Title
Adopt a Resolution to Approve and Authorize the City Manager to Execute a Consulting Services Agreement between the City of San Leandro and Koff & Associates, a division of Gallagher Benefit Services, Inc. to Conduct a Classification and Total Compensation Study of San Leandro City Employees Association (SLCEA) and San Leandro Confidential classifications for $210,290.00
Staffreport
COUNCIL GOAL OR PRIORITY
• • Promote and maintain an inclusive work environment that values employees and volunteer contributions, supports professional growth and development, and fosters a culture of kindness and collaboration in the delivery of services to our community
SUMMARY AND RECOMMENDATIONS
Staff recommends that the City Council authorize the City Manager to approve a Consulting Services Agreement between the City of San Leandro and Koff & Associates, a division of Gallagher Benefit Services, Inc. to conduct a Classification and Total Compensation study of San Leandro City Employees Association (SLCEA) and San Leandro Confidential positions for $210,290.00
BACKGROUND
During the last contract negotiation with the San Leandro City Employees Association (SLCEA), the City agreed to conduct a classification and compensation study for all bargaining unit positions, which would also be extended to Confidential employee classifications. A Classification study entails extensive review and updating of approximately 135 SLCEA and Confidential job classifications. The Compensation study also entails a review of the City’s current compensation plan and surveying comparable agencies for market salary and benefit data. Upon the analysis of the market data, the consultant will provide recommendations for classifications and compensation changes.
On August 1, 2021, the City entered into a contract with Koff & Associates to conduct a Classification and Compensation study for San Leandro Management Organization (SLMO) positions as agreed upon in the SLMO Memorandum of Understanding. Koff & Associates was selected from a Request for Proposals process, conducted in early 2021, because of their extensive experience conducting surveys for cities and other public sector organizations, their positive approach to addressing changes in the classification descriptions, and their well-defined methodology.
The SLMO study is near completion, and a new contract is necessary for Koff & Associates to undertake the additional study of SLCEA and Confidential positions.
Analysis
Koff & Associates is a highly qualified, full‐spectrum, public‐sector human resources and recruitment firm that specializes in classification and compensation studies. They have 38 years of experience in the field and a deep familiarity with local government organizational structures, agency missions, operational and budgetary requirements, and staffing expectations. The City has been satisfied with Koff’s services to date with the SLMO study.
While conducting the SLMO study, Koff and Associates gained considerable knowledge of City leadership’s vision for staffing structure, succession planning, and retention strategies. In their analysis, they considered the staffing challenges and goals of the City, as the City implemented department reorganizations and underwent personnel transitions. The Koff team has also established strong partnerships with Human Resources and management staff.
By selecting Koff & Associates to continue its work with SLCEA and the Confidential classifications, it ensures continuity in the methodology used for SLMO’s study. Koff’s understanding of the City’s specific organizational structure also ensures a connection across the city-wide classification and compensation structure.
The agreement for SLMO was for $59,360 for 47 classifications. The proposed agreement for the SLCEA and Confidential study will cost an additional $210,290 for the magnitude and complexity of studying 135 classifications. The cost of the study is a significant investment in the City’s labor and is long overdue. The last comprehensive classification study was conducted in 2008 and the last compensation study was completed in 2011.
Upon completion of the classification and compensation study, the City and SLCEA will meet and confer to discuss the results during negotiations for a successor agreement.
Financial Impacts
This study will require Council appropriation of $210,290 for Fiscal Year 2022-2023 from the General Fund Undesignated Fund Balance into Account 010-12-020-5120. There will be no off-setting revenues for this project.
This Council action was not budgeted and will require an appropriation of $210,290 for this study that will draw down the Fund’s undesignated fund balance.
ATTACHMENTS
Attachment 1: Resolution
Attachment 2: CSA Scope of Work
Attachment 3: CSA Compensation Schedule
PREPARED BY:
Yana Taran, Senior Human Resources Analyst
Human Resources Department