01-27-2015 Agenda with backup MEETING AGENDA
City Council
REGULAR SESSION CITY COUNCIL
January 27, 2015
HAL BALDWIN MUNICIPAL COMPLEX COUNCIL CHAMBERS
1400 SCHERTZ PARKWAY BUILDING #4
SCHERTZ, TEXAS 78154
City of Schertz Core Values
Do the right thing
Do the best you can
Treat others the way you would want to be treated
Work together cooperatively as a team
AGENDA
TUESDAY, JANUARY 27, 2015 AT 6:00 P.M.
Call to Order – City Council Regular Session
Invocation and Pledges of Allegiance to the Flags of the United States and State of
Texas. (Councilmember Edwards)
City Events and Announcements
• Announcements of upcoming City Events (J. Bierschwale/B. James)
• Announcements and recognitions by City Manager (J. Kessel)
Presentations
• Presentation/briefing and update regarding the 2015 Hal Baldwin Scholarship
Committee. (B. Cantu/P. Horan)
Hearing of Residents
This time is set aside for any person who wishes to address the City Council. Each person
should fill out the speaker’s register prior to the meeting. Presentations should be limited to
no more than 3 minutes.
All remarks shall be addressed to the Council as a body, and not to any individual member
thereof. Any person making personal, impertinent, or slanderous remarks while
addressing the Council may be requested to leave the meeting.
Discussion by the Council of any item not on the agenda shall be limited to statements of
specific factual information given in response to any inquiry, a recitation of existing policy in
response to an inquiry, and/or a proposal to place the item on a future agenda. The presiding
officer, during the Hearing of Residents portion of the agenda, will call on those persons who
have signed up to speak in the order they have registered.
01-27-2015 Council Agenda
Discussion and Action Items
1. Minutes - Consideration and/or action regarding the approval of the minutes the
Regular Meeting of January 20, 2015. (J. Kessel/B. Dennis)
2. Resolution No. 15-R-08 – Consideration and/or action approving a Resolution
authorizing the city manager to execute a professional services agreement with
Evergreen Solutions to conduct a city staff classification and compensation study and
authorizing a contingency amount. (J. Kessel/J. Smith)
Roll Call Vote Confirmation
Requests and Announcements
3. Announcements by City Manager
• Citizen Kudos
• Recognition of City employee actions
• New Departmental initiatives
4. Requests by Mayor and Councilmembers that items be placed on a future City
Council agenda.
5. Requests by Mayor and Councilmembers to City Manager and Staff for information.
6. Announcements by Mayor and Councilmembers
• City and community events attended and to be attended
• City Council Committee and Liaison Assignments (see assignments below)
• Continuing education events attended and to be attended
• Recognition of actions by City employees
• Recognition of actions by community volunteers
• Upcoming City Council agenda items
Executive Session
7. City Council will meet in closed session under section 551.074 Evaluation of the City
Secretary and Deputy City Secretary.
Reconvene into Regular Session
7a. Take any necessary action based on discussions held in closed session under Agenda
Item number 7.
Roll Call Vote Confirmation
Adjournment
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CERTIFICATION
I, DONNA SCHMOEKEL, DEPUTY CITY SECRETARY OF THE CITY OF SCHERTZ,
TEXAS, DO HEREBY CERTIFY THAT THE ABOVE AGENDA WAS PREPARED AND
POSTED ON THE OFFICIAL BULLETIN BOARDS ON THIS THE 23rd DAY OF
JANUARY 2015 AT 2:45 P.M., WHICH IS A PLACE READILY ACCESSIBLE TO THE
PUBLIC AT ALL TIMES AND THAT SAID NOTICE WAS POSTED IN ACCORDANCE
WITH CHAPTER 551, TEXAS GOVERNMENT CODE.
Donna Schmoekel
Donna Schmoekel, Deputy City Secretary
I CERTIFY THAT THE ATTACHED NOTICE AND AGENDA OF ITEMS TO BE
CONSIDERED BY THE CITY COUNCIL WAS REMOVED BY ME FROM THE
OFFICIAL BULLETIN BOARD ON _____DAY OF _______________, 2015.
____________________________Title:__________________________
This facility is accessible in accordance with the Americans with Disabilities Act. Handicapped
parking spaces are available. If you require special assistance or have a request for sign
interpretative services or other services please call 210-619-1030.
The City Council for the City of Schertz reserves the right to adjourn into executive session at
any time during the course of this meeting to discuss any of the matters listed above, as
authorized by the Texas Open Meetings Act.
Executive Sessions Authorized: This agenda has been reviewed and approved by the City’s
legal counsel and the presence of any subject in any Executive Session portion of the agenda
constitutes a written interpretation of Texas Government Code Chapter 551 by legal counsel
for the governmental body and constitutes an opinion by the attorney that the items discussed
therein may be legally discussed in the closed portion of the meeting considering available
opinions of a court of record and opinions of the Texas Attorney General known to the
attorney. This provision has been added to this agenda with the intent to meet all elements
necessary to satisfy Texas Government Code Chapter 551.144(c) and the meeting is conducted
by all participants in reliance on this opinion.
COUNCIL COMMITTEE AND LIAISON ASSIGNMENTS
Mayor Carpenter
Audit Committee
Hal Baldwin Scholarship Committee
Interview Committee for Boards and Commissions
Investment Advisory Committee
TIRZ II Board
Mayor Pro-Tem John – Place 3
Lone Star Rail District
Councilmember Fowler – Place 1
Interview Committee for Boards and Commissions
Schertz Housing Board Liaison
Randolph Joint Land Use Study (JLUS) Executive
Councilmember Azzoz – Place 2
Animal Control Advisory Committee
Sweetheart Advisory Committee
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Committee
Schertz Seguin Local Government Corporation
Councilmember Edwards – Place 4
Audit Committee
Hal Baldwin Scholarship Committee
Interview Committee for Boards and Commissions
Cibolo Valley Local Government Corporation
Councilmember Thompson Place 5
Audit Committee
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Agenda No. 1
CITY COUNCIL MEMORANDUM
City Council Meeting: January 27, 2015
Department: City Secretary
Subject: Minutes
BACKGROUND
The City Council held a regular meeting on January 20, 2015.
FISCAL IMPACT
None
RECOMMENDATION
Staff recommends Council approve the minutes of the regular meeting of January 20, 2015.
ATTACHMENT
Minutes – regular meeting January 20, 2015.
MINUTES
REGULAR MEETING
January 20, 2015
A Regular Meeting was held by the Schertz City Council of the City of Schertz, Texas, on
January 20, 2015, at 6:00 p.m., in the Hal Baldwin Municipal Complex Council Chambers, 1400
Schertz Parkway, Building #4, Schertz, Texas. The following members present to-wit:
Mayor Michael Carpenter Mayor Pro-Tem Daryl John
Councilmember Jim Fowler Councilmember Grumpy Azzoz
Councilmember Cedric Edwards Councilmember Robin Thompson
Staff Present: City Manager John Kessel
Deputy City Manager John Bierschwale Executive Director Brian James
Chief of Staff Bob Cantu City Attorney Clarissa Rodriguez
City Secretary Brenda Dennis Deputy City Secretary Donna Schmoekel
Call to Order
Mayor Carpenter called the meeting to order at 6:01 p.m.
Invocation and Pledges of Allegiance to the Flags of the United States and the State of
Texas (Mayor Pro-Tem John)
Mayor Pro-Tem John provided the invocation followed by the Pledges of Allegiance to the Flags
of the United States and the State of Texas.
City Events and Announcements
• Announcements of upcoming City Events (J. Bierschwale/B. James)
No announcements were provided.
• Announcements and recognitions by City Manager (J. Kessel)
No announcements were provided.
Presentations
• Presentation/discussion and update regarding Food Trucks in the City of Schertz. (B.
James/M. Sanchez/M. Harris/J. Hamilton)
Mayor Carpenter recognized Development Services Director Michelle Sanchez who
provided a Power Point presentation with the following information.
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The Schertz Code of Ordinances, Chapter 34, Article II addresses two types of food
and/or beverage establishments: 1) permanent brick and mortar restaurants and mobile
vending units, and 2) temporary food establishments that are restricted to no more than
14 consecutive days in conjunction with a single event or celebration. Ms. Sanchez
provided further details regarding the six types of vendors (i.e. vendors that drive around
on the streets, temporary setups, business fair participants, and those that park within
rights of ways, private property or at food parks. She stated that mobile vendors provide
additional dining options within the community, bring new business opportunities to the
city and is an upcoming trendy dining concept for today’s customers. Potential negative
impacts may include noise and smell from cooking food(s) and increased competition for
the brick and mortar restaurants and the general food service industry as a whole.
