Board of Directors Regular Meeting Agenda


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Meeting Date: 12/05/2018  

Receive consider and act upon a selection of firm to perform Compensation and Classification Study (C-2018-0595);
$58,500 which is included in the 2019 Adopted Budget
The Board authorized a Compensation and Classification Study for all Township positions, including those in the fire department and dispatch.  The selected firm is expected to conduct a comprehensive compensation data collection/survey of external labor markets for positions, analyze and evaluate all data in an objective manner and make recommendations designed to ensure both internal equity and external competitiveness for either changes to current classification systems or for adoption of a newly designed compensation system.
A Request for Proposals for a Compensation and Classification Study was released September 28, 2018 and six proposals were received from the following firms:
  • Evergreen Solutions, LLC
  • Gallagher Benefits Services, Inc.
  • Management Advisory Group International, Inc.
  • Public Sector Personnel Consultants
  • Segal Waters Consulting
  • Springsted
A proposal review committee consisting of the following employees reviewed and scored each of the responses:
  • Chief Doug Adams
  • Karen Dempsey, Assistant to the President
  • William Pham, Director of Information Technology
  • Monique Sharp, Assistant General Manager of Finance and Administration
  • Hennie van Rensburg, Director of Covenant Administration
  • Susan Welbes, Director of Human Resources 

Proposal responses were scored on the following criteria and with the following weight:
  • Firm’s Qualifications and Experience - 30%
  • Project Design and Methodology – 30%
  • Rates, Fees and Expenses – 40%
The Pricing and Fees submitted by firm are shown below:
Firm Pricing and Fees
Public Sector Personnel Consultants $58,500
Evergreen Solutions, LLC $58,500
Springsted $58,600
Management Advisory Group International, Inc. $59,500
Gallagher Benefits Services, Inc. $70,500
Segal Waters Consulting $125,000
After the committee members scored the proposals, the committee met to review the Scoring Matrix (which is attached).  The results of the Scoring Matrix, listing firms from highest score to lowest follow:
Firm Score (30 being the highest score possible)
Public Sector Personnel Consultants 24.60
Springsted 22.20
Management Advisory Group International, Inc. 21.90
Evergreen Solutions, LLC 21.30
Segal Waters Consulting 17.40
Gallagher Benefits Services, Inc. 17.10
The committee decided to not recommend Springsted for further consideration as the firm stated they had exceptions to The Township’s insurance requirements and if expected to meet the Township’s requirements, additional costs would be charged.
Public Sector Personnel Consultants conducted a compensation and classification study for the Community Associations of The Woodlands in 2003.  PSPC’s Texas clients include Baytown, Frisco, Allen, Georgetown and Tomball.  The firm has been in existence since 1982 and provides services exclusively to public sector employers.  Matt Weatherly, the President of PSPC served as the Project Director in 2003 and is planning to continue in this same role if selected.   PSPC will deliver their EZ COMP program to the Township’s Human Resources Department for use at the end of their study.  PSPC offers implementation support during the first year to its clients, and will analyze, evaluate, classify and provide a salary range recommendation for any new or changed position or entire job class, at no additional cost.
Management Advisory Group International, Inc. has conducted over 500 similar studies over the past 25 years in over 40 states, including Texas.  Some of MAG’s Texas clients are Pearland, Brownsville, El Paso, and Stephenville.  Donald Long will serve as the Project Director and in addition to his consulting experience, he has served as an Assistant City Manager and City Manager.  MAG utilizes their own software: Classification Manager, Market Manager and Job Analysis Questionnaire, and will license these products for The Township’s use in the future.  MAG also provides guidance and off-site support for up to a year following completion of the project at no additional cost.
Evergreen Solutions, LLC was formed in 2004 to provide a modern, practical alternative to typical consulting options.  Evergreen has conducted over 400 studies nationwide, and over 30 projects in Texas.  Evergreen was recently selected to conduct a compensation and classification study for the City of Conroe, and has also provided services to Fort Bend County, Travis County, Duncanville, Farmers Branch and the Texas City Management Association.  Dr. Jeffrey Ling, who possesses a Ph.D., M.S. and B.A. in Political Science, will serve as Project Director, and he has over 20 years of consulting experience.  Evergreen will collect salary data based on gender and race and perform pay equity analyses on the data collected. 
The Proposal Review Committee believes that any of the three highest scoring firms (PSPC, MAG, Evergreen), is qualified to perform The Township’s Compensation and Classification Study.  Public Sector Personnel Consultants and Management Advisory Group International offer software for the Township’s use after implementation and one-year of implementation support.  PSPC is the committee’s recommended firm based on the firm’s experience with similar Texas cities, exclusive public-sector customers, proprietary software, one-year of ongoing support and overall project design and methodology.
The selected firm to conduct the Compensation and Classification Study will initially present an overview of The Township’s current compensation structure and procedures at a January Board Meeting.  Examples of how employees’ compensation changes throughout their career will also be provided.  The selected firm will also use the feedback provided in January as they perform their analysis and provide recommendations.  Time in Position (or equity) Increases which are normally given in January each year will be postponed until the conclusion of this study.
The Township wants to obtain feedback from all supervisors regarding administrative issues they encounter as it relates to compensation.  A survey will be distributed that will allow supervisors to comment on recruitment and retention issues they face, and this information will be shared with the selected firm. 
The Township will convene a Project Team made up of cross-departmental employee representatives who will review and provide feedback to the consultant throughout this project.  Human Resources will coordinate these efforts and provide data to the consultant.  The consultant will present their recommendations to the Board of Directors for approval at the end of their study, which is expected in April or May 2019.
Award the proposal for a Compensation and Classification Study to the Proposal Committee’s recommended firm, Public Sector Personnel Consultants and authorize the President/General Manager to execute a services agreement as approved to form by the Township Attorney.
RFP Scoring Matrix
RFP Compensation and Classification Study


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