HomeMy WebLinkAbout2015-06-04 Council Appointed Officer Agenda Packet Council Appointed Officers Committee
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MATERIALS RELATED TO AN ITEM ON THIS AGENDA SUBMITTED TO THE CITY COUNCIL AFTER DISTRIBUTION OF THE AGENDA
PACKET ARE AVAILABLE FOR PUBLIC INSPECTION IN THE CITY CLERK’S OFFICE AT PALO ALTO CITY HALL, 250 HAMILTON AVE.
DURING NORMAL BUSINESS HOURS.
Thursday, June 4, 2015
Special Meeting
Community Meeting Room
5:00 PM
Agenda posted according to PAMC Section 2.04.070. Supporting materials are available in
the Council Chambers on the Thursday preceding the meeting.
PUBLIC COMMENT
Members of the public may speak to agendized items. If you wish to address the
Committee on any issue that is on this agenda, please complete a speaker request card
located on the table at the entrance to the Council Chambers/Council Conference Room, and
deliver it to the Clerk prior to discussion of the item. You are not required to give your name
on the speaker card in order to speak to the Committee, but it is very helpful.
Call to Order
Oral Communications
Action
1. Review of RFP Responses for CAO Evaluation and Possible
Recommendation to Council for Contract
Adjournment
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City of Palo Alto (ID # 5870)
Council Appointed Officers Committee Staff Report
Report Type: Action Items Meeting Date: 6/4/2015
City of Palo Alto Page 1
Summary Title: Review of RFP for CAO Evaluation
Title: Review of RFP Responses for CAO Evaluation and possible
recommendation to Council for Contract
From: City Manager
Lead Department: Human Resources
Executive Summary
The contract for CAO evaluations provided by Sherry Lund ends on June 30, 2015 and
the CAO Committee Chair requested a search for a new provider. The CAO Committee
will review Request for Proposal (RFP) results and interview Municipal Resource Group,
who responded and is able to provide CAO evaluations for the City.
Background
An RFP was circulated March 6, 2015 and received one complete response, from
Municipal Resource Group (MRG).
Discussion
The Committee will review MRG’s proposal for completing CAO evaluations for Fiscal
Year 2016. MRG is available to present to the CAO Committee their proposed evaluation
methodology. Principal Mary Eagan and consultant Debra Figone will answer questions
from the Committee. If the Committee approves moving forward with MRG, the
Committee will recommend a contract to full Council.
Timeline
A contract with the CAO evaluation provider should be in place by July 1, 2015.
Resource Impact
The contract for CAO evaluations provided by MRG will cost not to exceed $41,000 per
year. Funds are available in the City Council Fiscal Year 2016 budget pending City
Council appropriation of funds.
Policy Implications
It is the policy of City Council to conduct annual evaluations and mid-year check-in
City of Palo Alto Page 2
reviews for Council Appointed Officers.
Attachments:
Municipal Resources Group Proposal (DOC)
FW Request for proposals (MSG)
S15159225 Municipal Resource Group Contract (PDF)
March 16, 2015
Kathy Shen
City of Palo Alto
250 Hamilton Ave. Palo Alto, CA 94301
RE: City of Palo Alto Assessment
Dear Ms. Shen:
Thank you for requesting a proposal to assist the Palo Alto City Council with developing a
performance evaluation process and conducting the 2015 evaluation for four Council appointed officials - City Manager, City Clerk, City Attorney and City Auditor. We have reviewed your RFP and have some recommendations and suggested modifications based upon our experience
conducting process intensive evaluations. We believe that we could assist and complete this
process by the end of August 2015.
As you know, Municipal Resource Group (MRG) has extensive experience with Council evaluation processes. The MRG Human Resources team regularly conducts chief appointed official evaluations for cities, counties and school districts, most recently for the cities of Roseville, Los
Altos, Sunnyvale, Walnut Creek, San Luis Obispo, Salinas, Lincoln, and Lathrop as well as Solano
County Transit Agency and the Fresno Unified School District. Debra Figone will be the consultant
on site to assist the City of Palo Alto.
Also attached for your review are recommended process summary documents. When we begin working with the Council, we seek to understand each Councilmember’s perspective of the
appointed official’s performance for the past year and prepare an evaluation that accurately and
concisely documents areas of consensus as well as areas of divergent opinions where there is not a
Council majority. It is important for the appointed official to have an accurate view of those differing opinions so that they are not ignored.
We understand that Palo Alto typically incorporates a “360 Degree” process to gather input from
Department Directors on each appointed official. MRG uses an on-line survey to seek this input
and then we compile the responses without names attributed. This fosters authentic feedback. The
professional fee estimate for conducting these evaluations is projected not to exceed $41,000 for the four appointed officials evaluations and related goal setting, plus minor expenses.
I have attached a summary of our methodology and related costs. I would be pleased to assist with
an analysis of compensation as a second phase of this initiative and will provide additional
proposals for that phase of work should the Council wish to begin this initiative.
Sincerely
Mary Egan
Municipal Resource Group LLC
Page 1
Summary of Proposed Process for City of Palo Alto Appointed Official Evaluation Process
I. PROJECT SCOPE
Facilitation of City Manager, City Clerk, City Attorney and City Auditor Evaluation
Processes
Develop forms/format/documentation/process and questionnaires with subcommittee
Gather input from each Councilmember; 360 Degree Feedback Survey; request self-evaluation from each appointed official
Interview each Councilmember individually to discuss each of the four appointed official evaluations
Compile all input into a draft evaluation for review with sub committee
Review draft evaluation in Closed Session with City Council and/or City Council subcommittee
Make final edits; prepare Council for issuing the final evaluations
Participate in Closed Session for each appointed official
II. WORK PLAN
TASK 1: GATHER AND REVIEW RELEVANT INFORMATION
Information provided by the City will be reviewed prior to the evaluation process, and includes:
1. Schedule for Council availability;
2. Confirm timeline of evaluation period and status of Council and appointed official
calendar and appointment information (2014, fiscal year, calendar year, etc.);
3. Confirm Council goal setting and performance measurement documentation/preferences;
4. Obtain Current employment agreements and contact information for all appointed
officials;
5. Obtain current and prior evaluations and related performance measures, rating scale
used in last year’s evaluation;
6. Obtain Council contact information;
7. Confirm which staff/Department Directors will be included in “360” process
8. Obtain other related documents.
Obtain any historic process from appointed officials to identify elements that should be included,
and input concerning process and timelines.
