Resolution No. 2013-012RESOLUTION NO. 2013-12
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
VERNON AUTHORIZING THE ISSUANCE OF A REQUEST FOR
PROPOSALS FOR CLASSIFICATION AND COMPENSATION STUDY
WHEREAS, the City of Vernon is interested in obtaining
proposals from qualified firms to design, 'conduct and assist in the
implementation of a City-wide classification and compensation study;
and
WHEREAS, the Director of Human Resources is seeking
permission for the issuance of a request for proposals for
Classification and Compensation Study (the "RFP").
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF VERNON AS FOLLOWS:
SECTION 1: The City Council of the City of Vernon hereby
finds and determines that the above recitals are true and correct.
SECTION 2: The City Council of the City of Vernon finds
that this action is exempt under the California Environmental Quality
Act (CEQA), in accordance with Section 15061(b)(3), the general rule
that CEQA only applies to projects that may have an effect on the
environment.
SECTION 3: The City Council of the City of Vernon hereby
instructs the City Administrator, or his designee, to issue in
accordance with Vernon City Code Section 2.29-2, the RFP, a copy of
which is attached hereto as Exhibit A, to one or more qualified firms,
and to report to the City Council on the proposals received with a
recommendation for action.
SECTION 4: The Interim City Clerk of the City of Vernon
shall certify to the passage, approval and adoption of this
resolution, and the Interim City Clerk of the City of Vernon shall
cause this resolution and the Interim City Clerk's certification to be
entered in the File of Resolutions of the Council of this City.
APPROVED AND ADOPTED this 22°d day of January, 2013.
Name: Wil am J. Davis
d, Interim'City Clerk
Title: Mayor /-Msyor—P=ff-rC
- 2 -
STATE OF CALIFORNIA )
) ss
COUNTY OF LOS ANGELES )
I, Dana Reed, Interim City Clerk of the City of Vernon, do hereby
certify that the foregoing Resolution, being Resolution No. 2013-12,
was duly passed, approved and adopted by the City Council of the City
of Vernon at a special meeting of the City Council duly held on
Tuesday, January 22, 2013, and thereafter was duly signed by the Mayor
or Mayor Pro-Tem of the City of Vernon.
Executed this day of January, 2013, at Vernon, California.
(SEAL)
- 3 -
Reed, Interim City Clerk
EXHIBIT A
City of Vernon
Request for Proposals (RFP)
Classification and Compensation Study
City of Vernon
Human Resources Department
4305 Santa Fe Avenue, Vernon Ca 90058
Phone: (323) 583-8811
1
City of Vernon Classification and Compensation Request for Proposals
CITY OF VERNON REQUEST FOR PROPOSAL
CLASSIFICATION AND COMPENSATION STUDY
INTRODUCTION AND PROJECT
The City of Vernon is requesting proposals for qualified professional consulting services
to conduct a City-wide classification and compensation study.
The City will select one firm, based on demonstrated competence and a cost effective
approach to design, conduct, and assist in the implementation of a city-wide
classification and compensation study.
2. BACKGROUND
The City of Vernon was founded in 1905, is approximately 5.2 square miles in size and
is located approximately 5 miles southeast of downtown Los Angeles California. Over its
long history Vernon has been developed as an industrial community. At the turn of the
20'h century the lands that make up Vernon were comprised largely of farmlands. The
presence of three major rail lines in the area led influential business men and property
owners to encourage the railroad companies to run spur lines onto the farmlands.
These rail extensions enabled the creation of an "exclusively industrial" city. By the
1920's Vernon was attracting large stockyards and meatpacking facilities. In the 1930's
Vernon became the location of choice for many heavy industrial plants. As economic
conditions changed over the decades, these large scale industrial operations have
relocated out of Southern California and Vernon has attracted smaller, lighter industrial
facilities. The City's business friendly environment, low cost utilities and key location for
trucking and rail transport continue to position Vernon as an ideal location for industrial
uses.
City Government: The City Council consists of five members, elected from the City at -
large, who serve five-year staggered terms. The City Council annually appoints a Mayor
and a Mayor Pro Tern from its own membership to serve one-year terms.
Labor Force: Vernon has approximately 281 employees, and its departments include a
Fire Department, Police Department, Finance Department, Community Services and
Water Department, Light and Power Department and Health Department. Present
bargaining units recognized include the Vernon Police Officers Association, the Vernon
Police Management Association, the Vernon Fire Fighters Union and the Fire
Management Association. Several other labor organizations have expressed an interest
in setting up bargaining units within the Vernon work force. In addition, the City is in the
process of modifying its employment system from an "at will" to a merit system. It is
adopting revised personnel procedures. Vernon recently hired both a Human
Resources Director and a City Attorney.
City of Vernon Classification and Compensation Request for Proposals
3. SITUATION
The City's classification plan requires an update, with class specifications that are in line
with current changes and requirements in the law. Class specifications need to be
updated to reflect current job duties and requirements of the position, including physical
requirements and essential functions to comply with the ADA.
The City has not had a comprehensive classification and compensation review in over
10 years. During this time specific job family classification studies have been conducted.
Over the last three years, the City has realigned several positions, resulting in the
reorganization of several departments.
4. SCOPE OF SERVICES REQUIRED
The City of Vernon is seeking the services of a highly qualified consulting firm to assist
in:
Classification Plan
1. Updating the classification plan for approximately 158 classifications representing
275 Full-time and 6 Part-time employees as of January 2, 2013 (including sworn
personnel).
