Addendum 3 Questions~2.pdf

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Attached to
Classification & Compensation Study Services
Solicitation number
HR-26-707
Issued by
Los Angeles County, California

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Summary: Addendum No. 3 – Q&A for Classification & Compensation Study Services

This document is an addendum issued by the City of Long Beach, Department of Financial Management, regarding RFP HR-26-707 for Classification & Compensation Study Services. The City seeks vendors to provide ongoing, as-needed classification and compensation support services for a two-year initial contract term with potential renewal periods. Services will include association-specific total compensation studies, classification consolidations and divisions, grade restructuring, and creation of new classifications. The scope encompasses an unspecified number of classifications and employees. Selected vendor interviews are anticipated for January/February 2027, with contract approval expected in Winter/Spring 2027. The proposed responding organization must independently meet minimum qualifications of at least three years of experience providing classification and compensation studies specifically for public agencies; combined experience of key personnel or subcontractors does not satisfy this requirement. This addendum supersedes original RFP language and requires proposers to acknowledge receipt by signature and submission with proposals; failure to submit may result in disqualification.

Pricing is structured with two rate categories: basic hourly costs without overhead (including hourly rates for employees and project-related costs) and basic hourly costs with overhead (including supplemental costs beyond base hourly rates). Proposed prices are irrevocable for the contract term and extensions; however, annual rate adjustments are permitted only during contract renewal periods, not during the initial two-year term. The City will select one or more vendors based on proposal review and interview completion; the specific number of vendors selected remains undetermined pending evaluation. Work will be assigned on an as-needed basis, and proposers may describe team structure, roles, availability, and capacity rather than specifying fixed time allocations per team member. The primary point of contact will be the Human Resources Officer within the Classification and Compensation Division; selected vendors will not participate in direct labor relations activities but may provide supportive functions related to outstanding questions from the Labor Relations team. Independent audits of findings will be conducted by City staff only.

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Department of Financial Management 411 West Ocean Boulevard, 6th Floor

Long Beach, CA 90802

(562) 570-6425

October 12, 2026

NOTICE TO PROPOSERS

ADDENDUM NO. 3: Q & A

No. RFP HR-26-707

Classification & Compensation Study Services

This addendum changes and supersedes the language in the original RFP.

Please acknowledge receipt of this addendum by signing and submitting with your proposals. Any proposer who fails to submit this addendum may be disqualified.

The City would like to remind Proposers that pursuant to Section 5.2.27 of the RFP, the City will not be responsible for or bound by any oral communication or any other information or contact that occurs outside the official communication process specified herein, unless confirmed in writing by the City Contact.

The questions and answers are as follows:

1. Q: How many classifications represent the employees included?

A: There is not a set number of classifications or employees included in this contract.

2. Q: When are you expecting to have dates to include in the timeline?

A: Refer to RFP Section 4.1Timelines & Instructions. Interviews for selected vendors are currently anticipated in January/February 2027, with contract approval anticipated in Winter/Spring 2027.

3. Q: The Cost Proposal requests a "basic hourly cost...without overhead cost" and a "basic hourly cost...with overhead cost." Please clarify what costs the City expects proposers to include in each of these two rate categories and how the

City intends to use each rate when authorizing future assignments.

A: Basic hourly costs without overhead would include hourly rates for employees or tiers of classification/role within your agency or other associated project costs. Overhead costs would include any supplemental costs associated with involved employees beyond their base hourly rate.

4. Q: The RFP states both that proposed prices are irrevocable for the contract term and extensions, and that contractors may request reasonable price adjustments prior to each annual anniversary date. Please confirm that annual rate adjustments may be requested throughout the initial two-year term and any renewal periods in accordance with Section 5.3.

A: Annual rate adjustments are permitted during the contract renewal periods.

5. Q: The Narrative Proposal asks proposers to identify the percentage of time each proposed team member will dedicate to "the project." Because work will be assigned on an as-needed basis and the size and scope of future assignments are not yet known, may proposers instead describe the proposed team structure, roles, availability, and capacity, with assignment-specific staffing and allocation determined when each scope is issued?

A: Yes, describing the proposed team structure, roles, availability, and capacity, with assignment-specific staffing and allocation determined when each scope is issued is a suitable response.

