Loading...
HomeMy WebLinkAbout115-06 RESOLUTIONRESOLUTION NO. 115-06 A RESOLUTION APPROVING A CONIRACT IN THE AMOUNT OF $38,608.00 WITH MANAGEMENT ADVISORY GROUP, INC. FOR CONSULTING SERVICES FOR PHASE II OF THE COMPENSATION AND CLASSIFICATION SYSTEM PROJECT; AND APPROVING A BUDGET ADJUSTMENT IN THE AMOUNT OF $38,608.00. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS - Section 1. That the City Council of the City of Fayetteville, Arkansas hereby approves a contract in the amount of $38,608.00 with Management Advisory Group Inc. for consulting services for Phase II of the Compensation and Classification System Project. A copy of the contract, marked Exhibit "A" is attached hereto and made a part hereof. Section 2. That the City Council of the City of Fayetteville, Arkansas hereby approves a budget adjustment in the amount of $38,608.00. PASSED and APPROVED this 27`s day of June, 2006. APPROVED: ATTEST: By: �o �RK/T . �.. S .G\SYc»?E: �V•-A= E. ; FAYETTEVILLE By: DAN COODY, Mayos SONDRA SMITH, City Clerk • AGREEMENT TO PROVIDE PROFESSIONAL HUMAN RESOURCE MANAGEMENT CONSULTING SERVICES TO FAYETTEVILLE, ARKANSAS THIS AGREEMENT, entered into thisJbday of June 2006 and effective immediately by and between Management Advisory Group, Inc. (hereinafter called the "Consultant") and the CLIENT (hereinafter called the "Client" and/or "the City"), WITNESSETH THAT: WHEREAS, the Client is interested in obtaining professional human resource management consulting services to assist in developing plans and programs that conform to Federal, State, and local requirements and that will be approved by their representatives, WHEREAS, the Consultant is staffed with personnel knowledgeable and experienced in the development of human resource management systems and NOW THEREFORE, the parties hereto mutually agree as follows: 1. Employment of Consultant. The Client agrees to engage the Consultant and the Consultant hereby agrees to perform the services described in the "Scope of Services" listed below. 2. Scope of Services. The Consultant shall do, perform and carry out in a good and professional manner human resource management consulting services as may be requested by the Client, which may include, but are not limited to, the following: Facilitate discussions with the Citys senior management and City Council to develop a compensation philosophy for the City. Using the goals and objectives defined in the compensation philosophy as guideposts, design and implement a job evaluation system that enables the City to assure internal equity in pay. Conduct surveys to gather market data which will be used by the City to assess its ability to achieve/maintain its stated market position for external competitiveness. This study is to include approximately 736 employees in approximately 206 classifications. Included by reference herein is the Consultants' Proposal to the Client which details the proposed study timeline, work plan, and deliverables. 3. Time of Performance. The services to be performed hereunder by the Consultant shall be undertaken and completed in such sequence so as to ensure their expeditious completion and best carry out the purposes of the agreement. Projects will commence within ten (10) days of notification to proceed and will be completed within a time period agreed to by the Consultant and the Client. 4. Compensation. The Client agrees to pay the Consultant a sum as designated in item 5 below, or, for services not included in the Scope of Services at a rate of one hundred -fifty dollars ($150.00) per professional hour expended and thirty-five dollars ($35.00) per clerical hour expended, plus expenses. Any on- site requirements shall include directly related travel expenses and professional time. 5. Payment. Ten percent (10%, or $3,860.80) of the total fee ($38,608) will be retained by the client pending completion of the final report. The Consultant shall submit invoices on a regular basis for initiation (30%); project progress payment (30%);. and draft (30%) detailing work performed. The Consultant shall be paid as soon as the Client can reasonably process such payment. Total cost of the proposed services is $38,608. Management Advisory Group, Inc. 2006 Page 1 6. Third Party Actions. The fees to be provided do not include services provided by MAG following submission of its final report and recommendations. In the event MAG is required to provide documents or testimony in response to claims, demands or actions by third parties, MAG shall bill the City for services rendered based on then -current professional fees and expenses, incurred, including reasonable attorneys fees. No tasks shall be undertaken without prior notification to the City. This provision is intended to apply only to third -party actions based on the City's implementation of MAG's report and findings. 