Loading...
SR 11-14-2023 5D City Council Report City Council Meeting: November 14, 2023 Agenda Item: 5.D 1 of 5 To: Mayor and City Council From: Oles Gordeev, Acting Director of Human Resources, Human Resources Department Subject: Award Request for Proposal to CPS Consulting, Koff and Associates, Inc., and Sloan Sakai Yeung & Wong for As-Needed Classification and Compensation Services Recommended Action Staff recommends that the City Council: 1. Adopt a finding of no possibility of significant effect pursuant to Section 15061(b)(3) (Common Sense Exemption) of the California Environmental Quality Act (CEQA) Guidelines; 2. Award RFP #362 to CPS Consulting, Koff and Associates, Inc., and Sloan Sakai Yeung & Wong LLP for classification and compensation services on an as- needed basis for the Human Resources Department; 3. Authorize the City Manager to negotiate and execute an agreement with CPS Consulting, Koff and Associates, Inc, and Sloan Sakai Yeung & Wong LLP for classification and compensation services on an as-needed basis, for a total aggregate amount for the three agreements, not to exceed $2,000,000 over a five-year period, with future year funding contingent on Council budget approval. Summary The Human Resources Department (HR) is requesting Council approval to execute three agreements for as-needed classification and compensation services to address the anticipated increase in workload associated with staffing changes; help meet statutory and negotiated Memorandum of Understanding (MOU) requirements; and support ongoing operational needs associated with maintaining the City’s classification and pay plans, including the administration of position classification and compensation studies. Additionally, such services would better enable the City to be responsive to a 5.D Packet Pg. 46 2 of 5 previous Moss Adams audit recommendation related to the maintenance of the classification plan. The use of these as-needed services varies on an annual basis; therefore, HR seeks approval to enter into agreements with three firms to ensure appropriate resources are in place to conduct such work as the need arises. The projected aggregate not to exceed amount of the services would not exceed $2,000,000 over a five-year period. The services would be paid for with existing budget in Human Resources Department and by other departments depending on the work required. Discussion Human Resources oversees the regular maintenance of classification and pay plans to ensure employees are paid appropriately for the work performed and to provide for the effective recruitment and retention of a qualified workforce. Additionally, regular maintenance helps ensure compliance with associated Charter and Municipal Code requirements, union agreements, and other regulations, thereby reducing the risk of potential legal and labor-related challenges. The City is anticipating an increase in classification and compensation work over the next five years as City leadership looks to review and modify organizational structures, update outdated classification specifications prior to initiating recruitments, address an increased demand for compensation studies initiated by employees and management, and be responsive to audit recommendations associated with the maintenance of the classification plan. 5.D Packet Pg. 47 3 of 5 As departmental needs arise, requests for these services are made through the Human Resources Department which is responsible for overseeing the work, and the Human Resources Department ensures appropriate resources are in place to conduct such work. Should Human Resources staff be unable to complete the work due to competing priorities, staff will work with the requesting department to assess the need and select from the list of pre-approved vendors/consulting agencies to fulfill the solicitation. Before engaging with vendors, Human Resources will have partnered with requesting departments for approval to pay for these services from their existing departmental budgets provided Human Resources cannot cover the expense. Staff prepared and posted an RFP that detailed the City’s requirements for the associated work. The City received five proposals from which three firms were selected in consideration of their expertise and ability to deliver the level of services that may be required of the City. Vendor Selection Bidder Recommendation Best Qualified Person/Firm CPS Consulting; Koff and Associates, Inc; and Sloan Sakai Yeung & Wong LLP Evaluation Criteria Experience, value add/breadth of service, cost, presentation/demonstration, and project team. Municipal Code SMMC 2.24.190 RFPs Received CPS