HomeMy WebLinkAbout25D - AGMT - CLASSIFICATION STUDYREQUEST FOR
COUNCIL ACTION
CITY COUNCIL MEETING DATE:
NOVEMBER 15, 2016
TITLE;
AGREEMENT WITH PUBLIC SECTOR
PERSONNEL CONSULTANTS TO
CONDUCT A CLASSIFICATION AND
COMPENSATION STUDY OF SEIU
CLASSIFICATIONS
{STRATEGIC PLAN NO. 7,4}
CITY MANAGER
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CLERK OF COUNCIL USE ONLY:
APPROVED
❑ As Recommended
❑ As Amended
❑ Ordinance on 18` Reading
❑ Ordinance on 2nd Reading
❑ Implementing Resolution
❑ Set Public Hearing For
CONTINUED TO
FILE NUMBER
Authorize the City Manager and Clerk of the Council to execute an agreement with Public Sector
Personnel Consultants to provide a Classification and a Compensation Study of selected Service
Employees International Union classifications, in an amount not to exceed $100,000 from
November 15, 2016 through November 15, 2017, subject to non -substantive changes approved
by the City Manager and City Attorney.
DISCUSSION
The City has not conducted a complete review of its job classifications and salaries in more than
25 years, although many classes have been reviewed on a case-by-case basis. During the
contract negotiations that occurred in 2015, the City and the Service Employees International
Union (SEIU) agreed that a Classification and Compensation Study would be conducted and the
parties would meet and confer over the implementation of the study findings.
A Classification and Compensation Study will ensure that current position descriptions and total
compensation are in line with work assignments and expectations. The study will include
performing a job analysis on a select number of SEIU classifications and making
recommendations on position description revisions to create the most accurate job descriptions
for the organization that reflect current job duties and requirements of the positions. Additionally,
job ladders and career development paths will also be a component used when designing the
new classification plan. Also included in the scope of the study will be a compensation analysis
designed to ensure the SEIU employees are paid competitive and sustainable wages and
benefits package.
Six firms submitted proposals to the classification and compensation study for the City. The firms
included Ralph Anderson & Associates, Public Sector Personnel Consultants, CPS HR
Consulting, Koff and Associates, Arthur J. Gallagher & Co. and Creative Management Solutions.
The proposals were reviewed and evaluated by a team consisting of the Personnel Director, the
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Agreement with Public Sector Personnel Consultants
November 15, 2016
Page 2
Assistant Personnel Director and a committee of SEIU members. The proposals were reviewed
and rated on the following criteria:
• Qualifications of firm staff availability 15%:
• Project Experience and Approach 30%:
• Understanding of the Scope of Works 30%:
• Cost Controls 20%:
• Compliance with RFP requirements 5%:
The committee ranked the firms as follows:
Public Sector Personnel Consultants
84.66
Ralph Anderson & Associates
84.33
Koff & Associates
83.5
Arthur J. Gallagher & Co.
67.83
Cooperative Personnel Services
67.33
Creative Management Services
67.5
Public Sector Personnel Consultants is the highest ranked firm to conduct the classification and
compensation study per the attached agreement (Exhibit 1).
STRATEGIC PLAN ALIGNMENT
Approval of this item allows the City to meet Goal #7 Team Santa Ana, Objective #4 (Establish
employee compensation that attracts and retains a highly qualified workforce).
FISCAL IMPACT
Funds in the amount of $100,000 are budgeted in the 2016-17 Personnel Service account no.
01109050-62300.
APPROVED AS TO FUNDS AND ACCOUNTS:
Edward S. Raya Francisco Gutierree-
Executive Director Executive Director
Personnel Services Finance & Management Services Agency
Exhibit: 1. Agreement with Public Sector Personnel Consultants
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CONSULTANT AGREEMENT
THIS AGREEMENT is made and entered into this 15th day of November, 2016 by and
between Public Sector Personnel Consultants ("Consultant") and the City of Santa Ana, a charter
city and municipal corporation organized and existing under the Constitution and laws of the
State of California ("City").
RECITALS
A. The City desires to retain a consultant and having special skill and knowledge in
the field of conducting employee classification and compensation. City put out a
request for proposals for an employee classification and compensation study.
B. Consultant responded to City's request for proposal and was selected as the most
qualified. Consultant represents that Consultant is able and willing to provide such
services to the City as outlined in its proposal in response to City's request for
proposal.
