Loading...
15-0804_RALPH ANDERSON & ASSOCIATES_F7_Agenda Report8/4/2015 TO : FROM: DATE: City of San Juan Capistrano Agenda Report Honorable Mayor and Members of td C/ Tom Bokosky, Human Res~an:i'get{ August 4, 2015 F7 SUBJECT: Consideration of Professional Services Agreement for Executive Search Services with Ralph Andersen & Associates; and Budget Adjustment RECOMMENDATION: By motion , 1. Approve a professional services agreement for City Manager search services; and, 2. Approve a budget adjustment of $23,750 from salary and benefit savings to cover the cost of the agreement. EXECUTIVE SUMMARY: At the direction of City Council, staff solicited bids for City Manager search services. The City received bids from four (4) firms and the City Council selected Ralph Andersen & Associates for a flat fee of $23,750 and the search is expected to be completed by November 1, 2015. The cost of these services can be funded through salary and benefit savings. DISCUSSION/ANALYSIS: On July 9, 2015, the City Council directed staff to solicit bids for City Manager search services. On July 15, 2015, the City received bids from the following four (4) executive search firms; Avery Associates, Bob Murray & Associates, Peckham & McKenney and Ralph Andersen & Associates. The City Council has selected Ralph Andersen & Associates to conduct the search for the City's next City Manager. Ralph Andersen & Associates quoted a flat fee of $23,750 for professional services and all related expenses (Attachment 1 ). The search is being led by Mr. James Armstrong and Mr. David Morgan. Each has over 35 years of public sector experience including City Council Agenda Report August 4, 2015 Page 2 of 2 serving as City Mangers for Santa Barbara and Anaheim respectively. The search is expected to take twelve (12) weeks and be completed by November 1, 2015. FISCAL IMPACT: The cost of the professional services agreement is $23,750, which is offset by salary and benefit savings from the vacant positions in the City Manager department through December 31 , 2015. ENVIRONMENTAL IMPACT: Not applicable. PRIOR CITY COUNCIL REVIEW: Not applicable . COMM ISSION/COMMITTEE/BOARD REVIEW AND RECOMMEN DAT IONS : Not applicable . NOTIFICATION: Not applicable . ATTACHMENT(S): Attachment 1 -Proposal Attachment 2 -Professional Services Agreement ( Ralph Andersen & Associates ,_ July 15, 2015 Mayor Derek Reeve and Members of the City Council City of San Juan Capistrano 32400 Paseo Adelanto San Juan Capistrano, California 92675 Via Email: tbokosky@sanjuancapistrano.org Dear Mayor Reeve and Members of the City Council: 5800 Stanford Ranch Road Suite 410 Rocklin, California 95765 916.630.4900 Ralph Andersen & Associates is pleased to submit our proposal to provide executive search services to the City of San Juan Capistrano for the recruitment of the position of City Manager. We look forward to working with the City Council on this important assignment. We feel strongly that our past client relationships will attest to the professionalism of our services. For your further review and consideration, we have included a copy of a recently completed city manager recruitment for the City of Solana Beach. The City of San Juan Capistrano will have Mr. James Armstrong as the Project Director and Mr . David M. Morgan as Co-Project Director on this search for a new City Manager . We believe this engagement will be best served under this leadership with assistance (if needed) by other key members of the Ralph Andersen & Associates' Search Team . We would be happy to meet to discuss the services we offer or to further refine this work plan to meet the City's specific needs. We look forward to your favorable consideration and the opportunity to work with the City of San Juan Capistrano on this important search. Respectfully Submitted, w~~ Heather Renschler President/CEO www .ralphandersen com ( Ralph Andersen & Associates ' . Proposal Summary 5800 Stanford Ranch Road Suite 410 Rocklin , California 95765 916.630.4900 Our Understanding of the Assignment The City Council has requested a proposal to assist in the identification and recruitment of a highly qualified group of candidates for the position of City Manager. In particular, the City Council is seeking a firm with the professional experience to clearly assess the City's needs and formulate a strategy to deliver quality results . At Ralph Andersen & Associates, we believe that gaining a complete understanding of our client's specific objectives and priorities is essential prior to launching any search assignment. This process includes the identification and incorporation of a variety of important details such as the candidate's desired skills and experience as well as the critical "soft skills" related to temperament , personality, management philosophy, and other factors that will ultimately determine the candidate's "fit" with the organization . We therefore begin each search by working closely with your