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HomeMy WebLinkAbout2003 CON Koff and Associates - Compensation StudyCity of National City Office of the City Clerk 1243 National City Boulevard, National City, California 91950-4397 Michael R. Della, CMC - City Clerk (619) 336-4228 Fax: (619) 336-4229 May 12, 2003 Gail Koff, President Koff & Associates Inc 18 Crow Canyon Court Suite 165 San Ramon CA 94583 Dear Ms. Koff, On May 6, 2003, Resolution No. 2003-52 was passed and adopted by the City Council of the City of National City, authorizing the Mayor to execute an agreement with Koff & Associates Inc. to perform compensation study services. We are forwarding a certified copy of the above Resolution and the fully executed original agreement. Sincerely, Michael R. Dalla, CMC City Clerk MRD/mla Enclosure cc: City Manager File No. C2003-14 ® Recycled Paper City of National City, California COUNCIL AGENDA STATEMENT C60 3 - (4 -MEETING DATE May 6, 2003 AGENDA ITEM NO. 2 ITEM TITLE Consulting Services Agreement with Koff & Associates, Inc. to perform Compensation Study Services. Q PREPARED BY Ryan Hyland,N DEPARTMENT City Manager Management Analyst III Phone: 336-4240 EXPLANATION The City Council has previously adopted a revised Management Plan to address various issues related to retirements of Executives in the City. One element of the Management Plan is the selection of a compensation consultant to assist in determining appropriate benchmark cities from which compensation comparisons can be drawn and to perform a compensation study. On March 4, 2003, City Council appointed Councilmember Morrison to serve on the selection committee for the compensation consultant. Four firms were interviewed and the selection committee is unanimous in recommending the approval of a contract with Koff & Associates to perform compensation consulting. If Councilmember Morrison and the rest of the City Council are agreeable, there would be some value in Councilmember Morrison continuing to be involved in the project through its' ultimate presentation to the City Council early this Summer. Environmental Review ✓ N/A Financial Statement As per Council action in approving the revised Management Plan, Fund Balance and the Contingency Fund will be used as necessary to fund this activity. Account No. STAFF RECOMMENDATION Adopt the resolution and authorize the Mayor to sign the Agreement BOARD / COMMISSION RECOMMENDATION N/A ATTACHMENTS ( Listed Below ) 1) Resolution 2) Agreement with Scope of Services Resolution No. 2003-52 A-200 (9/80) RESOLUTION NO. 2003 — 52 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE MAYOR TO EXECUTE AN AGREEMENT WITH KOFF & ASSOCIATES, INC. TO PERFORM COMPENSATION STUDY SERVICES WHEREAS, the City desires to employ a consultant to perform compensation study services; and WHEREAS, the City has determined that Koff & Associates, Inc. is a professional personnel consultant and is qualified by experience and ability to perform the services desired by the City, and Koff & Associates, Inc. is willing to perform such services. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of National City hereby authorizes the Mayor to execute on behalf of the City an Agreement with Koff & Associates, Inc., to perform compensation study services for the City Council. Said Agreement is on file in the office of the City Clerk. PASSED AND ADOPTED this 6th day of May, 2003. NicI< In u z ayor ATTEST: Miclbael Dalla, C 4.C/' ' y-Clerk APPROVED AS TO FORM: George H. Eiser, III City Attorney Passed and adopted by the Council of the City of National City, California, on May 6, 2003, by the following vote, to -wit: Ayes: Councilmembers Inzunza, Morrison, Natividad, Parra, Ungab. Nays: None. Absent: None. Abstain: None. AUTHENTICATED BY: NICK INZUNZA Mayor of the City of National City, California e City National City, California By: Deputy I HEREBY CERTIFY that the above and foregoing is a full, true and correct copy of RESOLUTION NO. 2003-52 of the City of National City, California, passed and adopted by the Council of said City on May 6, 2003. City Clerk of the City of National City, California By: Deputy AGREEMENT BY AND BETWEEN THE CITY OF NATIONAL CITY AND KOFF & ASSOCIATES, INC. THIS AGREEMENT is entered into this 6th day of May, 2003, by and between the CITY OF NATIONAL CITY, a municipal corporation (the "CITY"), and Koff & Associates, Inc. (the "CONTRACTOR"). RECITALS WHEREAS, the CITY desires to employ a CONTRACTOR to perform professional compensation services. WHEREAS, the CITY has determined that the CONTRACTOR is a professional personnel consultant and is qualified by experience and ability to perform the services desired by the CITY, and the CONTRACTOR is willing to perform such services. NOW, THEREFORE, THE PARTIES HERETO DO MUTUALLY AGREE AS FOLLOWS: 1. ENGAGEMENT OF CONTRACTOR. The CITY hereby agrees to engage the CONTRACTOR and the CONTRACTOR hereby agrees to perform the services hereinafter set forth in accordance with all terms and conditions contained herein. The CONTRACTOR represents that all services required hereunder will be performed directly by the CONTRACTOR or under direct supervision of the CONTRACTOR. 2. SCOPE OF SERVICES. The CONTRACTOR will perform services as set forth in the attached Exhibit A. The CONTRACTOR shall be responsible for all research and reviews related to the work and shall not rely on personnel of the CITY for such services, except as authorized in advance by the CITY. The CONTRACTOR shall appear at meetings cited in Exhibit A to keep staff and City Council advised of the progress on the project. The CITY may unilaterally, or upon request from the CONTRACTOR, from time to time reduce or increase the Scope of Services to be performed by the CONTRACTOR under this Agreement. Upon doing so, the CITY and the CONTRACTOR agree to meet in good faith and confer for the purpose of negotiating a corresponding reduction or increase in the compensation associated with said change in services, not to exceed a factor of 20% from the base amount. 3. PROJECT COORDINATION AND SUPERVISION. Ryan Hyland hereby is designated as the Project Coordinator for the CITY and will monitor the progress and Revised 52000 execution of this Agreement. The CONTRACTOR shall assign a single Project Director to provide supervision and have overall responsibility for the progress and execution of this Agreement for the CONTRACTOR. Gail Koff thereby is designated as the Project Director for the CONTRACTOR. 4. COMPENSATION AND PAYMENT. The compensation for the CONTRACTOR shall be based on monthly billings covering actual work performed. Billings shall include labor classifications, respective rates, hours worked and also materials, if any. The total cost for all work described in Exhibit A shall not exceed the schedule given in Exhibit A (the Base amount) without prior written authorization from the Project Coordinator. Monthly invoices will be processed for payment and remitted within thirty (30) days from receipt of invoice, provided that work is accomplished consistent with Exhibit A as determined by the CITY. The CONTRACTOR shall maintain all books, documents, papers, employee time sheets, accounting records, and other evidence pertaining to costs incurred and shall make such materials available at its office at all reasonable times during the term of this Agreement and for three (3) years from the date of final payment under this Agreement, for inspection by the CITY and for furnishing of copies to the CITY, if requested. 