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Item 3.10 Approve Temporary Staffing Agreement and Human Resource Consulting Services Proposal Request for City Council Action DEPARTMENT INFORMATION ORIGINATING DEPARTMENT REQUESTOR: MEETING DATE: Human Resources Assistant City Administrator/Human Resources Hille October 12, 2026 PRESENTER(s) REVIEWED BY: ITEM #: Consent City Administrator/Finance Director Flaherty 3.10 – Temporary Staffing STRATEGIC VISION MEETS: THE CITY OF OTSEGO: Is a strong organization that is committed to leading the community through innovative communication. Has proactively expanded infrastructure to responsibly provide core services. Is committed to delivery of quality emergency service responsive to community needs and expectations in a cost-effective manner. X Is a social community with diverse housing, service options, and employment opportunities. Is a distinctive, connected community known for its beauty and natural surroundings. AGENDA ITEM DETAILS RECOMMENDATION: City staff recommend the City Council approve an agreement for temporary staffing and a proposal for professional services. ARE YOU SEEKING APPROVAL OF A CONTRACT? IS A PUBLIC HEARING REQUIRED? Yes No BACKGROUND/JUSTIFICATION: Due to a temporary vacancy for an employee on maternity leave, City staff explored options for temporary assistance in the department. Staff have identified Abdo as a strong solution to the temporary need, Abdo has long partnered with the City on various Human Resources projects and support and the Abdo team are familiar with our payroll system to be able to use them as a back option. City staff is recommending entering into a service agreement with Abdo Solutions, for the time of November 2026 until March of 2027. This agreement is pre-determined to be temporary, but will further support city leadership, human resources functions, year-end tasks, annual reporting, and support for all staff. The professional services include human resource consultation, pay equity reporting, onboarding/orientation assistance, policy and procedure support, weekly meetings with staff, payroll back up, and any additional special projects as assigned by the City Administrator/Finance Director. To complement the professional services proposal, City staff have identified Atlas Staffing, a company with a location in Elk River to assist in the filling of a position in a temporary status. All temporary individuals will undergo a background check and will be recruited through the agency. Responsibilities of the role will include administrative support functions, human resources year end tasks, payroll assistance, onboarding assistance, and reception duties. The individual will be scheduled to be at City Hall up to 40 hours per week. This position is not eligible for benefits, and the role will be held under a contracted capacity. With the employee leave beginning earlier than originally anticipated, a specific temporary employee has not been selected, therefore the per hour rate is not defined within the draft agreement included in the packet. City staff, based on previous temporary staffing contracts, would estimate between $35.00 to $45.00 per hour. Pending authorization from the City Council to proceed, staff will work with the staffing agency to select an employee as soon as possible. The costs of the professional services proposal and the temporary staffing agreement will be offset by the wages not being paid due to the temporary vacancy of the City employee currently on maternity leave. SUPPORTING DOCUMENTS ATTACHED: • Proposal – Abdo • Agreement of Service POSSIBLE MOTION PLEASE WORD MOTION AS YOU WOULD LIKE IT TO APPEAR IN THE MINUTES: Motion to accept the proposal from Abdo to professional human resource consulting services; and to approve an Agreement of Service between the City of Otsego and Atlas Staffing to provide temporary staffing in the Human Resources Department up to the length of temporary employee leave, and pending review of the City Attorney, authorize City staff to execute the agreement. BUDGET INFORMATION FUNDING: BUDGETED: Fund 101 – General – Human Resources (41800) No, however, the costs will be offset by the vacancy of the employee. Proposed by Leah Davis, CPA Partner |Abdo leah.davis@abdosolutions.com |P 507.524.2347 July 13, 2026 P R O P O S A L F O R S E R V I C E S City of Otsego 13400 90th Street,Otsego, Minnesota 55330 Executive Summary Sabrina Hille,Assistant City Administrator/Human Resources City of Otsego 13400 90th Street Otsego, Minnesota 55330 Dear Sabrina, Thank you for the oppor tunity to meet with you, to learn more about the great work you're doing in your community, and to submit this proposal to the City of Otsego for partnering with your team on a variety of HR advisory and suppor t services. Based on our experience working with organizations of your size and our exper tise in the type of work outlined in the proposal, we’re confident that the Abdo HR Advisory team is the right partner to help you evaluate, optimize, and support a high- functioning HR infrastructure that will serve your organization well into the future. We work hard for those who matter most - clients, employees, family, and community - and celebrate their successes alongside them. Our process