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HomeMy WebLinkAboutC-3951 - Consultant Services for performance Benchmarking Initiative• C -�(4 b-� PROFESSIONAL SERVICES AGREEMENT WITH PHIL BATCHELOR AND ASSOCIATES FOR ASSISTANCE WITH THE CITY'S SERVICES AND PERFORMANCE BENCHMARKING INITIATIVE THIS AGREEMENT is made and entered into as of this 10th day of July, 2007, by and between the CITY OF NEWPORT BEACH, a Municipal Corporation ( "City"), and PHIL BATCHELOR AND ASSOCIATES a sole proprietorship whose address is P. O. Box 3213, Danville, California, 94526 ( "Consultant"), and is made with reference to the following: RECITALS A. City is a municipal corporation duly organized and validly existing under the laws of the State of California with the power to carry on its business as A is now being conducted under the statutes of the State of California and the Charter of City. B. City is planning to institute an organizational performance improvement effort through the identification of service benchmarks and data gathering to measure organizational effectiveness. C. City desires to engage Consultant to assist with the City's services and performance benchmarking initiative ( "Project'). D. Consultant possesses the skill, experience, ability, background, certification and knowledge to provide the services described in this Agreement. E. The principal member of Consultant for purposes of Project, shall be Phil Batchelor. F. City has solicited and received a proposal from Consultant, has reviewed the previous experience and evaluated the expertise of Consultant, and desires to retain Consultant to render professional services under the terms and conditions set forth in this Agreement. NOW, THEREFORE, it is mutually agreed by and between the undersigned parties as follows: 1. TERM The term of this Agreement shall commence on the above written date, and shall terminate on the 10th day of July, 2008, unless terminated earlier as set forth herein. • 0 2. SERVICES TO BE PERFORMED Consultant shall diligently perform all the services described in the Scope of Services attached hereto as Exhibit A and incorporated herein by reference. The City may elect to delete certain tasks of the Scope of Services at its sole discretion. 3. TIME OF PERFORMANCE Time is of the essence in the performance of services under this Agreement and Consultant shall perform the services in accordance with the schedule included in Exhibit A. The failure by Consultant to strictly adhere to the schedule may result in termination of this Agreement by City. 4. COMPENSATION TO CONSULTANT City shall pay Consultant for the services on a lump sum basis in accordance with the provisions of this Section and the Schedule of Billing Rates attached hereto as Exhibit B and incorporated herein by reference. Consultant's compensation for all work performed in accordance with this Agreement, including all reimbursable items and subconsultant fees, shall not exceed Forty Nine Thousand Five Hundred Dollars and no /100 ($49,500) without prior written authorization from City. 4.1 Consultant shall submit invoices to City describing the work performed for each objective. Consultant's bills shall include the name of the person who performed the work, a brief description of the services performed and /or the specific task in the Scope of Services to which it relates and a description of any reimbursable expenditures. City shall pay Consultant no later than thirty (30) days after approval of the monthly invoice by City staff. 4.2 City shall reimburse Consultant only for those costs or expenses specifically approved in this Agreement, or specifically approved in writing in advance by City. Unless otherwise approved, such costs shall be limited and include nothing more than the following costs incurred by Consultant: A. The actual costs of subconsultants for performance of any of the services that Consultant agrees to render pursuant to this Agreement, which have been approved in advance by City and awarded in accordance with this Agreement. B. Approved reproduction charges. 2 C. Actual costs and /or other costs and /or payments specifically authorized in advance in writing and incurred by Consultant in the performance of this Agreement. 4.3 Consultant shall not receive any compensation for Extra Work performed without the prior written authorization of City. As used herein, "Extra Work" means any work that is determined by City to be necessary for the proper completion of the Project, but which is not included within the Scope of Services and which the parties did not reasonably anticipate would be necessary at the execution of this Agreement. . 5. PROJECT MANAGER Consultant shall designate a Project Manager, who shall coordinate all phases of the Project. This Project Manager shall be available to City at all reasonable times during the Agreement term. Consultant has designated Phil Batchelor to be its Project Manager. Consultant shall not remove or reassign the Project Manager or any personnel listed in Exhibit A or assign any new or replacement personnel to the Project without the prior written consent of City. City's approval shall not be unreasonably withheld with respect to the removal or assignment of non -key personnel. Consultant, at the sole discretion of City, shall remove from the Project any of its personnel assigned to the performance of services upon written request of City. Consultant warrants that it will continuously furnish the necessary personnel to complete the Project on a timely basis as contemplated by this Agreement. 6. ADMINISTRATION This Agreement will be administered by the Administrative Services Department. The Administrative Services Director shall be the Project Administrator and shall have the authority to act for City under this Agreement. The Project Administrator or his/her authorized representative shall represent City in all matters pertaining to the services to be rendered pursuant to this Agreement. 7. CITY'S RESPONSIBILITIES In order to assist Consultant in the execution of its responsibilities under this Agreement, City agrees to, where applicable: A. Provide access to, and upon request of Consultant, one copy of all existing relevant information on file at City. City will provide all such materials in a timely manner so as not to cause delays in Consultant's work schedule. 3 r • B. Provide blueprinting and other services through City's reproduction company for bid documents. Consultant will be required to coordinate the required bid documents with City's reproduction company. All other reproduction will be the responsibility of Consultant and as defined above. C. Provide usable life of facilities criteria and information with regards to new facilities or facilities to be rehabilitated. 8. STANDARD OF CARE 8.1 All of the services shall be performed by Consultant or under Consultant's supervision. Consultant represents that it possesses the professional and technical personnel required to perform the services required by this Agreement, and that it will perform all services in a manner commensurate with community professional standards. All services shall be performed by qualified and experienced personnel who are not employed by City, nor have any contractual relationship with City. By delivery of completed work, Consultant certifies that the work conforms to the requirements of this Agreement and all applicable federal, state and local laws and the professional standard of care. 8.2 Consultant represents and warrants to City that it has, shall obtain, and shall keep in full force in effect during the term hereof, at its sole cost and expense, all licenses, permits, qualifications, insurance and approvals of whatsoever nature that is legally required of Consultant to practice its profession. Consultant shall maintain a City of Newport Beach business license during the term of this Agreement. 8.3 Consultant shall not be responsible for delay, nor shall Consultant be responsible for damages or be in default or deemed to be in default by reason of strikes, lockouts, accidents, or acts of God, or the failure of City to furnish timely information or to approve or disapprove Consultant's work promptly, or delay or faulty performance by City, contractors, or governmental agencies. 