C. In undertaking the performance of this Agreement, Consultant represents that they
are knowledgeable in their field and that any services performed by Consultant
under this Agreement will be performed in compliance with such standards as may
reasonably be expected from a professional consulting firm in the field.
NOW THEREFORE, in consideration of the mutual and respective promises, and subject to the
terms and conditions hereinafter set forth, the parties agree as follows:
1. SCOPE OF SERVICES
Generally, Consultant shall provide a classification and total compensation survey for
SEN classifications. See Exhibit A.
2. COMPENSATION
a. City agrees to pay, and Consultant agrees to accept as total payment for its services, the
rates and charges identified in Exhibit B. The total sum to be expended under this Agreement
shall not exceed $ 100,000.00 during the term of this Agreement.
b. Payment by City shall be made within thirty (30) days following receipt of proper
invoice evidencing work, performed, subject to City accounting procedures. Payment need not
be made for work which fails to meet the standards of performance set forth in the Recitals
which may reasonably be expected by City.
Exhibit 1
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3. TERM
This Agreement shall commence on. November 15, 2016 and terminate on November 15,
2017, unless terminated earlier pursuant to Section 12, below. The term of this Agreement may
be extended upon a writing executed by the City Manager and the City Attorney for up to one (1)
year.
4. INDEPENDENT CONTRACTOR
Consultant shall, during the entire term of this Agreement, be construed to be an
independent contractor and not an employee of the City. This Agreement is not intended nor
shall it be construed to create an employer-employee relationship, a joint venture relationship, or
to allow the City to exercise discretion or control over the professional manner in which
Consultant performs the services which are the subject matter of this Agreement; however, the
services to be provided by Consultant shall be provided in a manner consistent with all
applicable standards and regulations governing such services. Consultant shall pay all salaries
and wages, employer's social security taxes, unemployment insurance and similar taxes relating
to its employees and shall be responsible for all applicable withholding taxes.
5. INSURANCE
Prior to undertaking performance of work under this Agreement, Consultant shall
maintain and shall require its subcontractors, if any, to obtain and maintain insurance as
described below:
a. Commercial General Liability Insurance. Consultant shall maintain
commercial general liability insurance naming the City, its officers,
employees, agents, volunteers and representatives as additional insured(s)
and shall include, but not be limited to protection against claims arising
from bodily and personal injury, including death resulting therefrom and
damage to property, resulting from any act or occurrence arising out of
Consultant's operations in the performance of this Agreement, including,
without limitation, acts involving vehicles. The amounts of insurance
shall be not less than the following: single limit coverage applying to
bodily and personal injury, including death resulting therefrom, and
property damage, in the total amount of $1,000,000 per occurrence, with
$2,000,000 in the aggregate. Consultant shall supply City with a fully
executed additional insured endorsement in substantially the form attached
hereto as Exhibit C upon execution of this Agreement.
b. Business automobile liability insurance, or equivalent form, with a
combined single limit of not less than $1,000,000 per occurrence. Such
insurance shall include coverage for owned, hired and non -owned
automobiles.
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C. Worker's Compensation Insurance. In accordance with the provisions of
Section 3700 of the Labor Code, Consultant, if Consultant has any
employees, is required to be insured against liability for worker's
compensation or to undertake self-insurance. Prior to commencing the
performance of the work under this Agreement, Consultant agrees to
obtain and maintain any employer's liability insurance with limits not less
than $1,000,000 per accident.
d. if Consultant is or employs a licensed professional such as an architect or
engineer: Professional liability (errors and omissions) insurance, with a
combined single limit of not less than $1,000,000 per claim with
$2,000,000 in the aggregate.
C. The following requirements apply to the insurance to be provided by
Consultant pursuant to this section:
(i) Consultant shall maintain all. insurance required above in
full force and effect for the entire period covered by this
Agreement.
(ii) Certificates of insurance shall be furnished to the City upon.
execution of this Agreement and shall be approved by the
City.
(iii) Certificates and policies shall state that the policies shall
not be canceled or reduced in coverage or changed in any
other material aspect without thirty (30) days prior written
notice to the City.
f. If Consultant fails or refuses to produce or maintain the insurance required
by this section or fails or refuses to furnish the City with required proof
that insurance has been procured and is in force and paid for, the City shall
have the right, at the City's electron, to forthwith terminate this
Agreement. Such termination shall not affect Consultant's right to be paid
for its time and materials expended prior to notification of termination.