2. Develop a classification structure that reflects the City's overall classification and
compensation strategy and includes the clear definition of terms and the
development of career ladders for full-time and part-time classifications.
3. Review the background materials including existing classifications, organizational
charts, budgets, salary resolutions and schedules, personnel rules and regulations,
and related information.
4. Conduct orientation and briefing session(s) with employees.
5. Conduct orientation and briefing session(s) with all department heads, managers and
supervisors.
6. Develop a comprehensive questionnaire to be completed by all employees within the
scope of the study.
7. Administer the completion of a job questionnaire by all employees that can be used
for classification and compensation purposes.
Conduct interviews with all employees in single position classifications, a
representative sample of employees in multiple position classifications, and
appropriate supervisory and management personnel to validate information.
City of Vernon Classification and Compensation Request for Proposals
9. Allocate all employees included within the scope of the study to an appropriate job
title, job class and exempt and non-exempt designation (FLSA).
10. Develop new classification specifications and/or update classification specifications
as appropriate to reflect current duties, requirements of the position, including
physical requirements and essential functions in compliance with ADA.
11. Class specifications shall include the following items: (1) a definition of the job
classification, (2) a complete description of essential functions, (3) requirements of
education, experience, knowledge, skills and abilities, (4) supervision exercised and
received with definition of lead or supervisory roles, (5) working
environment/conditions, (6) licenses, certifications, driving requirements and physical
requirements in compliance with the American with Disabilities Act (ADA) and (7)
appropriate exempt and non-exempt designation under the Fair Labor Standards Act
(FLSA). Consultant will coordinate the varying presentation styles of the project
team to ensure a unified philosophy and standardization across the classifications.
12. Design and administer an employee review process
13. Present the final classification and listing showing the recommended allocation of
each position.
14. The classification plan shall include an introductory section that describes class
concepts and provides information about the distinctions of various levels within a
class series and other pertinent information.
15. Provide appropriate implementation and maintenance manuals.
16. Conduct training sessions for designated staff.
Compensation Plan
1. Identify survey labor market and benchmark classes.
2. Conduct a comprehensive compensation survey utilizing comparable survey
agencies, using not only job titles, but duties and responsibilities based upon the
classification specifications from the City of Vernon.
3. Complete internal salary relationship analysis, including the development of
appropriate internal relationship guidelines.
4. Develop externally competitive and internally equitable salary recommendations for
each class included within the study.
5. Access spreads based on organizational value of positions.
6. Assign a salary range to each classification which reflects the results of the market
survey and the analysis of internal relationships.
City of Vernon Classification and Compensation Request for Proposals
Present results of survey to management, and relevant bargaining groups in group
meeting.
8. Assist in the development of a strategy for implementing compensation
recommendations.
9. Add effectively present data -driven rationale for recommendations in written report,
.present findings orally and thoroughly defend all challenges to the survey.
10. Provide a phased implementation plan.
11. Present final Classification and Compensation report to City Administrator.
The consultant or the City may propose additional tasks as deemed necessary to
complete the assignment. Any additional work shall be compensated as agreed upon in
the consultant's contract with the City.
5. QUALIFICATIONS & CRITERIA
A. Qualifications: The City of Vernon will select one firm for all of the outlined Scope
of Service on the basis of qualifications, experience, and cost. The following are the
minimum qualifications to be used to evaluate responses to this Request for
Proposal:
1. The proposer has advanced knowledge of the laws and practices
relating to employee classification and compensation within a municipal
government setting. These include some articulated knowledge of the
laws governing each of the Service Areas for which the proposer wishes
to be considered.
2. The proposer has a demonstrated track record of success in handling all
aspects of employee classification and compensation in the Service Area
being proposed and at least five (5) years providing these services to
public entities in the State of California.
3. Each proposer shall provide three references, preferably from
governmental entities, for relevant work performed in the past five years.
When possible, include references from cities of a similar size and
character to Vernon. If the proposer does not have three governmental
entity references, references from private entities may be provided.
4. The proposer can demonstrate understanding of the assignment and
knowledge of the skills necessary to serve in the role of Classification
and Compensation Consultant.
B. Selection Criteria: The City will conduct a comprehensive, fair, and impartial
evaluation of proposals received in response to this RFP. All proposals received
from vendors will be reviewed and evaluated by a committee of qualified personnel.
The name, information, or experience of the individual members will not be made
available to any vendor. The Evaluation Committee will first review and screen all
proposals submitted, except for the cost proposals, according to the minimum
City of Vernon Classification and Compensation Request for Proposals
qualifications set forth above. The following criteria will be used in reviewing and
comparing the proposals and in determining the highest scoring bid:
1. 40% Qualifications, background and prior experience of the firm in the
Service Area(s) being proposed, experience of key staff assigned to
oversee services provided to Vernon, evaluation of size and scope of
similar work performed and success on that work.
2. 30% Cost and fees to the City for handling matters. Cost is not the sole
determining factor but will be taken into consideration. Proposer must
offer services at a rate comparable to the rate proposer offers to other
governmental entities for similar work. Offering a higher rate to the City
than the comparable rate is grounds for disqualification of the Proposer.
If rates differ for different types or levels of service, or for different
Service Areas, the Proposer should so state.
3. 10% Responsiveness to the RFP, and quality and responsiveness of the
proposal.
4. 20% References including past performance of proposer.
6. FORMAT AND DELIVERY RESPONSE
Respondents are asked to submit seven (7) copies of their proposals in sufficient detail
to allow for a thorough evaluation and comparative analysis. The proposal should
include, at a minimum, the following information in sectionalized format addressing all
phases of the work in the RFP.