9. HOLD HARMLESS V) To the fullest \ployees ermitted by law, Consultant shall indemnify, defend and hold harmless City Council, boards and commissions, officers, agents, volunteers, aoyees (collectively, the "Indemnified Parties ") from and again st any aaims (including, without limitation, claims for bodily injury, death or damroperty), demands, obligations, damages, actions, causes of action, sus, judgments, fines, penalties, liabilities, costs and expenses (inci out limitation, attorney's fees, disbursements and court costs) of evend ature whatsoever (individually, a Claim; collectively, "Claims "), whiarise m or in any manner relate (directly or indirectly) to 4 0 • ,d any breach f the terms and conditions of this Agreement, any work performed or services p ided under this Agreement including, without limitation, defects in workmanship o materials or Consultant's presence or activities conducted on the Project (inclu 'ng the negligent and /or willful acts, errors and/or omissions of Consultant, its p cipals, officers, agents, employees, vendors, suppliers, consultants, subcon ctors, anyone employed directly or indirectly by any of them or for whose acts ey maybe liable or any or all of them). Notwithstanding the foreg ' g, nothing herein shall be construed to require Consultant to indemnify the lhqemnified Parties from any Claim arising from the sole negligence or willful misco uct of the Indemnified Parties. Nothing in this indemnity shall be construed as thorizing any award of attorney's fees in any action on or to enforce the terms o his Agreement. This indemnity shall apply to all claims and liability regardles of whether any insurance policies are applicable. The policy limits do not as a limitation upon the amount of an indemnification to be provided by the Co 10. INDEPENDENT CONTRACTOR It is understood that City retains Consultant on an independent contractor basis and Consultant is not an agent or employee of City. The manner and means of conducting the work are under the control of Consultant, except to the extent they are limited by statute, rule or regulation and the expressed terms of this Agreement. Nothing in this Agreement shall be deemed to constitute approval for Consultant or any of Consultant's employees or agents, to be the agents or employees of City. Consultant shall have the responsibility for and control over the means of performing the work, provided that Consultant is in compliance with the terms of this Agreement. Anything in this Agreement that may appear to give City the right to direct Consultant as to the details of the performance or to exercise a measure of control over Consultant shall mean only that Consultant shall follow the desires of City with respect to the results of the services. 11. COOPERATION Consultant agrees to work closely and cooperate fully with City s designated Project Administrator and any other agencies that may have jurisdiction or interest in the work to be performed. City agrees to cooperate with the Consultant on the Project. 12. CITY POLICY Consultant shall discuss and review all matters relating to policy and Project direction with City's Project Administrator in advance of all critical decision points in order to ensure the Project proceeds in a manner consistent, with City goals and policies. 5 • 13. PROGRESS r Consultant is responsible for keeping the Project Administrator and /or his/her duly authorized designee informed on a regular basis regarding the status and progress of the Project, activities performed and planned, and any meetings that have been scheduled or are desired. 14. INSURANCE fthout limiting Cont's indemnification of City, and prior to commencement of rk Consultant shall obtain, provide and maintain at its own expense during the rm of this Agreement, a policy or policies of liability insurance of the type and a counts described below and in a form satisfactory to City. A. Ce 'ricates of Insurance. Consultant shall provide certificates of insu \peit. original endorsements to City as evidence of the insurance coveuired herein. Insurance'certificates must be approved by City'nager prior to commencement of performance or issuance of a Current certification of insurance shall be kept on file with City s during the term of this Agreement. B. Signature. A krson authorized by the insurer to bind coverage on its behalf shall sign Nrtification of all required policies. C. Acceptable Insurers. All insurance company cu n to transact business of assigned policyholders' P Category Class VII (or lai Best's Key Rating Guide, Manager. D. Coverage Requirements. insurance policies shall be issued by an / authorized by the Insurance Commissioner ;urance in the State of California, with an mg of A (or higher) and Financial Size e in accordance with the latest edition of n e s otherwise approved by the City's Risk i. Workers' Compensation Cove e. Consultant shall maintain Workers' Compensation Insura a and Employer's Liability Insurance for his or her employees accordance with the laws of the State of California. In addition, C \allthe shall require each subcontractor to similarly maintain s' Compensation Insurance and Employer's Liability Ins accordance with the laws of the State of California for subcontractor's employees. Any notice of cancellation- renewal of all Workers' Compensation policies must be receiv d by City at least thirty (30) calendar days (10 calendar days wrift notice of non- payment of premium) prior to such change. The in er shall agree to waive all rights of subrogation against City, its omcers, agents, N • i employees and volunteers for losses arising from work performed V Consultant for City. ii. Gerl ral Liabilitv Coverage. Consultant shall maintain commercial gene \the y insurance in an amount not less than one million dolla0,000) per occurrence for bodily injury, personal injuryproperty damage, including without limitation, contrbility. If commercial general liability insurance or other h a general aggregate limit is used, either the general aggr shall apply separately to the work to be performed undere ent, or the general aggregate limit shall be at least reo 'red occurrence limit. automobile insurance c ver for al l activities of the Con u work to be performed un le any owned, hired, non -owne less than one million dollars each occurrence. a. Consultant shall maintain )odily injury and property damage arising out of or in connection with Agreement, including coverage for rented vehicles, in an amount not 000,000) combined single limit for iv. Professional Errors and Omissions surance. Consultant shall A�ntain professional errors and o sions insurance, which ers the services to be performed connection with this g ement in the minimum amount o one million dollars ($1, 0,000). E. Endorsements. Each general liability and automobile liability insurance policy shall be a orsed with the following specific language: L The City, its lected or appointed officers, officials, employees, agents and volu eers are to be covered as additional insureds with respect to liability rising out of work performed by or on behalf of the Consultant. ii. This policy shall be co sidered primary insurance as respects to City, its elected or app ed officers, officials, employees, agents and volunteers as respect o all claims, losses, or liability arising directly or indirectly from th Consultant's operations or services provided to City. Any insuranN maintained by City, including any self- insured retention City may Nve, shall be considered excess insurance only and not contributo with the insurance provided hereunder. 7 15. 16. • 9 iii. This insurance shall act for each insured and additional insured as hough a separate policy had been written for each, except with r ect to the limits of liability of the insuring company. iv. The in rer waives all rights of subrogation against City, its elected or appoin d officers, officials, employees, agents and volunteers. V. Any failure to omply with reporting provisions of the policies shall not affect cov ge provided to City, its elected or appointed officers, officials, a loyees, agents or volunteers. vi. The insurance provide by this policy shall not be suspended, voided, canceled, or re in coverage or in limits, by either party except after thirty ( calendar days (10 calendar days written notice of non - paymen f premium) written notice has been received by City. F. Timely Notice of Claims. Consultant shall ive City prompt and timely notice of claim made or suit instituted adsin out of or resulting from Consultant's performance under this Agreem G. Additional Insurance. Consultant shall also procure nd -Makt h, at its own cost and expense, any additional kinds of insuran , which in its own judgment may be necessary for its proper protection an prosecution of the work. PROHIBITION AGAINST ASSIGNMENTS AND TRANSFERS Except as specifically authorized under this Agreement, the services to be provided under this Agreement shall not be assigned, transferred contracted or subcontracted out without the prior written approval of City. Any of the following shall be construed as an assignment: The sale, assignment, transfer or other disposition of any of the issued and outstanding capital stock of Consultant, or of the interest of any general partner or joint venturer or syndicate member or cotenant if Consultant is a partnership or joint- venture or syndicate or cotenancy, which shall result in changing the control of Consultant. Control means fifty percent (50 %) or more of the voting power, or twenty -five percent (25 %) or more of the assets of the corporation, partnership or joint- venture. SUBCONTRACTING The parties recognize that a substantial inducement to City for entering into this Agreement is the professional reputation, experience and competence of Consultant. Assignments of any or all rights, duties or obligations of the Consultant under this Agreement will be permitted only with the express written E 0 0 consent of City. Consultant shall not subcontract any portion of the work to be performed under this Agreement without the prior written authorization of City. 17. OWNERSHIP OF DOCUMENTS Each and every report, draft, map, record, plan, document and other writing produced (hereinafter "Documents "), prepared or caused to be prepared by Consultant, its officers, employees, agents and subcontractors, in the course of implementing this Agreement, shall become the exclusive property of City, and City shall have the sole right to use such materials in its discretion without further compensation to Consultant or any other party. Consultant shall, at Consultant's expense, provide such Documents to City upon prior written request. Documents, including drawings and specifications, prepared by Consultant pursuant to this Agreement are not intended or represented to be suitable for reuse by City or others on any other project. Any use of completed Documents for other projects and any use of incomplete Documents without specific written authorization from Consultant will be at City's sole risk and without liability to Consultant. Further, any and all liability arising out of changes made to Consultant's deliverables under this Agreement by City or persons other than Consultant is waived against Consultant and City assumes full responsibility for such changes unless City has given Consultant prior notice and has received from Consultant written consent for such changes. 