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HomeMy WebLinkAboutAgenda Report - October 19, 2011 C-13AGENDA ITEM 13 CITY OF LODI COUNCIL COMMUNICATION TM AGENDA TITLE: Adopt Resolution Rescinding Resolution 93-30, Thereby Eliminating the Personal Computer Purchase Plan MEETING DATE: October 19, 2011 PREPARED BY: Deputy City Manager RECOMMENDED ACTION: Adopt resolution rescinding Resolution 93-30, thereby eliminating the Personal Computer Purchase Plan. BACKGROUND INFORMATION: On February 17, 1993, by Resolution 93-30, the City Council approved a program whereby City staff could purchase personal computing equipment and finance such purchases through the City. The goal of the program was to help employees improve their computer literacy and reduce the City's costs for training employees. The plan was appropriate for the time and the computer skills of City staff, but, times have changed significantly. In today's world, costs of computing equipment are much lower than in 1993; staff computer skills are much higher than in 1993; low cost, or no cost, financing is readily available. At the time the program was created, if an employee separated from the City, any outstanding balance on a loan was deducted from the employee's final pay check. The City Attorney has since advised that such action is not appropriate. Consequently, the City no longer has a guaranteed security for these loans. The City has recently referred one of these loans to a collection agency as a result of failure to pay by an employee who left City service. Staff is proposing that the program be eliminated. As of October 5, 2011, there are 24 loans outstanding (not including the one sent to collections) with an aggregate balance of $18,211.66. These loans would continue to be paid under their current terms with 1 paid off in 2011, 13 paid off in 2012, 9 paid off in 2013 and 1 paid off in 2014. Total interest on the remaining outstanding loans is $896.97. FISCAL IMPACT: Nominal loss of interest earnings to the General Fund. FUNDING AVAILABLE: Not applicable. JA/ja Jordan Ayers Deputy City Manager 014.1- U-6714- Konradt Bartlam, City Manager RESOLUTION NO. 2011-163 A RESOLUTION OF THE LODI CITY COUNCIL RESCINDING RESOLUTION 93-30, THEREBY ELIMINATING THE PERSONAL COMPUTER PURCHASE PLAN WHEREAS, the City Council approved a Personal Computer Purchase Plan on February 17, 1993, by adopting Resolution No. 93-30; and WHEREAS, the City Council has determined that the circumstances necessitating the Personal Computer Purchase Plan are no longer prevalent. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Lodi does hereby rescind Resolution No. 93-30, thereby eliminating the Personal Computer Purchase Plan; and BE IT FURTHER RESOLVED that current outstanding loans shall be repaid to the City of Lodi underthe terms and conditions of the existing loans. Dated: October 19, 2011 hereby certify that Resolution No. 2011-163 as passed and adopted by the City Council of the City of Lodi in a regular meeting held October 19, 2011, by the following votes: AYES: COUNCIL MEMBERS— Hansen, Katzakian, Mounce, Nakanishi, and Mayor Johnson NOES: COUNCIL MEMBERS — None ABSENT: COUNCIL MEMBERS— None ABSTAIN: COUNCIL MEMBERS— None HL City Clerk 2011-163