Ms. Sanchez continued her presentation by providing a sampling of details on regulations
that would need to be adopted by the city to oversee these types of business vendors.
Examples were restrooms, and handicap accessibility, electric service, Fire & EMS
access and more. Afterwards, Ms. Sanchez, and City Sanitarian Jesse Hamilton answered
questions from council as well as input by potential mobile vendor/owner, Mr. Derrick
Sanchez.
Mayor Carpenter added his comments at the end by stating that as council considers this
subject matter, we might want to thinks of things such as the long term land use for food
parks/courts and think about the highest and best use of that property. Would this meet
our long term goals as a city that attracts business to come to our area. We recently
regulated the parking of RV’s which are similar in design to food trucks. What areas
would be appropriate for these vendors to go and park to conduct business? He would
like to see the Economic Development Department and the Economic Development
Corporation weigh in to offer comment and look at any ordinance we might consider
prior to us passing it. We will probably need to be more restrictive in the beginning and
then see how things go as we move forward. Staff should craft an ordinance to share with
the two economic development groups as well as the Schertz Chamber of Commerce for
their input and suggestions.
Mayor Carpenter moved to the presentation regarding the Animal Adoption Facility
• Presentation and updates regarding the Animal Adoption Facility. (M. Harris/S. Roman)
Mayor Carpenter recognized Animal Services Manager Shanna Roman who stated they
had some good news to share tonight regarding the Animal Services Department.
Ms. Roman stated that they received the following in donations for the shelter and/or the
new adoption trailer. Ms. Roman recognized the following:
1) Samuel Clemens D.E.C.A. Club Donation towards adoption trailer
2) Anything Goes With Glass Silent auction/ Donation towards adoption trailer
3) GVEC Donation towards adoption trailer
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4) Homes for Pets Donation towards adoption trailer
5) Debbie Krause Assistance with organizing silent auction for
adoption trailer
6) Donna Schmoekel Several donations for the shelter medical fund
7) Harriet Higgs/John Sabo Dog training classes at the shelter.
8) Harriet Higgs Donation towards adoption trailer.
7) Girl Scouts Completed merit project by volunteering at the
shelter and made blankets for the animals.
8) Lowe's (O'Connor) Appreciation for allowing us to have adoption
events at their location.
9) Lowe's (Schertz) Appreciation for allowing us to have adoption
events at their location.
10) Mattenga's Pizzeria Silent auction for adoption trailer/Pizza
fundraiser
Mayor Carpenter recognized Councilmember Azzoz who thanked everyone for doing such a
great job and he hopes we reach our goal one day to be a no-kill shelter.
Mayor Carpenter recognized Councilmember Edwards who thanked the shelter
volunteers and staff and stated his own kids volunteered there and it not only gives back
to the community but also instills discipline in the young volunteers.
Mayor Carpenter stated he has adopted four rescue pets from the shelter. This is the city
at its best and has been going on for over 50 years. This is what we are as a community
when we choose to help each other out especially for a cause like this. It is difficult work
and yet rewarding. He said they do not get thanked enough; job well done.
Mayor Carpenter recognized Councilmember Fowler who stated he wrote an article,
“Why I love Schertz” when running for re-election of Councilmember Place #1. One
more time they have just proved why he is glad to live here and is proud to serve.
Presentation and discussion and update regarding Street Improvements – past, present,
and future. (Item requested by Councilmember Fowler) (B. James/K. Woodlee)
Mayor Carpenter recognized City Engineer Kathy Woodlee who provided the following
highlights of her presentation and answered questions from Council:
Street Improvements fall into two separate categories:
• Major reconstruction projects funded by bonds
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- Complete excavation, add base material, repave, curbing
- Mill and Overlay (Major)
• Maintenance Projects funded by the General Fund
- Chipseal, Pot Hole repair, Mill and Overlay (Minor), Crack Seal, etc
Future Street Improvement List – Major Reconstruction
• Main Street Improvements
• Northcliffe Street Reconstruction
• Aviat ion Heights Street Reconstruction
• Tri -County Business Park Street Reconstruction and Portion of Lookout
Road
• Dove Meadows Street Reconstruction
• Silver Tree Reconstruction
• Live Oak/Maske Road Realignment (FM 1518 to FM 3009)
• Greenfield Village Subdivision Reclamation
• Village Unit IV Subdivision Reclamation
• Hubertus Reconstruction
• Friesenhahn Reconstruction
• Eckhardt Road Reconstruction
• Schwab Road Reconstruction
• Pfeil Road Reconstruction
• Scenic Lake Drive Reconstruction
• Schaefer Road Reconstruction
• Weiderstein Road Extension FM 3009 to FM 1103
• Schertz Forest Street Reconstruction
• Lower Seguin Road and FM 1518 Intersection Improvements
Next Steps:
• Prioritize Projects
- Assess current roadway conditions
- Collect and analyze traffic counts
- Evaluate historic and current maintenance records
• High End Cost Estimation
• Complete Master Thoroughfare Plan
• Propose Project Programing based on anticipated bond funds (5, 20, 15 years)
Maintenance Projects funded by the General Fund Budget :
• Micropaver Program is being updated
• List will be created based on maintenance needs
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• Second presentation to Council will occur in the future
Mayor and Council thanked Ms. Woodlee for the update.
Hearing of Residents
• Mr. Robin Thompson, who on behalf of Operation Comfort, presented Mayor Carpenter
with a plaque of appreciation for the City of Schertz in support of the 5K/10K Run –
Walk they had on Saturday.
• Ms. Maggie Titterington, Chamber President who provided updated information
regarding the upcoming Chamber Events.
Workshop
• Discussion and/or possible action regarding the City Council’s Code of Ethics.
(Mayor/Council)
Mayor Carpenter stated that at the January 6, 2015 City Council meeting Councilmember
Edwards stated that he felt the Councilmembers should all sign their names to the Code
of Ethics because it would give the document more weight.
A copy of the City Council’s Code of Ethics is now attached with a page added for each
Councilmember to sign. Mayor and Council concurred and signed the Code of Ethics
signature page and provided that copy to the City Secretary.
• Discussion and/or possible action regarding the City Council’s Code of Conduct and
Procedure related to voting and abstentions. (Mayor/Council/C. Zech)
Mayor Carpenter stated that at the January 6, 2015, City Council meeting a discussion
was held with City Attorney Charles Zech who explained the way the current city charter
reads regarding voting and abstentions. It takes a vote of three to take any action. When
an individual abstains, this actually acts as a ‘no’ vote; the reason for that is it counts
toward the quorum for the purposes of a vote. He further clarified that three votes of
‘yes’ would be for any action and not just limited to ordinances and/or resolutions.
According to the Texas Local Government Code law, when you have an actual conflict of
interest, you are required to file a disclosure statement and abstain from voting. Under
Roberts Rules and under case law when that occurs you are not counted toward the
quorum for the purposes of the vote. This doesn’t help the City of Schertz because of the
charter provisions that say it takes three (yes) votes for action to be taken. City Council
authorized City Attorney Charles Zech and City Staff to outline some steps for handling
abstaining votes along with recommendations for council to consider.
City Staff worked with the City Attorney to review the City Council Rules of Conduct
and Procedures regarding the proposed language. Council members proceeded to discuss
the proposed language and select option “A” or “B” for each section. A continued
discussion commenced between councilmembers concerning the issues of what
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constitutes a tie with either a nay or abstention vote. City Attorney Clarissa Rodriguez
explained that the options presented tonight for council is to decide how they wish to
proceed in the future.
Councilmember Thompson made a motion, seconded by Councilmember Edwards to
consider any vote by a councilmember that is not an aye vote or a nay vote shall be
counted as a nay vote unless it is an abstention as required by law. The vote was
unanimous, with Mayor Pro-Tem John, Councilmembers Fowler, Azzoz, Edwards
and Thompson voting for and no one voting no. Motion passed.
Mayor Carpenter asked that the City Attorney’s office to draft an ordinance and
language necessary for our rules and procedures to address that.
Discussion and Action Items
1. Minutes - Consideration and/or action regarding the approval of the minutes the Regular
Meeting of January 13, 2015. (J. Kessel/B. Dennis)
Mayor Carpenter recognized Councilmember Azzoz who moved, seconded by
Councilmember Fowler to approve the minutes of the regular meeting of January 13,
2015. The vote was 4-0-1, with Mayor Pro-Tem John, Councilmembers Fowler,
Azzoz, and Thompson voting for, no one voting no, and Councilmember Edwards
abstaining. Motion passed.
