Title:
Title
Professional Services Agreement with Gallagher Benefit Services, Inc. to perform a Citywide Classification and Compensation Study.
End
FileID
File ID: 2020-01495
Location
Location: Citywide
End
Recommendation:
Recommendation
Pass a Motion authorizing the City Manager, or the City Manager’s designee, to execute an agreement on the City’s behalf with Gallagher Benefit Services, Inc., at a cost not to exceed $870,000 for citywide classification and compensation study services.
FileName
Contact: Sally Ly, Human Resources Manager, 916-808-8907, Human Resources - Employment, Classification & Development, Human Resources Department
Body
Presenter: None
Attachments:
1-Description/Analysis
2-Professional Services Agreement
Description/Analysis
Issue Detail: The City has a need to contract for services for a citywide classification and compensation study. The purpose of the study is to update the City’s extensive catalog of classification specifications; to identify changes in City operations and staffing over the last several years which may have affected the type, scope and level of work being performed; and to establish a consistent reporting structure within all departments. Additionally, the City is interested in identifying and eliminating any artificial barriers to employment in its classification specifications that may prevent candidates from successfully applying and qualifying for employment with the City.
Policy Considerations: Professional services contracts exceeding $250,000 must be approved by the Council consistent with Section 3.56.090 of the City Code.
Economic Impacts: None.
Environmental Considerations:
California Environmental Quality Act (CEQA): Classification and Compensation services is considered administrative activity by a governmental agency and does not constitute a “project” pursuant to Section 15378(b)(2) of the CEQA Guidelines and therefore is exempt from CEQA review.
Sustainability: Not applicable.
Commission/Committee Action: None.
Rationale for Recommendation: A total of six firms submitted proposals. The nine-person review panel, which included staff from the City Attorney’s Office, City Manager’s Office, Finance, and Human Resources reviewed all proposals.
From this process, four firms were invited to participate in oral interviews. Following the oral interviews, the firms were ranked by individual panelists using a forced ranking methodology, and the top two firms were invited to a final interview with the panel.
Based on the independent scores and interview process, Gallagher Benefit Services, Inc., received the highest overall rating. Gallagher also received consistent positive reviews during the reference check process, which was an important factor in the final decision.
Financial Considerations: The total cost for services for a citywide classification and compensation study is $870,000. The total not-to-exceed amount over the estimated two-year term of the contract is $870,000. The Citywide Classification Study (I08000400) multi-year project was established in the General Fund in FY2019/20. This project has adequate funding available for the proposed contract.
Local Business Enterprise (LBE): LBE was considered in the scoring of the RFPs submitted, with 5% for LBE.