is centered on meeting your needs, exceeding your expectations, and incorporating technology to deliver creative solutions. Abdo’s success has been driven by utilizing staff that are experienced and well trained in organizational planning, human resources, payroll, compensation systems, and business operations. We understand that there are certain factors that are most important to you in the selection of a consultant. Factors like our attention to detail, overall project approach, collaboration with key staff and designing innovative solutions are just a few of the ways we set ourselves apar t in our ability to serve our clients. The following proposal is intended to provide you with a variety of service and support options that you can review, discuss, and consider.Please consider these options as more of a "menu" of services rather than an "all or nothing" package.Our team anticipates that you'll have questions and want to further refine scope and pricing, depending on your specific needs and budget. We appreciate the oppor tunity to present this information and look forward to partnering to determine the solution that best fits the needs of the City of Otsego. Abdo Leah Davis, CPA Brenna Ramy, PHR, SHRM-CP Partner |Abdo Senior Manager |Abdo 1 |P R O P O S A L F O R S E R V I C E S The current state WHAT WE HEARD We understand the challenges you face as an organization with ever-changing regulations, financial standards, staffing changes, and strategic vision. Through our conversations, we understand these challenges to include: •Challenge 1 –Interim HR coverage during maternity leave:The organization would benefit from proactive, hands-on support — ideally a dedicated resource with weekly check-ins to keep recruiting, employee relations, and day-to-day HR running smoothly. •Challenge 2 –Fire Department launch readiness:Standing up a new department by year-end brings significant complexity — FLSA compliance unique to fire personnel, payroll setup, BambooHR integration for hour-logging, and recruitment support for the fire captain and firefighter roles starting in July. •Challenge 3 –Compliance, safety, and year-end processes:The team would benefit from support navigating updated employment laws, revamping the Safety Committee, managing open enrollment, and completing year- end reporting in BambooHR. WHAT'S YOUR VISION? Let's build it together.With knowledge and care, Abdo lights your path forward - illuminating opportunity and fueling your confidence to navigate the future. Our team at Abdo has expertise in navigating the complexities of HR as your organization grows. Together, we can build a future where The City of Otsego thrives, navigating challenges with confidence and seizing oppor tunities with informed strategy. What do you envision for your future? We believe it could look something like this: •Consideration 1 -Dedicated Interim HR Partnership:Abdo's Workforce Solutions team can provide a proactive HR advisor and team to work alongside your team through Sabrina's leave — offering weekly check-ins, hands- on support with active recruitments, and real-time guidance on employee relations and disciplinary matters so nothing falls through the cracks. •Consideration 2 -Fire Depar tment HR & Payroll Readiness:Abdo can help navigate the unique FLSA requirements for fire personnel, establish compliant payroll processes, and explore hour-logging solutions that integrate seamlessly with BambooHR — ensuring the new department launches with the right structure in place from day one. •Consideration 3 -Compliance, Safety & Year-End Support:Abdo's team can support the Safety Committee, keep the organization current on evolving employment laws and regulations, and provide hands-on support through open enrollment and year-end reporting in BambooHR — bringing consistency and confidence to processes that have historically needed more attention. 2 |P R O P O S A L F O R S E R V I C E S The path forward At Abdo, we believe that trust is a vital component in the success of our par tnership. That trust requires an understanding of your needs and confidence in the expertise of your engagement team. That’s why we’ve curated a team with relevant experience and first-hand knowledge of the challenges you face. Many of our advisors have worked in human resources for decades, cultivating the same experiences you currently face. This depth of understanding can lead to a comprehensive view of your challenges and a quicker road to results. EXPERTISE FOR YOUR CHALLENGES Your organization faces distinct challenges that demand a strong understanding of industry dynamics and operational realities. Our team brings hands-on experience working with a variety of companies, and many members have backgrounds in corporate operations and human resources, giving them a practical, insider perspective on the challenges you navigate every day. Meet Brenna Brenna Ramy, PHR, SHRM-CP Senior Manager Brenna joined the Firm in 2019 and is a Senior Manager. She has experience in organization development and working with leaders to determine the most effective employment model to meet business needs and strategic direction. She has over 20 years of Human Resources experience in the industries of hospitality, retail, multifamily housing, and