18. CONFIDENTIALITY All Documents, including drafts, preliminary drawings or plans, notes and communications that result from the services in this Agreement, shall be kept confidential unless City authorizes in writing the release of information. 19. INTELLECTUAL PROPERTY INDEMNITY The Consultant shall defend and indemnify City, its agents, officers, representatives and employees against any and all liability, including costs, for infringement of any United States' letters patent, trademark, or copyright infringement, including costs, contained in Consultant's drawings and specifications provided under this Agreement. 20. RECORDS Consultant shall keep records and invoices in connection with the work to be performed under this Agreement. Consultant shall maintain complete and accurate records with respect to the costs incurred under this Agreement and any services, expenditures and disbursements charged to City, for a minimum period of three (3) years, or for any longer period required by law, from the date of final payment to Consultant under this Agreement. All such records and • • invoices shall be clearly identifiable. Consultant shall allow a representative of City to examine, audit and make transcripts or copies of such records and invoices during regular business hours. Consultant shall allow inspection of all work, data, Documents, proceedings and activities related to the Agreement for a period of three (3) years from the date of final payment to Consultant under this Agreement. 21. WITHHOLDINGS City may withhold payment to Consultant of any disputed sums until satisfaction of the dispute with respect to such payment. Such withholding shall not be deemed to constitute a failure to pay according to the terms of this Agreement. Consultant shall not discontinue work as a result of such withholding. Consultant shall have an immediate right to appeal to the City Manager or his/her designee with respect to such disputed sums. Consultant shall be entitled to receive interest on any withheld sums at the rate of return that City earned on its investments during the time period, from the date of withholding of any amounts found to have been improperly withheld. 22. ERRORS AND OMISSIONS In the event of errors or omissions that are due to the negligence or professional inexperience of Consultant which result in expense to City greater than what would have resulted if there were not errors or omissions in the work accomplished by Consultant, the additional design, construction and /or restoration expense shall be borne by Consultant. Nothing in this paragraph is intended to limit City's rights under the law or any other sections of this Agreement. 23. CITY'S RIGHT TO EMPLOY OTHER CONSULTANTS City reserves the right to employ other Consultants in connection with the Project. 24. CONFLICTS OF INTEREST The Consultant or its employees may be subject to the provisions of the California Political Reform Act of 1974 (the "Act "), which (1) requires such persons to disclose any financial interest that may foreseeably be materially affected by the work performed under this Agreement, and (2) prohibits such persons from making, or participating in making, decisions that will foreseeably financially affect such interest. If subject to the Act, Consultant shall conform to all requirements of the Act. Failure to do so constitutes a material breach and is grounds for immediate termination of this Agreement by City. Consultant shall indemnify and hold im 0 harmless City for any and all claims for damages resulting from Consultant's violation of this Section. 25. NOTICES All notices, demands, requests or approvals to be given under the terms of this Agreement shall be given in writing, and conclusively shall be deemed served when delivered personally, or on the third business day after the deposit thereof in the United States mail, postage prepaid, first -class mail, addressed as hereinafter provided. All notices, demands, requests or approvals from Consultant to City shall be addressed to City at: Administrative Services Department City of Newport Beach 3300 Newport Boulevard Newport Beach, CA, 92663 Phone: 949 - 644 -3123 Fax: 949 - 644 -3339 All notices, demands, requests or approvals from CITY to Consultant shall be addressed to Consultant at: Phil Batchelor and Associates P. O. Box 3213 Danville, CA 94526 Phone: 925 - 820 -7861 26. TERMINATION In the event that either party fails or refuses to perform any of the provisions of this Agreement at the time and in the manner required, that party shall be deemed in default in the performance of this Agreement. If such default is not cured within a period of two (2) calendar days, or if more than two (2) calendar days are reasonably required to cure the default and the defaulting party fails to give adequate assurance of due performance within two (2) calendar days after receipt of written notice of default, specifying the nature of such default and the steps necessary to cure such default, and thereafter diligently take steps to cure the default, the non - defaulting party may terminate the Agreement forthwith by giving to the defaulting party written notice thereof. Notwithstanding the above provisions, City shall have the right, at its sole discretion and without cause, of terminating this Agreement at any time by giving seven (7) calendar days prior written notice to Consultant. In the event of termination under this Section, City shall pay Consultant for services satisfactorily performed and costs incurred up to the effective date of termination for which Consultant has not been previously paid. On the effective date of 11 0 • termination, Consultant shall deliver to City all reports, Documents and other information developed or accumulated in the performance of this Agreement, whether in draft or final form. 27. COMPLIANCE WITH ALL LAWS Consultant shall at its own cost and expense comply with all statutes, ordinances, regulations and requirements of all governmental entities, including federal, state, county or municipal, whether now in force or hereinafter enacted. In addition, all work prepared by Consultant shall conform to applicable City, county, state and federal laws, rules, regulations and permit requirements and be subject to approval of the Project Administrator and City. 28. WAIVER A waiver by either party of any breach, of any term, covenant or condition contained herein shall not be deemed to be a waiver of any subsequent breach of the same or any other term, covenant or condition contained herein, whether of the same or a different character. 29. INTEGRATED CONTRACT This Agreement represents the full and complete understanding of every kind or nature whatsoever between the parties hereto, and all preliminary negotiations and agreements of whatsoever kind or nature are merged herein. No verbal agreement or implied covenant shall be held to vary the provisions herein. 30. CONFLICTS OR INCONSISTENCIES In the event there are any conflicts or inconsistencies between this Agreement and the Scope of Services or any other attachments attached hereto, the terms of this Agreement shall govern. 31. INTERPRETATION The terms of this Agreement shall be construed in accordance with the meaning of the language used and shall not be construed for or against either party by reason of the authorship of the Agreement or any other rule of construction which might otherwise apply. 32. AMENDMENTS This Agreement may be modified or amended only by a written document executed by both Consultant and City and approved as to form by the City Attorney. 12 • 33. SEVERABILITY 11 If any term or portion of this Agreement is held to be invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions of this Agreement shall continue in full force and effect. 34. CONTROLLING LAW AND VENUE The laws of the State of California shall govern this Agreement and all matters relating to it and any action brought relating to this Agreement shall be adjudicated in a court of competent jurisdiction in the County of Orange. 35. EQUAL OPPORTUNITY EMPLOYMENT Consultant represents that it is an equal opportunity employer and it shall not discriminate against any subcontractor, employee or applicant for employment because of race, religion, color, national origin, handicap, ancestry, sex or age. IN WITNESS WHEREOF, the parties have caused this Agreement to be executed on the day and year first written above. APPROVED AS TO FORM: G ✓ City Attorney for the City of Newport Beach ATTEST: By;. &" - '�Mw,' jr LaVonne Harkless, City Clerk a CITY OF NEWPORT BEACH, A Municipal Corporation By: ...