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HomeMy WebLinkAbout2016-118-E HR - Gallagher Benefit Services, Inc. - Compensation Philosophy Development & Pay Compression Study DocuSign Envelope ID: E2A3FD22-97F6-4032-AE98-8051BF17AD9A [Departmental Use Only] TITLE Gallagher Contract FY 2015-16 NORTH CAROLINA CONSULTING SERVICES AGREEMENT UNDER $90,000 ORANGE COUNTY This Agreement, made and entered into this 17th day of November, 2015, ("Effective Date") by and between Orange County, North Carolina a body politic and corporate of the State of North Carolina (hereinafter, the "County") and Gallagher Benefit Services, Inc., (hereinafter, the "Consultant"). WITNESSETH: That the County and Consultant, for the consideration herein named, do hereby agree as follows: ARTICLE I SCOPE OF WORK 1.1 Scope of Work 1.1.1 This Services Agreement ("Agreement") is for professional consulting services to be rendered by Consultant to County with respect to (insert type of project) (see Exhibit A "Compensation Philosophy Development & Pay Compression Study", which is attached and hereby incorporated into this document.) 1.1.2 By executing this Agreement, the Consultant represents and agrees that Consultant is qualified to perform and fully capable of performing and providing the services required or necessary under this Agreement in a fully competent,professional and timely manner. 1.1.3 Time is of the essence with respect to this Agreement. 1.1.4 The services to be performed under this Agreement consist of Basic Services, as described and designated in Article 3 hereof. Compensation to the Consultant for Basic Services under this Agreement shall be as set forth herein. ARTICLE 2 RESPONSIBILITIES OF THE CONSULTANT 2.1 Services to be Provided. The Consultant shall provide the County with all services required in Article 3 to satisfactorily complete the Project within the time limitations set forth herein and in accordance with the highest professional standards. 2.2. Standard of Care 2.2.1 The Consultant shall exercise reasonable care and diligence in performing services under this Agreement in accordance with the highest generally accepted standards of this type of Consultant practice throughout the United States and in accordance with applicable federal, state and local laws and regulations applicable to the performance of these services. Consultant is Revised 10/14 1 DocuSign Envelope ID: E2A3FD22-97F6-4032-AE98-8051BF17AD9A solely responsible for the professional quality, accuracy and timely completion and submission of all reports, drawings, specifications, plans, documents and services (hereinafter "Deliverables")related to the Basic Services. 2.2.2 The Consultant shall be responsible for all errors or omissions, in the deliverables prepared by the Consultant. 2.2.3 The Consultant shall correct at no additional cost to the County any and all errors, omissions, discrepancies, ambiguities, mistakes or conflicts in any Deliverables prepared by the Consultant. 2.2.4 The Consultant shall assure that all Deliverables prepared by it hereunder are in accordance with applicable laws, statutes, and that any necessary or appropriate applications for approvals are submitted to federal, state and local governments or agencies in a timely manner so as not to delay the Project. 2.2.5 The Consultant shall not, except as otherwise provided for in this Agreement, subcontract the performance of any work under this Agreement without prior written permission of the County. No permission for subcontracting shall create, between the County and the subcontractor, any contract or any other relationship. 2.2.6 Any and all employees of the Consultant engaged by the Consultant in the performance of any work or services required of the Consultant under this Agreement, shall be considered employees or agents of the Consultant only and not of the County, and any and all claims that may or might arise under any workers compensation or other law or contract on behalf of said employees while so engaged shall be the sole obligation and responsibility of the Consultant. 2.2.7 Consultant agrees that Consultant and its subcontractors, if any, shall be required to comply with all federal, state and local antidiscrimination laws, regulations and policies that relate to the performance of Consultant's services under this Agreement. 2.2.8 If activities related to the performance of this agreement require specific licenses, certifications, or related credentials Consultant represents that it and/or its employees, agents and subcontractors engaged in such activities possess such licenses, certifications, or credentials and that such licenses certifications, or credentials are current, active, and not in a state of suspension or revocation. ARTICLE 3 BASIC SERVICES 3.1 Basic Services 3.1.1 The Consultant shall perform as Basic Services the work and services described herein and as described in Exhibit(see Exhibit A). ARTICLE 4 DURATION OF SERVICES 4.1 Scheduling of Services Revised 10/14 2 DocuSign Envelope ID: E2A3FD22-97F6-4032-AE98-8051BF17AD9A 4.1.1 The Consultant shall schedule and perform its activities in a timely manner. 