5. LENGTH OF AGREEMENT. Completion dates or time durations for specific portions of the Project are set forth in Exhibit A. 6. DISPOSITION AND OWNERSHIP OF DOCUMENTS. The Memoranda, Reports, Maps, Drawings, Plans, Specifications and other documents prepared by the CONTRACTOR for this Project, whether paper or electronic, shall become the property of the CITY for use with respect to this Project, and shall be turned over to the CITY upon completion of the Project, or any phase thereof, as contemplated by this Agreement. Contemporaneously with the transfer of documents, the CONTRACTOR hereby assigns to the CITY and CONTRACTOR thereby expressly waives and disclaims, any copyright in, and the right to reproduce, all written material, drawings, plans, specifications or other work prepared under this agreement, except upon the CITY's prior authorization regarding reproduction, which authorization shall not be unreasonably withheld. The CONTRACTOR shall, upon request of the CITY, execute any further document(s) necessary to further effectuate this waiver and disclaimer. The CONTRACTOR agrees that the CITY may use, reuse, alter, reproduce, modify, assign, transfer, or in any other way, medium or method utilize the CONTRACTOR's written work product for the CITY's purposes, and the CONTRACTOR expressly waives and disclaims any residual rights granted to it by Civil Code Sections 980 through 989 relating to intellectual property and artistic works. Any modification or reuse by the CITY of documents, drawings or specifications prepared by the CONTRACTOR shall relieve the CONTRACTOR from liability under Section 2 Revised 5/2001 14 but only with respect to the effect of the modification or reuse by the CITY, or for any liability to the CITY should the documents be used by the CITY for some project other than what was expressly agreed upon within the Scope of this project, unless otherwise mutually agreed. 7. INDEPENDENT CONTRACTOR. Both parties hereto in the performance of this Agreement will be acting in an independent capacity and not as agents, employees, partners or joint venturers with one another. Neither the CONTRACTOR nor the CONTRACTOR'S employees are employee of the CITY and are not entitled to any of the rights, benefits, or privileges of the CITY's employees, including but not limited to retirement, medical, unemployment, or workers' compensation insurance. This Agreement contemplates the personal services of the CONTRACTOR and the CONTRACTOR's employees, and it is recognized by the parties that a substantial inducement to the CITY for entering into this Agreement was, and is, the professional reputation and competence of the CONTRACTOR and its employees. Neither this Agreement nor any interest herein may be assigned by the CONTRACTOR without the prior written consent of the CITY. Nothing herein contained is intended to prevent the CONTRACTOR from employing or hiring as many employees, or subcontractors, as the CONTRACTOR may deem necessary for the proper and efficient performance of this Agreement. All agreements by CONTRACTOR with its subcontractor(s) shall require the subcontractor to adhere to the applicable terms of this Agreement. 8. CONTROL. Neither the CITY nor its officers, agents or employees shall have any control over the conduct of the CONTRACTOR or any of the CONTRACTOR's employees except as herein set forth, and the CONTRACTOR expressly agrees not to represent that the CONTRACTOR or the CONTRACTOR's agents, servants, or employees are in any manner agents, servants or employees of the CITY, it being understood that the CONTRACTOR, its agents, servants, and employees are as to the CITY wholly independent contractors and that the CONTRACTOR's obligations to the CITY are solely such as are prescribed by this Agreement. 9. COMPLIANCE WITH APPLICABLE LAW. The CONTRACTOR, in the performance of the services to be provided herein, shall comply with all applicable State and Federal statutes and regulations, and all applicable ordinances, rules and regulations of the City of National City, whether now in force or subsequently enacted. The CONTRACTOR, and each of its subcontractors, shall obtain and maintain a current City of National City business license prior to and during performance of any work within the City. 10. LICENSES, PERMITS, ETC. The CONTRACTOR represents and covenants that it has all licenses, permits, qualifications, and approvals of whatever nature that are legally required to practice its profession. The CONTRACTOR represents and covenants that the CONTRACTOR shall, at its sole cost and expense, keep in effect at all times during the term of this Agreement, any license, permit, or approval which is legally required for the CONTRACTOR to practice its profession. 3 Revised 5/2001 11. STANDARD OF CARE. A. The CONTRACTOR, in performing any services under this Agreement, shall perform in a manner consistent with that level of care and skill ordinarily exercised by members of the CONTRACTOR'S trade or profession currently practicing under similar conditions and in similar locations. The CONTRACTOR shall take all special precautions necessary to protect the CONTRACTOR's employees and members of the public from risk of harm arising out of the nature of the work and/or the conditions of the work site. B. Unless disclosed in writing prior to the date of this agreement, the CONTRACTOR warrants to the CITY that it is not now, nor has it for the five (5) years preceding, been debarred by a governmental agency or involved in debarment, arbitration or litigation proceedings concerning the CONTRACTOR's professional performance or the furnishing of materials or services relating thereto. C. The CONTRACTOR is responsible for identifying any unique products, treatments, processes or materials whose availability is critical to the success of the project the CONTRACTOR has been retained to perform, within the time requirements of the CITY, or, when no time is specified, then within a commercially reasonable time. Accordingly, unless the CONTRACTOR has notified the CITY otherwise, the CONTRACTOR warrants that all products, materials, processes or treatments identified in the project documents prepared for the CITY are reasonably commercially available. Any failure by the CONTRACTOR to use due diligence under this sub -paragraph will render the CONTRACTOR liable to the CITY for any increased costs that result from the CITY's later inability to obtain the specified items or any reasonable substitute within a price range that allows for project completion in the time frame specified or, when not specified, then within a commercially reasonable time. 12. NON-DISCRIMINATION PROVISIONS. The CONTRACTOR shall not discriminate against any employee or applicant for employment because of age, race, color, ancestry, religion, sex, sexual orientation, marital status, national origin, physical handicap, or medical condition. The CONTRACTOR will take positive action to insure that applicants are employed without regard to their age, race, color, ancestry, religion, sex, sexual orientation, marital status, national origin, physical handicap, or medical condition. Such action shall include but not be limited to the following: employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff or termination, rates of pay or other forms of compensation, and selection for training, including apprenticeship. The CONTRACTOR agrees to post in conspicuous places available to employees and applicants for employment any notices provided by the CITY setting forth the provisions of this non-discrimination clause. 13. CONFIDENTIAL INFORMATION. The CITY may from time to time communicate to the CONTRACTOR certain confidential information to enable the CONTRACTOR to effectively perform the services to be provided herein. The CONTRACTOR shall treat all such information as confidential and shall not disclose any part thereof without the prior written consent of the CITY. The CONTRACTOR shall limit the use and circulation of such information, even within its own organization, to the extent necessary to perform the services to be provided herein. The foregoing obligation of this Section 13, however, shall not apply to any part of the information that (i) has been disclosed in publicly available sources of information; (ii) is, through no fault of the CONTRACTOR, hereafter disclosed in publicly available sources of information; (iii) is already in the possession of the CONTRACTOR without 4 Revised 5/2001 any obligation of confidentiality; or (iv) has been or is hereafter rightfully disclosed to the CONTRACTOR by a third party, but only to the extent that the use or disclosure thereof has been or is rightfully authorized by that third party. The CONTRACTOR shall not disclose any reports, recommendations, conclusions or other results of the services or the existence of the subject matter of this Agreement without the prior written consent of the CITY. In its performance hereunder, the CONTRACTOR shall comply with all legal obligations it may now or hereafter have respecting the information or other property of any other person, firm or corporation. CONTRACTOR shall be liable to CITY for any damages caused by breach of this condition, pursuant to the provisions of Section 14. 