2. Ordinance No. 15-T-05 – Consideration and/or action approving an Ordinance
authorizing a Budget Amendment to the Grant Fund 405 for the Award from the FY13
State Homeland Security Program through the Texas Homeland Security State
Administrative Agency. (First & Final) (J. Bierschwale/J. Correu)
The following was read into record:
ORDINANCE NO. 15-T-05
AN ORDINANCE BY THE CITY COUNCIL OF THE CITY OF SCHERTZ,
TEXAS AUTHORIZING A BUDGET AMENDMENT TO THE GRANT FUND
405 FOR THE AWARD FROM THE FY13 STATE HOMELAND SECURITY
PROGRAM THROUGH THE TEXAS HOMELAND SECURITY STATE
ADMINISTRATIVE AGENCY; REPEALING ALL ORDINANCES OR PARTS
OF ORDINANCES IN CONFLICT WITH THIS ORDINANCE; AND
PROVIDING AN EFFECTIVE DATE AND DECLARING AN EMERGENCY
Mayor Carpenter recognized Deputy City Manager John Bierschwale who introduced this
item stating the City was awarded a grant for $65,564 from the FY13 State Homeland
Security Program through the Texas Homeland Security State Administrative Agency
(THSSAA) for the project titled: City of Schertz Spillman Interoperability Insight
Interface. The City is not required to match any funds. The application for this grant was
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originally approved by council on 10-29-2013. This ordinance is to amend the Fiscal
Year 2014-15 budget in the Grant Fund 405.
He stated the goal is to provide essential data management software that will allow the
police department to improve the effectiveness of investigations by sharing information
with other communities and public safety agencies, tracking of criminal incidents and
trends to improve investigations and prevent large scale incidents. Staff recommends
approval of first and final reading.
Mayor Carpenter recognized Councilmember Thompson who moved, seconded by
Councilmember Edwards to approve Ordinance No. 15-T-05 on first and final. The vote
was unanimous, with Mayor Pro-Tem John, Councilmembers Fowler, Azzoz,
Edwards, and Thompson voting for, no one voting no. Motion passed.
3. Employee Compensation – Discussion and possible action regarding the City’s
Employee Compensation Plan. (J. Kessel/Council)
Mayor Carpenter recognized Councilmember Azzoz who stated he had a question for
City Manager John Kessel. An internal survey that was done on August 8, 2014
indicated two big issues were the pay and internal communication. Then another study
that was done with the University of Texas at Austin came back with the same thing, that
the biggest concern of employees was pay. His question is that once a company is
selected to do the new proposed classification and compensation study, how long will it
take to get the study done? Mr. Kessel answered it would take about 4 to 5 months.
Councilmember Azzoz stated we have the $300,000 set aside and budgeted. It has been a
year since the other surveys have been completed and while the new study we are going
to do is important, why can’t we use this money for pay increases now?
Mayor Carpenter recognized Councilmember Azzoz who made a motion to take the
lower 40% of employees and award them the $200 per month using the $300,000
budgeted amount. Mayor Carpenter asked for a second; as there was no second, the
motion failed.
Mayor Carpenter recognized Councilmember Thompson who stated we have discussed
this for a month now and several prior motions on this matter have subsequently failed.
He made a motion to not take this discussion up again on this subject until after we
receive the results of the classification and compensation study. Councilmember Fowler
seconded the motion.
Mayor Carpenter recognized Councilmember Fowler who stated he thinks the indication
of council has been that we are not really comfortable with giving out this money until
we get the analysis in order to do a proper and fair distribution of funds to employees. If
we continue to discuss this and if the main concern does not change (that we want to see
the analysis first) then it would just be a waste of our time to continue discussing this.
Councilmember Edwards said we talked about this earlier and we said we had to have
something concrete to go forward. Four weeks ago we made a motion and voted to wait
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for the study results and now we are doing this all over again. Council continued
discussion of the pros and cons on waiting for the study before distributing the money.
Mayor Carpenter recognized Councilmember Thompson who moved, seconded by
Councilmember Fowler to not take this discussion up again on this subject until after we
receive the results of the classification and compensation study. The vote was 4-1-0,
with Mayor Pro-Tem John, Councilmembers Fowler, Edwards, and Thompson
voting yes, and Councilmember Azzoz voting no. Motion passed.
Roll Call Vote Confirmation
Deputy City Secretary Donna Schmoekel provided the roll call vote information for agenda
items 1 through 3
Requests and Announcements
4. Announcements by City Manager
• Citizen Kudos
• Recognition of City employee actions
• New Departmental initiatives
Mayor Carpenter recognized City Manager John Kessel who stated that on next weeks
agenda management will be bringing forth an item for action; a recommendation to
council on a contract and work plan for conducting the classification and compensation
study. Concurrent with that we have a merit program each year that is a two step average
across the city program; we intend to do that early this year for our employees. This is
going to have a small impact in that some staff members who will have a little less time
to complete their annual work program/goals. However, they will also have the
opportunity up to have an additional four percent raise. Some may have in a six month
window an 8 percent raise, 6, or 4 percent raise; the average employee will have 4
percent; some with 2 percent and some with zero. This will be a significant thing while
we wait for the study to be completed.
Mr. Kessel also pointed out that the City Attorney tonight is Ms. Clarissa Rodriguez who
is covering for Mr. Charles Zech. He thanked her for this.
5. Requests by Mayor and Councilmembers that items be placed on a future City
Council agenda.
No items requested.
6. Requests by Mayor and Councilmembers to City Manager and Staff for information.
No items requested.
7. Announcements by Mayor and Councilmembers
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• City and community events attended and to be attended
• City Council Committee and Liaison Assignments (see assignments below)
• Continuing education events attended and to be attended
• Recognition of actions by City employees
• Recognition of actions by community volunteers
• Upcoming City Council agenda items
Mayor Carpenter recognized Councilmember Fowler who stated he attended the
following:
A meeting in Seguin for the SSLGC group. Some good things are going on in the water
department with the purchase of needed equipment for the future.
Today at 3:00 p.m. he attended a meeting on the natatorium facility and they are close to
awarding a contract for hiring a manager-at-risk. The manager will start by doing an
analysis of our proposal of the building(s) and figure out if it is within our budget. They
should have more information in March or April.
The update and information Schertz Chamber President Maggie Titterington gave today
regarding the activities and infrastructure that has been established was very good and
lets people know what all is going on in our community and how they are working with
our small businesses. Kuddos to her.
Tomorrow morning from 9:30-11:00 a.m., he will meet with some pastors and citizens in
the city to determine what they can do to fill a much needed void of matching church
volunteer groups that can maybe assist those citizens in our community who need help.
Mayor Carpenter recognized Councilmember Thompson who stated it was a pleasure for
him to represent Schertz in the Selma-Schertz 10K Run this past weekend and we should
continue to be sponsors for this event in the future.
Mayor Carpenter provided his thanks to those who attended the funeral services this past
week for 1) Garden Ridge Mayor Dalton, and also 2) Councilmember John’s
grandmother, Mrs. Lillie John. Thank you for being there for their respective families
and representing the City of Schertz.
Adjournment
Meeting was adjourned at 8:41 p.m.
__________________________________
Michael R. Carpenter, Mayor
ATTEST:
__________________________________
Donna Schmoekel, Deputy City Secretary
1-20-2015 Minutes Page - 9 -
Agenda No. 2
CITY COUNCIL MEMORANDUM
City Council Meeting: January 27, 2015
Department: Human Resources
Subject: Professional Services Agreement
for the City Classification and
Compensation Study
BACKGROUND
The Schertz City Council identified a Classification and Compensation Study for City
employees as a top priority in the City’s budget process.
The City of Schertz is proposing to conduct a complete classification and compensation
study in attempts to stay competitive within the competing labor market, to remain fair and
equitable, to properly classify employee positions, and to retain productive employees long-
term.
As the City prepares to reach the 50,000 population figure, it is recognized that proper
staffing levels and staff knowledge, skills, and abilities are two of the most significant factors
in determining our future success. It is also recognized that 100% of our service delivery
comes from our staff. This study will help prepare both an immediate set of
recommendations and develop a longer term, five year strategy to positively impact our
current staff and to ensure our future success.
The City of Schertz has not conducted a complete compensation study in approximately 10
years. In 2011, a partial compensation study was conducted internally and neither it nor the
2004 study included a classification update.
The City Council budgeted $85,000 to conduct the Classification and Compensation Study.
Additionally, the City Council has budgeted $300,000 for an initial implementation of the
study, recognizing that additional implementation funds may be required.