consulting. She has worked in a variety of organizations in size ranging from less than 20 to over 300,000 employees. Brenna believes in finding practical solutions to HR needs and determining where the best place to spend time is. Brenna brings energy to every meeting, training and event she participates in.She is most at home connecting with owners, leaders, employers, civil servants and volunteers in meaningful ways that help them achieve whatever success they're looking for. The Abdo Difference At Abdo, we believe in the impor tance of relationships. This core value is the foundation of our approach to delivering the best experience and outcomes for our clients. It’s inherent in our people and the way we work. We know that for our clients to be successful, it takes more than having experience and credentials – we take the time to listen to their unique motivations, goals, and challenges. We truly care about their journey and where their path leads. LEARN MORE ON OUR WEBSITE 3 |P R O P O S A L F O R S E R V I C E S Based on our ability to provide the requested services, our shared core values, and an understanding of your unique needs, we firmly believe we would be a great partner for City of Otsego.We have the resources, knowledge, people and services to light the path forward for your organization. We have assembled a team with relevant experience who are committed to working with you to ensure success. Your Team Senior Associate brittany.bauer@abdosolutions.com P 507.304.6836 BRITTANY BAUER 4 4 |P R O P O S A L F O R S E R V I C E S Senior Associate abby.polzine@abdosolutions.com P 507.304.6848 PAIGE BACON Partner leah.davis@abdosolutions.com P 507.524.2347 LEAH DAVIS, CPA Senior Manager brenna.ramy@abdosolutions.com P 952.449.6216 BRENNA RAMY, PHR, SHRM-CP Associate paige.bacon@abdosolutions.com P 952.449.6220 ABBY POLZINE Human Resources Consulting OUR HUMAN RESOURCES EXPERTS PROVIDE: 5 |P R O P O S A L F O R S E R V I C E S Value SERVICE & PRICE GUARANTEE Our work is guaranteed to the complete satisfaction of the client. Upon payment of your invoices, we will judge you have been satisfied, however, we welcome further conversation if, in any way, you feel your expectations are not being met. Please understand, however, that the price we have quoted considers and relies upon the following: •The information you agree to provide is on time and complete to the degree indicated in our agreement. •Your key management, finance, or human resources team members don’t change during our service period. •No undisclosed or newly arising complexities, claims, or significant transactions, occur that impact our service period. This includes emergence of yet unspecified revisions to any prior period work that would need to occur before we can perform our agreed services. •No new tax, regulatory, or other repor ting requirements are introduced between now and the end of our service period. A full scope of services, including estimated hourly charges, is listed on the following pages. ADDITIONAL SERVICES Should you request services in addition to the Contracted Services, we will provide you with proposed fees for the services to be provided. You shall be required to sign a written or electronic confirmation of your request for additional services prior to implementation. HOURLY BILLING RATES Our hourly rates are based upon the experience and level of the individuals to be assigned to perform the work ranging from $200 - $535 per hour and are subject to change on September 1st each year. . 6 |P R O P O S A L F O R S E R V I C E S 7 |P R O P O S A L F O R S E R V I C E S PROPOSED HR CONSULTING SCOPE OF SERVICES PROPOSED FEES On-Call Support for Payroll and HR Reach out to our Payroll and HR support team as needed.Billed Hourly Pay Equity Reporting $1,500 Interim HR Support Weekly 30 minute meetings with Payroll/HR assistant; bi-weekly 30 minute meetings with City Administrator November 2026 - March 2027. As needed HR Support provided billed hourly. $4,900 Why Partner with Abdo “Listening to our clients’ needs, understanding their challenges, and adjusting how we work together is key to our partnership with the people we serve.” --Steve McDonald, CPA |Managing Partner LIGHTING THE PATH FORWARD In a world of ever-changing complexity, people need caring, empathetic and highly skilled professionals they can depend on to provide the right advice and solutions for them. Our clients seek growth and success, but also want security and confidence. For over 60 years, Abdo has provided insights for our clients to help them achieve their goals. That same innovative spirit is also what has earned us the title of being one of the top accounting firms in the Midwest. Abdo is a better firm today because of the effor ts we made to support a culture driven by our core values of growth, relationships, and teamwork. With this foundation in place, we have successfully helped our clients identify and break through their own growth barriers. Every challenge they face is an opportunity for us to listen, understand and empower them with solutions and a plan to achieve their goals. It’s fulfilling to serve as the catalyst that helps them overcome obstacles that block their progress. When it comes to our working relationships, we are partners. We’re