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<br />Item No: 08A <br />Meeting Date: January 14, 2013 <br />Type of Business: CA <br />Administrator Review : ____ <br />City of Mounds View Staff Report <br /> To: Honorable Mayor and City Council <br /> From: Desaree Crane, Assistant City Administrator <br /> <br /> Item Title/Subject: Resolution 8044, Approving the 2012 Pay Equity Report <br /> <br /> <br />Background: <br /> <br />Minnesota State Law requires all public jurisdictions such as cities, counties, and school <br />districts to eliminate any sex-based wage inequities in compensation. Pay Equity is a <br />method of eliminating discrimination against women who are paid less than men for jobs <br />requiring comparable levels of expertise. A policy to establish pay equity means that (1) all <br />jobs will be evaluated and given points according to the level of knowledge and responsibility <br />required to do the job; and (2) that salary adjustments will be made if it is discovered that <br />women are consistently paid less than men for jobs with similar points. The City currently <br />uses the State Job Evaluation System called HAY. This job evaluation was completed by <br />Springsted, Inc, for all City positions as part of the 2009 Compensation Study (adopted by <br />Resolution 7380 on December 22, 2008). Attached is some information on the HAY point <br />evaluation system. <br /> <br />It is required under Minnesota State Pay Equity Law that public jurisdictions report to the <br />Minnesota Department of Management and Budget on pay equitable status every three (3) <br />years. The City’s Pay Equity Report is due to this agency on January 31, 2013. The salaries <br />in this report must reflect salary amounts effective no later than December 31, 2012. <br /> <br />Penalties for noncompliance could result in a five percent reduction in state aid or a fine of <br />$100 per day, whichever is greatest. <br /> <br /> <br />Discussion: <br /> <br />Attached is the Mounds View Pay Equity Report to be submitted to the Minnesota <br />Department of Management and Budget. According to the report, the City appears to be <br />compliant under the Minnesota Pay Equity Act, and therefore, no wage adjustments are <br />required. The State is requiring that the City Council approve the 2012 Pay Equity Report by <br />Resolution. It is Staff’s intention to send this report electronically to this agency on January <br />15, 2013. <br />