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HomeMy WebLinkAbout05-01-2018 Item 13 Council Compensation Committee Recommendations Meeting Date: 5/1/2018 FROM: Greg Hermann, Interim Deputy City Manager Prepared By: Teresa Purrington, City Clerk SUBJECT: COUNCIL COMPENSATION COMMITTEE RECOMMENDATIONS RECOMMENDATION As recommended by the Council Compensation Committee: 1. Adopt a Resolution (Attachment A) entitled “A Resolution of the City Council of the City of San Luis Obispo, California, setting new salaries for the Mayor and Council Members,” increasing compensation by 10% for the Mayor and Council Members, effective the first full payroll period in January 2019. 2. Adopt a Resolution (Attachment B) entitled “A Resolution of the City Council of the City of San Luis Obispo, California, increasing compensation for Architectural Review Commission and Planning Commission Members” from $60 to $70 per meeting, not to exceed $280 per month, effective July 1, 2018. 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. Recommended adjustments would then become effective the following January for the next two-year period. Additionally, in 2001 Council adopted Resolution No. 9189, directing a review of compensation for Architectural Review Commissioners and Planning Commissioners in conjunction with its periodic review of Council compensation, as set forth in the Council Policies and Procedures. The 2008 Council Compensation Committee concurred that it is important that small incremental increases should be made during each two-year review. Members, therefore, recommend a 3% increase per year based on the approximate 3% Consumer Price Index (CPI) over recent years, for a total increase of 6%. This equaled a $60 monthly increase for each Council Member and $72 monthly increase for the Mayor, effective January 1, 2009. On September 30, 2008, Council considered short-term actions to rebalance the Fiscal Year 2008-09 Budget and determined to rescind the Council’s prior action to increase its salary. In 2010 and 2012 Council determined to defer the entire process for appointing a Council Compensation Committee. Packet Page 149 Item 13 The 2014 Council Compensation Committee recommended the monthly compensation increase for the Mayor of $300 per month ($1,200 to $1,500) and an increase of $100 for Council Members ($1,000 to $1,200). Council was also provided the option to “opt out” of medical, dental and vision coverage so that the individual member would receive the “opt out” amount equal to City Department Heads. In 2016 Council deferred the entire process for appointing a Council Compensation Committee. On October 3, 2017, Council appointed the following five members to the Council Compensation Committee: previously elected official John Ewan, Personnel Board representative Frank Guyton, and, citizens-at-large Dale Stoker, Louise Matheny, and Brett Strickland. Committee Meetings and Review This committee met on November 29, 2017, January 17, 2018, February 21, 2018 and concluded its business on March 28, 2018. The minutes of the meetings are included in Attachment A. Members reviewed the full Council compensation package including salary, benefits, expense reimbursement, professional development allowances and other compensation provided. In addition, the Committee compare the Council’s compensation package with that of other Mayors and Council Members in 9 other cities (Charter and General Law). As part of the review, the Committee also examined survey results of what the same cities pay their Planning Commission and Architectural (or Design) Review Committees, if applicable. The Committee updated the previous used questionnaire for past members of City Council, Planning Commission, Architectural Review Commission. The Committee’s recommendation was based on the time commitment and the value to the community the Council provides. (Attachment B) Planning Commissioners and Architectural Review Commissioners The compensation for Architectural Review Commissioners and Planning Commissioners was increased in 2001 from $25 to $50 per meeting, with a maximum not to exceed $200 per month. The surveys conducted in 2004, 2006, and 2008 indicated that the stipends paid by the City had remained competitive and the Council Compensation Committee did not recommend an increase at that time. In 2014, Architectural Review Commission and Planning Commission compensation be increased from $50 to $60, not to exceed $240 per month. The Committee began its work evaluating compensation prior to the time that process and purview changes started to