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<br /> STAFF REPORT <br />DATE: November 18, 2025 <br /> <br /> <br />TO: Mayor and Councilmembers <br />FROM: Jennifer Doyle, Administrative Services Coordinator <br />AGENDA ITEM: 2026 Pay Scale <br /> <br /> <br />CORE STRATEGIES: <br /> <br />☐ Vibrant, inclusive, connected community ☒ Efficient, reliable, innovative services <br />☒ Responsive, transparent, adaptive governance ☒ Balanced Finances now and future <br />☐ Managed Growth ☐ Resilient Infrastructure <br /> <br /> <br />BACKGROUND: <br />As best practice, it is recommended that staff review the wages and rates for our employees <br />annually and make recommendations for the upcoming year. <br />ISSUE BEFORE COUNCIL: <br />Should Council approve the 2026 pay scale rates for the City of Lake Elmo employees? <br /> <br />PROPOSAL DETAILS/ANALYSIS: <br />Staff researched and pulled data from other Minnesota Cities to assist in the staff recommendation for the <br />2026 adjustment for the upcoming year compared to the current pay scale. Staff wanted to recommend an <br />increase that was fiscally responsible as well as competitive with other municipalities. <br /> <br />Attached you will find the 2026 Salary Range and Steps grid outlining the proposed 2026 rates. <br /> <br />The 2026 rates reflect an increase of 3.0% over the 2025 rates. <br /> <br />FISCAL IMPACT: <br />The increases in the pay scale are provided for in the proposed 2026 budget estimates. <br /> <br />OPTIONS: <br />1) Approve the 2026 pay scale as presented. <br />2) Approve the 2026 pay scale with changes. <br />3) Deny the 2026 pay scale. <br /> <br />RECOMMENDATION: <br />“Motion to approve the 2026 pay scale rates as presented.” <br />