6. Changes. The Client may, from time to time, require changes in the scope of services of the Consultant to be performed hereunder. Such changes, which are mutually agreed upon by and between the Client and the Consultant, shall be incorporated in written amendment to this agreement. 7. Services and Materials to be Furnished by the Client. The Client shall furnish the Consultant with all available necessary information pertinent to the execution of this agreement. The Client shall cooperate with the Consultant in scheduling and carrying out the work herein. 8. Rights to Terminate Contract. The terms of this contract shall be in effect through December 31, 2006. Either party shall have the right to terminate this agreement with or without cause, by giving written notice to the other party of such termination at least five (5) days before the effective date of such termination. 9. Indemnification. Consiultant agrees, to the fullest extent permitted by law, to indemnify and hold harmless the City from any amounts (including reasonable attorney's fees) for which the City shall become legally obligated to pay as damages for negligent acts, errors, and/or omissions of the Consultant arising out of the Consultant's performance under this Agreement; however, the amount Consultant will pay for damages is limited to $1,000,000, which number is intended to reflect the limits set forth in Consultant's liability insurance. 10. Copyright, Trade Secrets and Security. The Client acknowledges that certain report formats to be provided by the Consultant are copyrighted. The Consultant shall ensure that all copies of its.report bear the copyright legend. The Client agrees that all ownership rights and copyrights thereto lie with the Consultant. The Client may use the report solely for and on behalf of the Client's operations. The Client agrees that it will take appropriate action by instruction, agreement or otherwise with its employees to satisfy its obligations with respect to use, copying, protection and security of report formats. Consultant further represents that the copyrighted report formats constitute trade secrets of Consultant as the term "trade secrets" is defined in the appropriate Sections of the State Statutes. Consultant claims exemption from disclosure of the copyrighted materials as is provided under appropriate sections of the State's Public Records Act and Federal copyright laws. Consultant asserts that its Classification Manager® software, Job Analysis Questionnaire (JAQ), methodology, and software development manuals and related documentation for the software are trade secrets and as such are not subject to disclosure under relevant state statutes. 11. Information and Reports. The Consultant shall, at such time and in such form as the Client may require, furnish such periodic reports concerning the status of the project as may be requested by the Client. The Consultant shall furnish the Client, upon request, with copies of all documents and other materials prepared or developed in relation with or as a part of the project. 12. Records and Inspections. The Consultant shall maintain full and accurate records with respect to all matters covered under this agreement. The Client shall have free access at all proper times to such records and the right to examine and audit the same and to make transcripts therefrom, and to inspect all program data, documents, proceedings and activities. 13. Accomplishment of Protect. The Consultant shall commence, carry on, and complete requested projects with all practicable dispatch, in a sound economical and efficient manner, in accordance with the provisions thereof and all applicable laws. In accomplishing requested projects, the Consultant shall take such steps as are appropriate to ensure that the work involved is properly coordinated with related work being carried on within the applicable work area. Management Advisory Group, Inc. 2006 Page 2 14. Provisions Concerning Certain Waivers. Subject to applicable law, any right or remedy which the Client may have under this contract may be waived in writing by the Client by means of a formal waiver, if, in the judgment of the Client, this contract, as so modified,will still conform to the terms and requirements of pertinent laws. 15. Matters to be Disregarded. The titles of the several sections, subsections, and paragraphs set forth in this contract are inserted for convenience of reference only and shall be disregarded in construing or interpreting any of the provisions of this contract. 