Cities Index.
Proposal - Gallagher

San Jacinto City Council
March 17, 2026

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Proposal - Gallagher
Meeting
March 17, 2026
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San Jacinto City Council
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Text extracted from the city's file for reading and search. Open the original on sanjacintoca.iqm2.com. That file is the official record.

2025 Arthur J. Gallagher & Co
City of San Jacinto
Total Compensation Study
January 15, 2026
Mr. Georg S. Krammer
Managing Director | Public Sector
2121 N. California Boulevard, Suite 350
Walnut Creek, CA 94596
510.658.5633 | [email protected]
Gallagher Benefit Services, Inc. | ajg.com
2026 Arthur J. Gallagher & Co The Gallagher Way. Since 1927.

Table of Contents
Cover Letter..................................................................................................................................................................................... 1 Organizational Overview................................................................................................................................................................. 2 Project Staffing................................................................................................................................................................................ 6 Approach to the Project.................................................................................................................................................................. 8 Project Timeline............................................................................................................................................................................. 16 References..................................................................................................................................................................................... 17 Cost Proposal ................................................................................................................................................................................ 20 Contractual Considerations ......................................................................................................................................................... 22 Appendix 1: Project Team Biographies....................................................................................................................................... 24 1 | 2026 Arthur J. Gallagher & Co The Gallagher Way. Since 1927.

Cover Letter
January 15, 2026
Ms. Tilly Yang
Human Resources Analyst
City of San Jacinta
595 S. San Jacinto Avenue
San Jacinto, CA 92583
Dear Ms. Yang:

We appreciate the opportunity to present this proposal regarding the services Gallagher’s Human Resources & Compensation Consulting practice can offer City of San Jacinta (City). Gallagher is highly capable and qualified to work with the City based on our extensive experience with public sector organizations across the country, including hundreds of public agencies, and approximately 170 cities, throughout California. We would consider it a privilege to serve the City of San Jacinta in this capacity.

It is our understanding that the City is seeking a Total Compensation Study for 70 employees and approximately 56 job classifications (per the current salary schedule) using eight negotiated comparator agencies.

We believe we will provide the City with the most diversely experienced project team of any consulting practice in the country, which enhances the solutions and recommendations we will provide on this engagement. The questions and perspective provided by our team ensure we anticipate any issues the City may face throughout this project, as well as the ongoing management of the updated classification and compensation system.

We have prepared the following proposal in response to your request. We appreciate having the opportunity to submit this proposal and look forward to assisting the City in this engagement.

Sincerely,
Georg S. Krammer
Managing Director
510.658.5633 | [email protected]
2 | 2026 Arthur J. Gallagher & Co
Organizational Overview
Value Proposition:

The ability to deliver comprehensively structured human capital solutions to clients is Gallagher’s signature in the marketplace. At Gallagher, we want to know what makes your organization unique. We listen intently to learn about your culture and priorities and delve deeply into all the details that matter when balancing human capital needs with your bottom line. This single-minded focus on excellence — characterized by innovation and creativity — is the driving force behind every Gallagher engagement.

Company History:

Arthur J. Gallagher & Co. opened its doors for business in 1927 and is still “growing strong” because of a practiced ability to help clients think ahead. Founded by its namesake who was previously the leading producer for Chicago’s largest insurance brokerage, Gallagher is now one of the world’s largest human capital, insurance brokerage and risk management services firms. We have operations in 33 countries and extend our client-service capabilities to more than 90 countries through a global network of correspondent brokers and consultants. Since 1961, we have been helping clients overcome business barriers and create new opportunities to cost-effectively attract, retain, and productively engage the best performers in their field.

Gallagher started trading on the NYSE under the symbol AJG in 1984.

Company Culture & Philosophy:

The ideals, principles and values embodied by the founder whose name still appears on our door are part of our corporate DNA. Gallagher’s approach to business, cultivated through three generations of family leadership, has always centered on creating relationship value as true partners to our clients. Gallagher’s interactions with you will be straightforward and candid. By earning the trust of our clients, we have sustained a reputation for ethics and a commitment to transparency that continues to contribute to our growth.

The high standards of conduct we have set for our external professional relationships are the same rules we follow internally. The Gallagher Way, a one-page document that outlines our 25 shared values, was written in 1984 but is just as culturally relevant today. It speaks to the value of relationships and several tenets set guidelines for ethical behavior. Gallagher combines innovative solutions, thoughtful advice and honest business practices to minimize risk and help fuel your success. 3 | 2026 Arthur J. Gallagher & Co
Talent Practice:

Gallagher’s Talent practice empowers clients to attract talent, manage staff, develop leaders, and reward success—leveraging the power of Gallagher and wisdom of experience to produce an engaged and productive workforce. Tapping into expertise that spans the spectrum of human resources at every level, we can assemble flexible compensation and consulting solutions that improve efficiency and build bottom lines.

Our practice is a combination of some of the most respected names in human resources and compensation consulting. As we have grown in our services and reach, we have grown in our ability to serve our clients – this includes the acquisition and integration of talented firms, consultants, and advisors from Koff & Associates (2021) and Buck (2023). Bringing together experts from compensation, performance, compliance, data and analytics, survey, and leadership fields, Gallagher empowers clients with tools for the entire lifecycle of employment management.

With an experienced team of consultants located in offices across the United States and Canada, our services include:

HR & Organizational Effectiveness
Think of us as your strategic partner and an extension of your HR and organizational change team.

Compensation & Rewards
We strengthen the employer-employee relationship by
designing equitable, competitive, and sustainable
compensation and rewards programs.

Multinational Benefits & Mobility
As Global Connectors, we provide solutions for you to manage your multinational workforce in a compliant, coordinated, strategic, administratively efficient, and cost-effective way.

Communications
A global leader in employee communication, we set the
industry standard for excellence and innovation
People Development & Insights
We help you understand your customers and your workforce to unlock value and performance.

Public Sector & Higher Education Consulting Practice:

Gallagher’s public sector & higher education consulting practice has completed nearly a thousand classification and compensation studies for public entities, higher education, and similarly situated clients in the last ten (10) years. We have extensive experience in developing and communicating a compensation philosophy, designing and implementing market-aligned pay structures and career frameworks and developing job evaluation methods to maintain internal equity. We conduct benchmark analyses, including conducting custom tailored salary surveys (if needed), and recommend appropriate administrative and procedural guidelines to maintain the compensation system. We ensure that our clients comply with applicable laws and regulations, such as the Fair Labor Standards Act (FLSA), the Americans with Disabilities Act (ADA), and Equal Employment Opportunity (EEO) standards and have pay systems that are appropriate for their organization and market strategy.
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We have served our clients for more than 40 years across an array of strategic and value-adding HR services with classification, compensation, and pay equity as our core specialties.

We have a strategic alliance with the Public Sector Human Resources Association (PSHRA), the National Public Employers Labor Relations Association (NPELRA), and the Colleges and Universities Professional Association for Human Resources (CUPA - HR) and have conducted a series of training seminars/workshops on compensation, classification, job evaluation, strategic HR, and employee benefits management throughout the nation in conjunction with these organizations. Gallagher Benefit Services also focuses on the higher education market. Our consultants have demonstrated leadership in the compensation and strategic HR fields by completing training and certifications from WorldatWork, ERI, HRCI, Human Capital Institute, SHRM, and others in addition to serving as instructors and presenters for ICMA, CUPA-HR, NAPO, WorldatWork, NACO, NPELRA, PSHRA and other regional and national associations. Our thought leadership has been published and/or highlighted in University Business, PSHRA News, American City and County, TalentCulture, Public Management, TLNT, Corporate Report Ventures, ERE, Corporate Board Member, Benefits Planner, and others.
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As your Trusted Advisor we have additional information for your consideration based on your current focus
You can expect a trusted advisor in Gallagher, not just a vendor focusing on only one aspect of your HR offerings.

While there are numerous vendors that can provide HR consulting, our subject matter expertise is brought to life in the way we partner with our clients and is what truly sets Gallagher apart.

