HomeMy WebLinkAbout11/14/2000 Minutes - Special MeetingCITY OF DIAMOND BAR
SPECIAL CITY COUNCIL MEETING
NOVEMBER 14, 2000
CALL TO ORDER: Mayor O'Connor called the Special City Council
Meeting to order at 9:05 a.m. in Conference Room A, Diamond Bar City Hall, 21660
E. Copley Drive, Suite 100, Diamond Bar, CA 91765.
PLEDGE OF ALLEGIANCE: Mayor O'Connor led in the Pledge of Allegiance.
ROLL CALL: Council Members Chang, Herrera, Huff, Mayor
Pro Tem Ansari and Mayor O'Connor.
Also present were: James DeStefano, Interim City Manager
NEW BUSINESS:
2.1 INTERVIEWS OF EXECUTIVE RECRUITMENT FIRMS FOR THE
POSITION OF DIAMOND BAR CITY MANAGER:
Presentations by representatives from the following firms:
A. Bob Murray and Associates.
Regan Williams stated that Bob Murray & Assoc. is a relatively new company
formed in July 2000. However, Bob Murray is quite well-known throughout
the western U.S., has been conducting executive search for many years and
has placed nearly 100 City Managers, County Administrators, etc. Prior to
commencing work with Bob Murray, he spent 30 years working for the City
of Sunnyvale, the last 15 years in management and the last 7 years as the
Director of Public Safety. He reviewed the 11 -step process his firm takes in
recruiting for a City Manager; the most important of which is to determine
what the City wants. Other steps involved in the process include developing
and distributing a recruitment brochure and initiating an advertisement
campaign. He stated that while networking for other positions; he spoke with
a couple of managers of other cities who are interested in relocating to
Diamond Bar. His firm would set a cut-off date at which point the
applications would be screened and narrowed down to approximately 12
candidates. Those 12 candidates would be interviewed down to about six
candidates, at which time the firm would assist D.B. in conducting the
interview process of those six candidates. Important items to the search are
Salary and compensation package (relocation expenses, housing assistance,
low interest loans, etc.). He felt that a regional search would be sufficient for
D.B. rather than a national search because there is a large group of people
within the State, which would provide a quality candidate selection.
Mr. Williams responded to C/Huff that this process takes several months to
complete. Since his firm opened, there have been no City Manager
placements. However, Bob Murray has placed hundreds during his career.
NOVEMBER 14, 2000 PAGE 2 SPECIAL CITY COUNCIL
Mr. Williams asked if the City Council had specific and/or internal candidates
in mind for the position.
Mr. Williams responded to C/Huff that the firm has a list of potential
candidates with whom they network on a regular basis. Prior to being
involved in recruitment, Mr. Murray was a City Manager in Olympia,
Washington and previously served as an assistant City Manager in Walnut
Creek. He was instrumental in putting together DMG's executive search
program. The name "Bob Murray" allows him access to potential candidates
throughout the country.
Mr. Williams explained to C/Chang his company's detailed plan for
recruitment. He recommended that the Council appoint a contact person to
receive the initial information from his firm.
Mr. Williams explained to MPT/Ansari that Mr. Murray was not present at this
meeting because he was conducting a review process with another City. Mr.
Williams explained that he has 30 years of municipal government experience
and has hired hundreds of employees. He was actually involved in the team
that hired his City Manager. While he would be the project manager for D.B.,
Mr. Murray would remain involved in the process.
Mr. Williams explained to C/Herrera that his firm's staff is not large; however,
they do not take on more than they can handle. Once the initial reviews are
conducted and the initial advertising campaign is developed, there is a period
of time when the firm is waiting for responses. His support staff consists of
administration, clerical and retired law enforcement investigators. Potential
applicants are considered based upon the criteria set forth by the D.B. City
Council. Applicants who do not meet those criteria are eliminated and the
remaining applications are narrowed down to a list of 12 finalists based upon
their background and experience.
Mr. Williams explained the costs to C/Chang. He estimated that it would take
three to four months to provide the final interview list of potential City
Managers to D.B.
In response to M/O'Connor, Mr. Williams stated that the vast majority of the
applications will come from advertising on the pamphlet and 10-15% come
from networking. His firm has not actively engaged in finding potential
employment for spouses of candidates; however, he was aware of one City
that has taken on such a project. Although a smaller percentage of
candidates come from the firm's networking, they appear to be some of the
better qualified candidates.
C/Huff asked if the firm would refer potentially "hot" candidates to D.B. even
though they may not fit the Council's criteria.
