Comprehensive Compensation and Classification Study

2026-11-03

The selected consultant shall provide professional services to conduct a comprehensive compensation and classification study for the City of Farmington . Services shall include , at a minimum , the following : 1 . Labor Market and Benchmark Identification Identify and recommend appropriate public - sector labor markets and benchmark classifications that provide relevant and meaningful comparative compensation data . Comparable entities shall include , at a minimum , New Mexico municipalities and counties and must also address comparable public electric utilities and public safety organizations , including police and fire agencies . Private - sector labor markets may be utilized where appropriate and must be clearly justified . All recommended labor markets shall be presented to City staff for review and approval prior to use in the study . 2 . Compensation Survey and Market Analysis Conduct a comprehensive compensation survey using the approved labor markets and benchmark positions . Analyze external competitiveness and internal equity , and develop market - based salary recommendations for all classifications . 3 . Pay Structure Evaluation and Design Review the City ’ s current pay structure and identify changes needed to support current and future organizational needs . If warranted , develop a revised salary structure , including pay grades , salary ranges , grade pricing , and range spreads , and provide a recommended implementation strategy . 4 . Compensation Philosophy and Policy Review Develop and present recommendations for a comprehensive compensation philosophy addressing , at minimum : • Salary - capped ( red - lined ) employees • Salary compression • Hiring and placement practices • Longevity pay • Bilingual pay • Certification and advanced education incentives • Promotional increases 5 . Job Evaluation and Internal Alignment Evaluate positions through the development and review of a job - ranking structure . Validate rankings using relevant market data and organizational analysis . Assess alignment across departments and classifications and recommend adjustments as appropriate . Note : A large portion of the City ’ s job descriptions were recently reviewed by departments and updated . 6 . Employee Placement Review Review incumbent salaries , experience , and qualifications relative to market data and internal equity , and recommend appropriate placement within the approved pay structure . 7 . Retirement and Benefits Market Review Evaluate retirement benefits within the identified labor markets , including PERA contribution rates and supplemental retirement options . 8 . Financial Impact and Implementation Analysis Prepare and present cost and impact analyses associated with implementing recommended compensation and classification changes , including impacts on current employees and projected future costs . 9 . Market Adjustment Methodology Develop and present a methodology for determining future market or cost - of - living adjustments , if warranted .

New Mexico

2026-05-02