PREPARED BY: TINA GALLEGOS DATE OF MEETING: 06/18/18
SUBJECT:
TITLE
RESOLUTIONS OF THE CITY COUNCIL OF THE CITY OF SAN PABLO APPROVING THE FOLLOWING ACTIONS TO AMEND THE CITY’S CLASSIFICATION & COMPENSATION PLAN FOR FY 2018/19 AS FOLLOWS: (1) ADOPTING A RESOLUTION SUPERSEDING RESOLUTION 2017-160 TO AMEND THE SCHEDULE OF BENEFITS FOR THE CONTRACT EMPLOYEES GROUP TO PROVIDE A THREE PERCENT COST OF LIVING ADJUSTMENT; (2) ADDING TWO FULL-TIME POSITIONS (AND ELIMINATING TWO PART-TIME POSITIONS): MAINTENANCE WORKER I (MAINTENANCE AIDE) AND RECREATION PROGRAM COORDINATOR (PROGRAM ASSISTANT); (3) MEMORIALIZING COST OF LIVING SALARY INCREASES CONSISTENT WITH ADOPTED MEMORANDUMS OF UNDERSTANDING AND TERMS OF EMPLOYMENT FOR THE FOLLOWING LABOR GROUPS: ASSOCIATION OF INTERMEDIATE EMPLOYEES, SAN PABLO POLICE EMPLOYEES’ ASSOCIATION, CONFIDENTIAL EMPLOYEES, DIVISION MANAGERS, EXECUTIVE MANAGEMENT AND CONTRACT EMPLOYEES; (4) AMENDING THE SALARY RANGE FOR THE ADMINISTRATIVE SERVICES DIRECTOR; AND (5) AMENDING THE PART-TIME HOURLY RANGE SCHEDULE TO INCLUDE A THREE PERCENT COST OF LIVING ADJUSTMENT AND TO INCLUDE AN HOURLY PAY RATE FOR THE PART-TIME BACKGROUND INVESTIGATOR CLASSIFICATION
Label
CITY MANAGER RECOMMENDATION
Recommendation
Adopt Resolution
Body
Compliance statements
FY2018-21 Council Priority Workplan Compliance Statement
Reorganizational Analysis and Fiscal Sustainability are adopted policy items under the FY2018-21 Council Priority Workplan, effective November 1, 2017.
CEQA Compliance Statement
This is not a project as defined by CEQA.
BACKGROUND
On June 19, 2017, the City Council adopted the Quadrennial Budget 2018-2021. Since more than half of the City’s operating budget is spent on salaries & benefits, a Classification & Compensation Plan is essential to maintain position control and fiscal control by ensuring personnel appointments are consistent with approved budget expenditures.
The City’s existing Classification and Compensation Plan (hereafter referred to as “the Plan”) delineates procedures and schedules for future updates to ensure continued position control and that staffing levels are in keeping within the City Council’s approved budgetary spending on salaries and benefits.
Section VIII (3) of the Plan, states as follows:
“…the City Manager shall review or cause to be reviewed, the classification of positions and audit duties and responsibilities and on the basis of his appraisal, recommend to the City Council such changes as are necessary to keep the Plan up to date and in step with current conditions.”
Staff has conducted audits and appraisals as authorized above. A total addition of 1.0 FTE is being proposed, as well as changes to salaries and benefits (see discussion below).
Public Works & Community Services - Staffing Amendments
Public Works- Maintenance Division
In November of 2017, the part-time Maintenance Aide resigned from this position, and took a full time employment opportunity with another agency. The Personnel Division and Public Works staff have been working diligently to fill this vacancy; however, recruitment efforts have not yielded quality applicants willing to work part-time. Therefore, the Maintenance Division is proposing to convert this part-time position into a full-time, benefited position in order to attract applicants with the skill level needed. The fiscal impact of this amendment would be absorbed within the departmental budget by shifting funds from professional services (typically not fully expended) to salaries. Because these are ongoing costs, this funding shift will stay in place for the remaining three years of the Quadrennial Budget cycle.
Community Services- Recreation Division
This proposed amendment also includes a staffing change to the Recreation Division: adding a Recreation Programs Coordinator (assigned to special events) and eliminating a part-time Program Assistant position to cover the increased cost. Additionally, $25,000 in funding for the mobile farmer’s market program will be transferred from the City Council budget to the Recreation salaries budget. Because these are ongoing costs, this funding shift will stay in place for the remaining three years of the Quadrennial Budget cycle.
Over the past few years, the Recreation Division has successfully grown community participation in existing events, such as the annual Fourth of July celebration, Cinco de Mayo, and City Hall-O-Ween. In addition, Recreation has also taken on new events and new facilities such as the Veterans Day celebration, the new Library, and Community Center. It is important to note that most of the event programming and coordination efforts were previously conducted by a seasoned employee who had chosen to step down from her role as a Recreation Programs Coordinator and into a part-time Program Assistant position. This employee recently resigned, and hence, given the growing number and size of events, it is important to fill the need for this skill set with a full-time Recreation Programs Coordinator dedicated to event programming.
In summary, the following changes are proposed in order to more efficiently conduct operations in these two divisions:
Public Works
• (-0.5 position) Eliminate Maintenance Aide position
• (+1.0 position) Add Maintenance Worker I position
Community Services
• (-0.5 position) Eliminate Program Assistant position
• (+1.0 position) Add Recreation Coordinator
By removing two part-time positions and adding two full-time positions, the net full-time equivalent (FTE) change will be an increase to staffing of one (+1.0) FTE.