NOVEMBER 14, 2000 PAGE 3 SPECIAL CITY COUNCIL
Mr. Williams indicated that referral candidates are primarily screened based
upon criteria provided by the City.
C/Huff hoped that during this process, the firm could help the City establish
the criteria. Mr. Williams responded that if the City does not know specifically
what it wants, his firm would help establish the criteria.
Mr. Williams indicated to M/O'Connor that salary would be very important.
You get what you pay for. If you advertise the position at $105,000 per year,
it will make it more difficult to attract a quality candidate. He recommended
that the position be listed with salary "negotiable." Prospective candidates
will ask the firm what salary range the City is considering and the firm prides
itself on its honesty and integrity. If the firm begins luring a candidate into the
process at $150,000 and the City offers the job at $105,000 it would damage
both the City and the firm. In order to discuss the matter with potential
clients, he would like to have a salary range reference to discuss with
potential clients. He would prefer to obtain information about City Manager
salaries currently being paid by neighboring cities. He suspected that
$105,000 is low.
ICM/DeStefano pointed out that many ads indicate "up to $115,000 salary
presently under review" for instance, that allows for flexibility while the City
Council is determining what salary might be appropriate.
Mr. Williams believed items such as relocation expenses, housing
considerations, etc. help to make the package more attractive.
Mr. Williams indicated to MPT/Ansari that Bob Murray's retention rate is
excellent. In fact, his firm's proposal offers a guarantee of one year in the
contract.
ICM/DeStefano asked how Mr. Williams's firm measures success in matching
a candidate with the City, and what method of follow up does Bob Murray
and Associates provide to the City Council and to the candidate.
Mr. Williams responded that his firm's follow up consists of word-of-mouth.
If one of his candidates were placed in D.B., he/she would become a
member of their network to help identify future candidates. Bob Murray &
Assoc. will not call a candidate it has placed six months earlier asking him or
her to consider another position but they would be used for networking.
Mr. Williams indicated to C/Huff that Bob Murray & Assoc. does not
encourage their placements to apply for other City Manager positions for
which they are recruiting. Mr. Murray's reputation is such that he can call
almost any City Manager and get him on the telephone. Their placements
are generally very open to providing feedback on potential candidates.
NOVEMBER 14, 2000 PAGE 4 SPECIAL CITY COUNCIL
RECESS: M/O'Connor recessed the Special City Council Meeting at 10:05 a.m.
RECONVENE: M/O'Connor reconvened the Special City Council meeting at 10:10
a.m.
B. Richard Perry and Associates
Richard Perry presented his company's credentials. To date, his firm has
placed approximately 100 City Managers, CEO's, general managers of
special districts, etc. 99% of their work consists of public sector placements.
He spoke about his firm's successes and failures.
Mr. Perry indicated to C/Huff that in some instances, City Managers are hired
and four years later when new City Council members come on, they are not
necessarily happy with the previous regime's choice and seek a replacement.
Mr. Perry responded to M/O'Connor that with respect to community input,
there are typically people who have grudges against City government.
Therefore, he does not know how reflective the community's input would be.
There may be value to the City Council to receive public input on this
process. Professionally speaking, it has been a positive process for him to
receive community input whereas, it may not be positive for City officials.
In response to C/Herrera, Mr. Perry elaborated on recruiting and telephone
outreach, which brings in about 20-25% of the candidates. Outreach
generally consists of placing an add in the Westem City, followed by having
a brochure arrive in prospects' offices and conducting telephone outreach
about a week after that.
Mr. Perry- provided Council Members with copies of his brochures. He
indicated to M/O'Connor that the size and quality of the brochure is pertinent
to the process. He preferred using the smaller brochure and providing the
pertinent information. However, some people are drawn to fancier marketing
tools. He writes the text and his graphic artist prepares the brochure. Each
brochure is personalized for a specific community.
C/Huff asked how Mr. Perry views the community (D.B.), how difficult it will
be to recruit for D.B. and what salary range would he propose.
Mr. Perry stated that there are usually more issues involved with a larger
community. D.B. is a good size. The size of the City's budget and number
of employees are matters that concern potential candidates and they are
much more attracted to full-service communities, which would be a negative
in the case of D.B. The history and quality of the community is important.
His first impression of the community was very positive. This is a well-
maintained community. In order to determine a potential salary range, he
would need more information. He estimated the salary range to be between
NOVEMBER 14, 2000 PAGE 5 SPECIAL CITY COUNCIL
$100,000 and $125,000.
MPT/Ansari commented that she appreciated Mr. Perry's asking questions
about the City prior to coming into the community.