14. INDEMNIFICATION AND HOLD HARMLESS. The CONTRACTOR agrees to indemnify, defend, and hold harmless the City of National City, its officers, employees and volunteers, against and from any and all liability, loss, damages to property, injuries to, or death of any person or persons, and all claims, demands, suits, actions, proceedings, costs or attorneys' fees, of any kind or nature, including workers' compensation claims, of or by anyone whomsoever, in any way resulting from or arising out of the CONTRACTOR's performance of this Agreement. 15. WORKERS' COMPENSATION. The CONTRACTOR shall comply with all of the provisions of the Workers' Compensation Insurance and Safety Acts of the State of California, the applicable provisions of Division 4 and 5 of the California Government Code and all amendments thereto; and all similar state or Federal acts or laws applicable; and shall indemnify, defend and hold harmless the CITY and its officers, employees and volunteers from and against all claims, demands, payments, suits, actions, proceedings and judgments of every nature and description, including attorney's fees and costs presented, brought or recovered against the CITY or its officers, employees, or volunteers, for or on account of any liability under any of said acts which may be incurred by reason of any work to be performed by the CONTRACTOR under this Agreement. 16. INSURANCE. The CONTRACTOR, at its sole cost and expense, shall purchase and maintain, and shall require its subcontractors, when applicable, to purchase and maintain throughout the term of this agreement, the following insurance policies: 0 A. If checked, Professional Liability Insurance (errors and omissions) with minimum limits of $1,000,000 per occurrence. B. Automobile insurance covering all bodily injury and property damage incurred during the performance of this Agreement, with a minimum coverage of $1,000,000 combined single limit per accident. Such automobile insurance shall include non -owned vehicles. C. Comprehensive general liability insurance, with minimum limits of $1,000,000 combined single limit per occurrence, covering all bodily injury and property damage arising out of its operation under this Agreement. D. Workers' compensation insurance covering all of its employees and volunteers. 5 Revised 5/2001 E. The aforesaid policies shall constitute primary insurance as to the CITY, its officers, employees, and volunteers, so that any other policies held by the CITY shall not contribute to any loss under said insurance. Said policies shall provide for thirty (30) days prior written notice to the CITY of cancellation or material change. F. The CITY and its officers, agents and employees shall be named as additional insureds on the comprehensive general liability insurance. G. If required insurance coverage is provided on a "claims made" rather than "occurrence" form, the CONTRACTOR shall maintain such insurance coverage for three years after expiration of the term (and any extensions) of this Agreement. H. Any aggregate insurance limits must apply solely to this Agreement. I. Insurance shall be written with only California admitted companies which hold a current policy holder's alphabetic and financial size category rating of not less than A VIII according to the current Best's Key Rating Guide, or a company equal financial stability that is approved by the City's Risk Manager. J. This Agreement shall not take effect until certificate(s) or other sufficient proof that these insurance provisions have been complied with, are filed with and approved by the CITY's Risk Manager. If the CONTRACTOR does not keep all of such insurance policies in full force and effect at all times during the terms of this Agreement, the CITY may elect to treat the failure to maintain the requisite insurance as a breach of this Agreement and terminate the Agreement as provided herein. 17. LEGAL FEES. If any party brings a suit or action against the other party arising from any breach of any of the covenants or agreements or any inaccuracies in any of the representations and warranties on the part of the other party arising out of this Agreement, then in that event, the prevailing party in such action or dispute, whether by final judgment or out -of - court settlement, shall be entitled to have and recover of and from the other party all costs and expenses of suit, including attorneys' fees. For purposes of determining who is to be considered the prevailing party, it is stipulated that attorney's fees incurred in the prosecution or defense of the action or suit shall not be considered in determining the amount of the judgement or award. Attorney's fees to the prevailing party if other than the CITY shall, in addition, be limited to the amount of attorney's fees incurred by the CITY in its prosecution or defense of the action, irrespective of the actual amount of attorney's fees incurred by the prevailing party. 18. MEDIATION/ARBITRATION. If a dispute arises out of or relates to this Agreement, or the breach thereof, the parties agree first to try, in good faith, to settle the dispute by mediation in San Diego, California, in accordance with the Commercial Mediation Rules of the American Arbitration Association (the "AAA") before resorting to arbitration. The costs of mediation shall be borne equally by the parties. Any controversy or claim arising out of, or relating to, this Agreement, or breach thereof, which is not resolved by mediation shall be settled by arbitration in San Diego, California, in accordance with the Commercial Arbitration Rules of the AAA then existing. Any award rendered shall be final and conclusive upon the parties, and a judgment thereon may be entered in any court having jurisdiction over the subject matter of the controversy. The expenses of the arbitration shall be borne equally by the parties to the arbitration, provided that each party shall pay for and bear the costs of its own experts, 6 Revised 5/2001 evidence and attorneys' fees, except that the arbitrator may assess such expenses or any part thereof against a specified party as part of the arbitration award. 19. TERMINATION. A. This Agreement may be terminated with or without cause by the CITY. Termination without cause shall be effective only upon 60-day's written notice to the CONTRACTOR. During said 60-day period the CONTRACTOR shall perform all services in accordance with this Agreement. B. This Agreement may also be terminated immediately by the CITY for cause in the event of a material breach of this Agreement, misrepresentation by the CONTRACTOR in connection with the formation of this Agreement or the performance of services, or the failure to perform services as directed by the CITY. C. Termination with or without cause shall be effected by delivery of written Notice of Termination to the CONTRACTOR as provided for herein. D. In the event of termination, all finished or unfinished Memoranda Reports, Maps, Drawings, Plans, Specifications and other documents prepared by the CONTRACTOR, whether paper or electronic, shall immediately become the property of and be delivered to the CITY, and the CONTRACTOR shall be entitled to receive just and equitable compensation for any work satisfactorily completed on such documents and other materials up to the effective date of the Notice of Termination, not to exceed the amounts payable hereunder, and less any damages caused the CITY by the CONTRACTOR's breach, if any. Thereafter, ownership of said written material shall vest in the CITY all rights set forth in Section 6. E. The CITY further reserves the right to immediately terminate this Agreement upon: (1) the filing of a petition in bankruptcy affecting the CONTRACTOR; (2) a reorganization of the CONTRACTOR for the benefit of creditors; or (3) a business reorganization, change in business name or change in business status of the CONTRACTOR. 