HomeMy Public PortalAboutItem 8.h - RFP - Comprehensive Classification and Comprehensive Study_201505291331086359STAFF REPORT
TO: Mayor and City Council
THROUGH: City Manager
Agenda Item No. k
FROM: Resources Department
DATE: June 2, 2015
SUBJECT: RELEASE OF A REQUEST FOR PROPOSAL FOR A COMPREHENSIVE
CLASSIFICATION AND COMPENSATION STUDY
ACTIONS: (1) Receive and file the staff report
OPTIONS: (1) Authorize staff to release the proposed Request for Proposals (RFP)
for a classification and compensation study as attached and accept proposals
from qualified firms
(2) Authorize staff to release the proposed RFP for a classification and
compensation study with modifications and accept proposals from qualified
firms
(3) Deny the release of the proposed RFP for a classification and
compensation study
SUMMARY:
In order to conduct a comprehensive classification and compensation study, a Request for
Proposal document must be released to the public inviting qualified firms to respond, as
required by the Beaumont Municipal Code, Title 3.
BACKGROUND:
The City of Beaumont last conducted an informal compensation study during the 2014
memoranda of understanding negotiation process. This compensation survey was
completed by internal staff using a defined sampling of other agencies. The City has not
conducted a comprehensive classification study in over 20 years, although staff has made
some classification updates, on an individual basis, based on the needs of the City. As an
industry standard, it is a recommended practice to periodically review and update
personnel classifications and compensation levels. Given the City intends to begin
negotiations with all of the employee associations, it is timely to determine whether the
City's defined classifications and compensation levels are set appropriately with similarly -
sized and geographically local communities.
Staff intends to contact several companies, including six of the most renowned in the
industry, including Becker and Bell; CPS -HR; Fox Lawson & Associates; Public Sector
Personnel Consultants; the Hay Group; and Koff & Associates. The entire process is
estimated to last approximately four to six months.
The Scope of Services laid out in the RFP include:
Classification Plan
1) Updating the classification plan for approximately 45 classifications representing
approximately 125 full-time and 32 part-time employees as of May 2015.
2) Develop a classification structure that reflects the City's overall classification and
compensation strategy and includes the clear definition of terms and the
development of career ladders for full-time and part-time employees.
3) Review the background materials including existing classifications, organizational
charts, budgets, salary resolutions and schedules, personnel rules, applicable
memoranda of understanding, and related information.
4) Conduct orientation and briefing session(s) with employees and labor unions.
5) Conduct orientation and briefing session(s) with all department heads, managers
and supervisors.
6) Develop a comprehensive questionnaire to be completed by all employees. Meet
and consult with appropriate labor unions in the development of said questionnaire.
7) Conduct interviews with all employees in single position classifications, a
representative sample of employees in multiple position classifications, and
appropriate management personnel to validate the information.
8) Allocate all employees included within the scope of the study to an appropriate job
title, job classification and exempt and non-exempt designation pursuant to the Fair
Labor Standards Act (FLSA).
9) Develop new classification specifications to reflect current duties, requirements of
the position, including physical requirements and essential job functions.
10) The classification specifications shall include the following items:
(a) A definition of the job classification;
(b) A complete description of the essential job functions;
(c) Requirements of education, experience, knowledge, skills and abilities;
(d) Supervision exercised and received with definition of lead or supervisory roles;
(e) Working environment and/or conditions;
(f) Licenses, certifications, driving requirements and physical requirements in
compliance with the American with Disabilities Act (ADA); and
(g) Appropriate exempt and non-exempt designation under the Fair Labor
Standards Act (FLSA). The consultant will coordinate the varying presentation
styles of the project team to ensure a unified philosophy and standardization
across all classifications.
11) Present the final classification and listing showing the recommended allocation of
each position.
12) The classification plan shall include an introductory section that describes class
concepts and provides information about distinctions of various levels within a class
series and other pertinent information.
13) Provide appropriate implementation and maintenance manuals.
14) Conduct training sessions for designated staff.
Compensation Study
1) Meet and consult with appropriate labor unions to identify survey labor market and
classifications that represent most closely to the City of Beaumont. This will include
an explanation of the specific methodology (i.e. articulable factors) used to identify
the survey agencies.
2) Meet and consult with appropriate labor unions to determine the list of comparable
agencies to be used in the survey. Conduct a comprehensive total compensation
survey using comparable survey agencies, using not only job titles, but duties and
responsibilities based upon the classification specifications from the City of
Beaumont.
3) Complete an internal salary relationship analysis, including the development of
appropriate internal relationship guidelines.