4.1.2 Should the County determine that the Consultant is behind the agreed upon schedule, it may require the Consultant to expedite and accelerate his efforts, including providing additional resources and working overtime, as necessary, to perform his services in accordance with the approved project schedule at no additional cost to the County. 4.1.3 The Commencement Date for the Consultant's Basic Services shall be November 17, 2015. ARTICLE 5 COMPENSATION 5.1 Compensation for Basic Services 5.1.1 Compensation for Basic Services shall include all compensation due the Consultant from the County for all services under this Agreement except for any authorized Reimbursable Expenses which are defined herein. The maximum amount payable for Basic Services is Twenty Five Thousand Dollars ($25,000.00). Payment for Basic Services shall become due and payable in direct proportion to satisfactory services performed and work accomplished. ARTICLE 6 RESPONSIBILITIES OF THE COUNTY 6.1 Cooperation and Coordination 6.1.1 The County has designated Brenda Bartholomew, Human Resources Director to act as the County's representative with respect to the Project and shall have the authority to render decisions within guidelines established by the County Manager and the County Board of Commissioners and shall be available during working hours as often as may be reasonably required to render decisions and to furnish information. 6.1.2 The County shall be solely responsible for determining whether Consultant as satisfactorily completed Tasks. It is agreed that County shall not unreasonably withhold its determination of satisfactory completion of any Task. In the event the amount of an invoice is disputed County may withhold payment until the dispute is resolved by the parties. County may also withhold payment on an invoice until the satisfactory completion of a Task by Consultant. ARTICLE 7 INSURANCE AND INDEMNITY 7.1 General Requirements 7.1.1 Consultant shall obtain, at its sole expense, Commercial General Liability Insurance, Automobile Insurance, Workers' Compensation Insurance, Professional Liability Insurance, and any additional insurance as may be required by Owner's Risk Manager as such insurance requirements are described in the Orange County Risk Transfer Policy and Orange County Minimum Insurance Coverage Requirements (each document is incorporated herein by reference and may be viewed at htlp:Horan_eg countync.gov/purchasing/contracts.asp). If Owner's Risk Manager determines additional insurance coverage is required such additional Revised 10/14 3 DocuSign Envelope ID: E2A3FD22-97F6-4032-AE98-8051BF17AD9A insurance shall be designated here N/A (if no additional insurance required mark N/A as being not applicable). Consultant shall not commence work until such insurance is in effect and certification thereof has been received by the Owner's Risk Manager. 7.2 Indemnity 7.2.1 The Consultant agrees to indemnify and hold harmless the County from all loss, liability, claims or expense, including attorney's fees, arising out of or related to the Project and arising from bodily injury including death or property damage to any person or persons caused in whole or in part by the negligence or misconduct of the Consultant except to the extent same are caused by the negligence or willful misconduct of the County. It is the intent of this provision to require the Consultant to indemnify the County to the fullest extent permitted under North Carolina law. ARTICLE 8 AMENDMENTS TO THE AGREEMENT 8.1 Changes in Basic Services 8.1.1 Changes in the Basic Services and entitlement to additional compensation or a change in duration of this Agreement shall be made by a written Amendment to this Agreement executed by the County and the Consultant. The Consultant shall proceed to perform the Services required by the Amendment only after receiving a fully executed Amendment from the County. ARTICLE 9 TERMINATION 9.1 Termination for Convenience of the County 9.1.1 This Agreement may be terminated without cause by the County and for its convenience upon seven (7) days prior written notice to the Consultant. 9.2 Other Termination 9.2.1 The Consultant may terminate this Agreement based upon the County's material breach of this Agreement; provided the County has not taken all reasonable actions to remedy the breach. The Consultant shall give the County seven (7) days'prior written notice of its intent to terminate this Agreement for cause. 