Our consulting style is proactive and collaborative. We strive to provide you with relevant information and partner with you to support informed decisions and anticipate the future. As experts in providing a broad spectrum of human resource and talent management capabilities, our experience has shown us that companies contemplating a compensation and classification study are also well served to be thinking about:

We welcome the opportunity to further explore how we can partner with you in these critical areas. 6 | 2026 Arthur J. Gallagher & Co
Project Staffing
Our team of specialists and experts brings a proven track record of designing and executing comprehensive compensation strategies, performing complex classification analyses, evaluating pay equity to ensure fair, competitive structures, and delivering high-value strategic HR advisory services. Many of our professionals have served as practitioners within the very sectors we support, granting us unique insight into real-world operational challenges. We combine rigorous data analytics, industry best practices, and innovative thinking to craft customized, forward-looking solutions aligned with each organization’s strategic HR goals. By drawing from hands-on experience and leveraging an in-depth understanding of market trends, we help our clients both meet current standards and proactively prepare for an ever-evolving talent landscape.

Gallagher fosters a commitment of excellence, professionalism, integrity, collaboration, and urgency to each of our clients. With each unique client, Gallagher combines these principles to deliver client services customized, specifically to meet your needs. Your Gallagher consulting team has years of experience consulting to public sector clients, including those with unionized and represented employees with a significantly diverse employee workforce with organizations nationwide, including a long history of serving California cities, counties, and public bodies - we have worked with more than 1,000 public sector and higher education clients over the past decade. The vast majority of the members of Gallagher’s public sector compensation consulting practice has achieved one or more of the following certifications and/or degrees:
• Certified Compensation Professional from WorldatWork
• Compensation Analyst Credential from Economic Research Institute • IPMA-SCP from the Public Sector Human Resources Association • PHR and/or SPHR from the Human Resources Certification Institute • SHRM-CP and/or SCP from the Society for Human Resource Management • SWP and HCS from the Human Capital Institute
• Master’s degree or above, in Human Resources, Business Administration, and/or Organizational Psychology
7 | 2026 Arthur J. Gallagher & Co

PROJECT LEADERSHIP & LEADERSHIP SUPPORT
Our team consists of 31 employees and the project team is incorporated within our West Coast consulting team, as shown in the following organizational chart:

All members of our team have worked on multiple comprehensive classification and compensation studies and are well acquainted with the wide array of public sector organizational structures, compensation structures, classification plans, as well as the challenges and issues that arise when conducting studies such as this one for the City.

KEY PERSONNEL
Our project team will be led by Co-Project Directors Georg Krammer (Managing Director) and Maggie WilliamsDalgart (Project Manager). They will coordinate all of Gallagher’s efforts, attend all meetings with the City, and be responsible for all work products and deliverables.

CONSULTANTS
Alyssa Thompson (Senior Consultant), Sarah Nunes (Consultant), Janna Dinkelspiel (Consultant), Lauren Grant (Associate Consultant), Suzy Parker (Consultant), and Cindy Harary (Consultant) will conduct classification analysis and interviews with employees and management, compensation data collection and analysis, internal job analysis, and develop recommendations and implementation strategies.

WORKLOAD
We currently have a team of 23 HR consultants and three administrative support staff – resources that we are able to pool based on each project’s needs, to execute projects and to meet clients’ needs and expectations.

Each time we are selected as the successful bidder on a project, we strategize to determine project timelines, deliverable deadlines, and the resources that are required to produce the deliverables as promised. We are poised to accommodate the City’s classification and compensation study and plan to devote the necessary resources for the successful execution of the project.

Biographies of the specific staff who will be assigned to this study can be found in the Appendix. 8 | 2026 Arthur J. Gallagher & Co
Approach to the Project
Our practice takes a thoughtful and collaborative approach to all our client engagements, where we work to ensure our efforts are ones which demonstrate how the Public Sector & Higher Education practice C.A.R.E.S. - collaborate/consult, advise/assess, recommend/resource, engage/endorse, and strategize/serve - about our clients and their needs. To that end, our project approach starts with our process and client communications.

Our extensive experience has resulted in a comprehensive understanding of the scope of work described by the City. Additionally, we understand the importance of this study as one of many strategies to address current human resources issues and appreciate the delicate nature of public sector spending. Below are some key considerations we have in this type of project, followed by our approach to the areas identified by the City, our detailed work plan, and the estimated project timeline.

Key Considerations:

Leadership Support: Effective compensation reform requires consistent, visible leadership commitment at multiple organizational levels. We establish a leadership accountability structure that includes executive sponsors, department champions, and implementation teams with clearly defined roles. Leaders must actively communicate the program's importance, address concerns directly, and visibly support the process through each phase. We provide leaders with focused messaging tools and data points to effectively advocate for changes. Without this multi-level support structure, even technically sound compensation systems often encounter significant resistance during implementation.

Internal Fairness and Equity: Our approach balances external market competitiveness with internal equity through comprehensive job analysis techniques. We conduct detailed comparisons across job families, reporting relationships, and responsibility levels to ensure logical compensation relationships. This includes specialized analysis of career progression paths and appropriate differentials between supervisory and nonsupervisory roles. We implement specific methodologies to address compression issues, particularly between long-service employees and new hires with market-driven starting salaries. Our process identifies and remedies historical inequities while establishing defensible rationales for pay differences based on skills, responsibilities, and performance factors.

Appropriate Timelines: We develop realistic project schedules based on organizational complexity and resources. This includes adequate time for comprehensive job documentation, employee input, leadership review cycles, and implementation planning. A typical comprehensive compensation project of this size requires approximately 3 months for proper execution, including 1-2 months for thorough job analysis, 1-2 months for market research, and 1 month for implementation planning, noting that this work may happen concurrently across the life of the engagement. Accelerated timelines often compromise data quality and stakeholder buy-in, leading to implementation challenges and future rework. We establish appropriate checkpoints and quality controls to ensure thoroughness while maintaining momentum.

Data-Driven with Human Oversight: Our methodology combines rigorous data collection with expert interpretation. We utilize multiple validated market sources appropriate for your sector, geographic region, and 9 | 2026 Arthur J. Gallagher & Co
organizational characteristics. All job matches undergo multi-level validation checks to ensure accurate comparisons. This empirical foundation is then contextualized through structured consultant review panels that consider institutional history, strategic priorities, and unique operational factors as shared and iterated by our clients. We document both the data-driven recommendations and any exceptions to provide a clear, defensible audit trail. This balanced approach ensures decisions are not rigidly algorithmic while maintaining system integrity.

Clear and Consistent Communication: We develop compensation structures and classification frameworks with inherent clarity, using straightforward job leveling frameworks, transparent progression criteria, and consistent application of compensable factors. Communication materials are tailored to different stakeholder needs—executive summaries for leadership, detailed implementation guides for HR professionals, and practical explanation tools for managers and employees. We create accessible resources explaining compensation philosophy, range structure, placement methodology, and future growth opportunities. Systems are designed with straightforward administration requirements that do not require specialized expertise for dayto-day management.

Our Approach:

The City desires human resources assistance to conduct a comprehensive total compensation study for 70 employees with approximately56 class titles (per the current salary schedule; the Human Resources Director is excluded because that position will no longer be filled).

The goal of the study will be to review the City’s compensation structure for the studied classifications and to conduct a compensation market survey (salaries plus benefits) using a set of appropriate comparator agencies.

The confirmation of comparator agencies, identification benchmark classifications, and benefits to be collected is an iterative process that includes all stakeholders. We have found this open discussion philosophy to be critical to our success for organizational buy-in. Once the external data development is completed, we will make specific recommendations for internal equity for non-benchmarked classifications and classifications without a large enough market sampling.

The compensation study will contain specific recommendations regarding the integration of all study classifications into the City’s compensation structure, with the goal of developing a clearly designed, internally equitable format that is flexible for career opportunity and future growth. Our study will make recommendations regarding a salary structure that takes the City’s compensation preferences into consideration as well as the appropriate placement of each classification on the City’s salary schedule.