20. NOTICES. All notices or other communications required or permitted hereunder shall be in writing, and shall be personally delivered; or sent by overnight mail (Federal Express or the like); or sent by registered or certified mail, postage prepaid, return receipt requested; or sent by ordinary mail, postage prepaid; or telegraphed or cabled; or delivered or sent by telex, telecopy, facsimile or fax; and shall be deemed received upon the earlier of (i) if personally delivered, the date of delivery to the address of the person to receive such notice, (ii) if sent by overnight mail, the business day following its deposit in such overnight mail facility, (iii) if mailed by registered, certified or ordinary mail, five (5) days (ten (10) days if the address is outside the State of California) after the date of deposit in a post office, mailbox, mail chute, or other like facility regularly maintained by the United States Postal Service, (iv) if given by telegraph or cable, when delivered to the telegraph company with charges prepaid, or (v) if given by telex, telecopy, facsimile or fax, when sent. Any notice, request, demand, direction or other communication delivered or sent as specified above shall be directed to the following persons: To the CITY: Park Morse Assistant City Manager City of National City 1243 National City Boulevard National City, CA 91950 7 Revised 5/2001 To the CONTRACTOR: Gail Koff President Koff & Associates, Inc. 18 Crow Canyon Court Suite 165 San Ramon, CA 94583 Notice of change of address shall be given by written notice in the manner specified in this Section. Rejection or other refusal to accept or the inability to deliver because of changed address of which no notice was given shall be deemed to constitute receipt of the notice, demand, request or communication sent. Any notice, request, demand, direction or other communication sent by cable, telex, telecopy, facsimile or fax must be confirmed within forty- eight (48) hours by letter mailed or delivered as specified in this Section. 21. CONFLICT OF INTEREST AND POLITICAL REFORM ACT OBLIGATIONS. During the term of this Agreement, the CONTRACTOR shall not perform services of any kind for any person or entity whose interests conflict in any way with those of the City of National City. The CONTRACTOR also agrees not to specify any product, treatment, process or material for the project in which the CONTRACTOR has a material financial interest, either direct or indirect, without first notifying the CITY of that fact. The CONTRACTOR shall at all times comply with the terms of the Political Reform Act and the National City Conflict of Interest Code. The CONTRACTOR shall immediately disqualify itself and shall not use its official position to influence in any way any matter coming before the CITY in which the CONTRACTOR has a financial interest as defined in Government Code Section 87103. The CONTRACTOR represents that it has no knowledge of any financial interests that would require it to disqualify itself from any matter on which it might perform services for the CITY. ❑ If checked, the CONTRACTOR shall comply with all of the reporting requirements of the Political Reform Act and the National City Conflict of Interest Code. Specifically, the CONTRACTOR shall file a Statement of Economic Interests with the City Clerk of the City of National City in a timely manner on forms which the CONTRACTOR shall obtain from the City Clerk. The CONTRACTOR shall be strictly liable to the CITY for all damages, costs or expenses the CITY may suffer by virtue of any violation of this Paragraph 21 by the CONTRACTOR. 22. MISCELLANEOUS PROVISIONS. A. Computation of Time Periods. If any date or time period provided for in this Agreement is or ends on a Saturday, Sunday or federal, state or legal holiday, then such date shall automatically be extended until 5:00 p.m. Pacific Time of the next day which is not a Saturday, Sunday or federal, state or legal holiday. 8 Revised 5/2001 B. Counterparts. This Agreement may be executed in multiple counterparts, each of which shall be deemed an original, but all of which, together, shall constitute but one and the same instrument. C. Captions. Any captions to, or headings of, the sections or subsections of this Agreement are solely for the convenience of the parties hereto, are not a part of this Agreement, and shall not be used for the interpretation or determination of the validity of this Agreement or any provision hereof. D. No Obligations to Third Parties. Except as otherwise expressly provided herein, the execution and delivery of this Agreement shall not be deemed to confer any rights upon, or obligate any of the parties hereto, to any person or entity other than the parties hereto. E. Exhibits and Schedules. The Exhibits and Schedules attached hereto are hereby incorporated herein by this reference for all purposes. F. Amendment to this Agreement. The terms of this Agreement may not be modified or amended except by an instrument in writing executed by each of the parties hereto. G. Waiver. The waiver or failure to enforce any provision of this Agreement shall not operate as a waiver of any future breach of any such provision or any other provision hereof. H. Applicable Law. This Agreement shall be governed by and construed in accordance with the laws of the State of California. I. Entire Agreement. This Agreement supersedes any prior agreements, negotiations and communications, oral or written, and contains the entire agreement between the parties as to the subject matter hereof. No subsequent agreement, representation, or promise made by either party hereto, or by or to an employee, officer, agent or representative of any party hereto shall be of any effect unless it is in writing and executed by the party to be bound thereby. J. Successors and Assigns. This Agreement shall be binding upon and shall inure to the benefit of the successors and assigns of the parties hereto. K. Construction. The parties acknowledge and agree that (i) each party is of equal bargaining strength, (ii) each party has actively participated in the drafting, preparation and negotiation of this Agreement, (iii) each such party has consulted with or has had the opportunity to consult with its own, independent counsel and such other professional advisors as such party has deemed appropriate, relative to any and all matters contemplated under this Agreement, (iv) each party and such party's counsel and advisors have reviewed this Agreement, (v) each party has agreed to enter into this Agreement following such review and the rendering of such advice, and (vi) any rule or construction to the effect that ambiguities are to be resolved against the drafting party shall not apply in the interpretation of this Agreement, or any portions hereof, or any amendments hereto. 