9.3 Compensation After Termination 9.3.1 In the event of termination, the Consultant shall be paid that portion of the fees and expenses that it has earned to the date of termination, less any costs or expenses incurred or anticipated to be incurred by the County due to errors or omissions of the Consultant. 9.3.2 Should this Agreement be terminated, the Consultant shall deliver to the County within seven(7) days, at no additional cost, all Deliverables including any electronic data or files relating to the Project. 9.4 Waiver Revised 10/14 4 DocuSign Envelope ID: E2A3FD22-97F6-4032-AE98-8051BF17AD9A 9.4.1 The payment of any sums by the County under this Agreement or the failure of the County to require compliance by the Consultant with any provisions of this Agreement or the waiver by the County of any breach of this Agreement shall not constitute a waiver of any claim for damages by the County for any breach of this Agreement or a waiver of any other required compliance with this Agreement. ARTICLE 10 ADDITIONAL PROVISIONS 10.1 Relationship of Parties 10.1.1 Consultant is an independent contractor of the County. Neither Consultant nor any employee of the Consultant shall be deemed an officer, employee or agent of the County. Consultant's personnel shall not be employees of, or have any contractual relationship with, the County. 10.2 Limitation and Assignment_ 10.2.1 The County and the Consultant each bind themselves, their successors, assigns, and legal representatives to the terms of this Agreement. Neither the County nor the Consultant shall assign or transfer its interest in this Agreement without the written consent of the other. 10.3 Governing Law 10.3.1 This Agreement and the duties, responsibilities, obligations and rights of respective parties hereunder shall be governed by the laws of the State of North Carolina. Consultant shall at all times remain in compliance with all applicable local, state, and federal laws, rules, and regulations including but not limited to all anti-discrimination laws. 10.4 Dispute Resolution 10.4.1 Any and all suits or actions to enforce, interpret or seek damages with respect to any provision of, or the performance or non-performance of, this Agreement shall be brought in the General Court of Justice of North Carolina sitting in Orange County, North Carolina and it is agreed by the parties that no other court shall have jurisdiction or venue with respect to such suits or actions. The Parties may agree to nonbinding mediation of any dispute prior to the bringing of such suit or action. 10.5 Extent of Agreement 10.5.1 This Agreement, together with the Request for Proposals together with attachments distributed by the County and the Consultant's submitted Proposal, all of which constitute the Contract Documents, represents the entire and integrated agreement between the County and the Consultant and supersedes all prior negotiations, representations or agreements, either written or oral. In the event of a conflict among the terms of the Contract Documents, the priority of documents shall be This Agreement, the County's Request for Proposals, attachments to the County's Request for Proposals, the Consultant's Proposal. This Agreement may be amended only by written instrument signed by both parties. Modifications may be evidenced by facsimile signatures. Revised 10/14 5 DocuSign Envelope ID: E2A3FD22-97F6-4032-AE98-8051BF17AD9A 10.6 Severability 10.6.1 If any provision of this Agreement is held as a matter of law to be unenforceable, the remainder of this Agreement shall be valid and binding upon the Parties. 10.7 Ownership of Deliverables 10.7.1 All Deliverables, together with all supporting materials, source documentation, data collected, field notes, and working drafts, developed in the performance of this Agreement shall become the property of the County and may be used on any other project without additional compensation to the Consultant. The use of the Deliverables by the County or by any person or entity for any purpose other than the Project as set forth in this Agreement shall be at the full risk of the County. 10.8 Non-Appropriation 10.8.1 Consultant acknowledges that County is a governmental entity, and the validity of this Agreement is based upon the availability of public funding under the authority of its statutory mandate. In the event that public funds are unavailable and not appropriated for the performance of County's obligations under this Agreement, then this Agreement shall automatically expire without penalty to County immediately upon written notice to Consultant of the unavailability and non-appropriation of public funds. It is expressly agreed that County shall not activate this non-appropriation provision for its convenience or to circumvent the requirements of this Agreement, but only as an emergency fiscal measure during a substantial fiscal crisis. In the event of a change in the County's statutory authority, mandate and/or mandated functions, by state and/or federal legislative or regulatory action, which adversely affects County's authority to continue its obligations under this Agreement, then this Agreement shall automatically terminate without penalty to County upon written notice to Consultant of such limitation or change in County's legal authority. 