Consultant waives the right to receive compensation and agrees to
indemnify the City for any work performed prior to approval of insurance
by the City.
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6. INDEMNIFICATION
Consultant agrees to and shall indemnify, defend, and hold harmless the City, its officers,
agents, employees, consultants, counsel, and representatives from liability for personal injury,
damages, just compensation, restitution, judicial or equitable relief arising out of claims: (1) for
personal injury, including death, and claims for property damage, arising from the direct or
indirect operations of the Consultant or its contractors, subcontractors, agents, employees, or
other persons acting on their behalf which relates to the services described in Section I of this
Agreement; and (2) from any claim that personal injury, damages, just compensation, restitution,
judicial or equitable relief is due by reason of effects arising from this Agreement. This
indemnity and hold harmless agreement applies to all claims for damages, just compensation,
restitution, judicial or equitable relief suffered, or alleged to have been suffered, by reason of the
events referred to in this Section. The Consultant further agrees to indemnify, hold harmless,
and pay all costs for the defense of the City, including fees and costs for counsel to be selected
by the City, regarding any action by a third party asserting that personal injury, damages, just
compensation, restitution, judicial or equitable relief due to personal or property rights arises by
reason of the terms of, or effects arising from this Agreement. City may make all reasonable
decisions with respect to its representation in any legal proceeding.
7. CONFIDENTIALITY
If Consultant receives from the City information which due to the nature of such
information is reasonably understood to be confidential and/or proprietary, Consultant agrees
that it shall not use or disclose such information except in the performance of this Agreement,
and further agrees to exercise the satne degree of care it uses to protect its own information of
like importance, but in no event less than reasonable care. "Confidential Information" shall
include all nonpublic information. Confidential information includes not only written
information, but also information transferred orally, visually, electronically, or by other means.
Confidential information disclosed to either party by any subsidiary and/or agent of the other
party is covered by this Agreement. The foregoing obligations of non-use and nondisclosure
shall not apply to any information that (,a) has been disclosed in publicly available sources; (b) is,
through no fault of the Consultant disclosed in a publicly available source; (c) is in rightful
possession of the Consultant without an obligation of confidentiality; (d) is required to be
disclosed by operation of law; or (e) is independently developed by the Consultant without
reference to information disclosed by the City.
8. CONFLICT OF INTEREST CLAUSE
Consultant covenants that it presently has no interest and shall not have interests, direct
or indirect, which would conflict in any manner with performance of services specified under
this Agreement.
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9. NOTICE
Any notice, tender, demand, delivery, or other communication pursuant to this
Agreement shall be in writing and shall be deemed to be properly given if delivered in person or
mailed by first class or certified mail, postage prepaid, or sent by fax or other telegraphic
communication in the manner provided in this Section, to the following persons:
To City: Clerk of the City Council
City of Santa Ana
20 Civic Center Plaza (M-30)
P.O. Box 1988
Santa Ana, California 92702-1988
Fax (714) 647-6956
Copies to:
Executive Director of Personnel
City of Santa Ana
20 Civic Center Plaza (M-24)
P.O. Box 1988
Santa Ana, California 92702-1988
Fax (714) 647-6930
City Attorney
City of Santa Ana
20 Civic Center Plaza (M-29)
P.O. Box 1988.
Santa Ana, California 92702-1988
Fax (714) 647-6515
To Consultant: Matt Weatherly
Public Sector Personnel Consultants, Inc.
1215 W. Rio Salado Parkway 9109
Tempe, Arizona 85281
A party may change its address by giving notice in writing to the other party. Thereafter,
any communication shall be addressed and transmitted to the new address. if sent by mail,
communication shall be effective or deemed to have been given three (3) days after it has been
deposited in the United States mail, duly registered or certified, with postage prepaid, and
addressed as set forth above. if sent by facsimile, communication shall be effective or deemed to
have been given twenty-four (24) hours after the time set forth on the transmission report issued
by the transmitting fax machine, addressed as set forth above. For purposes of calculating these
time frames, weekends, federal, state, County or City holidays shall be excluded.