4) Develop external competitive and internal equitable salary recommendations for
each classification included within the study.
5) Assign a salary range to each classification which reflects the results of the market
survey and the analysis of the internal relationships.
6) Present draft results of the survey to management and union and bargaining units in
a group meeting.
7) Assist in the development of a strategy for implementing the compensation
recommendations and plan.
Finally, present the final Classification and Compensation Report to the City Council.
Staff identified specific criteria for determining the minimum qualifications of the firms
responding to the RFP:
1) The proposer has advanced knowledge of the laws and practices relating to
employee classification and compensation within a municipal government setting.
2) The proposer has a demonstrated track record of success in handling all aspects of
employee classification and total compensation and at least five (5) years of
providing these services to public entities in the State of California.
3) Each proposer shall provide all public agencies they performed relevant work for in
the past three (3) years. When possible, include references from cities of a similar
size and characteristics to the City of Beaumont.
4) The proposer can demonstrate an understanding of the assignment and knowledge
of the skills necessary to serve in the role of the Classification and Compensation
Consultant.
The expectation for the selected professional classification and compensation firm is that,
key agencies and communities will better represent the personnel needs, geographical and
community characteristics, and professional expectations of Beaumont.
FISCAL IMPACT:
No fiscal impact at this time. Once a review and evaluation of all proposals is made and a
suitable firm is selected, staff will bring that firm forward to Council for review and
approval. At that time, the proposed cost of the study will be included in the request for
approval. Staff estimates the cost of a study of this magnitude to be in the range of $75,000
to $100,000.
Respectfully submitted,
City Staff
CITY OF BEAUMONT, CA
Request for Proposals for
Classification and Compensation Study
DEADLINE FOR PROPOSALS:
L Introduction
The City of Beaumont invites interested qualified, professional consulting services to submit
written proposals to design, conduct and assist in a city-wide classification and compensation
study. The term of the contract will be one year, with options to extend the contract for one
additional year.
The City reserves the right to reject any and all proposals and to waive informalities and minor
irregularities in any proposal. The City may reject any proposal that does not conform to the
instructions provided in this RFP. Additionally, the City reserves the right to negotiate all final
terms and conditions of any proposal received before entering into a final contract. All costs
associated with the preparation and submission of any proposal shall be the sole responsibility
of the proposer.
II. Background
The City of Beaumont is a residential community with a population of roughly 40,000, situated
in the San Gorgonio Pass in Riverside County. The City of Beaumont is a contract city, meaning
that some services are provided by contract with agencies (both public and private) and some
services are delivered by the City's own employees. Police protection services are provided by
City employees and fire protection is contracted with CaiFire. Sewer, specialized public works
services, and solid waste collection are provided by contracting firms, while library and water
services are provided through special districts. The City provides services for planning and
zoning activities, recreational activities, animal control services, and an extensive system of
public parks, open space and trails.
The City of Beaumont has approximately 140 authorized full time positions for FY 14-15, and
its departments include an Administration Department, Building and Neighborhood Services
Department, Police Department and Community Services Department. Presently there are
eight union and bargaining units that incorporate all full-time employees, including
management.
The City has not conducted a comprehensive classification and compensation review in over 20
years. The City's classification plan requires an update, with classification specifications that
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are in line with current changes and requirements in the law. Classification specifications need
to be updated to reflect current job duties and requirements of the position, including physical
requirements and essential job functions to comply the American with Disabilities Act (ADA).
Additionally, the City has recently realigned several positions, resulting in the slight
reorganization of several departments.
III. Scope of Services
The objective of this proposal is to solicit competitive proposals from qualified providers to assist
in:
Classification Study
1) Updating the classification plan for approximately 45 classifications representing
approximately 125 full-time and 32 part-time employees as of May 2015.
2) Develop a classification structure that reflects the City's overall classification and
compensation strategy and includes the clear definition of terms and the development
of career ladders for full-time and part-time employees.
3) Review the background materials including existing classifications, organizational
charts, budgets, salary resolutions and schedules, personnel rules, applicable
memorandums of understanding, and related information.
4) Conduct orientation and briefing session(s) with employees and labor unions.
5) Conduct orientation and briefing session(s) with all department heads, managers and
supervisors.
6) Develop a comprehensive questionnaire to be completed by all employees. Meet and
consult with appropriate labor unions in the development of said questionnaire.
7) Conduct interviews with all employees in single position classifications, a
representative sample of employees in multiple position classifications, and
appropriate management personnel to validate the information.
8) Allocate all employees included within the scope of the study to an appropriate job
title, job classification and exempt and non-exempt designation pursuant to the Fair
Labor Standards Act (FLSA).