6. Q: Please provide clarification regarding Section 3.1 Minimum Qualifications, requiring the contractor to have at least three years of experience providing classification and compensation studies specifically for public agencies.

Would the City consider this minimum qualification satisfied through the combined relevant experience of the proposed key personnel and/or subcontractors assigned to the contract, or must the prime proposing organization itself have independently performed public-agency classification and compensation studies for at least three years?

The proposed team would include professionals with substantial public-sector

HR, organizational, workforce analytics, compensation-related, and executive leadership experience, and we want to ensure that our team structure would meet the City’s minimum qualifications before preparing a full proposal.

A: The proposing organization would need to meet the minimum qualifications outlined in Section 3.1 of the RFP.

7. Q: Now that respondents have a clearer understanding of the City’s evolution of the classification and compensation function and next steps, it might be helpful to pursue a more united approach to this procurement, as well as bid number HR-26-702 for Classification and Compensation Program

Development Services. At some point is it possible for vendors to unite both submissions and, once deemed qualified through the criteria set forth therein

(Organization Capacity and Experience, Method of Approach, Communications and Reporting, etc.) present a wholistic approach to the full suite of services desired by the City?

A: No, the two solicitations will ultimately remain separate contracts even if there is overlap in selected vendors.

8. Q: Due to the economies of scale that exist with classification and compensation assessments, particularly with organizations the size of the City of Long Beach, there are often significant cost savings when projects are conducted simultaneously. Does the City have visibility into any immediate studies that will be needed upon contract execution? If so, can you identify which department(s) may be involved?

A: The City is in active contract negotiations with several of its employee associations, with classification and compensation-related agreements expected to appear in their MOUs. We anticipate projects ranging from association-specific total compensation studies, classification consolidations and/or divisions, grade restructure of existing classifications, and creation of new classifications, although we cannot release their exact details at this time.

9. Q: How many vendors does the City anticipate selecting for the 2-year agreement following this procurement?

A: The City of Long Beach will make selection determinations following the review of proposals and completion of interviews to determine which vendor/vendors are best equipped to support the City’s ongoing needs for classification and compensation support services.

10. Q: Once a specific scope of work has been determined, does the City anticipate involvement from executive leadership, department heads, and applicable union(s)?

A: Scopes of work for the selected vendor(s) will vary based on the assigned project(s). Certain projects may involve discussions with executive leadership and/or department heads, but the primary point of contact for each project will be the Human Resources Officer within the Classification and

Compensation Division at Human Resources. The selected vendor(s) will not be involved in direct labor relations activities with the City’s employee associations; however, they may be asked to address or perform supportive functions related to outstanding questions or requests for information from our Labor Relations team.

11. Q: In Section 2.2 Performance Metrics & Contract Management of the RFP, it alludes to independent audit of findings. Do you anticipate that being conducted only by City staff or have you engaged the assistance of an outside vendor to audit findings provided to the City for subsequent studies?

A: Independent audits will be conducted by City of Long Beach staff.

12. Q: Does the City have a sense of potentially how many vendors will be selected or is it depended on how many qualifications?

A: The City of Long Beach will make selection determinations following the review of proposals and completion of interviews to determine which vendor/vendors are best equipped to support the City’s ongoing needs for classification and compensation support services.

13. Q: You mentioned that the Classification & Compensation function was formed in 2024. Did this function previously exist within the City elsewhere or is it a new function?

A: The City of Long Beach did not have a centralized team managing classification and compensation prior to 2024. Management and support of classification and compensation-related functions were spread across multiple teams, including Civil Service, Personnel Operations, Labor Relations, and service departments.

14. Q: How does this RFP for Classification and Compensation Services differ from the Compensation Program Development Consulting Services solicitation issued earlier this year?

A: This RFP is intended to provide the City of Long Beach with a list of vendors to complete as-needed classification and compensation support services. The

RFP for Compensation Program Development Consulting Services is to identify a single vendor to support the development of classification and compensation philosophies, foundational structures and resources, and training for staff to manage all aspects of classification and compensation operations.

PREPARED BY:

Keisha Sanker, Procurement Analyst, I

ACKNOWLEDGED BY:

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