16. Completeness of Contract. This contract and any additional or supplementary document or documents incorporated herein by specific reference contain all of the terms and conditions agreed upon by the parties hereto, and no other agreements, oral or otherwise, regarding the subject matter of this contract or any part thereof shall have any validity or bind any of the parties hereto. 17. The Client not Obligated to Third Parties. The Client shall not be obligated or liable hereunder to any party other than the Consultant. 18. When Rights and Remedies Not Waived. In no event shall the making by the Client of any payment to the Consultant constitute or be construed as a waiver by the Client of any breach of covenant, of any default which may then exist, on the part of the Consultant, and the making of any such payment by the Client while any such breach or default exists shall in no wise impair or prejudice any right or remedy available to the Client in respect to such breach or default. 19. Personnel. The Consultant represents that he has, or will secure at his own expense, all personnel required in performing the services under this agreement. Such personnel shall not be employees of or have any contractual relationship with the Client. All of the personnel engaged in the work shall be fully qualified to perform such services. 20. Consultant Certification. The Consultant certifies that the Consultant has not been convicted of bribery or attempting to bribe and officer or employee of the Client nor has the Consultant made an admission of guilt of such conduct which is a matter of record. 21. Notices. Any notices, bills, invoices, or reports required by this agreement shall be sufficient if sent by the parties hereto in the United States mail, postage paid, to the addresses noted below. Management Advisory Group, Inc. 15974 Cove Lane Montclair, Virginia 22025 (703) 590-7250 Management Advisory Group, Inc. 2006 Page 3 IN WITNESS WHEREOF, the Client and the Consultant have executed this agreement as of the date first written above. Consultan ! irm's uttiorized S tnatu BY Carolyn Long, President and CEO CITY OF FAYETTEVILLE, FAY ••TTEVI E, ARKANSAS �.. PRINTED NAME AND TITLE DAN C o T ' Y, Mayor ATTEST: BYu..t /,, SONDRA SMITH, City, r�c�4';,,, FR ?fq'''• . SG% =V •A ta FAYETTEVILLE: le, * c0,0% ',f„% ATTEST: CONSULTANT FIRM'S SECRETARY p� Josephine Clements (�1irruut 1974 Cove Lane, Montclair, Virginia 22025 BUSINESS ADDRESS Management Advisory Group, Inc. 2006 Page 4 City of Fayetteville Proposal Project Timeline Management Advisory Group's (MAG) ability to adhere to defined timetables will be to some extent dependent on timely action by City management and staff in providing necessary data, determining philosophical approaches to be taken, and the acceptance or need for revisions to draft instruments or study products. The short time frame will require utilizing recently completed descriptions, accessing our library of compensation data, and interviewing department heads to confirm classification assignments. Project Work -Plan MAG has developed a proposed project work plan and timeline consisting of the following primary project phases, based on the City's desired scope of services. Some protect activities may occur simultaneously. PHASE 1: PROJECT INITIATION OBJECTIVE: To develop a project plan acceptable to all parties, including the establishment of a timeline for protect activities and deliverables; gather pertinent project related data, and finalize contractual negotiations. ACTIVITIES: • Meet with the City's Department of Human Resources and selected City administration staff to discuss the project goals and objectives, and to coordinate on-site activities. Meet with HR to confirm project plan and timeline. ■ Conduct Orientation meeting for employees to outline project goals and objectives an to answer any questions concerning their role in the project. ■ Establish a mutually agreed-upon project work plan, time lines, deliverables, and monitoring procedures that will lead to the successful accomplishment of all project objectives. • Execute project contract. • Gather required project data/information from the City, such as current class descriptions, current pay plan data, administration policies and procedures, and other relevant background materials. DELIVERABLE(S): • . Finalized Project WorkPlan • Executed Project Contract • Employee Orientation Meetings Management Advisory Group, Inc. 2006 3-1 City of Fayetteville Proposal PHASE 11: SURVEY DATA REVIEW OBJECTIVE: To gather salary/compensation data, establish a list of benchmark classifications for inclusion in the survey, and define benchmark organizations or agencies as target respondent organizations. ACTIVITIES: ■ Select appropriate