HomeMy Public PortalAboutAttachment AB01-17Contract Agreement for Class Comp Study
PROPOSAL AND AGREEMENT
For Consulting Services Between
The City of McCall and BDPA, Inc.
SECTION ONE
Client Identification
Contract made this _______day of ___________, 2002
between the City of McCall, a corporation organized and existing under the laws of the State of Idaho, herein referred to as client, and BDPA, Inc., of Boise, Idaho, herein referred
to as consultants.
SECTION TWO
Recitals
1. Client is in the business of providing municipal services to citizens of McCall, and in the conduct of such business desires to have the
following services/tasks be performed or provided by consultant:
Conduct a Classification and Compensation Study of City Positions
2. Consultants agree to perform these services
for client under the terms and conditions set forth in this Client Proposal/Agreement. In consideration of the mutual promises set forth herein, it is agreed by and between client and
consultant as follows:
A. Project Preparation
BDPA consultants will meet with the City Manager and other representatives (including Department Heads and/or elected officials) to ensure
mutual understanding of project goals, objectives and expected outcomes. General roles, responsibilities and expectations of the consultants, committees and City Managers will also be
confirmed. BDPA will also meet with an Employee Advisory Committee, and prepare a newsletter to all employees to inform them of the purpose and goals of the study and to address frequently
asked questions.
B. Analysis of Background Materials
BDPA consultants will review and analyze current job descriptions, class specifications and the existing pay structure, as well
as related City and County codes, employee handbooks, City policies and
procedures, bargaining unit agreements, organizational charts and other applicable documents, laws and regulations.
C. Classification Review
To better understand the nature and
function of each City job, BDPA will prepare current job descriptions by having employees complete position description questionnaires to obtain current and accurate information related
to job duties, responsibilities and minimum qualifications required for each job. BDPA will also meet with department managers and supervisors and at least 60-70% of all employees,
with at least one employee in each job classification, individually or in small groups to conduct job audits that further clarify job duties. Draft job descriptions will be distributed
to employees and supervisors for review and revision; the final descriptions will be used as the foundation for the job evaluation process.
D. Job Evaluation
BDPA will evaluate jobs
based on the Whole Job method. As a result of this process a kinds and levels chart will be produced to display the recommended alignment of class groupings within the organization
to establish internal equity.
As a quality control check, BDPA will develop a quantitative methodology for job evaluation that will be used to review positions on the kinds and levels
chart. The methodology will include identification of organizational values and specific job factors that will be used to measure organizational effectiveness. The advisory committee
and department heads will be involved in the establishment of job factors. The consultants will then re-evaluate jobs using the designed job evaluation tool.
E. Position Review Process
The
Position Review Process provides all employees an additional opportunity for input into the alignment of positions to levels within the City’s organizational structure. Copies of the
recommended kinds and levels chart will be distributed to all employees with a written review procedure. The written procedure will outline the employee’s role, the committee’s role,
review procedures, ground rules for the review and supervisor/manager participation. Interested employees will then schedule a time to present additional information about their position
to the consultants.
The consultants use the review process to gather any further information or clarification from employees about his/her job. If needed, the consultants conduct additional
follow-up with the position supervisor, department head and/or city managers with regard to the functions, responsibilities and qualifications necessary for the job being reviewed.
The information is used to re-evaluate the placement of the position on the kinds and levels chart to ensure internal equity of all City positions.
The Employee Advisory Committee
will be trained and utilized as a liaison to the consultants to assist with reviews and make recommendations. The consultants will facilitate the review process. The results of the review
process, including a summary of committee recommendations and the proposed resolution will be reviewed with the City.
F. Compensation Strategy Evaluation
BDPA will evaluate the City’s existing compensation plan including philosophy, policies, practices and structure. The consultants will discuss
with the City Manager and other representatives, existing practices as well as other alternatives impacting pay philosophy such as width of ranges, progression through the range, overlap
of pay ranges, internal and external equity and market relationships and competitiveness.
G. Labor Market Identification
To obtain market wage and benefit data that best represents
the surrounding labor market, the consultants will facilitate the identification of comparability factors, benchmark positions, salary related data to be collected and public/private
employers to be surveyed. These factors will be reviewed and confirmed by the City Manager and the employee committee prior to commencing the salary survey.