The study includes a significant number of meetings with the Study Project Team, Human Resources, employees, union representation, and the City Council, as desired. We have expertise in labor/management relations and understand the importance of active participation by all stakeholders to ensure a successful outcome. The meetings and “stakeholder touch-points” that we recommend ensure understanding of the project parameters, enhance accurate intake and output of information, and create a collaborative and interactive approach resulting in greater buy-in for study recommendations. This interactive approach has resulted in almost 100% implementation success of Gallagher’s studies.

The majority of our clients are unionized and our larger city, county, and special district clients typically have multiple unions. Due to the multitude of stakeholder groups who are affected by any compensation study Gallagher conducts, our team understands the importance of accurate and validated data that withstands any scrutiny, effective and ongoing communication throughout each effort, and collaboration with the various stakeholder groups to ensure organizational buy-in to our findings and recommendations. We have developed a unique methodology of stakeholder “touchpoints” and collaboration that has made us highly successful and effective and has earned our team respect, agreement, and understanding from all stakeholders. In addition, we adjust and customize our methodology based on each individual client’s unique needs and circumstances. 10 | 2026 Arthur J. Gallagher & Co
We also recognize that both the City and union representatives have obligations to employees and members to ensure that any study is conducted in a fair and equitable manner. Our project work plans are designed for transparency and we strongly encourage dialog with all stakeholders on study deliverables so they in turn can express their concerns; we all have a shared goal of ensuring the process followed is fair and equitable.

This intense and comprehensive stakeholder engagement and our transparent study processes are also a mechanism of quality control. The fact that our information, data, and recommendations have to be able to withstand utmost scrutiny by diverse stakeholders requires an in-depth multi-step quality control process for deliverables. This involves Gallagher team member validation of compensation data, Gallagher Project Manager review of all compensation analyses, recommendations and deliverables, and finally Gallagher Principal (Project Director) review of deliverables before submittal to the client.

STUDY OBJECTIVES
Compensation Objectives:
• To make recommendations regarding a list of appropriate benchmark classifications and benefits to be collected prior to beginning the compensation portion of the study; • To collect accurate salary and benefit data from the approved group of comparator agencies and to ensure that the information is analyzed in a manner that is clear and comprehensible to the Study Project Team, Human Resources, management, employees, union representation, and the Council; • To carefully analyze the scope and level of duties and responsibilities, requirements for successful work performance, and other factors for survey classes, according to generally accepted compensation practices;
• To review the City’s compensation structure and practices and develop compensation recommendations, including appropriate internal salary relationships, that will assist the City in recruiting, motivating, and retaining competent staff;
• To develop solutions that address pay equity issues and create a market adjustment implementation strategy supporting the City’s goals, objectives, and budget considerations; • To create a comprehensive final report summarizing the compensation study approach and methodology, analytical tools, findings, and recommended compensation structure; and; • To ensure sufficient documentation and training throughout the study, on methods used to determine appropriate salary ranges, methods for logical progression within the salary scale for each classification, and other practices, so that our recommendations can be implemented and maintained in a competent and fair manner.

Overall Objectives:
• To review and understand all current documentation, rules, regulations, policies, budgets, procedures, class descriptions, organizational charts, memoranda of understanding, personnel policies, wage and salary schedules, and related information so that our recommendations can be operationally incorporated with a minimum of disruption;
• To conduct project start-up meetings with study stakeholders to discuss any specific concerns with respect to the development of compensation recommendations; finalize study plans and timetables; conduct orientation sessions with management, union leadership, and staff in order to educate and explain the scope of the study and describe what are and are not reasonable study expectations and goals; • To work collaboratively and effectively with the City and its stakeholders while at the same time maintaining control and objectivity in the conduct of the study; and • To provide effective ongoing communications throughout the duration of the project and continued support after implementation.

METHODOLOGY / WORKPLAN / DELIVERABLES
This section of the proposal identifies the actual work plan. We believe that our detailed explanation of methodology and work tasks clearly distinguishes our approach and comprehensiveness. 11 | 2026 Arthur J. Gallagher & Co
TOTAL COMPENSATION STUDY:

Milestone A. Project Kickoff Meetings, Initial Documentation Review, and Determination of Survey Elements
This phase includes identifying the City’s Study Project Team (Human Resources, management, employee representation, etc.), contract administrator, and reporting relationships. Our team of Project Managers and Consultants will conduct a briefing session with the Study Project Team to explain process and methodology; create the specific work plan and work schedule; identify subsequent tasks to be accomplished; reaffirm the primary objectives and specific end products; determine deadline dates for satisfactory completion of the overall assignment; determine who will be responsible for coordinating/scheduling communications with employees, management, union representation, and the Council; and develop a timetable for conducting the same.

Included in this task will be the gathering of written documentation, current class descriptions, organizational charts, salary schedules, budgets, employment contracts, personnel policies, previous compensation studies, and any other relevant documentation to gain a general understanding of City operations.

City terminology and methods of current compensation procedures will be reviewed and agreed to. We will discuss methodology, agree to formats for compensation results, confirm comparator agencies, benchmark classifications, and benefits to be surveyed. We will respond to any questions that may arise from the various stakeholders.

Communications and Engagement Plan
We will develop a communications and engagement plan to foster organizational buy-in and acceptance of study outcomes and consultant recommendations throughout the project by District stakeholders including employees. The goal of the communications and engagement plan is to build positive and effective relationships with the study stakeholders, to achieve consensus whenever possible, to strive to understand and take into consideration stakeholders’ ideas, opinions, desires, and issues, and to fully address their concerns.

The variety of communication and engagement channels will help inform, consult, involve, collaborate with, and empower City stakeholders, and ensure that our methodology and “stakeholder touch-points” are followed and executed at each study milestone.

We are committed to working closely with City study advisors (Human Resources, District leadership, employee representatives, if any, and other stakeholders) to understand the needs of the mutual constituencies (employees) and to ensure that the Study Project Team, Gallagher team, management, and any employee representatives meet the highest standards of stakeholder interaction, including communicating clearly, politely, honestly, and promptly, and treating everyone fairly, equally, and with respect.

List of Comparator Agencies, Benchmark Classifications, and Benefits to be Collected During the initial meeting with the Study Project Team, we will discuss and agree to the compensation study factors. We will confirm the City’s negotiated comparator agencies that will be included in the external market survey, which will be the foundation for ensuring that the City’s compensation plan is competitively aligned with the external labor market. We will also identify those classifications that will be surveyed in the market (i.e., benchmark classifications), with the intention of internally aligning the remaining classifications with those that were surveyed – if the City is open to a benchmarking approach. Finally, we will determine the list of benefits that the City wants to include in the total compensation data gathering process.

1. Determination of Comparator Agencies
The determination of comparator agencies is a critical step in the study process. We understand the City has a negotiated list of eight comparator agencies that we will survey:
• City of Banning
• City of Beaumont
• City of Menifee
• City of Murrieta
• City of Perris
12 | 2026 Arthur J. Gallagher & Co
• Easter Municipal Water District
• Lake Hemet Municipal Water District
• Western Municipal Water District
Should the City be interested in additional consultant recommendations regarding comparator agencies, we typically use the following factors to identify appropriate comparators and would receive approval before proceeding with the compensation study.

2. Determination of Benchmark Classifications
In the same collaborative manner as described in Step 1 above, we will work with the City’s stakeholders to select those classifications that will be surveyed. “Benchmark classes” are ordinarily chosen to reflect a broad spectrum of class levels. In addition, those that are selected normally include classes that are most likely to be found in other similar agencies, and therefore provide a sufficient valid data sample for analysis. Internal relationships will be determined between the benchmarked and non-benchmarked classifications and internal equity alignments will be made for salary recommendation purposes.

Due to the fact that the labor market typically yields reliable data, we recommend using approximately 60- 65% of all classifications as benchmarks. Based on a review of the City’s list of classifications and the multiple levels in some of its career ladders, we anticipate benchmarking up to 40 classifications.

However, we understand that the City may choose to survey all 56 classifications and we’re happy to do so. Our cost proposal includes various options to demonstrate difference in cost.