��- City Manager for the City of Newport Beach CONSULTANT: By: 1 J tZ (Corporate Officer) Title: 0 w AJCA Print Name: Phil Batchelor Attachments: Exhibit A – Scope of Services Exhibit B – Schedule of Billing Rates 13 0 Exhibit A Phil Batchelor and Associates P. O. Box 3213 Danville California 94526 (925) 820 7861 philbatchelor@sbcglobaL net Proposal for Assisting the City of Newport Beach with its Services and Performance Benchmarking Initiative Introduction: A successful effort to raise the bar of excellence in the service delivery systems in Newport Beach requires that it be a comprehensive endeavor that includes internal as well as external resources working together. It can not be an exhaustive one -time thrust that reaches an apex and then wanes and gradually returns to it original starting point. This effort will be seen to have been worth the sacrifice when it ultimately becomes a natural part of the thinking and feelings of every employee and person that works for and is associated with the City of Newport Beach. This will be accomplished by continuing to stimulate and cultivate a culture that promotes excellence. Success will be achieved by embracing the organizational values that have been adopted by the city and using them as parameters to establish goals in each of the program areas that the city sponsors. Agreed upon performance measures can be developed that will provide the means to monitor the progress that is being made to achieve each of the goals. Performance measures should be designed to measure results not efforts and need to be established at a level that will continue to stimulate a reach for excellence. Once performance measures are established a continuous evaluation process should be put into place to measure progress and provide correction, coaching and counseling as needed. This process must also have the ability to recognize and reward meritorious service in a timely manner. In order to pursue its goal of continuing to raise the bar of excellence the City of Newport Beach may want to consider the following three objectives: Objective One: Understand the level of satisfaction that the citizens of Newport Beach have with the services that are being provided to them. Objective Two: Establish preliminary goals for each of the program areas that the city provides by setting performance measurements that will provide competent, responsive and courteous services to the public in the most cost effective and efficient manner possible. 1 0 Objective Three: Perform an assessment of the existing service delivery systems to determine what actions should be taken to improve the overall productivity of the organization, systems, procedures, staffing, facilities and operations of the City of Newport Beach. This should include recommendations for adjustments of the preliminary goals set in Objective Two, and for prioritization of major actions. Objective One: Understand the level of satisfaction that the citizens of Newport Beach have with the services that are being provided to them. The citizens of the City of Newport Beach are the customers who are being served by the employees who operate the city government and the ones' whose taxes pay for the cost of providing these services. These citizens have a right to expect that their city government will be operated in a competent, courteous, responsive manner and that their tax dollars will be utilized in an effective and efficient manner. It is important to ask the citizens on a regular basis how they feel they are being served. Do they feel the city is serving them well? Are they treated with respect when they do business or have contact with city employees? Do they believe that the services they receive are effectively administered? Are the city departments providing services in a responsive manner? Are the facilities and infiastructure at a level that is satisfactory to them? How do they evaluate the level of services received from the various city departments? Are there services that are not currently being provided that the citizens believe should be provided? How can the city know what the level of satisfaction is among its customers if it does not ask them? Asking the citizens what they think shows that the city respects them and values their opinions. It can also provide a database of what is working well and what needs to improve. This information can serve as valuable input to help the city staff to focus their attention and give priority to those areas of service that need the most assistance. The information that is obtained from a citizens survey will not only help the city to know how it is doing today but will serve as a baseline to measure against in the future. The data obtained from the survey can also be used to compare the satisfaction level of the citizens of Newport Beach with the opinion ratings of citizens from other cities of comparable size, demographics, geography or economic basis. There are a number of organizations that specialize in surveying the opinions of citizens through mail surveys and /or interviews. Some of these organizations have compiled large databases that allow for comparisons against national norms. Objective One: actions to be taken by the consultant: • Prepare an RFQ to be sent out to qualified organizations that can perform a survey of the citizens of the city. 6 • Send the RFQ to those organizations that are qualified to conduct a statistically balanced and representative sample of the opinions of the citizens of Newport Beach. • Work with city staff to screen the number of qualified survey organizations down to a number that will be interviewed by the RFQ Committee. • Conduct a reference check to determine the satisfaction level of other entities that have previously utilized each firm that will be invited to an interview. • Meet with the RFQ Committee to select the firm to perform the survey. • Once a qualified firm has been selected, work with the RFQ Committee to: • Identify the methodology that will be utilized to survey the citizens. • Identify how many people will be surveyed. • Identify what demographics will be considered. • Identify key customer groups other than residents (e.g. architects and engineers who work with the Planning and Building Departments) that should also be surveyed in addition to the general populace. • Identify what questions will be asked. • Identify how many attempts will be made to obtain information from each citizen that is randomly selected for interview. • Identify when the survey will be conducted. • Identify which jurisdictions will be identified as appropriate for comparison purposes. • Determine an agreed upon price for the engagement with a provision or option to perform follow -up surveys in the future. • Determine the format and content of the final report that will be delivered to the Finance Committee and ultimately to the entire City Council. • Establish a deadline for completion and delivery of the final report. • Coordinate with staff the preparation of an engagement agreement. • Obtain approval from the Finance Committee /City Council or the City Manager as appropriate to enter into an engagement agreement. • Coordinate with the survey organization's contact representative to determine the progress that is being made to stay on schedule as the survey is underway and keep the RFQ Committee members apprised of their progress. • Schedule a presentation before the Finance Committee and the City Council for the survey firm to report their findings. • Contact or visit other agencies that have completed citizen surveys and obtain any information that will benefit the City of Newport Beach in this process. Timeline for Objective One: The variables that will impact the timeline needed to complete the tasks outlined above for Objective One include the length of time required to sign an agreement with the consultant, the availability of the members of the RFQ Committee for meetings to interview prospective firms, the availability of the firm selected to begin the survey process, the complexity of the survey scope that is to be negotiated and the decision to 3 9 0 use mail, phone calls or both to survey the citizens. sixty to ninety day time period. Objective Two: Establish preliminary goals for the program areas that the city provides by setting performance measurements that will provide competent, responsive and courteous services to the public in the most cost effective and efficient manner possible. Once the results of the survey are available, the city will be better informed of how the citizens feel about the services that are provided to them by the city. Comparative data from other cities will also be available. This will enable the staff to begin the process of reviewing and preparing appropriate performance measures for those services that will be benchrnarked in the future. It is important for each of the city departments to give thought to the areas that are to establish performance measures. However, care should be taken to not identify too many measures for any one department as it will be overwhelming. It is well to remember that too many priorities equates to none at all and the city does not have to establish all their performance measures the first year. Once performance is deemed to be acceptable in one area additional measures can be added in the future as other program areas receive the spotlight. Top performers that utilize "best practices" can also be identified and efforts can be made to communicate with them to obtain an understanding of what they do and how they do it. A great deal of information may be obtained from them by email or from visiting their websites and in some cases it might be worth the effort to visit one or more of these jurisdictions. After the city has had an opportunity to consider those areas that should be benchmarked they are in a position to work with those firms that specialize in determining performance measures. There are a number of firms that have established large databases of performance measures that are available to assist the city. They can provide detailed lists of measures that have been used by other jurisdictions and can help the city to determine which performance measures should be utilized to meet the objectives and goals of the city. These firms can also assist the city in identifying a number of other jurisdictions that can be used for comparative purposes. Most of these firms are also able to provide training for the city staff and some will provide ongoing maintenance to help their customers continue to have access to their databases. Objective Two: actions to be taken by the consultant: • Prepare an RFQ to be sent to qualified firms that have had substantial experience in establishing performance measures in cities and counties. 