HomeMy WebLinkAboutCOW 2020-03-23 Item 3D - Contract - Implement Non-Represented Employees Market-Based SystemCOUNCIL AGENDA SYNOPSIS
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Meeting Date
Prepared b
Ma or' review
Council review
03/23/20
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04/06/20
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ITEM INFORMATION
ITEMNO.
3.D.
STAFF SPONSOR:JUAN PADILLA
ORIGINAL AGENDA DATE: 03/23/20
AGENDA ITEM TITLE Contract for Services Non -represented Class & Comp Market System
CATEGORY ® Discussion
Mtg Date 03123120
® Motion
Mtg Date 04106120
❑ Resolution
Mtg Date
❑ Ordinance
Mtg Date
❑ Bid Award
Mtg Date
❑ Public Hearing
Mtg Date
❑ Other
Mtg Date
SPONSOR ❑Council ❑Mayor ®HR ❑DCD ❑Finance ❑Fire ❑TS ❑P&R ❑Police ❑P1V ❑Court
SPONSOR'S Authorize Mayor to sign a contract with Compensation Connections to conduct a market
SUMMARY based job classificaiton and compensation system.
REVIEWED BY ❑ C.O.W. Mtg. ❑ CDN Comm ❑ Finance Comm. ❑ Public Safety Comm.
❑ Trans &Infrastructure ❑ Arts Comm. ❑ Parks Comm. ❑ Planning Comm.
DATE: N/A COMMITTEE CHAIR:
RECOMMENDATIONS:
SPONSOR/ADMIN. Human Resources
COMMITTEE Committee of the Whole
COST IMPACT / FUND SOURCE
EXPENDITURE REQUIRED AMOUNT BUDGETED APPROPRIATION REQUIRED
$ $Needs Budget Amendment $0
Fund Source: GENERAL FUND
Comments: Council authorized for an RFP to be conducted for this project.
MTG. DATE
RECORD OF COUNCIL ACTION
03/23/20
Forward to next Regular Meeting
04/06/20
MTG. DATE
ATTACHMENTS
03/23/20
Informational Memorandum 03/18/20
Draft Contract with Compensation Connections
Response to Request for Proposals
04/06/20
No attachments
79
City of Tukwila
Allan Ekberg, Mayor
INFORMATIONAL MEMORANDUM
TO:
City Council
FROM:
Juan Padilla, Human Resources Director
BY:
Erika Eddins, Human Resources Analyst
CC:
Mayor Allan Ekberg
DATE:
March 18, 2020
SUBJECT:
Contract for Services — RFP for Non -Represented Market System.
ISSUE
The Council is being asked to authorize the mayor to execute a contract with Compensation
Connections to conduct a market -based job classification and compensation survey for non -
represented positions, not to exceed $150,000 from general fund balance. If approved, a
formal budget amendment request will be submitted at the end of this year (2020).
BACKGROUND
At the November 18, 2019, Regular Council Meeting, authorization was provided for the
issuance of a Request for Proposals (RFP) to pursue a market -based compensation system
for the non -represented group of employees (currently 40 employees).
The RFP was issued on January 30, 2020 and advertised until February 21, 2020. A total of
five (5) responses were received and the top two vendors, Compensation Connections and
Milliman, were interviewed based on their experience with similar projects in the public sector.
The City selection committee consisted of staff from City Administration, Finance, Human
Resources, and the Court.
DISCUSSION
Review of vendor qualifications with experience in the field of total rewards and
compensation, public sector experience, and proposed work plan for this project were the
guiding criteria the selection committee used to screen the vendors.
Following is a summary of the top two vendor's qualifications and their proposed cost to
conduct the job classification and market survey project for non -represented positions:
INFORMATIONAL MEMO
Page 2
Compensation Connections
Milliman
• Seattle -area consulting
International actuarial
Qualifications/Experience
firm specializing in total
and consulting firm
rewards compensation.
based in Seattle.
• Project team has over
Company has over
200 years of collective
30 years of
experience in Human
experience
Resources and Total
conducting
Rewards.
compensation and
benefit surveys.
• Similar project
experience with local
Provides market -
public sector agencies,
based classification
including the City of
and compensation
Seattle, Tacoma Housing
consulting and survey
Authority, and City of
services including
Bellevue.
public sector clients.
Proposed Project Cost
$122,120 @ $220 per hour
$105,000 @ $290 per hour
RECOMMENDATION
Compensation Connections is a local firm and the members of their project team each have
extensive related experience and multiple certifications as Compensation Professionals and
Human Resource Professionals, adding to their credibility in working with multiple audiences
on complex topics. During interviews, Compensation Connections articulated a strong
understanding and commitment to social justice and equity within their own firm's values and
will ensure that value commitment in building an equitable and sustainable job classification
and compensation system for the City of Tukwila. The selection committee recommends
authorizing the Mayor to enter into a contract for services with Compensation Connections to
conduct the non -represented market -based classification and compensation project.