confidants. We’re the catalyst that sparks true business growth, providing guidance through every challenge and opportunity along the way. ABOUT ABDO Abdo is a full-service accounting and consulting firm that delivers customized strategies and innovative solutions to help businesses, governments and nonprofits succeed. With more than 250 professionals and over six decades of experience, Abdo is ranked as one of the top accounting firms in the Midwest. It is a licensed CPA firm with offices located in Minneapolis and Mankato, Minnesota, and Scottsdale, AZ. Abdo’s commitment to its clients is to gain in-depth knowledge of their unique challenges, opportunities, and needs. Through this consultative approach, Abdo par tners with organization leaders to light the path forward to confidently reach their goals. 8 |P R O P O S A L F O R S E R V I C E S Appendix A AGREEMENT FOR SERVICES 9 |P R O P O S A L F O R S E R V I C E S Agreement for Services THIS AGREEMENT, is made and entered into on July 13, 2026, by and between the City of Otsego, Minnesota (hereinafter referred to as the “Client”), and Abdo LLP (hereinafter referred to as “Abdo” or the “Contractor”). Articles of Agreement & Recitals WHEREAS, the Client is authorized and empowered to secure from time to time certain professional services through contracts with qualified consultants; and WHEREAS, the Contractor understands and agrees that: The Contractor will act as an Independent Contractor in the performance of all duties under this Agreement. Accordingly, the Contractor shall be responsible for payment of all taxes, including federal, state and local taxes and professional/business license fees related to its own operations and arising out of the Contractor’s activities; The Contractor shall have no authority to bind the Client for the performance of any services or to obligate the Client. The Contractor is not an agent, servant, or employee of the Client and shall not make any such representations or hold itself out as such; The Contractor shall perform all professional services in a competent and professional manner, acting in the best interests of the Client at all times. The Contractor may make recommendations and/or perform services on behalf of the Client but the Client is responsible for all final management decisions and for setting and administering any organizational policies, procedures, or other guidance that result in the services being performed. Further, with respect to the payroll services that are being provided, the Client is responsible for all originating documents (i.e. salary or hourly wage amounts, hours worked, benefits, premium pay policies, etc.) that affect payroll processing, and the Client will review and approve the payroll before or after its processed. The Contractor will not hold or have access to any Client funds as part of the services being provided. The Contractor shall not accrue any continuing contract rights for the services performed under this contract. NOW THEREFORE, in consideration of the mutual covenants and promises contained herein, it is agreed as follows: ARTICLE I INCORPORATION OF RECITALS The recitals and agreement set forth above are hereby incorporated into this Agreement. ARTICLE II LIABILITY INSURANCE Section 1 Liability Insurance:The Contractor shall obtain professional liability insurance, at its expense with liability insurance coverage minimums in the amount of $2,000,000, which Contractor must secure and maintain during the term of this Agreement. Contractor will provide the Client with proof of liability insurance coverage under this Agreement in writing upon request by the Client. 10 |P R O P O S A L F O R S E R V I C E S ARTICLE III DURATION OF THE AGREEMENT Section 1 Duration: This Agreement shall commence upon date of execution by all parties and shall remain in effect for the duration of the consulting engagement, unless earlier terminated as provided in Subsections 2 or 3. Section 2 Client’s Termination Rights:Client may terminate this Agreement for its convenience by providing written notice of termination to Contractor.Upon any termination by Client for convenience, Client shall be obligated to pay for all services provided by Contractor through the date of termination set forth in the written notice.In addition, Client may terminate this Agreement for Contractor’s failure to perform its services in accordance with the terms of this Agreement (termination for “cause”) by providing Contractor written notice of intent to terminate that sets forth in detail the reasons for cause to terminate, which written notice shall afford Contractor a reasonable period of time of not less than ten (10) business days to cure the stated grounds for termination to the reasonable satisfaction of Client. In the event of Client’s termination of the Agreement for cause, Client shall be obligated to pay for all services provided by Contractor through the date of termination. Section 3 Contractor’s Termination Rights:Contractor may terminate this Agreement upon thirty (30) days written notice to the Client in the event the Client does not pay Contractor compensation as required under Article 5, Section 10 within fifteen (15) days after invoice is received by the Client. In the event of non-payment