Loading...
HomeMy WebLinkAbout05(H) - Approval of agreement with Keystone Compensation Group for compensation consulting services. Report February 24, 2025 Lori Olson Assistant City Manager City of Prior Lake 4646 Dakota Street SE Prior Lake, MN 55372 Dear Lori: Thank you for requesting a letter of understanding from Keystone Compensation Group to provide compensation consulting services to the City of Prior Lake. This letter of understanding outlines the services we discussed during our last virtual meeting and provides a budget estimate for these services. SCOPE OF SERVICES REQUESTED AND STEPS TO COMPLETE THEM 1. Project planning, program data collection, and preparation 2. Review, confirm, and analyze market data for Police Officer and Seargent jobs. There is enough overlap between the historic cities and this group. Nine of the 15 cities are represented. 3. Prepare data analysis for the Officers and Seargent jobs and conduct an assessment of the City ranges and comparison with the market for these jobs. 4. Review job descriptions for 21 union jobs, other than law enforcement. 5. Conduct employee interviews with one interview for each job. For a handful of jobs, we may decide to interview managers if needed. Total interviews would be 25-30 interviews. These interviews would be conducted online with assistance from City staff for setting up. 6. Confirm job evaluation points and grading for the jobs that may have experienced significant changes in job responsibilities and scope of work. 7. Collect market data for 21 union jobs from the LMC survey. 8. Build a master database for City jobs and reconcile job grades and salary ranges. 9. Prepare statistical analysis for salary ranges and compare City ranges with market. 10. Review findings and develop recommendations for discussions with City leadership. 11. Prepare a final summary and project documentation. February 24, 2025 Prior Lake Compensation Consulting Services 2 | P a g e ESTIMATED BUDGET FOR PROVIDING PROFESSIONAL SERVICES This agreement was prepared based on our understanding of the anticipated consulting services requested by the City of Prior Lake. Additional work outside scope of this agreement would be quoted separately upon request. Based on the scope of work and steps shown on the first page of this agreement, we anticipate the budget range for completing this project to be $23,500 – $25,500. This includes both phases of the project. We appreciate the opportunity to assist the City of Prior Lake with this important compensation program review. Please call me at: 612.810.3522 or email me at: sabboud@keystonecomp.net with any questions. If you would like to approve this agreement, please sign and email a copy to Keystone. TIMELINE FOR COMPLETING THIS STUDY This study is planned for to start in Spring of 2025 with phase I completed that includes law enforcement beginning in June. Phase II will start in late Spring and will be completed in October. Please call me at: 612.810.3522 or email me at: sabboud@keystonecomp.net with your questions. Sincerely, Saado Y. Abboud, Ph.D. Principal Consultant Keystone Compensation Group LLC February 24, 2025 Prior Lake Compensation Consulting Services 3 | P a g e APPROVAL This letter outlines our understanding of the scope of services provided and professional fees for this agreement between City of Prior Lake and Keystone Compensation Group, LLC. If you would like to approve this agreement, please sign below and return a copy to Keystone at: sabboud@keystonecomp.net Authorized Signature: Approved by Title Date February 24, 2025 Prior Lake Compensation Consulting Services 4 | P a g e Saado is a founding partner of Keystone Compensation Group LLC with over twenty-five years of experience in the field of compensation. His experience involves all phases of compensation program development, strategy, design, and management. His clients include organizations in private, public sector, and nonprofit. He consults with top executives and board of directors on executive compensation design and management. His combined experience in managing compensation programs within a Fortune 100 company and as a professional consultant gives him a balanced view while working with his clients. Most recently Saado served as Vice President, Compensation Practice for Stanton Group, a regional consulting and survey research firm in Minneapolis. He worked closely with business and HR leaders as well as Boards of Directors to develop rewards programs for executives, middle management, and other employees. Saado’s compensation experience includes developing base pay, short-term and long-term incentive programs to attract and motivate employees. He also helps his clients with communicating reward programs. Prior to joining Stanton Group, Saado spent several years in a senior leadership position at Best Buy Co. with responsibilities over corporate compensation programs as well as executive compensation. Among his other accomplishments was taking a key role in restructuring the HR function and leading several technology initiatives to support business growth. He contributed articles and interviews to several trade publications, including Workspan, a monthly journal for total rewards professionals, Minnesota Bankers News, and the Twin Cities Business Journal. Early in his career, Saado taught at the college and graduate school levels, domestically and abroad. He has a doctorate and master’s degrees from the University of Minnesota in Quantitative Analysis. He also received his MBA degree in Corporate Finance from the University of St. Thomas. Saado is a certified compensation professional (CCP), a member of WorldatWork, and Chairman of the Local Network Advisory Board for WorldatWork. Saado also served for several years on the Twin Cities Compensation Network Board of Directors. Saado Y. Abboud, Ph.D. Keystone Compensation Group, LLC Principal Consultant 3316 Ensign Ave North Minneapolis MN 55427 Tel: 612.810.3522 Sabboud@keystonecomp.net www.keystonecomp.net