leadership, stakeholders, staff, and when appropriate, your community to ensure a complete picture of the desired candidate pool is developed. Our team-oriented approach matched with this 360 degree perspective means we ensure that a complete understanding of the organization 's mission and culture translates into those specific traits and characteristics necessary to ensure the selected candidate is successful in the position. We understand that the City Council expects aggressive, personalized outreach to identify a diverse and highly qualified applicant pool and a selection process that includes comprehensive candidate reports based on thorough reference and background checks. We will begin with fully detailed profiles of the desired candidate's characteristics and build a recruitment strategy that is tailored to meet the City's specific needs. The resulting outreach and advertising campaign will incorporate the extensive use of personal outreach to recruit a diverse and highly qualified group of candidates. www . ra/phandersen. com Profile of the Firm History of the Firm Ralph Andersen & Associates has been providing practical, responsive executive search and management consulting services to the local public sector and related industries since 1972. With each new assignment, we earn our reputation as the nation's premier local government consulting organization. Ralph Andersen & Associates is a California Corporation and is not a subsidiary nor does it have any subsidiaries. Contact information for the Corporate Office is 5800 Stanford Ranch Road, Suite 410 , Rocklin, California 95765; telephone: (916) 630-4900; fax: (916) 630-4911; website: www.ralphandersen.com; email: info@ralphandersen.com . Ralph Andersen & Associates has more than 43 years of experience conducting executive recruitments for a variety of public sector agencies. The firm currently has 20 employees. Ralph Andersen & Associates serves a nationwide clientele through its Corporate Office in the area of Sacramento (Rocklin), California. Through its network of professionals associated with the firm, Ralph Andersen & Associates also provides services to municipal clients throughout the United States. Our staff of professionals and support staff include acknowledged leaders in their respective fields. Supplementing their extensive consulting backgrounds , our senior executives all have personal , hands-on executive experience in the operation of public agencies and private businesses . Range of Services Offered Ralph Andersen & Associates specializes in the following primary service areas: management consulting, human resources consulting, and executive search . • Management Consulting -Ralph Andersen & Associates helps organizations improve their performance potential with a range of management consulting services. The types of services provided by the firm include management and performance audits, organizational analyses , productivity improvement analyses, agency and service consolidation assessments, specialized financial management including debt restructuring and organizational problem solving. In addition to providing these services to entire organizations , the firm often conducts management consulting engagements that are focused in a specific service area such as public safety, city management, finance , public works, community development and other major service areas. Ralph Andersen & Associates treats every management consulting engagement as unique. This approach means we will assemble a consulting team comprised of consultants with the specific talents and experiences needed to successfully achieve the client's objectives . Our team of experienced consultants perform complex analyses and recommend solutions that are practical and most importantly, are capable of being implemented by our clients . • Human Resources Consulting -The firm prov ides a full range of contemporary human resources consulting including classification studies, compensation studies , benefits analysis, pay plan development, executive pay, and pay for performance. Key staff have proven success in working with labor groups and elected officials in identifying solutions and solving challenging problems. Services also include expert witness services for mediation and arbitration hearings. Our approach to consulting services is characterized by proven methods, extensive data collection , accurate analysis, and effective communication and messaging. • Executive Search -At Ralph Andersen & Associates, there 's always an entire team behind every recruitment assignment that we undertake . Our multi-disciplinary approach takes the best ideas in executive recruiting and creates innovative ways to get the right candidates for clients . When you retain Ralph Andersen & Associates , you actually get an entire team 's worth of support and expertise working together to achieve your organization's objectives. The firm has conducted executive searches for large