market survey target employers that offer comparable employment opportunities. • Establish list of benchmark classifications for inclusion in the salary data review. • Gather compensation data. ■ Review Draft Survey data. • Develop Final Salary Survey Instrument. DELIVERABLE(S): • Survey Approach PHASE 111: COLLECT COMPENSATION DATA OBJECTIVE: To capture survey data for identified benchmark classifications. ACTIVITIES: • Identify and collect compensation data. • Review/clean collected compensation data and compare to current City data. • Develop market compensation summary by benchmark classification. ■ Prepare summary of collected data. Management Advisory Group, Inc. 2006 3-2 City of Fayetteville Proposal DELIVERABLE(S): ■ Survey Data PHASE IV: REVIEW AND EVALUATE CURRENT PLAN OBJECTIVE: To review and assess the current pay and classification plan. ACTIVITIES: • Review the current job descriptions. • Establish and conduct interviews with department heads. ■ Evaluate the job duties specified in the descriptions. • Review and recommend action steps to either change, modify or maintain the current compensation system. • Review and recommend changes to current salary administration processes. • Recommend any policy/procedure/practice/form changes which may result from any compensation/salary administration changes recommended. PHASE V: SURVEY DATA ANALYSIS OBJECTIVE: To gather, compile and analyze compensation data from the market and compare to the current City pay plan. • ACTIVITIES: • Review/analyze market compensation data• compare to current City data. • Recommend any needed compensation adjustments to the current system. • Create a salary design that meets the varying needs of different groups of employees within the City. • Adjust the compensation architecture as needed to ensure that both the current and future needs of the City are met. • Provide and present on-site findings for internal City executive/administrative review. Management Advisory Group, Inc. 2006 3-3 City of Fayetteville Proposal DELIVERABLE(S): • Market Data Review • Meeting with City executive/administrative staff. PHASE VI: DRAFT REPORT OBJECTIVE: To develop a draft report, integrating results from all previously accomplished project tasks and activities. ACTIVITIES: ■ Integrate project data and deliverables from previous project tasks into a draft report for internal City review. • Present draft project findings to City management. DELIVERABLE(S): • Draft Report PHASE VII: FINAL REPORT OBJECTIVE: To develop a final report of project results, findings and recommendations for the City. ACTIVITIES: • Integrate project data and deliverables from previous project tasks into a final report for internal City review. ■ Revise draft report as necessary; develop/ deliver final report. DELIVERABLE(S): • Final Report of Classification and Compensation Study Management Advisory Group, Inc. 2006 3-4 City of Fayetteville, Arkansas Budget Adjustment Form Budget Year 2006 Department: Operations Division: Human Resources Program: Human Resources Date Requested 6/15/2006 Adjustment Number Project or Item Addedfincreased: Installation of new classification and compensation system, including updated market surveys. Project of Item Deleted/Reduced: None. Use of Fund Balance. Justification of this Increase: The project was initiated after the 2006 Budget was developed. The 2006 Budget included $30,000 for a compensation plan review, this amount was expensed for Phase I of this project. Justification of this Decrease: There is sufficient fund balance remaining to comply with City policy. Increase Expense Budget (Decrease Revenue Budget) Account Name Account Number Professional services 1010 1210 Account Name 5314 00 Amount 38,608 Decrease Expense Budget (Increase Revenue Budget) Account Number Amount Use of fund balance 1010 0001 4999 99 38,608 Protect Number Project Number • e Approval Signatures pot Date udget . • agej_ 1111111a, k Depa rent Dir+ctor Fina�ervices Direc ayor 0 Date C9 Date 27/� ate Date Budget Office Use Only Type: A B C :21-3 E Posted to General Ledger Posted to Project Accounting Entered in Category Log Initial Initial Initial Date Date Date Michele Bechhold Submitted By City of Fayetteville Staff Review Form City Council Agenda Items or Contracts Special Meeting 6/27/2006 City Council Meeting Date Human Resources Division Action Required: leks //4 / /S Difyierni AtiviSly Grout InC• Operations Department Staff recommends approval of a contract to be awarded on June 26, 2006 for consulting services for Phase II of the Compensation and Classification System Project. Staff also requests approval of a budget adjustment. $38,608 Cost of this request 1010.1210.5314.00 