4 0 0 • Send the RFQ to those organizations that are qualified to work with the city to provide a wide variety of performance measures, training and has a wide sampling of other jurisdictions that can be used for comparison purposes. • Work with city staff to screen the number of qualified organizations down to a number that will be interviewed by the RFQ Committee. • Conduct a reference check to determine the satisfaction level of other entities that have previously utilized each firm that will be invited to an interview. • Meet with the RFQ Committee to select a firm that will provide performance measures, training and work with city staff to assist as needed in the implementation process. • Once a qualified organization has been selected, work with the RFQ Committee to: • Identify the methodology that will be utilized to establish performance measures for the city. • Identify those areas that need to be measured based on the input from staff and the results of the citizens' survey. • Identify the jurisdictions that will be selected for comparison purposes. • Identify the amount of training that will be required by the city staff in order to establish and maintain their own performance measures in the future. • Identify the desirability of continuing to work with the selected firm to maintain, monitor and adjust the performance measures in the future. • Determine an agreed upon price for the engagement with a provision or option to perform additional work in the future if needed. • Determine the format and content of the deliverables that are to be prepared by the firm that is selected. • Establish a deadline for completion and a delivery date for the final report. • Consult with the City Manager to determine a schedule for the engagement of the city departments to complete the work required by the consultant in developing the performance measures. • Coordinate the preparation of an engagement agreement. • Obtain approval from the Finance Committee and the City Council to enter into an engagement agreement. • Coordinate with the firm that is selected to determine a recommended plan to institute performance measures for each of its departments. • Contact or visit other agencies that have successfully implemented performance measures in order to gain an understanding of the best approach to doing the same in the City of Newport Beach. • Keep the Finance Committee members apprised of the progress and adherence to the agreed upon timelines and schedule. • Schedule an initial presentation before the Finance Committee and a final presentation before the City Council for the firm and the city to report their findings. 0 E 0 0 Timeline for Objective Two: The variables that will impact the timeline needed to complete Objective Two include the length of time the survey firm takes to complete the citizens survey and the other tasks associated with Objective One, the amount of time needed by staff to determine what performance measures would be desirable, the availability of the firm selected to begin their engagement to help establish performance measures, provide comparison listings, and databases. It should be noted that the RFQ for this objective can be completed and distributed while the work is still underway for Objective One. Depending on the impact of the factors mentioned above. Objective Two tasks would normally be completed within a sixty to ninety day time period, largely concurrently with Objective One. Objective Three: Perform an assessment of the existing service delivery systems to determine what actions should be taken to improve the overall productivity of the organization, systems, procedures, staffing, facilities and operations of the City of Newport Beach. First it is important that the citizen survey information be understood as to how the public perceives the city is doing in serving their needs. Next this data is analyzed and used in conjunction with the preliminary goals and performance measures established in Objective Two to establish performance measures and benchmarks to be used in the assessment. Then the city is in a position to undertake a performance assessment of the city's operations and organization. Even if the city is diligent in establishing performance measures and benchmarks, the attainment of excellence will depend on the capability of the city's service delivery systems to achieve this noteworthy goal. There are many firms that specialize in helping public agencies assess the overall effectiveness and efficiency of their organization and operations. It is an established practice in both the private and public sectors to assess productivity capacity by scheduling periodic audits or assessments by independent third parties that specialize in making these reviews. An operations audit or assessment may include an analysis or diagnostic review of operations, budget, organizational structure, the effectiveness of staffing levels, workload assignments, shift scheduling, management practices and policies, systems review including the use of technology and communication systems, an examination of the financial viability of the city and a review of the checks, balances and division of responsibilities within the city. The scope of audit and assessment work could include a very wide range of tasks and assignments. These would need to be defined by working with the members of the City Council and the City Manager, the Administrative Services Director, department heads and other staff members. The firm that is selected to perform the assessment could be asked to provide a number of deliverables such as the following: 31 • • • Recommendations to improve the efficiency and effectiveness of each of the city departments. • Recommendations on how each department could increase its productivity by revising its organizational structure, deleting duplication or ineffective processes or procedures. • Recommendations that will help position the city to meet future challenges and needs in the community. • Recommendations of any actions that will prepare the city to be better able to handle emergency responses. • Recommendations for the potential to eliminate, streamline or consolidate services. • Recommendations for the development and implementation of effective training programs. • Recommendations for the best utilization of city personnel and the adequacy of staffing levels. • Recommendations that would allow the city to enhance collaboration efforts with other public, private, non profit, regional, state, or federal agencies. • Recommendations on how to improve the efficiency and effectiveness of its information technology systems. • Recommendations to improve internal controls and safeguards in the city's finance systems and procedures. • Recommendations that will assist the city in developing an environment that cultivates respect among staff members and between staff members and the public, promotes integrity and endorses the pursuit of excellence. • Recommendations that will evaluate options for service, i.e. increasing services in one department at the risk of reducing services in another department. • Recommendations to revise the preliminary goals set in Objective Two. • Recommendations regarding the need to adopt or revise the city's code of ethics. All recommendations would have to be realistic, include an estimate of the cost of implementation as well as any anticipated savings that would be realized by the city if they are put into place. Objective Three: actions to be taken by the consultant: • Work with the RFP Committee and the city staff to identify the scope of the assessment and to determine the desirable deliverables. • Prepare an RFP to be sent to qualified firms that have had a proven track record of performing comprehensive performance assessments and audits. • Work with city staff to screen the number of qualified organizations down to a number that will be interviewed by the RFP Committee. • Conduct a reference check to determine the satisfaction level of other entities that have previously utilized each firm that will be invited to an interview. • Meet with the RFP Committee to select a firm that will perform the assessment. 