Page 2
Schedule introductory meeting with Appointed Officials. Recommend method for informing Department Directors of their role and methodology for receiving that input. Review how that input will be communicated and expectations of confidentiality.
TASK 2: DEVELOP AND REVIEW PROPOSED PROCESS AND TIMELINE WITH CITY
COUNCIL IN CLOSED SESSION – REVIEW PROPOSED EVALUATION
FRAMEWORK
Develop a proposed process and timeline. Confirm with sub committee as needed. Meet with Council in closed session to discuss:
1. Review framework (confidential employee evaluations – expectation of privacy and
expectations for communication and transmittal of documents);
2. Recommended competencies;
3. Attributes that describe each competency;
4. Recommended rating scale;
5. Expectations for and definitions of managerial excellence;
6. Format of proposed evaluation “questionnaire”;
7. Method for conducting interviews, and proposed interview dates; and
8. Review timing for Councilmember receipt of packet including Draft process, Draft evaluation, Department Director feedback and employee self-evaluation, typically
sent directly from Consultant to Councilmembers’ home addresses and
electronically.
TASK 3: MEET WITH APPOINTED OFFICIALS/STAKEHOLDERS TO REVIEW PROCESS
Summarize Department Director input into document that identifies theme and general strengths
and areas of development.
TASK 4: MEET WITH COUNCIL IN INDIVIDUAL MEETINGS TO DISCUSS EACH
APPOINTED OFFICIAL
Meet with elected officials in person, when possible and via telephone if necessary for approximately 60-90 minute meetings. Review responses to questionnaires, ratings in each
category, input from Department Directors, and self-evaluation from Appointed Officials. Obtain
input and perspective. Develop summary of input for inclusion in draft evaluation.
Prepare summary document based upon this input.
Page 3
TASK 5: PREPARE DRAFT DOCUMENTS AND REVIEW DRAFT DOCUMENTS IN CLOSED SESSION
Review confidential draft evaluations to confirm each Councilmember’s perspectives are
appropriately included and reach consensus where possible. Seek to produce a document that
provides clear summary of majority perspective and minority concerns where possible to allow change in approach by appointed official.
Draft evaluation is often circulated to City Council in advance or shared prior to the closed session
for early review - depending upon circumstances and interest of Council.
TASK 6: FINALIZE DOCUMENTS
Develop confidential final draft of evaluation, which includes, by reference, employee self-evaluation. This can be circulated in advance or shared prior to the closed session for early review depending upon circumstances and interest of Council.
TASK 7: PREPARE COUNCIL TO DELIVER EVALUATION TO ITS EMPLOYEE
Develop agenda and work with Mayor to prepare for closed session discussion with Appointed
Officials.
TASK 8: DEBRIEF AND FINE TUNE PROCESS
Debrief with City Council and Appointed Officials as appropriate to identify strengths and concerns
with 2014 process. Identify proposed plan for 2015. Identify method for ongoing communication.
Finalize all templates for City of Palo Alto.
III. TIMELINE
Timeline begins once agreement is finalized. The Project is anticipated to take 6-8 weeks to complete.
This timeline is subject to the availability of City Council for closed session, individual interviews
and the provision of relevant documents by the City.
Page 4
TASK DATE
1 GATHER, RECEIVE AND REVIEW RELEVANT INFORMATION OUTLINED ABOVE –
REVIEW PRIOR PROCESSES, PRIOR EVALATIONS AND DEVELOP REVISED FINAL PLAN AND TIMELINE WITH AUTOMATED STEPS WHERE POSSIBLE
WEEKS 1-2
2 DEVELOP AND REVIEW (a) PROPOSED PROCESS AND (b) TIMELINE WITH CITY COUNCIL SUB COMMITTEE.
SAME VISIT - MEET WITH EACH APPOINTED OFFICIAL TO REVIEW PROCESS.
PROPOSE AUTOMATED 360 PROCESS FOR DEPARTMENT HEAD INPUT
PROPOSE SELF EVALUATION FROM EACH APPOINTED OFFICIAL
PROPOSE ON LINE COUNCIL FEEDBACK FOLLOWED BY TELEPHONE OR IN PERSON INTERVIEWS
WEEKS 3-4
3 SEND COMMUNICATION AND PACKETS TO DEPARTMENT DIRECTORS FOR 360 FEEDBACK ON EACH MEMBER. SUMMARIZE FEEDBACK
SURVEY MONKEY
ONE FOR EACH OFFICIAL
ESTIMATE ABOUT 10 DAYS TO PROCESS
WEEKS 4-5
4 SEND PACKET TO EACH COUNCIL MEMBER (9) TO HOME ADDRESS WITH
COVER LETTER WITH PROCESS REMINDER
360 DEPARTMENT HEAD INPUT SUMMARIES (4)
SELF EVALUATIONS FROM EACH APPOINTED OFFICIAL (4)
QUESTIONS FOR PENDING TELEPHONE CALL OR IN PERSON MEETING WITH EACH MEMBER
WEEKS 7
Page 5
IV. FEES
This engagement will be performed at a rate of $10,000 per evaluation – fixed fee $40,000 for the
scope of work identified above, to be performed by Debra Figone with the support of the MRG
team. In addition, the project will include reimbursable expenses not to exceed $1000.
Additional tasks identified in process will be discussed as they occur and not initiated without a
separate scope of work. This extra work will be performed at a rate of $300 per hour.
