HomeMy WebLinkAbout05/02/2006, BUS 2 - 2006 COUNCIL COMPENSATION COMMITTEE RECOMMENDATION I
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CITY OF SAN LUIS OBISPO
FROM: Pierre Rademaker, Chairperson
Council Compensation Committee
Prepared by: Audrey Hooper, City Cler4
SUBJECT: 2006 COUNCIL COMPENSATION COMMITTEE
RECOMMENDATION
COUNCIL COMPENSATION COMMITTEE RECOMMENDATION:
Adopt a resolution setting new salaries for the Mayor and Council Members, increasing them by
$100 per month effective January 1, 2007.
DISCUSSION
Background
The City of San Luis Obispo's Charter (Section 410) requires that a Council Compensation
Committee be formed during even numbered years to review the Mayor's and Council Members'
compensation and recommend any adjustments effective January 1, 2007, for the following two-
year period.
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Additionally, in 2001 Council adopted Resolution No. 9189, directing a review of compensation
for Planning Commissioners and Architectural Review Commissioners in conjunction with its
periodic review of Council compensation, as set forth in the Council Policies and Procedures.
On January 17, 2006, Council appointed the following five members to the Council
Compensation Committee: Rebecca Ellis, representing the Personnel Boards Jan Marx and Ken
Schwartz, former Council Members; and Pierre Rademaker and Bob Walters, citizens-at-large.
The Committee met once, on April 5, 2006, and reviewed the full Council compensation package
including salary, benefits, expense reimbursement, professional development allowances and
other compensation provided. In addition, the Committee compared the Council's compensation
package with that of Mayors and Council Members in eleven other cities (Charter and General
Law). As part of the review, the Council Compensation Committee also examined survey results
of what the same cities are paying their Planning Commission and Architectural (or Design)
Review Committees, if applicable.
The 2004 Council Compensation Committee recommended the monthly allowance for medical,
dental, vision, and life insurance increase to an amount equivalent to the amount paid monthly to
Department Heads and recommended no changes to Mayor and Council salaries. Council's
current salary was set in 2000, at which time Council approved a $100 per month increase for
Mayor and Council Members in accordance with the recommendation of the 2000 Council
Compensation Committee. In recognition of the service Council provides to the community and
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Council Agenda Report-2006 Council Compensation Committee Recommendations Page 2
that it has been six years since Mayor and Council salaries were adjusted, the 2006 Council
Compensation Committee unanimously agreed to recommend an increase of$100 per month for
the Mayor and Council Members.
The compensation for Planning Commissioners and Architectural Review Commissioners was
increased in 2001 from $25 to $50 per meeting, with a maximum not to exceed $200 per month.
The 2004 Council Compensation Committee did not recommend an increase and none was made
at that time. Because survey results indicated that the current stipends paid by the City were still
competitive among the half of the cities surveyed who compensated the Planning and/or
Architectural Review Commissioners, the 2006 Council Compensation Committee again did not
recommend an increase.
Committee Recommendations:
Based on its analysis and discussion, the Council Compensation Committee makes the following
recommendations:
1. The compensation package for expenses, benefits and professional development is
adequate and should remain unchanged.
2. The monthly salaries of the Mayor and Council Members should be increased by $100
per month, raising compensation for Council Members from $900 to $1,000 and Mayor
from $1,100 to $1,200 per month.
3. No change should be made to compensation for the Planning Commission or
Architectural Review Commission.
FISCAL IMPACTS
The increase to salaries will increase the Council's annual budget for Fiscal Year 2006-07 by
$3,000 and by $6,000 annually thereafter. The 2006-07 Financial Plan Supplement and
subsequent budgets will reflect this change.
ATTACHMENTS
1. Resolution Setting Mayor and Council Salaries
2. Minutes of the Council Compensation Committee
3. City Council Compensation Survey
G:\303-06 Council Comp Committee\Council Comp 2006\05-02-06 CC Agenda Report Recommendations.doc
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ATTACHMENT 1
RESOLUTION NO. (2006 Series)
A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO SETTING
NEW SALARIES FOR THE MAYOR AND COUNCIL MEMBERS
WHEREAS, Charter Section 410 provides for compensation and reimbursement of
expenses for the Mayor and Council Members and establishes a procedure for a biennial 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 Council Member compensation in accordance with the procedure
provided by the Charter; and
WHEREAS, the Council Compensation Committee has determined that the present
criteria for compensation remain valid. However, the current monthly salary has remained
unadjusted since 2000, and that adjustment is now appropriate particularly in light of the
significant demands associated with the official duties of the Mayor and Council Members.
NOW, THEREFORE, BE IT RESOLVED,by the City Council of the City of San Luis
Obispo as follows:
SECTION 1. BASIC COMPENSATION
Section 2.1 of the Council Policies and Procedures shall be amended to read as follows:
Effective January 1, 2007, compensation for services rendered in an official
capacity shall be provided as follows: Members of the City Council shall receive
$1,000 per month; and the Mayor shall receive a monthly salary of$1,200.
On motion of seconded by and on the
following roll call vote:
AYES:
NOES:
ABSENT:
The foregoing resolution was adopted this_day of 2006.
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ATTACHMENT f
Resolution No. (2006 Serics)
Page 2
Mayor David F. Romero
ATTEST:
Audrey Hooper
City Clerk
APPROVED AS TO FORM:
an P. Lowell
City Attorney
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ATTACHMENT 2
S LU/Sp
COUNCIL COMPENSATION
c o COMMITTEE
Is56 6Wednesday, April 5, 2006 - 3:00 p.m..
Planning Conference Room
BprCE1V't�C�
MINUTES
City Clerk Hooper called the meeting to order at 3:00 p.m.