7 9 • Once a qualified firm has been selected, work with the RFP Committee to: • Identify the members of the team that will perform the audit and discuss their qualification and level of involvement in the project. • Confirm the timeline and starting date for the team's engagement to begin. • Identify the process that will provide information, data, records and access to the city's book, records and staff. • Review the agreed upon milestones that will be used to measure progress on the project. • Review the agreed upon format and content of the final report and other deliverables that will be provided to the City Council and staff. • Review the details of the agreed upon price for the engagement. • Coordinate the preparation of an engagement agreement. • Obtain approval from the Finance Committee and the City Council to enter into an engagement agreement. • Keep the Finance Committee members apprised of the progress and adherence to the agreed upon timelines and schedule. Schedule an initial presentation before the Finance Committee and a final presentation before the City Council for the assessment firm to report its findings. Timeline for Objective Three: The variables that will impact the timeline needed to complete Objective Three include the length of time needed to complete Objective Two, the availability of the firm selected to perform the assessment as well as the availability of the firm's team members who will be assigned to the project and the complexity of the scope of the assessment. In order to accelerate the process of identifying and awarding a contract to the firm that is to perform the assessment process, the preparation of an RFP should begin prior to the completion of all the work associated with Objective Two. Depending on how comprehensive the scope of the assessment is, this objective would normally be completed within a 90 to 120 day time period from the time the engagement begins. Cost of Consultant: The cost of the consultant services to assist in the process outlined above would be $43,500 plus reimbursement of costs associated with this engagement such as transportation, travel, lodging, copying, printing and mailing, etc. r� Phil Batchelor and Associates Schedule of Billing Rates Cost of Consultant: C� Exhibit B The cost of the consultant services to assist in the process outlined in Exhibit A would be $43,500 plus reimbursement of costs associated with the engagement such as transportation, travel, lodging, copying, printing and mailing, etc. The reimbursable costs are estimated to be $6,000. Payment Schedule: Upon Consultant completing the tasks required for Objective One, Consultant will be paid one third of the consultant services cost ($14,500). Upon Consultant completing the tasks required for Objective Two, Consultant will be paid one third of the consultant services cost ($14,500). Upon Consultant completing the tasks required for Objective Three, Consultant will be paid one third of the consultant services cost ($14,500). City shall defend and indemnify Consultant against and for all losses sustained by Consultant in direct and indirect consequences of the discharge of his duties on the City's behalf for that period of time commencing July 20, 2007 and continuing until the Consultant leaves the City's service. In performing services for the City, the Consultant shall be regarded as an employee of the City for purposes of the Tort Claims Act (Gov. Code Section 825 et seq.) and protected by the same immunities and right to indemnification and defense extended by that Act to public employees. !UL 10 211101 c- 3851 CITY OF NEWPORT BEACH CITY COUNCIL STAFF REPORT Agenda Item No. io July 10, 2007 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: City Manager's Office Homer Bludau, City Manager 949/644 -3000 or hbludau@city.newport- beach.ca.us Administrative Services Department Dennis C. Danner, Administrative Services Director (949) 644.3123 ddanner@city.newport-beach.ca.us SUBJECT: Consultant Services for Performance Benchmarking Initiative ISSUE: Should the City retain the services of a consultant to assist with its Services and Performance Benchmarking Initiative? Retain the services of Phil Batchelor and Associates to assist the City with its Services and Performance Benchmarking Initiative. DISCUSSION: On Saturday, March 24, 2007, the City Council held a Special Meeting in the Friends Room of the Central Library to consider establishing its priorities for the upcoming fiscal year (July 2, 2007 — June 30, 2008). Public input was obtained throughout the meeting. At a regular City Council Meeting held on April 24, 2007, the City Council formally adopted the priorities established at the Special Meeting of March 24th. One of the priorities was defined as follows: Institute an Organizational Performance Improvement Effort through the identification of service benchmarks and data gathering to measure organizational effectiveness. This priority was referred to the City Council Finance Committee to further define the initiative and to develop a scope of work and timeframe to achieve the objectives of the initiative. To date the City Council Finance Committee has held three meetings to discuss the initiative and determine how to proceed with the scope of work. 0 0 Consultant Services for Performance Benchmarking Initiative July 10, 2007 . Page 2 On June 15, 2007, the Finance Committee met with consultant Phil Batchelor to discuss the initiative and hear his thoughts on how to proceed to successfully implement the goals of the initiative. Mr. Batchelor submitted a proposed scope of work to assist the City with the initiative which was further discussed at a Finance Committee meeting held on June 29, 2007. Mr. Batchelor is proposing to assist the City in three key areas: 1. Understand the level of satisfaction that the citizens of Newport Beach have with the City services that are being provided to them. 2. Establish goals for each of the program areas that the City provides by setting performance measurements that will provide competent, responsive and courteous services to the public in the most cost effective and efficient manner possible. 3. Perform an assessment of the existing service delivery systems to determine what actions should be taken to improve the overall productivity of the organization, systems, procedures, staffing, facilities and operations of the City of Newport Beach. To accomplish these three goals Mr. Batchelor has agreed to assist the City by preparing Requests for Qualifications and /or Requests for Proposals from qualified firms to perform these tasks, to review and evaluate the proposals, to interview the qualified firms and to guide the City through the process. The full scope of work proposed by Mr. Batchelor is attached to this report. The cost of the consultant services to assist in this process is $43,500 plus reimbursement of costs associated with the engagement such as transportation, travel, lodging, copying, printing and mailing, etc. The timeline to conclude the initiative is estimated at 7 — 10 months, although it is believed some of the work can occur concurrently. To clearly understand the satisfaction the citizens of Newport Beach have with City services, the first step in the process would be to conduct a survey with the citizens to measure their level of satisfaction. After this initial survey, the City Council will determine how to proceed with the remaining goals of the initiative. Submitted by: Z�4�--4 ...- Homer L. Bludatf , City Manager Attachment Consultant Proposal Dennis C. Danner, Administrative Services Director 0 0 Phil Batchelor and Associates P. O. Box 3213 Danville California 94526 (925) 820 7861 philbatchelorQsbcglobal.net Proposal for Assisting the City of Newport Beach with its Services and Performance Benchmarldng Initiative Introduction: A successful effort to raise the bar of excellence in the service delivery systems in Newport Beach requires that it be a comprehensive endeavor that includes internal as well as external resources working together. It can not be an exhaustive one -time thrust that reaches an apex and then wanes and gradually returns to it original starting point. This effort will be seen to have been worth the sacrifice when it ultimately becomes a natural part of the thinking and feelings of every employee and person that works for and is associated with the City of Newport Beach. This will be accomplished by continuing to stimulate and cultivate a culture that promotes excellence. Success will be achieved by embracing the organizational values that have been adopted by the city and using them as parameters to establish goals in each of the program areas that the city sponsors. Agreed upon performance measures can be developed that will provide the means to monitor the progress that is being made to achieve each of the goals. Performance measures should be designed to measure results not efforts and need to be established at a level that will continue to stimulate a reach for excellence. Once performance measures are established a continuous evaluation process should be put into place to measure progress and provide correction, coaching and counseling as needed. This process must also have the ability to recognize and reward meritorious service in a timely manner. In order to pursue its goal of continuing to raise the bar of excellence the City of Newport Beach may want to consider the following three objectives: Objective One: Understand the level of satisfaction that the citizens of Newport Beach have with the services that are being provided to them. Objective Two: Establish preliminary goals for each of the program