Based on the cancellation of 3/9/20 C.O.W., and 3/23/20 Finance Committee, and tight
project timeline to meet key budget decision deadlines, the Council is being asked to
consider this item at the 3/23/20 C.O.W. and forward to the 4/6/20 Consent Agenda.
ATTACHMENT
Draft Contract for Services with Compensation Connections including the full RFP response
with scope of work and cost.
MK
City of Tukwila Contract Number:
6200 Southcenter Boulevard, Tukwila WA 98188
CONTRACT FOR SERVICES
This Agreement is entered into by and between the City of Tukwila, Washington, a non -charter
optional municipal code city hereinafter referred to as "the City," and Compensation Connections,
hereinafter referred to as "the Contractor," whose principal office is located at 8830 Norman Ave S.E.,
Snogualmie, WA 98065.
WHEREAS, the City has determined the need to have certain services performed for its citizens
but does not have the manpower or expertise to perform such services; and
WHEREAS, the City desires to have the Contractor perform such services pursuant to certain
terms and conditions; now, therefore,
IN CONSIDERATION OF the mutual benefits and conditions hereinafter contained, the parties
hereto agree as follows:
1. Scope and Schedule of Services to be Performed by Contractor. The Contractor shall perform
those services described on Exhibit A attached hereto and incorporated herein by this reference as if
fully set forth. In performing such services, the Contractor shall at all times comply with all Federal,
State, and local statutes, rules and ordinances applicable to the performance of such services and
the handling of any funds used in connection therewith. The Contractor shall request and obtain prior
written approval from the City if the scope or schedule is to be modified in any way.
2. Compensation and Method of Payment. The City shall pay the Contractor for services rendered
according to the rate and method set forth on Exhibit B attached hereto and incorporated herein by
this reference. The total amount to be paid shall not exceed $150,000.00 at a rate of $220.00/hr.
3. Contractor Budget. The Contractor shall apply the funds received under this Agreement within the
maximum limits set forth in this Agreement. The Contractor shall request prior approval from the City
whenever the Contractor desires to amend its budget in any way.
4. Duration of Agreement. This Agreement shall be in full force and effect for a period commencing
20_, and ending December 31, 2020 , unless sooner terminated under the provisions
hereinafter specified.
5. Independent Contractor. Contractor and City agree that Contractor is an independent contractor
with respect to the services provided pursuant to this Agreement. Nothing in this Agreement shall be
considered to create the relationship of employer and employee between the parties hereto. Neither
Contractor nor any employee of Contractor shall be entitled to any benefits accorded City employees
by virtue of the services provided under this Agreement. The City shall not be responsible for
withholding or otherwise deducting federal income tax or social security or contributing to the State
Industrial Insurance Program, or otherwise assuming the duties of an employer with respect to the
Contractor, or any employee of the Contractor.
CA Revised December 2016 Page 1 of 4
6. Indemnification. The Contractor shall defend, indemnify and hold the Public Entity, its officers,
officials, employees and volunteers harmless from any and all claims, injuries, damages, losses or
suits including attorney fees, arising out of or in connection with the performance of this Agreement,
except for injuries and damages caused by the sole negligence of the Public Entity.
Should a court of competent jurisdiction determine that this Agreement is subject to RCW 4.24.115,
then, in the event of liability for damages arising out of bodily injury to persons or damages to
property caused by or resulting from the concurrent negligence of the Contractor and the Public
Entity, its officers, officials, employees, and volunteers, the Contractor's liability hereunder shall be
only to the extent of the Contractor's negligence. It is further specifically and expressly understood
that the indemnification provided herein constitutes the Contractor's waiver of immunity under
Industrial Insurance, Title 51 RCW, solely for the purposes of this indemnification. This waiver has
been mutually negotiated by the parties. The provisions of this section shall survive the expiration or
termination of this Agreement.
7. Insurance. The Contractor shall procure and maintain for the duration of the Agreement, insurance
against claims for injuries to persons or damage to property which may arise from or in connection
with the performance of the work hereunder by the Contractor, their agents, representatives,
employees or subcontractors. Contractor's maintenance of insurance, its scope of coverage and
limits as required herein shall not be construed to limit the liability of the Contractor to the coverage
provided by such insurance, or otherwise limit the City's recourse to any remedy available at law or in
equity.
A. Minimum Scope of Insurance. Contractor shall obtain insurance of the types and with the limits
described below:
Automobile Liability insurance with a minimum combined single limit for bodily injury and
property damage of $1,000,000 per accident. Automobile liability insurance shall cover all
owned, non -owned, hired and leased vehicles. Coverage shall be written on Insurance
Services Office (ISO) form CA 00 01 or a substitute form providing equivalent liability
coverage. If necessary, the policy shall be endorsed to provide contractual liability coverage.