10.9 Notices and Signatures 10.9.1 This Agreement together with any amendments or modifications may be executed electronically. All electronic signatures affixed hereto evidence the intent of the Parties to comply with Article 1 I and Article 40 of North Carolina General Statute Chapter 66. 10.9.2 Any notice required by this Agreement shall be in writing and delivered by certified or registered mail, return receipt requested to the following: Orange County Consultant's Name & Address Attention: Brenda Bartholomew Gallagher Benefit Services P.O. Box 8181 Attn: Bruce G. Lawson, Managing Director Hillsborough,NC 27278 16064 Parsons Road, Beaverdam, VA 23015 Revised 10/14 6 DocuSign Envelope ID: E2A3FD22-97F6-4032-AE98-8051BF17AD9A [SIGNATURE PAGE TO FOLLOW] Revised 10/14 7 DocuSign Envelope ID: E2A3FD22-97F6-4032-AE98-8051BF17AD9A IN WITNESS WHEREOF, the Parties, by and through their authorized agents, have hereunder set their hands and seal, all as of the day and year first above written. COUNTY: Orange County CONSULTANT: Gallagher Benefit Services E bDocusigned by: Docu5ined by: 6VULUt, RM!AtLYSbt,t1 jVlaGt [,&WS6VU 0637994B755E477 —AF0... County Manager Bruce G. Lawson, Managing Director Printed Name and Title Revised 10/14 8 DocuSign Envelope ID: E2A3FD22-97F6-4032-AE98-8051BF17AD9A Arthur J. Gallagher&. Co. November 17, 2015 The County of Orange, NC Attention: Brenda Bartholomew Human Resources Director 200 South Cameron Street RE: Compensation Philosophy Development & Pay Compression Study Ladies and Gentlemen: i In response to your request, Gallagher Benefit Services Inc.'s Fox Lawson Group (FLG) dedicated to public sector compensation consulting is pleased to submit our proposal to j assist the County of Orange, NC in conducting a Compensation Philosophy Development & Pay Compression Study that includes approximately 900 full time employees covering 200 job classifications. j We believe the County of Orange, NC will benefit from our experience: i i • We specialize in classification and compensation studies for cities and counties and other public sector organizations and have done similar work in the state of North Carolina. We are delighted that you are looking to update and refresh a sustainable compensation system. • Our project team has worked together on over five hundred similar consulting engagements nationwide, regionally and locally including work with municipalities and public sector organizations throughout the Eastern Seaboard of the United States. i • Our people are proven, experienced compensation professionals. Our team members have attained the CCP (Certified Compensation Professional) designation from WorldatWork and/or the IPMA-CP (Certified Professional) designation from the International Public Management Association for Human Resources, and hold specialized degrees in such fields as HR Management/Industrial Relations or Public/Business Administration. Enclosed you will find a detailed project approach and work plan, staff resumes/qualifications, and our pricing schedule for your review. Per our discussion, we would be pleased to work with the County to reduce the cost if we have over-estimated your requirements. Should you require any further information or have questions regarding our proposal, please contact me at 651-234-08048; or via email Ronnie charles(a),ajg.com . i Sincerely, Ronnie E. Charles, SPHR, GPHR, IPMA-CP Principal Consultant & Eastern Region Practice Leader Gallagher Benefit Services,Inc. p 651.234.0848 16064 Parsons Road f 651.234.0849 Beaverdam,VA 23015 ajg.com DocuSign Envelope ID: E2A3FD22-97F6-4032-AE98-8051BF17AD9A Arthur J. Gallagher& Co. Background In today's environment, with changing workforce demographics, retirements, and the ever- increasing need to accommodate change, compensation systems need to be engineered to provide flexibility. Frequently we find that compensation systems have grown more complex over time and occasionally need to be refined to more accurately reflect the work that is currently conducted. Given that public organizations typically spend between 50% and 80% of their operating budgets on employee compensation, it only makes sense that the money be spent in a manner that helps the agency achieve its strategic and budget objectives. We understand that all classification and compensation systems, regardless of their design, require continuing