The City released an RFQ in search for a 3rd party provider to conduct a classification and
compensation study. The City received eight bid proposals from various vendors. A panel of
six City staff reviewed the proposals and, through a scoring system, selected three finalists to
interview. After the interviews were conducted, the panel, utilizing the same scoring system,
has recommended Evergreen Solutions as the most qualified respondent.
Goal
1. Properly classify positions in the City to reflect actual knowledge, skills, and abilities, as
well as the essential duties of each position.
2. To have competitive compensation within Schertz’s competing labor market and
benchmark cities.
3. To promote internal and external compensation equity.
4. To foster productive employees, in part, through a fair and balanced compensation
system.
Community Benefit
This effort would benefit the City by increasing the organization’s ability to attract
and retain high quality employees. Furthermore, productive employees would be
reinforced to stay and continue to effectively serve the members of the community.
Finally, this effort will assist the City of Schertz in its efforts to hire tomorrow’s
leadership today as the City prepares to reach 50,000 population.
Summary of Recommended Action
Staff recommends Council approve the selection of Evergreen Solutions to conduct the
classification and compensation study and set the total contract amount.
FISCAL IMPACT
$62,000 + $10,000 Contingency
RECOMMENDATION
Approve recommendations from staff to enter into an agreement with Evergreen Solutions to
complete the classification and compensation study.
ATTACHMENT(S)
None
RESOLUTION NO. 15-R-08
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF
SCHERTZ, TEXAS AUTHORIZING THE CITY MANAGER TO
EXECUTE A PROFESSIONAL SERVICES AGREEMENT WITH
EVERGREEN SOLUTIONS TO CONDUCT A CITY STAFF
CLASSIFICATION AND COMPENSATION STUDY AND
AUTHORIZING A CONTINGENCY AMOUNT
WHEREAS, The City of Schertz (the “City”) City Council identified a classification and
compensation study for City employees as a top priority in the City’s budget process; and
WHEREAS, the City Staff has identified the necessity to conduct a professional
classification and compensation study for staff positions for the purpose of fulfilling four (4) key
goals:
1. Properly classify positions in the City to reflect actual knowledge, skills, and abilities, as
well as the essential duties of each position.
2. To have competitive compensation within Schertz’s competing labor market and
benchmark cities.
3. To promote internal and external compensation equity.
4. To foster productive employees, in part, through a fair and balanced compensation
system; and
WHEREAS, the City released an RFQ and subsequently received eight (8) bids and,
based on the scoring, three (3) vendors were interviewed; and
WHEREAS, based on the scoring, City staff hereby recommends that the City Council
approve the selection of Evergreen Solutions to conduct a classification and compensation study and
to set the total contract scope and amount; and
WHEREAS, the total cost of the study is sixty two thousand dollars and zero cents
($62,000.00);
WHEREAS, the City staff recommends that a contingency fund of ten thousand dollars
and zero cents ($10,000.00) be authorized for additional consultation on an as needed basis.
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
SCHERTZ, TEXAS THAT:
Section 1. The City Council hereby authorizes the City Manager to execute a
professional services agreement with Evergreen Solutions, LLC in the amount of sixty two
thousand dollars and zero cents ($62,000.00) for the conduct of a classification and
compensation study.
Section 2. The City Council hereby authorizes that a contingency fund of ten
thousand dollars and zero cents ($10,000.00) be authorized for additional consultation on the
classification and compensation study on an as needed basis.
Section 3. The recitals contained in the preamble hereof are hereby found to be true,
and such recitals are hereby made a part of this Resolution for all purposes and are adopted as a
part of the judgment and findings of the City Council.
Section 4. All resolutions, or parts thereof, which are in conflict or inconsistent with
any provision of this Resolution are hereby repealed to the extent of such conflict, and the
provisions of this Resolution shall be and remain controlling as to the matters resolved herein.
Section 5. This Resolution shall be construed and enforced in accordance with the
laws of the State of Texas and the United States of America.
Section 6. If any provision of this Resolution or the application thereof to any person
or circumstance shall be held to be invalid, the remainder of this Resolution and the application
of such provision to other persons and circumstances shall nevertheless be valid, and the City
Council hereby declares that this Resolution would have been enacted without such invalid
provision.
Section 7. It is officially found, determined, and declared that the meeting at which
this Resolution is adopted was open to the public and public notice of the time, place, and subject
matter of the public business to be considered at such meeting, including this Resolution, was
given, all as required by Chapter 551, Texas Government Code, as amended.
Section 8. This Resolution shall be in force and effect from and after its final
passage, and it is so resolved.
PASSED AND ADOPTED, this ____ day of _________, 2015.
CITY OF SCHERTZ, TEXAS
Mayor, Michael R. Carpenter
ATTEST:
City Secretary, Brenda Dennis
(CITY SEAL)
- 2 -
Schertz 2015 Compensation Study Agreement Page 1
CITY OF SCHERTZ
2015 COMPENSATION STUDY AGREEMENT
THE STATE OF TEXAS §
§
GUADALUPE COUNTY §
This 2015 Compensation Study Agreement (“Agreement”) is made and entered by and
between the City of Schertz, Texas, (the “City”) a Texas municipality, and Evergreen
Solutions, LLC (“Professional”).
Section 1. Duration. This Agreement shall become effective upon execution by the City
and shall remain in effect until satisfactory completion of the Scope of Work unless
terminated as provided for in this Agreement.
Section 2. Scope of Work.
(A) Professional shall perform the Services as more particularly described in the
Scope of Work attached hereto as Exhibit “A”. The work as described in the Scope of
Work constitutes the “Project”. Unless otherwise provided in the Scope of Work, the
anticipated submittal of all Project deliverables is immediately upon completion of the
Project.
(B) The Quality of Services provided under this Agreement shall be of the level of
professional quality performed by Professionals regularly rendering this type of service.
(C) The Professional shall perform its Services for the Project in compliance with all
statutory, regulatory and contractual requirements now or hereafter in effect as may be
applicable to the rights and obligations set forth in the Agreement.
(D) The Professional may rely upon the accuracy of reports and surveys provided to it
by the City except when defects should have been apparent to a reasonably competent
professional or when it has actual notice of any defects in the reports and surveys.
Section 3. Compensation.
(A) The Professional shall be paid in the manner set forth in Exhibit “B” and as provided
herein.
Schertz 2015 Compensation Study Agreement Page 2
(B) Billing Period: The Professional may submit monthly, or less frequently, an invoice
for payment based on the estimated completion of the described tasks and approved work
schedule as provided for in Exhibit “B”. Subject to Chapter 2251, Texas Government Code
(the “Prompt Payment Act”), payment is due within thirty (30) days of the City’s receipt of
the Professional’s invoice. Interest on overdue payments shall be calculated in accordance
with the Prompt Payment Act.
(C) Reimbursable Expenses: Any and all reimbursable expenses related to the Project
shall be included in the scope of services (Exhibit A) and accounted for in the total contract
amount in Exhibit “B”. If these items are not specifically accounted for in Exhibit “B” they
shall be considered subsidiary to the total contract amount.
Section 4. Changes to the Project Work; Additional Work.
(A) Changes to Work: Professional shall make such revisions to any work that has been
completed as are necessary to correct any errors or omissions as may appear in such
work. If the City finds it necessary to make changes to previously satisfactorily completed
work or parts thereof, the Professional shall make such revisions if requested and as
directed by the City and such services will be considered as additional work and paid for as
specified under following paragraph.
(B) Additional Work: The City retains the right to make changes to the Scope of Work at
any time by a written order. Work that is clearly not within the general description of the
Scope of Work and does not otherwise constitute special services under this Agreement
must be approved in writing by the City by supplemental agreement before the additional
work is undertaken by the Professional. If the Professional is of the opinion that any work
is beyond that contemplated in this Agreement and the Scope of Work govern ing the
project and therefore constitutes additional work, the Professional shall promptly notify the
City of that opinion, in writing. If the City agrees that such work does constitute additional
work, then the City and the Professional shall execute a supplemental agreement for the
additional work and the City shall compensate the Professional for the additional work on
the basis of the rates contained in the Scope of Work. If the changes deduct from the
extent of the Scope of Work, the contract sum sha ll be adjusted accordingly. All such
changes shall be executed under the conditions of the original Agreement. Any work
undertaken by Professional not previously approved as additional work shall be at risk of
the Professional.
Schertz 2015 Compensation Study Agreement Page 3
Section 5. Time of Completion.