5 DRAFT DOCUMENTS
TELECONFERENCE AND/OR IN PERSON MEETING WITH EACH APPOINTED OFFICIAL TO PREPARE FOR CLOSED SESSION AND OBTAIN RELEVANT INFORMATION
REVIEW DRAFT DOCUMENTS WITH CITY COUNCIL SUB COMMITTEE IN CLOSED SESSIONS
WEEKS 8
6 FINALIZE ALL FOUR EVALUATION DOCUMENTS
WEEKS 9
7 PREPARE COUNCIL TO DELIVER EVALUATIONS TO ITS EMPLOYEES
WEEKS 10-12
8 DEBRIEF PROCESS FOR NEXT YEAR AND CONDUCT IN PERSON MEETING WITH EACH APPOINTED OFFICIAL TO PREPARE FOR CLOSED SESSION AND OBTAIN RELEVANT INFORMATION
WEEKS 11-12
CITY OF PALO ALTO CONTRACT NO. S15159225 AGREEMENT BETWEEN THE CITY OF PALO ALTO AND MUNICIPAL RESOURCE GROUP, LLC FOR PROFESSIONAL SERVICES
This Agreement is entered into on this __ day of _____, 2015, (“Agreement”) by
and between the CITY OF PALO ALTO, a California chartered municipal corporation (“CITY”), and MUNICIPAL RESOURCE GROUP, LLC, a California Limited Liability
Company, located at 675 Hartz Avenue, Suite 300, Danville, California, 94526
("CONSULTANT").
RECITALS The following recitals are a substantive portion of this Agreement.
A. CITY intends to development of a performance evaluation process and to conduct a 2015
evaluation for four Council appointed officials (“Project”) and desires to engage a consultant to provide services in connection with the Project (“Services”).
B. CONSULTANT has represented that it has the necessary professional expertise,
qualifications, and capability, and all required licenses and/or certifications to provide the
Services.
C. CITY in reliance on these representations desires to engage CONSULTANT to provide
the Services as more fully described in Exhibit “A”, attached to and made a part of this
Agreement.
NOW, THEREFORE, in consideration of the recitals, covenants, terms, and conditions,
in this Agreement, the parties agree:
AGREEMENT
SECTION 1. SCOPE OF SERVICES. CONSULTANT shall perform the Services described at
Exhibit “A” in accordance with the terms and conditions contained in this Agreement. The
performance of all Services shall be to the reasonable satisfaction of CITY.
SECTION 2. TERM. The term of this Agreement shall be from the date of its full execution through April 28, 2018
unless terminated earlier pursuant to Section 19 of this Agreement.
SECTION 3. SCHEDULE OF PERFORMANCE. Time is of the essence in the performance
of Services under this Agreement. CONSULTANT shall complete the Services within the term of this Agreement and in accordance with the schedule set forth in Exhibit “B”, attached to and
made a part of this Agreement. Any Services for which times for performance are not specified
in this Agreement shall be commenced and completed by CONSULTANT in a reasonably
prompt and timely manner based upon the circumstances and direction communicated to the
CONSULTANT. CITY’s agreement to extend the term or the schedule for performance shall not preclude recovery of damages for delay if the extension is required due to the fault of
CONSULTANT.
Professional Services Rev. March 31, 2015 1
SECTION 4. NOT TO EXCEED COMPENSATION. The compensation to be paid to
CONSULTANT for performance of the Services described in Exhibit “A”, including both
payment for professional services and reimbursable expenses, shall not exceed Forty One Thousand Dollars ($41,000.00). The applicable rates and schedule of payment are set out at
Exhibit “C-1”, entitled “RATE SCHEDULE,” which is attached to and made a part of this
Agreement.
Additional Services, if any, shall be authorized in accordance with and subject to the provisions of Exhibit “C”. CONSULTANT shall not receive any compensation for Additional Services
performed without the prior written authorization of CITY. Additional Services shall mean any
work that is determined by CITY to be necessary for the proper completion of the Project, but
which is not included within the Scope of Services described at Exhibit “A”.
SECTION 5. INVOICES. In order to request payment, CONSULTANT shall submit monthly
invoices to the CITY describing the services performed and the applicable charges (including an
identification of personnel who performed the services, hours worked, hourly rates, and
reimbursable expenses), based upon the CONSULTANT’s billing rates (set forth in Exhibit “C-
1”). If applicable, the invoice shall also describe the percentage of completion of each task. The information in CONSULTANT’s payment requests shall be subject to verification by CITY.
CONSULTANT shall send all invoices to the City’s project manager at the address specified in
Section 13 below. The City will generally process and pay invoices within thirty (30) days of
receipt.
SECTION 6. QUALIFICATIONS/STANDARD OF CARE. All of the Services shall be
performed by CONSULTANT or under CONSULTANT’s supervision. CONSULTANT
represents that it possesses the professional and technical personnel necessary to perform the
Services required by this Agreement and that the personnel have sufficient skill and experience
to perform the Services assigned to them. CONSULTANT represents that it, its employees and subconsultants, if permitted, have and shall maintain during the term of this Agreement all
licenses, permits, qualifications, insurance and approvals of whatever nature that are legally
required to perform the Services.
All of the services to be furnished by CONSULTANT under this agreement shall meet the professional standard and quality that prevail among professionals in the same discipline and of
similar knowledge and skill engaged in related work throughout California under the same or
similar circumstances.
SECTION 7. COMPLIANCE WITH LAWS. CONSULTANT shall keep itself informed of and in compliance with all federal, state and local laws, ordinances, regulations, and orders that
may affect in any manner the Project or the performance of the Services or those engaged to
perform Services under this Agreement. CONSULTANT shall procure all permits and licenses,
pay all charges and fees, and give all notices required by law in the performance of the Services.