Consulting John Braden-Kaneski Koff and Associates, Inc Sloan Sakai Yeung & Wong LLP Transformance Consulting RFP Data Posted On Posted On Advertised In (City Charter & SMMC) Vendors Downloaded Date Publicly Opened 5.D Packet Pg. 48 4 of 5 05/08/2023 City’s Online Bidding Site Santa Monica Daily Press 22 05/22/2023 Justification to Award Staff evaluated proposals from the five firms. Based on the evaluation criteria, including prior successful projects completed by the firms, their ability to meet the City’s specific needs, and criteria in SMMC 2.24.190, staff recommends CPS Consulting, Koff and Associates, Inc, and Sloan Sakai Yeung & Wong LLP as the best qualified firms to provide as-needed classification and compensation services based on experience, value added/breadth of service, cost, presentation/demonstration, and project team. Having three vendors to work with will allow for the City to assign projects in consideration of projected cost, familiarity with the area being assessed, and availability. Environmental Impact The agreement for ongoing classification and compensation services is exempt pursuant to Section 15061(b)(3) (Common Sense Exemption) of the California Environmental Quality Act (CEQA) Guidelines, which states that CEQA does not apply, where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment. The agreement would provide administrative services to the City and would not result in physical effects. Therefore, it can be seen with certainty that the contract would not result in adverse physical impacts on the environment, and as such, is exempt from CEQA. Financial Impacts and Budget Actions 5.D Packet Pg. 49 5 of 5 Staff seeks authority to approve funding from the General Fund and various other funds to award agreements with CPS Consulting, Koff and Associates, Inc, and Sloan Sakai Yeung & Wong LLP for classification and compensation services in an aggregate amount not to exceed $2,000,000 for all three agreements. The firms understand that the agreements are for as-needed services, not committed expenses, designed to allow the City to be responsive to legal and operational needs. The costs of the services will be covered using existing budgeted funds within the requesting departments and the Human Resources budget. Contract Request FY 2023/24 Budget Amount Future Year Amount Department Account # Total Contract Amount  $400,000 $1,600,000 01130002.552010 and various department accounts as needed $2,000,000 Future year funding is contingent on Council budget approval. Prepared By: Sasha Sargent, Executive Administrative Assistant Approved Forwarded to Council Attachments: A. Gallagher Benefit Services, Inc- OAKS B. Sloan Sakai Yeung & Wong- OAKS C. CPS HR Consulting- OAKS 5.D Packet Pg. 50 CITY OF SANTA MONICA OAKS INITIATIVE DISCLOSURE FORM In order to facilitate compliance with the requirements of the Oaks Initiative, the City compiles and maintains certain information. That information includes the name of any person or persons who is seeking a “public benefit.” If the “public benefit” is sought by an entity, rather than an individual person, the information includes the name of every person who is: (a) trustee, (b) director, (c) partner, (d) officer, or has (e) more than a ten percent interest in the entity. Public benefits include: 1.Personal services contracts in excess of $25,000 over any 12-month period; 2.Sale of material, equipment or supplies to the City in excess of $25,000 over a 12- month period; 3.Purchase, sale or lease of real property to or from the City in excess of $25,000 over a 12- month period; 4.Non-competitive franchise awards with gross revenue of $50,000 or more in any 12-month period; 5.Land use variance, special use permit, or other exception to an established land use plan, where the decision has a value in excess of $25,000; 6.Tax “abatement, exception, or benefit” of a value in excess of $5,000 in any 12- month period; or 7.Payment of “cash or specie” of a net value to the recipient of $10,000 in any 12- month period. Name(s) of persons or entities receiving public benefit: Name(s) of trustees, directors, partners, and officers: Name(s) of persons with more than a 10% equity, participation, or revenue interest: Prepared by: ____________________________Title: __________________________ Signature: ______________________________________ Date: ________________ Email: ____________________________________ Phone: ____________________ FOR CITY USE ONLY: Bid/PO/Contract # ____________________________ Permit # ___________________________ We have provided our list of corporate officers on the next pages. Frank Rojas Recruitment Manager 