9 Revised 5/2001 IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the date and year first above written. CITY OF NATIONAL CITY By: Nick Inzunza, Mayor D AS TO FORM: e H. iser, III City Attorney 10 By: By: KOFF & ASSOCIATES, INC. (Title) (Name) (Title) Revised 5/2001 KOFF & ASSOCIATES, INC. Human Resources Consulting Since 1984 PROPOSAL FOR COMPENSATION STUDY For MANAGEMENT/EXECUTIVE POSITIONS For CITY OF NATIONAL CITY Submitted by: KOFF & ASSOCIATES, INC. 18 Crow Canyon Court Suite 165 San Ramon, CA 94583 925.831.9794 — voice 925.831.9322 — fax E-mail: gkoffkoffassociates.com Contact Person Gail Koff, President/CEO 18 Crow Canyon Court • Suite 165 • San Ramon, CA 94583-1613 • TEL 925/831.9794 • FAX 925/831.9322 www.KoffAssociates.com KOFF & ASSOCIATES, INC. Human Resources Consulting Since 1984 April 21, 2003 Mr. Ryan Hyland Management Analyst City of National City 1243 National City Blvd. National City, CA 91950 RE: Request for Proposal: Compensation Study Dear Ryan: Thank you for including us in your Request for Proposal process for an executive/management salary survey. We are most interested in assisting your City with this important study. In addition to the emailed version, we have also submitted a hard -copy which includes several samples of our work product. We think that may be useful in the review and evaluation process. We are experienced public -sector consultants who have been conducting similar studies for water, wastewater and other special districts, cities, counties and Courts for over 30 years. Koff & Associates has achieved a reputation for working successfully with management, employees, and the union representatives. We believe in a high level of dialogue and input from employees and management and our proposal speaks to that level of effort. That extra effort has resulted in a 100% implementation of all of our classification and compensation studies. Koff & Associates is a small firm that accepts only as much work as our staff can handle. This assures a high level of quality control, excellent communication between our clients and our office, commitment to meeting timelines and budget, and a consistent high -caliber work product. As President/CEO of the firm, I would assume the role of Project Director and be responsible for the successful completion of this project. Our experienced staff, from our San Ramon and Long Beach offices, will be actively engaged on this project. I can be reached at the San Ramon address and phone number listed below. My e-mail address is: gkoff@koffassociates.com. Please call me if you have any questions or wish additional information. We look forward to providing professional assistance to the City with this significant project. incerely, ail Koff resident/CEO 18 Crow Canyon Court • Suite 165 • San Ramon, CA 94583-1613 • TEL 925/831.9794 • FAX 925/831.9322 www.KoffAssociates.com KOFF & ASSOCIATES, INC. Human Resources Consulting Since 1984 PROPOSAL FOR A COMPENSATION STUDY FOR MANAGEMENT/EXECUTIVE POSITIONS FOR THE CITY OF NATIONAL CITY TABLE OF CONTENTS 1. Understanding of the Project 2. Experience of the Firm 3. Experience of Consultant Team 4. Work Plan and Methodology 5. Time Schedule 6. Proposed Cost Sample Work Products (sent with proposal) Page No. 1 1 3 6 11 12 18 Crow Canyon Court • Suite 165 • San Ramon, CA 94583-1613 • TEL 925/831.9794 • FAX 925/831.9322 www.KoffAssociates.com PROPOSAL FOR A COMPENSATION STUDY FOR MANAGEMENT/EXECUTIVE POSITIONS FOR THE CITY OF NATIONAL CITY 1. UNDERSTANDING OF THE PROJECT The City of National City desires consultant assistance to complete a compensation study for thirty-two (32) positions, including seventeen (17) management and fifteen (15) executive positions. While the study is intended to be primarily concerned with base salary, the City will review recommendations from its consultant regarding benefits to be included for analysis. The City is also looking for recommendations for appropriate statewide cities to include in its survey. It is expected that the consultant will provide the necessary methodology to support its recommendations to the City Council. It is also our expectation, that working with a project team with representatives from both groups, the consultant will facilitate a discussion and build consensus with the management and the executive group representatives on the recommended comparable cities to be included. Study Objectives: ➢ To conduct an employee orientation session of staff whose positions are going to be reviewed, to educate and explain the scope of the study and to describe what are and are not reasonable study expectations and goals; ➢ To develop an expanded set of comparator organizations within specified counties for the survey that will provide sufficient information for analysis and receive consensus on that list; ➢ To collect valid salary data and ensure, insofar as possible, that all information is correct and current; ➢ To determine benefit data that would be useful to the City in determining its overall competitive position with other agencies; ➢ To develop a method of determining internal relationships that are perceived as equitable and fair; ➢ To recommend appropriate internal salary relationships and allocate classes to ranges consistent with market data, internal relationships, and the City's current and continuing pay philosophy; ➢ To provide for adequate educational, review and appeal processes that will result in a product that is easily maintained, understood by all levels of personnel and is perceived as equitable; and ➢ To assist the City in developing an implementation plan. KOFF & ASSOCIATES, INC. Page 2 of 12 Compensation Proposal April 21, 2003 2. EXPERIENCE OF THE FIRM: Koff & Associates, Inc. is a public sector human resources consulting firm that has been assisting counties, cities and special districts for the past nineteen (19) years. We have extensive experience working in both non -union and union environments (including serving as the management representative in meet & confer meetings), working with City Councils, Merit Boards and Boards of Directors. The firm's primary areas of focus are compensation and classification studies; policy/procedure development and employee handbooks; executive search and staff recruitments; performance management issues; and serving as off -site HR Director for our smaller public agencies that need the expertise of an HR Director but do not need a full-time, on -site professional. For the past several years, the firm's workload has primarily been in the areas of classification studies and extensive total compensation reviews (samples of work products are being sent under separate cover for your review). Our analysis work has included sensitive studies for water, wastewater, fire and school districts, cities, counties, Superior Courts and other public agencies including housing, hospital and educational agencies. Without exception, all of our compensation studies have successfully met all of our intended commitments; communications were successful with employees, supervisors, management and union representatives and we were able to assist each agency in successfully implementing all of our recommendations. In addition to traditional class and compensation studies, Koff & Associates provides ongoing classification, reclassification and salary surveys for the cities of Sunnyvale and Soledad, Marin County Housing Authority, Contra Costa County and many special districts. The firm's growing list of clients is indicative of its reputation throughout California as being a quality organization that can be relied upon for producing comprehensive, sound and cost- effective recommendations and solutions. Koff & Associates has a reputation for being "hands- on" with an ability and expertise to implement its ideas and recommendations through to completion in both union and non -union environments. Koff & Associates relies exclusively on the recommendations and referrals of current clients to attract new clients. Our work speaks for itself and our primary goal is to provide professional and technical consulting assistance with integrity, honesty and a commitment to excellence. We invite you to contact anyone on the Client List as a referral. Insurance Coverage We have tailored our insurance coverage to the level and amount normally required by most cities and other public agencies: ➢ Workers' Compensation ➢ Professional Liability: $1MM ➢ Automobile Insurance ➢ General Liability: $1MM KOFF & ASSOCIATES, INC. Page 3of12 Compensation Proposal April 21, 2003 Recent Client References The following are only a few of the classification/compensation studies that we have completed in the recent past: City of Galt City-wide classification and total compensation study including a multi- year implementation strategy. City of Citrus Heights Comprehensive alary & benefits study to identify costs of increasing City staff by 250% to include Police Dept. City of San Luis Obispo Classification and internal compensation study. City of Pinole City-wide classification study. Compensation study awarded non -competitively following successful implementation of class study; placed on hold due to economic conditions. City of San Ramon Citywide classification & total compensation study City of Walnut Creek Administrative classification study with many complications City of Soledad City-wide classification and total compensation study including a multi- year implementation strategy. Contra Costa County Continuous classification & reclassification reviews for management & elected official positions. Contact: Ms. Jill Lebeau Human Resources Manager 209-745-4695 Contact: Ms. Cathy Caprioloa Administrative Services Director 916-725-2448 Contact: Jill Sylvain Human Resources Analyst 805-781-7251 Contact: Ms. Belinda Espinosa Assistant City Manager 510-724-8933 Contact: Mr. Jim Randall City Manager (Retired 3/03) 925-831-6195 Contact: Ms. Wendy Lack Director of Human Resources 925-943-5814 Contact: Hector delaRosa Director of Finance 831-678-3963 Contact: Ms. Eileen Bitten Assistant Director, Human Resources 925-335-1754 3. EXPERIENCE OF CONSULTANT TEAM The proposed project team members have more than one hundred years of combined experience KOFF & ASSOCIATES, INC. Page 4 of 12 Compensation Proposal April 21, 2003 conducting studies in the public sector similar to that addressed in the RFP. We understand City government, the issues of management as well as the areas of concern to employees, and are able to effectively develop recommendations and solutions for problems and issues. The Project Team will be led by Gail Koff (Principal of Koff & Associates) as the Project Director, Sheryl Lindquist Snyder as the Project Manager, with Catherine Kaneko, Georg Mummer and Bill Russell (from our Long Beach office) working together as the project team. As indicated earlier, our firm's practice is to accept only that level of work effort that will ensure client satisfaction and quality control. To that end, all of the identified project team members will be available to address your agency issues throughout the duration of the study. Gail Koff Gail Koff, Principal of Koff & Associates, Inc., has over 25 years of human resource management experience, 22 years of which have been serving the needs of public agencies, including water, sanitary, hospital and school special districts, cities, counties and other public jurisdictions. Gail's prior experience includes serving as the Personnel Director for one of California's largest sanitary districts, Central Contra Costa Sanitary District. She has spent the last 18 years in her own firm offering consulting assistance to special districts and other public agencies. She specializes in classification, compensation and benefit programs; policy and procedure manuals; employee handbooks; performance management issues; organizational efficiency and labor/ management issues. Gail is familiar with the unique problems of public agencies and has worked extensively with various publicly elected Councils, Boards, numerous unions and management and employee groups. As Project Director, Gail will oversee all aspects of this project, attend most meetings and be the primary contact person throughout the completion of the project. Sheryl Lindquist Snyder Sheryl brings to Koff & Associates more than 30 years of public agency human resources. Her areas of expertise include organizational design, classification, compensation, job analysis and policy and procedure development. After graduating Magna Cum Laude and Phi Beta Kappa from the University of California, Berkeley, Sheryl's career has included serving as Assistant Personnel Director for the City of San Leandro and head of Classification and Compensation for several agencies, including the County of Marin and the East Bay Municipal Utility District (EBMUD). During the fifteen years in which she was president of Personnel Associates, the firm classified more than 15,000 public agency jobs, including cities, counties and special districts in the State of California and other Western States. Sheryl has taught job analysis and classification to public agency personnel analysts in the San Francisco Bay Area. Sheryl will be the on -site Project Manager and will coordinate activities at each step of the process. KOFF & ASSOCIATES, INC. Page 5of12 Compensation Proposal April 21, 2003 Catherine Kaneko Catherine brings over 12 years of human resources experience to Koff & Associates both as a human resources director and as a management consultant in the hi -tech industry. She has extensive experience in compensation including equity plans, recruitment, staffing, employee relations, retention, infrastructure development, coaching, policy and procedure development, mergers and acquisitions, change management and training. With a Bachelor's Degree in Business Administration, Catherine started her career as a CPA in an international accounting/consulting firm. She transitioned into HR within the firm to become the Human Resources Director of the San Francisco office. She then moved into the hi -tech industry where she served in leadership positions for high -growth, startup and transitional organizations. Catherine's experience provides a broad knowledge of human resource management within diverse organizations. Her background provides her a strong ability to understand the big picture, identify problems and solutions and effectively implement them. Her skill set complements our current consultant base with additional levels of service areas. Georg S. Krammer Georg brings more than 5 years of human resources experience to K&A with an emphasis in recruiting, performance management, organizational development and employee relations, both in large corporations as well as small, minority -owned businesses. After obtaining a Masters degree in English and Russian and teaching credentials at the University of Vienna, Austria, Georg came to the United States to further his education and experience and attained his MBA from the University of San Francisco. After starting his human resources career in Wells Fargo Bank's college recruiting department, he moved on to HR management positions in the banking and high-tech consulting industries. With his experience as a well-rounded senior HR generalist and his education in business and teaching, Georg's contribution to K&A's variety of projects greatly complements our consulting team. William F. Russell Bill brings over thirty years of public agency HR and management experience to Koff & Associates and works out of our southern California office. After graduating Magna Cum Laude, Phi Beta Kappa from UC Berkeley, Bill completed a 30- year career with the City of Los Angeles, including 23 years working in the city's Human Resources Department and more than seven years as a civilian police executive. During his tenure in HR, Bill personally performed, supervised and managed the classification, employee selection, equal employment and affirmative action, health, safety and employee relations functions. As the senior civilian executive in the police depacicuent, Bill directed the operations of more than 1400 personnel in five key support divisions. Involved in employee training and development, Bill was a key developer of a highly acclaimed law enforcement leadership program and has recently assisted the State of California in the KOFF & ASSOCIATES, INC. Page 6 of 12 Compensation Proposal April 21, 2003 development implementation of an innovative and highly successful program for training law enforcement supervisors. Since joining K&A's southern California office, Bill has been involved in a variety of classification, compensation and labor relations issues. 