Typically, there are three
important criteria used to identify those employers comprising the labor market:
Geographic Proximity - Geographic proximity of potential employers is a major factor utilized in identifying
an organization’s labor market. This factor is particularly important because it identifies those employers that directly compete with the City to recruit and retain personnel.
Employer
Size - As a general rule, the more similar employers are in size and complexity, the greater the likelihood that comparable positions exist within both organizations. Size may include
factors such as population, number of employees, budget, etc.
Employer Type or Nature of Services Provided - Employers of the same type (government) and who provide similar services
are most likely to compete with one another for employees and have comparable jobs. This factor however requires that the labor market include a significant number of comparable local
government organizations because cities and counties are the best sources for position matches, especially when considering exclusively governmental issues such as protective services,
planning and zoning, parks, etc.
H. Salary Survey
BDPA will conduct a salary survey through the use of a written survey document, telephone survey and/or personal visits. Throughout
the data collection process, careful efforts are made to document the full range of duties and requirements of all benchmark positions. Since finding good job matches is imperative
to valid salary data, a detailed description of each benchmark job is included on the survey document.
It is important to point out that the purpose of the salary survey is to compile
the data needed to analyze the labor market to identify general wage trends of other agencies to gain a realistic picture of market rates for the City as a whole. Therefore, it is not
as critical for all job duties to be exactly the same for a good job match. Comparable jobs in other organizations do not need to utilize the same equipment,
have the same workload, or work in an identical facility. Critical comparability lies in jobs with similar knowledge, skills and abilities to perform the required duties. While BDPA
makes every effort to include comparable job duties and requirements, there will always be some variability in the job matches. In some cases, a comparable job may exceed the responsibilities
and duties of the City’s benchmark position, and in other cases the market job may perform duties at a slightly lower level. Overall, the market comparables provide an “on-the-average”
indication of market trends without identically matching the City job.
BDPA’s philosophy on salary surveying is to use as many data sources as may be available, locally, regionally
and in some cases nationally, as well as reviewing specific occupational survey data when required. It is our practice to keep confidential proprietary information about survey participants.
As such, the identity of each surveyed “employer name” is coded for published documents presenting survey results. This philosophy is advantageous to provide meaningful, reliable and
defensible market data.
I. Salary Data Analysis and Compilation
Once the salary information is collected and thoroughly analyzed for appropriate job matches, completeness and accuracy,
the consultants will tabulate the data in a consistent and uniform manner showing pre-determined factors such as minimum and maximum, as well as an “actual average salary” paid to current
incumbents. Additionally, the salary survey report will show simple averages for all data compiled
With concurrence of the City, a copy of the compiled data will be returned to the
survey participants.
BDPA will compile and analyze benefit practices of survey participants, including health, dental, vision, disability, life, vacation, sick leave and retirement
benefits. The data will be compiled to display a total compensation value for benchmark positions.
BDPA will use all survey results to identify general wage trends of survey participants
to gain a realistic picture of market rates, including base wages and total compensation, for the City as a whole.
J. Salary Structure Design
BDPA will use the general wage trends
identified from the survey process to develop a recommended salary structure that links internal equity (as identified through the job evaluation process) and external competitiveness
(as compiled in the salary survey). Optional design strategies will be discussed with the City based on their determination of a pay philosophy and, if needed, a new salary structure
will be designed through organizing pay grades based on the pre-determined structure alternatives.
K. Implementation Options
BDPA will prepare and present cost estimates for implementation
of the new salary structure. Recognizing that many organizations have limited funding, the consultants will develop several strategies for implementing the recommended salary structure
including placement of individual employees into ranges, and implementation phasing (if necessary).
L. Report
A preliminary report that documents all completed tasks, methodology, findings and recommendations will be prepared by the consultants and presented to the City Manager
and designated others for review and comment. The report will then be revised to final form and up to ten (10) copies of the final report will be submitted to the City.
The final
report is the City’s Job Evaluation and Compensation Plan. With continued maintenance of the plan as recommended, it should be effective for 7-9 years with minor modifications. It has
been our experience that after 7-9 years the plan may become skewed and job descriptions and compensation plan strategies should be thoroughly re-evaluated for internal equity and external
competitiveness purposes.
SECTION THREE
The consultants are available to begin this project during March 2002. Completion of the full project is estimated at four to five months
from the start date or by August 31, 2002.