A. Format: Limit your proposal to 20 typed 8.5" X 11" pages, or fewer, on white
bond paper of at least 20-pound weight single sided (excluding cover letter and
attachments. You may attach a firm brochure if you wish, but it must be as a
separate attachment and independent from the required elements noted above.
1. Use a conventional typeface with a minimum font zie of 12 points. Use a
1" margin on all boarders.
2. Organize your submittal in the order described above.
3. Provide one 91) unbound original of your firm's response and one
electronic version
4. Prominently label the package: "RFP for Classification and Compensation
Study" and include the name of the prime respondent.
Deliver the response to:
City of Vernon
Attention: Teresa McAllister, Director of Human Resources
4305 Santa Fe Avenue
Vernon, CA 90058
5. Responses are due on or before 5:00 p.m. on March 4, 2013. Late
response will not be accepted.
City of Vernon Classification and Compensation Request for Proposals
6. If you have any question about this RFP, please contact Teresa
McAllister at (323) 583-8811 ext. 239.
B. Cover Letter: All proposals shall include a cover letter which states that the
proposal shall remain valid for a period of not less than ninety (90) days from the
date of submittal. If the proposal contemplates the use of sub -contractors, the
sub -contractors shall be identified in the cover letter. If the proposal is submitted
by a business entity, the cover letter shall be signed by an officer authorized to
contractually bind the business entity. With respect to the business entity, the
cover letter shall also include: the identification of the business entity, including
the name, address and telephone number of the business entity; and the name,
title, address and telephone number of a contact person during the proposal
evaluation period.
C. Introduction: Present an introduction of the proposal and your understanding of
the assignment and significant steps, methods and procedures to be employed
by the proposer to ensure quality deliverables that can be delivered within the
required time frames and your identified budget.
D. General Scope of Work: Briefly summarize the scope of work as the proposer
perceives or envisions it for each Service Area proposed.
E. Work Plan: Present concepts for conducting the work plan and interrelationship of
all products. Define the scope of each task including the depth and scope of
analysis or research proposed.
F. Fees and costs: Although an important aspect of consideration, the financial cost
estimate will not be the sole justification for consideration. Negotiations may or
may not be conducted with the proposer; therefore, the proposal submitted should
contain the proposer's most favorable terms and conditions, since selection and
award may be made without discussion with any firm. All prices should reflect "not
to exceed" amounts per item.
G. Ability of the Proposer to Perform: Provide a detailed description of the proposer
and his/her/its qualifications, including names, titles, detailed professional resumes
and past experience in similar work efforts/products of key personnel who will be
working on the assignment. Provide a list of specific related work projects that
have been completed by the proposer which are directly related to the assignment
described in this RFP. Note the specific individuals who completed such project(s).
Identify role and responsibility of each member of the project team. Include the
amount of time key personnel will be involved in the respective portions of the
assignment. Respondents are encouraged to supply relevant examples of their
professional product. Provide a list of references.
The selected firm shall not subcontract any work under the RFP nor assign any
work without the prior written consent of the City.
H. Affidavit of Non -Collusion. Proposer must submit a completed and signed,
"Affidavit of Non -Collusion." (Copy Attached as Exhibit A).
7
City of Vernon Classification and Compensation Request for Proposals
7. ADDENDA. CHANGES. AND AMENDMENTS TO THIS SOLICITATION
At any time prior to the due date for responses, the City may make changes,
amendments, and addenda to this solicitation, including changing the date due to
allow respondents time to address such changes. Addenda, changes, and
amendments, if made, will be posted on the City's website (www.cityofvernon.org),
which is deemed adequate notice. A proposer may make a request to the City's
project coordinator to be placed on a list of persons to receive notice of any such
addenda, changes, or amendments. The preferred manner of communications is
via e-mail due to its timeliness.
8. CONDITIONS FOR RESPONSES TO RFP
The following conditions apply to this RFP process:
A. Nothing contained in this RFP shall create any contractual
relationship between the respondent and the City:
B. This RFP does not obligate the City to establish a list of service
providers qualified as prime contractors, or award a contract to
any respondent. The City reserves the right to amend or cancel
this RFP without prior notice, at any time, at its sole discretion.
C. The City shall not be liable for any expenses incurred by any
individual or organization in connection with this RFP.
D. No conversations or agreements with any officer, agent, or
employee of the City shall affect or modify any terms of this RFP.
Oral communications or any written/e-mail materials provided by
any person other than designated contact staff of City shall not be
considered binding.
E. The City reserves the right, in its sole discretion, to accept or
reject any or all Proposals without prior notice and to waive any
minor irregularities or defects in a Proposal. The City reserves the
right to seek clarification on a Proposal with any source.
F. The dates, times, and sequence of events related to this RFP
shall ultimately be determined by the City. The schedule shown
above is subject to change, at the sole discretion of the City,
although the City will attempt to follow it and, if it must be altered,
will attempt to provide reasonable notice of the changes.
G. Respondents shall not issue any news release pertaining to this
RFP, or the City without prior written approval of the City.
H. All submitted proposals and information included therein or
attached thereto shall become public record upon delivery to the
City of Vernon Classification and Compensation Request for Proposals
City Administrator's Office.
9. RIGHT BY THE CITY TO WITHDRAW THIS REQUEST
The City may, at its.sole discretion and for any reason whatsoever, withdraw this
solicitation at any time.
