CC - Item 2F - Team Member Home Computer Purchase Porgramss e e
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ROSEMEAD CITY COUNCIL
STAFF REPORT
TO: THE HONORABLE MAYOR AND CITY COUNCIL
FROM: OLIVER CHI, CITY MANAGER
DATE: SEPTEMBER 23, 2008
SUBJECT: TEAM MEMBER HOME COMPUTER PURCHASE PROGRAM
SUMMARY
The City provides computers at work for most of our full and %-time team members to
assist them in completing their daily duties, however, many team members have
expressed an interest in also purchasing a computer for them to use at home to help
improve their skills. Many cities offer no or low-interest loans to staff members in order
to help facilitate these purchases.
Staff Recommendation
Staff recommends that the City Council approve the Team Member Home Computer
Purchase Program (Attached).
ANALYSIS
Within the last two years the City has greatly increased the use of computers to
complete daily assignments and improve upon overall efficiency. During this time we
have learned that many of our team members do not have computers at home and
therefore had previously little or no experience using computers. Through the process
of meeting with team members it has been brought up on several occasions that a City
sponsored computer purchase program would be well received and greatly appreciated.
Team members have expressed interest in being able to utilize email, word processing
and spreadsheet programs at home for personal use, which would also benefit them in
their daily duties through improving their proficiency on the computer.
The proposed program would offer no interest loans between $500 and $2,000 to full
and 3/4-time team members who have successfully passed probation. Loans must be
repaid within two years and only one loan may be taken out at a time. Any balance
owed would become payable immediately upon separation by a team member.
FINANCIAL REVIEW
There is no appropriation required with the approval of a program as there would be no
overall cost to the City.
ITEM NO.
APPROVED FOR CITY COUNCIL AGENDA:
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City Council Meeting
September 23, 2008
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PUBLIC NOTICE PROCESS
This item has been noticed through the regular agenda notification process.
Submitted by:
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Matthew E. Hawkesworth
Assistant City Manager
Attachment: Team Member Home Computer Purchase Program Policy
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SUBJECT:
CITY OF ROSEMEAD
Administrative Policy Manual
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Policy Number: 30-09
Date Established: September 23, 2008
Date Revised: September 23, 2008
City Manager Approval:
TEAM MEMBER HOME COMPUTER PURCHASE PROGRAM
PURPOSE: To establish a policy for the administration and provisions of the Team Member
Home Computer Purchase Program.
General Policy: The majority of City team members use computers extensively to perform
their work assignments. The City encourages team members to increase their computer skills
and has a new network infrastructure which enables team members to access their work files
and resources from their homes. To accommodate these needs, the City offers a Team
Member Home Computer Purchase Program (TMHCPP).
Provisions:
A. Eligibility
1. All full-time and '/4-time team members who have passed probation are eligible
to participate in this program.
2. Participants must agree to comply with the requirements and provisions of the
TMHCPPP as set forth herein.
3. Participants have the option of participating again two years from the date that
a City check was issued for a previous loan, at which time that loan would be
paid in full.
B. Administration and Support
1. This program will be administered and coordinated by the Internal Business
Unit (Human Resources and Finance).
2. The continued availability of this program will be dependent upon its
effectiveness and benefits derived. Certain limitations may be applied to the
program based on the availability of funds. In the event the City receives more
requests to participate than available funds, participants will be selected by
lottery. All other requests will be honored in the order that they were received
when funding becomes available.
C. Equipment Specifications
1. This program may be used to purchase a complete computer system with or
without OEM software, a monitor or a printer.
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Policy 30-09
Team Member Home Computer Purchase Program
2. Computers must have the capability of running the same software currently in
use by the City; however the City is not legally able to provide its own software
to team members because of software manufacturer licensing rules. Therefore,
team members must purchase their own software for use on their personal
computers.
D. Purchases
1. Comparative shopping is encouraged and participants may choose any
vendor. If participants are uncertain regarding the type of equipment to
purchase, technology staff can provide a list of equipment from one of its
vendors that would meet the minimum equipment requirements.
2. There are two purchasing options available under this program:
a. Team Member Purchase: provides participant with a City check
payable to the participant after submitting a purchase receipt and
required forms as specified in Section E of this policy.
b. City Check Purchase: provides participant with a City check payable to
a vendor that participant uses to purchase their computer system after
submitting the required forms as specified in Section E of this policy.