It should be recognized that scheduling of job audits of City employees, the timely response of survey participants, and the amount of necessary
follow-up to ensure accuracy of data received might impact the project timeline.
SECTION FOUR
Payment
The consultants will perform all tasks outlined in the work plan for a fixed fee
amount of $8,867. The fixed fee includes all travel and related expenses and is based on an hourly rate of $65.00 per hour. Related expenses are estimated at 15% to include the costs
of printing, phone, mileage, overhead, postage, fax and consumable supplies. The payment schedule shall be as follows:
Twenty-five percent (25%) of the total contract amount, or $2,216.75,
shall be paid to the consultants upon approval of the contract by the client or following the first meeting with City representatives, whichever is sooner.
Twenty-five percent (25%)
of the total contract amount, or $2,216.75, shall be paid to the consultants upon completion of on-site job audits with individual or groups of employees (refer to Section Two, 2.C).
Twenty-five
percent (25%) of the total contract amount, or $2,216.75, shall be paid to the consultants upon completion of the salary survey process (refer to Section Two, 2.H.
Twenty-five percent
(25%) of the total contract amount, or $2,216.75, shall be paid to the consultants upon submittal of the final project report (refer to Section Two, 2.L).
Additional services, at the
request of the client, over and above those identified in this contract will be made available at the rate of $65.00 per hour, plus actual out-of-pocket costs for travel and 15% related
expenses.
SECTION FIVE
Status of Consultant
This contract calls for the consultants to perform professional services as an independent contractor and consultants will not be considered an employee
of the client for any purpose.
SECTION SIX
Insurance
The consultants shall provide all of its own insurances necessary to protect client against claims for worker’s compensation and
for liability arising out of the sole negligence of consultant or its employees, agents, representatives, etc.
SECTION SEVEN
Limitation of Liability
The consultants are performing the
specified work on behalf of the client and only for such specified purposes. Under no circumstances will consultant’s liability to client for any negligent act or omission relating
to or arising out of the project exceed the consultant’s total fee for the services rendered.
Further it is understood and agreed that consultant is not liable or responsible for the
results of any surveys or other tasks and data collection undertaken as a part of and necessary to the completion of the project, such survey information and data being entirely outside
of the control of consultant. Consultant is responsible for presenting and shall present all relevant information and data collected pursuant to the scope of work to be performed.
SECTION
SEVEN
Confidentiality/Proprietary Interests
The consultants and client recognize that the consultants may, in the course of performing its services, acquire or have access to information
and data which may be confidential or personal to the individual/entity disclosing such information or data. While consultants’ tasks and the project being undertaken may require disclosure
of such information to client in a general, statistical or other non-specific manner, client understands and accepts consultants limitation that in order to obtain the information and
data necessary to perform the assigned tasks and to complete the project in question, all of the information specifically obtained by consultant in carrying out and completing the project
is confidential and proprietary to consultant and is not subject to disclosure to client as part of the project.
SECTION EIGHT
Cancellation
The parties agree that the client may cancel
the project at any time upon thirty (30) days written notice to consultant, and subject to payment to consultant for all services rendered by consultant toward the completion of the
project, up to the time of cancellation, based on the benchmarks or percentages of completion of the total project set forth in this proposal, plus a termination charge of 25% of the
total remaining value of the contract.
SECTION NINE
Services After Termination
Inasmuch as the consultants will acquire or have access to information that is of a highly confidential and secret nature it is expected that
consultant will not use or disclose any proprietary or confidential information obtained from client during the period of the project without client’s written approval.
SECTION TEN
Legal
Assistance
The consultants do not render legal advice or legal opinion in its services or products. Such advice may only be given by a licensed, practicing attorney. Therefore, the
consultants request that the client confer with their representing counsel on any issues requiring legal review.
SECTION ELEVEN
Equal Opportunity Employer
The consultants certify that
it is an equal opportunity employer and agrees to provide all services called for by this contract in accordance with all state and federal statutes governing civil rights and employment
discrimination. Contractor shall further comply with the Americans with Disabilities Act of 1990 and such other relevant acts as may be required by client.
BDPA, Inc.
City of McCall
By________________________________ By________________________________
Title______________________________ Title______________________________
Date____________________________
__ Date______________________________