SECTION 8. ERRORS/OMISSIONS. CONSULTANT shall correct, at no cost to CITY, any
and all errors, omissions, or ambiguities in the work product submitted to CITY, provided CITY
gives notice to CONSULTANT. If CONSULTANT has prepared plans and specifications or
Professional Services Rev. March 31, 2015 2
other design documents to construct the Project, CONSULTANT shall be obligated to correct
any and all errors, omissions or ambiguities discovered prior to and during the course of
construction of the Project. This obligation shall survive termination of the Agreement.
SECTION 9. COST ESTIMATES. If this Agreement pertains to the design of a public works
project, CONSULTANT shall submit estimates of probable construction costs at each phase of
design submittal. If the total estimated construction cost at any submittal exceeds ten percent
(10%) of CITY’s stated construction budget, CONSULTANT shall make recommendations to
CITY for aligning the PROJECT design with the budget, incorporate CITY approved recommendations, and revise the design to meet the Project budget, at no additional cost to
CITY.
SECTION 10. INDEPENDENT CONTRACTOR. It is understood and agreed that in
performing the Services under this Agreement CONSULTANT, and any person employed by or contracted with CONSULTANT to furnish labor and/or materials under this Agreement, shall act
as and be an independent contractor and not an agent or employee of CITY.
SECTION 11. ASSIGNMENT. The parties agree that the expertise and experience of
CONSULTANT are material considerations for this Agreement. CONSULTANT shall not assign or transfer any interest in this Agreement nor the performance of any of
CONSULTANT’s obligations hereunder without the prior written consent of the city manager.
Consent to one assignment will not be deemed to be consent to any subsequent assignment. Any
assignment made without the approval of the city manager will be void.
SECTION 12. SUBCONTRACTING. CONSULTANT shall not subcontract any portion of
the work to be performed under this Agreement without the prior written authorization of the city
manager or designee.
CONSULTANT shall be responsible for directing the work of any subconsultants and for any compensation due to subconsultants. CITY assumes no responsibility whatsoever concerning
compensation. CONSULTANT shall be fully responsible to CITY for all acts and omissions of a
subconsultant. CONSULTANT shall change or add subconsultants only with the prior approval
of the city manager or his designee.
SECTION 13. PROJECT MANAGEMENT. CONSULTANT will assign Mary Egan as
the Principal in Charge to have supervisory responsibility for the performance, progress, and
execution of the Services and Debra Figone as the project manager to represent CONSULTANT
during the day-to-day work on the Project. If circumstances cause the substitution of the project
director, project coordinator, or any other key personnel for any reason, the appointment of a substitute project director and the assignment of any key new or replacement personnel will be
subject to the prior written approval of the CITY’s project manager. CONSULTANT, at CITY’s
request, shall promptly remove personnel who CITY finds do not perform the Services in an
acceptable manner, are uncooperative, or present a threat to the adequate or timely completion of
the Project or a threat to the safety of persons or property.
CITY’s project manager is Kathryn Shen, Human Resources Department, 250 Hamilton Avenue,
Palo Alto, CA 94303, Telephone: (650)329-2124. The project manager will be
Professional Services Rev. March 31, 2015
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CONSULTANT’s point of contact with respect to performance, progress and execution of the
Services. CITY may designate an alternate project manager from time to time.
SECTION 14. OWNERSHIP OF MATERIALS. Upon delivery, all work product, including without limitation, all writings, drawings, plans, reports, specifications, calculations, documents,
other materials and copyright interests developed under this Agreement shall be and remain the
exclusive property of CITY without restriction or limitation upon their use. CONSULTANT
agrees that all copyrights which arise from creation of the work pursuant to this Agreement shall
be vested in CITY, and CONSULTANT waives and relinquishes all claims to copyright or other intellectual property rights in favor of the CITY. Neither CONSULTANT nor its contractors, if
any, shall make any of such materials available to any individual or organization without the
prior written approval of the City Manager or designee. CONSULTANT makes no
representation of the suitability of the work product for use in or application to circumstances not
contemplated by the scope of work.
SECTION 15. AUDITS. CONSULTANT will permit CITY to audit, at any reasonable time
during the term of this Agreement and for three (3) years thereafter, CONSULTANT’s records
pertaining to matters covered by this Agreement. CONSULTANT further agrees to maintain and
retain such records for at least three (3) years after the expiration or earlier termination of this Agreement.
SECTION 16. INDEMNITY.
16.1. To the fullest extent permitted by law, CONSULTANT shall protect, indemnify, defend and hold harmless CITY, its Council members, officers, employees and
agents (each an “Indemnified Party”) from and against any and all demands, claims, or liability
of any nature, including death or injury to any person, property damage or any other loss,
including all costs and expenses of whatever nature including attorneys fees, experts fees, court
costs and disbursements (“Claims”) resulting from, arising out of or in any manner related to performance or nonperformance by CONSULTANT, its officers, employees, agents or
contractors under this Agreement, regardless of whether or not it is caused in part by an
Indemnified Party.
16.2. Notwithstanding the above, nothing in this Section 16 shall be construed to require CONSULTANT to indemnify an Indemnified Party from Claims arising from the
active negligence, sole negligence or willful misconduct of an Indemnified Party.
16.3. The acceptance of CONSULTANT’s services and duties by CITY shall
not operate as a waiver of the right of indemnification. The provisions of this Section 16 shall survive the expiration or early termination of this Agreement.
SECTION 17. WAIVERS. The waiver by either party of any breach or violation of any
covenant, term, condition or provision of this Agreement, or of the provisions of any ordinance
or law, will not be deemed to be a waiver of any other term, covenant, condition, provisions, ordinance or law, or of any subsequent breach or violation of the same or of any other term,
covenant, condition, provision, ordinance or law.
Professional Services Rev. March 31, 2015
4
SECTION 18. INSURANCE.