3. A minimum of a one-year warranty is required on all computer system and
printer purchases (usually included in the purchase price).
4. It is the responsibility of the team member to provide appropriate maintenance
and insurance (optional) for all equipment purchased through this program.
5. Use of these funds outside of this policy is grounds for termination.
E. Process and Required Forms
1. Eligible team members who wish to participate in this program must follow the
process for one of two purchasing options:
a. Team Member Purchase:
i. Participants must agree to the terms of the loan agreement and
provide the Financial Services Department with a copy of the
final receipt attached to a completed loan agreement and payroll
deduction form.
ii. A City check payable to the participant is issued according to the
accounts payable schedule.
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Policy 30-09
Team Member Home Computer Purchase Program
b. Purchase with City Check:
i. Participants submit all required forms to the Financial Services
Department for review and approval.
ii. A City check payable to the vendor will be issued according to
the accounts payable schedule.
iii. Participant purchases equipment specified on their
Pre-Approval Worksheet.
iv. Participants will provide the Financial Services Department with a
copy of the final receipt.
2. The below listed forms are required and must be completed and submitted, as
specified for the purchasing option being followed, to the Financial Services
Department for review and approval:
a. Quote/Price Sheet: must be obtained from the vendor or store from
which the team member intends to purchase the equipment. The
quote must contain a description of all equipment to be purchased
and the vendor's price. (Attach to Pre-Approval Worksheet.)
b. Pre-Approval Worksheet (Exhibit A): establishes team member
eligibility and lists the specifications and total cost of the equipment
to be purchased. No changes may be made to the purchase
specifications after the team member submits his/her forms. (Attach
a vendor quote/price sheet.)
c. Participation & Loan Agreement (Exhibit B): outlines the
responsibilities of the participant, terms of the agreement, payroll
deduction arrangements and other conditions of the TMHCPP.
d. Payroll Deduction Form (Exhibit C): authorizes financial services
staff to deduct the team member's payments from their paycheck
and lists the terms and conditions of this program.
F. Loan and Payments
1. The City will finance a minimum of $500 and a maximum of $2,000 per eligible
team member at zero percent interest.
2. Loans are due and payable in full upon termination of employment or
separation for any reason, and shall be deducted from the team member's last
paycheck or paid by the team member on terms agreed to by the financial
services director.
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Policy 30-09
Team Member Home Computer Purchase Program
3. The amount financed will be repaid to the City through payroll deductions over
a 24-month period. Deductions will begin the first pay period following the
issuance of a check and will continue for 52 pay periods. A team member may
choose to reimburse the City in a lump sum payment prior to the calculated
payoff date.
Attachments: Exhibit A - Participation & Loan Agreement
Exhibit B - Pre-Approval Worksheet
Exhibit C - Payroll Deduction Form
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Policy 30-09
Team Member Home Computer Purchase Program
Administrative Policy #30-09
Exhibit A
CITY OF ROSEMEAD
Team Member Home Computer Purchase Program
Pre-Approval Worksheet
Name:
LAST, FIRST MI
Department:
Eli ibili
The above named individual is a (check one below):
❑ full-time team-member who has passed probation.
❑ 3!4-time team member who has passed probation.
Department Head
Signature:
Equipment to be Purchased
VENDOR:
Date:
Ext.
Equipment Description (include specifications, attaching additional sheets as needed):
ITEM(S)
Subtotal
No changes may be made to
the purchase specifications
after the team member
submits his/her forms.
Shipping
Tax
Grand Total
PRICE
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Policy 30-09
Team Member Home Computer Purchase Program
Administrative Policy #30-09
Exhibit B
CITY OF ROSEMEAD
Team Member Home Computer Purchase Program
Participation & Loan Agreement
Name:
Department:
Ext.
LAST, FIRST MI
I, the above named individual ("Participant") am a (check one below):
❑ full-time team member who has passed probation.
❑ 3/4-time team member who has passed probation.
I have read and understand Administrative Policy 30-09, the Team Member Home Computer Purchase
Program ("Program") and hereby elect to purchase a personal computer and certain related equipment
("Equipment") and participate in the financing arrangement offered under the Program, and further, agree
to and accept the following terms and conditions:
1. The price of the Equipment to be purchased is $ and is identified on the
attached quote or price sheet.