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10. EXCLUSIVITY AND AMENDMENT
This Agreement represents the complete and exclusive statement between the City and
Consultant regarding the subject matter herein, and supersedes any and all other agreements, oral
or written, between the parties. In the event of a conflict between the terms of this Agreement
and any attachments hereto, the terns of this Agreement shall prevail and will serve to fully
supersede existing Agreement. This Agreement may not be modified except by written
instrument signed by the City and by an authorized representative of Consultant. The parties
agree that any terms or conditions of any purchase order or other instrument that are inconsistent
with, or in addition to, that terms or conditions hereof, shall not bind or obligate Consultant nor
the City. Each party to this Agreement acknowledges that no representations, inducements,
promises or agreements, orally or otherwise, have been made by any party, or anyone acting on
behalf of any parties, which are not embodied herein.
It. ASSIGNMENT
Inasmuch as this Agreement is intended to secure the specialized services of Consultant,
Consultant may not assign, transfer, delegate, or subcontract any interest herein without the prior
written consent of the City and any such assignment, transfer, delegation or subcontract without
the City's prior written consent shall be considered null and void. Nothing in this Agreement
shall be construed to limit the City's ability to have any of the services which are the subject to
this Agreement performed by City personnel or by other consultants retained by City.
ti. TERMINATION
This Agreement may be terminated by the City with thirty (30) clays written notice of
termination to the Consultant.
a. As a condition of such payment, the City may require Consultant to deliver to the City
the entire work product completed as of such date, and in such case such work product shall be
the property of the City unless prohibited by law, and Consultant consents to the City's use
thereof for such purposes as the City deems appropriate.
b. Payment need not be made for work that fails to meet the standard of performance
specified in the Recitals of this Agreement.
13. NON DISCRIMINATION
Consultant shall not discriminate because of race, color, creed, relation, sex, marital
status, sexual orientation, age, national origin, ancestry, or disability, as defined and prohibited
by applicable law, in the recruitment, selection, training, utilization, promotion, termination or
other employment related activities or any activities under this Agreement. Consultant affirms
that it is an equal opportunity employer and shall comply with all applicable federal, state and
local laws and regulations.
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14. JURISDICITON - VENUE
This Agreement has been executed and delivered in the State of California and the
validity, interpretation, performance, and enforcement of any of the clauses of this Agreement
shall be determined and governed by the laws of the State of California. Both parties further
agree that Orange County, California, shall be the venue for any action or proceeding that may
be brought or arise out of, in connection with or by reason of this Agreement.
15. PROFESSIONAL LICENSES
Consultant shall, throughout the term of this Agreement, maintain all necessary licenses,
permits, approvals, waivers, and exemptions necessary for the provision of the services
hereunder and required by the laws and regulations of the United Sates, the State of California,
the City of Santa Ana and all other governmental agencies. Consultant shall notify the City
immediately and in writing of her inability to obtain or maintain such permits, licenses,
approvals, waivers, and exemptions. Said inability shall be cause for termination of this
Agreement.
16. MISCELLANEOUS PROVISIONS
a. Each undersigned represents and warrants that its signature hereinbelow has the
power, authority and right to bind their respective parties to each of the terms of
this Agreement, and shall indemnify City fully, including reasonable costs and
attorney's fees, for any injuries or damages to City in the event that such authority
or power is not, in fact, held by the signatory or is withdrawn.
b. All Exhibits referenced herein and attached hereto shall be incorporated as if fully
set forth in the body of this Agreement.
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IN WITNESS WHEREOF, the patties hereto have executed this Agreement the date and year
first above written.
ATTEST:
MARIA D. HUIZAR
Clerk ot'the Council
APPROVED AS TO FORNt:
Sonia R. Carvalho
City Attorney
By:
Laura A. Rossini
Senior Assistant City Attorncy
RECOMMENDED FOR APPROVAL:
Edward S. Raya
EXeCUtive Director Personnel
CITY OF SANTA ANA
David Cavazos
City Manager
CONSULTANT
Matthew 4Veather(y
President
Is
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Exhibit A
PROJECT UNDERSTANDING: SUMMARY OF SERVICES
PUBLIC SECTOR PERSONNEL CONSULTANTS (PSPQ proposes the following; program of
consulting services and implementation support to conduct a classification and compensation study.