3. Determination of Salary and Benefits Data to Be Collected In addition to base salaries, benefit data elements for a total compensation study normally include at least the following (which are generally available to all staff in a specific job classification):
• Monthly Salary – The top of the published salary range. All figures are presented on a monthly or annual basis. We normalize the salary data to reflect number of hours in the work week and/or rollup of retirement or other benefits in base salaries. • Employee Retirement – This includes two figures: the amount of the employee’s State or other public or private retirement contribution that is contributed by the agency and the amount of the agency’s Social Security contribution.
• Insurance – This typically includes Health, Dental, Vision, and other insurance coverage. • Leave – Other than sick leave, which is usage-based, leave is the amount of days off for which the agency is obligated.
 Vacation: The number of vacation days based on years of employment.  Holidays: The number of holidays (including floating).  Administrative/Personal Leave: Administrative leave is normally the number of days available to management staff in lieu of overtime. Personal leave may be available to other groups of employees to augment vacation or other paid time off.
• Deferred Compensation – We report any employer contribution made on the employee’s behalf, whether an employee-matching contribution is required or not. • Other – This category includes any other benefits that are available to all employees within a classification and not already specifically detailed.

Milestone B. Market Survey Delivery
Gallagher does not collect market compensation data by merely sending out a written questionnaire. Our experienced compensation analysts conduct all of the data collection and analysis to ensure validity of the data and quality control. We collect classification descriptions, organization charts, salary schedules, personnel policies, budgets, MOUs, and other information via website, by telephone, or email directly from each comparator agency. We then compare job description to job description and not just job titles, therefore ensuring true “matches” of at least 70%, which is the threshold we use to determine whether to include a comparator classification or not.
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Our job analysis method is the whole position analysis approach. Objective factors in the whole position job analysis methodology include:

1. Decision making/judgment

2. Difficulty and complexity of work

3. Supervisory responsibilities

4. Non-supervisory responsibilities

5. Minimum qualifications

6. Working conditions/risk factors

7. Contacts
We also schedule appointments with knowledgeable individuals at each comparator to answer specific questions. We find that information collected using these methods has a very high validity rate and allows us to substantiate the data for employees, management, and governing bodies.

Data will be entered into spreadsheet format designed for ease of interpretation and use. Information will be calculated based upon average and median figures allowing the City to make informed compensation decisions. Other elements of the compensation survey report are agencies surveyed; comparable class titles; salary range maximum/control point; number of observations; and percent of the City’s salary range above/below the market values.

In addition, we will include any type of statistical representation and analysis that the City desires such as 60th, 70th, or any other percentiles per the City’s compensation philosophy.

Benefits data will be displayed in an easy-to-read format. In addition, we are often asked to collect “additional” benefits, which we typically report on a separate spreadsheet.

Milestone C. Draft Compensation Findings/Stakeholder Review and Feedback As part of our transparent approach and communication strategy to ensure organizational buy-in to the study, we share the market survey with the organization. We first distribute our draft findings to the Study Project Team. After their preliminary review, we will meet with the Study Project Team and other stakeholders (including Human Resources, management, employees) to clarify data, to receive requests for reanalysis of certain comparators, and to answer questions and address concerns. This provides an opportunity for our team to engage with study stakeholders in a collaborative manner. If questions arise, we conduct follow-up analysis to reconfirm our original analysis and/or make corrections, as appropriate.

Milestone D. Development of Recommendations, Final Reports, and Presentations (Optional) Analysis of Internal Relationships and Alignment
To determine internal equity for all studied positions, considerable attention is given to this phase of the project. It is necessary to develop an internal position hierarchy based on the organizational value of each classification. Again, we utilize the whole position analysis methodology as described earlier.

By reviewing those factors, we will make recommendations regarding vertical salary differentials between classes in a class series, for example, as well as across departments. This analysis will be integrated with the results of the compensation survey and the City’s existing compensation plan.

The ultimate goal of this critical step in the process is to address any potential internal equity issues and concerns with the current compensation system, including compaction issues between certain classifications.

We will create a sound and logical compensation structure for the various levels within each class series, so that career ladders are not only reflected in the classification system but also in the compensation system, with pay differentials between levels that allow employees to progress on a clear path of career growth and development. Career ladders will be looked at vertically as well as horizontally.

Compensation Structure Development
We will review and make recommendations regarding the City’s salary structure (set of salary ranges, salary differentials, steps within ranges, and/or alternative compensation plans) within which the classes are 14 | 2026 Arthur J. Gallagher & Co
allocated, based upon the City’s preferred compensation model. We will also work with the City on their compensation philosophy as it relates to market position and the formulation of their compensation plan. This analysis will result in external pay equity, solutions to address any pay equity issues, and an implementation strategy supporting City goals, objectives, and budget considerations.

Draft recommendations will be discussed with the Study Project Team and management for discussions and decisions on overall pay philosophy and the practicality of acceptance and prior to developing an Interim Report.

Final Report
A Draft Interim Report of the Compensation Study will be completed and submitted to the Study Project Team for review and comment. The report will include:
 An executive summary of the compensation study results;  A set of all market data spreadsheets;
 A proposed compensation structure;
 A proposed salary range placement document;
 A procedure to address employees whose current base pay either falls below the minimum of or exceeds the maximum of their newly assigned pay range;  Implementation options surrounding our recommendations; and  A guide for implementing, managing and maintaining the compensation system.

Once all of the City’s questions/concerns are addressed and discussed, a Final Classification and Compensation Report will be created and submitted in the City’s preferred format. The Final Report will incorporate any appropriate revisions identified and submitted during the review process.

Final Presentation
Our proposal includes multiple meetings and weekly oral and written status/progress updates to the Study Project Team. Regarding the involvement of the City Council, we recommend at least one initial meeting to confirm the comparator agencies to be included in the study, one interim study session (to discuss the initial findings of the compensation study), and one final presentation of our Final Report. Of course, we are flexible regarding having more or less interaction with the Council, based on the City’s preferences.

EXPECTATIONS OF CITY SUPPORT:

In order to conduct this study in the most timely and cost-effective manner, we ask for support in the following areas:
• Timely provision of written documentation, such as current class specifications, union contracts, organizational charts, budget documents, salary schedules, past studies, etc.; • Assistance in the notification and scheduling of initial kickoff and other meetings; • Meeting agreed-upon timelines.

In terms of time commitment for City staff, we understand that the City hires an outside consultant to conduct and coordinate the entire effort. Therefore, it is our goal to reduce the time commitment of City staff as much as possible and to only request assistance in the coordination of some of the steps in the process, such as scheduling meetings, disseminating information, and in general, being a channel of communication between our firm and employees.

COMMUNICATION WITH THE CITY:

Our typical communication model includes at least weekly or biweekly written status updates, or virtual meetings, to keep the City informed on where we are during each phase of the project.

In addition, the study includes a significant number of meetings with the Study Project Team, human resources, management, employees, and the Council, as desired. The meetings and “stakeholder touchpoints” that we recommend ensure understanding of the project parameters, enhance accurate intake and output of information, and foster a collaborative and interactive approach that will result in greater buy-in for 15 | 2026 Arthur J. Gallagher & Co
study recommendations. This interactive approach, although time-consuming, has resulted in almost 100% implementation success of Gallagher’s studies.

POST-STUDY CONSULTATION AND SUPPORT:

We are committed to providing the City with the highest-quality product and service. Providing ongoing consultation and support after study completion is a service that is included in our professional fees and a continued relationship-building aspect of our client relationship that we highly value.

We often find that clients will call or email with follow-up questions and to discuss certain aspects of the study, ask why decisions and recommendations were made, and other important components of the study. We consider post-implementation support as part of our customer service.

Should the City request any additional meetings and/or training after completion of the study and/or other specific, identifiable work efforts, such as single-position compensation reviews or conducting annual surveys, we would honor our composite hourly rate for actual hours worked. However, from experience, we expect that most follow-up support will be conducted via telephone and email and this is absolutely included in our project fee for this project.

STAKEHOLDER ENGAGEMENT:

We believe in an interactive and collaborative process with the whole organization and in a high level of stakeholder contact and interaction to ensure organizational buy-in to the study throughout the entire process.