and small organizations throughout the nation. In addition to conducting searches for city manager and other chief executive officer positions, Ralph Andersen & Associates has successfully completed searches in every area of municipal service. Ralph Andersen & Associates believes the most important element of a successful executive search is to listen carefully to what our clients are looking for in terms of candidate experience and qualifications . Using these client-focused guidelines , candidate identification is undertaken through marketing and personal outreach. Qualifications of the Firm Our Professional Competency in Local Government Ralph Andersen & Associates has been providing executive search and management consulting services since 1972. As such, the executive recruitment techniques used by Ralph Andersen & Associates have been developed and used successfully with hundreds of clients for more than 43 years. As a national search firm, our client list includes a wide range of municipalities including some of the largest and fastest growing cities in the country. Our firm has significant recruiting and consulting experience in California. As a highly qualified and experienced executive search firm, Ralph Andersen & Associates brings an extensive network of contacts in the area of local government that will prove invaluable in quickly identifying a pool of outstanding candidates for the City of San Juan Capistrano . With Ralph Andersen & Associates, there is an entire team behind every recruitment. Our firm takes a multi-disciplined , team approach to executive search . Successful outreach relies heavily on person-to-person contact to identify outstanding potential candidates and, in the evaluation phase, to gain a complete understanding of the background, experience, and management style of the top candidates. By drawing on the combined expertise of our associates and our network of professional contacts, we address outreach from a wide variety of perspectives and find unique ways to identify and recruit the best and brightest. Relative Projects Ralph Andersen & Associates has conducted the following recent City Manager recruitments (2005 to Present). • Alexandria, VA-City Manager (2011) • Beverly Hills , CA-City Manager (Current Search) • Carlsbad , CA-City Manager (2014) • Carson City , NV -City Manager (2014) • Ceres , CA-City Manager (2005) • Chico, CA-City Manager (2007) • Cincinnati, OH -City Manager (2014) • Colma, CA-City Manager (2013) • Corte Madera , CA-Town Manager (2006) • Davis , CA-City Manager (2014) • Dublin, OH-City Manager (2014) • El Campo, TX-City Manager (2010) • Flagstaff, AZ -City Manager (2007) • Folsom, CA-City Manager (2006) • Fountain Valley, CA-City Manager (2013) • Grass Valley, CA-City Administrator (2007) • Greensboro, NC-City Manager (2012) • Healdsburg, CA-Assistant City Manager (2006) • Henderson, NV-City Manager (2015) • Huntington Beach, CA-Assistant City Manager (2013) • Indio, CA-City Manager (2010) • Kingsburg , CA-City Manager (2013) • Lathrop, CA-City Manager (2012) • Lawrence , KS-City Manager (Newly Awarded) • Lincoln, CA-City Manager (2014) • Los Angeles , CA-City Administrative Officer (2008) • Manhattan Beach, CA-City Manager (201 0) • Maricopa, AZ-City Manager (2007) • Morgan Hill, CA-City Manager (2013) • Murrieta, CA-City Manager (2007) • New Braunfels , TX -City Manager (2005) • Oakland, CA -City Administrator (2011) • Pacific Grove, CA-City Manager (Background) (2008) • Petaluma, CA-City Manager (2007) • Port Hueneme, CA-City Manager (2006) • Portola Valley, CA-Town Manager (2012) • Riverside, CA-City Manager (2015) • Rocklin, CA-City Manager (2010) • Ross, CA-Town Manager (2012) • Rossmoor, CA (Golden Rain Foundation) -Chief Executive Officer (2007) • San Bernardino, CA-Interim City Manager (Backgrounds) (2008) • Santa Barbara, CA City Administrator (2015) Assistant City Administrator (Current Search) • Santa Rosa, CA City Manager (2014) Deputy City Manager (2015) • Sausalito, CA -City Manager (2007) • Shenandoah, TX-City Administrator (2005) • Simi Valley, CA -City Manager (20 13) • Solana Beach, CA-City Manager (2015)-Brochure Attached • South Lake Tahoe, CA-City Manager (Background) (2012) • Tehachapi, CA-City Manager (2008) • Tiburon, CA-Town Manager (2006) • Ukiah, CA City Manager (2007) Technical Assistance on City Manager Recruitment (2015) • Upper Arlington, OH-City Manager (2011) • Watsonville, CA-City Manager (Current Search) • Waxhaw, NC-Town Manager (2015) • Windsor, CA-Town Manager (2012) • Yorba Linda, CA-City Manager (2013) Project Staffing The reputation of the search firm and personal commitment of the recruiters define the difference between the success and failure of any given recruitment. Ralph Andersen & Associates' search professionals are acknowledged leaders in the field and possess a broad range of skills and experience in the areas of local government management, executive search, and related disciplines. Only