HomeMy WebLinkAboutAgenda Report - November 18, 1987 (60)F40
Continued November'+_� . 1-987
CITY COUNCIL MEETING
NOVEMBER 18, 1987
AMENDED SALARY
RANGES ADOPTED
FOR VARIOUS CITY
OF LODI MANAGEMENT
EMPLOYEES
RES.NO.87-156 Following introduction of the matter by the City Manager
and Council discussion, Council, on motion of Council
CC -34 Member Pinkerton, Snider second adopted Resolution No.
87-156 - Resolution Granting Increases For Salary Ranges
For Certain Unclassified Personnel Effective June 29, 1987
which resolution is hereinafter set forth in its entirety.
RESOLUTION NO. 87-156
RESOLUTION SETTING MONTHLY CONTROL POINTS
FOR CERTAIN UNCLASSIFIED PERSONNEL
EFFECTIVE JUNE 29, 1987
RESOLVED, by the City Council of the City of Lodi that the
following monthly control points for unclassified personnel
are hereby established effective June 29, 1987. These
ranges include salary, pension and deferred compensation.
CONTROL POINT
MANAGEMENT EMPLOYEES
EFFECTIVE,,,6/29/87
Assistant City Manager
$4,728
Community Development Director
$4,887
Electric Utility Director
$5,300
Finance Director
$4,494
Fire Chief
$4,770
Police Chief
$5,185
Parks and Recreation Director
$4,251
Public storks Director
$5,300
Administrative Assistant to the
City Manager
$2,957,
Community Center Director
$3,034
Be it further resolved that these
control. poipts .be
additionally adjusted as follows:
Continued November 1987
Assistant City Manager
Community Development Director
Electric Utility Director
Finance Director
Fire Chief
Parks & Recreation Director
Police Chief
Public Works Director
Administrative Assistant to the
City Manager
Community Center Director
Effective Effective
1/1/88 1/1/89
1.6%
.5%
.4%
1.4%
1.4%
4.4%
4.4%
1.1%
1.0%
2.9%
2.8%
0
0
1.4%
1.4%
4.2N 4.1%
0 0
The motion carried by the following vote:
Ayes: Councilmembers - Hinchman, Pinkerton, Reid,
Snider and Olson (Mayor)
Moes: Councilmembers - None
It should be noted that two alternate resolutions were
presented for Council review and Council selected Alternate
1.
C O U N C I L C 0 M M U N I C A T I 0 N
TO: TH FROM: THE CITY MANAGER'S OFFICE CAHNCIL NovemberE181'NG9 PATE ' NO.
SUBJECT: ADOPT RESOLUTION ESTABLISHING AMENDED SALARY RANGES FOR VARIOUS
CITY OF LODI MANAGEMENT EMPLOYEES
PREPARED BY: City Manager
RECOMMENDED ACTION: That the City Council adopt Resolution No. 87-156
(Exhibit A) establishing appropriate control points for
management salaries effective June 29, 1987.
BACKGROUND INFORMATION: For a number of years management salaries have been
determined using a group of cities generally ranging in
population 15,000 above and below Lodi's population north
of the Tehacapi's. A mid -quartile mean was determined
which became the control point. Using the control point as the mid -point, a range
was established with the low end 10% below the control point and the high end 10%
above the control point. The control point figure is comprised of salary, Public.
Employees' Retirement System employee contributions, deferred compensation and auto
allowance where applicable.
There were some positive aspects of this approach. It
provided a large enough sampling to have statistical significance and represented
cities with which Lodi would compete for candidates for vacancies. By using a
mid -quartile mean it eliminated the extremes from the calculations. The
disadvantage of this method is that it gives extraordinary weight to Bay Area
cities as most of the cities in that population range are in that area.
Council asked staff to develop a group of cities which
were more oriented to the Central Valley. A group of cities along Highways 5, 80
and 99 were selected with populations in excess of 30,000 with four exceptions -
Tracy, Sacramento, Fresno and Bakersfield. Mayor Pro Tempore Randy Snider was
designated by the City Council to work with staff in this effort.
r
i
Council Communication
Salary Ranges for Various
November 18, 1987
Page 2
City of Lodi Mar3cement ,_mployees
Tracy was included because of its proximity to Lodi.