10. STANDARD TERMS AND CONDITIONS
Prior to the award of any work hereunder, City and proposer shall enter into the
written contract attached hereto, for services, as an Exhibit B. Proposers
responding to this RFP are strongly advised to review all the terms and
conditions of the Contract.
0
SERVICES AGREEMENT BETWEEN THE CITY OF VERNON AND [CONTRACTOR'S
NAME] FOR [BRIEF DESCRIPTION OF SERVICES]
Contractor:
Responsible Principal of Contractor:
Notice Information - Contractor:
Notice Information - City:
Commencement Date:
Termination Date:
Consideration:
Records Retention Period
COVER PAGE
[insert name of contractor]
[insert name, title]
[insert name of contractor]
[insert street address]
[insert city, state, zip code]
Attention: [insert name, title]
Phone: [insert phone number]
Facsimile: [insert fax number]
City of Vernon
4305 Santa Fe Avenue
Vernon, CA 90058
Attention: [insert department head]
[insert department head title]
Telephone: (323) 583-8811 ext. [insert]
Facsimile.: [insert fax number]
[insert commencement date]
[insert termination date], unless extended
pursuant to Section 1
Total not to exceed $[insert amount]
(includes all applicable sales tax); and more
particularly described in Exhibit C
Three (3) years, pursuant to Section 9.19
December 2012
SERVICES AGREEMENT BETWEEN THE CITY OF VERNON AND [CONTRACTOR'S
NAME] FOR [BRIEF DESCRIPTION OF SERVICES]
THIS Contract is made between the City of Vernon ("City"), a California charter City and
California municipal corporation ("City"), and [Contractor's Name], a [State incorporated in]
corporation ("Contractor").
The City and Contractor agree as follows:
1.0 EMPLOYMENT OF CONTRACTOR. City agrees to engage Contractor to
perform the services as hereinafter set forth as authorized by the City Council on
2.0 SCOPE OF SERVICES.
2.1 Contractor shall perform all work necessary to complete the services set
forth in the Request for Proposals dated Exhibit "A", and Contractor's proposal to
the City ("Proposal") dated Exhibit "B", both of which are attached to and
incorporated into this Contract, by reference.
2.2 All services shall be performed to the satisfaction of City.
2.3 All services shall be performed according to the standards then prevailing
in the [state] profession.
3.0 PERSONNEL.
3.1 Contractor represents that it employs, or will employ, at its own
expense, all personnel required to perform the services under this Contract.
3.2 Contractor shall not subcontract any services to be performed by it
under this Contract without prior written approval of City.
3.3 All of the services required hereunder will be performed by Contractor or
by City -approved subcontractors. Contractor, and all personnel engaged in the work, shall be
fully qualified and authorized or permitted under State and local law to perform such services
and shall be subject to approval by the City.
4.0 TERM. [Alternative 1, for services where there is a deliverable or specific
schedule set forth in the specifications/RFP or in the bid/proposal]. The Contractor shall
December 2012
commence the delivery of services on receipt of a written notice to proceed and shall complete
the services on the schedule set forth in Exhibit "".
[Alternative 2, for services of a continuing nature]. The term of this Contract shall commence on
[state date], and it shall continue until [state date which may not be more than three years from
the commencement date], unless terminated at an earlier date pursuant to the provisions
thereof.
5.0 COMPENSATION AND FEES.
5.1 Contractor has established rates for the City of Vernon which are
comparable to and do not exceed the best rates offered to other governmental entities in and
around Los Angeles County for the same services. For satisfactory and timely performance of
the services, the City will pay Contractor in accordance with the payment schedule set forth in
Exhibit"".
5.2 Contractor's grand total compensation for the entire term of this Contract
shall not exceed [state amount] without the prior authorization of the City Council and written
amendment of this Contract.
5.3 Contractor shall, at its sole cost and expense, furnish all necessary and
incidental labor, material, supplies, facilities, equipment and transportation which may be
required for furnishing services pursuant to this Contract. Materials shall be of the highest
quality. The above Contract fee shall include all staff time and all clerical, administrative,
overhead, insurance, reproduction, telephone, air travel, auto rental, subsistence, and all related
costs and expenses.
6.0 PAYMENT.
6.1 As scheduled services are completed, Contractor shall submit to the
City an invoice for the services completed, authorized expenses, and authorized extra work
actually performed or incurred according to said schedule.
6.2 Each such invoice shall state the basis for the amount invoiced, including
a detailed description of the services completed, the number of hours spent, reimbursable
3 December 2012
expenses incurred and any extra work performed.
6.3 Contractor shall also submit a progress report with each invoice that
describes in reasonable detail the services and the extra work, if any, performed in, the
immediately preceding calendar month.
6.4 Contractor understands and agrees that invoices which lack sufficient
detail to measure performance will be returned and not processed for payment.
6.5 City will pay Contractor the amount invoiced within thirty (30) days after
the City approves the invoice.
6.6 Payment of such invoices shall be payment in full for all services,
authorized costs and authorized extra work covered by that invoice.
7.0 CHANGE ORDERS. There is no change order authority provided in this
Contract.
8.0 CITY'S RESPONSIBILITY. City shall cooperate with Contractor as may be
reasonably necessary for Contractor to perform its services; and will give any required decisions
as promptly as practicable so as to avoid unreasonable delay in the progress of Contractor's
services.