2. Commercial General Liability insurance with limits no less than $1,000,000 each occurrence,
$2,000,000 general aggregate and $2,000,000 products -completed operations aggregate
limit. Commercial General Liability insurance shall be as least at broad as ISO occurrence
form CG 00 01 and shall cover liability arising from premises, operations, independent
contractors, products -completed operations, stop gap liability, personal injury and advertising
injury, and liability assumed under an insured contract. The Commercial General Liability
insurance shall be endorsed to provide a per project general aggregate limit using ISO form
CG 25 03 05 09 or an equivalent endorsement. There shall be no exclusion for liability arising
from explosion, collapse or underground property damage. The City shall be named as an
additional insured under the Contractor's Commercial General Liability insurance policy with
respect to the work performed for the City using ISO Additional Insured endorsement CG 20
10 10 01 and Additional Insured -Completed Operations endorsement CG 20 37 10 01 or
substitute endorsements providing at least as broad coverage.
3. Workers' Compensation coverage as required by the Industrial Insurance laws of the State of
Washington.
CA Revised December 2016
Page 2 of 4
B. Other Insurance Provision. The Contractor's Automobile Liability and Commercial General
Liability insurance policies are to contain, or be endorsed to contain that they shall be primary
insurance with respect to the City. Any insurance, self-insurance, or insurance pool coverage
maintained by the City shall be excess of the Contractor's insurance and shall not contribute with
it.
C. Acceptability of Insurers. Insurance is to be placed with insurers with a current A.M. Best rating
of not less than A: VII.
D. Verification of Coverage. Contractor shall furnish the City with original certificates and a copy of
the amendatory endorsements, including but not necessarily limited to the additional insured
endorsement, evidencing the insurance requirements of the Contractor before commencement of
the work. Upon request by the City, the Contractor shall furnish certified copies of all required
insurance policies, including endorsements, required in this Agreement and evidence of all
subcontractors' coverage.
E. Subcontractors. The Contractor shall have sole responsibility for determining the insurance
coverage and limits required, if any, to be obtained by subcontractors, which determination shall
be made in accordance with reasonable and prudent business practices.
F. Notice of Cancellation. The Contractor shall provide the City and all Additional Insureds for this
work with written notice of any policy cancellation, within two business days of their receipt of
such notice.
G. Failure to Maintain Insurance. Failure on the part of the Contractor to maintain the insurance
as required shall constitute a material breach of contract, upon which the City may, after giving
five business days notice to the Contractor to correct the breach, immediately terminate the
contract or, at its discretion, procure or renew such insurance and pay any and all premiums in
connection therewith, with any sums so expended to be repaid to the City on demand, or at the
sole discretion of the City, offset against funds due the Contractor from the City.
8. Record Keeping and Reporting.
A. The Contractor shall maintain accounts and records, including personnel, property, financial and
programmatic records which sufficiently and properly reflect all direct and indirect costs of any
nature expended and services performed in the performance of this Agreement and other such
records as may be deemed necessary by the City to ensure the performance of this Agreement.
B. These records shall be maintained for a period of seven (7) years after termination hereof unless
permission to destroy them is granted by the office of the archivist in accordance with RCW
Chapter 40.14 and by the City.
9. Audits and Inspections. The records and documents with respect to all matters covered by this
Agreement shall be subject at all times to reasonable inspection, review or audit by law during the
performance of this Agreement.
10. Termination. This Agreement may at any time be terminated by the City giving to the Contractor
thirty (30) days written notice of the City's intention to terminate the same. Failure to provide
products on schedule may result in contract termination. If the Contractor's insurance coverage is
canceled for any reason, the City shall have the right to terminate this Agreement immediately.
11. Discrimination Prohibited. The Consultant, with regard to the work performed by it under this
Agreement, will not discriminate on the grounds of race, religion, creed, color, national origin, age,
veteran status, sex, sexual orientation, gender identity, marital status, political affiliation, the
presence of any disability, or any other protected class status under state or federal law, in the
selection and retention of employees or procurement of materials or supplies.
CA Revised December 2016
Page 3 of 4
12. Assignment and Subcontract. The Contractor shall not assign or subcontract any portion of the
services contemplated by this Agreement without the written consent of the City.
13. Entire Agreement; Modification. This Agreement, together with attachments or addenda,
represents the entire and integrated Agreement between the City and the Contractor and supersedes
all prior negotiations, representations, or agreements written or oral. No amendment or modification
of this Agreement shall be of any force or effect unless it is in writing and signed by the parties.
14. Severability and Survival. If any term, condition or provision of this Agreement is declared void or
unenforceable or limited in its application or effect, such event shall not affect any other provisions
hereof and all other provisions shall remain fully enforceable. The provisions of this Agreement,
which by their sense and context are reasonably intended to survive the completion, expiration or
cancellation of this Agreement, shall survive termination of this Agreement.
15. Notices. Notices to the City of Tukwila shall be sent to the following address:
City Clerk, City of Tukwila
6200 Southcenter Blvd.
Tukwila, Washington 98188
Notices to the Contractor shall be sent to the address provided by the Contractor upon the
signature line below.
