STAFF REPORT
City of Lancaster
CC 11
2/25/2025
TN
Date:February 25, 2025
To: Mayor Parris and City Council Members
From: George Harris, Senior Director/Treasurer Administrative Services Subject:First Amendment to the Agreement between AveNew Solutions LLC and the City of Lancaster.
Recommendations:
1. Approve the First Amendment to the AveNew Solutions LLC professional services agreement extending the term of the agreement by 1 year to March 27, 2026, increasing the not- to-exceed amount to $653,565, and updating and expanding the services to be provided to include a classification and compensation study, as described in the updated Scope of Services attached as Exhibit A to the Amendment.
2. Authorize the City Manager, in consultation with the City Attorney, to finalize terms and conditions of the proposed First Amendment and execute the final First Amendment.
Fiscal Impact:
Additional funding will be needed to compensate for the increase in the scope of work discussed in Exhibit “A”. Requesting additional funding, a total of $125,400, comprised of $114,000 for the increase in scope of work and an additional 10% for contingency.
Background:
On March 27, 2024, the City awarded a professional services agreement for performance metrics implementation and optimization to AveNew Solutions LLC through a competitive Request for Proposal (RFP) process. These services included conducting an analysis of the Human Resources division and the Police Department. AveNew Solutions LLC is familiar with classification and compensation studies and has established a proven strategy with negotiations for both represented and non-represented staff.
The City is requesting an amendment to the original agreement to revise the scope of services to include a classification and compensation study. This will further assist with upcoming 1 9
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negotiations with the Teamsters 911 union to take place in the next fiscal year. Additionally, the contract agreement amount will need to be increased to compensate for the additional scope of work.
By undertaking a comprehensive Classification and Compensation Study, the City of Lancaster will be able to continue to provide a fair, competitive, and sustainable compensation system designed to attract and retain top talent. This initiative will also identify areas where City employees are working out of class, reduce legal risks associated with classification inconsistencies, and position the City for successful contract negotiations with Teamsters Local 911. These efforts will play a pivotal role in enhancing the City's operational success and efficiency.
Attachments:
First Amendment to Agreement
Exhibit A