9.0 GENERAL TERMS AND CONDITIONS.
9.1 INDEPENDENT CONTRACTOR.
9.1.1 It is understood that in the performance of the services herein
provided for, Contractor shall be, and is, an independent contractor, and is not an agent or
employee of City and shall furnish such services in its own manner and method except as
required by this Contract. Further, Contractor has, and shall retain the right to exercise full
control over the employment, direction, compensation and discharge of all persons employed by
Contractor in the performance of the services hereunder. Contractor shall be solely responsible
for, and shall indemnify, defend and save City harmless from all matters relating to the payment
of its employees, including compliance with social security, withholding and all other wages,
salaries, benefits, taxes, exactions, and regulations of any nature whatsoever.
December 2012
9.1.2 Contractor acknowledges that Contractor and any subcontractors,
agents or employees employed by Contractor shall not, under any circumstances, be
considered employees of the City, and that they shall not be entitled to any of the benefits or
rights afforded employees of City, including, but not limited to, sick leave, vacation leave,
holiday pay, Public Employees Retirement System benefits, or health, life, dental, long-term
disability or workers' compensation insurance benefits.
9.2 CONTRACTOR NOT AGENT. Except as the City may authorize
in writing, Contractor and its subcontractors shall have no authority, express or implied, to act
on behalf of or bind the City in any capacity whatsoever as agents or otherwise.
9.3 OWNERSHIP OF WORK. All reports, drawings, plans, specifications,
computer tapes, floppy disks and printouts, studies, memoranda, computation sheets and other
documents prepared by Contractor in furtherance of the work shall be the sole property of City
and shall be delivered to City whenever requested. Contractor shall keep such documents and
materials on file and available for audit by the City for at least three (3) years after completion or
earlier termination of this Contract. Contractor may make duplicate copies of such materials
and documents for its own files or for such other purposes as may be authorized in writing by
the City.
9.4 CORRECTION OF WORK. Contractor shall promptly correct any
defective, inaccurate or incomplete tasks, deliverables, goods, services and other work, without
additional cost to the City.. The performance or acceptance of services furnished by Contractor
shall not relieve the Contractor from the obligation to correct subsequently discovered defects,
inaccuracy or incompleteness.
9.5 WAIVER. The City's waiver of any term, condition, breach or default of
this Contract shall not be considered to be a waiver of any other term, condition, default or
breach, nor of a subsequent breach of the one waived.
9.6 SUCCESSORS. This Contract shall inure to the benefit of, and shall be
binding upon, the parties hereto and their respective heirs, successors and/or assigns.
December 2012
9.7 NO ASSIGNMENT. Contractor shall not assign or transfer this Contract
or any rights hereunder without the prior written consent of the City and approval by the City
Attorney, which may be withheld in the City's sole discretion. Any unauthorized assignment or
transfer shall be null and void and shall constitute a material breach by the Contractor of its
obligations under this Contract. No assignment shall release the original parties or otherwise
constitute a novation.
9.8 COMPLIANCE WITH LAWS. Contractor shall comply with all Federal,
State, County and City laws, ordinances, rules and regulations, which are, as amended from
time to time, incorporated herein and applicable to the performance hereof, including but without
limitation, the Vernon Living Wage Ordinance. Violation of any law material to performance of
this Contract shall entitle the City to terminate the Contract and otherwise pursue its remedies.
9.9 ATTORNEY'S FEES. If any action at law or in equity is brought to
enforce or interpret the terms of this Contract, the prevailing party shall be entitled to reasonable
attorney's fees, costs and necessary disbursements in addition to any other relief to which such
party may be entitled.
9.10 INTERPRETATION.
9.10.1 Applicable Law. This Contract, and the rights and duties of
the parties hereunder (both procedural and substantive), shall be governed by and construed
according to the laws of the State of California.
9.10.2 Entire Agreement. This Contract, including any exhibits
attached hereto, constitutes the entire agreement and understanding between the parties
regarding its subject matter and supersedes all prior or contemporaneous negotiations,
representations, understandings, correspondence, documentation and agreements (written or
oral).
9.10.3 Written Amendment. This Contract may only be changed
by written amendment signed by Contractor and the City Administrator or other authorized
representative of the City, subject to any requisite authorization by the City Council. Any oral
December 2012
representations or modifications concerning this Contract shall be of no force or effect.
9.10.4 Severability. If any provision in this Contract is held by any
court of competent jurisdiction to be invalid, illegal, void, or unenforceable, such portion shall be
deemed severed from this Contract, and the remaining provisions shall nevertheless
continue in full force and effect as fully as though such invalid, illegal, or unenforceable portion
had never been part of this Contract.
9.10.5 Order of Precedence. In case of conflict between the
terms of this Contract and the terms contained in any document attached as an Exhibit or
otherwise incorporated by reference, the terms of this Contract shall strictly prevail. The terms
of the City's Request. for Proposals shall control over the Contractor's Proposal.
9.10.6 Choice of Forum. The parties hereby agree that this
Contract is to be enforced in accordance with the laws of the State of California, is entered into
and/or is to be performed in the City of Vernon and that all claims or controversies arising out of
or related to performance under this Contract shall be submitted to and resolved in a forum
within the County of Los Angeles at a place to be determined by the rules of the forum.
9.10.7 Duplicate Originals. There shall be two (2) fully signed
copies of this Contract, each of which shall be deemed an original.
9.11 TIME OF ESSENCE. Time is strictly of the essence of this contract and
each and every covenant, term and provision hereof.
9.12 AUTHORITY OF CONTRACTOR. The Contractor hereby represents
and warrants to the City that the Contractor has the right, power, legal capacity and authority to
enter into and perform its obligations under this Contract, and its execution of this Contract has
been duly authorized.