16. Applicable Law; Venue; Attorney's Fees. This Agreement shall be governed by and construed in
accordance with the laws of the State of Washington. In the event any suit, arbitration, or other
proceeding is instituted to enforce any term of this Agreement, the parties specifically understand and
agree that venue shall be properly laid in King County, Washington. The prevailing party in any such
action shall be entitled to its attorney's fees and costs of suit.
DATED this day of , 20_
CITY OF TUKWILA CONTRACTOR
Allan Ekberg, Mayor
ATTEST/AUTHENTICATED:
City Clerk, Christy O'Flaherty
APPROVED AS TO FORM:
Office of the City Attorney
in
Printed Name and Title:
Address:
CA Revised December 2016
0
Page 4 of 4
compensation
Uonnections°
Compensation Connections LLC
8830 Norman Ave SE
Snoqualmie, WA 98065
February 21, 2020
City of Tukwila
Attn: Juan Padilla, Human Resources Director
6200 Southcenter Blvd.
Tukwila, WA 98188
Subject: Request for Proposal
Market Based Classification & Compensation System
Compensation Connections LLC is pleased to respond to the City of Tukwila's request for
proposal, Market Based Classification & Compensation System. We understand the priorities for
the classification and compensation market study to be:
• Develop a comprehensive market -based compensation plan that aligns with Council -
adopted policy for non -represented positions based on objective analysis.
• Perform job audits of 38 non -represented positions, complete an FLSA assessment for all
included positions, and draft up-to-date class specifications.
• Complete a custom compensation survey of comparable jurisdictions as defined by City
of Tukwila Resolution #1951 Sec. 1.B.1.
• Complete a market compensation study using published survey data.
• Complete a pay equity analysis for employees in the 38 non -represented positions.
• Create an appeals process, job audit and evaluation tools, and guiding documents.
• Prepare a comprehensive written report and findings presentation to be given to the
Admin Team, Mayor, City Administrator, and City Council.
compensation City of Tukwila I February 21, 2020 P a g e
Cl i
66nections
RFP Market Based Classification &Compensation System 87
Thank you for giving us the opportunity to respond to your RFP. On the following pages you will
find:
• A more detailed description of our approach to the scope of work, qualifications,
experience and capabilities pertaining to classification and compensation studies, and
relevant experience pertaining to public sector compensation work.
• A detailed and itemized fee schedule for the non -represented classification and
compensation system project and a potential market survey of Teamster's
Administrative/Technical positions.
• A listing of all consulting staff to be assigned to this project including biographies and
experience, and lead consultant contact information.
• A list of public sector references.
Please let us know if we may answer any questions or provide additional information.
Sincerely,
Nancy Kasmar, MS, SPHR, SHRM-SCP, CCP
Principal, Compensation Connections LLC
nancyk@compensationconnections.com
206-946-8056 (office); 425-591-4539 (cell)
�ompensotlon City of Tukwila I February 21, 2020 P a e 2
(_,onnections g I
88 RFP Market Based Classification & Compensation System
Request for Proposal
Market Based Classification & Compensation System
Current Situation
Incorporated in 1908, Tukwila has grown from a hazelnut -filled forest, to an agricultural and
transportation center, to a dynamic suburb with the largest retail mall in the Pacific Northwest.
A city where over 47,000 employees work and 150,000 travelers pass through daily. The City of
Tukwila (the City) employs 330 fulltime employees and 90 temporary employees to provide
Community Development, Fire, Municipal Court, Police, Parks & Recreation, and Public Works
services.
For more than twenty years the City has used the Decision Band Method® for job classification
and compensation for non -represented positions. This system has posed challenges to
maintaining market competitiveness and the ability to benchmark certain jobs. Therefore, the
City desires to conduct a comprehensive review of the non -represented positions and move to a
market -based classification and compensation system.
Approach to the Scope of Work
Kick-off Meeting
We take a collaborative approach to projects, working closely with clients to ensure their needs
are met. We prefer to begin projects with a kick-off meeting with the project team to discuss the
deliverables, and timeline, as well as the City's relevant compensation program documents and
data. Consistent communication to update progress and clarify expectations is vital to a
successful project. We take the time to understand how the project fits into the City's long range
goals.
On -going Communication
To facilitate our partnership on this project, we suggest regular update meetings with the Human
Resources staff and management team. Additional working sessions or meetings to review work
product will be scheduled as needed.
Job Audit and Class Specifications
We will meet with the human resources team to discuss the process to be followed in updating
the class specifications. In this meeting, we will clarify expectations, discuss logistics, review the
proposed timeline, and further define the work to be performed. A draft job classification format
C6compensation City of Tukwila I February 21, 2020 P a g e 13
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RFP Market Based Classification &Compensation System 89
will be created and reviewed with the project team. After approval, we will create a job
classification format for each job level within the organization. We will review all job
classifications provided by the City of Tukwila, then use data collection instruments
(questionnaires, etc.) to ensure a full understanding of the work being performed in each job.
This analysis may include interviews with incumbents and/or supervisors. These interviews will
follow a set of questions developed in consultation with the City. Interviews will be thoroughly
documented. Jobs will be evaluated to determine FLSA status and recommendations will be
included in the updated job classification, provided in the agreed upon standard format.
