Staff Report
PREPARED BY: LISA VELASCO
Human Resources Director
Reviewed by: Town Manager, Town Attorney, and Finance Director
110 E. Main Street Los Gatos, CA 95030 ● 408-354-6832
www.losgatosca.gov
TOWN OF LOS GATOS
COUNCIL AGENDA REPORT
MEETING DATE: 03/07/2017
ITEM NO: 5
DATE: FEBRUARY 22, 2017
TO: MAYOR AND TOWN COUNCIL
FROM: LAUREL PREVETTI, TOWN MANAGER
SUBJECT: AUTHORIZE THE TOWN MANAGER TO EXECUTE A THIRD AMENDMENT TO
THE PROFESSIONAL SERVICES AGREEMENT WITH RENNE SLOAN
HOLTZMAN SAKAI TO INCREASE THE COMPENSATION BY $54,000 TO
PERFORM LABOR RELATIONS AND EMPLOYMENT CONSULTING SERVICES
RECOMMENDATION:
Authorize the Town Manager to execute a third amendment (Attachment 1) to the professional
services agreement with Renne Sloan Holtzman Sakai to increase the compensation by $54,000
to perform labor relations and employment consulting services.
BACKGROUND:
The current agreement between the Town and Renne Sloan Holtzman Sakai has been in place
since July 1, 2014 to provide employment relations services, such as: labor negotiations,
classification, and compensation analysis. Renne Sloan Holtzman Sakai was selected as a sole
source provider for its specialized services. In March 2016, the Town amended the agreement
to increase the contract amount by $30,000 for a total contract amount not to exceed $45,000.
In June 2016, a second amendment to the agreement extended the contract an additional year
through June 30, 2017 and increased the contract amount by $50,000 for a total contract
amount of $95,000. The length of time and complexity required to complete labor negotiations
surpassed the original estimate resulting in additional costs. An amendment to increase the
compensation amount by $54,000, for a total amount not to exceed $149,000, is necessary to
compensate Renne Sloan Holtzman Sakai for the completion of negotiation services through
June 30, 2017.
PAGE 2 OF 2
SUBJECT: AUTHORIZE THE TOWN MANAGER TO EXECUTE A THIRD AMENDMENT TO
THE PROFESSIONAL SERVICES AGREEMENT WITH RENNE SLOAN HOLTZMAN
SAKAI TO INCREASE THE COMPENSATION BY $47,000 TO PERFORM LABOR
RELATIONS AND EMPLOYMENT CONSULTING SERVICES
FEBRUARY 22, 2017
S:\COUNCIL REPORTS\2017\03-07-17\Amend Renne Sloan Agreement\Staff Report Final.docx 3/2/2017 4:43 PM LV
DISCUSSION:
The Town has three bargaining unions: American Federation of State, County and Municipal
Employees (AFSCME); Town Employees’ Association (TEA); and the Police Officers’ Association
(POA). The memoranda of agreements with AFSCME and TEA expired on June 30, 2016. The
AFSCME agreement was approved by Council on November 15, 2016 with a reopener to discuss
wages effective July 1, 2017. The TEA agreement was approved by Council on December 20,
2016, following a mediation process. The POA agreement expired on September 30, 2016 and
was approved by Council on February 7, 2017.
CONCLUSION:
Under the existing agreement, Renne Sloan Holtzman Sakai has been highly effective in
assisting the Town with complex labor relations and labor negotiations support. Staff
recommends approval of the Third Amendment to allow Renne Sloan Holtzman Sakai to
continue to provide legal consulting services around labor relations and employment matters
through the end of the fiscal year.
FISCAL IMPACT:
Agreement amendment amount of $54,000 for FY 2016/17 is included in the Human Resources
operating budget.
ENVIRONMENTAL ASSESSMENT:
This is not a project defined under CEQA, and no further action is required.
Attachments:
1. Proposed Third Amendment to the Agreement