within thirty (30) days, Contractor shall give the Client an opportunity to cure the default by giving a notice of such non-payment and an additional five (5) days after the Client’s receipt of the notice to remit such payment, prior to giving a notice of termination. Contractor can also terminate the Agreement with sixty (60) days written notice. ARTICLE IV GENERAL Section 1 Authorized Client Agent: The Client’s authorized agent for the purpose of administration of this Agreement is the Client Operations Manager. Said agent shall have final authority for approval and acceptance of the Contractor’s services performed under this Agreement and shall further have responsibility for administration of the terms and conditions of this Agreement. All notices under this Agreement shall be sent to the person and address indicated below on the signature lines. Section 2 Amendments:No amendments or variations of the terms and conditions of this Agreement shall be valid unless in writing and signed by the parties. Section 3 Assignability:The Contractor’s rights and obligations under this Agreement are not assignable or transferable, but the Client’s rights and obligations may be assigned to any successor entity upon ten (10) days notice. 11 |P R O P O S A L F O R S E R V I C E S Agreement for Services Continued 12 |P R O P O S A L F O R S E R V I C E S ARTICLE IV (CONTINUED) GENERAL (CONTINUED) Section 4 Data:Any data or materials, including, but not limited to, reports, studies, photographs, negatives, or any and all other documents prepared by the Contractor or its outside consultants in the performance of the Contractor's obligations under this Agreement shall be the exclusive property of the Client, and any such data and materials shall be remitted to the Client by the Contractor upon completion, expiration, or termination of this Agreement. Further, any such data and materials shall be treated and maintained by the Contractor and its outside consultants in accordance with applicable federal, state and local laws. Further, Contractor will have access to data collected or maintained by the Client to the extent necessary to perform Contractor's obligations under this Agreement. Contractor agrees to maintain all data obtained from the Client in the same manner as the Client is required under the Minnesota Government Data Practices Act, Minnesota Statutes Chapter 13 or other applicable law (hereinafter referred to as the "Act"). Contractor will not release or disclose the contents of data classified as not public to any person except at the written direction of the Client. Upon receipt of a request to obtain and/or review data as defined in the Act, Contractor will immediately notify the Client. The Client shall provide written direction to Contractor regarding the request within a reasonable time, not to exceed fifteen (15) days. The Client agrees to indemnify, hold harmless and defend Contractor for any liability, expense, cost, damages, claim, and action, including attorneys' fees, arising out of or related to Contractor's complying with the Client's direction. Subject to the aforementioned, Contractor agrees to defend and indemnify the Client from any claim, liability, damage or loss asserted against the Client as a result of Contractor's failure to comply with the requirements of the Act. Upon termination and/or completion of this Agreement, Contractor agrees to return all data to the Client, as requested by the Client. Section 5 Data Accuracy and Prompt Delivery:Client understands, acknowledges and agrees that Contractor’s performance of services under this Agreement is dependent on Client promptly providing Contractor with accurate data, documents, and other information pertinent to the subject consulting engagement. Client shall provide Contractor access to data, documents and other information requested by Contractor in accordance with the project schedule mutually agreed to by Client and Contractor. Contractor also represents and warrants that said data, documents and information shall be reliable and accurate to the best of Client’s knowledge and agrees that Contractor shall be entitled to rely on the accuracy of the same in the performance of its services under this Agreement. Client agrees to indemnify, hold harmless and defend Contractor from and against any liability, expense, cost, damages, claim and action, including attorneys’ fees and costs, arising out of or relating to any errors, inaccuracies, or omissions in the data, documents and other information provided by Client to Contractor pursuant to this Agreement. Further, in the event of any delay on the part of Client to provide to Contractor required data, documents or other information or the identification of any errors, inaccuracies, or omissions in the data, documents or other information provided by Client, Contractor shall be entitled to an equitable adjustment of the schedule and compensation for the performance of its services resulting from said delay or need to address any errors, inaccuracies, or omissions in the data, documents or other information provided by Client. Section 6 No Legal Advice:Client understands, acknowledges and agrees that the consulting services provided by Contractor under this Agreement do not include or