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TO: |
Board of Trustees |
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THROUGH: |
Jay Fox, Executive Director |
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FROM: |
Viola Miller, Chief Financial Officer |
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PRESENTER(S): |
Eric Barrett, Deputy Comptroller |
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TITLE:
title
R2024-10-03 - Resolution Granting Contract and Expenditure Authority to Non-Inventory Vendors
end
AGENDA ITEM TYPE:
Resolution
RECOMMENDATION:
Approve Resolution, which increases the NTE amount previously approved in Resolution R2024-02-02 for certain vendors
BACKGROUND:
The Utah Public Transit District Act (Utah Code §17B-2a-808.1(2)(v)) requires the board of trustees of a large public transit district, such as the Authority, to review and approve any contract or expense exceeding $200,000 and any proposed change order to an existing contract if the value of the change order exceeds 15% of the total contract or $200,000. Further, the Board of Trustees of UTA in its Board Policy 2.2 - Contracting Authority and Procurement further defined which contracts, change orders and disbursements that must be approved by the Board. Specifically, Board Policy 2.2 (III)(D)(3) permits the Board to preapprove disbursements equal to or greater than $200,000 by Resolution. On February 14, 2024 the Board of Trustees of the Authority (the “Board”) passed Resolution R2024-02-02 Granting Contract and Expenditure Authority to Non-Inventory Vendors. Expenditures to date reflect a year end forecast that exceeds the previously Board approved NTE amounts in Resolution R2024-02-02 and will not be sufficient to cover costs for the year 2024.
DISCUSSION:
Increases are needed for the following vendors due to increases in personnel:
Amalgamated Transit Union - membership dues
Cambridge Associates - pension contributions
Mutual of America - 457 plan participation
Utah State Tax - withholding
VantagePoint - supplemental benefits
Increases are needed for the following vendors due to increased usage during the year:
Murray City Utilities - City electrical services
Office of Recovery Services - wage garnishments
Rocky Mountain Power - electricity usage
Increases are needed for the following vendors due to rate/contract increases:
Dominion Energy - new contract for Natural Gas
First Net - per phone line cost increase
ALTERNATIVES:
If the Board does not enact this Resolution, future payments to the listed vendors will need to be presented individually to the Board for approval when the previously approved NTE amount is reached.
FISCAL IMPACT:
Increases to the NTE Amounts for the following Vendors for an overall increase of $12,580,000
Amalgamated Transit Union $250,000
Cambridge Associates $3,000,000
Mutual of America $3,000,000
Office of Recovery Services $70,000
Utah State Tax (Withholding) $2,000,000
VantagePoint $2,000,000
Dominion Energy $1,500,000
First Net $200,000
Murry City Utilities $60,000
Rocky Mtn Power $500,000
ATTACHMENTS:
Resolution