2. The City agrees to loan the Participant the amount of $ for a period not to
exceed 24 months to purchase specified Equipment.
3. Participant authorizes the City to deduct $ as the first payment with equal
payments thereafter of $ from each pay check of the Participant beginning
until the amount identified above has been paid. Participant
may elect to pay the remaining unpaid balance at any time prior to the last payroll
deduction.
4. Participant agrees not to sell, trade or otherwise dispose of the Equipment until the loan has
been paid in full. Participant also agrees that usage of the Equipment will be limited to the
Participant's own use and that of his/her immediate family, and any reassignment or transfer
of the Equipment or this Agreement is a violation of these provisions, whatever the reason,
and shall constitute an "event of default" of the loan, and the City, at its discretion, shall
declare the outstanding principal to be immediately due and payable.
5. Upon termination of Participant from the employment of the City for any reason, the
remaining amount to be paid to the City under this Agreement shall immediately become
due and payable. Participant hereby authorizes City to withhold from his/her final pay,
including sick leave and vacation payoff, any amount remaining under this Agreement. If
the remaining amount due to the City exceeds the total final pay amount, this additional
amount due shall be paid to the City in a lump sum no later than the team member's last
working 'day. It is understood that failure to pay this amount will result in a late penalty
equaling ten (10) percent of the outstanding amount being applied and instigation of
collection procedures, including legal garnishment of future earnings.
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Policy 30-09
Team Member Home Computer Purchase Program
6. All warranties and service or maintenance contracts shall be between the vendor and the
participant. Participant shall deal directly with the vendor and in no event shall Participant
look to the City for any assistance or claims relating to warranty, service or maintenance.
7. This Agreement may be changed by written agreement between the City and the
Participant. Any subsequent agreement supersedes any and all written or oral agreements,
proposals and communications concerning the Program.
8. In the event either party hereto brings any suit against the other party to enforce any rights
under this Agreement, then the prevailing party in any such suit shall recover from the other
party its reasonable attorneys' fees and costs incurred in connection therewith.
9. The City will not be held responsible for any indirect, consequential, special, or punitive
damages or losses that a participant may incur from using a personal computer system
purchased under this program.
10. Each participant agrees to defend and indemnify the City, its officers, and officials, and
hold the same harmless from and against any and all claims, proceedings, damages,
injuries, liabilities, losses, costs, and expenses (including reasonable attorney's fees) that
may result from the use of a personal computer purchased under this program.
11. Participants in the program should be aware of recent legislation that applies to small
interest sums, which may affect a participant's taxable income. The IRS has determined
that any interest foregone by the City in financing the purchase of equipment can be
treated as taxable income (de minimis exception) in the year the purchase was made.
Therefore, the City encourages all participants to consult a tax advisor or financial
consultant.
ACCEPTED BY:
Team Member Signature:
City Manager or
Designee's Signature:
Date:
Date:
- ATTACH QUOTE/PRICE SHEET FROM VENDOR -
Attachments: Pre-Approval Worksheet
Payroll Deduction Form
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Policy 30-09
Team Member Home Computer Purchase Program
Administrative Policy #30-09
Exhibit C
City of Rosemead
Team Member Home Computer Purchase Program
Payroll Deduction Form
Name:
Department:
Ext.
LAST, FIRST MI
The terms and conditions of the financing arrangement offered under the Team Member Home
Computer Purchase Program are as follows:
1. The City will finance a minimum of $500 and a maximum of $2,000 at zero percent
interest toward the total cost of a computer system purchase.
2. Payments on the amount financed by the City will be made through payroll
deductions from 52 pay periods over a 24-month period.
3. If the participating team member separates from the City prior to completing
payments, any balance of the City financed amount will be deducted from the
team member's final paycheck.
4. The participating team member will be responsible for personal computer
maintenance costs, including insurance (optional), electricity and related costs.
have read, understand, and agree to abide by the terms and conditions of Administrative
Policy 30-09, the Team Member Home Computer Purchase Program, and I hereby authorize
payroll to deduct $ as the first payment with equal payments thereafter of
$ from 51 subsequent paychecks.
Team Member Signature: Date: