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HomeMy WebLinkAboutKoff & Associates, Inc. (2)HUMAN RESOURCES MANAGEMENT PROFESSIONAL SERVICES AGREEMENT THIS HUMAN RESOURCES MANAGEMENT PROFESSIONAL SERVICES AGREEMENT ("Agreement") is made and entered into as of the day of March. 2021, by and between KOFF & ASSOCIATES ("K&A"), a California corporation located at 2835 Seventh Street, Berkeley, CA 94710, and Town of Los Altos Hills ("Client"), located at 26379 Fremont Road, Los Altos Hills, CA 94022. RECITAL Client desires to retain K&A as an independent contractor to perform human resource management professional services for Client, and K&A is willing to perform such services, on the terms set forth below. Scope of Work: The scope of work includes a Total Compensation and Pay Equity Study, described in more detail in Exhibit A, which is attached to this Agreement and incorporated herein by this reference. AGREEMENT NOW, THEREFORE, the parties hereby agree as follows: 1. Services. K&A agrees to perform the work project that is identified above to Client and other such services as may be requested by Client from time to time and that are within the competence and consistent with the expertise of K&A (collectively, the "Services"). The parties may delete, add or substitute Services, extend the term of this Agreement or alter the terms of compensation by executing one or more amendments or addenda, provided that each such amendment or addendum shall be signed by authorized representatives of both parties. 2. Compensation. Client agrees to pay K&A compensation as follows: 2.1 Project Fee. On a project fee basis. The Fee for Services for the specified work project shall not exceed Twenty -Three Thousand Four Hundred Five Dollars ($23,405). Expenses are included in the Project Fee. Project fees shall be billed upon monthly progress task completion. Should Client desire additional levels of effort that are directly related to the identified scope of work indicated above, K&A will honor our composite rate of 155 hour. 2.2 Time Expended. On a time expended basis. Should Client desire K&A to perform other human resources work unrelated to the above identified project, time shall be billed by K&A for each of its staff at the rates of $190 per hour for Chief Executive Officer and President, $170 per hour for Senior Project Manager, $165 for Project Manager, $160 per hour for Senior Associate, $155 per hour for Associate, $80 per hour for Administrative Coordinator, and $75 per hour for Administrative Assistant. Any request for such time expended work must be evidenced in writing signed by Client's authorized representative. 2835 Seventh Street, Berkeley, California 94710 1510.658.5633 1 www.KoffAssociates.com Page 2 of 6 March 22, 2021 Town of Los Altos Hills Time is accounted for and billed on a quarter hour (.25) basis. Travel time in connection with Services is billed for each staff member at one half the normal hourly billing rate, and no more than four hours of travel time is billed per day within California. Expenses are incorporated in our hourly rates and will not be charged separately on a reimbursement basis. They include photocopying, binding, and other similar document production charges, long distance telephone and facsimile, postage and courier, mileage at the then current IRS rate, hotel, airfare, car rentals, per diem, and other similar charges. 3. Payment. Our Regular Terms are Net 30. Client shall pay K&A for its fees and reimbursable expenses (if applicable) within 30 days following the date of receipt of each applicable invoice. If Client contests or questions any invoice, it agrees to raise any questions with management of K&A within such 30 -day period. Late fees in the amount of 2% of invoice amount will accrue if current invoice is not paid within 30 days of payment due date of that invoice. If late fees are not paid, they will carry forward to next invoice. 4. Confidentiality. 4.1 Definition. "Confidential Information" means any Client software source code; proprietary information; employment records; financial, tax, business and/or product records; and marketing, financial statements or records or other business information disclosed by Client either directly or indirectly, in writing, orally or by drawings or inspection of parts or equipment. "Confidential Information" shall not be deemed to include information which (a) is known to K&A at the time of disclosure to K&A by Client, as evidenced by written records of K&A; (b) has become publicly Known and made generally available through no wrongful act of K&A; or (c) has been rightfully received by K&A from a third party who is authorized to make such disclosure. 4.2 Covenant Not to Use or Disclose. K&A shall not, during or subsequent to the term of this Agreement, use any of the Confidential Information for any purpose whatsoever other than the performance of the Services on behalf of Client, nor disclose any Confidential Information to any third party. It is understood that all Confidential Information shall remain the sole property of Client. K&A further agrees to take all reasonable precautions to prevent any unauthorized disclosure of the Confidential Information by its employees or agents. 4.3 Return of Materials. Upon the termination of this Agreement or upon Client's earlier request, K&Awill deliverto Client all of Client's Confidential Information in tangible form that K&A may have in K&A's possession or control, except that K&A may retain one copy of all such materials solely for archival purposes. 2835 Seventh Street, Berkeley, California 94710 1 510.658.5633 1 www.l<offAssociates.com Page 5 of 6 March 22, 2021 Town of Los Altos Hills court of competent jurisdiction. The prevailing party in such arbitration shall be entitled to reimbursement by the other party of its costs and expenses of arbitration and the costs of enforcing any arbitration award, including its attorneys' and experts' fees and expenses. 10.4 Governing Law. This Agreement shall be governed by the laws of the State of California, without reference to conflict of law principles. 10.5 Entire Agreement. This Agreement, together with the description of the project and any and all amendments and addenda, as applicable, is the entire agreement of the parties and supersedes any prior agreements between them with respect to the subject matter hereof. No modification of or amendment to this Agreement, nor any waiver of any rights under this Agreement, shall be effective unless in writing signed by both parties. 10.6 Notices. Any notices required or permitted by this Agreement shall be in writing and shall be addressed to the other party at the address shown at the beginning of this Agreement or such other address of which such party may notify the other and shall be deemed given upon delivery if delivered personally, one (1) business day following delivery by facsimile with machine confirmation of transmission, or three (3) business days after deposit in the United States mail, postage prepaid, registered or certified mail, return receipt requested. 10.7 Waiver. The failure of either party to assert any claim or right against the other party regarding its obligations under this Agreement and/or any amendments or addenda hereto, in any one or more instance, shall not constitute a waiver of such claim or right of any obligations under this Agreement. 10.8 Non -Solicitation. Except with the written consent of Georg Krammer or Katie Kaneko, which consent may be given or withheld in their sole discretion, Client agrees that during the term of this Agreement and for a period ending one year thereafter (the "Time Period") Client will not solicit services from or hire any K&A employee or contractor (each, a "Team Member") with whom Client has had contact pursuant to the services provided to Client under this Agreement. Client specifically acknowledges that K&A recruits, trains, and contracts with Team Members and that such efforts are costly and time-consuming. As such, it is understood that should Client hire a Team Member during the Time Period for any reason without the required consent, Client agrees to pay a placement fee (paid at the time of placement) of 30% of Team Member's first year's total compensation which accurately reflects a reasonable estimate of K&A's time and costs attendant to its recruitment, hiring, retention, and management of Team Members. 10.9 Non -Discrimination. K&A shall comply with all Federal, State, and local laws and regulations including Client's policies concerning nondiscrimination and equal opportunity in contracting. Such laws include, but are not limited to, the following: Executive Order 11246 -Compliance with Section 3, Title VII of the Civil Rights Act of 1964 2835 Seventh Street, Berkeley, California 94710 1510.658.5633 1 www.l(offAssociates.com Page 6 of 6 March 22. 2021 Town of Los Altos Hills as amended, Americans with Disabilities Act of 1990; The Rehabilitation Act of 1973 (Sections 503 and 504); California Fair Employment and Housing Act (Government Code sections 12900 et seq.); California Labor Code sections 1101, 1102, and 1102.1. K&A shall not discriminate against any subcontractor, employee, or applicant for employment because of age, race, color, national origin, ancestry, religion, sex/gender, sexual orientation, mental disability, physical disability, medical condition, political beliefs, organizational affiliations, or marital status in the recruitment, selection for training including apprenticeship, hiring, employment, utilization, promotion, layoff, rates of pay or other forms of compensation. Nor shall K&A discriminate in provision of services provided under this contract because of age, race, color, national origin, ancestry, religion, sex/gender, sexual orientation, mental disability, physical disability, medical condition, political beliefs, organizational affiliations, marital status, or any other protected group. IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the day and year first written above on Page 1. KOFF & ASSOCIATES, INC. By: Georg S. Krammer Title: Chief Executive Officer Date: 3 'A + —dDOQ CLIENT: Town of Los Itos Hills By: C� W" ( -LA L (print name) s (signature) Title: o— ` v Date: /2 2835 Seventh Street, Berkeley, California 94710 1 510.658.5633 1 www. KoffAssociates.com EXHIBIT A Total Compensation Study Submitted by: GEORG S. KRAMMER Chief Executive Officer 2835 Seventh Street Berkeley, CA 94710 www.KoffAssociates.com gl<rammer@koffassociates.com Tel: 510.658.5633 Fax: 510.652.5633 m K -1.1 & March 16, 2021 Submitted via Email Ms. Sarina Revillar Administrative Services Director Town of Los Altos Hills 26379 Fremont Road Los Altos Hills, CA 94022 Dear Ms. Revillar: Thank you for the opportunity to respond to your request for a Total Compensation Study and a Pay Equity Study for the Town of Los Altos Hills. This proposal shall remain valid for 90 days. Please call if you have any questions or wish additional information. Sincerely, IqIS-Ij)MWjj�- Georg S. Krammer Chief Executive Officer 2835 Seventh Street, Berkeley, California 94710 1510.658.5633 1 www.l(offAssociates.com Key Personnel Scope of Work & Deliverables Timeline Cost Proposa Insurance Acknowledgment Signature Page Total Compensation Study Proposal Town of Los Altos Hills Page 1 Page 3 Page 5 Page 6 Page 7 2835 Seventh Street, Berkeley, California 94710 1510.658.5633 1 www.l(offAssociates.com Total Compensation Sturdy Proposal Im Town of Los Altos Hills w Following are short biographies of the specific staff who will be assigned to this study: Georg Krammer, M.B.A., S.P.H.R. Chief Executive Officer Georg brings over 20 years of management -level human resources experience to Koff & Associates with an emphasis in classification and compensation design; market salary studies; organizational development; executive recruitment; performance management; and employee relations, in the public sector and in large corporations as well as small, minority-owned businesses. After obtaining a Master of Arts 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 Master of Business Administration from the University of San Francisco. After starting his HR career in Wells Fargo's college recruiting department, he moved on to HR management positions in the banking and high-tech consulting industries. He had five years in the private sector where he served as an HR Manager, and Administrative Officer, and then HR Director before entering the public sector. With his wide-ranging and deep experience as a well-rounded senior HR generalist, his education in business and teaching, his depth and breadth of experience with public sector HR needs, programs, and functions, Georg's contribution to K&A's variety of projects greatly complements the Koff & Associates Human Resources and Recruitment Services team. He has spearheaded several hundred classification, compensation, organizational, strategic planning, etc., studies for hundreds of cities, towns, counties, and special districts throughout the State of California and has contributed to more than quadrupling the size of Koff & Associates as a result of the success of his projects and the subsequent expansion of the business through referrals from satisfied clients. Georg joined K&A in 2003 and has been the firm's Chief Executive Officer since 2005. In the last few years, Georg has been the Project Director/Key Personnel for classification and/or compensation studies, organizational assessments, and other HR projects, at the following agencies: • Cities/Towns: Alameda, American Canyon, Anaheim, Arroyo Grande, Bellflower, Campbell, Citrus Heights, Coachella, Concord, Cotati, Gilroy, La Canada Flintridge, Lomita, Los Altos, Los Altos Hills, Menifee, Menlo Park, Morro Bay, Murrieta, National City, Newport Beach, Oakland, Oxnard, Palm Desert, Perris, Pleasant Hill, Port Hueneme, Redlands, Redwood City, Sacramento, San Diego, San Jose, San Marino, Santa Ana, Santa Barbara, Santa Clara, Saratoga, Sausalito, Seal Beach, Spokane (Washington), Vallejo, West Sacramento, Westminster, Yucca Valley, Yreka • Counties: Bernalillo (New Mexico), Fresno, Monterey, Orange, Placer, San Joaquin, Sonoma, and Trinity. • Courts: Habeas Corpus Resource Center, Superior Court of Kern County, Superior Court of Orange County, Superior Court of Santa Barbara. • Education: College of the Sequoias, Excelsior Charter Schools, First 5 Alameda, Foothill -De Anza Community College District, Riverside Community College District, West Valley Mission Community College District. 