18.1. CONSULTANT, at its sole cost and expense, shall obtain and maintain, in
full force and effect during the term of this Agreement, the insurance coverage described in Exhibit "D". CONSULTANT and its contractors, if any, shall obtain a policy endorsement
naming CITY as an additional insured under any general liability or automobile policy or
policies.
18.2. All insurance coverage required hereunder shall be provided through carriers with AM Best’s Key Rating Guide ratings of A-:VII or higher which are licensed or
authorized to transact insurance business in the State of California. Any and all contractors of
CONSULTANT retained to perform Services under this Agreement will obtain and maintain, in
full force and effect during the term of this Agreement, identical insurance coverage, naming
CITY as an additional insured under such policies as required above.
18.3. Certificates evidencing such insurance shall be filed with CITY
concurrently with the execution of this Agreement. The certificates will be subject to the
approval of CITY’s Risk Manager and will contain an endorsement stating that the insurance is
primary coverage and will not be canceled, or materially reduced in coverage or limits, by the insurer except after filing with the Purchasing Manager thirty (30) days' prior written notice of
the cancellation or modification. If the insurer cancels or modifies the insurance and provides
less than thirty (30) days’ notice to CONSULTANT, CONSULTANT shall provide the
Purchasing Manager written notice of the cancellation or modification within two (2) business
days of the CONSULTANT’s receipt of such notice. CONSULTANT shall be responsible for ensuring that current certificates evidencing the insurance are provided to CITY’s Chief
Procurement Officer during the entire term of this Agreement.
18.4. The procuring of such required policy or policies of insurance will not be
construed to limit CONSULTANT's liability hereunder nor to fulfill the indemnification provisions of this Agreement. Notwithstanding the policy or policies of insurance,
CONSULTANT will be obligated for the full and total amount of any damage, injury, or loss
caused by or directly arising as a result of the Services performed under this Agreement,
including such damage, injury, or loss arising after the Agreement is terminated or the term has
expired.
SECTION 19. TERMINATION OR SUSPENSION OF AGREEMENT OR SERVICES.
19.1. The City Manager may suspend the performance of the Services, in whole
or in part, or terminate this Agreement, with or without cause, by giving ten (10) days prior written notice thereof to CONSULTANT. Upon receipt of such notice, CONSULTANT will
immediately discontinue its performance of the Services.
19.2. CONSULTANT may terminate this Agreement or suspend its
performance of the Services by giving thirty (30) days prior written notice thereof to CITY, but only in the event of a substantial failure of performance by CITY.
19.3. Upon such suspension or termination, CONSULTANT shall deliver to the
Professional Services Rev. March 31, 2015
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City Manager immediately any and all copies of studies, sketches, drawings, computations, and
other data, whether or not completed, prepared by CONSULTANT or its contractors, if any, or
given to CONSULTANT or its contractors, if any, in connection with this Agreement. Such
materials will become the property of CITY.
19.4. Upon such suspension or termination by CITY, CONSULTANT will be
paid for the Services rendered or materials delivered to CITY in accordance with the scope of
services on or before the effective date (i.e., 10 days after giving notice) of suspension or
termination; provided, however, if this Agreement is suspended or terminated on account of a default by CONSULTANT, CITY will be obligated to compensate CONSULTANT only for that
portion of CONSULTANT’s services which are of direct and immediate benefit to CITY as such
determination may be made by the City Manager acting in the reasonable exercise of his/her
discretion. The following Sections will survive any expiration or termination of this Agreement:
14, 15, 16, 19.4, 20, and 25.
19.5. No payment, partial payment, acceptance, or partial acceptance by CITY
will operate as a waiver on the part of CITY of any of its rights under this Agreement.
SECTION 20. NOTICES.
All notices hereunder will be given in writing and mailed, postage prepaid, by
certified mail, addressed as follows:
To CITY: Office of the City Clerk City of Palo Alto
Post Office Box 10250
Palo Alto, CA 94303
With a copy to the Purchasing Manager
To CONSULTANT: Attention of the project director
at the address of CONSULTANT recited above
SECTION 21. CONFLICT OF INTEREST.
21.1. In accepting this Agreement, CONSULTANT covenants that it presently
has no interest, and will not acquire any interest, direct or indirect, financial or otherwise, which
would conflict in any manner or degree with the performance of the Services.
21.2. CONSULTANT further covenants that, in the performance of this
Agreement, it will not employ subconsultants, contractors or persons having such an interest.
CONSULTANT certifies that no person who has or will have any financial interest under this
Agreement is an officer or employee of CITY; this provision will be interpreted in accordance
with the applicable provisions of the Palo Alto Municipal Code and the Government Code of the State of California.
21.3. If the Project Manager determines that CONSULTANT is a “Consultant”
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as that term is defined by the Regulations of the Fair Political Practices Commission,
CONSULTANT shall be required and agrees to file the appropriate financial disclosure
documents required by the Palo Alto Municipal Code and the Political Reform Act.
SECTION 22. NONDISCRIMINATION. As set forth in Palo Alto Municipal Code section
2.30.510, CONSULTANT certifies that in the performance of this Agreement, it shall not
discriminate in the employment of any person because of the race, skin color, gender, age,
religion, disability, national origin, ancestry, sexual orientation, housing status, marital status,
familial status, weight or height of such person. CONSULTANT acknowledges that it has read and understands the provisions of Section 2.30.510 of the Palo Alto Municipal Code relating to
Nondiscrimination Requirements and the penalties for violation thereof, and agrees to meet all
requirements of Section 2.30.510 pertaining to nondiscrimination in employment.