The prompt completion of the services under the Scope of Work is critical to the
City. Unnecessary delays in providing services under a Scope of Work shall be grounds
for dismissal of the Professional and termination of this Agreement without any or further
liability to the City other than a prorated payment for necessary, timely, and conforming
work done by Professional prior to the time of termination. The Scope of Work shall
provide, in either calendar days or by providing a final date, a t ime of completion prior to
which the Professional shall have completed all tasks and services described in the Scope
of Work.
Section 6. Insurance.
Before commencing work under this Agreement, Professional shall obtain and
maintain the liability insurance provided for in attached Exhibit C throughout the term of this
Agreement and thereafter as required herein .
In addition to the insurance provided for in Exhibit C, Professional shall maintain the
following limits and types of insurance:
Professional Liability Insurance: professional errors and omissions liability insurance with
limits of liability not less than $1,000,000 per occurrence covering all work performed by
the Professional, its employees, sub-contractors, or independent contractors. If this
coverage can only be obtained on a “claims made” basis, the certificate of insurance must
clearly state coverage is on a “claims made” basis and coverage must remain in effect for
at least two years after final payment with the Professional continuing to furnish the City
certificates of insurance.
Workers Compensation Insurance: The Professional shall carry and maintain during the
term of this Agreement, workers compensation and employers liability insurance meeting
the requirements of the State of Texas on all the Professional’s employees carrying out the
work involved in this contract.
General Liability Insurance: The Professional shall carry and maintain during the term of
this Agreement, general liability insurance on a per occurrence basis with limits of liability
not less than $1,000,000 for each occurrence and for fire damage. For Bodily Injury and
Property Damage, coverage shall be no less than $1,000,000. As a minimum, coverage for
Premises, Operations, Products and Completed Operations shall b e $2,000,000. This
coverage shall protect the public or any person from injury or property damages sustained
Schertz 2015 Compensation Study Agreement Page 4
by reason of the Professional or its employees carrying out the work involved in this
Agreement. The general aggregate shall be no less than $2,000,000.
Automobile Liability Insurance: Professional shall carry and maintain during the term of this
Agreement, automobile liability insurance with either a combined limit of at least
$1,000,000 per occurrence for bodily injury and property damage or sp lit limits of at least
$1,000,000 for bodily injury per person per occurrence and $1,000,000 for property
damage per occurrence. Coverage shall include all owned, hired, and non -owned motor
vehicles used in the performance of this contract by the Professional or its employees.
Subcontractor: In the case of any work sublet, the Professional shall require subcontractor
and independent contractors working under the direction of either the Professional or a
subcontractor to carry and maintain the same workers compensation and liability insurance
required of the Professional.
Qualifying Insurance: The insurance required by this Agreement shall be written by non-
assessable insurance company licensed to do business in the State of Texas and currently
rated "B+" or better by the A.M. Best Companies. All policies shall be written on a “per
occurrence basis” and not a “claims made” form.
Evidence of such insurance shall be attached as Exhibit “D”.
Section 7. Miscellaneous Provisions.
(A) Subletting. The Professional shall not sublet or transfer any portion of the work under
this Agreement or any Scope of Work issued pursuant to this Agreement unless
specifically approved in writing by the City, which approval shall not be unreasonably
withheld. Subcontractors shall comply with all provisions of this Agreement and the
applicable Scope of Work. The approval or acquiescence of the City in the subletting of
any work shall not relieve the Professional of any responsibility for work done by such
subcontractor.
(B) Ownership of Documents. Upon completion or termination of this Agreement, all
documents prepared by the Professional or furnished to the Professional by the City shall
be delivered to and become the property of the City. All drawings, charts, calcula tions,
plans, specifications and other data, including electronic files and raw data, prepared under
or pursuant to this Agreement shall be made available, upon request, to the City without
restriction or limitation on the further use of such materials PROVIDED, HOWEVER, THAT
SUCH MATERIALS ARE NOT INTENDED OR REPRESENTED TO BE SUITABLE FOR
REUSE BY THE CITY OR OTHERS. ANY REUSE WITHOUT PRIOR VERIFICATION OR
ADAPTATION BY THE PROFESSIONAL FOR THE SPECIFIC PURPOSE INTENDED
Schertz 2015 Compensation Study Agreement Page 5
WILL BE AT THE CITY’S SOLE RISK AND WITHOUT LIABILITY TO THE
PROFESSIONAL. Where applicable, Professional shall retain all pre-existing proprietary
rights in the materials provided to the City but shall grant to the City a non -exclusive,
perpetual, royalty-free license to use such proprietary information solely for the purposes
for which the information was provided. The Professional may, at Professional’s expense,
have copies made of the documents or any other data furnished to the City under or
pursuant to this Agreement.
(C) Professional's Seal. To the extent that the Professional has a professional seal it shall
placed on all documents and data furnished by the Professional to the City. All work and
services provided under this Agreement will be performed in a good and workmanlike
fashion and shall conform to the accepted standards and practices of the Professional’s
industry. The plans, specifications and data provided by Professional shall be adequate
and sufficient to enable those performing the actual work to perform the work as and within
the time contemplated by the City and Professional. The City acknowledges that
Professional has no control over the methods or means of work nor the costs of labor,
materials or equipment. Unless otherwise agreed in writing, any estimates of costs by the
Professional are for informational purposes only and are not guarantees.
(D) Compliance with Laws. The Professional shall comply with all federal, state and local
laws, statutes, ordinances, rules and regulations, and the orders and decree s of any
courts, administrative, or regulatory bodies in any matter affecting the performance of this
Agreement, including, without limitation, worker’s compensation laws, minimum and
maximum salary and wage statutes and regulations, and licensing laws and regulations.
When required, the Professional shall furnish the City with satisfactory proof of compliance.
(E) Independent Contractor. Professional acknowledges that Professional is an
independent contractor of the City and is not an employee, agent, o fficial or representative
of the City. Professional shall not represent, either expressly or through implication, that
Professional is an employee, agent, official or representative of the City. Income taxes,
self-employment taxes, social security taxes and the like are the sole responsibility of the
Professional.
(F) Non-Collusion. Professional represents and warrants that Professional has not given,
made, promised or paid, nor offered to give, make, promise or pay any gift, bonus,
commission, money or other consideration to any person as an inducement to or in order
to obtain the work to be provided to the City under this Agreement. Professional further
agrees that Professional shall not accept any gift, bonus, commission, money, or other
consideration from any person (other than from the City pursuant to this Agreement) for
any of the services performed by Professional under or related to this Agreement. If any
such gift, bonus, commission, money, or other consideration is received by or offered to
Schertz 2015 Compensation Study Agreement Page 6
Professional, Professional shall immediately report that fact to the City and, at the sole
option of the City, the City may elect to accept the consideration for itself or to take the
value of such consideration as a credit against the compensation otherw ise owing to
Professional under or pursuant to this Agreement.
(G) Force Majeure. If the performance of any covenant or obligation to be performed
hereunder by any party is delayed as a result of circumstances which are beyond the
reasonable control of such party (which circumstances may include, without limitation,
pending litigation, acts of God, war, acts of civil disobedience, fire or other casualty,
shortage of materials, adverse weather conditions [such as, by way of illustration and not of
limitation, severe rain storms or below freezing temperatures, or tornados] labor action,
strikes or similar acts, moratoriums or regulations or actions by governmental authorities),
the time for such performance shall be extended by the amount of time of such de lay, but
no longer than the amount of time reasonably occasioned by the delay. The party claiming
delay of performance as a result of any of the foregoing force majeure events shall deliver
written notice of the commencement of any such delay resulting from such force majeure
event not later than seven (7) days after the claiming party becomes aware of the same,
and if the claiming party fails to so notify the other party of the occurrence of a force
majeure event causing such delay and the other party sha ll not otherwise be aware of such
force majeure event, the claiming party shall not be entitled to avail itself of the provisions
for the extension of performance contained in this subsection.
(H) In the case of any conflicts between the terms of this Agr eement and wording
contained within the Scope of Services, this Agreement shall govern. The Scope of
Services is intended to detail the technical scope of services, fee schedule, and contract
time only and shall not dictate Agreement terms.
Section 8. Termination.
(A) This Agreement may be terminated:
(1) By the mutual agreement and consent of both Professional and City;
(2) By either party, upon the failure of the other party to fulfill its obligations as set
forth in either this Agreement or a Scope of Work issued under this Agreement;
(3) By the City, immediately upon notice in writing to the Professional, as
consequence of the failure of Professional to perform the services contemplated by this
Agreement in a timely or satisfactory manner;
(4) By the City, at will and without cause upon not less than thirty (30) days written
Schertz 2015 Compensation Study Agreement Page 7
notice to the Professional.