senior members of Ralph Andersen & Associates are assigned to lead search assignments, ensuring that their broad experience and knowledge of the industry is brought to bear on our clients' behalf. The City of San Juan Capistrano will have Mr. James Armstrong, Senior Consultant of Ralph Andersen & Associates, as the Project Director and Mr. David M. Morgan, Senior Consultant of Ralph Andersen & Associates, as the Co-Project Director. Mr. James Armstrong, Project Director Mr. James Armstrong, Senior Consultant, recently joined Ralph Andersen & Associates after retiring from public service. Mr. Armstrong brings more than 37 years of public sector experience to Ralph Andersen & Associates. Mr. Armstrong served as City Administrator, City of Santa Barbara (2001 to 2014) and recently retired from public service in September 2014. During his tenure as City Administrator, he led the City through a number of significant events including the 2008-10 recession; the General Plan update; two major emergencies, the Tea Fire in 2008 and the Jesusita Fire in 2009; and the dissolution of the City's Redevelopment Agency in 2012 . He was instrumental in the creation of the City's Neighborhood Improvement Task Force and the South Coast Task Force on Youth Gangs . The City also implemented a comprehensive performance measurement and tracking system under Mr. Armstrong's direction. Prior to his service in Santa Barbara, Mr. Armstrong served as City Manager in the California cities of Fullerton and Hanford. He also served as Assistant City Manager in Anaheim. He has a Bachelor's degree from UCLA and a Master's degree in public administration from California State University, Long Beach. Mr. David M Morgan, Co-Project Director Mr. Morgan, Senior Consultant of Ralph Andersen & Associates, brings more than 35 years of public sector leadership and experience to the firm. With a distinguished career as City Manager for the City of Anaheim, Mr. Morgan oversaw California's 1Oth largest city (population 336,265) for eight years (2001 -2009). In his role as City Manager, Mr. Morgan was responsible for a full service city including implementing the policies established by the Anaheim City Council, overseeing the City's $1.3 billion budget, staff of 2,200 full-time and 1,000 part-time employees and shepherding the City's five-year $678 million Capital Improvement Budget. He had a lead role in working with professional sports teams and facilities as well as overseeing the City's Enterprise operations including the Convention Center and Electric and Water Departments. During his career with the City of Anaheim beginning in December 1974, Mr. Morgan worked in many City Departments. From 1993 through 2001, as the Assistant City Manager, Mr. Morgan directly oversaw the City's Finance, Human Resources, Information Systems, Audit, Intergovernmental Relations, Convention Center, Stadium, Arena, Parks, Recreation, Library and Community Services operations. Since retiring from Anaheim he has taught at the Graduate level in Local Government Leadership and served as a consultant for local Government Agencies. Mr. Morgan holds both a Bachelor's and Master's degree in public administration from California State University, Fullerton. Mr. Morgan is a member of the International City/County Management Association, and served as a Board Member for the California City Management Foundation. He also has been an adjunct faculty member for the Graduate Center for Public Policy and Administration at California State University, Long Beach. Assisting Mr. Armstrong and Mr. Morgan (if needed) will be Ms. Heather Renschler. Ms. Heather Renschler Ms. Renschler has been with Ralph Andersen & Associates for more than 30 years and is now the firm's Chief Executive Officer. Ms. Renschler has overseen the recruitment practice of Ralph Andersen & Associates for the last 18 years and as a result, is often involved with recruitments on a national scale and those of a highly sensitive and critical nature. She is experienced at working with high level officials and governing boards, staff members, and selection committees in the recruitment and selection process. Her network of contacts and potential candidates is extensive not only within California but also on a national scale. Prior to joining Ralph Andersen & Associates, Ms. Renschler had private sector experience working with firms in the areas of construction management, health care, and public accounting. Ms. Renschler attended the University of Toledo and majored in Accounting and Journalism. She obtained her Bachelor's degree in Public Administration from the University of San Francisco. Paraprofessional and Support Staff Paraprofessional, graphics and support staff will provide administrative support to the consultant team on recruitment assignments. These may include: Ms. Brianna Ham, Mr. Jeff McMurdo, Ms. Diana Haussmann, Ms. Teresa Heple, Ms. Hillari Bynum, and Ms. Hannah Jones. Work Plan Our