Following are the major milestones at which we touch base with Human Resources, employees, managers, and other stakeholders, as appropriate:
• Initial study kick-off meetings with stakeholders;
• Stakeholder input regarding a list of appropriate benchmark classifications and benefits to be collected; • City stakeholder review of compensation study data and contact with them to address any challenges to the market comparables we identified;
• Stakeholder input on internal salary relationship analysis and recommendations; and • Stakeholder input regarding final compensation plans and structure recommendations.

These steps will ensure that the study results in a product that is accepted and trusted by all levels within the organization. Beyond sound mechanics, our approach includes sufficient communication steps to ensure that the study methodology is understood and the results are regarded as expert, impartial, and fair. 16 | 2026 Arthur J. Gallagher & Co
Project Timeline
The following is an estimate to complete each milestone by week. We will discuss the details of each phase during project kickoff and identify specific deadlines for the project at that time. We will conduct frequent conference calls with the City to ensure the schedule is monitored throughout the project. In today’s world, speed is particularly important. However, given the significance of this project, it is just as important for City officials, department heads, and employees to have sufficient time to review and approve the recommendations of Gallagher and to ensure proper communications occur. We have prepared a timeline to ensure the City has the work products in an expeditious manner. Our phases run concurrently; in that we do not wait until the full completion of a phase to begin another phase. We are prepared to commence the work immediately upon receiving your authorization to proceed.

We recommend beginning the study as soon as possible to achieve completion by April 2026, which we understand is the City’s goal.

Total Compensation Study
Milestone Timeframe
A. Project Kickoff Meetings, Orientations, and Determination of Survey Elements Weeks 1-2 B. Market Survey Delivery Week 3-9
C. Draft Compensation Findings/Stakeholder Review and Feedback Weeks 10-11 D. Development of Recommendations, Final Report, and Presentations (Optional) Week 12-13 17 | 2026 Arthur J. Gallagher & Co
References
Contact names and phone numbers are listed for each project. These projects are relevant to demonstrating our ability to meet the needs of the City and show considerable experience in developing compensation systems for a variety of public sector organizations. Our references can attest to the timeliness, quality, and responsiveness of the services we provide, our understanding of job classification and pay equity, and our knowledge of legal issues, such as the ADA and FLSA, and our expertise in working with public organizations and sensitive personnel issues. The projects listed below were completed by members of your project team and within similar timeframes to what the City is requesting.

AGENCY & PROJECT CONTACT
City of Bellflower
Total Compensation Studies, completed 2007, 2013, 2017, 2019, 2021, and 2025.

Citywide Classification and Total Compensation study, completed 2015.

Mr. Travis Sais
Assistant to City Manager
(909)394-6200
245 E Bonita Ave
San Dimas CA 91773
[email protected]
Please note: Mr. Sais is no longer with the City
of Bellflower is now working at the City of San
Dimas. We provide his contact information
there where he can be reached for a
reference.

City of Chino
City-wide Classification and Compensation Studies since 2023.

Ms. Theresa (Terry) Doyle
Director of Human Resources
(909)334-3381
460 N. Euclid Avenue
Upland, CA 91786
[email protected]
Please note: The Director of Human
Resources we worked with on this project has
retired. Ms. Doyle who we worked with on a
project for City of Upland is now their Chino’s
HR Director. . She can provide a reference for
us for either the City of Upland and/or the City
of Chino, at the information provided.

City of Corona
Citywide Classification and Total Compensation Study, completed 2022.

Ms. Angela Rivera
Human Resources Director
(951) 672-6777
29844 Haun Rd.

Menifee, CA 92586
[email protected]
Please note: Ms. Rivera is no longer with City
of Corona and is now Human Resources
Director for City of Menifee. We provide her
information as she can provide a reference for
our services while at City of Corona.

City of Desert Hot Springs
Total Compensation Study, completed 2025.

Mr. Geoffrey Buchheim
Administrative Services Director
(760) 329-6411
11999 Palm Drive
Desert Hot Springs, CA 92240
[email protected]
18 | 2026 Arthur J. Gallagher & Co
City of Fillmore
Classification and Compensation Study, completed 2023.

Ms. Erika Herrera-Terriquez
City Manager
(805)946-1712
250 Central Avenue
Fillmore, CA 93015
[email protected]
Note: Ms. Herrera-Terriquez was ProAssistant
City Manager at the time of the study
City of Indian Wells
Total Compensation Study, completed 2021.

Citywide Classification and Compensation Study, Completed 2004.

Mr. Kevin McCarthy
Finance Director
44-950 Eldorado Drive
Indian Wells, CA 92210
(760) 776-0235
[email protected]
City of Laguna Beach
Total Compensation Study, completed 2021.

Total Compensation Study, completed 2019.

Mr. Gavin Curran
Director of Administrative Services
(949) 497-0315
505 Forest Ave,
Laguna Beach, CA 92651
[email protected]
City of Laguna Niguel
Total compensation, completed 2021.

Justin Martin, Deputy City Manager
(949) 362-4300
30111 Crown Valley Parkway
Laguna Niguel, CA 92677
[email protected]
and
Dorna Farhadi, Senior Management Analyst
[email protected]
City of Long Beach
Management Compensation Study, 2022
Joe Ambrosini
Human Resources Director
11434 B Ave.

Auburn, CA 95603
Office: (530)-889-4060
[email protected]
Mr. Ambrosini is no longer with the City of
Long Beach and is now the HR Director at
Placer County. We provide his contact
information at the County where he can
provide a reference for our services while at
the City of Long Beach.

City of Malibu
Citywide Classification and Total Compensation Study, Completed 2024.

Mary Ortiz Bradley
Interim HR Manager
411 West Ocean Boulevard
Long Beach, CA 90802
(562)570-2781
[email protected]
Please note: Ms. Ortiz Bradley is currently
Professional Standards Officer with the City of
Long Beach but is happy to provide a
reference.
19 | 2026 Arthur J. Gallagher & Co
City of Menifee
Citywide Classification and Total Compensation Study, completed 2024.

Citywide Classification and Total Compensation Study, completed 2017.

Citywide Classification and Total Compensation Study, completed 2011.

Mr. Jonathan Nicks
Deputy City Manager
(951) 723-3707
29844 Haun Road
Menifee, CA 92586
[email protected]
City of Oceanside
Completed a Total Compensation study for the Water Utilities Department in 2024.

Completed 3 desk audits/job class studies in 2024.

Mr. Rob O’Brien
Assistant City Manager
(760)435-4500
300 North Coast Highway
Oceanside, CA 92504
[email protected]
City of Ontario
Completed Classification and Compensation Studies for several bargaining groups, completed 2023.

Ms. Amber Smith
Principal Human Resources Agency Partner
(909) 395-2345
303 E. B Street
Ontario, CA 91764
[email protected]
City of Ridgecrest
Total compensation study, 2020. Another Total Compensation Study completed in 2025.

Ms. Kelly Brewton
Finance Director
(760)499-5021
100 W. California Ave.

Ridgecrest, CA 93555
[email protected]
City of Shafter
Total compensation study for select classifications (9) conducted in 2021.

Ms. Carol Chavolla
336 Pacific Ave
Shafter, CA 93263
Phone: (661) 746-5041
Fax: (661) 746-2645
[email protected]
City of Upland
Classification and Compensation Study, 2023
Ms. Theresa (Terry) Doyle
Director of Human Resources
(909)334-3381
13220 Central Avenue
Chino, CA 91710
[email protected]
Please note: Ms. Doyle no longer works with
the City of Upland and is now the Director of
Human Resources at City of Chino. She can
provide a reference for us there.
20 | 2026 Arthur J. Gallagher & Co
Cost Proposal
We believe that our methodology and implementation success rate is attributable to the significantly greater level of contact we have with employees, employee representation, management, and the governing body. The time we commit to working with employees (orientations and briefings, meetings with employees via personal interviews, sharing of compensation survey data, etc.) results in significantly greater buy-in throughout the process.

It has been our experience that the time, money, and resources invested in stakeholder communication throughout the study are time, money, and resources saved during implementation. Our goal is to conduct each study the right way the first time.