(B) If the City terminates this Agreement pursuant to Section 5 or subsection 8(A)(2) or
(3), above, the Professional shall not be entitled to any fees or reimbursable expenses
other than the fees and reimbursable expenses then due and payable as of the time of
termination and only then for those services that have been timely and adequately
performed by the Professional considering the actual costs incurred by the Professional in
performing work to date of termination, the value of the work that is nonetheless usable to
the City, the cost to the City of employing another Professional to complete the work
required and the time required to do so, and other factors that affect the value to the City of
the work performed at time of termination. In the event of termination that is not the fault of
the Professional, the Professional shall be compensated for all basic, special, and
additional services actually performed prior to termination, together with any reimbursable
expenses then due.
Section 9. Indemnification. Professional agrees to indemnify and hold the City of
Schertz, Texas and all of its present, future and former agents, employees, officials
and representatives harmless in their official, individual and representative
capacities from any and all claims, demands, causes of action, judgments, liens and
expenses (including attorney's fees, whether contractual or statutory), costs and
damages (whether common law or statutory), costs and damages (whether common
law or statutory, and whether actual, punitive, consequential or incidental), of any
conceivable character, for injuries to persons (including death) or to property (both
real and personal) created by, arising from or in any manner relating to the services
or goods performed or provided by Professional – expressly including those arising
through strict liability or under the constitutions of the United States or Texas – BUT
ONLY TO THE EXTENT ALLOWABLE BY SEC. 271.904(a) OF THE TEXAS LOCAL
GOVERNMENT CODE AS APPLICABLE.
Section 10. Notices. Any notice required or desired to be given from one party to the
other party to this Agreement shall be in writing and shall be given and shall be deemed to
have been served and received (whether actually received or not) if (i) delivered in person
to the address set forth below; (ii) deposited in an official depository under the regular care
and custody of the United States Postal Service located within the confines of the United
States of America and sent by certified mail, return receipt requested, and addressed to
such party at the address hereinafter specified; or (iii) delivered to such party by courier
receipted delivery. Either party may designate another address within the confines of the
continental United States of America for notice, but until written notice of such change is
actually received by the other party, the last address of such party designated for notice
shall remain such party's address for notice.
Schertz 2015 Compensation Study Agreement Page 8
Section 11. No Assignment. Neither party shall have the right to assign that party's
interest in this Agreement without the prior written consent of the other party.
Section 12. Severability. If any term or provision of this Agreement is held to be illegal,
invalid or unenforceable, the legality, validity or enforceability of the remaining terms or
provisions of this Agreement shall not be affected thereby, and in lieu of each such illegal,
invalid or unenforceable term or provision, there shall be added automatically to this
Agreement a legal, valid or enforceable term or provision as similar as possible to the term
or provision declared illegal, invalid or unenforceable.
Section 13. Waiver. Either City or the Professional shall have the right to waive any
requirement contained in this Agreement that is intended for the waiving party's benefit,
but, except as otherwise provided herein, such waiver shall be effective only if in writing
executed by the party for whose benefit s uch requirement is intended. No waiver of any
breach or violation of any term of this Agreement shall be deemed or construed to
constitute a waiver of any other breach or violation, whether concurrent or subsequent, and
whether of the same or of a different type of breach or violation.
Section 14. Governing Law; Venue. This Agreement and all of the transactions
contemplated herein shall be governed by and construed in accordance with the laws of
the State of Texas. The provisions and obligations of this Agreement are performable in
Guadalupe County, Texas such that exclusive venue for any action arising out of this
Agreement shall be in Guadalupe County, Texas.
Section 15. Paragraph Headings; Construction. The paragraph headings contained in
this Agreement are for convenience only and shall in no way enlarge or limit the scope or
meaning of the various and several paragraphs hereof. Both parties have participated in
the negotiation and preparation of this Agreement and this Agreement shall not be
construed either more or less strongly against or for either party.
Section 16. Binding Effect. Except as limited herein, the terms and provisions of this
Agreement shall be binding upon and inure to the benefit of the parties hereto and their
respective heirs, devisees, personal and legal representatives, successors and assigns.
Section 17. Gender. Within this Agreement, words of any gender shall be held and
construed to include any other gender, and words in the singular number shall be held and
construed to include the plural, unless the context otherwise requires.
Section 18. Counterparts. This Agreement may be executed in multiple counterparts,
each of which shall be deemed an original, and all of which shall constitute but one and the
same instrument.
Schertz 2015 Compensation Study Agreement Page 9
Section 19. Exhibits. All exhibits to this Agreement are incorporated herein by reference
for all purposes wherever reference is made to the same.
Section 20. Entire Agreement. It is understood and agreed that this Agreement contains
the entire agreement between the parties and supersedes any and all prior agreements,
arrangements or understandings between the parties relating to the subject matter. No
oral understandings, statements, promises or inducements contrary to the terms of this
Agreement exist. This Agreement cannot be changed or terminated orally.
Section 21. Relationship of Parties. Nothing contained in this Agreement shall be
deemed or construed by the parties hereto or by any third party to create the relationship of
principal and agent or of partnership or of joint venture or of any association whatsoever
between the parties, it being expressly understood and agreed that no provision contained
in this Agreement nor any act or acts of the parties hereto shall be deemed to create any
relationship between the parties other than the relationship of independent parties
contracting with each other solely for the purpose of effecting the provisions of this
Agreement.
Section 22. Right To Audit. City shall have the right to examine and audit the books and
records of Professional with regards to the work described in Exhibit A, or any subsequent
changes, at any reasonable time. Such books and records will be maintained in
accordance with generally accepted principles of accounting an d will be adequate to
enable determination of: (1) the substantiation and accuracy of any payments required to
be made under this Agreement; and (2) compliance with the provisions of this Agreement.
23. Dispute Resolution. In accordance with the provisions of Subchapter I, Chapter
271, TEX. LOCAL GOV’T CODE, the parties agree that, prior to instituting any lawsuit or other
proceeding arising from a dispute under this agreement, the parties will first attempt to
resolve the dispute by taking the following steps: (1) A written notice substantially
describing the nature of the dispute shall be delivered by the dissatisfied party to the other
party, which notice shall request a written response to be delivered to the dissatisfied party
not less than 5 days af ter receipt of the notice of dispute. (2) If the response does not
reasonably resolve the dispute, in the opinion of the dissatisfied party, the dissatisfied party
shall give notice to that effect to the other party whereupon each party shall appoint a
person having authority over the activities of the respective parties who shall promptly
meet, in person, in an effort to resolve the dispute. (3) If those persons cannot or do not
resolve the dispute, then the parties shall each appoint a person from the highest tier of
managerial responsibility within each respective party, who shall then promptly meet, in
person, in an effort to resolve the dispute.
Schertz 2015 Compensation Study Agreement Page 10
24. Disclosure of Business Relationships/Affiliations; Conflict of Interest
Questionnaire. Professional represents that it is in compliance with the applicable filing
and disclosure requirements of Chapter 176 of the Texas Local Government Code.
EXECUTED, by the City on this the ______ day of _________________, 20 ____.
CITY: PROFESSIONAL:
By:_________________________ By:__________________________
Name: John C. Kessel Name:_______________________
Title: City Manager Title:________________________
ADDRESS FOR NOTICE:
CITY PROFESSIONAL
City of Schertz Evergreen Solutions, LLC
Attn: John C. Kessel, City Manager Dr. Jeff Ling
1400 Schertz Parkway 2852 Remington Green Circle, Suite 101
Schertz, Texas 78154 Tallahassee, Florida 32308
with a copy to:
City Attorney
City of Schertz, Texas
Attn: Charles E. Zech
2517 N. Main Avenue
San Antonio, Texas 78212
Exhibit “A” Scope of Services Page A-1
Schertz 2015 Compensation Study Agreement
Exhibit “A”
Scope of Services
Timeline: Evergreen will submit the final report within 150 days after the contract award.
Task 1.0 - Project Initiation
TASK ACTIVITIES
1.1 Discuss with the City’s Project Manager (CPM) the following objectives:
understand the City’s mission and current compensation philosophy (if any);
review our proposed methodology, approach, and project work plan to identify any necessary
revisions and to assess any concerns;
reach agreement on a schedule for the project including all assignments and project
milestones/deliverables; and
establish an agreeable communication schedule.
1.2 Identify potential challenges and opportunities for the study. Discuss the strategic direction of the
City and some of the short- and long-term priorities. This activity serves as the basis for assessing
where the City is going and what type of pay plan will reinforce current and future goals.