Custom Compensation Survey
Using the City's compensation philosophy and an approved list of comparable jurisdictions
(Resolution #1951 Sec. 1.13.1) as a foundation, we will design and administer a custom
compensation survey for up to 38 of the City's non -represented positions. Position summaries
will be created from the updated classification descriptions and approved for use prior to the
survey launch. Compensation data submitted by survey participants will be compiled, analyzed
and reported to the City. A separate report will be prepared and distributed to participating
organizations.
Compensation Survey and Salary Structure Recommendations
Local and regional compensation data will be collected from published salary surveys as part of
the project. The market compensation study will be conducted simultaneously with the custom
compensation survey for the non -represented positions. The published survey data will be
combined with data from the custom survey to update the existing salary structure to ensure it
reflects current market conditions for the included jobs and accounts for internal equity. An
analysis will then be performed, comparing employees' current base pay to the market -based
salary ranges. Recommendations for placement within the updated salary range for each
employee will be based on the experience, job performance, and qualifications of each
incumbent.
After a careful review of the City's compensation strategy and program, we would offer
recommendations for modifications that are consistent with the City's practices and meet its
needs related to internal equity and external market competitiveness. This may result in
recommended changes to current compensation practices, pay structure and job hierarchy.
Pay Equity Analysis
We suggest that the pay equity analysis be completed under the supervision of an employment
law attorney to maintain attorney -client privilege. Working with the attorney, we will conduct a
pay equity study to review pay across multiple dimensions to determine if any systemic pay issues
exist within the organization. We will analyze employee pay by job, identifying potential
inequities between employees performing similar work. Our report for this assessment will
include both display and narrative analysis describing the findings and the identified reasons for
any potential pay equity issues. We will include any possible budget impact to adjust employee
pay in resolution of the identified pay issues.
cssompensation City of Tukwila I February 21, 2020 P a g e la
(.,onnection
90 RFP Market Based Classification &Compensation System
Appeals Process
14
Working closely with the project team, we will review the current non -represented employee
compensation appeals process and recommend potential modifications related to this project.
Once the appeals process is finalized, we will help communicate it to employees and assist in
implementing the process (facilitating meetings and/or reviewing appeals requests, etc.). We will
develop written responses for each appeal and meet with non -represented employees to discuss,
as needed.
Market -Based Compensation Plan
As part of the market -based compensation plan, we will research the prevalence and
effectiveness of merit pay, performance pay and/or incentive pay in the public sector. We will
then meet with the project team to discuss our findings. We will also include our findings and
recommendations regarding implementing this type of pay program at the City to attract,
reward, and retain employees.
Once the modified classification system and salary structure has been approved, we will work
with the internal team and selected staff members comprising a "classification committee" to
train them in the use of the new classification system and documentation.
Communications and Presentations
We believe our clients achieve the best results through a partnership that integrates their
mission, values, and culture in all aspects of the project. Our working style emphasizes
collaboration and communication. Meetings will be scheduled regularly to discuss the process
and project progress. Nearing the conclusion of the project, the findings, recommendations, and
anticipated costs will be presented to City leadership. As part of the implementation
recommendations, an electronic pay scale grid will be prepared for all jobs included in the
compensation review, based on the survey data and job slotting for each position. A dashboard
for determining the fiscal impact of the City's proposed salary recommendations will be included
for implementing the changes and ongoing pay administration. These tools can be used to help
maintain equity, parity, and market competitiveness.
Optional Market Compensation Study — Represented Positions
Market compensation data for represented positions may be requested by the City as part of the
project. Should the decision be made to include this published survey data, pricing for an optional
market compensation study is included with the proposed project budget below. The optional
market study can be conducted simultaneously with the other project work. The City's role would
be to review job matches and meet with the consultant to discuss preliminary findings and
recommendations.
ecssompensation City of Tukwila I February 21, 2020 P a g e 15
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RFP Market Based Classification &Compensation System 91
Qualifications and Experience
14
Compensation Connections is a Seattle -area consulting firm advising organizations in matters
related to total rewards. The firm is owned by Nancy Kasmar and Shannon Drohman, who started
the business in 2014. Our team also includes eight staff members who serve as consultants or
analysts. We have the capacity to conduct this scope of work.
Ourteam has almost 200 years of collective experience in HR and total rewards. We have assisted
hundreds of organizations with the overall design of compensation and rewards programs, job
analysis, job descriptions, FLSA assessment, custom pay surveys, benchmarking studies,
classification systems, internal job evaluation, development or revision of pay structures,
incentive plans, performance management systems, competency creation, employee impact
analysis, and implementation support.
We have worked with many local public sector or quasi -governmental employers, such as
Tacoma Housing Authority, Everett Housing Authority, City of Seattle, City of Bellevue, City of
Lake Forest Park, Washington State Convention Center, Meydenbauer Center, Lynnwood
Convention Center, Seattle Public Library, Seattle Public Schools, Puget Sound Education Service
District, and Woodland Park Zoo.