05/15/23 Frank_Rojas@ajg.com 510.495.0448 Gallagher Benefit Services, Inc. None. 5.D.a Packet Pg. 51 Attachment: Gallagher Benefit Services, Inc- OAKS (6029 : Consulting for As-Needed Classification and Compensation Services) Page 1 of 2 GALLAGHER BENEFIT SERVICES, INC. Delaware Entity Vitals Entity Name GALLAGHER BENEFIT SERVICES, INC. Domestic Jurisdiction Delaware Country United States Entity Type Corporation Formation Date 04-20-1999Federal Tax ID 36-4291971Status Active - Non DormantRegistered Agent Corporation Service Company Acronym GBSBusiness Group GBSBusiness Purpose Insurance Agency and BrokerageFiscal Year End December 31 Management Structure Management Name Title Title Role Caraher, John J. Director Director Ziebell, William F. Director Director Belmont, Thomas J. Jr. Executive Vice President Officer Caraher, John J. Executive Vice President and Chief Financial Officer Officer Cary, Richard C. Controller Officer Downing, James Chief Information Officer Officer Durkin, James W. Jr. Chairman Officer Figge, Fred Vice President Carrier Relationships Officer Gregory, Scott Executive Vice President Officer Hanes-Dowd, April J. Secretary Officer Hanner, Jerome S. Vice President Officer Hernandez, Anthony F. Chief Operating Officer Officer Hinton, Patricia E. Assistant Treasurer Officer Hinton, Patricia E. Vice President - Global Cash Management Officer Lannen, Thomas A. Executive Vice President Officer Lemenager, Leslie Vice President - International Officer McClary, Amy G. Vice President - Global Tax Officer Murray, James J. Jr. Executive Vice President Officer Nadeau, Christopher Executive Vice President Officer Neumaier, E. John Executive Vice President Officer O'Reilly, Elizabeth Vice President of Finance Officer Petry, Nita L. Executive Vice President Officer Reed, Jon Assistant Secretary Officer Riojas, Joe Vice President Officer Roberts, Jerry C. Division Vice President Officer Ryder, Jennifer Assistant Secretary Officer 5.D.a Packet Pg. 52 Attachment: Gallagher Benefit Services, Inc- OAKS (6029 : Consulting for As-Needed Classification and Page 2 of 2 Ryder, Jennifer Executive Vice President and General Counsel Officer Setlak, Stacy Vice President of Human Resources Officer Skirvin, Theodore A. II Treasurer Officer Tournet, John H. Executive Vice President Officer Van der Vliet, Russell Assistant Vice President of Tax Officer Walsh, Sara Assistant Treasurer Officer Wasnewsky, Justin P. Vice President Officer White, Robert Executive Vice President Officer Wilcoxon, Keith Executive Vice President Officer Ziebell, William F. President and Chief Executive Officer Officer Capital Structure - Non-Derivative Security Name Common Stock # Shares Authorized 1,000.0000 # Shares Issued 1,000.0000 Par Currency US Dollar Par Value 1.0000 Owners Ow ner Name Security Name Balance Percent Owned Arthur J. Gallagher (U.S.) LLC Common Stock 1,000.000000 100.000000 End of Entity Datasheet for GALLAGHER BENEFIT SERVICES, INC. End of Report hCue, Powering Good Corporate Governance - brought to you by CT Corporation © 2020 , a Wolters Kluwer company 5.D.a Packet Pg. 53 Attachment: Gallagher Benefit Services, Inc- OAKS (6029 : Consulting for As-Needed Classification and Ð.- ) l¡.tÈ llb¡h¡rl CITY OF SANTA MONICA OAKS INITIATIVE DISCLOSURE FORM ln order to facilitate compliance with the requirements of the Oaks lnitiative, the City compiles and maintains certain information. That information includes the name of any person or persons who is seeking a "public benefit." lf the "public benefit" is sought by an entity, rather than an individual person, the information includes the name of every person who is: (a) trustee, (b) director, (c) partner, (d) officer, or has (e) more than a ten percent interest in the entity. Public benefits include: 1. Personal services contracts in excess of $25,000 over any 12-month period;2. Sale of material, equipment or supplies to the City in excess of $25,000 over a 12- month period;3. Purchase, sale or lease of real property to or from the City in excess of $25,000 over a 12- month period;4. Non-competitive franchise awards with gross revenue of $50,000 or more in any 12-month period;5, Land use variance, special use permit, or other exception to an established land use plan, where the decision has a value in excess of $25,000;6. Tax "abatement, exception, or benefit" of a value in excess of $5,000 in any 1 2- month period; or 7 . Payment of "cash or specie" of a net value to the recipient of $10,000 in any '12- month period. Name(s) of persons or entities receiving public benefit: Slrau- 1âJa' 'loor<* Únr6 t14à Name(s) of trustees, directors, partners, and