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File #: 18-0934    Version: 1
Type: Resolution Status: Adopted
File created: 8/20/2018 In control: Business, Arts, Workforce, & Aviation Services Committee
On agenda: 9/10/2018 Final action: 9/10/2018
Title: A resolution approving a proposed Eighth Amendatory Agreement between the City and County of Denver and SMG for to amend the pension and HW benefits, amend title in Section 3, extend the term and provide additional compensation for stagehand staffing and payroll services. Increases the stagehand pension and health and wellness benefit rate by 1.5% for a new total of 17% in a contract with SMG for payroll and human resources services for stagehand staffing in all Denver Arts and Venues facilities, citywide (CE93004). The last regularly scheduled Council meeting within the 30-day review period is on 10-1-18. The Committee approved filing this item at its meeting on 8-29-18.
Indexes: Zach Rothmier
Attachments: 1. RR18 0934 DAV SMG, 2. 18-0934_Eighth Amendatory Agreement_SMG.CE93004-08, 3. 18-0934_Filed Resolution_SMG_CE93004-08, 4. 18-0934 Filed Resolution_SMG_CE93004-08.pdf, 5. 18-0934 - signed.pdf

Contract Request Template (Contracts; IGAs; Leases)

 

Date Submitted: 8-21-18

 

Requesting Agency: Arts and Venues

                               Division:

 

Subject Matter Expert:

Name:  Frank Delmonte

Email:  Frank.Delmonte@Denvergov.org

 

Item Title & Description:

(Do not delete the following instructions)

These appear on the Council meeting agenda. Initially, the requesting agency will enter a 2-3 sentence description. Upon bill filling, the City Attorney’s Office should enter the title above the description (the title should be in bold font).

 

Both the title and description must be entered between the red “title” and “body” below.  Do not at any time delete the red “title” or “body” markers from this template.

title

A resolution approving a proposed Eighth Amendatory Agreement between the City and County of Denver and SMG for to amend the pension and HW benefits, amend title in Section 3, extend the term and provide additional compensation for stagehand staffing and payroll services.

Increases the stagehand pension and health and wellness benefit rate by 1.5% for a new total of 17% in a contract with SMG for payroll and human resources services for stagehand staffing in all Denver Arts and Venues facilities, citywide (CE93004).  The last regularly scheduled Council meeting within the 30-day review period is on 10-1-18.  The Committee approved filing this item at its meeting on 8-29-18.

body

 

Affected Council District(s) or citywide? Citywide

 

Contract Control Number: CE93004

 

Vendor/Contractor Name (including any “DBA”): SMG

 

Type and Scope of services to be performed: The SMG Stagehand payroll contract (CE93004) is a professional services contract to provide payroll and HR services for IATSE Local #7 stagehands in all Denver Arts & Venues facilities.  The stagehand payroll services provider negotiates with the stagehand union and administers all payroll and HR Services for these employees.  The contract was competitively bid in 2008 and awarded to SMG, the manager of the Colorado Convention Center (CCC).  This stagehand payroll contract runs concurrently with the management agreement at the CCC (concluding on 12/31/23).  Depending on the amount of activity in the venues, the contract provider incurs $3.5M or more in stagehand payroll expenditures per year, which are reimbursed by the agency.  Denver Arts & Venues in turn invoices customers who use the stagehands for events in the venues and is reimbursed by those customers.  This is largely a pass-through expenditure for the agency.  Additionally, there is no impact on the General Fund.

 

This ordinance request is to amend the Stagehand Pension and HW Benefit rate as set forth in Exhibit B (SMG Stagehand Payroll Administrative Markup) regarding the markup increase for 2018.  There are no payroll tax rate changes for the 2018 year however there are changes in relation to Benefits and the Pension & Health/Welfare (“HW”) for the membership.  The CBA with IATSE was ratified and it was agreed to a 1.5% increase for 2018 changing the current rate and assumption utilized in Exhibit B from 15.5% to 17% contribution/expense. 

 

 

Location (if applicable):

 

WBE/MBE/DBE goals that were applied, if applicable (construction, design, Airport concession contracts):

 

Are WBE/MBE/DBE goals met (if applicable)?

 

Is the contract new/a renewal/extension or amendment?

 

Was this contractor selected by competitive process or sole source?

                     

For New contracts

Term of initial contract:

 

Options for Renewal:

                     How many renewals (i.e. up to 2 renewals)?

                     Term of any renewals (i.e. 1 year each):

 

Cost of initial contract term:

 

Cost of any renewals:

 

Total contract value council is approving if all renewals exercised:

 

For Amendments/Renewals Extensions:

Is this a change to cost/pricing; length of term; terms unrelated to time or price (List all that apply)?

 

If length changing

What was the length of the term of the original contract?

 

What is the length of the extension/renewal?

 

What is the revised total term of the contract?

If cost changing

What was the original value of the entire contract prior to this proposed change?

 

What is the value of the proposed change?

 

What is the new/revised total value including change?

 

If terms changing

Describe the change and the reason for it (i.e. compliance with state law, different way of doing business etc.)

The SMG Stagehand payroll contract (CE93004) is a professional services contract to provide payroll and HR services for IATSE Local #7 stagehands in all Denver Arts & Venues facilities.  The stagehand payroll services provider negotiates with the stagehand union and administers all payroll and HR Services for these employees.  The contract was competitively bid in 2008 and awarded to SMG, the manager of the Colorado Convention Center (CCC).  This stagehand payroll contract runs concurrently with the management agreement at the CCC (concluding on 12/31/23).  Depending on the amount of activity in the venues, the contract provider incurs $3.5M or more in stagehand payroll expenditures per year, which are reimbursed by the agency.  Denver Arts & Venues in turn invoices customers who use the stagehands for events in the venues and is reimbursed by those customers.  This is largely a pass-through expenditure for the agency.  Additionally, there is no impact on the General Fund.

 

This ordinance request is to amend the Stagehand Pension and HW Benefit rate as set forth in Exhibit B (SMG Stagehand Payroll Administrative Markup) regarding the markup increase for 2018.  There are no payroll tax rate changes for the 2018 year however there are changes in relation to Benefits and the Pension & Health/Welfare (“HW”) for the membership.  The CBA with IATSE was ratified and it was agreed to a 1.5% increase for 2018 changing the current rate and assumption utilized in Exhibit B from 15.5% to 17% contribution/expense.