SUBJECT:  Information on UCSD Custodial Contract

Recently, Vice Chancellor Relyea sent you background information on the University's process for determining the future of its main custodial contract for custodial services. This letter provides an update on our plans to transition these services after the end of our current contract with Bergenson Property Services.

UCSD has frequently outsourced university services when it results in substantial cost savings or it involves a highly specialized service that cannot be provided in-house. Eight years ago, we contracted with Bergenson Property Services to provide custodial services to a portion of the campus. This contract expires soon, and we have informed Bergenson that we will bring this work in-house. Additionally, we have notified them that we will provide their employees the option of having a comparable position as a UCSD employee.

Our reasons for bringing this work back in-house are numerous, but are not related to the allegations of improper conduct by Bergenson Property Services. In fact, our Internal Audit Department recently reviewed the hiring and work practices of Bergenson Property Services and found no employment irregularities or violations of any kind. Bergenson's has, during the past eight years, fully and completely honored its contract with the University and has abided by all the rules and regulations under which the contract was administered.

Our decision to bring this work in house is solely based on our desire to directly influence and manage employment issues in accordance with the University's particular employment practices. Since most custodians working at UCSD are currently University employees represented by AFSCME, we believe transitioning the work in-house will be an effective means of implementing consistent work assignment methods throughout our facilities

To facilitate the recruitment procedure for the affected Bergenson employees, we held discussions with representatives of the American Federation of State, County, and Municipal Employees (AFSCME), which represents UCSD's custodial employees and they support this transition. Therefore, affected Bergenson employees will be offered positions with UCSD's Physical Plant Services department, and be afforded the wages, benefits, and working conditions in accordance with the AFSCME/UCSD labor contract.

It is also our goal to work in partnership with Bergenson and its employees to facilitate a smooth transition this summer. Bergenson values these employees and has notified UCSD that they want to retain their employees and assign them to other positions in their company. Similarly, we would like to ensure that these employees are given the opportunity to remain at UCSD if they so choose.

We believe that this course of action is in the best interests of the University and allows a fair and smooth transition for the Bergenson's employees who have worked in our facilities. We appreciate the working relationship we have had with Bergenson Property Services over the years, and we are grateful for their cooperation during this transition.

                                                Jack Hug
                                                Assistant Vice Chancellor -
                                                Auxiliary and Plant Services