HomeMy WebLinkAbout11/02/1993, C-2 - COMPREHENSIVE STUDY OF MANAGEMENT CLASSIFICATIONS II�h��N���N���IIIIIIIipp IIuIN "J t � ME11 - 02 - 93
1N0E
c
II�N�NII Cl o san a�s osispo ITEM NUMBER:
COUNCIL AGENDA REPORT -�
FROM: Ann Slate, Director of PersonnelD
SUBJECT: Comprehensive Study of Management Classifications
CAO RECOMMENDATION: By motion, authorize the City Administrative Officer to
execute a contract in the amount of $2,500 with Brunner Consulting to analyze the existing
management classifications and to develop recommendations for a management
classification/compensation structure.
DISCUSSION
Background
The City Council in Closed Session on July 20, 1993 directed staff to review the salary range
for the position of City Clerk, a City Council appointed position. Because the current
Managerial Compensation Plan, adopted in 1989, provides a five year compensation strategy
covering 1989 through 1993 and will expire at the end of this year, the feasibility of reviewing
all management positions as well as the City Clerk's was discussed. Council asked staff to
return with a process for such a review.
The Process
Brunner Consulting, a human resources consulting firm, was contacted. Sharon Brunner, one
of the firm's principals, developed the City's current Managerial Compensation Plan and has
assisted the Council in its annual performance evaluations of Appointed Officials. She has
considerable experience in public sector compensation design and analysis. A proposal
outlining an approach to evaluating internal equity among the thirteen management classifications
was submitted that would include the development of a job evaluation methodology specific to
the City of San Luis Obispo. All management positions would be evaluated using the
appropriate factors and measures which will result in an overall ranking.
Concurrent with the consultant's work, City staff will survey the external marketplace and
develop salary range recommendations on job-matching comparisons (practices/trends of other
cities). Current management base salaries, perquisites, job descriptions, and organizational
charts (as available) will be compared to those of other cities; it is not a simple title-matching
approach.
By blending the consultant and staff work, appropriate internal rankings can be determined that
are based on consistently applied job content factors/measures (job evaluation methodology) and
the external salary market. Recommendations for adjustments to the salary ranges if indicated
by the analysis will then be developed and forwarded to the Council for review and approval.
����►�►►bu►I�iIiIIfIIIP� ���UIII city of san L AIS osispo
COUNCIL AGENDA REPORT
Compensation Policy
It is important to emphasize that such an undertaking does not signify any actual salary increases
at this time. A review of the positions may or may not result in recommendations for
adjustments to the salary ranges which will require Council approval. If the Council approves
adjustments to the salary ranges, the incumbents in the various management positions will be
placed in their new salary ranges at their existing salary levels with no increases in salary unless
authorized by Council as part of a compensation package.
Conclusion.
The process as outlined above will enable the City to refine its current managerial compensation
structure in compliance with City policy. The compensation plan is designed to establish levels
of pay and benefits which reflect appropriate relationships among classifications in the City
service. (Municipal Code of San Luis Obispo 2.36.130). The Municipal Code further states that
the compensation plan should be consistent with the goals of adequately compensating employees
(officials) for their work and maintaining the City's ability to attract and retain qualified
applicants.
FISCAL EUPACT
I
The cost of consultant services is estimated to be $2500 and is available in the Personnel
Department budget.
ALTERNATIVES
(1) Contract with Brunner Consulting to complete the entire project without assistance from
City staff in conducting the external survey work. This is not recommended as it would
result in additional costs of approximately $3,200. City staff is capable of conducting
such a salary/classification survey which is a regular activity performed by the Personnel
Department. Whereas City staff does not currently possess the expertise to undertake an
internal job factor evaluation that is critical to any position equity analysis, the consultant
will work closely with staff in developing the methodology for future projects. Even
with the appropriate City staff expertise, the objectivity a consultant study brings to an
internal review is extremely valuable.
(2) Review the City Clerk's salary range and its relative position to other ranges apart from
a comprehensive study. This is also not recommended since a comprehensive review of
all management and appointed official positions is scheduled for late 1993 when the
current compensation resolution concludes its five year strategy. To review one
classification in isolation for internal equity does not make sense since those other
management classifications have not been reviewed since 1989. Results of a limited
u���l�►�►u�illllllflP1° �IIIIIII MY Of San L.JS OBISp0
Main COUNCIL AGENDA REPORT
review may yield inaccurate conclusions based upon comparisons with outdated
classifications and salary ranges.
(3) Do nothing at this time. This is not recommended since the Management Compensation
Plan is due for review at the end of its five year strategy, which is the beginning of
1994. A salary survey for management positions is scheduled for later this year but will
not include any internal equity analysis. Such an analysis has not been done since
January, 1989. It is important that the City periodically look at its management
classifications for internal as well as external parity.
i
I
I
I
j
it
-3
11P
Enterprises
P.O.Bax 2119
Avila Beach,CA 93424
October 14, 1993
Mr. erry Kinney
City San Luis Obispo
990 Pa Street
San Luis bispo, CA 93401!
RE: Tract 50, Units 1 and 2, Final Map
Dear Jerry:
I am writing this left as we discussed, to out a the present situation
with regard to Tract 1 0, Units 1 and 2. As ou know, it has been
difficult trying to finalize nancing and bon ng arrangements. We've
worked out with our bondi company an an assortment of local lenders
most of the requirements. wever, we ave also entered into an
agreement with a large home uilding mpany which is superseded
these arrangements.
This company is Centex, which is esently the largest home builder in
the country. They provide a hom o ood quality at an affordable price
and we believe they will be a re attri to to the Islay Hill project
Our agreement has been wor ed out durin the past month and is in the
final stages of due diligence A number of it s need to be concluded
including a Level One envi nmental review a property. This study is
presently underway but is of expected to be co leted until the end of
this month. We do not s spect any difficulties sin the property's history
was previously rangela d. Unfortunately, the compl ion of the due
diligenceeffortis pr riously, close to the present a 'ration date for the
extension of the sub ision agreement. Therefore, we re respectfully
submitting this req st to extend for an additional 90 day the present
subdivision ent.
We expect th completion of the due diligence and subsequent bonding
may be completed prior to the November 8 date. However, we didn't want
805/595-7777
FAX 805/595-7927
A Division of Infinite amimns.Inc