2835 Seventh Street, Berkeley, California 94710 1510.658.5633 1 www.KoffAssociates.com rte:= Total Compensation Study Proposal IM Town of Los Altos Hills • Special Districts: Air Quality, Community Services District, Fire and Police Protection, Housing/Economic Development, Open Space, Public Utilities, Transportation, Wastewater and Water. Georg will be key personnel and serve as the Co -Project Director for this project; he will coordinate all of K&A's efforts, will attend all meetings with the Town, and will be responsible for all work products and deliverables. Alyssa Thompson, Ph. D. Senior Project Manager Alyssa has over 15 years of human resources experience in classification and compensation analysis and development, performance management, affirmative action program development, and recruitment. Alyssa also has experience in designing and conducting quantitative and qualitative research studies. Since joining K&A in 2007, Alyssa has led and worked on well over 300 classification, compensation, organizational assessment, and recruitment projects for cities, counties, and special districts, including but not limited to some of these more recent projects: • Cities and Towns: Concord, Danville, Discovery Bay, Fremont, Hayward, Hillsborough, Los Altos Hills, Monterey, Napa, Oakland, Orange, Palm Desert, Piedmont, Redlands, Sacramento, San Diego, Santa Barbara, Santa Rosa, Vallejo • Counties: Bernalillo (New Mexico), Humboldt, Orange, Placer, San Joaquin, San Mateo, Solano, Tehama, Tuolumne • Education: Alameda Unified School District, Berkeley Unified School District, Cutler-Orosi Unified School District, Foothill -De Anza Community College District, Mount San Antonio College, Salinas Union High School District, Travis Unified School District, West Valley Mission Community College District • Courts: Habeas Corpus Resource Center, Superior Court of California -County of Orange • Special Districts: Community Services District, Fire and Police Protection, Housing/Economic Development, Open Space, Public Utilities, Transportation, Water and Wastewater She earned a Bachelor's degree in Psychology with a minor in Sociology -Organizational Studies from the University of California, Davis, and a Ph.D. in Organizational Psychology from Alliant International University. Alyssa will serve as the Co -Project Director for this project; she will help coordinate all of K&A's efforts, will attend all meetings with the Town, and will be responsible forwork products and deliverables, as well as provide consultant support throughout the effort, compensation data collection and analysis, internal job analysis, development of recommendations, and implementation strategies. 2835 Seventh Street, Berkeley, California 94.710 1510.658.5633 1 www.KoffAssociates.com CRIME, 1W Total Compensation Study Proposal Town of Los Altos Hills Deliverable A. Initial Documentation Review, Meetings with Study Project Team and Management Staff • Identify client project team, contract administrator, and reporting relationships. • Orientation and briefing sessions with the study project team and staff to explain methodology. • Gather all pertinent documentation, including class descriptions, organizational charts, personnel policies, memoranda of understanding, etc. • Review and confirm comparator agencies, benchmark classifications, and identify benefits to be surveyed. Deliverable B. List of Comparator Agencies, Benchmark Classifications and Benefits to be Collected • Confirm appropriate comparator agencies based on a number of evaluation criteria (such as type of organization, size of organization, number of employees, size of budgets, population served, cost of living, etc.); the comparator list may include: 1. City of Cupertino 2. City of Half Moon Bay 3. City of Los Altos 4. City of Monte Sereno 5. City of Saratoga 6. City of Sausalito 7. Town of Atherton 8. Town of Hillsborough 9. Town of Moraga 10. Town of Tiburon 11. Town of Portola Valley 12. Town of Woodside • Confirm classifications to be studied based on an internal relationship analysis of all classifications. 