Explanation
BACKGROUND:
The Economic Advisory Committee recently issued their report. One of their recommendations is that the City conduct a total compensation audit to assess the competitiveness of the City's total compensation package: pay, health insurance, and pension. This ordinance authorizes the Director of Human Resources to enter into contract with a human capital management consulting firm, to conduct such a due diligence assessment. Especially in these difficult economic times, it is critical that the City is maximizing the dollars spent by not underpaying nor overpaying to successfully recruit and retain employees with the knowledge and skills to ensure that the City provides the most efficient and effective government possible.
As a result of a Request for Proposal process in accordance with Section 329.14 of the Columbus City Codes, 11 bid responses were reviewed by the City's Evaluation Committee, comprised of three members. Each proposal was evaluated on the following criteria as required by Section 329.14: competency to perform; quality and feasibility of the bidder's proposal; ability to perform the required service competently; past performances; and cost structure of the proposal. Aon Consulting, Inc. is recommended as the Total Compensation Audit Consultant Aon Consulting, Inc. provides the best combination of: 1) technical experience, 2) sufficient databases to be able to conduct the comparisons without a survey, 3) a good number of benchmark jobs, and 4) a demonstrated ability to make sound and progressive recommendations.
Contract compliance number is: 222232264
FISCAL IMPACT:
This legislation authorizes the Department of Human Resources to enter into contract with Aon Consulting, Inc. to establish the maximum obligation liability of $80,000 for the total compensation audit. An additional appropriation of $80,000 is required for this purpose.
Title
To authorize the appropriation of $80,000 from the unappropriated balance of the Employee Benefits Fund; to authorize the Human Resources Director to enter into contract with Aon Consulting, Inc. to conduct a comparison of the City's total compensation package to include the three major components: pay, health insurance benefits, and pension for each of the City's ten different employee groups, and in aggregate; to authorize the expenditure of up to $80,000.00 from the Employee Benefits Fund, or so much thereof as may be necessary to pay the costs of said contract; and to declare an emergency. ($80,000)
Body
WHEREAS, it is necessary to authorize the additional appropriation of $80,000 within the Employee Benefits Fund to cover the cost of the said contract; and
WHEREAS, it is in the best interest of the City of Columbus to enter into contract with Aon Consulting, Inc. to conduct a comparison of the market of the City's total; compensation package; and
WHEREAS, it is necessary to authorize the expenditure of up to $80,000 for said contract with Aon Consulting Inc. or so much thereof as may be necessary; and
WHEREAS, an emergency exists in the usual daily operation of the Department of Human Resources in that it is immediately necessary to enter into contract for a total compensation audit in order to assess the competitiveness of the City's total compensation package of pay, health insurance, and pension; thereby preserving the public health, peace, property, safety, and welfare; now, therefore;
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That from the monies in and from all monies estimated to come into the Employee Benefits Fund 502, from any and all sources during the 12 months ending January 31, 2010, the sum of $80,000 is appropriated to the Department of Human Resources as follows:
Department 46, Division 46-02 | Fund 502 | OCA Code: 450882 | OL1: 3 | OL3: 3336 | Amount: $80,000
SECTION 2. That the Human Resources Director is hereby authorized to enter into contract with Aon Consulting, Inc. to provide a total compensation audit.
SECTION 3. That the expenditure of $80,000, or so much thereof as may be necessary for the total compensation audit is hereby authorized and directed as provided below:
Department 46, Division 46-02 | Fund 502 | OCA Code: 450882 | OL1: 3 | OL3: 3336 | Amount: $80,000
SECTION 4. That from the monies appropriated in the foregoing Section 1 shall be paid on order of the Human Resources Director and no order shall be drawn or money paid except by voucher, the form of which shall be approved by the City Auditor.
SECTION 5. That the reason stated in the preamble hereto, which is hereby made part of the hereof, this ordinance is declared to be and emergency and shall take effect and be in force from and after its passage and approval by the Mayor, or ten days after passage, if the Mayor neither approves nor vetoes the same.