To create efficiency and cost savings for our clients, as well as operating as green an organization as possible, we often conduct our studies virtually. Our cost proposal assumes that all meetings and presentations will be conducted virtually/remotely and no onsite travel to City offices will occur. Should the City desire onsite meetings, our per diem cost for onsite meetings based on travel time and market rate travel cost are outlined below.

Below we provide two cost options for the City to consider. One cost option will survey 40 classifications and the second option would survey 56 benchmarks (all classifications). We are also providing costing for each option that includes or excludes the development of a narrative report and compensation recommendations, depending on the City’s preferences.

The cost proposal is a fixed fee and will be billed in three equal instalments based on agreed-upon milestone completion. The first installment invoice for one third of the cost will be sent after contract execution. 21 | 2026 Arthur J. Gallagher & Co
Total Compensation Study – 40 Benchmarks Surveyed Fees
Ongoing Project Status Meetings throughout the Study $1,200 Milestone A: Project Kickoff Meetings, Orientations, Determination of Survey Elements Includes virtual meetings and ongoing project management meetings throughout.

On-site meetings are available at an additional cost*
$3,600
Milestone B: Market Survey Delivery $25,200
Milestone C: Draft Compensation Findings/ Stakeholder Review and Feedback $6,000 Milestone D: Development of Recommendations, Final Reports, and Presentations (OPTIONAL)
Includes virtual meeting; On-site meetings are available at an additional cost * $4,800
TOTAL PROJECT COST (Including all tasks) will not exceed: $40,800 TOTAL PROJECT COST (Excluding Optional Milestone D) will not exceed: $36,000 Total Compensation Study – 56 Benchmarks Surveyed (all classifications) Fees Ongoing Project Status Meetings throughout the Study $1,200 Milestone A: Project Kickoff Meetings, Orientations, Determination of Survey Elements Includes virtual meetings and ongoing project management meetings throughout.

On-site meetings are available at an additional cost*
$3,600
Milestone B: Market Survey Delivery $33,600
Milestone C: Draft Compensation Findings/ Stakeholder Review and Feedback $8,400 Milestone D: Development of Recommendations, Final Reports, and Presentations (OPTIONAL)
Includes virtual meeting; On-site meetings are available at an additional cost * $6,000
TOTAL PROJECT COST (Including all tasks) will not exceed: $52,800 TOTAL PROJECT COST (Excluding Optional Milestone D) will not exceed: $46,800 *On-site meetings are available at an additional cost.

Our cost proposal does not include time to support the City during any labor negotiations that may follow this study. If we are needed for this work, our composite hourly rate will apply and we will charge on a time-and-materials basis.

Our study costs are directly derived from estimating the number of hours needed to perform the work and the level of the consultant charged with performing the work. Gallagher typically bills monthly up to the maximum of each deliverable. Please note, as phases sometimes run concurrently, a phase may not be completed at the time it is billed. All expenses are included in this quote.

Should the City wish to have additional on-site presentation days or meetings, the estimated cost would be $2,000-$4,000 per day. Any change to the scope of the assignment (beyond what is described above) as well 22 | 2026 Arthur J. Gallagher & Co
as other work requested beyond this assignment will be billed based on our hourly rates unless we mutually agree on a fixed fee for the additional work.

Contractual Considerations
Gallagher is pleased to submit this proposal to the City. While this proposal is not meant to constitute a formal offer, acceptance, or contract, notwithstanding anything to the contrary contained in the proposal, Gallagher is submitting this proposal with the understanding the parties would negotiate and sign a contract containing terms and conditions that are mutually acceptable to both parties.

It is our practice to provide the coverage below in lieu of the City contract insurance language. We therefore propose to replace the insurance language in the RFP’s sample agreement with coverage language provided by Gallagher as follows:

Gallagher shall at all times during the term of this Agreement and for a period of two (2) years thereafter, obtain and maintain in force the following minimum insurance coverages and limits at its own expense:
• Commercial General Liability (CGL) insurance on an ISO form number CG 00 01 (or equivalent) covering claims for bodily injury, death, personal injury, or property damage occurring or arising out of the performance of this Agreement, including coverage for premises, products, and completed operations, on an occurrence basis, with limits no less than $2,000,000 per occurrence; • Workers Compensation insurance with statutory limits, as required by the state in which the work takes place, and Employer’s Liability insurance with limits no less than $1,000,000 per accident for bodily injury or disease. Insurer will be licensed to do business in the state in which the work takes place; • Automobile Liability insurance on an ISO form number CA 00 01 covering all hired and non-owned automobiles with limit of $1,000,000 per accident for bodily injury and property damage; • Umbrella Liability insurance providing excess coverage over all limits and coverages with a limits no less than $10,000,000 per occurrence or in the aggregate;
• Errors & Omissions Liability insurance, including extended reporting conditions of two (2) years with limits of no less than $5,000,000 per claim, or $10,000,000 in the aggregate; • Cyber Liability, Technology Errors & Omissions, and Network Security & Privacy Liability insurance, including extended reporting conditions of two (2) years with limits no less than $2,000,000 per claim and in the aggregate, inclusive of defense cost; and
• Crime insurance covering third-party crime and employee dishonesty with limits of no less than $1,000,000 per claim and in the aggregate.
• All commercial insurance policies shall be written with insurers that have a minimum AM Best rating of no less than A-VI, and licensed to do business in the state of operation. Any cancelled or non-renewed policy will be replaced with no coverage gap, and a Certificate of Insurance evidencing the coverages set forth in this section shall be provided to Client upon request.
23 | 2026 Arthur J. Gallagher & Co
Signature Page
Gallagher Benefit Services, Inc. intends to adhere to all of the provisions described.

This proposal is valid for 90 days.

Respectfully submitted,
By: GALLAGHER BENEFIT SERVICES, INC.

State of California
Georg S. Krammer January 15, 2026
Managing Director, Compensation and Rewards Consulting
24 | 2026 Arthur J. Gallagher & Co
Appendix 1: Project Team Biographies
Georg S. Krammer, M.B.A., S.P.H.R.

Managing Director
Georg brings over 25 years of management-level human resources experience to Gallagher, formerly Koff & Associates (K&A), with an emphasis over the last 22 years in classification and compensation design, market salary studies, organizational effectiveness, performance management, and strategic advisory, in the public sector and local government agencies.

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 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 spent five years in the private sector where he served as an HR Manager and then HR Director before entering the public sector in his current consulting role. With his wide-ranging and deep experience as a classification and compensation expert, his education in business and teaching, his depth and breadth of experience with public sector HR needs, programs, and functions, Georg’s contributions to Gallagher’s variety of projects greatly complements our Human Resources and Recruitment Services team.

Georg has spearheaded several hundreds of classification, compensation, organizational, strategic planning, etc., studies for hundreds of cities, towns, counties, and special districts throughout the State of California, and the Western Region, and has contributed to more than quadrupling the size of our practice 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, served as its Chief Executive Officer from 2005 to 2021, was instrumental in K&A’s joining Gallagher in 2021, and has been serving as Managing Director since then.