Project Planning and Communication
1. Project planning and scheduling meeting with Personnel, project designee(s)
2. Policy input and project direction meeting with Personnel and designee(s)
3. Project briefing presentation for all included employees, Officials, project leaders
4. Management and employee communication and Personnel progress reports
Classification Proiect Tasks
5. Occupational familiarization by review of current class specs, pay plans
6. Organizational familiarization by review of org charts, budgets, MOUS
7. Position Description Questionnaire (PDQ) customized for gathering job data
8. Meetings to distribute and explain the PDQ and project for included employees
9. Worksite job desk audits / field observations with representatives of each class
10. Interpretation of job classification and FLEA Exempt / Nan -Exempt designations
11. Recommended title modifications and reclassifications for consideration
12. Review of position classification recommendations with project team(s)
13. Preparation of updated class specifications for each City job class
14. Resolution of employee reviews of titles and draft class specifications
Custom and Comprehensive Market Compensation Survey
15. identification of competitive employment areas for compensation surveys
16. Identification of occupations to utilize as survey benchmarks - est. 125+
17. Solicitation of comparator employers and agencies for participation in surveys
1$. Extraction of data from public employer compensation plans, questionnaires
19. Consolidation of data from all sources and calculation of prevailing rates
20. Computation of extent City's total comp varies from external prevailing rates
21. Review of competitiveness analysis with City Officials and project designees
Comnensation Plan Development
22. Construction of optional salary range structures for review and selection
23. Assignment of job classes to salary ranges — internal / external methods
24. Assistance with identification of desired, affordable salary competitiveness policy
25. Fiscal impact estimates at various levels of external prevailing rates
26. Review and critique of draft salary and implementation plans with Personnel
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Communication of Results and Implementation Strategies
27. Preparation and presentation of a final project reports for the Council, Officials
28. Development of a plan for implementation of class and comp plan
29. Uploading of EZ COMPrnr program files on an HR Department computer
30. Assistance with communicating the updated plans for employees, Officials
PROJECTAPPROACH AND METHODOLOGY
Following is our overall work plan and approach to achieving the City's objectives for the
conduct of classification and compensation study.
A. OBJECTIVES OF THE PROJECT
The recommended plans, programs, systems and administrative procedures will meet these
ten most important criteria.
- internally equitable - Financially responsible
- Externally competitive - Efficiently administered
- Readily understood - Inclusive of employee input
- Easily updated & maintained Reflective of City's values
- Legally compliant & defensible Reflective of "best practices"
B. SCOPE OF THE PROJECT
The project includes a management and employee communication pian, partnership with the
City's Personnel staff, City Manager, Council, and project designee(s); occupational,
organizational, and operational familiarization; Position Analysis Questionnaire (PDQ) and
job analysis for all classifications; worksite job information interviews; position classification
and job title recommendations for all employees and classifications; FLSA designations;
updated class specifications; EZ COMP""; internal equity and external competitiveness
evaluation; total compensation survey and competitiveness analysis; salary range
recommendations; fiscal impact estimates and multiple implementation scenarios; updated
classification and compensation plan and one year of classification and compensation plan
implementation.
C. PROJECT METHODOLOGY
I. Q'ualityAssurance
To ensure a high quality project, we have built in several layers of procedural and
statistical controls, in addition to those already in EZ COMP"'. Internally, we follow a
prescribed series of steps in each project phase, which are reviewed by our Project
Director. We request that the Personnel team and City's Project Manager(s) review our
work to minimize the chance of errors and to ensure that it reflects the City's
organizational values.
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2. Project Planning Meetings and Communication Plan Development
We will consult with the Executive Director of Personnel and City Officials or
representatives on a communication strategy, plan, and materials, beginning prior to the
project and extending to the post -project information meetings. We can conduct group
pre -project meetings for all City officials and employees where we will discuss the
project's scope, answer questions, and distribute and explain the Position Analysis
Questionnaire.
D. POSITION CLASSIFICATION REVIEW
1. Review ofEssential Tasks — Position Description Ouestionnaire
We will review and analyze the current essential tasks, duties and responsibilities, and
minimum qualifications of each included position through the Position Description
Questionnaire (PDQ) to be completed by each employee (or group of employees with
identical jobs) in print or electronic formal. if the information on the PDQ does not
clearly delineate the position's scope of responsibilities, we may return the PDQ to the
position's incumbent for additional information, or focus on the data gap during a
worksite job information interview.
2. Employee Worksite Job Information Interviews —160 bzcluded
We will conduct a worksite job information interview with a representative incumbent of
everyjob classification. The purpose of these interviews is to verify the data on the PDQ,
obtain additional insight into the scope and complexity of the job duties, observe
technical processes and working conditions, and to provide employees with an additional
method of participation in the project. This process also ensures that we make all internal
and external comparisons on the basis of actual job content and not merely job title.
