§ 2-04 Multi-Term Contracts (Client Services).
RCNY § 2-04
(a)Definitions. A multi-term contract is a contract for a period of longer than one year.
(b)Policy. Multi-term contracts may be used for client services contracts where: (1) it is in the City's best interest to obtain continuity of service extending over more than one year, (2) performance of such services involves high start-up costs, or (3) changeover of contractors involves high phase-in/phase-out costs over a transition period.
(c)Planning.
(1)Annually, the ACCO of each agency awarding client services contracts shall review its entire portfolio of such contracts (including all existing contracts and anticipated new contracts that may occur over the course of the planning period, i.e., the period commencing with the second quarter of the current fiscal year, running through the end of the first quarter of the following fiscal year) and shall produce, in draft and final, a plan and schedule ("Plan") detailing the procurement actions anticipated with respect to each contract set to expire and/or planned for continuation during the upcoming fiscal year.
(2)The form of the draft and final Plans shall be prescribed by the CCPO, in consultation with the HHS Accelerator Director. The draft and final Plans shall include, but not be limited to: the type of services to be provided, the authorized maximum amount of funding associated with the program, the authorized number of contracts to be let for a particular program, and the month and year of the next planned competitive solicitation.
(3)The agency shall issue the draft Plan within 30 days following the submission of the executive budget. The agency shall hold a public hearing on the draft plan within 20 days of its issuance. Notice of such public hearing shall be published once in the City Record not less than 15 days prior to the hearing date. Such notice shall include: (i) agency name; (ii) a brief description of the portfolio of contracts covered by the draft Plan; (iii) how interested parties may obtain a copy of the draft Plan; and (iv) date, time, and place of public hearing; (4) The agency may include in its notice of public hearing a provision that if the agency does not receive, within 10 business days after publication of such notice or shorter period approved by the CCPO, from any individual a written request to speak at such hearing, then the agency need not conduct such hearing. Should the agency choose not to conduct such hearing, the agency shall publish a notice in the City Record canceling such hearing.
(5)Following the public hearing, the agency shall prepare a final Plan. The final Plan shall be submitted to the agency's ACCO for approval.
(6)The agency shall submit to the CCPO and the HHS Accelerator Director by August 31 a copy of the Plan approved by the ACCO.
(7)The approved final Plan shall be issued no later than September 30 of the year in question.
(8)Copies of the Plan submitted by the ACCO shall be made available for public review by the CCPO, no later than October 1.
(d)Determination and Approvals. Prior to issuing a solicitation for a multi-term contract, the ACCO, with the approval of the HHS Accelerator Director for those procurements procured pursuant to 9 RCNY § 3-16, shall make a determination that: (1) it is anticipated that the needs of the client population will continue beyond one year, and (2) a multi-term contract will serve the best interests of the City by encouraging effective competition and promoting economies. Relevant factors include: (i) service providers otherwise unwilling or unable to compete because of high start-up costs or capital investment in securing, expanding, or maintaining a service facility will be encouraged to participate in the competition if they may recoup such costs, as appropriate, during the longer period of contract performance; (ii) lower operating costs will result because long-term service requirements and performance can be expected to result in lower prices; (iii) economy and consistent quality of service may be promoted by encouraging stability of the provider's work force over a longer period of time; and/or (iv) availability of appropriate and/or affordable facilities is severely limited.
(e)Permitted Length of Contract Terms. Client service contracts should be awarded for a term that is appropriate for the services to be performed, taking into consideration the nature of the services themselves, as well as other factors relevant to the provision of the services. The ACCO shall make a determination as to the basis for the term of a client services contract. All client service contracts may be awarded for at least an initial term, or a total term including all renewals, of up to three years. The term for a client services contract should otherwise be guided, in general, by the provisions set forth below.
