I first had to follow the instructions here to make sure that I had Ruby and Gems installed. Then I installed compass using Gems.
Then I tried to run compass and had some errors...
"Warning: Unable to load CarbonCore. FSEvents will be unavailable compass"
I found a solution here, but it required me to install RVM via gems first and then following the instructions in the link above.
Is there an easier way to setup/run compass/sass on OSX?