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APPROVE A MOTION TO EXECUTE PROFESSIONAL SERVICES AGREEMENTS WITH DR ASSOCIATES INTERNATIONAL AND THE GUMSHOE GROUP FOR PRE-EMPLOYMENT BACKGROUND AND PERSONNEL INVESTIGATION SERVICES
recommended action
RECOMMENDATION
It is recommended that the City Council approve a motion to:
1. Authorize the City Manager, or designee, to execute a Professional Services Agreement with DR Associates International to provide preemployment background and personnel investigation services for the City of Stockton Fire and Police Departments in the amount not to exceed $475,000 for a five-year term;
2. Authorize the City Manager, or designee, to execute a Professional Services Agreement with The Gumshoe Group to provide preemployment background and personnel investigation services for the City of Stockton Fire and Police Departments in the amount not to exceed $100,000 for a five-year term;
3. Approve findings that support an exception to the competitive bidding process; and
4. Authorize the City Manager, or designee, to take appropriate and necessary actions to carry out the purpose and intent of this motion.
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Summary
The Fire and Police Departments (SFD & SPD) require preemployment background investigations for all prospective sworn personnel. These investigations include personal interviews, education and employment verification, and review of criminal history, driving record, military service, social media, personal references, and other pertinent information useful in identifying unfit candidates.
A formal Request for Proposals (RFP) was advertised, and three firms submitted proposals. The Selection Committee evaluated each proposal and found DR Associates International and The Gumshoe Group to be the most qualified and highest ranked proponents.
It is recommended Council approve a motion authorizing the City Manager to execute Professional Services Agreements with DR Associates International and The Gumshoe Group in the amount of $475,000 and $100,000 respectively, for a term of five (5) years each.
DISCUSSION
Background
SFD and SPD require preemployment background investigations for all prospective sworn personnel to ensure candidates being considered for employment have the necessary qualifications, character, and fitness to serve in public safety. Preemployment background investigations serve as a crucial verification mechanism for the information provided by candidates during the hiring process, such as their educational and employment history, criminal record, and driving history. Additionally, background investigations identify potential warning signs that may indicate a candidate is unsuitable for the job, such as a history of drug or alcohol abuse, financial irresponsibility, or violent behavior. These investigations help ensure each department is selecting candidates with the highest standards of integrity, honesty, and professionalism.
On February 27, 2018, City Council approved motion 2018-02-27-1113 for a five-year agreement with DR Associates International for SFD preemployment background and personnel investigation services. This agreement expired March 13, 2023. Currently, SPD performs internal background investigations and does not have an agreement for background investigation services.
Present Situation
SPD currently conducts in-house background investigations but is seeking to supplement these services to meet rising demand. Similarly, SFD has augmented their hiring needs by doubling the number of fire academies from one to two per year. Following discussions between SPD, SFD, and the Procurement Division, the decision was made to issue a Request for Proposals (RFP) and award contracts to multiple vendors. This approach would help ease vendor capacity constraints and enable both departments to effectively address their increasing background investigation requirements. Moreover, the dependence on a single vendor has posed challenges in the past, particularly during periods of high demand for services or due to scheduling constraints such as pre-planned vacations.
On December 1, 2022, SFD and SPD jointly advertised an RFP for background investigation services. On January 5, 2023, proposals were submitted by three firms, namely Creative Security Company, Inc. (San Jose, CA), DR Associates International (Davis, CA), and The Gumshoe Group (Vacaville, CA). A Selection Committee, consisting of staff from both SFD and SPD, evaluated and ranked all proposals based on the proponents' qualifications, professional experience, industry expertise, and capacity to meet each department's demands. Following a thorough evaluation process, DR Associates International and The Gumshoe Group were ranked as the two most qualified proponents. Both firms possess the necessary qualifications, resources, and experience to provide preemployment background and personnel investigations for the Fire and Police Departments.
Staff recommends a Professional Services Agreement with DR Associates International. Based on DR Associates International’s proposed fees and the anticipated number of investigations, staff estimates the cost for services to be $95,000 annually. Staff recommends a five (5) year agreement for an amount not to exceed $475,000 over the term of the agreement.
Staff also recommends a Professional Services Agreement with The Gumshoe Group . Based on The Gumshoe Group’s proposed fees and the anticipated number of investigations, staff estimates the cost for services to be $20,000 annually. Staff recommends a five (5) year agreement for an amount not to exceed $100,000 over the term of the agreement.
Findings
Pursuant to SMC section 3.68.070, Council may approve findings which support an exception to the competitive bidding process. The proposed findings include:
1. The Fire and Police Departments require preemployment background investigations for all prospective sworn personnel.
2. Use of the RFP process is appropriate for these services because it relies on the evaluation of professional qualifications and performance as the basis for selection of a vendor. Use of these criteria helps ensure selection of a vendor(s) that will provide professional, responsive, and timely service.
3. DR Associates International and The Gumshoe Group were the highest-ranking proponents.
The recommended motion will approve five-year Professional Services Agreements for $475,000 with DR Associates International and $100,000 with The Gumshoe Group for pre-employment background and personnel investigations for the Fire and Police Departments.
FINANCIAL SUMMARY
SFD has an annual budget allocation of $50,000 in General Fund Administration account 4010-000-630006-100-000-20-40-000-000- for preemployment background and personnel investigation services. SFD will increase this budget allocation as needed in future years to fund the cost of the proposed agreements. SPD will allocate $20,000 in account 3514-000-630006-100-115-20-35-000-000- for the initial contract year. After the initial year, SPD will review vendor performance and determine feasibility of expanded use of an external background investigator. Should SPD decide to continue or expand services, SPD will increase their budget allocation as needed to fund the remaining balance of the agreements.
Attachment A - DR Associates Agreement
Attachment B - Gumshoe Group Agreement