Approach to the Recruitment Process The successful search process relies heavily on person-to-person contact to identify outstanding potential candidates and, in the evaluation phase, to gain a complete understanding of the background, experience, and management style of the top candidates. Our approach includes: • Extensive personal outreach, in-person and via telephone, to qualified candidates within California and the Western Region. • A marketing strategy that uses selected advertising to supplement the extensive candidate identification process using the Internet and using the firm's vast network of professional contacts. • A screening process that narrows the field of candidates to those who most closely match the needs of the City and is based on preliminary reference checks and telephone interviews with the top candidates. • Delivering a product in the form of a search report that recommends the top group of candidates and provides the City Council with detailed information about their backgrounds and experiences. • Assistance during the final interview and the selection process that will be held in closed session. • Being available as needed to assist with the negotiation and development of an employment agreement during the final stages of the process. Search Work Plan We approach every search with a sense of excitement and urgency and we always "hit the ground running." That means that when the City gives us notice to proceed, we kickoff the process immediately -working closely with the City Council, and others as requested, to identify the key characteristics and professional experience desired in the candidate pool. We believe strongly in providing timely client communications and while we will deliver regular status reports at each stage of the search, our consultants pride themselves in being highly accessible and responsive to all client requests and inquiries. Task 1-Review Project Management Approach Mr. Armstrong will meet with the Mayor and City Council and others, as appropriate, to discuss the project management for the search. The discussion will include a review of the work plan, confirmation of timing, and communication methods. Task 2-Develop Position Profile The position profile for the City Manager is the guide for the entire search process. Please refer to the attached sample for City of Solano Beach (City Manager) submitted with this Proposal. The development of the profile includes the collection of technical information and recruitment criteria. Technical Information The Project Director will meet with the Mayor and City Council, directors, senior managers, and others as appropriate to gain an understanding of the experience and professional background requirements desired in the City Manager. These meetings will also help the Project Director gain an understanding of the work environment and the issues facing the City of San Juan Capistrano. Recruitment Criteria The recruitment criteria are those personal and professional characteristics and experiences desired in the City Manager. The criteria should reflect the goals and priorities of the Mayor and City Council. The Project Director will meet with key staff in the City, and others as appropriate, to facilitate the identification and articulation of that criteria. Subsequent to the development and adoption of the candidate profile, the technical information and recruitment criteria will be documented in an information brochure prepared by the Project Director. The brochure will be reviewed by the City in draft format, revised as appropriate, and published for use throughout the search. Task 3-Outreach and Recruiting This task is among the most important of the entire search. It is the focus of the activities of the Project Director and includes specific outreach and recruiting activities briefly described below. Outreach An accelerated outreach and advertising campaign will be developed. It will include the placement of ads in publications such as the Western City Magazine (online only), International City/County Management Association (ICMA), Jobs Available, and other professional publications. Specific Internet sites related to government will be used as a method of extending the specific outreach in a short period of time. Additionally, the advertisement and the full text of the position profile (the recruitment brochure) will be placed on Ralph Andersen & Associates' home page, which is accessed by a large number of qualified candidates. This method of outreach to potential applicants provides a confidential source that is monitored by many key level executives on an on- going basis. Candidate Identification Ralph Andersen & Associates will use their extensive contacts to focus the recruiting effort. In making these contacts, the Project Director will target those individuals who meet the criteria set by the City. Each of the candidates identified through the recruiting efforts will be sent an information