evaluation and maintenance to ensure ongoing competitiveness. Having supported many organizations implement and update a wide range of classification and compensation programs, we are acutely aware of the need to maintain these systems in a manner that supports the County's ongoing goals of achieving internal equity. The overall scope of the study will address: ■ County Compensation Philosophy and supporting strategies; and ■ Pay compression analysis with suggested methods to eliminate and correct deficiencies as identified to include fiscal impact. In order to accomplish your stated objectives, the following activities will be addressed: • Facilitation of discussions with County leadership to confirm the overall strategy and direction for your job classification and compensation systems. • Conduct of a detailed review of the County compensation system to analyze and determine pay compression issues based on HR analytic data provided by the County. • Recommendations to strengthen the County's overall compensation program using the results of the pay compression study and review of compensation processes. • Recommendations for methods to implement the findings of the study and options and directions. • Transition plans for implementing the findings of the study. Our recommendations will take into consideration the culture and financial resources of the County of Orange, NC. Project Work Plan Phase I - Study Initiation and Compensation Philosophy We find that a review of the compensation philosophy and related discussions to be extremely valuable during the course of studies such as these and to assist in determining the implementation parameters. This phase is primarily used to determine the specifics and strategic/technical aspects of the project, including timelines, key dates, and communication strategies. We believe that the initial strategy confirmation process, addressing compensation objectives, is necessary to frame the project as a whole. Gallagher Benefit Services,Inc. p 651.234.0848 16064 Parsons Road f 651.234.0849 2 Beaverdam,VA 23015 ajg.com DocuSign Envelope ID: E2A3FD22-97F6-4032-AE98-8051BF17AD9A Arthur J. Gallagher& Co. Phase II — Pay Compression Study We will use County produced compensation source data and conduct a comprehensive assessment of the system to identify and verify any pay compression issues that may exist within the current system covering all employees. We will analyze the data to provide an understanding of internal equity and to address related issues within recommended methods to resolve pay compression issues. Phase III- Project Finalization and Final Report We will develop a final report that includes recommendations related to the compensation system, including recommendations on implementation methods and costing analysis for the elimination of pay compression. We will prepare report presentations summarizing the process used in the study and our recommendations to leadership and other affected groups. Study Component Summa Tasks/Deliverables I. Study Initiation and ■ Organization & salary material collected. Compensation Philosophy ■ Identification of possible barriers to implementing and maintaining change. [Includes 1 day on site to conduct ■ Assessment of the strengths and weaknesses of project initiation and strategy the County's current classification & compensation meetings.] systems. ■ Development of or facilitation of an updated compensation philosophy and strategies with County leadership and HR. ■ Project timetable confirmed. ■ Communication plan confirmed. II. Pay Compression Study ■ Diagnostic review of current salary structures and policies to identify organizational pay compression. Recommend methods to alleviate pay compression or update of existing policies and procedures. ■ Transition options and next steps/costs outlined. III. Project Finalization ■ Draft report developed and discussed with the [Presumes on site final presentation County. & training.] ■ Quality assurance reviews conducted. ■ County of Orange review and feedback. ■ Final report and presentation. Gallagher Benefit Services,Inc. p 651.234.0848 16064 Parsons Road f 651.234.0849 3 Beaverdam,VA 23015 ajg.com DocuSign Envelope ID: E2A3FD22-97F6-4032-AE98-8051BF17AD9A Arthur J. Gallagher& Co. TIMELINE We are prepared to commence the work upon receiving your authorization to proceed. The following is an estimate to complete each phase by month. We will conduct regular tele- conferences with the County of Orange, NC to ensure that the schedule is monitored. I Study Initiation and Compensation Philosophy 11 Pay Compression Study III Project Finalization Gallagher Benefit Services,Inc. p 651.234.0848 16064 Parsons Road f 651.234.0849 4 Beaverdam,VA 23015 ajg.com DocuSign Envelope ID: E2A3FD22-97F6-4032-AE98-8051BF17AD9A Arthur J. Gallagher& Co. City of Orangeburg Internal Tea ' -__ Bruce G. Lawson, MPA, CCP, IPNIA CP Project Director Ronnie Charles, SPkRG�H .