HomeMy WebLinkAbout12/20/1988, 3 - AMENDING COUNCIL COMPENSATION PLAN ����►�►�i►IIpIIIIIIIfII��' �Ulll city of San tins OBlspo M Lz7orA
COUNCIL AGENDA REPORT STEM NU
FROM:
Ken Schwartz . Chairman Council Compensation Committee
SUBJECT:
Amending Council Compensation Plan
CAO RECOMMENDATION:
Adopt resolution approving Council Compensation Plan and direct staff to
amend Travel Guidelines to include spousal participation in Annual League
meetings.
BACKGROUND:
BACKGROUND
Pursuant to the provisions of Charter Section 410, the City Council at its
August 2, 1988 meeting appointed a five-member Council Compensation
Committee to review Mayor and Councilmembers compensation and benefits and
to recommend any adjustments determined to be appropriate for the two-year
period January 1, 1989 through December 31 , 1990.
In accordance with the Council Policy Statement adopted October 7, 1986
calling for the Committee to be broad-based and to include at least one
previously elected official , one Personnel Board member and one
citizen-at-large, the Council did appoint: T. Keith Gurnee, former
Councilmember: Steve Keil , San Luis Obispo County Personnel Director:
Leslie Ramsey, citizen-at-large; Marti Reed, Personnel Board member, and
Ken Schwartz, former Mayor.
City staff supporting the Committee included: Ann Crossey, Personnel
Director; Roger Picquet, City Attorney; Bill Statler, Finance Director,
and Pam Voges, City Clerk.
Ken Schwartz was selected Chairperson and Steve Keil , Vice Chairperson.
The Council Policy Statement requires that the Committee's review shall
include, but shall not be limited to: 1 ) compensation of Council and
Mayors of cities of similar population/budget size; 2) compensation
practices of both Charter and General Law cities; 3) Government Code
provisions for General Law cities; and 4) Council and Mayor
responsibilities in San Luis Obispo at the time of the Committee's review.
Five meetings were held by the Committee during which each of the topics
listed above was reviewed based on both historical and new data supplied
by staff. In addition to these topics, the Committee reviewed the
following: 1) compensation practices for cities which are also County
seats ; 2) Mayor and Councilmembers time expenditures in the conduct of
their duties: 3) expense reporting problems including the .legality of flat
allowances; and 4) travel related expenses and the City Travel Guidelines.
The Committee deliberated each of these topics and arrived at the
following conclusions and recommendations : /
city of san tuts osispo
Gii% COUNCIL AGENDA REPORT
1 . The criteria established by the 1986 Council Compensation
Committee were essentially valid and should be continued. No
structural changes were discovered in the municipal government
process either mandated by the State or by the local electorate
which have significantly affected the responsibilities or
workload of the Mayor or Councilmembers.
2. Time expenditures may have increased as a result of the growth of
the City, but recommended salaries and benefits are clearly
within the mainstream of salaries and benefits provided by other
cities of similar size and complexity.
3. Adjustments to Mayor and Councilmembers' salaries should reflect
cost of living increases.
4. The proposed compensation plan also reflects a change in City
Council benefits. Previously, the Council 's benefits were
benchmarked at the General Unit level : the proposed plan uses
Management benefits as the benchmark, which are summarized in
Attachment A. as of June 30, 1988. However, it is not intended
that Councilmembers be eligible to receive unexpended .fringe
benefits as provided in Section B of the attachment.
5. The Mayor and Councilmembers should take greater advantage of the
professional development, and business and mileage reimbursement
budgets which have been established. Each member is encouraged to
work more closely with the City Clerk in order to improve their
individual expense reporting procedures so as to collect the
business and travel expense monies provided. The idea of
individual credit cards was rejected.
6. An amendment (or exception) should be made to the City's Travel
Guidelines with respect to attendance and travel budgets for the
annual League of California Cities Conference; the Committee
feels strongly that spouses of the Mayor and Councilmembers
should be encouraged to attend and that the use of air
transportation to conference cities beyond Los Angeles or San
Francisco be allowed. Secondarily, the Committee believes that
these same amendments/exceptions should be extended to include
those management personnel/department heads/commission
chairpersons who traditionally have been participants in the LCC
Annual Conference. The Committee believes that the benefits
accrued to the City by full participation outweigh the additional
costs involved.
7. The 1990 Council Compensation Committee should closely review the
40a salary differential between the salaries of the Mayor and
Councilmembers : insufficient evidence exists at this time to
recommend a change in this differential .
►►+►�i�►III'�IIIIIIIII�aIIUIII city of San tins OBISpo
COUNCIL AGENDA REPORT
8. The attached Resolution be adopted with changes effective
.;anuary 1 , 1989.
The Committee wishes to acknowledge and to express its appreciation for
the fine cooperation it received from all staff members who assisted in
carrying out this assignment.
The members of the Committee also express their appreciation to the City
Council for this opportunity to be of service to the Council and to the
Cit y.
CONCURRENCE:
City Attorney, City Clerk, Acting Personnel Director. Finance Director
FISCAL IMPACT:
Minor adjustments will be required and will be done through the 1989-90
budget appropriations.
