HomeMy WebLinkAboutAgenda - 02-19-2008-4gORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date: February 19, 2008
Action Agenda
Item No.
SUBJECT: Cost Allocation Plan Contract
DEPARTMENT: Finance PUBLIC HEARING: (Y/N) No
ATTACHMENT(S):
Contract
INFORMATION CONTACT:
Howard Fitts, 245-2452
PURPOSE: To consider a contract for the preparation of the. County's 2007 Cost Allocation
Plan.
BACKGROUND: Office of Management and Budget Publication A-87 requires counties
receiving federal funds to develop a Cost Allocation Plan annually. Preparation of this plan
qualifies the County to receive reimbursement for local resources used to administer certain
State and Federally funded programs. In addition, the Cost Allocation Plan is a tool used by
staff in developing the full cost of providing certain services.
Staff is recommending that the County contract with Tim McKinnie & Associates, Inc.
to prepare the cost plan for 2007. This firm's experience with counties in the state of North
Carolina is very extensive. Tim McKinnie & Associates currently prepares cost plans for 21
counties in the State of North Carolina. In addition, the principal to be assigned to the County
has a vast knowledge and experience in cost plan preparation. Also, the cost proposed for the
engagement is comparable to the County's experience over the past several years. In fact, the
fee of $8,000 quoted by Tim McKinnie & Associates is the same as last year cost plan fee
preformed by Tim McKinnie & Associates. The fee quoted is $1,200 less than the County paid
for the 2005 cost plan performed by another firm. The County had a successful engagement
with Tim McKinnie & Associates last year.
FINANCIAL IMPACT: As mentioned above, the cost of the contract for the 2007 Cost
Allocation Plan is $8,000, which is the same as last year and is $1,200 less than the
2005 Cost Plan. Funds to pay for the current year contract are budgeted in Central Services.
General fund revenues from the State and Federal governments and internal charge backs
resulting from the Cost Allocation Plan have been in excess of $700,000 annually over the past
several years.
RECOMMENDATION(S): The Manager recommends that the Board approve the contract with
Tim Mckinnie & Associates, Inc. and authorize the Chair to sign.
a
FY 2007
Agreement to Provide
Professional Cost Accounting Services to
Orange County, North Carolina
This Contract, entered into this day of , 2008 and effective
immediately by and between THM & Associates, Inc. (hereinafter referenced to as the
"Consultant") and Orange County, State of North Carolina (hereinafter referred to
as the "County"),
Witnessth That:
WHEREAS, County has programs which it operates with federal and/or state
funding, and
WHEREAS, County supports these programs with support services paid from
County appropriated funds, and
WHEREAS, federal and state funding require that these programs be supported
by an approved cost allocation plan, and
WHEREAS, the Consultant is staffed with personnel knowledgeable and
experienced in preparing and negotiating such cost allocation plans with appropriate
federal and state cost negotiators, and
WHEREAS, the County desires to contract with Consultant to develop a cost
allocation plan which meets the Federal and State requirements governing the preparation
of such plans.
NOW THEREFORE, based upon the terms and conditions herein contained, the
parties agree as follows:
1. Scope of Services. The Consultant shall perform and carry out in a timely
and professional manner the following services (hereinafter "Services"):
a. Preparation (and negotiation with appropriate federal or state officials,
if applicable) of a central services cost allocation plan that identifies
and documents the various costs incurred by the County to support
and administer federal and state programs and contracts. This plan
will contain a determination of the allowable costs of providing each
supporting service such as accounts payable, facility costs, personnel,
purchasing, etc.
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b. Prepare indirect cost rate proposals (ICRPs) for Federal grants as
necessary.
c. Identify and document other indirect cost allowable for the recovery of
eligible federal and state reimbursements. (e.g. EMS Services, Jail
Costs)
d. Conduct on-site visit(s) to gather and compile information and one
follow up visit, to discuss findings and/or proposed changes to the
plan.
2. Time of Performance. Services to be provided hereunder by the Consultant
shall be undertaken and completed in such sequence as to assure their
expeditious completion and best carry out the purposes of the agreement. The
cost allocation plan, based upon the previous year's audited expenditures will
be available by April 30, 2008, for the County's review and our
negotiation with federal and state officials.
3. Compensation. The County agrees to pay the Consultant a sum not to
exceed eight thousand dollars ($8,000), for Services, which shall include
reimbursements for all expenses incurred. Consultant agrees to complete
Services provided herein, for said sum. County shall pay Consultant's fee in
one lump sum payment upon receipt of an invoice upon completion of
Consultant's Services for the year.
4. Term. The term of this Agreement shall be one year, commencing January 1,
2008. The Agreement shall automatically terminate on December 31, 2008,
unless extended pursuant to written agreement, or terminated earlier pursuant
to the terms hereof.
5. Services and Materials to be Provided by the County. County shall
furnish Consultant with all necessary information and material pertinent to
the execution of this Contract. County shall cooperate with the Consultant in
carrying out the work herein and shall provide adequate staff for liaison with
the Consultant.
6. Information and Reports. Consultant shall, at such time and in such
form as the County may require, furnish such periodic reports concerning the
status of the project, such statements, certificates, approvals and copies of
proposed and executed plans and claims and other information relative to the
proj ect.
7. Termination of Agreement for Cause. If Consultant fails to fulfill its
obligations hereunder, County shall have the right to terminate this contract
by given written notice to Consultant at least ten (10) days before the
effective date of such termination.
8. Changes. County may, from time to time, require changes in the scope of
Services. Such changes shall be incorporated in written amendment to this
agreement.
9. Notices. Any notices, bills, invoices, or reports required by this contract shall
be sufficient if sent by the parties in the United States mail, postage paid, to the
address below:
Orange County Finance
208 S. Cameron Street
Hillsborough, NC 27278
TIM & Associates, Inc.
8001 Glenbrittle Way
Raleigh, NC 27615
10. Assignment. Consultant agrees not to assign, convey or transfer its interest
in this contract to any other entity without the prior written consent of the
County, which consent shall not be unreasonably held. Provided however,
Consultant may assign, convey or transfer its interest in this contract to an
entity which succeeds to substantially all of the business of Consultant, by
merger or otherwise.
11. Consultant Liability if Audited. Consultant will assume all financial
and statistical information provided to the Consultant by County employees or
representatives is accurate and complete. Any subsequent disallowance of
funds paid to the County under the claim for whatever reason is the sole
responsibility of the County.
IN WITNESS WHEREOF, the parties hereto have set their hands on the day and
year above first written.
County of Orange
By:
(County Official)
THM & Associates, Inc.
By:
Timothy \ McKinnie
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