3. FLSA Status Deterrninatiozz
We will review the essential tasks and minimum qualifications of each of the City's job
classifications and subject them to the Pair Labor Standards Act tests to determine their
exempt or non-exempt status.
4. Position ClassiReation
Each of the City's positions will be analyzed and evaluated to determine their primary
characteristics, including:
- Is there a current City occupational job group comprised of job classes with essential
functions similar to the subject position; if so:
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- To which of the group'sjob classes, and at what level, are the subject position's
essential functions similar to the subject position, and if so:
Are they sufficiently comparable (+/- 20% guideline) to be allocated to thatjob class,
utilize the same job title, require the same minimum qualifications, and be assigned to
the same salary range,
If the City does not currently have a sufficiently comparable job class, what should be
the subject position's occupational job class and title, and:
What should the recommended occupational classification action be, No Change (N),
Title Change (T), Merge With Other Job Class (M), New Job Class (J).
We may find that ajob class is overly broad and encompasses several job activities
which are regarded with significant salary difference in the marketplace. In such an
instance, we will recommend "splitting" the job class into the current job class and a
new job class which encompasses the different job activities.
5. Undated Class Specifications — 1601ncluderl
We can prepare an updated classification specification in the City's standard or other
selected format for each occupational job class. Focus will be on the Essential Functions
and Minimum Qualifications. The specifications or descriptions may include (not limited
to) the following components:
Job Title — Definition Education, Training and Physical Requirements
Distinguishing Characteristics
Essential Functions
Experience
Licenses and Certifications
FLSA Exempt/Nott-Exempt
Status
Non -Essential
Functions
Mental Requirements
Desired Knowledge and Skills Supervision Exercise/Received Working Conditions
6. Draft Classification Pian Review with Personnel and Department lleads
We will conduct a review of our initial position classification recommendations and draft
class specifications with the City's Project Team and respective department beads to
identify possible errors, obtain feedback, and solicit suggestions for clarification.
IN
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E. COMPREHENSIVE AND SUST'AINABLECOMPENSATION PLAN
City Involvement in Compensation Plan Develomnent
We will obtain policy direction from the City Council, Personnel staff, and/or City
Officials on the following; key components of the salary plan development process:
- Comparator Employer Selection
Linkage
- Benchmark Job Class Selection
- Job Evaluation Method -Salary Plan
Draft Compensation. Plan Review /
Critique
- Compensation Competitiveness Policy - Compensation Points for Analysis
- Salary Structure Selection - Project implementation Plan
2. Comprehensive Compensation Sarvevs
We do not subscribe to or recommend the use of databases or data warehouses used or hosted
by other firms! We will collect the complete pay plans from each of the City's comparators
and build a custom survey database to ensure accuracv and completeness unique to the
City's job classifications.
a. Data Collection Protocol will be developed in consultation with the City's project
leaders to determine which salary data elements to include, such as:
Total Comp Information (to be finalized by City approval)
Salary range structure Minimum, Midpoint, and Maximum
City -sponsored or supported items s/a pension, health insurance
Certification pay, education incentive pay, safety pay
Paid time off practices, longevity pay, other items to be named
b. Benchmark Job Selection will be made by identifying City job classes common to its
employment -competitive public and private employers in the immediate area and
throughout the region or State, clearly identifiable, and representative of standard
occupational job groups.
c. Comparator Employers Identification will be made in consultation with the City's
Project Manager(s) or City Council. Criteria include their degree of competition to the
City in obtaining and retaining high quality staff, their location in the City's traditional
recruitment areas, and their organizational size and complexity.
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d/. Compensation Data Collection will be made by one or more of the following
methods.
- Pre -survey contact with the selected comparator employers to solicit participation in
the City's compensation survey(s)
Extraction from the pay plans of designated public employers
Customized salary survey requests for local governments and other public and
private employers, distributed by mail, fax, and c -mail.
As desired, additional data extraction from established salary surveys and
commercial survey sources such as Watson Wyatt, ERI, etc.
c. Data Quality Control includes editing data for accuracy and proper matching to the
City's survey benchmark jobs, and phone/fax/E-mail follow=ups for data clarification
and to obtain comparators' benchmark job descriptions.
3. Prevailinu Rates Calculation
We will consolidate the compensation data from all sources, enter the information into
the EZ COMPrm program, and compute the prevailing rates, inclusive of cost of living
differentials, as the statistical mean of the survey data for each benchmark job class. Data
will be projected forward from the date of collection to a common date relating to the
City's salary plan year by the annual Prevailing Rate increase Factor (PRI) applicable at
that time.