Account Number Project Number Budgeted Item 107,379.00 Category / Project Budget 90,632.00 Funds Used to Date $ 16, 747,00 Remaining Balance Budget Adjustment Attached XX Services and Charges Program Category / Project Name Human Resources Program / Project Category Name General Fund Name en— As— Department Dir C J or City Attorney Date 4/Il _ 4/06 Date l�ry Finance and Internal Service Direct& Da e 00 Mayor Date Previous Ordinance or Resolution # Original Contract Date: Original Contract Number: Received in City Clerk's Office Received in Mayor's Office Comments: C rtye ARKANSAS CITY COUNCIL AGENDA MEMO Special City Council Meeting June 27, 2006 TO: Mayor Dan Coody and the City Council THRU: Gary Dumas, Operations Direct FROM: Michele Bechhold, Human Resource6 s�}� DATE: June 15, 2006 I I SUBJECT: Award of a Contract for Consulting Services for Phase II of the Compensation and Classification System Project in the amount of $38,608.00 Recommendation Staff recommends approval of a contract with Management Advisory Group, Inc. in the amount of $38,608.00 to provide consulting services for the development and implementation of a new compensation and classification system. The complete scope of services, taken from the Request for Proposal 06-15, is attached for your review. (Attachment A) Discussion During April and May the Ad Hoc Compensation Committee appointed by Mayor Coody continued to meet. During these meetings the Committee discussed several of the questions that have been raised about the City's compensation practices. These items are listed below along with a brief explanation of how the issue was communicated in the RFP document to be addressed during Phase II of the project. 1. What is the City's compensation philosophy? Task 1 of the Scope of Services directs the consultant to facilitate the development of a compensation philosophy to be presented to Council for discussion and approval. 2. What are the appropriate labor markets to survey? Task 2 directs the consultant to develop a proposed survey group for City review and approval. Definitions for regional and local markets were agreed upon by the Compensation Committee. These definitions are also detailed in Task 2. 3. Should cost of living or cost of labor adjustment factors be applied to survey data? Task 9 states that the survey data should be geographically modified using the cost of labor index for the Fayetteville -Springdale -Rogers, AR -MO Metropolitan Statistical Area. How should the value of benefits be considered? In Task 3, the City requests the consultant to recommend a methodology to allow comparison of total remuneration. • The overall project goal is to implement a classification and compensation system that is legally defensible and provides a methodology that supports the objective measurement of compensable factors and maintenance of internal equity. The comprehensive salary and benefits analysis report is due to the City on September 15, 2006. The consultant will recommend at least two implementation strategies, one for full implementation and one within budget constraints. The project timeline provides for the consultant to be present at the September 26 Agenda Session to present the report and again at the October 3 Council Meeting to respond to additional questions. October 3 is one week prior to the Staff presentation of the 2007 Proposed Budget and Work Program at the October 10 Council Agenda Session. Procurement Method This firm was selected following a professional selection method which included the required notification/advertisement process. The proposals received are listed below. FIRM NAME LOCATION Deloitte Atlanta, GA Evergreen Solutions, LLC Tallahassee, FL Fox Lawson & Associates St. Paul, MN Johanson Group Fayetteville, AR Management Advisory Group, Inc. Montclair, VA The Waters Consulting Group, Inc. Dallas, TX Budget Impact A budget adjustment will be required to fund this project. The 2006 Human Resources budget included $30,000 for review of the City's compensation plan. This amount was utilized to fund the contract with Johanson Group for the first phase of the project. No other funding is available within the existing program budget. Staff is available to answer any questions you may have. RESOLUTION NO. A RESOLUTION APPROVING A CONTRACT IN THE AMOUNT OF $38,608.00 WITH MANAGEMENT ADVISORY GROUP, INC. FOR CONSULTING SERVICES FOR PHASE II OF THE COMPENSATION AND CLASSIFICATION SYSTEM PROJECT; AND APPROVING A BUDGET ADJUSTMENT IN THE AMOUNT OF $38,608.00. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1. That the City Council of the City of Fayetteville, Arkansas hereby approves a contract in the amount of $38,608.00 with Management Advisory Group Inc. for consulting services for Phase II of the Compensation and Classification System Project. A copy of the contract, marked Exhibit "A" is attached hereto and made a part hereof. Section 2. That the City Council of the City of Fayetteville, Arkans: , . eY?b ? approves a Budget Adjustment in the amount of $38,608.00. AT By: PASSED and APPROVED this 27'h day of June, 2006. SbNDRA SMT , W Clerk 00 -BY, Mayor AGREEMENT TO PROVIDE PROFESSIONAL HUMAN RESOURCE MANAGEMENT CONSULTING SERVICES TO FAYETTEVILLE, ARKANSAS THIS AGREEMENT, entered into this r7}hday of June 2006 and effective immediately by and between Management Advisory Group, Inc. (hereinafter called the "Consultant") and the CLIENT (hereinafter called the "Client" and/or "the City"), WITNESSETH THAT: WHEREAS, the Client is interested in obtaining professional human resource management consulting services to assist in developing plans and programs that conform to Federal, State, and local requirements and that will be approved by their representatives, WHEREAS, the Consultant is staffed with personnel knowledgeable and experienced in the development of human resource management systems and NOW THEREFORE, the parties hereto mutually agree as follows: 1. Employment of Consultant. The Client agrees to engage the Consultant and the Consultant hereby agrees to perform the services described in the "Scope of Services" listed below. 2. Scope of Services. The Consultant shall do, perform and carry out in a good and professional manner human resource management consulting services as may be requested by the Client, which may include, but are not limited to, the following: Facilitate discussions with the Citys senior management and City Council to develop a compensation philosophy for the City. Using the goals and objectives defined in the compensation philosophy as guideposts, design and implement a job evaluation system that enables the City to assure internal equity in pay. Conduct surveys to gather market data which will be used by the City to assess its ability to achieve/maintain its stated market position for external competitiveness. This study is to include approximately 736 employees in approximately 206 classifications. Included by reference herein is the Consultants' Proposal to the Client which details the proposed study timeline, work plan, and deliverables. 3. Time of Performance. The services to be performed hereunder by the Consultant shall be undertaken and completed in such sequence so as to ensure their expeditious completion and best carry out the purposes of the agreement. Projects will commence within ten (10) days of notification to proceed and will be completed within a time period agreed to by the Consultant and the Client. 4. Compensation. The Client agrees to pay the Consultant a sum as designated in item 5 below, or, for services not included in the Scope of Services at a rate of one hundred -fifty dollars ($150.00) per professional hour expended and thirty-five dollars ($35.00) per clerical hour expended, plus expenses. Any on- site requirements shall include directly related travel expenses and professional time. 5. •Payment. Ten percent (10%, or $3,860.80) of the total fee ($38,608) will be retained by the client pending completion of the final report. The Consultant shall submit invoices on a regular basis for initiation (30%); project progress payment (30%); and draft (30%) detailing work performed. The Consultant shall be paid as soon as the Client can reasonably process such payment. Total cost of the proposed services is $38,608. Management Advisory Group, Inc. 2006 Page 1 6. Third Party Actions. The fees to be provided do not include services provided by MAG following submission of its final report and recommendations. In the event MAG is required to provide documents or testimony in response to claims, demands or actions by third parties, MAG shall bill the City for services rendered based on then -current professional fees and expenses incurred, including reasonable attorney's fees. No tasks shall be undertaken without prior notification to the City. This provision is intended to apply only to third -party actions based on the City's implementation of MAG's report and findings. 6. Changes. The Client may, from time to time, require changes in the scope of services of the Consultant to be performed hereunder. Such changes, which are mutually agreed upon by and between the Client and the Consultant, shall be incorporated in written amendment to this agreement. 7. Services and Materials to be Furnished by the Client. The Client shall furnish the Consultant with all available necessary information pertinent to the execution of this agreement. The Client shall cooperate with the Consultant in scheduling and carrying out the work herein. 