materialize for both the Planning Commission and Architectural Review Commission. If substantial changes are of purview are adopted as part of the Zoning Ordinance update, City Council may want to re-evaluate the compensation for these commissions. Packet Page 150 Item 13 ENVIRONMENTAL REVIEW The California Environmental Quality Act does not apply to the recommended action in this report, because the action does not constitute a “Project” under CEQA Guidelines sec. 15278. FISCAL IMPACT The monthly salaries of the Mayor and Council Members would be increased by 10% ($1,500 to $1,650 and $1,200 to $1,320 per month, respectively). The compensation package for expenses, benefits and professional development would remain unchanged. This increase to salaries will increase the Council’s annual budget for Fiscal Year 2018-19 by $3,780 and $7,560 annually thereafter. The increase to compensation for the Architectural Review Commission and Planning Commission from $60 to $70 per meeting not to exceed $280 per month would result in an increase not to exceed $3,920 annually. ALTERNATIVES 1. The City Council could decide not to adopt the Compensation Committee’s recommendation and leave the Mayor and Council Members compensation the same. 2. The Council could decide not to adopt the Compensation Committee’s recommendation and not increase the stipend for Planning Commissioners and Architectural Review Commissioners. Attachments: a - Resolution - Council Compensation b - Resolution - PC & ARC Compensation Packet Page 151 Item 13 R ______ RESOLUTION NO. _____ (2018 SERIES) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO, CALIFORNIA, 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, an 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 Council of the City of San Luis Obispo as follows: SECTION 1. Chapter 2.1 of the Council Policies and Procedures shall be amended to read as follows: Effective the first full payroll period in January 2019, compensation for services rendered in an official capacity shall be provided as follows: The Mayor shall receive a monthly salary of $1,650 per month and each City Council Member shall receive a monthly salary of $1,320. Packet Page 152 Item 13 Resolution No. _____ (2018 Series) Page 2 R ______ SECTION 3. Resolution Number 10515 (2014 Series) is hereby repealed and superseded to the extent inconsistent herewith. Upon motion of _______________________, seconded by _______________________, and on the following roll call vote: AYES: NOES: ABSENT: The foregoing resolution was adopted this _____ day of _____________________ 2018. ____________________________________ Mayor Heidi Harmon ATTEST: ____________________________________ Teresa Purrington City Clerk APPROVED AS TO FORM: _____________________________________ J. Christine Dietrick City Attorney IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of San Luis Obispo, California, this ______ day of ______________, _________. ____________________________________ Teresa Purrington City Clerk Packet Page 153 Item 13 R ______ RESOLUTION NO. _____ (2018 SERIES) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO, CALIFORNIA, INCREASING COMPENSATION FOR ARCHITECTURAL REVIEW COMMISSION AND PLANNING COMMISSION MEMBERS WHEREAS, Council Policies and Procedures Section 2.6 establishes a procedure for the biennial review of Mayor and City Council, Architectural Review Commission, and Planning Commission members compensation by a five-member Council Compensation Committee; and WHEREAS, a five-member Council Compensation Committee was appointed and has met and reviewed Architectural Review Commission, and Planning Commission members compensation in accordance with the procedure provided by the Council Policies and Procedures; and WHEREAS, the Council Compensation Committee has determined that the present criteria for compensation remain valid. However, an adjustment is appropriate for the Architectural Review Commission and Planning Commission members. NOW, THEREFORE, BE IT RESOLVED, by the Council of the City of San Luis Obispo as follows: SECTION 1. Effective July 1, 2018, compensation for Architectural Review Commission and Planning Commission members is hereby increased from $60.00 to $70.00 per meeting, not to exceed $280.00 monthly. Packet Page 154 Item 13 Resolution No. _____ (2018 Series) Page 2 R ______ SECTION 2. Resolution Number 10516 (2014 Series) is hereby repealed and superseded to the extent inconsistent herewith. Upon motion of _______________________, seconded by _______________________, and on the following roll call vote: AYES: NOES: ABSENT: The foregoing resolution was adopted this _____ day of _____________________ 2018. ____________________________________ Mayor Heidi Harmon ATTEST: ____________________________________ Teresa Purrington City Clerk APPROVED AS TO FORM: _____________________________________ J. Christine Dietrick City Attorney IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of San Luis Obispo, California, this ______ day of ______________, _________. ____________________________________ Teresa Purrington City Clerk Packet Page 155 Item 13 Page intentionally left blank. Packet Page 156 Item 13 5/1/2018 1 Council Compensation Committee Recommendations City Council Meeting – May 1, 2018 Recommendations 1. Adopt a Resolution entitled “A Resolution of the City Council of the City of San Luis Obispo, California, setting new salaries for the Mayor and Council Members,” increasing compensation by 10% for the Mayor and Council Members, effective the first full payroll period in January 2019. 2. Adopt a Resolution entitled “A Resolution of the City Council of the City of San Luis Obispo, California, increasing compensation for Architectural Review Commission and Planning Commission Members” from $60 to $70 per meeting, not to exceed $280 per month, effective July 1, 2018. Staff Presentation - Item #13 5/1/2018 2 City Council Compensation City Charter Section 410 - Provides for a biennial review of the Mayor and Council compensation in even years. Council Policies and Procedures specifies that a five- member committee be appointed to propose a recommendation to the City Council. Council Compensation History 2006 - Council approved a $100 increase to $1000 for Council Members and a $100 increase to $1,200 for the Mayor. 2008 - Council approved a 6% increase and then rescinded the action. 2010 & 2012 - Council approved deferring the Council Compensation process. 2014 - Council approved a $200 increase to $1,200 per month for Council Members and a $300 increase to $1,500 per month for the Mayor. 2016 – Council approved deferring the Council Compensation process. Staff Presentation - Item #13 5/1/2018 3 Architectural Review and Planning Commission Compensation Resolution 9189 (2001) established that compensation for the Planning Commission and the Architectural Review Commission will be reviewed in conjunction with the City Council compensation. Changes are adopted by resolution and historically are effective the beginning of the fiscal year. ARC/PC Compensation History 1990 - Council approved an increase to $25 per meeting not to exceed $100 monthly. 2001 – Council approved an increase to $50 per meeting not to exceed $200 monthly. 2014 – Council approved an increase to $60 per meeting not to exceed $240 monthly. Staff Presentation - Item #13 5/1/2018 4 Committee Membership Per Council Policy and Procedures Five-members that represent as broad a representation as possible including one previously elected official, one Personnel Board member and one citizen-at-large Brett Strickland (Chair) – Citizen-at-Large Dale Stoker (Vice Chair) – Citizen-at-Large Louise Matheny – Citizen-at-Large John Ewan – Previous Elected Official Frank Guyton – Personnel Board Committee Meetings November 29, 2017 January 17, 2018 February 21, 2018 March 28, 2018 Staff Presentation - Item #13 5/1/2018 5 Information Reviewed Current City Council compensation package City business budgets of current and previous Mayors and Council Members City Council and Advisory Body compensation survey with comparable cities Chico, Davis, Monterey, Napa, Paso Robles, Santa Barbara, Santa Cruz, Santa Maria and Ventura Total number and length of meetings Survey results from former Council Members, Planning Commissioners and Architectural Review Commissioners Recommendations Current Salary Proposed Salary City Council Mayor - $1500/month Council Member - $1200/month Mayor - $1650/month Council Member - $1320/month Planning Commission Architectural Review Commission $60 per meeting, not to exceed $240 per month $70 per meeting, not to exceed $280 per month Staff Presentation - Item #13 5/1/2018 6 Recommendation Adopt a Resolution increasing compensation by 10% for the Mayor and Council Members, effective the first full payroll period in January 2019. Adopt a Resolution increasing compensation for Architectural Review Commission and Planning Commission Members” from $60 to $70 per meeting, not to exceed $280 per month, effective July 1, 2018. 2017 Comparison Survey Mayor Salary Council Member Salary Average $1780 $1220 Median $1170 $1050 City of San Luis Obispo $1500 $1200 Staff Presentation - Item #13