Projects that reflect our public sector experience related to the City of Tukwila's RFP include:
• Working with a local city to create a new classification and compensation system
for hundreds of represented employees. The project involved custom surveys,
market pricing using published survey data, classification system design, pay
structure design, impact analysis, and collaboration with the union.
• Working with a local housing authority to provide current market information for
base pay and benefits, utilizing a custom survey and published survey data, for
represented and non -represented positions.
• Working with a local city to perform job analysis, including approximately 100
employee and supervisor interviews that resulted in 25 updated classification
classifications.
• Working with a local convention center to develop a compensation philosophy,
conduct a custom pay survey, market price jobs using published survey data,
create a job level guide, and update pay structures.
• Working with a local city to review and revise job classifications, complete a
custom survey including pay and benefits, conduct a base pay market study,
update pay structures, and perform an impact analysis.
cssompensation City of Tukwila I February 21, 2020 P a g e 15
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92 RFP Market Based Classification &Compensation System
Request for Proposal
Market Based Classification & Compensation System
Fee Schedule
The fee schedule has been presented in the order in which we believe the work should be
completed. This estimate is based on a rate of $220 per hour.
Market -Based Classification & Compensation System
Job Audit / Class Specifications / FLSA Assessment Hours Cost
Weeks
Prepare for and meet with internal project team to discuss task
6
$1,320
1
Create draft classification specification document for client review
6
$1,320
1
Prepare for and meet with internal project team to review draft
6
$1,320
1
Revise draft class specification document as needed
6
$1,320
-
Build level versions of documents (salary, hourly, office)
6
$1,320
1
Update current class specifications
76
$16,720
6
Prepare guidelines for updating and revising class specifications
12
$2,640
1
Perform FLSA assessment for all classification descriptions
38
$8,360
4
Prepare for and meet with internal project team to review task deliverables
6
$1,320
1
Weekly calls/meetings to review progress
8
$1,760
-
Project management
10
$2,200
-
Total - Class Specifications / FLSA Assessment
180
$39,600
16
Custom Compensation Survey - Comparable Jurisdictions
Hours
Cost
Weeks
Use of Qualtrics survey platform
-
$2,000
-
Survey discussion
4
$880
1
Research peer group / determine participants
8
$1,760
1
Write survey job summaries
19
$4,180
1
Survey design and set up
8
$1,760
1
Participant communications / data collection
16
$3,520
3
Data compilation and cleaning
8
$1,760
1
Design and produce participant report
12
$2,640
1
Total - Custom Compensation Survey - Comparable Jurisdictions
75
$18,500
9
ecssompensation City of Tukwila I February 21, 2020 P a g e 17
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RFP Market Based Classification &Compensation System 93
Market Compensation Study and Salary Structures
Hours
Cost
Weeks
Compensation Philosophy Discussion
1
$220
1
Market Pricing - Base Pay (38 jobs)
38
$8,360
4
Review/revise market -based salary structure
8
$1,760
1
Review/create job worth hierarchy
8
$1,760
-
Make pay recommendations for employees
4
$880
1
Meetings/discussion re: incentive plan goals and options
4
$880
1
Prepare Presentation / Review Results
8
$1,760
1
Conduct communications sessions for Admin Team (2 meetings)
8
$1,760
1
Conduct communications sessions for Managers (2 meetings)
8
$1,760
1
Conduct communications sessions for Supervisors (2 meetings)
8
$1,760
1
Conduct communications sessions for City Council (2 meetings)
8
$1,760
1
Conduct communications sessions for Employees (3 meetings)
12
$2,640
1
Weekly calls/meetings to review progress
8
$1,760
-
Project management
10
$2,200
-
Total - Market Compensation Study
133
$29,260
14
Pay Equity Analysis
Hours
Cost
Weeks
Kick-off discussion with client and attorney
2
$440
-
Data collection and cleaning
4
$880
1
Tableau analysis
16
$3,520
2
Regression analysis
16
$3,520
2
Prepare results
8
$1,760
1
Review analysis and recommendations with client and attorney
4
$880
1
Prepare final report
4
$880
1
Total - Pay Equity Analysis
54
$11,880
8
Appeals Process
Hours
Cost
Weeks
Create appeals process for non -represented employees
8
$1,760
1
Conduct appeals process / provide written response to appeals
32
$7,040
2
Meet with non -represented staff to review results
16
$3,520
2
Total -Appeals Process
56
$12,320
5
compensation City of Tukwila I February 21, 2020 P a g e I$
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94 RFP Market Based Classification &Compensation System
Job Audit / Evaluation Tools and Guidance
Hours
Cost
Weeks
Prepare Job audit and evaluation tools for use by client
8
$1,760
1
Prepare for and meet with internal project team to discuss job audit and
evaluation tools
8
$1,760
1
Revise job audit and evaluation tools as needed after meeting
4
$880
1
Total - Job Audit / Evaluation Tools and Guidance
20
$4,400
3
Results Presentations / Comprehensive Written Report
Hours
Cost
Weeks
Document prep to present deliverables
4
$880
1
Prepare comprehensive written report and presentation materials
12
$2,640
1
Findings presentation - Admin Team
4
$880
1
Findings presentation - Mayor, City Administrator, City Council
8
$1,760
1
Total - Results Presentations / Comprehensive Written Report
28
$6,160
4
Market -Based Classification & Compensation•
1
CompensationJL Optional Market Compensation Study - Represented
Market • Position
Market Pricing - Base Pay (38 jobs)
Positions
38 $8,360 4
Review/revise market -based salary structure
8
$1,760
1
Review/create job worth hierarchy
8
$1,760
1
Make pay recommendations for employees
2
$440
1
Prepare presentation / review results
8
$1,760
1
Weekly calls/meetings to review progress
6
$1,320
-
Project management
10
$2,200
-
Conduct communications sessions for Admin Team (2 meetings)
8
$1,760
2
Conduct communications sessions for Managers (2 meetings)
8
$1,760
1
Conduct communications sessions for Supervisors (2 meetings)
8
$1,760
1
Conduct communications sessions for City Council (2 meetings)
8
$1,760
1
Conduct communications sessions with Representatives (3 meetings)
12
$2,640
3
Total - Market Compensation Study - Teamster's Positions
124
$27,280
16
Note: The Optional Market Compensation Study — Represented Positions could run concurrent
with the other project work and not affect the overall project timeline.
