Work Session
- Presentation from Caroline McCrady, Executive Sales Representative at Paycom, regarding Rice County possibly updating to a new human resources information and payroll system.
- Rice County has utilized ADP, an employee timekeeping payroll and benefits software system provider, since 2016. Additionally, Rice County has used a separate system called Neogov for its job posting and applicant tracking for an extensive period of time.
- Rice County human resources has not pursued a payroll and benefits system upgrade since that time. • Rice County’s payroll, tax, and benefits reporting continue to become more complex in order to meet state and federal legislative requirements (e.g. Big Beautiful Bill Act and Minnesota Paid Family Medical Leave).
- Additional factors requiring more sophisticated software capabilities include: o Updates to union contracts o Nuances unique to departments (e.g. Sheriff’s Office scheduling model for correctional officers and deputies; Community Corrections grant reporting for employee benefits) o Increased program and reporting requirements (e.g. quarterly reports for social services finance team)
- The human resources team has fully vetted ADP’s capabilities. To meet all needs and requirements, Rice County would incur significant cost to upgrade to a higher level service package.
- The human resources team has vetted other timekeeping, payroll, benefits, and applicant tracking software, particularly those recommended by other Minnesota counties. These include Neogov, UKG, Workday, and Paycom. After extensive research and a cost and staff-time comparison/analysis, the human resources team strongly recommends that Rice County consider a transition away from ADP (for timekeeping, payroll and benefits) and Neogov (for applicant tracking) to Paycom, and end-to-end human resources information system that would include all needed functionality and reporting and would greatly reduce the need for manual data entry.
- Caroline from Paycom gave a presentation on paycom for Rice County
Questions & Answers
- Peters: Is the goal to reduce FTE?
- A: No.
- Malecha: If we say yes, what are the next steps?
- A: Reviewing contracts. The aim is to go live in October.
- Malecha: NeoGov and ADP is $100k. This is $150. Where does the $50 come from?
- A: It will come from our HR budget. We’re not doing as many job fairs and advertising in the paper like we used to. Those are things we can reallocate to this.
- Folsted: How much more would ADP and NeoGov cost if they added the features we need?
- A: $219K for NeoGov with all the features we need.
- Underdahl: Trailing costs?
- A: Paycom will work through the existing contracts and will do buyout of the contract of the remaining pieces. Will look into it.
- Underdahl: Will this make some other tasks easier for social services that have to enter time per task in a manual input manner? Looking to eliminate manual entry as much as possible.
- A: That is more relevant to public health. Also highway services have to use two different timecard systems, because they have to report back to the state for funding, so they are working to simplify this so they don’t have to do two separate things.
- Underdahl: Pricing based on headcount or flat fee?
- A: Depends on headcount.
- Purfeerst: Upgrade costs?
- A: Those are included.
- Purfeerst: Cyber security?
- A: Paycom owns all of their own data centers. So we’re one of the most secure in the sector.
- Hoisington: Summarize the pros and cons of this. With ADP with this, they do not offer similar services.
- A: They do but we’d have to pay a lot more to get those, about $218k. We currently have 3 people working on payroll. With paycom we could turn payroll around in 1 day instead of 3 days. This would create time for all staff to get trained in on other HR tasks. ADP is very manual.
- Hoisington: You foresee savings at the end?
- A: Yes.
- Comment: The cost for ADP would be greater. But this will also help with accuracy. When processes are manual, there’s a lot of room for error. This system will reduce that. There will also be online expense reporting, including our rules, like payroll taxes being applied if the request comes through more than 60 days after the expense or alcohol purchases — scanning for those can be automated rather than manual processes as they are now.