SECTION 23. ENVIRONMENTALLY PREFERRED PURCHASING AND ZERO WASTE REQUIREMENTS. CONSULTANT shall comply with the CITY’s Environmentally
Preferred Purchasing policies which are available at CITY’s Purchasing Department,
incorporated by reference and may be amended from time to time. CONSULTANT shall comply
with waste reduction, reuse, recycling and disposal requirements of CITY’s Zero Waste
Program. Zero Waste best practices include first minimizing and reducing waste; second, reusing waste and third, recycling or composting waste. In particular, CONSULTANT shall
comply with the following zero waste requirements:
• All printed materials provided by CCONSULTANT to CITY generated from a
personal computer and printer including but not limited to, proposals, quotes, invoices, reports, and public education materials, shall be double-sided and printed on a minimum of 30% or greater post-consumer content paper, unless
otherwise approved by CITY’s Project Manager. Any submitted materials printed
by a professional printing company shall be a minimum of 30% or greater post-
consumer material and printed with vegetable based inks.
• Goods purchased by CONSULTANT on behalf of CITY shall be purchased in
accordance with CITY’s Environmental Purchasing Policy including but not
limited to Extended Producer Responsibility requirements for products and
packaging. A copy of this policy is on file at the Purchasing Division’s office.
• Reusable/returnable pallets shall be taken back by CONSULTANT, at no additional cost to CITY, for reuse or recycling. CONSULTANT shall provide
documentation from the facility accepting the pallets to verify that pallets are not
being disposed.
SECTION 24. NON-APPROPRIATION
24.1. This Agreement is subject to the fiscal provisions of the Charter of the
City of Palo Alto and the Palo Alto Municipal Code. This Agreement will terminate without any
penalty (a) at the end of any fiscal year in the event that funds are not appropriated for the following fiscal year, or (b) at any time within a fiscal year in the event that funds are only
appropriated for a portion of the fiscal year and funds for this Agreement are no longer available.
This section shall take precedence in the event of a conflict with any other covenant, term,
condition, or provision of this Agreement.
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SECTION 25. MISCELLANEOUS PROVISIONS.
25.1. This Agreement will be governed by the laws of the State of California.
25.2. In the event that an action is brought, the parties agree that trial of such
action will be vested exclusively in the state courts of California in the County of Santa Clara,
State of California.
25.3. The prevailing party in any action brought to enforce the provisions of this
Agreement may recover its reasonable costs and attorneys' fees expended in connection with that
action. The prevailing party shall be entitled to recover an amount equal to the fair market value
of legal services provided by attorneys employed by it as well as any attorneys’ fees paid to third parties.
25.4. This document represents the entire and integrated agreement between the
parties and supersedes all prior negotiations, representations, and contracts, either written or oral.
This document may be amended only by a written instrument, which is signed by the parties.
25.5. The covenants, terms, conditions and provisions of this Agreement will
apply to, and will bind, the heirs, successors, executors, administrators, assignees, and
consultants of the parties.
25.6. If a court of competent jurisdiction finds or rules that any provision of this
Agreement or any amendment thereto is void or unenforceable, the unaffected provisions of this
Agreement and any amendments thereto will remain in full force and effect.
25.7. All exhibits referred to in this Agreement and any addenda, appendices, attachments, and schedules to this Agreement which, from time to time, may be referred to in
any duly executed amendment hereto are by such reference incorporated in this Agreement and
will be deemed to be a part of this Agreement.
25.8 If, pursuant to this contract with CONSULTANT, CITY shares with CONSULTANT personal information as defined in California Civil Code section 1798.81.5(d)
about a California resident (“Personal Information”), CONSULTANT shall maintain reasonable
and appropriate security procedures to protect that Personal Information, and shall inform City
immediately upon learning that there has been a breach in the security of the system or in the
security of the Personal Information. CONSULTANT shall not use Personal Information for direct marketing purposes without City’s express written consent.
25.9 All unchecked boxes do not apply to this agreement.
25.10 The individuals executing this Agreement represent and warrant that they
have the legal capacity and authority to do so on behalf of their respective legal entities.
25.11 This Agreement may be signed in multiple counterparts, which shall, when executed by all the parties, constitute a single binding agreement
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IN WITNESS WHEREOF, the parties hereto have by their duly authorized
representatives executed this Agreement on the date first above written.
CITY OF PALO ALTO
APPROVED AS TO FORM:
MUNICIPAL RESOURCE GROUP, LLC
Attachments:
EXHIBIT “A”: SCOPE OF WORK
EXHIBIT “B”: SCHEDULE OF PERFORMANCE
EXHIBIT “C”: COMPENSATION
EXHIBIT “C-1”: SCHEDULE OF RATES EXHIBIT “D”: INSURANCE REQUIREMENTS
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EXHIBIT “A” SCOPE OF SERVICES
Project Introduction: The City of Palo Alto is seeking to engage a consultant working directly for the City Council to
facilitate the annual performance evaluations and compensation adjustment process for its four
Council appointed officials (CAO’s), City Manager, City Attorney, City Clerk and City Auditor.
Project Background: The City Manager, City Clerk, City Attorney and City Auditor are appointed directly by the City
Council and, as such, are reviewed by the City Council on an annual basis in accordance with
their individual employment agreements. Such review is necessary in order for Council members
to ensure the efficiency of the appointed offices, to provide general feedback on their
performance, to set goals for the coming year, and to identify areas of improvement. It is also necessary to review compensation to ensure that the positions are paid appropriately in
comparison to the market and their performances.
Scope of Work:
A. Preparation of Questionnaire:
Working with the Council CAO Committee (four members of the City Council) and the CAO’s,
Consultant will prepare a questionnaire to be used for interviews. The questionnaires will be
distributed to Council Members to fill out a week in advance of their scheduled interview/meeting with the Consultant. The questionnaires shall be designed to be a tool to
summarize Council Members’ estimation of the CAO’s attainment of specific goals, as well as
their performance in general areas such as communication; key relationships between the CAO
and the Council, staff, public, CITY committees and commissions and other government
agencies; as appropriate; specific work priorities such as budget, public relations, program management and employee relations; as well as general comment on the CAO’s performance of
their duties.