Mr. Perry said he found one of the trickiest items to deal with is influencing
neighboring communities relative to redevelopment. As a result, one of the
things he would guess D.B. would be looking for might be someone who, on
a regional basis, will stand out and will be someone who people will pay
attention to. He was surprised to learn that D.B. is serviced by a Sheriff's
Department rather than a community police department.
Mr. Perry indicated to M/O'Connor that most of the recruiting activity will likely
occur after the first of the year. He would like to begin the process over the
holidays.
Mr. Perry responded to MPT/Ansari that typically, he gets 40-60 applicants
in this type of recruitment process. He would include recruitment from
outside of California in progressive pockets of the nation such as Boulder,
Colorado and focus on similar communities throughout the U.S. with the
majority of focus in the western states.
Mr. Perry explained to C/Huff that candidates want to know about the staff
and whether he hears the same things from them that he hears from Council
members and whether they share the same long-term policy goals and
direction. If he is hearing differences, it tells him that there may internal
problems.
Mr. Perry responded to M/O'Connor that if his firm were chosen, he would be
the project manager for D.B.
In response to C/Herrera, he explained his current workload and reported on
his most recent placements.
ICM/DeStefano asked Mr. Perry how he measures the success rate of his
placements.
Mr. Perry said that he routinely conducts three-month reviews with the new
City Manager to see how things are going. If potential problems are
detected, he calls the City Council contact to advise them. Thereafter, follow
up calls are made every six to nine months. The tone of these calls is
informal.
RECESS: M/O'Connor recessed the Meeting at 10:50 a.m.
RECONVENE: M/O'Connor reconvened the Meeting at 11:00 a.m.
NOVEMBER 14, 2000 PAGE 6 SPECIAL CITY COUNCIL
C. DMG-MAXIMUS, INC.
Eric Middleton spoke about his company's background, its process and
philosophy. Norm Robertson pioneered public sector research about 35
years ago and has conducted more than 3,000 executive searches and
placed more than 400 City Managers. Their corporate offices are located in
Century City and he lives in Redondo Beach, which allows for excellent
access to D.B. His firm cannot find "the perfect person." What his firm will
do, through their efforts, is find a City Manager that best fits this community
based upon information provided by the City and by the candidates. He
explained the process: 1) sit down with each City Council Member
individually or as a group including designated City employees, if necessary,
to determine what education and experience the City Manager must have as
well as management style, personal traits, skills, abilities and things that will
make this person push forward in a direction the Council wishes to go. He
elaborated on these items; 2) from the information gathered from City Council
Members, develop a profile for the position. He elaborated on the contents
of the profile and how the information is used. He assured Council that only
potential clients who want to live in D.B. will be presented for interview and
3) Determine why the potential candidate wants to be in D.B. Following this
process, a progress meeting will be scheduled with Council during which 10-
15 potential qualified candidates' resumes and supplemental information
questionnaire (information regarding the size of their current organization, the
current number of people that they supervise, their current salary, the budget
they handle, responses to questions about redevelopment, parks and
recreation experience, open space preservation, etc. and key questions (the
reason for the candidate's interest in the position and any barriers he/she
may have in accepting the position) will be presented for consideration. In
addition to the supplemental information his firm will provide Council with
copies of the potential candidate's resume and the date that it was submitted
to them, along with a summary of the resume. During the time between the
progress meeting and the final interview, his firm proceeds to obtain from
each candidate a reference list (supervisors, peers, etc.) and ask each
candidate to sign a written release to allow his firm to contact the references.
In addition, his firm runs a credit check on each candidate, checks for
criminal, vehicle and educational records. All references, background checks
and education degree verifications will be presented in an individual packet
for each candidate to the City Council for the potential interview process.
Finally, his firm assists both the City and the candidates through the interview
logistics.
C/Herrera asked if the firm ever uses interview panels consisting of, for
example, City Managers from other cities, to which Mr. Middleton responded
yes. In addition, his firm has used citizen panels, which have been extremely
successful. However, one of the key concerns is that most of the potential
candidates will be employed and his firm wants to keep the interview process
as confidential as possible.
NOVEMBER 14, 2000 PAGE 7 SPECIAL CITY COUNCIL
Mr. Middleton spoke about the impacts of development and redevelopment
to D.B. and about his firm's successful recruitment process for West
Hollywood. He stated that if his firm were selected, he would like to set up
a weekly telephone meeting with a designated D.B. contact.
In response to MPT/Ansari, Mr. Middleton indicated that the search process
is based upon the City Council's desires in accordance with their fee
schedule, which is based on statewide or nationwide searches. His firm has
a full time research staff that identifies candidates. During the interview
process between his firm and the Council, it may be determined that D.B.
wants someone from a comparable sized community, comparable economic
background, grass roots community, or the Council may want someone from
an entirely different area. There are many City Managers within the State
who would view D.B. as a great opportunity.