Present:
Council Compensation Committee Members: Ken Schwartz,
Bob Walters, Jan Marx, Rebecca.Ellis, Pierre Rademaker
City Staff. Audrey Hooper, Monica Irons; Rachael Hendricks, Julie
O'Connor
Committee Member Walters and Committee Member Marx nominated Pierre
Rademaker to serve as Chairperson; motion carried 5:0.
Chairperson Rademaker called for public comment. There was none.
The committee reviewed and briefly discussed the history of Council
Compensation.
Chairperson Rademaker asked if there has been a change in Council responsibility.
City Clerk Hoover responded that there has been a slight increase in the number of
hours worked per week, noting that the past survey indicated 23 hours per week
while the current estimate indicates 28 hours per week.
Chairperson Rademaker also asked if the time estimated included attending
subcommittee meetings to which City Clerk Hooper indicated that it did not. She
did state, however, that it was estimated in the past survey that Council attended an
average of 41 "other" meetings per month with the current survey reflecting
approximately the same number..
Committee Member Ellis requested additional information regarding the cafeteria
plan. Human Resources Director Irons explained what the cafeteria plan covered
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ATTACHMENT 2
Council Compensation Committee
April 5, 2006
Page 2
(dental/vision mandatory with an option for medical) and indicated that the
benefits had been extended to Council in 2004 to allow Council the opportunity to
have their cafeteria plan reviewed each year with management employees.
Chairperson Rademaker asked what the retirement was linked to in which Human
Resources Director Irons responded that it was the same for Council as for all non-
safety employees (2.7% at 55).
Committee Member Marx questioned if City Staff received the reimbursement for
medical expenses if they chose not to take the insurance coverage. Human
Resources Director Irons reported that City employees do, however, Council does
not.
Committee Member Schwartz asked if there was anything mandated by the State to
affect the work schedule or the compensation of the Council. City Clerk Hooper
responded that she was not aware of anything. Committee Member Schwartz also
asked if, as a Charter City, the Council received better pay to which Cily Clerk
Hoo er responded yes, and indicated that general law cities in approximate size of
35,000 — 50,000 citizens could receive a maximum salary of$400 per month per
Government Code § 36516. Mr. Schwartz also noted that there was only one other
Charter City listed on the survey and wondered why the salary for the Council was
solow in that city. City Clerk Hooper responded that increases in salaries for
Council in that particular Charter City must be taken to the public for a vote.
Chairperson Rademaker indicated that he was in favor of an increase because he
thought it would allow for a broader scope of people who could afford to hold the
position. He said someone serving on the Council could be limited due to time
constraints if they have another business.
Committee Member Marx felt the current compensation was adequate.
Chairperson Rademaker indicated that the Council Compensation is close to the
average of the other cities surveyed, but said the population for San Luis Obispo
was low because it did not include the day population which includes Cal Poly.
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Council Compensation Committee ATTACHMENT 2
April 5, 2006
Page 3
Human Resources Director Irons responded that the count with Cal Poly brings the
daytime City population to approximately 80,000 — 85,000.
Chairperson Rademaker pointed out that the annual City budget is a good gauge
for a comparison with other cities.
Committee Member Schwartz agreed with Committee Member Marx that nothing
suggests a major change.
Chairperson Rademaker asked for results from the last review of Council
Compensation two years ago. City Clerk Hooper responded that the only change
for Council at that time related to the cafeteria plan.
Committee Member Marx said she was willing to suggest raising the compensation
to $1,000 for Council and $1,200 for the Mayor.
In response to Chairperson Rademaker; City Clerk Hooper provided arecap of
expenditures as outlined in the Council Compensation agenda packet.
Committee Member Marx said that the budget for expenditures was sufficient and
allowed enough money for Council Members to attend League conferences.
Chairperson-Rademaker made a point that Professional Development funds can be
very useful as they allow Council members an opportunity to visit other cities
facing similar issues.
On motion of Committee Member Marx and seconded by Committee Member
Walters, the Committee recommended raising the Council and Mayor
compensation by $100 per month; motion carried 5:0.
Committee Member Walters suggested that, in recognition of their service, this
seems to be an appropriate amount.
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ATTACHMENT
Council Compensation Committee
April 5, 2006
Page 4
In response to Committee Member Schwartz, Committee Member Marx clarified
that her motion was to raise compensation for Council to $1,000 and Mayor to
$1,200 per month.
At this time, the Committee reviewed compensation for Planning Commissioners
(PC) and Architectural Review Commissioners (ARC).
Chairperson Rademaker asked if similar committees for other cities have
approximately the same level of duties and time commitment.. Cily Clerk Hooper
responded that she did not believe a survey was done for these committees.
Chairperson Rademaker said that ARC meetings begin at 5:00 p.m. and last
approximately three or four hours.
Committee Member Marx said that PC meetings could last anywhere from one to
four hours, depending on the complexity of the subject at hand. She indicated that
this issue was discussed by the Compensation Committee two years ago and
resulted in doubling the stipend for both the PC and ARC to $50 per meeting.
(Clerk's note: This amount was actually established by Resolution No. 9189 in
2001. No adjustment was made in 2004.)
Committee Member Schwartz pointed out that the survey indicated that with the
exception of one, most cities with a high level of architectural awareness don't
compensate its members.
On motion of Committee Member Schwartz and seconded by Committee Member
Walters, the Committee recommended to not change the current compensation for
the PC or ARC at this time; motion carried 5:0.
The meeting adjourned at 4:00 p.m.
aA,
Audrey looper,Pity Clerk
GA303-06 Council Comp Committee\Council Comp 2006\04-05-06 CCC Meeting Minutes.doc
ATTACHMENT.3
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