B. Conduct Interviews, Prepare Report, Facilitate Discussion, Prepare Summary:
CONSULTANT will interview each of the (9) Council Members individually, using the
interview questionnaire to gather input and evaluation of CAO performance. CONSULTANT
will also interview each CAO to gather their estimation of their performance, achievements and
ability to meet their established goals and performance objectives. CONSULTANT will
consolidate information from all interviews and prepare a written evaluation/report, which will first be reviewed with the Council CAO Committee and then presented to the entire Council in
closed session. After presentation of the evaluation/reports, CONSULTANT will facilitate
Council discussion of the results of the interviews and input. CONSULTANT will then facilitate
discussion of the evaluation report between each CAO and the Council.
C. Review Options for Compensation:
Prior to conducting the above performance evaluations, the CONSULTANT will research salary
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survey information and comparisons with salaries in surrounding agencies for each of the CAO
positions and review survey results with the CITY’s Human Resource Director. The
CONSULTANT will use this information to work with the Council CAO Committee on
compensation options to be proposed to the Council and CAO’s.
After facilitating the performance evaluation meetings with the Council, CONSULTANT will
meet with each CAO to de-brief on Council discussion, and to discuss compensation
considerations. The Council CAO Committee will make its salary adjustment recommendations
to the full Council. The CONSULTANT will be available as a resource at the meeting with the full Council. The CONSULTANT will also be available as a resource for the Council CAO
Committee in its negotiations with individual CAO’s.
The CONSULTANT will prepare a complete file for each of the evaluations, including
compensation recommendations and actions, for the permanent CITY record.
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EXHIBIT “B” SCHEDULE OF PERFORMANCE
Project Timeline – Estimate of Required Hours:
The City Council desires to complete all the evaluations and compensation discussions by June 30th of
each year. It is anticipated that the evaluation process will begin in May and be completed by the end of
August
Est. Hours Elements
5 Agreement on elements of evaluation and development of interview form
20 Council individual interviews (approx. 1 hour each) 1-2 weeks before meeting, write up
report
5 CAO interviews (1-2 hours) 1-2 weeks before meeting; write up report
12 Prep for and conduct Closed sessions (approx. 2 hours per CAO)
4 Consultant draws up specific performance objectives for each CAO for the coming year.
4 Meet with CAO’s to debrief and discuss compensation issues.
10 Research and prepare salary survey information and review with the Human
Resources Director.
2 Prep for and Meet with Council CAO Committee on compensation options.
4 Serve as resource for Council discussion/Council CAO Committee salary
negotiations
2 Consultant prepares final record of review and compensation
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EXHIBIT “C” COMPENSATION
The CITY agrees to compensate the CONSULTANT for professional services performed
in accordance with the terms and conditions of this Agreement, and as set forth in the
budget schedule below. Compensation shall be calculated based on the hourly rate
schedule attached as exhibit C-1 up to the not to exceed budget amount for each task set forth below.
The compensation to be paid to CONSULTANT under this Agreement for all services
described in Exhibit “A” (“Basic Services”) and reimbursable expenses shall not exceed
$40,000.00. CONSULTANT agrees to complete all Basic Services, including reimbursable expenses, within this amount. Any work performed or expenses incurred for
which payment would result in a total exceeding the maximum amount of compensation
set forth herein shall be at no cost to the CITY.
CONSULTANT shall perform the tasks and categories of work as outlined and budgeted below. The CITY’s project manager may approve in writing the transfer of budget
amounts between any of the tasks or categories listed below provided the total
compensation for Basic Services, including reimbursable expenses, does not exceed
$40,000.00.
BUDGET SCHEDULE NOT TO EXCEED AMOUNT
Task 1 $10,000.00
(City Manager Performance Evaluation)
Task 2 $10,000.00
(City Clerk Performance Evaluation)
Task 3 $10,000.00
(City Auditor Performance Evaluation)
Task 4 $10,000.00
(City Attorney Performance Evaluation)
Sub-total Basic Services $40,000.00
Reimbursable Expenses $1,000.00
Total Basic Services and Reimbursable expenses $41,000.00
Maximum Total Compensation $41,000.00
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REIMBURSABLE EXPENSES
The administrative, overhead, secretarial time or secretarial overtime, word processing,
photocopying, in-house printing, insurance and other ordinary business expenses are included within the scope of payment for services and are not reimbursable expenses.
CITY shall reimburse CONSULTANT for the following reimbursable expenses at cost.
Expenses for which CONSULTANT shall be reimbursed are:
A. Travel outside the San Francisco Bay area, including transportation and meals, will be reimbursed at actual cost subject to the City of Palo Alto’s policy for reimbursement of
travel and meal expenses for City of Palo Alto employees.
B. Long distance telephone service charges, cellular phone service charges, facsimile
transmission and postage charges are reimbursable at actual cost.
All requests for payment of expenses shall be accompanied by appropriate backup
information. Any expense anticipated to be more than $500.00 shall be approved in
advance by the CITY’s project manager.
ADDITIONAL SERVICES
The CONSULTANT shall provide additional services only by advanced, written
authorization from the CITY. The CONSULTANT, at the CITY’s project manager’s
request, shall submit a detailed written proposal including a description of the scope of services, schedule, level of effort, and CONSULTANT’s proposed maximum
compensation, including reimbursable expense, for such services based on the rates set
forth in Exhibit C-1. The additional services scope, schedule and maximum
compensation shall be negotiated and agreed to in writing by the CITY’s project manager
and CONSULTANT prior to commencement of the services. Payment for additional services is subject to all requirements and restrictions in this Agreement
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EXHIBIT “C-1” RATE SCHEDULE
This engagement will be performed at a rate of $10,000 per evaluation – fixed fee $40,000 for
the scope of work identified in Exhibit “A” Scope of work, to be performed by Debra Figone
with the support of the CONSULTANT’s team. In addition, the project will include
reimbursable expenses not to exceed $1000.
Additional tasks identified in process will be discussed as they occur and not initiated without prior written approval from the CITY. Additional work will be performed at a rate of $300 per
hour.