Mr. Middleton responded to M/O'Connor that he has received two potential
candidate contacts.
MPT/Ansari asked if potential candidates prefer to work with full service cities
as opposed to contract cities.
Mr. Middleton stated that there would be candidates who are specialized in
running either full-time service cities and contract cities. D.B. will want a
candidate who understands and can negotiate contracts. Council may want
to mention this fact in the recruitment brochure so those potential candidates
are not excluded from the process.
Mr. Middleton further stated that the attraction to D.B. is location and quality
of community. Due to economic/redevelopment concerns, D.B. will likely
want someone with the strengths and energy to pursue those concerns.
MPT/Ansari asked how D.B. can be assured it would have fresh candidates.
Mr. Middleton explained that what may attract candidates to D.B. would not
necessarily attract them to other communities.
In response to C/Herrera, Mr. Middleton recommended that the final review
process be a formal process with an hour for each of five or six candidates.
All candidates should be asked the same questions. At the end of that
process, candidates that the Council does not want are eliminated. If the
final selection can be made, the process is completed. If more time is
needed, the final two or three can be brought back for another interview and
this process may be less formal if the Council so desires.
Mr. Middleton responded to ICM/DeStefano that he and Norm work as a
team. He will oversee the D.B. process. Both he and Norm will be involved
in the progress meeting and interview process.
NOVEMBER 14, 2000 PAGE 8 SPECIAL CITY COUNCIL
Mr. Middleton indicated to C/Chang that salary depends on what the City can
afford. Other features of the compensation package are important. D.B. may
want to include relocation incentives and signing bonuses. Most cities the
size of D.B. pay $125,000 to $140,000 with extremes at both ends.
Responding to ICM/DeStefano, Mr. Middleton stated that when salary ranges
are printed in brochures, a candidate sees the high figure. Therefore,
printing the salary range in the brochure is not always a good idea but the
Council needs to know what its limitations are. At the final interview point
candidates need to know the top of the salary range. Preferable language
for the brochure is "salary depending on qualifications within an established
range." The progress report will contain the candidate's current experience
and salary.
M/O'Connor placed her preference as follows: 1) DMG Maximus and 2)
Richard Perry and Associates. She eliminated Bob Murray & Assoc.
C/Huff asked ICM/DeStefano if he has any feedback regarding DMG.
ICM/DeStefano stated that the key to DMG is Norm Roberts, who enjoys an
outstanding reputation and is very well known by City Managers. As a
protege, Eric Middleton probably would not harm the City at all if he were to
be the project manager versus the stated project manager being Norm
because the firm has a very good reputation, Norm has an excellent
reputation and the recent Yorba Linda recruitment was handled almost
exclusively by Eric Middleton.
M/O'Connor pointed out that it is advantageous to D.B. that DMG is local.
MPT/Ansari liked #2 and #3 presenters. She leaned toward #2 because she
liked his philosophy in dealing with people and his thinking out of the box.
She was concerned about the firm being located in No. Calif.
C/Herrera said she liked Rich Perry but found Eric Middleton to be much
more focused on the goal.
ICM/DeStefano cautioned Council that it would have the same issues with
any firm it selects. Council wants to be sure that any project manager is
capable of performing the work within the scope and, more importantly, the
time line that the Council has set to accomplish this goal.
C/Chang believed either #2 or #3 presenter would do a fine job. Perry
presented the best detail in his proposal. Mr. Middleton's enthusiasm was
greater than Mr. Perry's enthusiasm. Therefore, he favored Maximus.
ICM/DeStefano stated that in accordance with Council's comments, the
NOVEMBER 14, 2000 PAGE 9 SPECIAL CITY COUNCIL
sense of the direction from Council is to talk further with DMG and negotiate
a contract to be placed on the regular City Council agenda for November 21.
M/O'Connor asked if ICM/DeStefano believed the fee is negotiable.
ICM/DeStefano responded that it is likely the fee is negotiable but he was not
sure that the Council needs to be concerned about $1,000 one way or the
other between the three firms. He had the Council's consensus to move
forward with DMG as its lead candidate.
MPT/Ansari liked Mr. Perry's brochure.
PUBLIC COMMENTS: None Offered.
ADJOURNMENT: There being no further business to conduct, Mayor
O'Connor adjourned the Special City Council Meeting at 12:10 p.m.
LYNDA BURGESS, City Clerk
ATTEST:
Mayor Debby O'Connor