1.3 Obtain relevant materials, including:
any previous projects, research, evaluations, or other studies that may be relevant to this
project;
organizational charts for the departments and divisions, along with related responsibility
descriptions;
current position and classification descriptions, salary schedule(s), and classification system;
strategic business plans, budgets; and
personnel policies and procedures, and the step placement policies.
1.4 Review and edit the project work plan and submit a schedule for the completion of each project task.
KEY PROJECT MILESTONES
Exhibit “A” Scope of Services Page A-2
Schertz 2015 Compensation Study Agreement
Comprehensive project management plan
Comprehensive database of City employees
Task 2.0 - Collect and Review Current Environmental Data
TASK ACTIVITIES
2.1 Schedule and conduct employee orientation sessions.
2.2 Meet with department heads/supervisors to obtain relevant information and statistical/anecdotal
data on specific compensation issues and policies. Obtain insight into perceived current
compensation system strengths and weaknesses.
2.3 Hold focus groups with a sample of employees to obtain additional relevant information and
statistical/anecdotal data on specific compensation issues and policies.
2.4 Work with the CPM to administer the JATs and MITs. Our staff utilizes a web-based tool for data
collection, but we can provide paper copies as well as those for classifications without
computers or Internet access. We will seek approval from the CPM before distribution of the
JAT/MIT questionnaire.
2.5 Review any data provided by the City that may provide additional relevant insight.
2.6 Review internal career ladders and make recommendations to keep positions competitive.
KEY PROJECT MILESTONES
JAT and MIT distribution
Department head/supervisor interviews
Employee focus groups and orientation sessions
Task 3.0 - Collect and Review Current Environmental Data
TASK ACTIVITIES
3.1 Obtain the existing pay structure and compensation philosophy. Review the existing pay structure
and look for potential problems to be resolved.
3.2 Determine the strengths and weaknesses of the current pay plan(s).
Exhibit “A” Scope of Services Page A-3
Schertz 2015 Compensation Study Agreement
3.3 Complete an assessment of current conditions that details the pros and cons of the current system
as well as highlights areas for potential improvement in the final adopted solution.
KEY PROJECT MILESTONES
Review of existing compensation plan(s)
Assessment of current conditions
Task 4.0 – Develop Compensation Philosophy
TASK ACTIVITIES
4.1 Conduct a thorough review of all background materials related to the City’s compensation system.
4.2 Review information from department head/supervisor interviews.
4.3 Make recommendation for compensation philosophy based on input from previous steps.
4.4 Document accepted compensation philosophy based on input from the CPM.
KEY PROJECT MILESTONE
Compensation philosophy
Task 5.0 – Evaluate and Build Projected Classification Plan
TASK ACTIVITIES
5.1 Review all draft class specifications with the CPM.
5.2 Review the work performed by each classification and score. The review includes an evaluation of
supervisory comments.
5.3 Review JAT scores and identify the classification of positions.
5.4 Schedule and conduct additional follow up with employees for jobs where uncertainty exists over
data obtained from the JATs.
5.5 Develop preliminary recommendations for the classification structure. The classification system
designed at this point would be based solely on internal equity relationships and would be guided
by the JAT scores for each classification. Essentially, a structure of classifications would be
established, and classifications with similar scoring would be grouped into pay grades. Spacing
Exhibit “A” Scope of Services Page A-4
Schertz 2015 Compensation Study Agreement
between jobs would be determined, and each classification would be assigned to a pay grade. The
final decision on the minimums and maximums of the pay grades would be determined after the
market data have been collected.
5.6 Review recommendations with the CPM.
5.7 Conduct four employee engagement sessions for employees explain the results of the JATs.
KEY PROJECT MILESTONES
JAT scores by class
Recommended classification changes
Preliminary job structure based on internal equity
Task 6.0 – Identify List of Market Salary Benchmarks
TASK ACTIVITIES
6.1 Conduct a thorough review of all materials to date, including employee database, classification
listing, interviews, compensation review, and discussions with the CPM.
6.2 Identify, from the initial review, a list of classifications (benchmarks) to include in the labor
market survey.
6.3 Submit the proposed list of positions to the CPM for review.
6.4 Based on the CPM’s review, make revisions to the benchmark list and finalize consistent with
Evergreen’s analysis.
KEY PROJECT MILESTONES
Preliminary list of benchmark classifications
Final list of benchmark positions for the external labor market assessment
Task 7.0 – Identify Approved List of Targets
TASK ACTIVITIES
7.1 For each employee group, review with the CPM peer organizations that must be included in the
survey.
Exhibit “A” Scope of Services Page A-5
Schertz 2015 Compensation Study Agreement
7.2 Develop a preliminary list of organizations for the external labor market survey, placing a
comparative emphasis on characteristics such as:
size of the organization;
geographic proximity to the Schertz area;
economic and budget characteristics; and
other demographic data.
7.3 Develop a list of survey targets by employee group. Develop a system for use of secondary data
including potential sources and weighting of secondary data, if necessary.
7.4 Review survey methodology with the CPM and refine survey methodology prior to distribution
of survey.
7.5 After approval of survey methodology, develop contact list of peer organizations and notify
peers of impending survey.
KEY PROJECT MILESTONES
Initial list of survey peers
Survey methodology
Final list of survey organizations and contacts
Task 8.0 – Conduct Market Survey and Provide External Assessment Summary
TASK ACTIVITIES
8.1 Prepare a customized external labor market salary survey for the CPM’s approval. D iscuss
questions and categories for the market survey with the CPM.
8.2 Contact the targets for electronic completion of the survey. Provide paper copies by fax, if
requested.
8.3 Conduct necessary follow-up through e-mails, faxes, and phone calls.
8.4 Collect and enter survey results into Evergreen Solutions’ electronic data analysis tools.
8.5 Validate all data submitted.
Exhibit “A” Scope of Services Page A-6
Schertz 2015 Compensation Study Agreement
8.6 Develop summary report of external labor market assessment results.
8.7 Submit summary report of external labor market assessment results to the CPM.
KEY PROJECT MILESTONES
Market survey instrument
Summary report of external labor market assessment results
Task 9.0 – Develop Strategic Positioning Recommendations
TASK ACTIVITIES
9.1 Identify the compensation philosophy and accompanying thresholds.
9.2 Using the market salary data collected in Task 8.0 and the classification data reviewed in Task
5.0, determine the proper pay plan including number of grades, steps, and ranges.
9.3 Identify highly competitive positions within the City and customize recommendations for
compensation where required.
9.4 Produce a pay plan(s) that best meets the needs of the City from an internal equity and external
equity standpoint.
KEY PROJECT MILESTONES
Proposed compensation strategic direction, taking into account internal and external equity
Plan for addressing unique, highly competitive positions
Task 10.0 – Conduct Solution Analysis
TASK ACTIVITIES
10.1 Conduct regression analysis or other appropriate techniques to properly slot each classification
into the proposed pay plan.
10.2 Place all classifications into pay grades based on Task Activity 10.1. Sort alphabetically by job
class title, in descending order by range, and by old class title and new class specifications.
Exhibit “A” Scope of Services Page A-7
Schertz 2015 Compensation Study Agreement
10.3 Create implementation solutions for consideration that take into account the current position of
the organization as well as the findings from the classification and compensation analysis.
Identify and prepare a range of compensation policy alternatives.
10.4 Meet with the CPM to discuss the potential solutions.
10.5 Determine the best solution to meet the City’s needs in the short-term and long-term.
10.6 Document the accepted solution.
KEY PROJECT MILESTONES
Initial regression analysis
Potential solutions
Documented final solution
Task 11.0 – Develop and Submit Draft and Final Reports and Deliver Presentation
TASK ACTIVITIES
11.1 Produce a comprehensive draft report that captures the results of each previous step. The draft
report will include a description of the recommended compensation plan as well as how the plan
should be implemented over a three to four year period. Evergreen will also provide
recommendations for multiple-year, incremental implementation strategies for salary and
compression based on financial parameters provided by the City.
11.2 Submit the comprehensive draft report to the CPM for review and approval.
11.3 Make edits and submit necessary copies of the final report to the CPM.
11.4 Present final report to the City over two council meetings
11.5 Develop a communication plan for sharing study results with employees.
11.6 Conduct four employee wrap up sessions explaining the findings of the stud y.
11.7 Develop implementation database to communicate the process and progress of this project to
the CPM and any other employee or groups designated by the CPM.