brochure. Candidates will also be contacted directly to discuss the position and to solicit their interest in being considered. Both the outreach and recruiting activities will result in applications and resumes from interested candidates. As they are received, resumes will be acknowledged and candidates will be advised of the general timing of the search process. The following tasks involve the actual selection process, once all resumes have been received. Task 4-Candidate Evaluation This task will be conducted following the application closing date. It includes the following specific activities: Screening All of the applications will be carefully reviewed. Those that meet the recruitment criteria and minimum qualifications will be identified and subject to a more detailed evaluation. This evaluation will include consideration of such factors as professional experience, and size and complexity of the candidate's current organization as compared to the candidate profile. Preliminary Research and Internet Review The research staff of Ralph Andersen & Associates, under the direction of the Project Director, will conduct preliminary research and internet review for those candidates identified as the most qualified as a result of the screening process. This level of research will be done on a limited number of candidates to learn more about each candidate's public profile and related information that is available on the internet. Preliminary Interviews via Skype Mr. Armstrong and Mr. Morgan will conduct preliminary interviews with the top group of candidates identified through the screening and preliminary research and Internet review processes. The interviews are extensive and designed to gain additional information about the candidates' experience, management style, and "fit" with the recruitment criteria. Interviews will be conducted using Skype or via telephone. No consultant travel for preliminary in-person interviews has been included in this proposal. The screening portion of the candidate evaluation process typically reduces a field of applicants to approximately five (5) to ten (10) individuals. Those individuals will be reviewed with the Mayor and City Council prior to proceeding with the individual interviews. Task 5-Search Report After completing Task 4, the Project Director will meet with the Mayor and City Council, or others as appropriate, to review the search report on the top candidates. The report divides all of the candidates into four groups including 1) the top group of candidates that are recommended to be interviewed in-person by the City; 2) a backup group to the first group; 3) no further consideration group; and 4) lacks minimum qualifications. The search report will include candidate resumes. The results of preliminary research and Internet reviews and interviews will be reviewed with the Mayor and City Council. The results of the Search Report will be a confirmed group of finalist candidates (typically 4 to 5) that the Mayor and City Council will interview in-person. Task 6-Selection The final selection process will vary depending upon the desires of the Mayor and City Council. Typical services provided by Ralph Andersen & Associates in the selection process are described briefly below: • The Project Director will coordinate the selection process for the finalist group of candidates. This includes handling the logistical matters with candidates and with the Mayor and City Council. • Ralph Andersen & Associates will prepare an interview booklet that includes the resumes and candidate report (with interview comments, preliminary research, and other relevant information about the candidates). In addition, the booklet will contain suggested questions and areas for discussion based upon the recruitment criteria. Copies of the interview booklet will be provided in advance of the candidate interviews. • The Project Director will attend the interviews to assist the Mayor and City Council through the selection process. This assistance will include an initial orientation, candidate introductions, and facilitation of discussion of candidates after all interviews have been completed. • Verifications will be made on the top candidates and will include education verifications, Department of Motor Vehicle check, wants and warrants, civil and criminal litigation search, and credit check. The results of these verifications will be discussed with the Mayor and City Council at the appropriate time. • Reference checks will be conducted on the top two (2) candidates. The results of these reference checks will be discussed with the Mayor and City Council at the appropriate time. • As needed, the Project Director is available to provide assistance to the Mayor and City Council in the final selection as may be desired. This assistance may include providing or obtaining any additional information desired to assist in making the final selection decision. Task 1-Negotiation The Project Director