constitute legal advice and that Contractor is not under taking to provide Client legal advice in connection with the consulting engagement hereunder. Client fur ther understands, acknowledges and agrees that the subject matter of this engagement, including regulatory compliance, implicates complex legal issues requiring assessment and advice from competent legal counsel. Client shall be responsible for engaging and/or consulting with legal counsel of its choosing to assess and advise Client regarding the propriety and legality of any recommendations, guidance or advice of Contractor arising from or relating to Contractor’s performance of its services under this Agreement. Client agrees to indemnify, hold harmless and defend Contractor from and against any liability, expense, cost, damages, claim and action, including attorneys’ fees and costs, arising from or relating to Client’s payroll or other human resources policies and/or practices both prior to, during and following Contractor’s provision of services under this Agreement, including, but not limited to, any claims by current or former employees of Client challenging the propriety or legality of said practices. Agreement for Services Continued 13 |P R O P O S A L F O R S E R V I C E S Agreement for Services Continued ARTICLE IV (CONTINUED) GENERAL (CONTINUED) Section 7 Entire Agreement:This Agreement is the entire agreement between the Client and the Contractor and it supersedes all prior written or oral agreements. There are no other covenants, promises, undertakings, or understandings outside of this Agreement other than those specifically set forth. Any term, condition, prior course of dealing, course of performance, usage of trade, understanding, or agreement purporting to modify, vary, supplement, or explain any provision of this Agreement is null and void and of no effect unless in writing and signed by representatives of both parties authorized to amend this Agreement. Section 8 Severability:All terms and covenants contained in this Agreement are severable. In the event any provision of this Agreement shall be held invalid by any court of competent jurisdiction,this Agreement shall be interpreted as if such invalid terms or covenants were not contained herein and such holding shall not invalidate or render unenforceable any other provision hereof. Section 9 Contractor Fiscal Decision Waiver:Contractor is responsible for providing the Client with timely and accurate human resource recommendations and information that allows the Client the ability to make final human resource decisions. Contractor will provide final human resource recommendations, but Contractor is not responsible for the final decisions made regarding human resource matters and Client shall indemnify and hold Contractor harmless from the same. Section 10 Compensation: The parties agree that the Contractor shall be paid compensation for the services provided hereunder, based on the fees indicated in the proposed client investment schedule and under the attached scope of services. Additional fees will not be incurred without prior approval of the Client. Initial invoice for anticipated first month fees will be sent within 10 days of the execution of this Agreement.Monthly installment fees will be invoiced throughout the remainder of this Agreement. If the Agreement is for an hourly fee basis, invoices will be sent monthly. Section 11 Additional Services: Should the Client request additional services in addition to the Contracted Services, the Contractor will provide the Client with proposed fees for the additional services to be provided. The Client shall provide a written or electronic confirmation prior to the proposed services implementation. Section 12 Outside Contractors:It shall be the responsibility of Contractor to compensate any other outside consultants retained or hired by Contractor to fulfill its obligations under this Agreement and shall be responsible for their work and Contractor, by using outside contractors, shall not be relieved of its obligations under this Agreement. Section 13 Equal Employment Opportunity:Abdo, LLP and its subsidiary companies are committed to providing equal employment opportunities to all employees and applicants for employment without regard to any legally-recognized basis “protected class” including but not limited to: veteran status, uniform service member status, race, color, religion, sex, national origin, age, physical or mental disability, sexual orientation or marital preference, genetic information or any other protected class under federal, state, or local law. 14 |P R O P O S A L F O R S E R V I C E S ARTICLE IV (CONTINUED) LIMITATION OF LIABILITY Section 14 Disputes: If any dispute arises between Abdo and the Client under this Agreement, the dispute shall first be submitted to mediation. The costs of mediation shall be shared equally by the parties. All disputes between Abdo and the Client arising out of this Agreement which cannot be settled directly or through mediation shall be resolved through binding arbitration in Mankato, Minnesota in accordance with the rules for resolution of commercial disputes then in effect of the American Arbitration Association, and judgment upon the award may be entered in any court having