9.13 ARBITRATION OF DISPUTES. Any dispute for under $25,000
arising out of or relating to the negotiation, construction, performance, non-performance,
breach or any other aspect of this Contract, shall be settled by binding arbitration in accordance
with the Commercial Rules of the American Arbitration Association at Los Angeles, California
December 2012
and judgment upon the award rendered by the Arbitrators may be entered in any court having
jurisdiction thereof. The City does not waive its right to object to the timeliness or sufficiency of
any claim filed or required to be filed against the City and reserves the right to conduct full
discovery.
9.14 INDEMNITY.
9.14.1 Contractor agrees to indemnify, hold harmless and
defend (even if the allegations are false, fraudulent or groundless), to the maximum extent
permitted by law, the City, its City Council and each member thereof, and its officers,
employees, commission. members and representatives, from any and all liability, loss, suits,
claims, damages, costs, judgments and expenses (including attorney's fees and costs of
litigation) which in whole or in part result from, or arise out of, or are claimed to result from or to
arise out of:
A. any activity on or use of City's premises or
facilities or any performance under this Contract; or
B. any acts, errors or omissions (including, without
limitation, professional negligence) of Contractor, its employees, representatives,
subcontractors, or agents in connection with the performance of this Contract.
9.14.2 This agreement to indemnify includes, but is not limited to,
personal injury (including death at any time) and property or other damage (including, but
without limitation, contract or tort or patent, copyright, trade secret or trademark infringement)
sustained by any person or persons (including, but not limited to, companies, or corporations,
Contractor and its employees or agents, and members of the general public). The sole
negligence or willful misconduct of City, its employees or agents other than Contractor or
Contractor's subcontractors are excluded from this indemnity agreement.
9.15 INSURANCE. Contractor shall, at its own expense, procure and maintain
policies of insurance of the types and in the amounts set forth below, for the duration of the
December 2012
Contract, including any extensions thereto. The policies shall state that they afford primary
coverage.
9.15.1 Automobile Liability with minimum limits of at least
$100,000/300,000150,000 if written on a personal automobile liability form, for using a personal
vehicle; or an amount of $500,000 including owned, hired, and non -owned liability coverage if
written on a Commercial automobile liability form.
9.15.2 General Liability with minimum limits of at least $1,000,000
combined single limits written on an Insurance Services Office (ISO) Comprehensive General
Liability "occurrence" form or its equivalent for coverage on an occurrence basis.
Premises/Operations and Personal Injury coverage is required. The City of Vernon, its
directors, commissioners, officers, employees, agents and volunteers must be endorsed on the
policy as additional insureds as respects liability arising out of the Contractor's performance of
this Contract.
A. If Contractor employs other contractors as part of the
services rendered, Contractor's Protective Coverage is required. Contractor may include all
subcontractors as insureds under its own policy or shall furnish separate insurance for each
subcontractor, meeting the requirements set forth herein.
is applicable.
B. Blanket Contractual Coverage if required.
C. Products/Completed Operations coverage where such risk
9.15.3 Contractor shall comply with the applicable sections
of the California Labor Code concerning workers' compensation for injuries on the job.
Compliance is accomplished in one of the following manners:
A. Provide copy of permissive self-insurance certificate
approved by the State of California; or
B. Secure and maintain in force a policy of workers'
compensation insurance with statutory limits and Employer's Liability Insurance with a minimal
December 2012
limit of $1,000,000 per accident. The policy shall be endorsed to waive all rights of subrogation
against City, its City Council, commissioners, officers, employees, and volunteers for losses
arising from performance of this Contract; or
C. Provide a "waiver" form certifying that no employees
subject to the Labor Code's Workers' Compensation provision will be used in performance of
this Contract.
9.15.4 Each insurance policy included in this clause shall be
endorsed to state that coverage shall not be cancelled except after thirty (30) days' prior written
notice to City.
of no less than B:VIII.
9.15.5 Insurance shall be placed with insurers with a Best's rating
9.15.6 Prior to commencement of performance, Contractor shall
furnish City with a certificate of insurance for each policy. Each certificate is to be signed by a
person authorized by that insurer to bind coverage on its behalf. The certificate(s) must be in a
form approved by City. City may require complete, certified copies of any or all policies at any
time.
9.15.7 Failure to maintain required insurance at all times shall constitute a
default and material breach. In such event, Contractor shall immediately notify City and cease
all performance under this Contract until further directed by the City. In the absence of
satisfactory insurance coverage, City may, at its option: (a) procure insurance with collection
rights for premiums, attorney's fees and costs against Contractor by way of set-off or
recoupment from sums due Contractor, at City's option; (b) immediately terminate this Contract;
or (c) self insure the risk, with all damages and costs incurred, by judgment, settlement or
otherwise, including attorney's fees and costs, being collectible from Contractor, by way of set-
off or recoupment from any sums due Contractor.
9.16 NOTICES. Any notice or demand to be given by one party to the other
be given in writing and by personal delivery or prepaid first-class, registered or certified mail,
10 December 2012
addressed as follows. Notice simply to the City of Vernon or any other City department is not
adequate notice.
If to the City:
If to the Contractor:
Any such notice shall be deemed to have been given upon delivery, if personally
delivered, or, if mailed, upon receipt or upon expiration of three (3) business days from the date
of posting, whichever is earlier. Either party may change the address at which it desires to
receive notice upon giving written notice of such request to the other party.