is available to assist the Mayor and City Council in negotiating a compensation package with the selected candidate. This may include recommendations on setting compensation levels. Additionally, Ralph Andersen & Associates will prepare a draft employment agreement and work with the Mayor and City Council on the finalization of this document. As required by the Brown Act, the employment agreement for the new City Manager will be required to be approved and voted on in a public meeting at a regularly scheduled City Council meeting. Task 8-Close Out After the Mayor and City Council has reached agreement with the individual selected for the position, the Project Director will close out the search. These activities will include advising all of the finalist candidates of the status of the search by telephone. Project Timing and Cost Project Timing Ralph Andersen & Associates will complete the search within 75 to 90 days (or less) from the execution of the agreement to the presentation of candidates . Negotiation with the top candidate will take an additional week or two after finalist interviews. We are prepared to begin this search upon verbal notification to proceed. A brief overview of the recruitment schedule is presented on below (schedule does not include transition time by Selected Candidate to join the City). Month 1 I Month 2 I Month 3 I 1 2 3 4 1 2 3 4 2 3 4 I Search finn selected Consultant evaluates organization; position criteria established Candidates identified and screened Consultant interviews and conducts preliminary research Project Cost Consultant recommends candidates; client selects finalists for interview Client-candidate interviews Preferred candidate selected; negotiations Selection Made The recruitment effort for a new City Manager will be a comprehensive search process, giving the City the ability to select from a broad field of qualified candidates. The fee to perform this search will be a fixed fee of $23,750 for professional services and all related expenses. Expenses include such items as advertising , consultant trips (based out of Orange County), clerical, graphic design, research, printing and binding, postage and delivery , and long-distance telephone charges . This pricing structure assumes the following : • Verifications and Backgrounds on the top two (2) candidates including reference checks. Should the City desire to conduct verifications on more than two (2) candidates, professional costs and expenses will be billed in addition to the above stated amount. • Brochure - A full color brochure similar to the submitted sample will be developed for the City of San Juan Capistrano. All pictures will be the responsibility of the City. Ralph Andersen & Associates will bill the City in four installment payments. Upon a signed agreement, a $5,000 invoice will be submitted to the City of San Juan Capistrano for processing. Additional progress payments will be due upon receipt for a total of four invoices. The City will be responsible for all candidate expenses related to on-site interviews. Ralph Andersen & Associates' Guarantee Ralph Andersen & Associates offers the industry-standard guarantee on our search services. If within a one-year period after appointment, the City Manager resigns or is dismissed for cause, we will conduct another search free of all charges for professional services. The City would be expected to pay for the reimbursement of all incurred costs. (" RalphAndersen t1 &Associates Professional Services Agreement Executive Search Services This Agreement is made by and between the City of San Juan Capistrano ("the City"), and Ralph Andersen & Associates ("the Consultant"). I . Search Engagement. The City agrees to engage the Consultant to perform those services described below, for completion of the project described as follows: City Manager Executive Search Services ("the Search"). 2. Services. The Consultant agrees to perform certain services necessary for completion of the Search, which services shall include, without limitation, the following: a) Position Analysis b) Advertising Campaign c) Candidate Identification d) Resume Review and Screening e) Preliminary Interviews f) Detailed Reference Checks g) Recruitment Report h) Client/Finalist Interviews i) Final Interview Assistance j) Follow-up Correspondence A complete description of the services to be provided is contained in a proposal from the Consultant to the City, dated July 15, 2015, which is incorporated herein by reference. 3. Relationship. The Consultant is an independent contractor and is not to be considered an agent or employee of the City. 4. Compensation. As full compensation for the Consultant's services performed hereunder, the City shall pay the Consultant the fixed amount of $23,750 (Twenty-three Thousand Seven Hundred Fifty Dollars) ("fixed fee"). Expenses include such items as advertising, consultant travel (based out of Orange County), clerical, graphics, research, printing and binding, postage and delivery, verifications and Internet and Lexis/Nexis searches on the top two (2) A r ,. u t1 ; , , o " u 1 r .