om ensation g
`@CtIOnS° City of Tukwila I February 21, 2020 P a e e
Onn
RFP Market Based Classification & Compensation System 95
Request for Proposal
Market Based Classification & Compensation System
Key Personnel Qualifications and Experience
Consultant Lead
Nancy Kasmar, MS, SPHR, SHRM-SCP, CCP
Principal, Compensation Connections LLC
nancyk@compensationconnections.com
206-946-8056 (office); 425-591-4539 (cell)
Resumes and Key Personnel
Nancy Kasmar, Principal with the firm, will act as the project manager for the work with City of
Tukwila. Jacqui Demrose, Erin Wolford, Jackie Bindon, Jo Lingenfelter, and Steve Tiegs will act as
consultants and analysts. We have included their resumes below.
Nancy Kasmar, MS, SPHR, CCP, SHRM-SCP
RELEVANT EXPERIENCE
• Compensation Connections, LLC — Principal, 2014 to present
• Washington Employers — Manager, Compensation & Benefits Consulting & Surveys,
2011 - 2013
• PayScale Inc — Implementation Support Manager, 2008 - 2011
• PumpTech Inc — Human Resources Manager, 2006 - 2008
EDUCATION
• Certificate in Management, University of California, San Diego, CA
• Master of Science Degree, University of California, San Francisco, CA
• Bachelor of Science Degree, California State University, Hayward, CA
PROFESSIONAL DESIGNATIONS
• SHRM-SCP Certification through the Society for Human Resource Management (SHRM)
• CCP (Certified Compensation Professional) Certification through WorldatWork
• SPHR Certification through HRCI
cssompensation City of Tukwila I February 21, 2020 page lio
(,onnection
96 RFP Market Based Classification &Compensation System
ASSOCIATION MEMBERSHIPS
• Member, Society for Human Resource Management (SHRM) and Lake Washington Human
Resource Association (LWHRA)
• Member, WorldatWork and Northwest Compensation & Rewards Forum
VOLUNTEER ACTIVITIES
• Washington State SHRM Past Director, 2019 - 2020; Director, 2018; Director -Elect, 2017
• Washington State SHRM Certification Director, 2015 - 2016, and 2020
• Lake Washington Human Resource Association Past President, 2015, President, 2014;
President -Elect, 2013
• Lake Washington Human Resource Association Mentorship Committee Chair, 2010 - 2012
Jacqui Demrose, SPHR, SHRM-SCP, CCP, GRP
RELEVANT EXPERIENCE
• Compensation Connections — Senior Consultant, 2018 to present
• Esterline — Senior Global Compensation Analyst, 2014 - 2018
• Puget Sound Energy — Senior Compensation Analyst, 2009 - 2014
• Independent Consultant —Working with Corbis and Jesse Consulting, 2009
• Korry Electronics — Manager, Compensation & Benefits, 2005 - 2008
EDUCATION
• Bachelor of Arts in Hotel, Restaurant & Institutional Management, Michigan State University
PROFESSIONAL DESIGNATIONS
• Certified Compensation Professional (CCP)
• Global Remuneration Professional (GRP)
• Senior Professional in Human Resources (SPHR)
• Senior Certified HR Professional (SHRM-SCP)
ASSOCIATION MEMBERSHIPS
• Member, Society for Human Resource Management and Lake Washington Human Resource
Association
• Member, World at Work and Northwest Compensation & Rewards Forum
VOLUNTEER ACTIVITIES
• Board Member, Northwest Compensation and Rewards Forum, 2017 to present
,ompensation City of Tukwila I February 21, 2020 P a e JUL
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RFP Market Based Classification & Compensation System 97
Erin Wolford, CCP, SHRM-SCP, SPHR
RELEVANT EXPERIENCE
• Compensation Connections —Consultant, 2016 to present
• Archbright — Human Resources Consultant, 2012 - 2016
• Amp Orthopedics — Human Resources Manager & Compliance Director, 2011 - 2012
• InjuryFree — Human Resources Manager, 2009 - 2011
• Pacific Orthopedics — Human Resources & Corporate Compliance Manager, 2006 - 2009
EDUCATION
• Bachelor of Arts in Comparative Ethnic Studies, Washington State University
• Certificate in Human Resource Management, Bellevue College
PROFESSIONAL DESIGNATIONS
• Certified Compensation Professional (CCP)
• Society of Human Resource Management, Senior Certified Professional (SHRM- SCP)