RECOMMENDATION:
Adopt resolution amending Council Compensation Plan and direct staff to
amend Travel Guidelines to include spousal participation in Annual League
of California Cities Conference.
Attachments: Resolution establishing new Council Compensation Plan.
Attachment A (Management Fringe Benefits - 1988-89)
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RESOLUTION NO. (1988 SERIES)
A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO
ESTABLISHING A MAYOR AND COUNCILMEMBER COMPENSATION PLAN AND
RESCINDING PREVIOUS RESOLUTION NO. 6096 IN CONFLICT
WHEREAS it is the practice of cities to provide compensation in the
form of salary, employment benefits, and professional development and
business expenses to their Mayors and Councilmembers in recognition
of their commitment and dedicated service in the performance of
official duties; and,
WHEREAS, Charter Section 410 provides for compensation and
reimbursement of expenses for the Mayor and Councilmembers and
establishes a procedure for a biannual review by a five-member
Council Compensation Committee; and,
WHEREAS, a five-member Council Compensation Committee was appointed
and has met and reviewed Mayor and Councilmember compensation in
accordance with the procedure provided by the Charter; and,
WHEREAS, the Council Compensation Committee has determined that the
criteria for compensation established 'by the 1986 Council
Compensation Committee remains valid except for the need for cost of
living and minor administrative adjustments; now, therefore,
BE IT RESOLVED by the Council of the City of San Luis Obispo that
Council compensation be established as recommended by the Council
Compensation Committee as follows:
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SECTION 1. SALARIES
Effective January 1, 1989, compensation for services rendered in an
official capacity shall be provided as follows:
A. Councilmember. A monthly salary of $450.
B. Mayor. A monthly salary of $630. This salary is established
at 40% greater than that of a Councilmember based on the
additional responsibilities and duties of the Mayor.
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SECTION 2. RETIREMENT, MEDICAL, DENTAL, VISION, AND LIFE INSURANCE.
The Mayor and Councilmembers shall be entitled td city-funded
participation in group insurance benefits such as P.E.R.S. retirement,
medical, dental, vision, and life insurance, with the city providing
funding up to the level provided management employees, except for
Section B of Attachment A.
SECTION 3. PROFESSIONAL DEVELOPMENT AND EDUCATION
Allowances shall be budgeted for the Mayor and each Councilmember as
follows:
A. Professional Development. For costs of professional
development and educational conferences designed to improve
understanding of and proficiency in municipal affairs. Said
allowance shall be used for out-of-county expenses only and
shall be reimbursed in accordance with accepted City Travel
Guidelines.
Annual Allowance:
- Councilmember $1500
- Mayor $1800
B. League of California Cities Conference. For the cost of
participating in the Annual Conference of the League of
California Cities. The City shall also reimburse the following
costs for spousal participation, which is encouraged:
- Double room instead of single room.
- Spousal registration fees to attend Conference seminars
(this does not include reimbursement for recreational
activities that may be offered by the League during meeting
activities) .
- Travel expenses only if a bus, train, or plane must be used
rather than a city vehicle. (See adopted City Travel
Guidelines for approved uses. ) If the public official uses
his/her personal vehicle, travel reimbursement shall be
provided only the employee. Air transportation shall only
be provided to conference cities located within or beyond
the Los Angeles or San Francisco areas.
- Meals that spouses are expected to attend as part of
directly-related Conference activities will be reimbursed at
the same per diem as the public official. 2
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C. Start-up Allowance. An additional professional development
allowance up to $1,000 shall be budgeted to each new Mayor and
Councilmember to help accelerate his/her comprehension of
municipal and legislative operations during the first 12 months
following the taking of office.
SECTION 4. CITY BUSINESS AND MILEAGE
Quarterly allowances shall be budgeted for the Mayor and each
Councilmember as follows:
A. City Business. For costs incurred in connection with official
city business. Said allowance shall be used for in-county
expenses and shall include all meals, tickets, periodicals,
dues, subscriptions, and similar miscellaneous expenses.
Quarterly Expense Allowance
Councilmember $300
Mayor $450
B. Mileage. For official travel within the County of San Luis
Obispo, reimbursement shall be made upon submittal of an
official mileage expense form:
Quarterly Mileage Allowance
Councilmember $300
- Mayor $450
SECTION 5. GENERAL PROCEDURES AND LIMITATIONS.
Appropriate budgetary practices and accounting controls shall be
established to ensure that expenditures and reimbursements are in
compliance with approved budget allocations•. The Mayor and each
Councilmember is expected to plan business activities so as to stay
within his/her budget. When exceptional circumstances require that '
additional amounts be allocated to accounts, formal Council action shall
be required.
A. Accounting. An account shall be established in the name of
each Councilmember with all expenditures charged to the
individual Councilmember or Mayor. If any account is depleted
prior to the end of the fiscal year, additional allocations
shall require a specific action of the City Council. Claims for
reimbursement as specified in Section 4, above, may be submitted
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monthly but the aggregate of three monthly claims may not exceed
the quarterly maximum. Receipts shall be submitted on a timely
basis but no later than 90 days from date the expense is
incurred. The Council budget shall be available for review in
the City Clerk's Office and the Mayor and Councilmembers shall
receive quarterly statements.
