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MoUNDs VIEW City of Mounds View Staff Report Item No: 8B Meeting Date: November 28, 2022 Type of Business: Council Business To: Honorable Mayor and City Council From: Nyle Zikmund, City Administrator Item Title/Subject: First Reading and Introduction of Ordinance 997, an Ordinance Amending Chapter 105 of the Municipal Code to Increase Council Member Compensation Background: Council compensation was last amended in August of 2016 with changes taking effect January 1, 2017. Finance Director Beer proposed council discuss an increase at the June, 2022 Council Workshop given that it had been six years. The 2016 change increased the Mayor compensation from $6,300 to $7,500 or $1,200. Council compensation increased from $5,700 to $6,750 or $1,050. Discussion: The City Charter and MN Statutes indicate that the Mayor and Councilmembers shall receive such compensation as is fixed by the Council. Mayor and Council compensation amounts are codified in Section 105.03. Any increase to the compensation must be enacted by ordinance, and shall not become effective until after the next municipal election. The City Council discussed the proposed compensation as part of the budget process. Council consensus was to increase the Mayor's annual compensation from $7,500 to $8,250, an increase of $750; and increasing the Council compensation to 90% of the mayoral rate, which equates to $7,452, an increase of $702. (The current Council rate is 90% of the Mayor's rate.) Minnesota State Statute prescribes when compensation takes effect which is after the next general election. Thus, the changes take effect January 1, 2025 Recommendation: Introduce the first reading of Ordinance 997, an ordinance amending Chapter 105 of the Municipal Code to Increase Mayor and City Council Member compensation to $8,250 and $6,750, respectively, effective January 1, 2025. Respectfully submitted, Nyle Zikmund City Administrator Attachments: 1. Ordinance 997