jurisdiction thereof. It is further agreed that the arbitrator may, in its sole discretion, award attorneys’ fees and costs to the prevailing party. Section 15 Limitation of Liability:Abdo’s entire liability, and the Client’s exclusive remedy, for Abdo’s performance or non-performance under this Agreement shall be for Abdo to reimburse the Client the total charges for related services provided during the previous twelve months. ABDO WILL NOT, UNDER ANY CIRCUMSTANCES, BE LIABLE FOR ANY INCIDENTAL,INDIRECT, SPECIAL OR CONSEQUENTIAL DAMAGES OR FOR LOST PROFITS, SAVINGS OR REVENUES WHICH THE CLIENT MAY INCUR AS A RESULT OF ABDO’S FAILURE TO PERFORM ANY TERM OR CONDITION OF THIS AGREEMENT (EVEN IF IT HAS BEEN SPECIFICALLY ADVISED OF THE POSSIBILITY OF SUCH DAMAGES). The Client shall indemnify Abdo against, and hold each of them harmless from, any and all liabilities, claims, costs, expenses and damages of any nature (including reasonable attorney’s fees and costs) in any way arising out of or relating to disputes or legal actions with Client’s employees or any third par ties concerning the provision of the services under this Agreement. The Client’s obligations under the preceding sentence shall survive termination of this Agreement. Agreement for Services Continued Appendix B AGREEMENT FOR THE PROVISION OF PROFESSIONAL SERVICES 15 |P R O P O S A L F O R S E R V I C E S Agreement for the Provision of Professional Services WHEREFORE, this Agreement was entered into on the date set forth below and the undersigned, by execution hereof, represent that they are authorized to enter into this Agreement on behalf of the respective parties and state that this Agreement has been read by them and that the undersigned understand and fully agree to each, all and every provision hereof, and hereby, acknowledge receipt of a copy hereof. City of Otsego 13400 90th Street Otsego, Minnesota 55330 SIGNATURE Sabrina Hille Abdo, LLP 100 Warren Street, Suite 600 Mankato, Minnesota 56001 Leah Davis, CPA Brenna Ramy, PHR, SHRM-CP Partner |Abdo Senior Manager |Abdo July 13, 2026 16 |P R O P O S A L F O R S E R V I C E S Agreement of Service Atlas Staffing is committed to providing you with the best service at market-competitive pricing. Our commitment to “City of Otsego” is at a 35% mark-up as the staffing provider. This agreement of service (this “Agreement”) is entered into and effective as of October ____, 2026 (the Effective Date”), between Atlas Staffing Inc. (“Service Provider”) and City of Otsego (“Client”). Our rates include all recruiting costs, advertising, screening, workers' compensation costs, unemployment insurance, Sick/safe PTO, taxes, payroll, and health benefits. → Atlas will conduct a criminal background review on the Assigned Workers through Minnesota’s public criminal record system. All background checks shall be in compliance with the Fair Credit Reporting Act and all applicable state statutes. Client acknowledges and agrees that Atlas shall apply its own adjudication criteria to the results of such background screening when placing Assigned Workers on assignment at Client. → The Client agrees that it may hire Atlas employees at no additional cost once they have completed 480 working hours for the client. If the Client wishes to hire the employee before the employee reaches 480 working hours, the Client agrees to pay Atlas a buyout fee. This buyout fee shall be calculated based on 480 hours less the number of hours the employee has worked, multiplied by the hourly mark-up amount for that employee. → Hourly wage is $28.00 an hour. Markup is 35%. Example: $20.00x1.35=$27.00 an hour. → 4 hours minimum per day → Atlas is not responsible for damage to property or theft. → Employees are not allowed to use saws, work above 3 feet, or drive company vehicles without written approval from Atlas Staffing. → Client agrees that to the extent one of Atlas Staffing’s employees assigned to Client becomes injured at Client site, Client will offer light duty work to that employee to the extent it is reasonably available. → Client agrees that it shall not request the removal of an Assigned Worker for any discriminatory or retaliatory reasons. Client agrees to make good faith efforts to provide reasonable accommodations to Temporary Workers as may be required by the Americans with Disabilities Act, Title VII, the Minnesota Human Rights Act, the Women’s Economic Security Act, and any other applicable federal, state, or local laws. This shall include, but is not limited to, disability accommodations, pregnancy accommodations, nursing and lactation accommodations, and religious accommodations. Client shall advise and consult with Atlas prior to requesting any removal of a Temporary Worker. → Invoicing is done on a weekly basis. Payment terms are net/30. If invoices are not timely paid, Client agrees to pay all of Atlas’ cost of collection including, but not limited to, legal expenses and reasonable attorneys’ fees. → This agreement constitutes the entire understanding between the parties and supersedes and replaces any prior agreements, understanding, representations, and negotiations. This agreement may be amended only if signed in writing by both parties.” Client Signature: _________________________________________Date: ____________