9.17 TERMINATION FOR CONVENIENCE (Without Cause) City may
terminate this Contract in whole or in part at any time, for any cause or without cause, upon
fifteen (15) calendar days' written notice to Contractor. If the Contract is thus terminated by City
for reasons other than Contractor's failure to perform its obligations, City shall pay Contractor a
prorated amount based on the services satisfactorily completed and accepted prior to the
effective date of termination. Such payment shall be Contractor's exclusive remedy for
termination without cause.
9.18 DEFAULT. In the event either party materially defaults in its obligations
hereunder, the other party may declare a default and terminate this Contract by written notice to
the defaulting party. The notice shall specify the basis for the default. The Contract shall
terminate unless such default is cured before the effective date of termination stated in such
notice, which date shall be no sooner than ten (10) days after the date of the notice.
Termination for cause shall relieve the terminating party of further liability or
responsibility under this Contract, including the payment of money, except for payment for
11 December 2012
services satisfactorily and timely performed prior to the service of the notice of termination, and
except for reimbursement of (1) any payments made by the City for service not subsequently
performed in a timely and satisfactory manner, and (2) costs incurred by the City in obtaining
substitute performance.
9.19 MAINTENANCE AND INSPECTION OF RECORDS.
The City, or its authorized auditors or representatives, shall have access
to and the right to audit and reproduce any of the Contractor's records to the extent the City
deems necessary to insure it is receiving all money to which it is entitled under the Contract
and/or is paying only the amounts to which Contractor is properly entitled under the Contract or
for other purposes relating to the Contract.
The Contractor shall maintain and preserve all such records for a period
of at least 3 years after termination of the Contract.
The Contractor shall maintain all such records in the City of Vernon. If
not, the Contractor shall, upon request, promptly deliver the records to the City of Vernon or
reimburse the City for all reasonable and extra costs incurred in conducting the audit at a
location other than the City of Vernon, including, but not limited to, such additional (out of the
City) expenses for personnel, salaries, private auditors, travel, lodging, meals and overhead.
9.20 CONFLICT. Contractor hereby represents, warrants and certifies that no
member, officer or employee of the Contractor is a director, officer or employee of the City of
Vernon, or a member of any of its boards; commissions or committees, except to the extent
permitted by law.
9.21 ENFORCEMENT OF WAGE AND HOUR LAWS. Eight hours labor
constitutes a legal day's work. The Contractor, or subcontractor, if any, shall forfeit twenty-five
dollars ($25) for each worker employed in the execution of this Agreement by the respective
Contractor or subcontractor for each calendar day during which the worker is required or
permitted to work more than 8 hours in any one calendar day and 40 hours in any one calendar
week in violation of the provisions of Sections 1810 through 1815 of the California Labor Code
12 December 2012
as a penalty paid to the City; provided, however, work performed by employees of contractors in
excess of 8 hours per day, and 40 hours during any one week, shall be permitted upon
compensation for all hours worked in excess of 8 hours per day at not less than 1'/2 times the
basic rate of pay.
9.22 LIVING WAGES. Contractor, or Subcontractor, if any, working on City
service contracts of any amount, as to all employees spending time on City contracts shall
observe the City's Living Wage Ordinance and all requirements thereof at all times on City
contracts. The Current Living Wage Standards are set forth in Exhibit "D". Upon request,
certified payroll shall be provided to the City.
9.23 EQUAL EMPLOYMENT OPPORTUNITY PRACTICES. Contractor
certifies and represents that, during the performance of this Contract, it and any other parties
with whom it may subcontract shall adhere to equal employment opportunity practices to assure
that applicants, employees and recipients of service are treated equally and are not
discriminated against because of their race, religion, color, national origin, ancestry, disability,
sex, age, medical condition, sexual orientation or marital status. Contractor further certifies that
it will not maintain any segregated facilities. Contractor further agrees to comply with The Equal
Employment Opportunity Practices provisions as set forth in Exhibit "E".
[Signatures Begin on Next Page].
13 December2012
IN WITNESS WHEREOF, the Parties have signed this Agreement as of the date stated
in the introductory clause.
City of Vernon, a California charter City
and California municipal corporation
IN
William Davis, Mayor
ATTEST:
Dana Reed, Interim City Clerk
APPROVED AS TO FORM:
Nicholas George Rodriguez,
City Attorney
[CONTRACTOR'S NAME, a [State
incorporated in] corporation
By:
Name:
Title:
By:
Name:
Title:
14 December 2012
EXHIBIT A
SCOPE OF SERVICES
15 December 2012
EXHIBIT B
PROPOSAL
16 December 2012
EXHIBIT C
SCHEDULE
17 December 2012
EXHIBIT D
LIVING WAGE PROVISIONS
Minimum Living Wages:
A requirement that Employers pay qualifying employees a wage of no less than $10.30 per hour
with health benefits, or $11.55 per hour without health benefits.
Paid and Unpaid Days Off:
Employers provide qualifying employees at least twelve compensated days off per year for sick
leave, vacation, or personal necessity, and an additional ten days a year of uncompensated
time for sick leave.
No Retaliation:
A prohibition on employer retaliation against employees complaining to the City with regard to
the employer's compliance with the living wage ordinance. Employees may bring an action in
Superior Court against an employer for back pay, treble damages for willful violations, and
attorney's fees, or to compel City officials to terminate the service contract of violating
employers.
18 December 2012
EXHIBIT E
EQUAL EMPLOYMENT OPPORTUNITY
PRACTICES PROVISIONS
A. Contractor certifies and represents that, during the performance of this Agreement, the
contractor and each subcontractor shall adhere to equal opportunity employment practices
to assure that applicants and employees are treated equally and are not discriminated
against because of their race, religious creed, color, national origin, ancestry, handicap,
sex, or age. Contractor further certifies that it will not maintain any segregated facilities.