11.8 Develop a plan for maintaining recommendations over time.
KEY PROJECT MILESTONES
Draft and final reports
Exhibit “A” Scope of Services Page A-8
Schertz 2015 Compensation Study Agreement
Final presentation
Communication plan
Implementation and maintenance database
Task 12.0 – Develop Recommendations for Compensation Administration
TASK ACTIVITIES
12.1 Develop recommendations and guidelines for the continued administration and maintenance of
the classification and compensation structure, including recommendations and guidelines
related to:
how employees will move through the pay structure/system as a result of transfers,
promotions, or demotions;
how to pay employees whose base pay has reached the maximum of their pay range or value
of their position;
the proper mix of pay;
how often to adjust pay scales and survey the market;
the timing of implementation; and
how to keep the system fair and competitive over time.
12.2 Recommend recruitment/retention strategies, where appropriate.
12.3 Provide recommendations on re-structuring license pay and certification pay.
12.4 Present recommendations to the CPM for review.
KEY PROJECT MILESTONES
Recommendations for compensation administration
Recommendations for recruitment/retention policies
Task 13.0 - Provide Revised Class Descriptions and FLSA Determinations
Exhibit “A” Scope of Services Page A-9
Schertz 2015 Compensation Study Agreement
TASK ACTIVITIES
13.1 Assess current class descriptions for form, content, validity, and ADA compliance.
13.2 Discuss new class description format with the CPM.
13.3 Revise classification descriptions in a standard format based on data gathered from the JAT
process.
13.4 Create new class descriptions for new classifications, as needed. Provide complete listing of the
allocation of job classes to salary range assignments.
13.5 Make FLSA determinations (exempt vs. non-exempt) based on work performed and federal
requirements.
13.6 Recommend a systematic, regular process for reviewing job descriptions.
KEY PROJECT MILESTONES
Updated class descriptions
New class descriptions as needed
The Following are understood to be included in the Scope of Work
Evergreen will review all employee classifications which is estimated to be 175
Total compensation will be evaluated in the external labor market survey which includes
certification pay
Provide internal equity recommendations based on longevity and performance
Evergreen will provide status updates weekly as well as provide bullet points that can be sent to
employees
Exhibit “B” Compensation Page B-1
Schertz 2015 Compensation Study Agreement
Exhibit “B”
Compensation
Evergreen will be compensated $62,000 for the scope of work identified in Exhibit “A”.
The following is the accepted invoicing schedule based on the Scope of Work:
25% - upon completion of Task 1
25% - upon completion of Tasks 2-5
25% - upon completion of Task 6-8
25% - upon completion of Tasks 9-13
If Evergreen’s presence is require beyond what was listed in the Scope of Work, each additional trip and
presentation will be charged separately for $2,500 per instance.
Exhibit “C” Requirements for all Insurance Documents Page C-1
Schertz 2015 Compensation Study Agreement
Exhibit “C”
REQUIREMENTS FOR ALL INSURANCE DOCUMENTS
The Professional shall comply with each and every condition contained herein. The Professional shall provide and
maintain the minimum insurance coverage set forth below during the term of its agreement with the City . Any
Subcontractor(s) hired by the Professional shall maintain insurance coverage equal to that required of the
Professional. It is the responsibility of the Professional to assure compliance with this provision. The City of Schertz
accepts no responsibility arising from the conduct, or lack of conduct, of the Subcontractor.
INSTRUCTIONS FOR COMPLETION OF INSURANCE DOCUMENT
With reference to the foregoing insurance requirements, Professional shall specifically endorse applicable
insurance policies as follows:
1. The City of Schertz shall be named as an additional insured with respect to General Liability and Automobile
Liability on a separate endorsement.
2. A waiver of subrogation in favor of The City of Schertz shall be contained in the Workers Compensation an d
all liability policies and must be provided on a separate endorsement.
3. All insurance policies shall be endorsed to the effect that The City of Schertz will receive at least thirty (30)
days written notice prior to cancellation or non -renewal of the insurance.
4. All insurance policies, which name The City of Schertz as an additional insured, must be endorsed to read
as primary and non-contributory coverage regardless of the application of other insurance.
5. Chapter 1811 of the Texas Insurance Code, Senate Bill 425 82(R) of 2011, states that the above
endorsements cannot be on the certificate of insurance. Separate endorsements must be provided
for each of the above.
6. All insurance policies shall be endorsed to require the insurer to immediately notify The City o f Schertz of
any material change in the insurance coverage.
7. All liability policies shall contain no cross liability exclusions or insured versus insured restrictions.
8. Required limits may be satisfied by any combination of primary and umbrella liability ins urances.
9. Professional may maintain reasonable and customary deductibles, subject to approval by The City of
Schertz.
10. Insurance must be purchased from insurers having a minimum AmBest rating of B+.
11. All insurance must be written on forms filed with and appro ved by the Texas Department of Insurance.
(ACORD 25 2010/05). Coverage must be written on an occurrence form.
12. Contractual Liability must be maintained covering the Professionals obligations contained in the contract.
Certificates of Insurance shall be prep ared and executed by the insurance company or its authorized agent
and shall contain provisions representing and warranting all endorsements and insurance coverages
according to requirements and instructions contained herein.
13. Upon request, Professional shall furnish The City of Schertz with certified copies of all insurance policies.
14. A valid certificate of insurance verifying each of the coverages required above shall be issued directly to the
City of Schertz within ten (10) business days after contract awa rd and prior to starting any work by the
successful Professional’s insurance agent of record or insurance company. Also, prior to the start of any
work and at the same time that the Certificate of Insurance is issued and sent to the City of Schertz, all
required endorsements identified in sections A, B, C and D, above shall be sent to the City of Schertz. The
certificate of insurance and endorsements shall be sent to:
City of Schertz emailed to: njohnson@schertz.com
Purchasing Department Faxed to: 210-619-1169
1400 Schertz Parkway
Schertz, TX 78154
Exhibit “C” Requirements for all Insurance Documents Page C-2
Schertz 2015 Compensation Study Agreement
Exhibit “C” Requirements for all Insurance Documents Page C-3
Schertz 2015 Compensation Study Agreement
(Instructions for completing and submitting a certificate to the City of Schertz)
Complete the certificate of insurance with the information listed below:
A) Certificate of Insurance date
B) Producer (Insurance Agency) Information – complete name, address, telephone information, & email
address.
C) Insured’s (Insurance Policy Holder) Information – complete name & address information
D) Insurer (name/names of insurance compa ny) **(Remember the city requires all insurance companies to be
Authorized to do business in the State of Texas be rated by A.M. Best with a rating of B+ (or better) Class VI
(or higher) or otherwise be acceptable to the City if not rated by A.M. Best)
E) NAIC # (National Association of Insurance Commissioners, a # that is assigned by the State to all insurance
companies)
F) Insurer letter represents which insurance company provides which type of coverage from D
G) General Liability Insurance Policy – must have an (x) in box. Also, “Occurrence” type policy – must have an
(x) in the box (occurrence policy preferred but claims made policy can be accepted with special approval)
H) This section shall be filled in with “Y” for yes under Additional Insured for all coverages, except for
Professional Liability and Workers’ Compensation. There shall also be a “Y” for yes under all coverages for
subrogation waived.
I) Automobile Liability Insurance – must be checked for Any Auto, All Owned Autos, Hired Autos
J) Umbrella Coverage – must be checked in this section and by occurrence whenever it is required by written
contract and in accordance with the contract value.
K) Worker’s Compensation and Employers Liability Insurance – information must be completed in this section
of the certificate of insurance form (if applicable).
L) Builder’s Risk Policy – for construction projects as designated by the City of Schertz.
Professional Liability Coverage – for professional services if required by the City of Schertz.
M) Insurance Policy #’s
N) Insurance policy effective dates (always check for current dates)
O) Insurance Policy limits (See Insurance Requirements Checklist)
P) This section is to list projects, dates of projects, or location of project. Endorsements to the insurance
policy(ies) must be provided separately and not in this section. The following endorsements are required by
the City of Schertz.
(1) Adding the City of Schertz as an additional insured. The “additional insured” endorsement is not
required for professional liability and workers compensation insura nce; and
(2) Waiver of Subrogation
(3) Primary and Non-Contributory
(4) Cancellation Notice
Q) City of Schertz’s name and address information must be listed in this section
R) Notice of cancellation, non-renewal, or material change to the insurance policy(ies) must be provided to the
City of Schertz in accordance with a cancellation notice endorsement to the policy and/or per the policy
provisions based on the endorsement adding the city as an additional insured. (Sec. 1811.155, Tex. Ins.
Code)
S) The certificate must be signed by the Authorized Agent in this section of the certificate form.
Exhibit “D” Evidence of Insurance Page D-1
Schertz 2015 Compensation Study Agreement
Exhibit “D”
Evidence of Insurance