8. Rights to Terminate Contract. The terms of this contract shall be in effect through December 31, 2006. Either party shall have the right to terminate this agreement with or without cause, by giving written notice to the other party of such termination at least five (5) days before the effective date of such termination. 9. Indemnification. Consultant agrees, to the fullest extent permitted by law, to indemnify and hold harmless the City from any amounts (including reasonable attorney's fees) for which the City shall become legally obligated to pay as damages for negligent acts, errors, and/or omissions of the Consultant arising out of the Consultant's performance under this Agreement; however, the amount Consultant will pay for damages is limited to $1,000,000, which number is intended to reflect the limits set forth in Consultant's liability insurance. 10. Copyright, Trade Secrets and Security. The Client acknowledges that certain report formats to be provided by the Consultant are copyrighted. The Consultant shall ensure that all copies of its report bear the copyright legend. The Client agrees that all ownership rights and copyrights thereto lie with the Consultant. The Client may use the report solely for and on behalf of the Clients operations. The Client agrees that it will take appropriate action by instruction, agreement or otherwise with its employees to satisfy its obligations with respect to use, copying, protection and security of report formats. Consultant further represents that the copyrighted report formats constitute trade secrets of Consultant as the term "trade secrets" is defined in the appropriate Sections of the State Statutes. Consultant claims exemption from disclosure of the copyrighted mater'als as is provided under appropriate sections of the State's Public Records Act and Federal copyright laws. Consultant asserts that its Classification Manager® software, Job Analysis Questionnaire (JAQ), methodology, and software development manuals and related documentation for the software are trade secrets and as such are not subject to disclosure under relevant state statutes. 11. Information and Reports. The Consultant shall, at such time and in such form as the Client may require, furnish such periodic reports concerning the status of the project as may be requested by the Client. The Consultant shall furnish the Client, upon request, with copies of all documents and other materials prepared or developed in relation with or as a part of the project. 12. Records and Inspections. The Consultant shall maintain full and accurate records with respect to all matters covered under this agreement. The Client shall have free access at all proper times to such records and the right to examine and audit the same and to make transcripts therefrom, and to inspect all program data, documents, proceedings and activities. 13. Accomplishment of Protect. The Consultant shall commence, carry on, and complete requested projects with all practicable dispatch, in a sound economical and efficient manner, in accordance with the provisions thereof and all applicable laws. In accomplishing requested projects, the Consultant shall take such steps as are appropriate to ensure that the work involved is properly coordinated with related work being carried on within the applicable work area. Management Advisory Group, Inc. 2006 Page 2 • 14. Provisions Concerning Certain Waives. Subject to applicable law, any right or remedy which the Client may have under this contract may be waived in writing by the Client by means of a formal waiver, if, in the judgment of the Client, this contract, as so modified, will still conform to the terms and requirements of pertinent laws. 15. Matters to be Disregarded. The titles of the several sections, subsections, and paragraphs set forth in this contract are inserted for convenience of reference only and shall be disregarded in construing or interpreting any of the provisions of this contract. 16. Completeness of Contract. This contract and any additional or supplementary document or documents incorporated herein by specific reference contain all of the terms and conditions agreed upon by the parties hereto, and no other agreements, oral or otherwise, regarding the subject matter of this contract or any part thereof shall have any validity or bind any of the parties hereto. 17. The Client not Obligated to Third Parties. The Client shall not be obligated or liable hereunder to any party other than the Consultant. 