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Proposal to the City of Santa Ana <br />Proposal to Provide a Management Compensation Study <br />• Scope of the study <br />• Labor market agencies, including the methodology utilized to identify recommended <br />agencies. <br />• Study benchmarks, including the methodology utilized to identify benchmarks. <br />• Labor market data analysis /methodologies <br />• Results of the base salary survey <br />The CPS HR Project Manager will meet via conference call with the City's Project Representative to <br />discuss the Draft Compensation Report and to respond to any questions, comments or concerns <br />on the report. <br />Task 8 — Research and Resolve Issues from Draft Total Compensation Report Review. Based <br />upon the City's review of the Draft Compensation Report, the Project Team will follow up on <br />compensation issues pursuant to this review. <br />Task 9 — Conduct Internal Equity Analysis/ Prepare Draft Salary Recommendations. A <br />comprehensive and balanced pay program is the result of the analysis of external labor market <br />data, combined with an analysis of important internal relationships that may reflect the City's value <br />system of jobs within the organization. With the whole job methodology, the internal pay relationship <br />analysis for non - benchmark classifications will involve a number of steps in order to arrive at sound <br />and equitable relationships. Among others, the most important of these will include: <br />■ Analysis of existing and historical pay relationships <br />■ Development of consistent, uniform and realistic guidelines for determining internal <br />relationships including span of control, nature and level of work performed and related <br />components <br />■ Recommendation of equitable and appropriate internal relationship differentials based on <br />the above. <br />Below is the methodology CPS utilizes for establishing salary levels for benchmark and non - <br />benchmark classifications in our compensation studies. This methodology would be applied to all <br />City classifications. <br />■ The first step is to conduct a comprehensive review of the survey results to identify <br />benchmark classifications to be used in the salary setting process. <br />■ The second step is to establish salary recommendations for these benchmark classifications <br />by setting the salary level based on the market data. This step will serve as the foundation <br />for the internal alignment decisions which follow. <br />■ The third step is to conduct a comprehensive review of the City's current internal <br />alignment differentials to determine what their practices are: <br />CPS HR CONSULTING Page 14 <br />