• Senior Professional in Human Resources (SPHR)
Iq
ASSOCIATION MEMBERSHIPS
• Member, Society for Human Resource Management and Lake Washington Human Resource
Association
• Member, World at Work and Northwest Compensation & Rewards Forum
VOLUNTEER ACTIVITIES
• Mentor, Lake Washington Human Resource Association, Mentorship Program, 2012 - 2013
Jackie Bindon, SHRM-SCP
RELEVANT EXPERIENCE
• Compensation Connections — Senior Consultant, 2016 to present
• Compensation Works — Consultant, 2013 - 2014
• JB Consulting — Independent consultant working with FUJIFILM SonoSite, Ebay, Marin
Software, eSilicon, Tune and others, 2000 - 2016
• Amdahl Corporation — Senior Compensation Analyst, 1998 - 1999
• Hitachi Micro Systems —Various HR management roles, 1988 - 1998
ASSOCIATION MEMBERSHIPS
• Member, Society for Human Resource Management and Lake Washington Human Resource
Association
• Member, World at Work and Northwest Compensation & Rewards Forum
compensation City of Tukwila I February 21, 2020 P a g e 112
Connections°
9° RFP Market Based Classification &Compensation System
Jo Lingenfelter, SHRM-SCP
RELEVANT EXPERIENCE
• Compensation Connections — Senior Consultant, 2018 to present
• T-Mobile — Senior Manager, HR Business Partner, 2012 - 2017
• Radia Inc., P.S. — Human Resources Manager, 2009 - 2012
• Genie Industries — Human Resources Manager, 2005 - 2009
• Wells Fargo — Human Resources Consultant (Business Partner), 1995 - 2005
EDUCATION
• Master of Science in Human Resource Management, Chapman University
• Bachelor of Science in Accounting, California State University -Long Beach
PROFESSIONAL DESIGNATIONS
• SHRM-SCP Certification through the Society for Human Resource Management (SHRM)
Iq
ASSOCIATION MEMBERSHIPS
• Member, Society for Human Resource Management and Lake Washington Human Resource
Association
• Member, World at Work and Northwest Compensation & Rewards Forum
Steve Tiegs
RELEVANT EXPERIENCE
• Compensation Connections — Analyst, 2018 to present
EDUCATION
• Human Resources Management Certificate, University of Washington - Tacoma
• Bachelor of Arts, Western Washington University
ASSOCIATION MEMBERSHIPS
• Member, Society for Human Resource Management and Lake Washington Human Resource
Association
• Member, World at Work and Northwest Compensation & Rewards Forum
compensation City of Tukwila I February 21, 2020 P a g e 113
f;,,onnections°
RFP Market Based Classification &Compensation System
••
Request for Proposal
Market Based Classification & Compensation System
References
The references listed below reflect work like that described in the City of Tukwila's RFP.
Client Name: City of Seattle
Projects: Custom surveys, compensation program design including pay structures,
market pricing
Date of Service: 2016 — 2019
Contact: Alaina Goodman, Compensation/Classification Supervisor
Email: alaina.goodman@seattle.gov
Phone: 206-233-7841
Client Name:
Tacoma Housing Authority
Projects:
Custom survey, market pricing, pay structures
Date of Service:
2018
Contact:
Barbara Tanbara, HR Manager
Email:
btanbara@tacomahousing.org
Phone:
253-207-4422
Client: Everett Housing Authority
Projects: Market pricing, pay structures
Date of Service: 2018 — 2019
Contact: Ashley Lommers-Johnson, Executive Director
Email: ashleyflj@evha.org
Phone: 425-258-9222
Client: City of Lake Forest Park
Projects: Custom salary and benefits survey, market pricing, pay structure
Date of Service: 2016
Contact: Lee Aalund, Administrative Services Manager
Email: laalund@ci.lake-forest-park.wa.us
Phone: 206-957-2806
Additional references available upon request.
Please note that this proposal is valid for SIXTY days. Should you choose to accept this proposal
after this period, we reserve the right to adjust the schedule and/or budget.
(;ompensation City of Tukwila I February 21, 2020 P a g e 114
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100 RFP Market Based Classification & Compensation System