office Ur^r lcs Sa-L¿,*'s Tit,øftt'y-Y rDa*vz- lún ,l Name(s) of persons with more than a 10% equity, padicipation, or revenue interest: Prepared by:1r).1"\/t4 Signature Date Tl"l ¿o>z rS: \ ou-, ()",p4¿ç Sa+ait lî'n¿%Y*,a #Da-trr*-N^râ FOR CITY USE ONLY: Bid/PO/Contract #Permii # Email:@ one [,frr)îVt-+ u y 5.D.b Packet Pg. 54 Attachment: Sloan Sakai Yeung & Wong- OAKS (6029 : Consulting for As-Needed Classification and Compensation Services) CITY OF SANTA MONICA OAKS INITIATIVE NOTICE NOTICE TO APPLICANTS, BIDDERS, PROPOSERS AND OTHERS SEEKING DISCRETIONARY PERMITS, CONTRACTS, OR OTHER BENEFITS FROM THE CITY OF SANTA MONICA Santa Monica’s voters adopted a City Charter amendment commonly known as the Oaks Initiative. The Oaks Initiative requires the City to provide this notice and information about the Initiative’s requirements. You may obtain a full copy of the Initiative’s text from the City Clerk. This information is required by City Charter Article XXII—Taxpayer Protection. It prohibits a public official from receiving, and a person or entity from conferring, specified personal benefits or campaign advantages from a person or entity after the official votes, or otherwise takes official action, to award a “public benefit” to that person or entity. The prohibition applies within and outside of the geographical boundaries of Santa Monica. All persons or entities applying or receiving public benefits from the City of Santa Monica shall provide the names of trustees, directors, partners, and officers, and names of persons with more than a 10% equity, participation or revenue interest. An exception exists for persons serving in those capacities as volunteers, without compensation, for organizations exempt from income taxes under Section 501(c)(3), (4), or (6), of the Internal Revenue Code. However, this exception does not apply if the organization is a political committee or controls political committees. Examples of a “public benefit” include public contracts to provide goods or services worth more than $25,000 or a land use approval worth more than $25,000 over a 12- month period. In order to facilitate compliance with the requirements of the Oaks Initiative, the City compiles and maintains certain information. That information includes the name of any person or persons who is seeking a “public benefit.” If the “public benefit” is sought by an entity, rather than an individual person, the information includes the name of every person who is: (a) trustee, (b) director, (c) partner, (d) officer, or has (e) more than a ten percent interest in the entity. Therefore, if you are seeking a “public benefit” covered by the Oaks Initiative, you must supply that information on the Oaks Initiative Disclosure Form. This information must be updated and supplied every 12 months. 5.D.c Packet Pg. 55 Attachment: CPS HR Consulting- OAKS (6029 : Consulting for As-Needed Classification and Compensation Services) CITY OF SANTA MONICA OAKS INITIATIVE DISCLOSURE FORM In order to facilitate compliance with the requirements of the Oaks Initiative, the City compiles and maintains certain information. That information includes the name of any person or persons who is seeking a “public benefit.” If the “public benefit” is sought by an entity, rather than an individual person, the information includes the name of every person who is: (a) trustee, (b) director, (c) partner, (d) officer, or has (e) more than a ten percent interest in the entity. Public benefits include: 1. Personal services contracts in excess of $25,000 over any 12-month period; 2. Sale of material, equipment or supplies to the City in excess of $25,000 over a 12- month period; 3. Purchase, sale or lease of real property to or from the City in excess of $25,000 over a 12- month period; 4. Non-competitive franchise awards with gross revenue of $50,000 or more in any 12-month period; 5. Land use variance, special use permit, or other exception to an established land use plan, where the decision has a value in excess of $25,000; 6. Tax “abatement, exception, or benefit” of a value in excess of $5,000 in any 12- month period; or 7. Payment of “cash or specie” of a net value to the recipient of $10,000 in any 12- month period. Name(s) of persons or entities receiving public benefit: Name(s) of trustees, directors, partners, and officers: Name(s) of persons with more than a 10% equity, participation, or revenue interest: Prepared by: Title: Signature: Date: Email: Phone: Permit # FOR CITY USE ONLY: Bid/PO/Contract # 5.D.c Packet Pg. 56 Attachment: CPS HR Consulting- OAKS (6029 : Consulting for As-Needed Classification and Compensation Services)