Compensation Amendments
Memorializing previously approved COLA changes
The existing Salary Range Schedules will be amended consistent with the terms in the current MOUs and Terms of Employment for the Association of Intermediate Employees (AIE), SPPEA, Division Managers, Confidential Employees, and Executive Management. The COLA increases range from 2.5 % to 3% and will be updated consistent with the approved terms of the respective agreements. Draft Salary Schedules are attached as Exhibit B. The cost of these previously agreed upon COLA increases is already budgeted.
Schedule of Benefits for Contract Employees
The Budget, Fiscal, & Legislative Standing Committee met on June 12, 2018 to discuss, and ultimately, recommend amending the Schedule of Benefits for Contract Employees to include a three percent (3%) Cost of Living Adjustment (COLA) for the employees in this group (City Manager and City Attorney). This expense was anticipated and included in the adopted four-year budget; hence, no additional appropriations are needed to effectuate this amendment. In addition, the Resolution (attached) approving the new Schedule of Benefits references the City Attorney’s and City Manager’s respective Employment Agreements, and specifies that benefits negotiated with the City Manager and City Attorney are reflected in their most current Employment Agreements and are in addition to the benefits provided in the Schedule of Benefits. Amending the City Manager Employment Agreement is a separate action item for the City Council consideration on the agenda. Other than the cost of living adjustment referenced above, no other amendments are proposed for the City Attorney Employment Agreement.
Administrative Services Director- Equity Adjustment
Staff conducted a salary survey of the Administrative Services Director position to ensure competitiveness in relation to the surrounding labor market and internal equity to other positions within the Executive Management group.
The survey indicates that the Administrative Services Director position is about six percent below the market median. Applying the same methodology used in July of 2017 (when the Council approved equity adjustments to previously studied positions to bring those up to five percent below median) would bring the Administrative Services Director position to near the same salary level as the current Public Works Director/City Engineer. Hence, in order to maintain internal equity, staff’s recommendation is to amend the Administrative Services Director’s salary to be the same as the PW Director/City Engineer.
Part-time Hourly Rate Schedule Amendments
While part-time positions are not covered under any MOUs or Terms of Employment, the City Council did also approve a COLA adjustment of three percent (3%) for all part-time classifications as part of the four-year budget approval. Hence, this adjustment to part-time salaries has been included in the attached Draft Hourly Rate Schedule for part-time positions.
In addition, the current budget also covers salary expenses for a part-time Background Investigator in the Police Department; hence, an hourly rate range is proposed and included in the Draft Hourly Rate Schedule for part-time employees that is consistent with the established budget for this position.
SUMMARY
The proposed Classification and Compensation Plan amendments were discussed with the City Council Budget, Fiscal & Legislative Standing Committee at their Special Meeting of June 12, 2018. After review and discussion, the Committee voted in favor of recommending approval to the City Council of the Plan amendments as discussed in this report.
A draft Organizational Chart (Exhibit A) reflecting the staffing changes discussed is attached for consideration. And as previously discussed the Draft Salary Schedule changes are also attached as Exhibit B.
FISCAL IMPACT
Public Works -Maintenance Worker I staff addition
Funding transfers will occur to cover costs - no additional appropriation needed. The average total salary and benefits cost of adding a Maintenance Worker I position is approximately $92,000. This cost will be covered by the elimination of the part-time Maintenance Aide position, which frees up $36,254 in the salaries budget. In addition, for the remainder of the Quadrennial Budget, $56,000 will be transferred from professional services and program costs and supplies in the Building Maintenance, Street Light and Landscaping and Maintenance & Graffiti budgets to cover the additional cost of this amendment.
Community Services -Recreation Coordinator staff addition
Funding transfers will occur to cover costs - no additional appropriation needed. The total salary and benefits cost of adding a Recreation Coordinator position is $93,324. This cost will be covered by the elimination of a benefitted part-time Program Assistant position, which frees up $85,000 in the salaries budget. In addition, $25,000 will be transferred from the City Council budget for the mobile farmer’s market program (100-1110-44050-FAR-MER) to the Recreation Division salaries account (100-5210-41000) to cover the additional cost of this amendment. This budget shift will stay in place for the remaining three years of the Quadrennial Budget cycle
Compensation Amendments
Funding is already in place - no additional appropriation needed. The current budget includes an appropriation for the various COLA increases discussed for Part-Time Employees, AIE, SPPEA, Division Managers, Executive Management, Confidential Employees, and Contract Employees.
Administrative Services Director Equity Changes
Funding will be absorbed within existing resources - no additional appropriation needed. The total Salary for the Administrative Services Director is proposed to increase from $202,032 to $204,984 annually (an increase of roughly $3,000). The Department’s existing budget can absorb this nominal increase through salary savings within its current budget.
ATTACHMENTS TO RESOLUTION
Exhibit A: Revised City of San Pablo Organizational Chart FY 2018/19 (DRAFT)
Exhibit B: Revised Salary Range Schedules for FY 2018/19 for Part Time Employees, SPPEA, AIE, Confidential Employees, Division Managers, Contract Employees, and Executive Management (DRAFT)