Summary Sheet- RFCA SUMMARY

City of Tempe — Regular City Council Meeting (2024-01-04)

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CITY OF TEMPE
Meeting Date: 1/4/2024  
REQUEST FOR COUNCIL ACTION
Agenda Item: 7B2
ACTION:  Ratify the staff approved award of a two-year contract with eight one-year renewal options 
to The Segal Company (Western States) Inc., d/b/a Segal to conduct a comprehensive compensation 
and classification study. (Related to Agenda Item 7A2)
FISCAL IMPACT:  The total cost of this contract is $305,000 with an additional contingency amount 
of $45,000. Sufficient funds have been appropriated in the General Fund, Cost Center 1512 (Employee 
Services & Benefits), for anticipated expenditures during the current fiscal year and future fiscal years, 
contingent upon City Council approval of the City’s annual budget.
RECOMMENDATION:  Ratify the award.
 
BACKGROUND INFORMATION: (24-040) The City issued a Request for Proposal (RFP) for a 
comprehensive compensation and classification study and to provide recommendations for job 
descriptions, salary structure, pay grade assignments and compensation policies.
Due to the importance of this effort coupled with its long completion timeframe (12 months) staff utilized 
delegated authority to award this contract and is now seeking City Council approval to ratify the award.  
As allowed for by City Procurement Code, Lisette Camacho, Financial Services Director, has  the 
authority to award and sign contracts exceeding one hundred thousand dollars ($100,000.00) when 
there are less than two (2) Council meetings scheduled in any month and the action is necessary to 
ensure operational efficiencies.  
 
Evaluation Process
The RFP was published on the City’s Bonfire portal as well as advertised in the Arizona Capitol Times.  
A total of 18 vendors downloaded the RFP; six firms responded with proposals as shown below: 
o
CPS HR Consulting
o
Gallagher Benefit Services, Inc.
o
Logic Compensation Group
o
MGT of America Consulting, LLC
o
Public Sector Personnel Consultations, Inc.
o
The Segal Company (Western States) Inc., d/b/a Segal
The proposals were evaluated by a committee comprised of City staff from Financial Services, Human 
Resources, City Courts and the City Manager’s Office.  The initial evaluation results are shown below:
Award Criteria
CPS
Gallagh
er
Logic
MGT
Public
Segal
Fees 
38
173
128
188
250
140
Method of Approach 
210
150
270
240
210
270

2
The committee determined that the three highest rated firms would be moved forward in the evaluation 
process.    
Interview & Best and Final Offer
Logic Compensation Group, Public Sector Personnel Consultations, Inc. and The Segal Company 
(Western States) Inc., d/b/a Segal were invited to interview with the evaluation committee and submit 
best and final offers to ensure that the most competitive offers were submitted.  The interview and the 
best and final offers were evaluated by the committee and the final results are presented in the table 
below.
Final Evaluation Results
Award Criteria
Logi
c
Public
Segal
Fees 
128
250
143
Method of Approach 
270
210
270
Experience of Firm
180
140
180
Qualifications and 
Expertise of Staff
180
150
160
Responsiveness 
45
35
40
Interview
240
180
300
Score
1048
965
1093
Rank
2
3
1
In response to the best and final offers, all three firms reduced their proposed pricing to the lump sum 
amounts shown below:
Although Public Sector, Gallagher, and MGT offered lower lump sum fees, the evaluation committee 
considers Segal’s proposal as the most advantageous offer representing the most comprehensive, value 
added study that meets the scope of the RFP. As required by policy when staff is not considering the 
lowest priced offer(s), Internal Audit has reviewed the evaluation process and as a result of its review, 
supports the award recommendation.   
ATTACHMENTS:  Vendor Offer
STAFF CONTACT(S):  Rebecca Strisko, Human Resources Director, (480) 350-8423
Experience of Firm
160
100
180
140
140
180
Qualifications & Expertise 
of Staff
140
140
180
140
150
160
Responsiveness 
43
25
45
40
35
40
Score
590
588
803
748
785
790
Rank
5
6
1
4
3
2
Pricing
$1,170,500
$255,750
$346,250
$236,93
0
$177,50
0
$315,00
0
Logic 
Public Sector
Segal
$326,250
$172,500
$305,000

3
Department Director:  Lisette Camacho, Financial Services Director  
Legal review by:  Dave Park, Assistant City Attorney
Prepared by:  Eric Kraenzle, Procurement Officer