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: Amarillo (TX), Bellflower, Berkeley, Campbell, Chino, Coachella, Commerce, Concord, Corona, Cotati, El Monte, Gardena, Gilroy, Hayward, La Cañada Flintridge, Los Altos, Los Altos Hills, Menifee, Mountain View, Newport Beach, Oakland, Ontario, Pasadena, Perris, Pleasant Hill, Pomona, Redwood City, Rohnert Park, San Bernardino, San Diego, San Jose, Santa Cruz, Santa Monica, Saratoga, Seal Beach, Seattle (WA), Sunnyvale, and Upland. • Counties: Del Norte, Imperial, Monterey, Orange, Sacramento, San Diego, San Mateo, Siskiyou, Sonoma, and Tehama.
• Courts: Habeas Corpus Resource Center, Superior Courts of San Francisco, San Bernardino, Sonoma, and San Diego.
• Education: College of the Sequoias, Compton Community College District, Foothill-De Anza Community College District, Riverside Community College District, West Valley Mission Community College District, Rancho Santiago Community College District, San Diego Community College District, Southwestern College, Victor Valley Community College District, Yuba Community College District; Los Angeles Unified School District, South San Francisco Unified School District; Contra Costa County Office of Education, El Dorado County Office of Education, San Mateo County Office of Education, and Stanislaus County Office of Education.
• Special Districts:
o Air Quality: Bay Area Air Quality Management District, Monterey Bay Air Resources District, and South Coast Air Quality Management District.
o Community Services, Parks, Recreation, and Open Space: Cosumnes CSD, Desert Recreation District, East Bay Regional Park District, Hayward Area Recreation and Park District, Helendale CSD, Jurupa CSD, Phelan-Pinon Hills CSD, Midpeninsula Regional Open Space District, Rosamond CSD, Truckee Donner Recreation & Park District, and Tualatin Hills Park & Recreation District (OR).
25 | 2026 Arthur J. Gallagher & Co
o Fire Protection: Alameda County Fire, Central Fire District of Santa Cruz, Fire Protection District of Southern Marin, Orange County Fire Authority, Novate Fire Protection District, and Sacramento Metropolitan Fire District.
o Housing/Economic Development: Housing Authority of County of San Bernardino, Housing Authority of County of Santa Barbara, Housing Authority of County of San Luis Obispo, , Santa Clara County Housing Authority, and San Diego Housing Commission. o Library Districts: Altadena Library District, Banning Library District, and Buena Park Library District. o Public Utilities: East Bay Municipal Utility District, North Tahoe Public Utility District, Redwood Coast Energy Authority, Sacramento Municipal Utilities District, and Southern California Public Power Authority.
o Transportation: Alameda County Transportation Commission, Contra Costa Transportation Authority, El Dorado County Transit Authority, Livermore Amador Valley Transit Authority, Long Beach Transit, Marin Transit District, Metropolitan Transportation Commission, Monterey-Salinas Transit District, Orange County Transportation Authority, Port of Long Beach, Port of Oakland, Port of San Diego, Port of Stockton, Riverside County Transportation Commission, Sacramento Area Council of Governments, San Bernardino County Transportation Authority, San Bernardino International Airport, San Francisco Bay Area Water Emergency Transportation Authority, San Mateo County Transit District, Santa Cruz Metropolitan Transit District, Sonoma-Marin Area Rail Transit, Western Riverside Council of Governments.
o Wastewater: California Association of Sanitation Agencies, Central Marin Sanitation Agency, Orange County Sanitation District, Reclamation District No. 1000, Sacramento Area Sewer District, and Tahoe Truckee Sanitation Agency.
o Water: Bay Area Water Supply & Conservation Agency, Beaumont Cherry Valley Water District, Central Coast Water Authority, Coachella Valley Water District, Coastside County Water District, Contra Costa Water District, Eastern Municipal Water District, Helix Water District, Irvine Ranch Water District, Mesa Water District, Metropolitan Water District of Southern California, Mission Springs Water District, Mojave Water Agency, Rainbow Municipal Water District, North Coast Water District, North Marin Water District, Rancho California Water District, Rincon del Diablo Municipal Water District, San Lorenzo Valley Water District, Santa Clara Valley Water District, Santa Clarita Valley Water Agency, Sonoma County Water Agency, State Water Contractors, Western Municipal Water District, Yorba Linda Water District, and Yuba Water Agency. o Other: Association of California Water Agencies, First 5 Alameda, League of California Cities, Natividad Medical Center, Orange County Employee Retirement System, Rural County Representatives of California.

Georg will be key personnel and serve as the Co-Project Director for this project; he will coordinate all of Gallagher’s efforts, will attend all meetings, and will be responsible for all work products and deliverables.

Maggie Williams-Dalgart
Project Manager
Since joining Gallagher in 2021 Maggie has been providing a wide range of consulting services, including classification analysis and development, custom salary and benefits surveys, and pay plan design for various public sector agencies, including cities, counties, special districts, community colleges, and transit agencies.

Maggie provides strategic advising and understands the importance of engaging key stakeholders throughout the study.

Prior to joining Gallagher, Maggie spent 20 years in human resources for local government. In addition to classification and compensation expertise, Maggie’s experience includes collective bargaining, labor contract administration and labor costing, policy development, and recruitment and selection. Maggie served as President of CalPACS from 2018 - 2021, a regional internet-based salary and benefits survey website for local agencies in Southern California. Maggie holds a bachelor’s degree in History of Public Policy from the University of California, Santa Barbara and a master’s degree in Public Administration from the University of Colorado, Colorado Springs.
26 | 2026 Arthur J. Gallagher & Co
Alyssa Thompson, Ph. D.

Senior Consultant
Alyssa has over 25 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, El Cerrito, Hayward, Hillsborough, Los Altos Hills, Monterey, Napa, Newman, Oakland, Orange, Palm Desert, Piedmont, Redlands, Sacramento, San Diego, Santa Barbara, Santa Monica, Santa Rosa, Truckee, Vallejo, Yuba City • Counties: Bernalillo (New Mexico), Butte, Humboldt, Orange, Placer, San Joaquin, San Mateo, Solano, Sonoma, Tehama, Tuolumne
• Special Districts:
o Community Services District: Cosumnes CSD, Hayward Area Recreation and Park District, Heritage Ranch CSD, Rosmond Community Services District, Tualatin Hills Park & Recreation District (OR)
o Fire and Police Protection: Sacramento Metropolitan Fire District o Housing/Economic Development: Housing Authority of the County of Alameda, Oakland Housing Authority, San Diego Housing Commission, Santa Clara County Housing Authority
o Open Space: Midpeninsula Regional Open Space District o Public Utilities: East Bay Municipal Utility District, Northern California Power Agency o Transportation: Alameda County Transportation Commission, Coachella Valley Association of Governments, Contra Costa Transportation Authority, Livermore Amador Valley Transit Authority, Metropolitan Transportation Commission, Napa County Transportation Authority, Port of Long Beach, Riverside County Transportation Commission, San Bernardino County Transportation Authority, Santa Cruz Metropolitan Transit District, San Gabriel Valley Council of Governments, Sonoma County Transportation Authority, Western Riverside Council of Governments o Wastewater: Central Contra Costa Sanitary District, Central Marin Sanitation Agency, Los Angeles County Sanitation Districts, Orange County Sanitation District, Salinas Solid Waste Authority
o Water: Alameda County Water District, Bay Area Water Supply & Conservation Agency, Coastside County Water District, Contra Costa Water District, Dublin San Ramon Services District, Irvine Water District, Metropolitan Water District of Southern California, MidPeninsula Water District, Santa Clara Valley Water District, Santa Clarita Valley Water Agency, South Coast Water District, Valley County Water District, Zone 7 Water Agency • Education: Cabrillo College, Foothill-De Anza Community College District, Mount San Antonio College, West Valley Mission Community College District • Courts: Habeas Corpus Resource Center, Superior Court of California-County of Orange 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 provide consultant support throughout the effort, including classification analysis, interviews with employees and management, compensation data collection and analysis, internal job analysis, development of recommendations, and implementation strategies.

Sarah Nunes, M.A.

Senior Consultant
27 | 2026 Arthur J. Gallagher & Co
Sarah’s professional qualifications include over 19 years of public sector experience with the Human Resources Department of the City of San José. Starting at the analyst level and eventually rising to Division Manager, she gained experience in recruitment and selection, classification and compensation, and general human resources administration.

Since joining Gallagher (formerly Koff & Associates) in 2017, Sarah has worked on Classification and Compensation studies for the following agencies:
• Cities/Counties/Towns: Alameda, Alpine Co., American Canyon, Antioch, Calistoga, Campbell, Concord, El Cerrito, Elk Grove, Foster City, Kings Co., Los Altos, Laguna Beach, Los Gatos, Madera Co., Milpitas, Monte Sereno, Newport Beach, Palo Alto, Perris, Piedmont, Phoenix, Pleasant Hill, Rio Dell, San Diego, San José, San Mateo, San Mateo Co., Santa Cruz, Saratoga, Seattle, Tualatin
• Special Districts: Central Fire Protection District of Santa Cruz, First 5 Alameda, Housing Authority of the County of Alameda, League of California Cities, Local Agency Formation Commissions of Santa Clara and Sonoma County, Merced County Office of Education, Metropolitan Transportation Commission, Napa Sanitation District, Ojai Valley Sanitary District, Orange County Fire Authority, Orange County Sanitation District, San Francisco Bay Area Water Emergency Transportation Authority (“WETA”), San Mateo County Office of Education, San Mateo Transit District, Santa Clara Valley Open Space Authority, Santa Clara Valley Water District, Stanislaus County Office of Education, Transportation Authority of Marin, West Valley Sanitation District
Sarah earned her B.A. degree in Anthropology from Beloit College, in Wisconsin, and was awarded her M.A. in Anthropology from California State University, in Chico.