\ c e 1 1 (' n t c ..... , " c (· 1 1.) -! Attachment 2 Professional Services Agreement Executive Search Services Page 2 candidates, and long-distance telephone charges. The City will be responsible for all Candidate expenses related to onsite interviews. Any consultant travel outside the scope of this Agreement will be billed to the City for actual expenses only. 5. Compensation for Additional Services. In the event the City requires services in addition to those described in Paragraph 2, the Consultant shall be compensated at the Consultant's standard hourly rates for professional services, plus reimbursement of expenses described above. 6. Method of Payment. The City will be invoiced in 4 (four) payments as follows: a) Upon contract execution-$5,000 (Five Thousand Dollars) b) After the closing date-$6,250 (Six Thousand Two Hundred Fifty Dollars) c) After finalist interviews-$6,250 (Six Thousand Two Hundred Fifty Dollars) d) Upon placement-$6,250 (Six Thousand Two Hundred Fifty Dollars) 7. Term. The term of this agreement shall commence upon execution of this Agreement by both parties, at which time the Consultant shall begin work on the Search and shall continue, subject to the termination provisions of Paragraph 9, until the date that the Consultant completes the Search. The time of completion of the Search is estimated to be 75 to 90 days (seventy-five to ninety days) from project initiation. 8. Guarantee. If, during the first year of employment, the new City Manager resigns or is dismissed for cause by the City, the Consultant agrees to perform another search for a City Manager for no professional services fee. The Consultant shall be entitled to reimbursement of expenses described above and incurred during such search. 9. Termination. This agreement may be terminated: (a) by either party at any time for failure of the other party to comply with the terms and conditions of this Agreement; (b) by either party upon 10 days prior written notice to the other party; or (c) upon mutual written agreement of both parties. In the event of termination, the Consultant shall stop work immediately and shall be entitled to compensation for professional service fees and for expense reimbursement to the date of termination. I 0. Insurance. The Consultant shall maintain in force during the term of the agreement, Comprehensive General Liability Insurance with the Extended Liability Endorsement, including Personal Injury; Commercial Umbrella Liability; Automobile Liability Insurance, including Non-Owned and Hired Liability; and Workers' Compensation and Employers' Liability Insurance. Such insurance shall be in amounts reasonably satisfactory to the City. 11. Hold Harmless. The Consultant shall be responsible for its acts of negligence, and the City shall be responsible for its acts of negligence. The Consultant agrees to indemnify and hold the City harmless from any and all claims, demands, actions and causes of action to the extent caused by the negligent acts of the Consultant, its officers, agents and employees, by reason of the performance of this agreement. This indemnity shall not be construed to require indemnification of others. Professional Services Agreement Executive Search Services Page 3 12. Miscellaneous. a) The entire agreement between the parties with respect to the subject matter hereunder is contained in this agreement. b) Neither this agreement nor any rights or obligations hereunder shall be assigned or delegated by the Consultant without the prior written consent of the City. c) This agreement shall be modified only by a written agreement duly executed by the City and the Consultant. d) Should any of the provisions hereunder be found to be invalid, void or voidable by a court, the remaining provisions shall remain in full force and effect. e) This agreement shall be governed by and construed in accordance with the laws of the State of California. f) All notices required or permitted under this agreement shall be deemed to have been given if and when deposited in the United States mail, properly stamped and addressed to the party for whom intended at such party's addres s listed below, or when delivered personally to such party. A party may change its address for notice here under by giving written notice to the other party. APPROVED: RALPH ANDERSEN & ASSOCIATES N a me Printed: Heather Renschler Title: President/CEO Da te : Jul y 22, 2 01 5 5800 Stanford Ranch Road, Suite 410 Rocklin, California 95765 (916) 630-4900 FAX : (916) 630-4911 Website: www .ralphandersen.com CITY OF SAN JUAN CAPISTRANO By: __________________________ _ Name Printed : --------------------- Title: __________________ _ Date: ________________ __ 32400 Paseo Adelanto San Juan Capistrano, California 92675 (949) 493-1171 FAX : (949) 49~-1053 Website: www. sanjuancapis trano . org