B. Contractor agrees that it shall, in all solicitations or advertisements for applicants for
employment placed by or on behalf of Contractor, state that it is an "Equal Opportunity
Employer" or that all qualified applicants will receive consideration for employment without
regard to their race, religious creed, color, national origin, ancestry, handicap, sex or age.
C. Contractor agrees that it shall, if requested to do so by the City, certify that it has not, in the
performance of this Agreement, discriminated against applicants or employees because of
their membership in a protected class.
D. Contractor agrees to provide the City with access to, and, if requested to do so by City,
through its awarding authority, provide copies of all of its records pertaining or relating to its
.employment practices, except to the extent such records or portions of such records are.
confidential or privileged under state or federal law.
E. Nothing contained in this Agreement shall be construed in any manner as to require or
permit any act which is prohibited by law.
19 December 2012
CITY CLERK'S OFFICE
INTEROFFICE MEMORANDUM
DATE: January 24, 2013
TO: Teresa McAllister, Director of Human Resources
i
FROM: Deborah Juarez, Records Management Assistant!U)
RE: Resolution No. 2013-12 — A Resolution of the City Council of the City of Vernon
Authorizing the Issuance of a Request for Proposals for Classification and Compensation
Study
Transmitted herewith is a copy of Resolution No. 2013-12 referenced above, which was approved by
City Council on January 22, 2013.
Thank you.
Attachment
c: Resolution No. 2013-12
RECEIVED
RECEwEp
JAN 0 8 2013 STAFF REPORT
CITY CLERK'S OFFICE HUMAN RESOURCES DEPARTMENT
DATE: January 22, 2013
TO: Honorable Mayor and City Council
FROM: Teresa McAllister, Director of Human Resources p
JAN 0 3 2013
CITY ADMINISTRATION
RE: REQUEST FOR PROPOSAL FOR CITY-WIDE CLASSIFICATION AND
COMPENSATION STUDY
Recommendation
1) It is recommended that the City Council find that approval of the proposed engagement
letters in this staff report are exempt under the California Environmental Quality Act
(CEQA) in accordance with Section 15061(b)(3), the general rule that CEQA only
applies to projects that may have an effect on the environment.
2) It is recommended that the City Council approve and authorize the issuance of the
attached Request for Proposal for a City-wide Classification and Compensation Study to
assist in updating the City of Vernon Classification and Compensation Plan for
approximately 158 classifications.
Backuround
A classification plan provides the necessary framework to guide administrative, financial and
human resources decisions. In addition, the classification plan provides a basis for recruitment,
performance management, compensation, training and career ladder/succession planning. An
up-to-date classification and compensation plan ensures the City aligns talent to the vision and
purpose of the organization; attracts, retains, and develops the best people; clarifies direction and
expectations, and improves engagement and commitment.
Staffing represents the City's primary means of delivering top-quality service, and its most
significant expense. A thorough review of employee classifications must be a cornerstone on the
emphasis of this study. A comprehensive classification plan is an integral component of
organizational procedures to ensure maximum effectiveness.
To ensure the City's continued competitive advantage as a forward -thinking organization, this
classification and compensation study is recommended. This City has not conducted a
comprehensive classification and compensation system -wide study in over five years. Over the
years this has resulted in misalignment of how the classifications are used in terms of assignment
and level of responsibility, making it difficult to maintain internal equity. Further, over the past
three years, the City has eliminated several positions and with the recently approved PARS
Supplemental Retirement Program, an additional 29 positions will be eliminated resulting in the
reorganization of several departments.
In line with the City's good governance reforms, the City has, among numerous other things,
developed a comprehensive contracting/purchasing ordinance that establishes an open and
competitive bidding process for service contracts as required by the City Charter amendment
passed by the voters in November 2011.
Consistent with all provisions of the aforementioned ordinance, City staff is requesting that a
Request for Proposal (RFP) be issued to seek a consultant to participate in the analysis of the
city's classification and compensation plans. The Consultant, in addition to other services
required, will update the City's classification and compensation plan for approximately 158
classifications and allocate all employees included within the scope of the study to an appropriate
job title, job class and exempt and non-exempt designation (FLSA). They would also be
responsible for developing new classification specifications and/or update classification
specifications as appropriate to reflect current duties, requirements of the position, including
physical requirements and essential functions in compliance with ADA. The compensation
study shall include identifying survey labor market and benchmark classes to conduct a
comprehensive compensation survey utilizing comparable survey agencies, using not only job
titles, but duties and responsibilities based upon the classification specifications from the City of
Vernon.
At the conclusion of the study, the Human Resources Department will have identified
opportunities to evaluate the current schedule of salary differentials and determine the
reasonableness of each; assess the reasonableness of the minimum qualifications for each
position; identify comparable agencies for the City of Vernon competitive markets; evaluate the
appropriateness of existing FLSA designations (exempt vs. non-exempt); determine the
appropriateness of classification designations as compared to the Employee/Employer
Resolution definitions; develop a new salary table; and revise/update all job descriptions.
The issuance of the attached RFP will ensure the City has effective current data -driven rationale
for the City's Classification and Compensation Plan and can thoroughly defend all challenges
that ensure fiscal responsibility and stability.
Financial Impact
The financial impact at this time is unknown pending the results and selection among the
proposals and bidders for services. Staff will return for a budget appropriation as required to
commensurate with the awarding of the services contract to the firm deemed fit to conduct the
Classification and Compensation study.