Sarah will provide H.R. Associate support for this project, including classification analysis, interviews with employees and management, comparator analysis, compensation data collection and analysis, internal job analysis, development of recommendations, and implementation strategies.

Lauren Grant
Associate Consultant
Lauren’s professional qualifications include over nine (9) years of experience in public sector classification, compensation, talent management, and talent acquisition. She has led classification and compensation activities for Oregon's largest post-secondary institution and was responsible for recruitment, selection, classification, and compensation for Oregon's largest housing authority and affordable housing provider. Lauren joined Koff & Associates/Gallagher in April 2023.

Prior to public service, Lauren worked as an HR generalist in the hospitality industry and provided HR support to local nonprofit organizations. She also brings experience in HR analytics and organizational development, as well as labor and employee relations, communications, and engagement.

Lauren earned her B.S. degree with majors in Human Resources Management, Management & Leadership, and Psychology from Portland State University, where she graduated summa cum laude. She holds certifications in strategic workforce planning, people analytics for HR, and competency modeling, in addition to her SHRM professional certification.

Suzy Parker
Consultant
Suzy Parker brings over seven years of experience in various public sector roles, ranging from Programmatic Case Management to Human Resource Analyst, and most recently, as the Classification & Compensation Manager at the Oregon Department of Human Services. She is highly skilled in classification and compensation, labor management, policy and contract development, position management, performance management, 28 | 2026 Arthur J. Gallagher & Co
employee engagement, and training and development. Suzy joined Gallagher (formerly Koff and Associates) in September 2023.

Since joining Gallagher, Suzy has worked on the following studies:
• Classification Study: City of Sunnyvale, Port of San Diego, Imperial County, Jurupa Community Services District, City of Perris, City of Ontario, Zone 7 Water Agency, City of Pomona, City of Elk Grove, City of Chino, City of Pasadena, and Santa Cruz Metropolitan Transit District. • Compensation Study: Imperial County, City of Lompoc, City of Pomona, Jurupa Community Services District, Triunfo Water and Sanitation District, Superior Court of California, County of San Bernardino, Triunfo Water and Sanitation District, Tahoe-Truckee Sanitation Agency, Santa Cruz Metropolitan Transit District, City of San Diego, and City of El Cerrito.

Suzy holds both a bachelor’s and a master’s degree in business administration and holds a SHRM-CP Certificate.

In her current role, Suzy provides Human Resources Associate support across multiple projects, focusing on classification analysis, conducting interviews with employees and management, collecting and analyzing compensation data, performing internal job analyses, and developing recommendations. Suzy is passionate about engaging with clients, building partnerships within communities, and fostering collaboration.

Cindy Harary, B.A.

Consultant
Cindy’s professional qualifications include over 38 years of experience in the Human Resources field, primarily in classification and compensation. She spent the first 11 years in the public sector working for the City of Whittier, California, where she started out in their Public Works Department before moving to the Human Resources Department. She gained experience in classification and compensation, recruitment and selection, employee training and development, labor relations, and general human resources administration.

For the next 16 years, Cindy worked as a Human Resources Consultant for a consulting firm where she specialized in conducting classification and compensation studies for multiple public sector agencies including cities, counties, and special districts as well as several private sector clients. Some of the Orange County Cities she worked on in partnership with other consultants at that firm were: Cities of Brea, Laguna Beach, Lake Forest, La Palma, Los Alamitos, Placentia, San Clemente, Stanton and Tustin. In Los Angeles County, her work includes the Cities of Corona, Downey, El Monte, Manhattan Beach, and Upland. Finally, in San Bernardino County she has worked on the City of Rancho Cucamonga.

Since joining Gallagher (formerly Koff and Associates) in 2015, Cindy has worked on Classification and/or Compensation studies for:
• Air Quality Districts: Monterey Bay Air Resources District, South Coast Air Quality Management District
• Cities/Towns: Anaheim, Big Bear Lake, Campbell, Carmel, Cathedral City, Commerce, Corona, Danville, Davis, El Cerrito, Fullerton, Hanford, Indian Wells, Laguna Niguel, Long Beach, Los Altos, Manteca, Menifee, Murrieta, National City, Oceanside, San Diego, Santa Ana, Santa Barbara, Santa Monica, Seal Beach, Tracy, Tustin, Yucca Valley • Courts: Superior Court of California-San Bernardino County • Counties: Butte, Kings, Madera, Orange, San Diego
• Education: Compton College, Merced County Office of Education, Rancho Santiago Community College District, San Mateo County Office of Education, Southwestern Community College District, Weaver Union School District, Yuba Community College District • Housing Authorities: Alameda Housing Authority, Albuquerque Housing Authority (New Mexico), Housing Authority of Alameda County, Housing Authority County of San Bernardino, Housing Authority for the County of Santa Barbara, Los Angeles County Development Authority, San Diego Housing Commission
29 | 2026 Arthur J. Gallagher & Co
• Library Districts: Altadena Library District
• Ports: Port of Hueneme, Port of Oakland, Port of Stockton • Sanitation/Waste Management Districts: Central Marin Sanitation Agency, Humboldt Waste Management Authority, Monterey Regional Waste Management District, Orange County Sanitation District, Oro Loma Sanitary District
• Transportation: Central Contra Costa County Transit, Marin Transit, Riverside County Transportation Commission, San Bernardino County Transportation Agency, Santa Cruz Metro Transit District
• Wastewater Districts: Encina Wastewater Authority, Monterey Regional Waste Management District
• Water Districts: Bay Area Water Supply and Conservation Agency, Chino Basin Water Conservation District, Coachella Valley Water District, Eastern Municipal Water District, Marina Coast Water, Mojave Water Agency, Monte Vista Water District, North Coast County Water District, Rincon del Diablo Municipal Water District, Sammamish Plateau Water (Washington), Santa Clarita Valley Water Agency, Sweetwater Authority, Trabuco Canyon Water District, Vallecitos Water District, Western Municipal Water District • Special Districts: Cosumnes Community Services District, First 5 Alameda, Inland Empire Utilities Agency, North Tahoe Public Utility District, Orange County Fire Authority, Orange County Mosquito and Vector Control District, Water Replenishment District of Southern California.

Cindy earned her B.A. degree in Broadcast Journalism at California State University, Long Beach. Cindy will provide Human Resources Consultant support throughout this effort, including classification analysis, interviews with employees and management, compensation data collection and analysis, internal job analysis, development of recommendations, and implementation strategies.
2026 Arthur J. Gallagher & Co
Gallagher is pleased to submit this proposal to you. While this proposal is not meant to constitute a formal offer, acceptance, or contract, notwithstanding anything to the contrary contained in the proposal, Gallagher is submitting this proposal with the understanding the parties would negotiate and sign a contract containing terms and conditions that are mutually acceptable to both parties.

This material was created to provide accurate and reliable information on the subjects covered by should not be regarded as a complete analysis of these subjects. It is not to provide specific legal, tax or other professional advice. The services of an appropriate professional should be sought regarding your individual situation.

Consulting and insurance brokerage services to be provided by Gallagher Benefit Services, Inc. and/or its affiliate Gallagher Benefit Services (Canada) Group Inc. Gallagher Benefit Services, Inc., a non-investment firm and subsidiary of Arthur J. Gallagher & Co., is a licensed insurance agency that does business in California as “Gallagher Benefit Services of California Insurance Services” and in Massachusetts as “Gallagher Benefit Insurance Services. ajg.com The Gallagher Way. Since 1927.

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