9) Develop new classification specifications to reflect current duties, requirements of the
position, including physical requirements and essential job functions.
10) The classification specifications shall include the following items:
(a) A definition of the job classification;
(b) A complete description of the essential job functions;
(c) Requirements of education, experience, knowledge, skills and abilities;
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(d) Supervision exercised and received with definition of lead or supervisory roles;
(e) Working environment and/or conditions;
(f) Licenses, certifications, driving requirements and physical requirements in
compliance with the American with Disabilities Act (ADA); and
(g) Appropriate exempt and non-exempt designation under the Fair Labor
Standards Act (FLSA). The consultant will coordinate the varying presentation
styles of the project team to ensure a unified philosophy and standardization
across all the classifications.
11) Present the final classification and listing showing the recommended allocation of each
position.
12) The classification plan shall include an introductory section that describes class
concepts and provides information about distinctions of various levels within a class
series and other pertinent information.
13) Provide appropriate implementation and maintenance manuals.
14) Conduct training sessions for designated staff.
Compensation Study
1) Meet and consult with appropriate labor unions to identify survey labor market and
classifications that represent most closely to the City of Beaumont. This will include
an explanation of the specific methodology (i.e., articulable factors) used to identify
the survey agencies.
2) Meet and consult with appropriate labor unions to determine list of comparable
agencies to be used in survey. Conduct a comprehensive total compensation survey
using comparable survey agencies, using not only job titles, but duties and
responsibilities based upon the classification specifications from the City of
Beaumont.
3) Complete an internal base salary relationship analysis, including the development of
appropriate internal relationship guidelines.
4) Develop external competitive and internal equitable salary recommendations for
each classification included within the study.
5) Assign a salary range to each classification which reflects the results of the market
survey and the analysis of the internal relationships.
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6) Present draft results of the survey to management and union and bargaining units in
a group meeting.
7) Assist in the development of a strategy for implementing the compensation
recommendations and plan.
Present the final Classification Report and Compensation Report to the City Council.
IV. Submittal Content and Procedures
Proposals should include the following:
1) A one page cover letter with the name and contact information of the proposed lead staff
representative and any associates or other staff included in your proposal.
2) A description of the qualifications, experience and knowledge of the proposed lead staff
representative and any associates who will be assigned to work for the City in conducting
the study. The proposal should specifically provide:
a. Examples of specific compensation and classification studies previously conducted by
the lead staff representative and associates for other public agencies in California;
b. Methodology and typical project management plan proposed for conducting
compensation and classification studies for the City;
3) Proposers must provide a list of contracts with other public agencies from the past
five (5) years for services similar in scope to those set forth herein.
4) A list of client references, specifically highlighting public agency clients, including client
name and address, contact name, telephone number and email address (if known), dates
of service, description of service, and contract amount.
5) Cost proposal - provide a cost proposal for the work to include costs for the classification
and compensation study.
6) Additional data. Please provide any additional information about your firm as it may
relate to this RFP. You may include letters of reference, ongoing commitment to
professional education of staff, the total number of permanent employees, and any other
data that may assist in the City's evaluation of your proposal and expertise.
7) Disclosure of any actual or potential conflicts of interest between the City of Beaumont,
its officers, boards, commissions and staff, and any other person or entity represented by
the counsel, firm, or investigator responding to this Request for Proposals.
V. Evaluation and Selection Process
The City will select one firm for all outlined Scope of Service on the basis of qualifications,
experience and cost. The following are the minimum qualifications to be used to evaluate the
responses to this RFP:
1) The proposer has advanced knowledge of the laws and practices relating to employee
classification and compensation within a municipal government setting.
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2) The proposer has a demonstrated track record of success in handling all aspects of
employee classification and compensation and at least five (5) years of providing
these services to public entities in the State of California.
3) Each proposer shall provide all public agencies they have performed relevant work for
in the past three (3) years. When possible, include references from cities of a similar
size and characteristics to the City of Beaumont.
4) The proposer can demonstrate an understanding of the assignment and knowledge of
the skills necessary to serve in the role of the Classification and Compensation
Consultant.
The City Manager and designated staff will conduct a review and evaluation of all proposals and
may, if necessary, invite proposers to a personal interview. The City will review and evaluate
proposals against the following criteria:
11 Demonstrated success: Does the proposer demonstrate that it has the appropriate
experience and expertise in conducting successful classification and compensation
studies similar to those likely to be performed for the City of Beaumont?
