2017.12.04 CC Packet - Laserfiche WebLink

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14669 Fitzgerald Avenue North, Hugo, MN55038 • (651) 762-6300 • www.ci.hugo.mn.us TO: Honorable Mayor Tom Weidt and Members of the City Council FROM: Bryan Bear, City Administrator SUBJECT: 2018 Salary Resolution DATE: For the City Council Meeting of December 04, 2017 DESIRED COUNCIL ACTION Adoption of Resolution Setting 2018 Salaries and Employee Reimbursement Levels CITY COUNCIL DIRECTION During the 2018 budget process, the City Council indicated its agreement with the staff's recommendation to increase the city's salary matrix by 2.0% (cost of living increase) and to grant step increases to those employees who have not yet reached their pay grade maximums. After consulting with Department Heads, and with the assistance of the Finance Department, the City Administrator hereby submits the attached salary resolution for City Council consideration. SALARY ADJUSTMENTS The proposed resolution reflects the direction to staff as stated above. Four (4) of the city's 23 full-time employees will receive step increases. A pay differential of $120/pay period has been added to the Mechanic's position for the use of personal tools in the performance of his duties. The Utility Billing Clerk has been moved from Pay Grade 4, Maximum, to Pay Grade 5, Step 4. The net aggregate dollar increase due to these adjustments equals $14,903. The net aggregate dollar increase due to a 2.0% cost of living adjustment equals $32,086. The overall net aggregate dollar increase equals $47,012, of which $41,623 is contained in the general fund budget. The remainder is included in the water and sewer operating fund. The overall budget for employee wages will increase by 2.93%. FIRE DEPARTMENT RETENTION PLAN The salary resolution contains a provision whereby firefighters who have completed at least 5 years of service (but less than ten) on the department as of 01/01/18 will receive an additional $0.50 per hour COMPARABLE WORTH COMPLIANCE The adjustments will continue to allow the City to be in compliance with Pay Equity Statutes. Pay equity, or comparable worth, is a standard that has been written into state law and applied to the public sector. The law specifically requires that cities develop and administer compensation systems that establish and maintain equitable relationships between female -dominated and male -dominated job classes. Our compensation system was found to be in compliance by the Minnesota Department of Employee Relations last year and will be reviewed again in January, 2020. Using state provided software staff ran the statistical analysis test (must be higher than 80%) and confirmed that the proposed salaries will keep our compensation system compliant with pay equity guidelines.