BOARD MEETING DATE: April 2, 2010
AGENDA NO. 9
PROPOSAL:
Execute Contracts with Rick Pearce and Eudora Tharp for Expert Technical Consulting Services and Approve Findings Supporting Contracts
SYNOPSIS:
This action is to execute contracts with Chief Financial Officer Rick Pearce and with Assistant Deputy Executive Officer/Administrative and Human Resources Eudora Tharp to provide expert technical consulting services after their retirements to provide a transition period for their successors in these mission-critical executive management assignments. Additionally, this action is to approve findings under Health and Safety Code section 40426.7, which requires the Board to make specific findings before contracting with certain District employees within 12 months following retirement. The total cost of both contracts will not exceed $40,000, and sufficient funds are available in the FY 2009-10 Budget.
COMMITTEE:
Administrative, March 12, 2010, Recommended for Approval
RECOMMENDED ACTIONS:
Authorize the Executive Officer to enter into contracts with Rick Pearce and with Eudora Tharp to provide expert technical consulting services related to, respectively, finance programs at a rate of $150 per hour for a total contract amount no to exceed $20,000, and administrative and human resources programs at a rate of $140 per hour for a total contract amount not to exceed $20,000. Both contracts are for the period April 1, 2010 through September 30, 2011.
Approve findings that: at the time they will leave AQMD employment, (1) Mr. Pearce and Ms. Tharp were responsible for overseeing the development and implementation of AQMD programs, policies, and procedures; (2) that their services are necessary to assure the continued effectiveness of programs; (3) that the contract is only for that period of time necessary for them to work on these programs; and (4) that Mr. Pearce and Ms. Tharp are the most qualified persons to provide the needed services.
Barry R. Wallerstein, D.Env.
Executive Officer
Background
Rick Pearce has been employed at AQMD since 1979 and has been Chief Financial Officer/Director of Finance since 1992, with responsibility for developing and administering finance programs, including accounting, payroll, cash and asset management, budget preparation and administration, grants, billing services, and procurement. Eudora Tharp has been employed by AQMD since 1988 and has been Assistant Deputy Executive Officer/Administrative and Human Resources since 2000, with responsibility for labor and employee relations, classification and compensation, employee benefits, risk management/workers compensation, and business and building services. Both are retiring from District service as of April 1, 2010.
These contracts will allow Mr. Pearce and Ms. Tharp to provide their successors valuable transition periods in their executive management positions.
Proposal
It is recommended that the Board authorize the Executive Officer to enter into contracts with Rick Pearce and with Eudora Tharp to provide expert technical consulting services to assist the transition of their successors in these executive management assignments. Both contracts will be for the period April 1, 2010 through March 31, 2011. Mr. Pearce’s contract will be at the rate of $150 per hour not to exceed $20,000, and Ms. Tharp’s contract will be at the rate of $140 per hour, not to exceed $20,000.
Sole-Source Justification
Section V of AQMD’s Procurement Policy and Procedure identifies four major provisions under which a sole-source award may be justified. This request is made under provision #4: other circumstances exist, which, in the determination of the Governing Board or Executive Officer, require such waiver in the best interest of AQMD.
Both Mr. Pearce and Ms. Tharp have for many years effectively developed and implemented critical technical programs and have unique expertise to provide needed technical services to permit AQMD effectively to carry out mission-critical programs.
California Health and Safety Code Section 40426.7 Requirements
To award contracts to retired employees, such as Mr. Pearce and Ms. Tharp, the Board must make specific findings under California Health and Safety Code Section 40426.7. The Board must find that, at the time of their retirement, (1) employees were working on one or more programs that are of great importance to the south coast district, (2) that services of the employees are necessary to assure the continued effectiveness of programs, (3) that the contract is only for that period of time necessary to complete the employees’ work on these programs, and (4) that these employees are the most qualified persons to provide the needed services. These findings must be made by a two-thirds vote.
The Board can make these findings as to Mr. Pearce and Ms. Tharp with regard to their proposed contracts. The expert technical services included in this contract are vital to the proper organization and functioning of AQMD. Mr. Pearce and Ms. Tharp have unique knowledge and experience in their respective areas, and have formed working relationships with AQMD staff, that make each of them the most qualified person to provide assistance with the transition periods for their successors in these mission-critical executive management assignments.
Resource Impacts
The total cost of both contracts—up to $20,000 for Rick Pearce and up to $20,000 for Eudora Tharp, will not exceed $40,000. Sufficient funds are available in the current budget to cover these costs.
ATTACHMENT
FINDINGS
PURSUANT TO HEALTH & SAFETY CODE §40426.7
The Governing Board of the South Coast Air Quality Management District makes the following findings with respect to contracts with Rick Pearce and with Eudora Tharp for expert technical services, which contract is more fully described in the accompanying Governing Board letter:
At the time they will leave AQMD employment, they were working on one or more programs that are of great importance to the south coast district.
Their services are necessary to assure the continued effectiveness of programs.
The contract is only for that period of time necessary to complete their work in the program or programs.
They are the most qualified persons to provide the needed services.