�. . . James C. Fox, Ph D Technical„Ad Sandy Spellman, MPA, IPMA-CP ,:: Annette Hoefer, MBA,CCP August Zhu, MA-HRIR Quyang Pan, MA HRIR Project Team Gallagher Benefit Services,Inc. p 651.234.0848 16064 Parsons Road f 651.234.0849 5 Beaverdam,VA 23015 ajg.com DocuSign Envelope ID: E2A3FD22-97F6-4032-AE98-8051BF17AD9A Arthur J. Gallagher& Co. There are five critical concerns that must be addressed in organizing, staffing, and managing this project: • Open communications must be maintained with employees and management. • The consultants must secure high levels of acceptance from policy makers, employees and management, which is demonstrated through experience, professionalism, and quality work product. ■ Work must be carefully planned and efficiently performed to meet your objectives. We will utilize our Richmond and Phoenix offices for ongoing client access with Bruce Lawson, Managing Director, Ronnie Charles, Principal Consultant, and Annette Hoefer, Senior Consultant, available for on-site and virtual consultation as needed. • The consulting team must address the concerns of the County's managers and supervisors, and affected employees. • The team must have the proper mix of project management skills, technical expertise, and public sector experience. We have considered these needs and have proposed a project team that will meet your needs. BRUCE G. LAWSON, MPA, CCP, IPMA-CP Mr. Lawson is a Managing Director of the firm. In this capacity, Mr. Lawson serves as project director and/or technical advisor, providing technical direction and quality assurance. He is responsible for all consulting activities in the areas of job evaluation and compensation, organization analysis, personnel systems and policy development. Mr. Lawson has been directing classification and compensation studies for more than 30 years. Prior to forming Fox Lawson, he spent 15 years with the firm of Ernst &Young LLP where he served as the national director of their public sector compensation consulting practice. He also served as City Manager in two California cities (Los Altos Hills and Belvedere), was the County Administrative Officer in Multnomah County (Portland) Oregon, Assistant City Manager/Personnel Director in Corvallis, Oregon, and Assistant to the City Administrator/Personnel Director in Placentia, CA. Mr. Lawson served on the City of Phoenix (AZ) Public Safety Employees Retirement Board for 12 years. Mr. Lawson has a Master's Degree in Public Administration from the California State University at Fullerton, is a.b.d. in Public Administration from Golden Gate University in San Francisco, and has earned his CCP certification from WorldatWork. He is also an active member of several professional associations including the College & University Professional Association for Human Resources, the International City & County Management Association, the International Public Management Association for Human Resources, the Society for Human Resources Management and WorldatWork. Mr. Lawson co-authors a bi-monthly compensation article called the CompDoctorTM. JAMES C. FOX, Ph.D., IPMA-CP Dr. Fox is a Managing Director of the firm. In this capacity, he serves as project director and/or technical advisor on all projects, providing technical direction and quality assurance. He is responsible for all consulting activities in the areas of personnel management,job evaluation and compensation, organization and management analysis, executive compensation, and survey research. Dr. Fox has been directing classification and compensation studies for more than 25 years. Prior to forming the firm, he was a Partner in the firm of Ernst & Young LLP and headed up the firm's regional compensation practice, with national responsibility for the public sector compensation practice. Dr. Fox holds both M.A. and Ph.D. Degrees in Sociology from the University of Minnesota. He has been an instructor at Metropolitan State University and the Gallagher Benefit Services,Inc. p 651.234.0848 16064 Parsons Road f 651.234.0849 6 Beaverdam,VA 23015 ajg.com DocuSign Envelope ID: E2A3FD22-97F6-4032-AE98-8051BF17AD9A Arthur J. Gallagher& Co. University of Minnesota, and has been a guest lecturer at regional conferences and meetings. He is a member of the Society of Human Resource Management, WorldatWork, where he is on the faculty, and was the Professional Development Coordinator of the Compensation Council of the Twin Cities Personnel Association. He is the Chairman of the Human Resources Committee of the Board of the Northern Star Council of the Boy Scouts, the past Chairman of the Board of Project Pathfinder and is a member of the Ramsey County Personnel Review Board. Dr. Fox co-authors a bi-monthly