ~e.nd ~ a c.opy 6o~ o~ O~dinanc.e. BOOQ.
RECORVER: P..te.a1Je. fLe.c.ofLd ~aA.d doc.ume.nt and fLU~n U ;to M a;t tjOutL
e.ak..ti~;t c.onve.nie.nc.e..
A~ 0 e.nc...to~ e.d M, ;the. ORI GI NAL c.opy 06 ;the. agfLe.e.me.nt. P..te.a1J e. have. <<
e.xe.c.u;te.d and fLUUM ;to ;thM, 06 Mc.e..
-
JD ?, --c-?
276 Fourth Avenue, Chu1a Vista, CA 92010 (714)575-5041
CC-685(Rev.10/77)