4. WORK PLAN AND METHODOLOGY This section of the proposal identifies the actual work scope. We believe that our detailed explanation of approach and work tasks clearly identifies our methodology and comprehensiveness. A. Initial Documentation Review and Meeting with the Project Team This phase includes identifying the key client project team, contract administrator and reporting relationships. In this phase, we will also reaffirm the primary objectives, identify the incumbents and assemble current class descriptions, organization charts, Personnel Policies and any other relevant documentation. City terminology and methods of current compensation practices, procedures as well as the written questionnaire instrument will be reviewed and agreed to. At this meeting with the client team, we will agree to create the specific work plan and work schedule; determine deadline dates; and finalize a timetable for the study. This meeting is intended to clarify the entire process, including any appeal process. At this meeting, we will discuss the compensation study factors that need to be agreed upon. We will discuss and agree to comparator agencies and benefit data that will be included in the study. Regarding benefits, it is our understanding that the City desires a base, and not total compensation survey. However, the City is interested in reviewing any specific benefits that the consultants believe are somewhat outside of the standard being offered at other agencies. Our initial review of your benefit package indicates that at least four areas should be reviewed for competitive value: ➢ Deferred Compensation (many agencies now contribute to executive and/or management 457 plans) ➢ PERS plan. National City offers a higher level program than most agencies. ➢ Administrative Leave (National City appears somewhat light on this benefit) ➢ Auto Allowance (again, your city appears somewhat light on this benefit for certain positions) ➢ The closing during the Christmas/New Year, we assume, is a benefit that is embraced by your organization and is quite unique in the public sector. While we would not consider surveying this, we would recommend that you reconfirm that employees consider this a benefit (since most are therefore forced to use vacation time during this holiday period rather than other times throughout the year) to ensure that it is considered a "benefit" to most. KOFF & ASSOCIATES, INC. Page 7 of 12 Compensation Proposal April 21, 2003 B. Meeting with Study Representatives This proposal includes one meeting with representatives of the executive/management study to review and agree on comparator cities and benefit data to be collected. As the groups being reviewed are executive/management, potentially there may be an alternative methodology suggested by the City/consultant to develop agreement as these groups may not have formal representation. Project processes will be explained; expectations will be clarified and elements that are and are not a part of the study will also be covered. We believe in a collaborative approach throughout this study. Working together with employee representatives and the Council is critical to successfully manage expectations and ensure a successful study that can be implemented. The start-up project team meeting and this meeting should be scheduled on the same day, providing a cost saving to the City that is incorporated into our schedule and projected cost figures. C. Review of Existing Class Descriptions Existing class descriptions will be reviewed by our staff to ensure that we understand the scope and responsibilities of each position to be surveyed. There may be follow-up telephone or email communications with incumbents/management to ensure that we have a complete understanding of each job to be surveyed. D. Determination of Comparator Agencies As indicated in your RFP, twelve (12) agencies will be included in this survey process. The selection of the comparator agencies is considered a critical step in the study process. Using the following factors, we will work with representatives designated by the City to expand the list of comparator agencies for use in this study that will also serve as the base for future studies. Before proceeding, we will try and reach a consensus with management and the City Council. The analysis that we review to determine the most appropriate agencies include: > Organizational type and structure — While various public agencies may provide overlapping services and employ some staff having similar duties and responsibilities, the structure of each City can be unique, particularly in regard to its relationship to its citizens and level of service expectation. > Similarity of population served, City staff and operational and capital improvement budgets — These elements provide guidelines in relation to resources required (staff and funding) and available for the provision of agency services. > Scope of services provided — While it is ideal for comparators to have an City that provides all of the services at the same level of citizen expectation, sufficient data should be available for analysis as long as the majority of services are provided in a similar manner. > Labor market — The reality of today's labor market is that many public agencies are in KOFF & ASSOCIATdPih}lll Teton for the same pool of qualified employees. No longer do individuals Page 8 of 12 Compensation Proposal April 21, 2003 > necessarily live in the communities they serve. Therefore, the geographic labor market area (where the City may be recruiting from or losing employees to) will be taken into consideration when selecting potential comparator organizations. E. Determination of Compensation Factors In the same collaborative manner as described above, consensus for the benefit data elements to be collected for the compensation study should be reached prior to the commencement of the data -gathering process. As indicated above, it is our understanding that the City desires only an exception -based benefit review. Although we will discuss other benefit issues during the start-up meeting, our initial review indicates that the following benefits should, at a minimum, be included for review: > Deferred Compensation (many agencies now contribute to executive and/or management 457 plans) > PERS level (most agencies are at the 2% at 55 and increasingly going to the 2.7% at 55 level). National City offers the highest level of PERS benefit at 3% at 60. > Administrative Leave (National City seems somewhat light on this benefit) > Auto Allowance (again, your city seems somewhat light on this benefit for certain positions) Should the City desire to expand the study to include all benefits, we have identified those benefits that are normally included in a total compensation study, although our proposal does not capture the cost of this additional level of effort. Such elements in a total compensation study normally include (available to all staff in a specific job classification): > Monthly Salary — The top of the normal, published salary range. All figures are presented on a monthly basis. ➢ Employee Retirement — This includes two figures: the amount of the employee's State (PERS) or other public retirement contribution that is contributed by the agency and the amount of the agency's Social Security contribution. Many agencies are interested to see if their members have adopted one of the enhanced PERS benefit options and we collect this data as a value-added service to our client. ➢ Insurance — This is the maximum amount paid for employees and dependents for a cafeteria or flexible