Agenda Item   



                                                                                                                        ASR Control  19-000660




legal entity taking action:

Board of Supervisors

board of supervisors district(s):

All Districts

SUBMITTING Agency/Department:

Auditor-Controller   (Approved)

Department contact person(s):

Eric Woolery (714) 834-2457 



Phil Daigneau (714) 834-6277



Subject:  Employee Contribution Enrollment and W4


      ceo CONCUR

County Counsel Review

Clerk of the Board


Approved Agreement to Form




3 Votes Board Majority




    Budgeted: Yes

Current Year Cost: $95,900

Annual Cost: N/A




    Staffing Impact:


# of Positions:

Sole Source: Yes

    Current Fiscal Year Revenue: N/A

  Funding Source: Fund 100, Budget Control 014, 100%

County Audit in last 3 years: No



    Prior Board Action: N/A





Authorize the County Procurement Officer or authorized Deputy to execute sole source contract with Aeris Enterprises, Inc. for the Employee Contribution Enrollment and W4 project for proper tax withholding in the amount not to exceed $95,900, effective upon Board of Supervisors’ approval on June 25 ,2019, until June 25, 2020.









Approval of this contract with Aeris Enterprises, Inc. for the Employee Contribution Enrollment and W4 project will provide the County with an efficient online self-service process where employees can make changes to their payroll deductions for contributions or W4 tax withholding.







The County processes the employee charitable contribution enrollment and W4 tax withholdings through a manual paper process in the payroll system.  The proposed effort will replace the current manual paper process to an online automated process.  The new system has features to support self-service entry for W4 details and allow employees to easily manage their own contributions and W4 filings.  This new system interfaces to the County Enterprise Resource Planning (ERP) system (CAPS+).


Currently, employees are limited to making charitable contributions to United Way only through payroll deduction.  However, there is a need to expand the option for employees to contribute to other charitable organizations.  The new custom application takes on an employee self-service approach and provides employee access to deduction information along with options to enroll or modify it directly.


The County Central Payroll unit (Payroll) manually inputs and processes all W4 change requests in the Payroll system. On average, Payroll processes about 1,000 W4 requests each month. The new online system would efficiently process these requests, which will minimize the administrative impact and make it faster and easier for employees to manage their own W4 tax withholding updates. This new system interfaces to ERP CAPS+ to avoid additional data entry effort.


The improvements on the employee contribution enrollment and W4 process will provide the County with a more efficient and effective system, which eliminates the risk of misplacing paper forms, data entry errors and delay in delivery and processing of these change requests.


ERP CAPS+ is a propriety system of CGI Technologies and Solutions, Inc. (CGI).  Therefore, the system and technical knowledge of the County’s ERP system is very limited to resources that have exposure to the system. Aeris Enterprises, Inc. includes former CGI employees that have the technical and functional knowledge of the system. They have the expertise and knowledge of how the ERP system functions and what is required to make this new solution work. With their system knowledge, the learning curve is minimal; therefore, minimizing project time and cost. Thus, this contract with Aeris Enterprises, Inc. is a sole source contract, and a Sole Source Request Form is attached to this Agenda Staff Report as Attachment B. This contract does not currently include subcontractors or pass through to other providers. See Attachment C for the Contract Summary Form. See Attachment D for the signed sole source affidavit. See Attachment E for the signed Risk Management Waiver Approval for the exceptions on network security and privacy liability for this contract.  The Contractor's performance has been confirmed as satisfactory.






Appropriations for this contract are included in the fiscal year 2018-19 Budget and will be included in the budgeting process for future years. 


This contract may be cancelled at any time by the County with 30 days’ notice. This contract contains language allowing the Auditor-Controller Department to immediately terminate or modify the contract without penalty in the event that funding is reduced and/or not available to continue funding the contract.










Attachment A - Contract MA-003-19011793
Attachment B - Sole Source Request Form
Attachment C - Contract Summary Form
Attachment D - Aeris Sole Source Affidavit
Attachment E - Risk Assessment Waiver