title
APPROVE MOTION TO AMEND COOPERATIVE AGREEMENT WITH ROBERT HALF, INC.
recommended action
RECOMMENDATION
It is recommended that the City Council approve a motion to:
1. Approve a motion to amend the Cooperative Piggyback Agreement, Contract No. 21-1160, with Robert Half, Inc, to add additional funding in the amount of $230,000, with a total contract not to exceed amount of $770,000.
2. Approve findings pursuant to Stockton Municipal Code 3.68.070 in support of an exception to the competitive bidding process.
3. Authorize the City Manager to take appropriate and necessary actions to carry out the purpose and intent of this motion.
body
Summary
The Human Resources Department (HR) is seeking to amend the temporary support services contract with Robert Half, Inc. to provide services to the Human Resources and Administrative Services Departments to address errors within the City’s Human Resources Information System (HRIS), Tyler MUNIS and to provide temporary staffing support in Accounts Payable (AP) division within the Administrative Services Department (ASD). Staff is requesting Council’s authority to increase the contract amount by $230,000 for a total contact amount not to exceed $770,000.
DISCUSSION
Background
On March 28, 2025, HR entered into a Cooperative/Piggyback Agreement with Robert Half, Inc. for temporary support services to assist HR and ASD with updating the HRIS within the Tyler MUNIS system to address payroll errors. Funds for this contract were budgeted out of the Enterprise Resource Planning (ERP) Fund Account, which is dedicated to expenses related to the Tyler MUNIS System. The initial contract was established in March of 2025 for $100,000 to assist with the transition of Payroll from the Administrative Services Department to Human Resources. On July 15, 2025, the Council approved a contract change order to increase the contract amount to $400,000. On September 12, 2025, an additional $140,000 was added by contract change order (under City Manager’s authority), bringing the total current contract amount to $540,000.
At the time of transition of Payroll to Human Resources Department we did not anticipate the number of corrections that needed to be addressed within the system. HR and ASD have worked with Robert Half, Inc. over the past eight months, where they provided critical support to enhance payroll accuracy, compliance, and efficiency. The key projects we have completed include the following:
• Updated the Tyler MUNIS system to enable daily prenotes, eliminating paper checks for new hires.
• Corrected configuration related acting and special assignment pay codes.
• Updated the system to ensure accurate and timely submission of California’s Government Compensation Reporting.
• Identified and resolved accrual cap calculation errors.
• Corrected CalPERS reporting codes to ensure compliance and accuracy resulting in a reduction of approximately 800 plus CalPERS errors every pay period.
• Conducted testing and developed workarounds for mid-pay-period payroll changes required by newly adopted MOUs.
• Updated pay code settings to resolve discrepancies.
• Developed custom reports to allow payroll staff to review pay-period changes that are not currently captured by the system to prevent payroll errors.
• Implemented a revised process for posting payroll to the General Ledger and completed backlog postings back to January 2025.
• Created a citywide Project Journal Entry guide to support departments in understanding the new General Ledger posting method.
• Resolved overdue tax filings and corrected late reporting issues.
• Updated tax tables within Tyler MUNIS to ensure accurate tax withholding.
• Resolved outstanding W-2 and garnishment processing issues.
• Assisted ASD with addressing and processing outstanding employee reimbursements prior to year-end close.
• Provided temporary staffing support in Administrative Services due to vacancies and leaves.
Present Situation
Robert Half, Inc. continues to support HR and ASD to correct system functionalities in Payroll and Accounting modules to align with City’s policies, procedures and bargaining units’ Memorandum of Understanding (MOUs).
Additional funding is needed in order to provide continued support with the following system improvements:
• Reconfigure the Tyler MUNIS system to permanently support citywide mid-pay pay rate changes: Mid-pay period pay rate changes are primarily used to make adjustments to payroll when Police trainees graduate from the Police Academy and become sworn officers. Police Academy graduation dates are not controlled by the City and usually occur in the middle of a pay period. Currently, these changes are processed manually as the current system is not set up to make these adjustments mid-pay period. Manual adjustments create a higher risk of payroll errors. To decrease payroll errors, our goal is to have the system process these payroll changes automatically.
• Support and guide the payroll team with year-end W-2 preparation and processing to ensure accurate reporting and compliance.
• Provide temporary staffing in the Accounts Payable division of ASD due to extended leaves. Temporary assistance will ensure uninterrupted processing of vendor payments, compliance with City procurement/payment policies, and timely financial reporting.
Robert Half, Inc, provides specialized technical skills and support to staff, ensuring system improvements are developed and implemented to reduce payroll errors, improve efficiency, and ensure long-term system reliability.
The City intends to reach the current contract amount of $540,000 and is seeking Council’s authority to increase the contract amount by $230,000 for a total contract amount not to exceed $770,000. We anticipate the projected hours to complete the remaining projects will remain within the increased funding.
Breakdown of the increased funding amount of $230,000 per department:
• ASD $85,000 for Temporary Staffing Support through December 2026.
• HR $145,000 for W-2 Processing and Mid-Pay period functionality implementation.
Findings
This is a Cooperative/Piggyback Agreement between the City of Stockton and Robert Half, Inc., utilizing the City of Newport News, Virginia, Contract #21-1160-6025. The Procurement Division within ASD has reviewed and confirmed that the City of Newport News contract was solicited and awarded to Robert Half, Inc. through an open and competitive process and meets the City of Stockton’s procurement regulations as well as the criteria for an exception to the competitive bidding process.
Pursuant to Stockton Municipal Code Section 3.68.070, Council may approve findings which support an exception to the competitive bidding process. These findings include:
1. Cooperative agreements qualify as an exception to the City’s competitive bidding process as outlined in City Municipal Code §3.68.070(A)(5) and City Policy 17.05.050, specifically: “Cooperative purchasing agreements authorized by the City Council for purchase of supplies or services through other governmental jurisdictions or public agencies.”
2. A Cooperative/Piggyback Agreement enables the City to utilize the terms and conditions of a competitively solicited and negotiated cooperative purchasing agreement.
3. The use of cooperative contracts improves time, efficiency, and enables the City to acquire products of equal or superior quality, along with value-added services.
Financial Summary
There is sufficient funding in the ERP Project Account No. 3030-031-630001-510-511-00-30-000-000 to approve the increase of $230,000 to the contract with Robert Half, Inc., in the total contract amount not to exceed $770,000.
Attachment A - Amendment No. 3 to the Agreement with Robert Half, Inc.
Attachment B - Agreement with Robert Half Inc.