compensation article called the CompDoctor TM. RONNIE E. CHARLES, SPHR, GPHR, IPMA-CP, Principal Consultant Mr. Charles is a Principal Consultant with the firm. He is responsible for leading Gallagher's Public Sector consulting practice in the eastern region of the United States and will be the project manager and lead consultant. Mr. Charles has over 30 years of Public Sector HR experience including Chief Human Resources Officer (CHRO) experience most recently in the City of Baltimore with additional professional positions in the District of Columbia, State of Virginia, and City of Suffolk, Virginia. Mr. Charles has a Bachelor's Degree in Management from Saint Paul's College. Mr. Charles is a member of several professional organizations, including the International Public Management Association for Human Resources (IPMA-HR) and currently chairs the International IPMA-HR Professional Development Committee. In addition, Mr. Charles also currently serves as the Chair of the Human Resources Certification Institute (HRCI). He brings vast experience in domestic U.S., International, and Global HR Compensation practices. Ronnie is based in Richmond, VA. SANDRA SPELLMAN, MPA, IPMA-CP Ms. Spellman is a Senior Consultant with the firm. She is responsible for conducting classification,job evaluation, and human resource process consulting projects. She has been conducting studies for our firm for 9 years and specializes in the areas of classification, communications, human resource strategy and process, performance management and employee and management focus group meetings. Ms. Spellman has worked with various types of organizations including states, cities, counties, colleges and universities, and the federal government. Prior to joining the firm, Ms. Spellman spent 18 years with Ernst & Young's consulting practices where she was responsible for client and internal change management, communications, and training strategies. She has also held state executive and legislative positions addressing a wide range of human resource and related issues. Ms. Spellman has a Bachelor's Degree in Sociology/Political Science from Arizona State University and a Master's Degree in Public Administration with an emphasis in Organizational Development from the same institution. She is a member of several professional associations, including the College & University Professional Association for Human Resources, International Public Management Association for Human Resources, and WorldatWork. ANNETTE HOEFER, MBA, CCP Ms. Hoefer is a Senior Consultant. She is responsible for conducting classification and compensation consulting projects. She has been conducting classification and compensation studies for our firm for 9 years and specializes in the areas of classification, job evaluation and compensation, personnel systems and policy development, performance management systems, employee communications, strategy discussions, pay administration planning, and focus group facilitation. Ms. Hoefer has worked with various types of organizations including states, cities, counties, colleges, universities, special districts, and private sector organizations. Prior to joining the firm, Ms. Hoefer worked for 9 years in the same capacity at Lee and Burgess Associates, a consulting firm based in Colorado, and prior to that, had held human resources positions in energy, healthcare, and insurance companies. Ms. Hoefer has a Bachelor's Degree in Business Administration from the University of Iowa and a Master's Degree in Business Gallagher Benefit Services,Inc. p 651.234.0848 16064 Parsons Road f 651.234.0849 7 Beaverdam,VA 23015 ajg.com DocuSign Envelope ID: E2A3FD22-97F6-4032-AE98-8051BF17AD9A Arthur J. Gallagher& Co. Administration with an emphasis in Human Resources from same institution, and has earned her CCP certification from WorldatWork. QUYANG PAN, MA-HRIR Ms. Pan is a Consulting Associate with the firm. She has conducted a variety of classification and compensation studies for cities, counties, higher education, school districts and quasi-government organizations. Prior to joining the firm, she worked for Maersk A.P. Moller Group for four years in market research and client service. She has broad exposure to all functional areas in the business environment. Ms. Pan has a Master's Degree in Human Resources and Industrial Relations from the University of Minnesota. She's member of the Twin Cities Human Resource Association. AUGUST ZHU, MA-HRIR Mr. Zhu is a Consulting Associate of the firm. He has consulted with non-for profit, colleges and universities, quasi-government organizations, as well as cities,counties and states. Mr. Zhu has a Bachelor of Science Degree in Human Resources from Shanghai Jiao Tong University and a Master's Degree in Human Resources and Industrial Relations from the