Understanding of the City's Goals: Based on the information provided by the City,
does the proposer understand the rules and regulations applicable to public entities
in conducting classification and compensation studies, is the proposer familiar with
the Beaumont City Code and Personnel Rules, is the proposer aware of the limited
resources of the City and obligation of the City to minimize costs while at the same
time achieving optimum results?
l Staff: Do the qualifications of key personnel to be assigned to working on the City's
study coincide with the City's requirements? Does the firm's organizational
structure show sufficient depth for the required work?
11). Familiarity with Locality: Does the firm have familiarity with the City of
Beaumont? How close are the firm's permanent offices to Beaumont?
(Preference is to local or near -local firms).
SJ Specific Management Approach: How does the proposer intend to achieve the City's
budget in conducting a "typical" classification and compensation study? How will the
firm apply its management techniques and resources?
.1 Reputation: Are the firm's references from past clients and associates
favorable; and, does the firm show financial and operational stability?
VI. Professional Services Agreement
Please review the attached standard form of professional services agreement for all
contractual requirements including insurance and indemnification. Proposers should consider
the cost of carrying the insurance required by the attached agreement. Any exceptions or
requested modifications to the form of agreement, including the insurance and
indemnification requirements, must be included with the proposal.
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VII. Submission of Proposals
1) All questions and requests for clarification or additional information must be made in
writing by email, prior to at 12:00 noon, PST, and sent to the
attention of:
Elizabeth M. Gibbs-Urtiaga, Resources Director
elizabethu(beaumontcares.com
CONTACT WITH ANY CITY EMPLOYEE OTHER THAN THE INDIVIDUAL NAMED ABOVE IS
STRICTLY PROHIBITED.
2) The proposal should include at minimum, the following information in a sectionalized
format addressing all phases of work in the Request for Proposal.
(a) Format: Limit your proposal to 20 typed 8.5" X 11" pages, or fewer, on white bond
paper, single sided (excluding cover letter and attachments). You may attach a firm
brochure if you wish, but it must be as a separate attachment and independent from
the required elements noted above.
1. Use a conventional typeface with a minimum font size of 12 points. Use a 1"
margin on all borders.
2. Organize your proposal in the order described above.
3. Provide one (1) unbound original, in addition to the six, of your firm's response
and one (1) electronic version.
4. Prominently label the package: "RFP for Classification and Compensation Study"
and include the name of the prime respondent.
(b) Cover Letter: All proposals shall include a cover letter which states that the proposal
shall remain valid for a period not less that ninety (90) days from the date of
submittal. If the proposal contemplates the use of sub -contractors, the sub-
contractors shall be identified in the cover letter. If the proposal is submitted by a
business entity, the cover letter shall be signed by an officer authorized to
contractually bind the business entity. With respect to the business entity, the cover
letter shall also include: the identification of the business entity, including the name,
address and telephone number of the business entity; and the name, title, address
and telephone number of a contact person during the proposal evaluation period.
(c) Introduction: Present an introduction of the proposal and your understanding of the
assignment and significant steps, methods and procedures to be employed by the
proposer to ensure quality deliverables that can be delivered within the required time
frames and your identified budget.
(d) General Scope of Work: Briefly summarize the scope of work as the proposer
perceives or envisions it for each area proposed.
(e) Work Plan: Present concepts for conducting the work plan and interrelationship of all
products. Define the scope of each task including the depth and scope of analysis or
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research proposed.
(f) Schedule: As time is of the essence for this assignment, recommend a schedule of work
indicating specific milestones.
(g) Fee and Costs: Although an important aspect of consideration, the financial cost
estimate will not be the sole justification for consideration. Negotiations may or may
not be conducted with the proposer; therefore, the proposal submitted should contain
the proposer's most favorable terms and conditions, since selection and award may be
made without discussion with any firm. All prices should reflect "not to exceed"
amounts per item.
(h) Ability of the Proposer to Perform: Provide a detailed description of the proposer and
his/her qualifications, including name(s), title(s), detailed professional resume(s), and
past experience in similar work efforts/products of key personnel who will be
working on the assignment. Provide a list of specific related work projects that have
been completed by the proposer which are directly related to the assignment
described in the Request for Proposal. Note the specific individuals who completed
such project(s). Identify the role and responsibility of each member of the project
team. Include the amount of time key personnel will be involved in the respective
portions of the assignment. Respondents are encouraged to supply relevant examples
of their professional product. Provide a list of references.
VIII. Delivery
Four (4) copies of your proposal must be received on or before 12:00 noon, PST, by
, 2015 by hand or mail delivery to:
Elizabeth M. Gibbs-Urtiaga
City of Beaumont Resources Department
550 East 6th Street
Beaumont, CA 92223
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