benefit plan and/or health, dental, vision, life, long-term disability and employee assistance insurance. > Leave — Other than sick leave, which is usage -based, leave is the amount of days off for which the City is obligated. All days will be translated into direct salary costs. • Holidays — The number of holidays (including floating) available to the employee on an annual basis. • Vacation — The number of vacation days available to all employees after five years of employment. KOFF & ASSOCIATES, INC. Page 9 of 12 Compensation Proposal April 21, 2003 • Administrative/Personal Leave — Administrative leave is normally the number of days available to management staff to compensate for the lack of payment for overtime. Personal leave may be available to other groups of employees to augment vacation or other time off. > Other — This category includes any benefits available to all in the class. For this study, it may include such items as bonus, City 401(k) contribution, etc. F. Data Collection Normally, our firm does not collect market salary data by merely sending out a written questionnaire. We find that such questionnaires are often relegated to the individual in the department with the least experience in the organization and given a low priority. Typically, we collect this information in person by a prior appointment or we request salary schedules, organization charts and other information for review. With this prior knowledge and our experience in the public personnel field, we can make preliminary "matches" and then schedule an appointment in person or by telephone, with a knowledgeable individual to answer specific questions. We find that the information collected using these methods has a very high validity rate and is generally substantiated before employee and bargaining units as well as governing bodies. G. Analysis and Preliminary Data Review Data will be entered into spreadsheet format designed for ease of interpretation and use. The information will be presented in a format that will identify the comparator positions used for each classification comparison. Information will be calculated based upon either our usual methodology of capturing both mean and median figures, or continuing the City's methodology of dropping the City of San Diego and the lowest top of band reported City. Benefit data will be collected and presented in a format that will be easy to read and interpret. H. Determination of Internal Relationships and Development of the Draft Management Compensation Plan In determining internal salary relationships, K&A reviews the salary data from two different perspectives: The first level of analysis will be the appropriate differential between the different levels in a series (i.e., l' line supervisor, 2nd line supervisor, Manager) as well as the appropriate grouping of salary levels for classes in different occupational groups. For example, customary percentage salary differentials applied in the field will be used for classes in series and elsewhere, where appropriate, in developing the class plan. As determining internal equity relationships constitutes the primary thrust of the compensation portion of the study, considerable attention will be given to this phase. KOFF & ASSOCIATES, INC. Page 10 of 12 Compensation Proposal April 21, 2003 will be necessary to develop an internal position hierarchy based on objective factors. Factors that will be included in this process are: 1. Education 2. Experience 3. Problem Solving/Ingenuity 4. Attention/Stress (Concentration/Time Pressure & Interruptions) 5. Independence of Action/Responsibility 6. Contact with Others 7. Supervision Given to Others 8. Consequences of Action/Decisions 9. Working Conditions 10. Physical Requirements I. Draft Compensation Plan and Report At this point, we will provide the Draft Compensation Plan and Report to the City. After the City's preliminary review, K&A will meet with the Project Team as well as representatives from the various stakeholders to clarify data, to receive corrected information and to answer questions and address concerns. J. Update of Data, Production of Final Report and Council Presentation After the preliminary review and when agreement has been reached, we will update data, produce a final report and present it to the City Council. K. Participation in a City Formal Appeal Process Should the City have a formal appeal process regarding the allocation to salary range, this proposal does not cover time requirements beyond eight hours of consultation regarding the appeal process. Should our on -site participation be desired, our stated composite hourly rate will be billed. L. Deliverables Our deliverables will include: > Up to seven bound copies and one unbound original of the final report, plus the salary analysis information provided on disc; > A summary compensation study document with study processes, comparator guidelines, benchmark guidelines and overall areas of concern; > A recommended Salary Plan that will identify salary bands, including recommended classifications for inclusion within each band and rationales for each band recommendation; > A benefit summary document identifying differing levels of benefits, the City' s contribution to each and recommendations and findings; KOFF & ASSOCIATES, INC. Page 11 of 12 Compensation Proposal April 21, 2003 ➢ Implementation recommendations for achieving compensation goals within a reasonable timeframe, keeping in mind any economic and political limitations of the City; ➢ Extensive communication throughout the study with the Project Team, City Manger's office and others; and ➢ Sufficient documentation and training of City staff to allow for maintenance of the compensation plans. M. Expectations of City Support In order to conduct this study in the most timely and cost-effective manner, we expect support from the City in the following areas: ➢ Timely provision of written documentation, such as current class specifications, budget documents, past studies, etc.; ➢ Assistance in the notification and scheduling of meetings; ➢ Assistance in collecting and forwarding review comments and in ensuring that materials are returned in a timely manner; ➢ Meeting pre -agreed timelines. 5. TIME SCHEDULE Our experience is that studies of this nature and for organizations of this size take approximately eight weeks to complete, allowing for adequate data collection review steps. We are prepared to begin the study immediately upon authorization and complete it within an agreed -upon timeline, similar to that listed below. To meet your projected timeline of study completion no later than 7/1/03, we assume that the contract will be awarded in early May: Award of Contract Initial Project Team Meeting Salary/Benefit Market Identification Collection and Analysis of Market Data Internal Job Analysis Development of Draft Final Report Presentation of Final Reports Presentation to Council KOFF & ASSOCIATES, INC. 2 weeks after contract signed Project Team Meeting 2-5 weeks from PTM 6 weeks from PTM 8 weeks from PTM 9 weeks from PTM Scheduled Page 12 of 12 Compensation Proposal April 21, 2003 6. PROPOSED COST Project Phase Hours A, B Initial Project Team and Representatives Meeting 10 C Review, Confirmation of Class Descriptions 8 D, E Market Comparators 10 F Market Total Compensation Data Collection 50 G, H Analysis & Preliminary Data Review, Internal Salary Analysis/Meeting 37 I Preparation of Draft/Final Report 20 J Review Process/Preparation of Final Report 10 K Project Team Meetings (2)/ City Council Meeting (2) 30 Total Hours 175 Professional Service Fees at $85/Hour (composite rate) $14,875 320. Clerical Support (8 hours @$40) Reimbursable expenses, including, but not limited 1,500. to airfare & lodging (3 nights), copies, FAX, UPS, postage, mileage, telephone, etc. TOTAL LUMP SUM COST OF PROJECT: $16,695. Respectfully Submitted, By: KOFF & ASSOCIATES, INC. State of California President/ I/' i Date KOFF & ASSOCIATES, INC.