SR-604-001
PERSONNEL:KB:LR:F:\PERSON\MISC\COUNCIL\STAFFRPT\COUNCI42
Council Meeting: February 27, 2001 Santa Monica, California
TO: Mayor and City Council
FROM: City Staff
SUBJECT: Recommendation to Authorize City Manager to Negotiate and Execute an
Agreement with Hay Management Consultants to Provide Classification
and Compensation Consulting Services
INTRODUCTION
This report recommends that the City Council authorize the City Manager to negotiate and
execute a contract for classification and compensation consulting services from Hay
Management Consultants for an amount not to exceed $30,000 in each of Fiscal Years
2000-2001 through 2002-2003.
BACKGROUND
The City contracted with Hay Management Consultants for classification and
compensation consulting services for management and information technology
classifications in 1998. The firm was chosen through a competitive process and was
selected based on its range of services and expertise in the area of public sector
compensation. The various classifications and compensation were reviewed and changes
recommended by Hay Management Consultants were implemented during FY99-00.
DISCUSSION
1
From time to time full-service classification and compensation consulting services will be
required, including reviewing classification documentation; interviewing incumbents and/or
department managers; evaluating classifications; providing compensation data; providing
training to City Personnel employees in the process of job measurement; and advising the
City Manager and the Director of Personnel on the administration of the classification
compensation plans.
BUDGET/FINANCIAL IMPACT
Funds for this year are available in account number 01274.555060. The services will be
billed as they are required and are not to exceed $30,000 per fiscal year. In future fiscal
years, funds for this contract will be included in the budget at the same amount.
RECOMMENDATION
It is recommended that the City Council authorize the City manager to negotiate and
execute a contract for classification and compensation services from Hay Management
Consultants in an amount not to exceed $90,000 for FY00-01, FY01-02 and FY02-03.
Prepared by: Karen Bancroft, Director of Personnel
2