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POLICY H3 <br />6/22/05 <br />ITEM: Consideration of mid-year salary adjustment for the position of City <br />Administrator <br />SUBMITTED BY: Submitted by Mayor Gehrz <br />REVIEWED BY: Roland Olson, Finance Director <br />EXPLANATION: <br />Relevant City Goals: <br />1. To protect the public health and safety. <br />2. To sustain and promote the assets of the city's unique neighborhoods and tax base <br />including commercial, residential and open space uses for present and future generations. <br />3. To expand opportunities for the interaction and involvement of citizens of all ages in their <br />neighborhoods and community. <br />4. To provide a responsive and effective city government. <br />The ability of the City of Falcon Heights to recruit and retain a professional and highly skilled <br />. City Administrator is essential to meeting all of our city goals. <br />Background Information <br />In 2003, the city conducted a review of how the salaries and responsibilities of all city staff <br />positions compared with other metropolitan cities of similar sizes. That review revealed that the <br />City of Falcon Heights was paying salaries that were far below comparable cities for two <br />positions---the City Administrator and the Finance Director. <br />As a result, the city council approved a goal and a plan to bring the salaries for these two <br />positions to 90% of the average of comparable cities by January 1, 2006. That goal assumes that <br />the employees in those positions have performed satisfactorily for five years. This plan enabled <br />us to spread the needed increases across three years instead of making the adjustment in only one <br />budget year. <br />The 90% of the average compensation for comparable cities adjusts for our geographic size, <br />population, number of employees, and number of enterprise funds and utilities operated by the <br />city of Falcon Heights. <br />31 <br />