areas that the city provides by setting performance measurements that will provide competent, responsive and courteous services to the public in the most cost effective and efficient manner possible. Objective Three: Perform an assessment of the existing service delivery systems to determine what actions should be taken to improve the overall productivity of the organization, systems, procedures, staffing, 1 0 0 facilities and operations of the City of Newport Beach. This should include recommendations for adjustments of the preliminary goals set in Objective Two, and for prioritization of major actions. Objective One: Understand the level of satisfaction that the citizens of Newport Beach have with the services that are being provided to them. The citizens of the City of Newport Beach are the customers who are being served by the employees who operate the city government and the ones' whose taxes pay for the cost of providing these services. These citizens have a right to expect that their city government will be operated in a competent, courteous, responsive manner and that their tax dollars will be utilized in an effective and efficient manner. It is important to ask the citizens on a regular basis how they feel they are being served. Do they feel the city is serving them well? Are they treated with respect when they do business or have contact with city employees? Do they believe that the services they receive are effectively administered? Are the city departments providing services in a responsive manner? Are the facilities and infrastructure at a level that is satisfactory to them? How do they evaluate the level of services received from the various city departments? Are there services that are not currently being provided that the citizens believe should be provided? How can the city know what the level of satisfaction is among its customers if it does not ask them? Asking the citizens what they think shows that the city respects them and values their opinions. It can also provide a database of what is working well and what needs to improve. This information can serve as valuable input to help the city staff to focus their attention and give priority to those areas of service that need the most assistance. The information that is obtained from a citizens survey will not only help the city to know how it is doing today but will serve as a baseline to measure against in the future. The data obtained from the survey can also be used to compare the satisfaction level of the citizens of Newport Beach with the opinion ratings of citizens from other cities of comparable size, demographics, geography or economic basis. There are a number of organizations that specialize in surveying the opinions of citizens through mail surveys and/or interviews. Some of these organizations have compiled large databases that allow for comparisons against national norms. Objective One: actions to be taken by the consultant: • Prepare an RFQ to be sent out to qualified organizations that can perform a survey of the citizens of the city. • Send the RFQ to those organizations that are qualified to conduct a statistically balanced and representative sample of the opinions of the citizens of Newport Beach. 2 I • • • Work with city staff to screen the number of qualified survey organizations down to a number that will be interviewed by the RFQ Committee. • Conduct a reference check to determine the satisfaction level of other entities that have previously utilized each firm that will be invited to an interview. • Meet with the RFQ Committee to select the firm to perform the survey. • Once a qualified firm has been selected, work with the RFQ Committee to: • Identify the methodology that will be utilized to survey the citizens. • Identify how many people will be surveyed. • Identify what demographics will be considered. • Identify key customer groups other than residents (e.g. architects and engineers who work with the Planning and Building Departments) that should also be surveyed in addition to the general populace. • Identify what questions will be asked. • Identify how many attempts will be made to obtain information from each citizen that is randomly selected for interview. • Identify when the survey will be conducted. • Identify which jurisdictions will be identified as appropriate for comparison purposes. • Determine an agreed upon price for the engagement with a provision or option to perform follow -up surveys in the future. • Determine the format and content of the final report that will be delivered to the Finance Committee and ultimately to the entire City Council. • Establish a deadline for completion and delivery of the final report. • Coordinate with staff the preparation of an engagement agreement. • Obtain approval from the Finance Committee/City Council or the City Manager as appropriate to enter into an engagement agreement. • Coordinate with the survey organization's contact representative to determine the progress that is being made to stay on schedule as the survey is underway and keep the RFQ Committee members apprised of their progress. • Schedule a presentation before the Finance Committee and the City Council for the survey firm to report their findings. • Contact or visit other agencies that have completed citizen surveys and obtain any information that will benefit the City of Newport Beach in this process. Timeline for Objective One: The variables that will impact the timeline needed to complete the tasks outlined above for Objective One include the length of time required to sign an agreement with the consultant, the availability of the members of the RFQ Committee for meetings to interview prospective firms, the availability of the firm selected to begin the survey process, the complexity of the survey scope that is to be negotiated and the decision to use mail, phone calls or both to survey the citizens. Depending on the impact of the factors mentioned above Obiective One tasks would normally be completed within a sixty to ninety day time period. 3 0 0 Objective Two: Establish preliminary goals for the program areas that the city provides by setting performance measurements that will provide competent, responsive and courteous services to the public in the most cost effective and efficient manner possible. Once the results of the survey are available, the city will be better informed of how the citizens feel about the services that are provided to them by the city. Comparative data from other cities will also be available. This will enable the staff to begin the process of reviewing and preparing appropriate performance measures for those services that will be benchmarked in the future. It is important for each of the city departments to give thought to the areas that are to establish performance measures. However, care should be taken to not identify too many measures for any one department as it will be overwhehning. It is well to remember that too many priorities equates to none at all and the city does not have to establish all their performance measures the first year. Once performance is deemed to be acceptable in one area additional measures can be added in the future as other program areas receive the spotlight. Top performers that utilize "best practices" can also be identified and efforts can be made to communicate with them to obtain an understanding of what they do and how they do it. A great deal of information may be obtained from them by email or from visiting their websites and in some cases it aright be worth the effort to visit one or more of these jurisdictions. After the city has had an opportunity to consider those areas that should be benchmarked they are in a position to work with those firms that specialize in determining performance measures. There are a number of firms that have established large databases of performance measures that are available to assist the city. They can provide detailed lists of measures that have been used by other jurisdictions and can help the city to determine which performance measures should be utilized to meet the objectives and goals of the city. These firms can also assist the city in identifying a number of other jurisdictions that can be used for comparative purposes. Most of these firms are also able to provide training for the city staff and some will provide ongoing maintenance to help their customers continue to have access to their databases. Objective Two: actions to be taken by the consultant: • Prepare an RFQ to be sent to qualified firms that have had substantial experience in establishing performance measures in cities and counties. • Send the RFQ to those organizations that are qualified to work with the city to provide a wide variety of performance measures, training and has a wide sampling of other jurisdictions that can be used for comparison purposes. 