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<br />Table 2. Salary Rates <br /> <br />City Position <br />Principal Civil Engineer <br />Civil Engineer II <br />Engineering Associate <br />Associate Engineering Technician <br />Engineering Technician <br />Principal Landscape Architect <br />Landscape Architect <br />Landsca e Desi ner <br /> <br />City Salary <br />Rate <br />35.04 <br />30.71 <br />28.12 <br />23.53 <br />22.39 <br />30.71 <br />28.12 <br />23.08 <br /> <br />Private Firm <br />Average <br />Salary Rate <br />40 <br />34 <br />28 <br />28 <br />24 <br />34 <br />28 <br />24 <br /> <br />Rate <br />Difference <br />$4.96 <br />$3.29 <br />-$0.12 <br />$4.4 7 <br />$1.61 <br />$3.29 <br />-$0. 12 <br />$0.92 <br /> <br />% Rate <br />Difference <br />14% <br />11% <br />0% <br />19% <br />7% <br />11% <br />0% <br />4% <br /> <br />Standard <br />Deviation <br />7.50 <br />5.00 <br />3.40 <br />3.50 <br />3.50 <br />5.00 <br />3.40 <br />3.50 <br /> <br /> <br />As in the comparison of charge-out rates, the higher-ranked positions of Principal Civil <br />Engineer, Civil Engineer II, and Principal Landscape Architect show the highest percentage <br />of difference in the comparison of salary rates. Yet that percentage is lower than the <br />differences in charge-out rates (11 % to 14% vs. 26% to 51 %). The rest of the City's positions <br />closely match the average salary rates of the private firms. <br /> <br />Table 3 shows the total markup rates for the City are lower than the total markup rates for <br />private firms. <br /> <br />Table 3. Markup rates for the City and <br />private firms <br /> <br /> Total Overhead <br /> Markup Markup Profit Markup <br />City of <br />Eugene 2.64 2.64 nfa <br />Private Firms 2.76 1.68 1.08 <br /> <br />Markup rates for private firms comprise some dissimilar elements from the City's markup <br />rates. Private firms exclude reimbursable expenses from their overhead markup because <br />they are able to track photocopying and telephone expenses and bill clients for those <br />separately. Private firms may also choose to bill for administrative staff time as a separate <br />expense in their contract. The City's overhead markup includes reimbursable expenses <br />private firms may bill for separately, including a portion for administrative staff time. <br /> <br />Profit for private firms is sometimes saved by the company for future investments or capital <br />expenditures, with at least a portion going to employees in the form of bonuses or additions <br />to their retirement or 401 K plans. Due,to the dissimilarities which comprise overhead markup <br />and the fact the profit markup is sometimes used to compensate employees in private firms, <br />total markup is the best comparison. <br /> <br />4 <br />C;:,} W - Lj <br />