1. Accountant 2. Accounting Office Assistant 3. Administrative Clerk/Technician 4. Administrative Services Director 5. Associate Engineer 6. Associate Planner 7. Building Inspector 8. City Clerk 9. City Manager 10. Community Services Supervisor 11. Engineering Services Manager 12. Finance Manager 13. Maintenance Superintendent 14. Maintenance Worker II 15. Management Analyst 2835 Seventh Street, Berkeley, California 94710 1510.658.5633 1 www.l(offAssociates.com Ka 16. Parks & Recreation Coordinator 17. Planning Director 18. Planning Technician 19. Public Works Director & City Engineer 20. Recreation Specialist • Confirm benefits to be collected. Total Compensation Study Proposal Town of Los Altos Hills Deliverable C. Data Collection and Preliminary Data Review • K&A to conduct all of the data collection and analysis to ensure validity of data and quality control; compare job description to job description; ensure matches of at least 70%. • Review the Town's existing job descriptions to ensure understanding of each position to be surveyed. • Collect job descriptions, organization charts, and other information from comparator agencies via website, in person, or by telephone. • Make preliminary "matches" and then schedule appointments by telephone, and sometimes in person, with knowledgeable individuals to answer specific questions. • Ensure a very high validity rate and produce data that is substantiated before management, employee representation as well as City Council. • Enter data into spreadsheet format designed for ease of interpretation and use. • Present information in a format that will identify the comparator positions used for each class comparison. • Calculate information based upon average and median figures, allowing the Town to make informed compensation decisions. Deliverable D. Draft Compensation Findings and Meeting with Project Team • Distribute draft findings to the Town. • After the Town's preliminary review, meet with the project team and various stakeholders to clarify data, receive requests for reanalysis of certain comparators; and answer questions and address concerns. • Provide an opportunity for the project team and other stakeholders to review and question any of our recommended benchmark comparator matches. • If questions arise, conduct follow-up analysis to reconfirm original analysis and/or make corrections. Deliverable E. Internal Job Analysis • Determine internal equity for both market driven and non -benchmarked positions. • Develop internal position hierarchy based on the "whole position" classification methodology including education, experience, problem solving/ingenuity, attention/stress, independence of action/responsibility, contacts with others, supervision exercised, consequence of action/decisions. • Make recommendations regarding vertical salary differentials across the organization. Deliverable F. Compensation Structure Development • Review and make recommendations regarding internal alignment and salary structure within which classifications are allocated, based upon the Town's preferred compensation model. 2835 Seventh Street, Berkeley, California 94.710 1510.658.5633 1 www.KoffAssociates.com ��4M�u Total Compensation Study Proposal IM Town of Los Altos Hills • Discuss draft recommendations with management team prior to developing Interim Report. Deliverable G. Preparation of Draft Final and Final Report and Deliverables • Complete Draft Report and submit to the Town for review, comment, and recommendations, including detailed compensation findings and recommendations; proposed salary structure; and implementation issues; methodology for continued implementation and maintenance of plan. • After the Town's questions/concerns are addressed and discussed, create Final Compensation Report. Deliverable H. Final Presentation to Project Team and City Council • Our proposal includes one initial overview, one interim study session (to discuss the initial findings of the market salary study); this includes one presentation to one Council committee and one presentation to the City Council, as needed. • Identify Percentage Difference Between Starting Pay and Current Pay for Each Position. • Count the Number of Years in the Class for Each Position to the Nearest Year, Up or Down. • Divide the Percentage Difference for Each Position by the Number of Years in the Class to Establish an Average Pay Increase Per Year, Per Position. • Calculate an Overall Average of Compa-Ratios. • Calculate an Overall Average Increase Amount for All Positions. • Data and Trend Analysis. • Final Report and Recommendations. • Final Presentation. 