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EXHIBIT “D” INSURANCE REQUIREMENTS
CONTRACTORS TO THE CITY OF PALO ALTO (CITY), AT THEIR SOLE EXPENSE, SHALL FOR THE TERM OF THE CONTRACT OBTAIN AND MAINTAIN INSURANCE IN THE AMOUNTS FOR THE COVERAGE SPECIFIED BELOW, AFFORDED BY COMPANIES WITH AM BEST’S KEY RATING OF A-:VII, OR HIGHER, LICENSED OR AUTHORIZED TO TRANSACT INSURANCE BUSINESS IN THE STATE OF CALIFORNIA. AWARD IS CONTINGENT ON COMPLIANCE WITH CITY’S INSURANCE REQUIREMENTS, AS SPECIFIED, BELOW:
REQUIRED TYPE OF COVERAGE REQUIREMENT MINIMUM LIMITS
EACH OCCURRENCE AGGREGATE
YES YES
WORKER’S COMPENSATION EMPLOYER’S LIABILITY STATUTORY STATUTORY
YES GENERAL LIABILITY, INCLUDING PERSONAL INJURY, BROAD FORM PROPERTY DAMAGE BLANKET
CONTRACTUAL, AND FIRE LEGAL LIABILITY
BODILY INJURY PROPERTY DAMAGE
BODILY INJURY & PROPERTY DAMAGE COMBINED.
$1,000,000 $1,000,000
$1,000,000
$1,000,000 $1,000,000
$1,000,000
YES AUTOMOBILE LIABILITY, INCLUDING ALL OWNED, HIRED, NON-OWNED
BODILY INJURY
- EACH PERSON - EACH OCCURRENCE PROPERTY DAMAGE BODILY INJURY AND PROPERTY DAMAGE, COMBINED
$1,000,000
$1,000,000 $1,000,000 $1,000,000 $1,000,000
$1,000,000
$1,000,000 $1,000,000 $1,000,000 $1,000,000
YES PROFESSIONAL LIABILITY, INCLUDING, ERRORS AND OMISSIONS, MALPRACTICE (WHEN APPLICABLE),
AND NEGLIGENT PERFORMANCE
ALL DAMAGES $1,000,000 YES THE CITY OF PALO ALTO IS TO BE NAMED AS AN ADDITIONAL INSURED: CONTRACTOR, AT ITS SOLE COST AND EXPENSE, SHALL OBTAIN AND MAINTAIN, IN FULL FORCE AND EFFECT THROUGHOUT THE ENTIRE TERM OF ANY RESULTANT AGREEMENT, THE INSURANCE COVERAGE HEREIN DESCRIBED, INSURING NOT ONLY CONTRACTOR AND ITS
SUBCONSULTANTS, IF ANY, BUT ALSO, WITH THE EXCEPTION OF WORKERS’ COMPENSATION, EMPLOYER’S LIABILITY AND PROFESSIONAL INSURANCE, NAMING AS ADDITIONAL INSUREDS CITY, ITS COUNCIL MEMBERS, OFFICERS, AGENTS, AND EMPLOYEES.
I. INSURANCE COVERAGE MUST INCLUDE:
A. A PROVISION FOR A WRITTEN THIRTY (30) DAY ADVANCE NOTICE TO CITY OF CHANGE IN COVERAGE OR OF COVERAGE CANCELLATION; AND
B. A CONTRACTUAL LIABILITY ENDORSEMENT PROVIDING INSURANCE COVERAGE FOR CONTRACTOR’S AGREEMENT TO INDEMNIFY CITY. C. DEDUCTIBLE AMOUNTS IN EXCESS OF $5,000 REQUIRE CITY’S PRIOR APPROVAL. II. CONTACTOR MUST SUBMIT CERTIFICATES(S) OF INSURANCE EVIDENCING REQUIRED COVERAGE.
III. ENDORSEMENT PROVISIONS, WITH RESPECT TO THE INSURANCE AFFORDED TO “ADDITIONAL
INSUREDS” A. PRIMARY COVERAGE
WITH RESPECT TO CLAIMS ARISING OUT OF THE OPERATIONS OF THE NAMED INSURED, INSURANCE AS AFFORDED BY THIS POLICY IS PRIMARY AND IS NOT ADDITIONAL TO OR CONTRIBUTING WITH ANY OTHER
INSURANCE CARRIED BY OR FOR THE BENEFIT OF THE ADDITIONAL INSUREDS.
B. CROSS LIABILITY
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THE NAMING OF MORE THAN ONE PERSON, FIRM, OR CORPORATION AS INSUREDS UNDER THE POLICY SHALL NOT, FOR THAT REASON ALONE, EXTINGUISH ANY RIGHTS OF THE INSURED AGAINST ANOTHER,
BUT THIS ENDORSEMENT, AND THE NAMING OF MULTIPLE INSUREDS, SHALL NOT INCREASE THE TOTAL LIABILITY OF THE COMPANY UNDER THIS POLICY.
C. NOTICE OF CANCELLATION
1. IF THE POLICY IS CANCELED BEFORE ITS EXPIRATION DATE FOR ANY REASON OTHER THAN THE NON-PAYMENT OF PREMIUM, THE ISSUING COMPANY SHALL PROVIDE CITY AT LEAST A THIRTY (30) DAY WRITTEN NOTICE BEFORE THE EFFECTIVE DATE OF CANCELLATION.
2. IF THE POLICY IS CANCELED BEFORE ITS EXPIRATION DATE FOR THE NON-
PAYMENT OF PREMIUM, THE ISSUING COMPANY SHALL PROVIDE CITY AT LEAST A TEN (10) DAY WRITTEN NOTICE BEFORE THE EFFECTIVE DATE OF CANCELLATION.
NOTICES SHALL BE MAILED TO:
PURCHASING AND CONTRACT ADMINISTRATION CITY OF PALO ALTO P.O. BOX 10250 PALO ALTO, CA 94303
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