University of Minnesota. Prior to joining Fox Lawson & Associates, he was a compensation analyst at BASF (China) and organization development consultant at Bovis Consulting. We understand the importance of this study as one of many strategies to address current human resource issues and appreciate the delicate nature of public sector spending. Therefore, we have proposed a fee intended to generate project results and add value to the County of Orange, NC. Our fees to conduct the project outlined (including out of pocket expenses) will not exceed $30,000. We would not like fees to be the major impediment to addressing these important needs. We would be pleased to explore options in the work plan and/or modification of the scope of work that may reduce the fees to fit your budget. Gallagher Benefit Services,Inc. p 651.234.0848 16064 Parsons Road f 651.234.0849 $ Beaverdam,VA 23015 ajg.com DocuSign Envelope ID: E2A3FD22-97F6-4032-AE98-8051BF17AD9A DATE(MM/DD/YYYY) ACOR" CERTIFICATE OF LIABILITY INSURANCE 11/30/2015 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER,AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy,certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). PRODUCER NAME: Direct All Inquiries to Email Arthur J. Gallagher Risk Management Services, Inc. PHONE FAX 300 S. Riverside Plaza, Suite 1900 'C'No): E-MAIL Chi—Certificates@ajg.com Chicago IL 60606 ADDRESS:Chi L% INSURER(S)AFFORDING COVERAGE NAIC# INSURERA:Arch Insurance Company 11150 INSURED ARTHJGA113 INSURER B: Gallagher Benefit Services, Inc. INSURERC: P O Box 32985 Phoenix,AZ 85064-2985 INSURER D INSURER E INSURER F: COVERAGES CERTIFICATE NUMBER: 309469696 REVISION NUMBER: THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES.LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR TYPE OF INSURANCE ADDL SUBR POLICY EFF POLICY EXP LIMITS LTR INSD WVD POLICY NUMBER MM/DD/YYYY MM/DD/YYYY • X COMMERCIAL GENERAL LIABILITY 41GPP4938408 10/1/2015 10/1/2016 EACH OCCURRENCE $1,000,000 IX OCCUR DAMAGES( RENTED CLAIMS-MADE PREMISES Ea occurrence) $1,000,000 X SEE DOO MED EXP(Any one person) $10,000 PERSONAL&ADV INJURY $1,000,000 GEN'L AGGREGATE LIMIT APPLIES PER GENERAL AGGREGATE $3,000,000 POLICY❑ PRO [X] LOC PRODUCTS-COMP/OP AGG $3,000,000 JECT OTHER: $ • AUTOMOBILE LIABILITY 41 CAS4939008 MA 10/1/2015 10/1/2016 COMBINED SINGLE LIMIT $ A ( ) 10/1/2015 10/1/2016 Ea accident 3,000,000 X ANY AUTO 41 CAS4938308(AOS) BODILY INJURY(Per person) $ AUT OWNED SCHEDULED BODILY INJURY(Per accident) $ AUTOS X HIRED AUTOS X NON-OWNED PROPERTY DAMAGE $ AUTOS Per accident UMBRELLA LIAB OCCUR EACH OCCURRENCE $ EXCESS LIAB CLAIMS-MADE AGGREGATE $ DED RETENTION$ $ A WORKERS COMPENSATION 41WCI4938108(AOS) 10/1/2015 10/1/2016 x PER OTH- A AND EMPLOYERS'LIABILITY y/N 41 WCI4938108(WI) 10/1/2015 10/1/2016 STATUTE ER ANY PROPRIETOR/PARTNER/EXECUTIVE E.L.EACH ACCIDENT $1,000,000 OFFICER/MEMBER EXCLUDED? F�] N/A (Mandatory in NH) E.L.DISEASE-EA EMPLOYE $1,000,000 If yes,describe under DESCRIPTION OF OPERATIONS below E.L.DISEASE-POLICY LIMIT $1,000,000 DESCRIPTION OF OPERATIONS/LOCATIONS/VEHICLES (ACORD 101,Additional Remarks Schedule,may be attached if more space is required) General Liability: General Aggregate Per Location Subject to$10 Mil Policy aggregate. Certholder is shown as an Additional Insured on the General Liability policy per form 00 GL0596 00 04 10 attached as required by written contract pursuant to and subject to the policy's terms, definitions,conditions and exclusions. Waiver of Subrogation applies. CERTIFICATE HOLDER CANCELLATION SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN Orange County, NC ACCORDANCE WITH THE POLICY PROVISIONS. Attn : Gwen Capers Contracts& Purchasing, 200 South Cameron Street AUTHORIZED REPRESENTATIVE Hillsborough NC 27278 USA P-41 ©1988-2014 ACORD CORPORATION. All rights reserved. ACORD 25(2014/01) The ACORD name and logo are registered marks of ACORD 000uSign Envelope ID: E2A3Fo22-97F64032~^Ee8-8051oF17Ao9A THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. BLANKET ADDITIONAL INSURED This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY COVERAGE FORM L|QOUR LIABILITY FORM PRODUCTS/COMPLETED OPERATIONS LIABILITY COVERAGE FORM SECTION U — WHO IS AN INSURED is amended to include as an additional insured the person or organization who is required under a written contract with you to be included as an insured under this po|ioy, but only with respect to liability arising out of your operations or premises owned by or rented to you. All other terms and conditions of this policy remain unchanged. Endorsement Number: Policy Number: 41GI7I74938408 Named Insured: ARTHUR J GALLAGHER & COMPANY This endorsement is effective on the inception date of this Policy unless otherwise stated herein: Endorsement Effective Date: 10/01/15 00GL0596 00 04 10 Page 1 of 1