2835 Seventh Street, Berkeley, California 94710 1510.658.5633 1 www.l<offAssociates.com 5 Total Compensation Study Deliverables Update Completion by: Initial Documentation Review, Meetings with Study Project A. Team & Management Staff Week 1 List of Comparator Agencies (up to 12 agencies), Benchmark Week 1 B. Classifications (up to 19), and Benefits to be Collected C. Data from Comparators and Preliminary Data Review Week 8 Draft Compensation Findings/Additional Analysis/Study Project D Team Meetings Week 10 E. Analysis of Internal Relationships and Alignment Week 11 F. Compensation Recommendations Week 11 G. Final Report and Recommendations Week 12 H. Final Presentation As Scheduled 2835 Seventh Street, Berkeley, California 94710 1510.658.5633 1 www.l<offAssociates.com 5 Town of Los Altos Hills Deliverables Pay Equity Study Com I pletion by: A. Identify Percentage Difference Between Starting Pay and Current 3 A. Pay for Each Position Week 4 C. Count the Number of Years in the Class for Each Position to the 75 B Nearest Year, Up or Down Week 5 E. Divide the Percentage Difference for Each Position by the Number 4 C. of Years in the Class to Establish an Average Pay Increase Per Year, Week 6 G. Per Position 8 D. Calculate an Overall Average of Compa-Ratios Week7 E. Calculate an Overall Average Increase Amount for All Positions Weel(8 F. Data and Trend Analysis Week 9 G. Final Report and Recommendations Week 12 H. Final Presentation As Scheduled Deliverables Total Compensation Study Update Hours A. Initial Documentation Review, Meetings with Study Project Team and Management Staff 3 B. List of Comparator Agencies (up to 12 agencies), Benchmark Classifications (up to 20), and Benefits to be Collected I C. Data from Comparators and Preliminary Data Review 75 D. Draft Compensation Find i ngs/Additional Analysis/Study Project Team Meetings (this assumes a conference call) 8 E. Analysis of Internal Relationships and Alignment 4 F. Compensation Recommendations 4 G. Final Report and Recommendations 8 H. Final Presentation (up to 2 presentations, one to a Council committee and one to the full City Council) 5 Anticipated hours for additional unscheduled meetings andphone calls 3 Total Professional Hours ill Combined professional and clerical composite rate: $155/Hour $17,205 Expenses are included in our combined composite rate: N/A Expenses include but are not limited to duplicating and binding documents, phone, supplies, postage, travel, per diem, etc. TOTAL NOT -TO -EXCEED COST FOR PROJECT: $17,205 *Additional consulting will be honored at our composite rate ($1551Hour) 2D2SSeventh Street, Bedkeley, California 94710 1510.658.5633 | www.KoffAssociates.com Ka `Dotal C.'ontip ns tion Study Proposal Town of Los Altos Hills 'Deliverables Pa Equity Study Hours A. Identify Percentage Difference Between Starting Pay and Current Pay for Each Position 5 B. Count the Number of Years in the Class for Each Position to the Nearest Year, Up or Down 6 C. Divide the Percentage Difference for Each Position by the Number of Years in the Class to Establish an Average Pay Increase Per Year, Per Position 6 D. Calculate an Overall Average of Compa-Ratios 8 E. Calculate an Overall Average Increase Amount for All Positions 5 F. Data and Trend Analysis 4 G. Final Report and Recommendations 5 H. Final Presentation 1 Total Professional Hours 40 Combined professional and clerical composite rate: $155/Hour $6,200 Expenses are included in our combined composite rate: N/A Expenses include but are not limited to duplicating documents, binding reports, phone, fax, supplies, postage, travel expenses, per diem, etc. TOTAL NOT -TO -EXCEED COST FOR PROJECT: $6,200 *Additional consulting will be honored at composite rate ($155/Hour) We will submit and support the levels of coverage and endorse the Town with our General Liability coverage upon execution of a contract for the project. Workers' Compensation: Statutory Limits Commercial General Liability: $2,000,000 per occurrence Professional Liability (Errors & Omissions): $1,000,000 per occurrence Automobile Insurance: $1,000,000 per occurrence Our insurance broker is Ms. Eileen Hollander, Sr. Account Manager/Commercial Lines, EPIC Insurance Brokers, 2300 Contra Costa Blvd., Suite 375, Pleasant Hill, CA 94523. 2835 Seventh Street, Berkeley, California 94710 1510.658.5633 1 www.KoffAssociates.com 7 F-10 Total Cornpensation Study Proposal Town of Los Altos Hills Koff & Associates intends to adhere to all of the provisions described in above. This proposal is valid for 90 days. Respectfully submitted, By: KOFF & ASSOCIATJ State of Calift• Georg S. Krammer March 16, 2021 Chief Executive Officer C 21 Q Hur)T,—Re-sju—i—c—es Gonsulting Since 1984 2835 Seventh Street, Berkeley, California 94710 1510.658.5633 1 www.KoffAssociates.com