A. Compensation Competitiveness Comparison
We will provide the City with charts comparing its current salary structures to those of
the selected public and private comparator employers. We will calculate the extent that
the City's offerings vary from the prevailing rates and practices of other relevant
employers.
5. Compensation Competitiveness Policy
We will assist the City to select a compensation competitiveness policy which best fits its
compensation strategy and financial resources, by providing fiscal impact estimates at
various percentage relationships to the prevailing rates.
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6. Salary Plan Structure Development
We will review the City's current employee agreements and wage plans and 1) utilize the
City's current wage plan structures to identify internally equitable and externally
competitive salary ranges for each City job class or 2) prepare alternative salary range
structures and schedules for the City to select the best fit for its competitiveness strategy,
with these optional criteria:
- Method of administration, i.e.: measured job performance, longevity, or skill
- Width of the salary ranges, grades, or broad bands, from Min to Max
- Varying salary range widths for FLSA non-exempt or exempt positions
- If steps within the salary ranges, number of steps, percentage separation
- Number of salary ranges, grades, or broad bands in the salary schedule
- Percentage of separation between salary ranges, grades or broad bands
- Recognition for longevity, unique assignments, and special skill requirements
- Remuneration for required special licenses, certifications and registrations
7. Salary RaM Assiyiment Development
We will assign each job classification to a salary range in the City's current or selected
new salary structure on the basis of a combination of factors, including:
- the prevailing rates for the benchmark job classes
- its current relationship to similar or occupationally related job classes
- the 15% guideline for salary range separation between sequential job classes
- the 25% guideline for salary separation of a department head job class
- its quantitative evaluated internal job worth value (job evaluation points)
8. tniglementation Plan Develomnent
We will consult with the Personnel staff and Project Team on a plan for transition to the
recommended plan, including a timetable for the principal activities, employee
communication, impact on bargaining processes, and estimates of required financial
resources.
F. FINAL REPORTS AND PRESENTATIONS
1. Draft and Final Report Preparatiort
We will provide the City's project leader(s) with a draft of our report for review and
critique, including the classification plan, FLSA designations, compensation market
data, salary comparison tables, fiscal estimates, salary range listings, and
implementation procedures. We will incorporate their critique into the development of
final report summarizing the project's findings, recommendations, and detailed
description of the City's updated position classification and compensation plans.
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2. Final Report Presentations
We will conduct a workshop or formal presentation of our final report and
recommendations to the Personnel staff, City Officials, and employees.
3. EZ COMPr"Pro,2rantn dnsiallation
We will install our EZ COMFn' program and project tiles on one of the Personnel
Department's computers and provide training to key staff in the maintenance and update
of the classification and compensation plan.
4. Implementation Warranty
To ensure effective implementation of the new plan, we will analyze, evaluate, and
provide a salary range recommendation for any new or changed job class, at no cost to
the City for one year.
G. EXTENSI VE EMPLOYEE INCLUSION AND COMMUNICATION
Very important factors for successful implementation of new or updated classification and
compensation plans are 1) extensive employee inclusion, and 2) extensive employee
communication. City officials and employees will participate in one or more of the following
activities:
- Attending pre -project briefings and question and answer sessions
- Completing a Position Analysis Questionnaire (PDQ) describing their position
- Elaborating on their jobs in individual or group job information interviews
- Receiving information pamphlet/booklet describing the updated salary plan
H. MINIMAL CITY SUPPORT REQUIRED
We are completely self-sufficient in projects of this nature and do not require any substantive
staff support from the City other than payroll data, and arrangements for group and
individual meetings and interviews. We appreciate, but do not require, any office space,
telephone, clerical assistance, computers, or office equipment. We will provide all data entry,
data processing, duplicating, and related report preparation functions.
Santa Ana Public Sector Personnel Consultants 10/16
16
25D-18
Exbibit B
Fee Schedule and Project Cost Estimate
Major Project Components
Cost Estimate*
Position classification and job titlin}/includin
$10,000
briefings/kick off
On-site iob information interviews -Desk Audit
$17,50
Ll
Updated class specifications (assuming 160
$17 500
Compensation and benefits survey (target 125+-
$45000
benchmarks)
Compensation plan, draft reviews, final
I7 500
resentation
Total:
12Z 500
• standard hourly rate $125-150/hour
17
25D-19
25D-20