Human Resources Department
www.santa-ana.org/human-resources
Item # 12
City of Santa Ana
20 Civic Center Plaza, Santa Ana, CA 92701
Staff Report
October 1, 2024
TOPIC: Classification and Compensation Study Services
AGENDA TITLE
Agreement with Evergreen Solutions, LLC for Classification and Compensation Study Services (Specification No. 24-081) (General Fund and Non-General Fund)
RECOMMENDED ACTION
Authorize the City Manager to execute an agreement with Evergreen Solutions, LLC to provide classification and compensation study services for a term of one year, which will expire September 30, 2025, in an amount not to exceed $128,500 (Agreement A-2024- XXX).
GOVERNMENT CODE §84308 APPLIES: Yes
DISCUSSION
The purpose of the study is to review the City’s compensation of employees as it relates to the City’s comparative labor market as well as determining appropriate benchmark classifications for future studies. There have been a significant number of requests for classification review, as well as difficulty in recruiting for some positions due to low wages. The results of the study will assist the City in making decisions that affect recruitment, retention, operational efficiency, and labor relations.
The Human Resources Department worked with representatives from each affected union (CASA, SAMA, and SEIU) to select a qualified vendor to conduct a citywide compensation study. While only the SEIU MOU includes a provision for conducting a study, the classifications for other bargaining groups who also have not had a study done in recent years will be included.
Request for Proposals (RFP) No. 24-081 was issued on June 13, 2024 on the City’s online bid management and publication system. A summary of vendor participation and results is as follows:
721 Vendors notified
0 Santa Ana vendors notified
24 Vendors downloaded the RFP packet
Classification and Compensation Study Services
October 1, 2024
4 5
8 3
8 Proposals received
0 Proposals received from Santa Ana vendors
Proposals were solicited, opened on July 11, 2024, and evaluated. Eight proposals were submitted by the RFP deadline and seven proposals were determined to be responsive to the specifications and met the City’s requirements. The proposal submitted by Transformance Consulting was deemed non-responsive as they did not submit all required documents by the RFP, and did not meet RFP specifications.
An evaluation committee made up of representatives from the affected bargaining groups (CASA, SAMA, and SEIU) reviewed and rated the proposals according to the criteria listed in the RFP, and the following summarizes the responding firms and their rankings:
Firm Location Rank
Evergreen Solutions, LLC Tallahassee, FL 1
MGT of America Consulting, LLC Tallahassee, FL 2
Public Sector Personnel Consultants, Inc. Los Angeles, CA 3 CBIZ Compensation Consulting St. Louis, MO 4
Segal Washington, D.C. 5
Koff & Associates Berkeley, CA 6
Class and Comp HR Consulting Yorba Linda, CA 7
In accordance with the RFP criteria, the evaluation committee evaluated proposals and determined that Evergreen Solutions, LLC best met the City’s specifications, demonstrated vast experience working with similar-sized California public agencies, and offered the most competitive pricing among the firms capable of delivering the required level of service. Therefore, staff recommends awarding agreements with Evergreen Solutions, LLC. (Exhibit 1).
ENVIRONMENTAL IMPACT
There is no environmental impact associated with this action.
FISCAL IMPACT
Funding is available in the current FY 2024-2025 budget in the following account:
Accounting Unit-
Account Number
Fund Description Accounting Unit –
Accounting Description
Amount
01109051 – 62300 HR Employee
Relations Service
Enhancement
Contract Services -
Professional
$128,500
Classification and Compensation Study Services
October 1, 2024
4 5
8 3
EXHIBIT(S)
1. Consultant Agreement Between Evergreen Solutions LLC and City of Santa Ana Submitted By: Lori Schnaider, Executive Director of Human Resources Approved By: Alvaro Nuñez, City Manager