0 0 0 • Work with city staff to screen the number of qualified organizations down to a number that will be interviewed by the RFQ Committee. • Conduct a reference check to determine the satisfaction level of other entities that have previously utilized each firm that will be invited to an interview. • Meet with the RFQ Committee to select a fine that will provide performance measures, training and work with city staff to assist as needed in the implementation process. • Once a qualified organization has been selected, work with the RFQ Committee to: • Identify the methodology that will be utilized to establish performance measures for the city. • Identify those areas that need to be measured based on the input from staff and the results of the citizens' survey. • Identify the jurisdictions that will be selected for comparison purposes. • Identify the amount of training that will be required by the city staff in order to establish and maintain their own performance measures in the future. • Identify the desirability of continuing to work with the selected firm to maintain, monitor and adjust the performance measures in the future. • Determine an agreed upon price for the engagement with a provision or option to perform additional work in the future if needed. • Determine the format and content of the deliverables that are to be prepared by the firm that is selected. • Establish a deadline for completion and a delivery date for the final report. • Consult with the City Manager to determine a schedule for the engagement of the city departments to complete the work required by the consultant in developing the performance measures. • Coordinate the preparation of an engagement agreement. • Obtain approval from the Finance Committee and the City Council to enter into an engagement agreement. • Coordinate with the firm that is selected to determine a recommended plan to institute performance measures for each of its departments. • Contact or visit other agencies that have successfully implemented performance measures in order to gain an understanding of the best approach to doing the same in the City of Newport Beach. • Keep the Finance Committee members apprised of the progress and adherence to the agreed upon timelines and schedule. • Schedule an initial presentation before the Finance Committee and a final presentation before the City Council for the firm and the city to report their findings. Timeline for Objective Two: The variables that will impact the timeline needed to complete Objective Two include the length of time the survey firm takes to complete the citizens survey and the other tasks 0 0 associated with Objective One, the amount of time needed by staff to determine what performance measures would be desirable, the availability of the firm selected to begin their engagement to help establish performance measures, provide comparison listings, and databases. It should be noted that the RFQ for this objective can be completed and distributed while the work is still underway for Objective One. Denendin¢ on the imaact of the factors mentioned above. Obiective Two tasks would normally be completed within a sixty to ninety day time period, largely concurrently with Objective One. Objective Three: Perform an assessment of the existing service delivery systems to determine what actions should be taken to improve the overall productivity of the organization, systems, procedures, staffing, facilities and operations of the City of Newport Beach. First it is important that the citizen survey information be understood as to how the public perceives the city is doing in serving their needs. Next this data is analyzed and used in conjunction with the preliminary goals and performance measures established in Objective Two to establish performance measures and benchmarks to be used in the assessment. Then the city is in a position to undertake a performance assessment of the city's operations and organization. Even if the city is diligent in establishing performance measures and benchmarks, the attainment of excellence will depend on the capability of the city's service delivery systems to achieve this noteworthy goal. There are many firms that specialize in helping public agencies assess the overall effectiveness and efficiency of their organization and operations. It is an established practice in both the private and public sectors to assess productivity capacity by scheduling periodic audits or assessments by independent third parties that specialize in making these reviews. An operations audit or assessment may include an analysis or diagnostic review of operations, budget, organizational structure, the effectiveness of staffing levels, workload assignments, shift scheduling, management practices and policies, systems review including the use of technology and communication systems, an examination of the financial viability of the city and a review of the checks, balances and division of responsibilities within the city. The scope of audit and assessment work could include a very wide range of tasks and assignments. These would need to be defined by working with the members of the City Council and the City Manager, the Administrative Services Director, department heads and other staff members. The fine that is selected to perform the assessment could be asked to provide a number of deliverables such as the following: • Recommendations to improve the efficiency and effectiveness of each of the city departments. Gal • i • Recommendations on how each department could increase its productivity by revising its organizational structure, deleting duplication or ineffective processes or procedures. • Recommendations that will help position the city to meet future challenges and needs in the community. • Recommendations of any actions that will prepare the city to be better able to handle emergency responses. • Recommendations for the potential to eliminate, streamline or consolidate services. • Recommendations for the development and implementation of effective training programs. • Recommendations for the best utilization of city personnel and the adequacy of staffing levels. • Recommendations that would allow the city to enhance collaboration efforts with other public, private, non profit, regional, state, or federal agencies. • Recommendations on how to improve the efficiency and effectiveness of its information technology systems. • Recommendations to improve internal controls and safeguards in the city's finance systems and procedures. • Recommendations that will assist the city in developing an environment that cultivates respect among staff members and between staff members and the public, promotes integrity and endorses the pursuit of excellence. • Recommendations that will evaluate options for service, i.e. increasing services in one department at the risk of reducing services in another department. • Recommendations to revise the preliminary goals set in Objective Two. • Recommendations regarding the need to adopt or revise the city's code of ethics. All recommendations would have to be realistic, include an estimate of the cost of implementation as well as any anticipated savings that would be realized by the city if they are put into place. Objective Three: actions to be taken by the consultant: • Work with the RFP Committee and the city staff to identify the scope of the assessment and to determine the desirable deliverables. • Prepare an RFP to be sent to qualified firms that have had a proven track record of performing comprehensive performance assessments and audits. • Work with city staff to screen the number of qualified organizations down to a number that will be interviewed by the RFP Committee. • Conduct a reference check to determine the satisfaction level of other entities that have previously utilized each firm that will be invited to an interview. • Meet with the RFP Committee to select a firm that will perform the assessment. • Once a qualified firm has been selected, work with the RFP Committee to: 7 • • • Identify the members of the team that will perform the audit and discuss their qualification and level of involvement in the project. • Confirm the timeline and starting date for the team's engagement to begin. • Identify the process that will provide information, data, records and access to the city's book, records and staff. • Review the agreed upon milestones that will be used to measure progress on the project. • Review the agreed upon format and content of the final report and other deliverables that will be provided to the City Council and staff. • Review the details of the agreed upon price for the engagement. • Coordinate the preparation of an engagement agreement. • Obtain approval from the Finance Committee and the City Council to enter into an engagement agreement. • Keep the Finance Committee members apprised of the progress and adherence to the agreed upon timelines and schedule. Schedule an initial presentation before the Finance Committee and a final presentation before the City Council for the assessment firm to report its findings. Timeline for Objective Three: The variables that will impact the timeline needed to complete Objective Three include the length of time needed to complete Objective Two, the availability of the firm selected to perform the assessment as well as the availability of the firm's team members who will be assigned to the project and the complexity of the scope of the assessment. In order to accelerate the process of identifying and awarding a contract to the firm that is to perform the assessment process, the preparation of an RFP should begin prior to the completion of all the work associated with Objective Two. Depending on how comprehensive the scope of the assessment is, this objective would normally be completed within a 90 to 120 day time period from the time the engagement begins. Cost of Consultant: The cost of the consultant services to assist in the process outlined above would be $43,500 plus reimbursement of costs associated with this engagement such as transportation, travel, lodging, copying, printing and mailing, etc. M