B. Reimbursement Limitation. The City's adopted Travel
Guidelines shall govern all expenditures for non-local
professional development and conferences. These guidelines
Include all non-local official meals, tuition or fees,
transportation to meeting sites, materials, and telephone usage.
C. Special Expenses. For occasions when the Mayor and/or a
Councilmember is designated by the City Council to represent the
City at special meetings, reimbursement shall be made from an
unallocated Travel Expense Account.
D. Honorarium. If the Mayor or a Councilmember receives an
honorarium as a result of his/her participation in a meeting or
conference, the amount of the honorarium shall be deducted from
the amount normally provided by the City for that meeting or
conference if the City paid for the Councilmember's attendance
at such meeting or conference.
E. Other Guidelines. Any other travel-related issue not
specifically governed in this resolution shall be adjudicated in
accordance with the City of San Luis Obispo adopted Travel
Guidelines.
SECTION 6. COUNCIL COMPENSATION COMMITTEE -
A five-member review committee shall be appointed by August 1 in
. even-numbered years and shall bring its proposed recommendations in
resolution form to the City Council within 90 days, or no later than
November lat.
A. Membership. The committee membership shall have as broad a
representation as possible, including but not limited to, one
previously elected official, one Personnel Board member, and one
citizen-at-large.
B. Review Responsibility. The committee shall review the full
Council compensation package including salary, benefits, expense
_ reimbursement, professional development allowances and any other
compensation provided the City Council. Review should include,
but shall not be limited to: 1) compensation of Council and
Mayors of cities of similar population/budget size; 2)
compensation practices of both Charter and General Law cities;
3) Government Code provisions for General Law cities; 4) Council
and Mayor responsibilities in San Luis Obispo at the time of the
committee's review; 5) the 40% differential between salaries of
Mayor and Councilmembers; and 6) any structural changes that may
have occurred in municipal government either as a result of
State legislation or by actions of the local electorate which
may have added to or deducted from the duties and
responsibilities of the Councilmembers and/or Mayor.
On motion of seconded by
and on the following roll call vote:
AYES:
NOES:
ABSENT:
The foregoing Resolution was passed and adopted this day
of 1988.
Mayor Ron Dunin ,
ATTEST:
City Clerk Pam Voges
Approved:
ty Admi iatrative f icer City At ney
Finan9OTrector Acting Personn4l Director
City ,Clerk
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ATTaCHMENT A
M1AGEm NT FRINGE BERUITS
1986-88
SECTION A Medical, Dental, Eye Care
The City shall establish and rtaurcaur :redii'al,
dental and We care
insurance plans for coverage by management employees and their
dependents. Each management employee snall carry medical, eye care, and
dental for self. Dependent coverage shall be at the employee' s option,
however, all eligible dependents muse be covered and covered on all plans
if dependent coverage is desired. Tne City reserves the right to choose
the method of insuring and plans to be offered. 3UO.00/mo. a 1"I-85
SECTION B Unexpended Fringe Benefit
The city shall pay to each management a�loyee as soon as practicable
prior to December 31, an annual lump sum payment (subject to appropriate
taxation) for thedifference
any lesser sum exppe aJed eraerit by thesprovided
employee for
Management employees
medical, eye care, and dental coverage for the calendar year.
SECTION C Life and Disability
Trhe city shall provide the tolloaing special insurance benefits:
1. Long-term disability insurartce providing 60% of gross salary
to age G5 for any siCKness or accident after a 90-day
waiting period.
2. $50,000 term life insurance including accidental death and
dismumberment.
3. One-half of employee's health insurance premium paid for
retired employees who elect to remain manbers of the city's
group health plan. (mWical Plan)
SECTION D Retirement
The City agt ec'S w Irrw ui� tilepuL)1 it: FJipl0vees' Recirenenc System's
2$ ac age 60 plan to all elryible enployees Lncludlny ute amendment A
permitting conversion of unused sie:K leave w additional retirement
credit, the 1959 survivor's benefit avid one year tinal canpensation.
The police aid fire chiefs shall receive the same retirement benefits
as sdorn personnel in their department• the employee's contribution
Effective 7-1-81 the city agrees to pay
to P.E.R.S. These dmounts paid by the ,:lty dre employee contributlors and
are paid by the city tj� saclsty the L!:Iployee's jbliy:mtlun w contribute
ume current percenL.J1JC ut salary Lo 1>.E.R.S. ':� ennluy=c s no L�t1un co
ha
receive trte cuntribucc(l anuunL:j direct ly Q1 h,,vlrs3 inch pald by
the city to P.E.R.S. on behalf of the ertpluyee. IL is furumer urderstood
and agreed that the ps,ymant of the rdtployee's P.E.R.S. contribution is
m'+de s;u13je(-L t0 i R.S. apprr,val ,:ki R1c?r't mn-: proc.(,lures.
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