18. When Rights and Remedies Not Waived. In no event shall the making by the Client of any payment to the Consultant constitute or be construed as a waiver by the Client of any breach of covenant, of any default which may then exist, on the part of the Consultant, and the making of any such payment by the Client while any such breach or default exists shall in no wise impair or prejudice any right or remedy available to the Client in respect to such breach or default. 19. Personnel. The Consultant represents that he has, or will secure at his own expense, all personnel required in performing the services under this agreement. Such personnel shall not be employees of or have any contractual relationship with the Client. All of the personnel engaged in the work shall be fully qualified to perform such services. 20. Consultant Certification. The Consultant certifies that the Consultant has not been convicted of bribery or attempting to bribe and officer or employee of the Client nor has the Consultant made an admission of guilt of such conduct which is a matter of record. 21. Notices. Any notices, bills, invoices, or reports required by this agreement shall be sufficient if sent by the parties hereto in the United States mail, postage paid, to the addresses noted below. Management Advisory Group, Inc. 15974 Cove Lane Montclair, Virginia 22025 (703) 590-7250 Management Advisory Group, Inc. 2006 Page 3 IN WITNESS WHEREOF, the Client and the Consultant have executed this agreement as of the date first written above. CITY OF FAYETTEVILLE, FAYETTEVILLE, ARKANSAS BY DAN COODY, Mayor ATTEST: BY SONDRA SMITH, City Clerk Consultant Firm's Authorized Signature BY Carolyn Long, President and CEO PRINTED NAME AND TITLE ATTEST: CONSULTANT FIRM'S SECRETARY Josephine Clements 1974 Cove Lane, Montclair, Virginia 22025 BUSINESS ADDRESS Management Advisory Group, Inc. 2006 Page 4 City of Fayetteville Proposal Project Timeline Management Advisory Group's (MAG) ability to adhere to defined timetables will be to some extent dependent on timely action by City management and staff in providing necessary data, determining philosophical approaches to be taken, and the acceptance or need for revisions to draft instruments or study products. The short time frame will require utilizing recently completed descriptions, accessing our library of compensation data, and interviewing department heads to confirm classification assignments. Project Work -Plan MAG has developed a proposed project work plan and timeline consisting of the following primary project phases, based on the City's desired scope of services. Some project activities may occur simultaneously. PHASE 1: PROJECT INITIATION OBJECTIVE: To develop a project plan acceptable to all parties, including the establishment of a timeline for project activities and deliverables; gather pertinent project related data, and finalize contractual negotiations. ACTIVITIES: • Meet with the City's Department of Human Resources and selected City administration staff to discuss the project goals and objectives, and to coordinate on-site activities. Meet with HR to confirm project plan and timeline. • Conduct Orientation meeting for employees to outline project goals and objectives an to answer any questions concerning their role in the project. • Establish a mutually agreed-upon project work plan, time lines, deliverables, and monitoring procedures that will lead to the successful accomplishment of all project objectives. • Execute project contract. • Gather required project data/information from the City, such as current class descriptions, current pay plan data, administration policies and procedures, and other relevant background materials. DELIVERABLE(S): • Finalized Project Work Plan • Executed Project Contract • Employee Orientation Meetings Management Advisory Group, Inc. 2006 3-1 City of Fayetteville Proposal PHASE I1: SURVEY DATA REVIEW OBJECTIVE: To gather salary/compensation data, establish a list of benchmark classifications for inclusion in the survey, and define benchmark organizations or agencies as target respondent organizations. ACTIVITIES: • Select appropriate market survey target employers that offer comparable employment opportunities. • Establish list of benchmark classifications for inclusion in the salary data review. ▪ Gather compensation data. • Review Draft Survey data. • Develop Final Salary Survey Instrument. DELIVERABLE(S): • Survey Approach PHASE III: COLLECT COMPENSATION DATA OBJECTIVE: To capture survey data for identified benchmark classifications. ACTIVITIES: • Identify and collect compensation data. • Review/clean collected compensation data and compare to current City data. • Develop market compensation summary by benchmark classification. • Prepare summary of collected data. Management Advisory Group, Inc. 2006 3-2