That city is growing rapidly and should surpass 30,000 within the next one or two
years. Sacramento and Fresno were eliminated because of their size and Bakersfield
because of its distance and its proximity to the Los Angeles basin. The cities in
the new survey group are:
Chico
Clovis
Davis
Fairfield
Manteca
Merced
Modesto
Redding
Roseville
Stockton
Tracy
Turlock
Vacaville
V'salia
Woodland
The staff prepared a number of statistical treatments of
the salary data. Among these were the mid -quartile mean (the average of the middle
50%), mean, median (the middle number in the group), the 62.5 percentile, an
average of the 62.5 percentile and the mean, an average of the 62.5 percentile and
the median, and a treatment setting department head salaries as a percentage of the
City Manager's salary. The reason for the 62.5 percentile is that is the City of
Lodi's relative position based on population. Staff narrowed these approaches to
three for final consideration and developed a fourth (the differential approach)
which will be discussed herein. A recap of these approaches is presented in an
attached memo to the City Council of November 6, 2987 which was discussed in detail
at the "shirtsleeve session" of November 10, 1987 (Exhibit B).
The major difficulty in surveying only Valley cities is
the small number of cities involved and the fact that there are some positions
which do not have job comparability. For instance there are only five comparable
positions for the City Clerk, and eight for the City Attorney and Parks and
Recreation Director, and 20 for the Assistant City Manager and the Administrative
Assistant to the City Manager. However, the overriding advantage is that we are
looking at cities with not only geographic proximity, but also with similar
demographics and lifestyles.
Each of the treatments has advantages and disadvantages.
The mean (average) gives equal weight to all numbers;
however, in doing so an extremely high or low number will skew the results. This
is especially true if there is a.small sample.
The median is the number in the center of an arithmetic
array. The only numbers that have significant meaning are the one or two numbers
in the middle. Again, if there are a few extremely high or low numbers the results
cac be skewed or if there is a large spread between the numbers.
Council Corimunication
Salary Cadges for Various City of Lodi Management Emplovees
ieUYe,be:- ib, 1987
Page "s
The mid -quartile mean becomes helpful in this regard in
that the high and low numbers are not included. However, with a small sample size
the results are then determined by a very small number of cities.
Using the percentile figures only increases the value
above the median and all the same disadvantages are present.
It is recommended that the City Council implement a
management compensation pian based on the "differential system." This represents a
new approach, and one that has been favorably received by the department heads. In
this approach we survey the City Manager's position only, since every cite in the
survey group has that position. We then establish what the existing market:
differential is between the City Manager and each of the other positions. For
example, what is the average percentage differential between the City Manager and
the Public Works Director; the City Manager and Fire Chief; the City Manager and
the Finance Director. We determined that the existing City of Lodi differentials
between the City Manager and the various department heads was very close to the
average differentials which exist in the survey cities. Maintaining the existing,
or close to existing, differentials has these advantages:
The internal alignments among the department heads will remain the same.
There is a City Manager in each city all of whom have the same general
responsibilities so the issue of comparability is well established.
The effect of one position receiving a substantially greater increase
than another is minimized.
The plan is consistent and easily understood.
The need for a comprehensive annual salary survey is eliminated.
The department heads support the concept.
Under this plan we would survey the market every three
years to insure that we weren't getting out of line with any one department head
position.
One class, that of Administrative Assistant to the City
Manager, merits some discussion. There are two positons in this class, the
Personnel Officer and a staff position in the City Manager's office. This is the
first year we have surveyed this class to include it in the management salary
adjustments. In the past this class has received the same general adjustment as
granted to the General Service employees. The recommended adjustments will still
leave this class approximately 5% below the survey -determined control point at the
conclusion of the recommended implementation schedule, but the balance will have to
be addressed at a future date. The survey reveals that this class should be
compensated at 50% that of the City Manager.
Council Communication
Salary Ranges for Various City of Lodi Management Employees
November 18, 1987
Page 4
Also attached (Exhibit C) is a comparison of the various
differentials arrived at by analyzing both the Valley cities survey and the
previous 30,000-60,000 population survey group, as well as the existing City of
Lodi differentials and the recommended City of Lodi differentials.
It is therefore recommended that the mid -point (control
point) of each class be as follows effective June 29, 1987:
Assistant City Manager
$4,728
Community Development Director
4,887
Finance Director
4,494
Fire Chief
4,770
Parks & Recreation Director
4,251
Police Chief
5,185
Public Works Director
5,300
Electric Utility Director
5,300
Administrative Assistant to the
0
City Manager
2,873
It is further recommended that these control points be
further adJusted as follows:
Assistant City Manager
Community Development Director
Electric Utility Director
Finance Director
Fire Chief
Parks & Recreation Director
Police Chief
Public Works Director
Administrative Assistant to the
City Manager
TAP:br
Attachments
TXTA.07A COUN272
is
i
t
Effective
Effective
1/1/88
1/1/89
1.6%
1.5.
.5%
.4%
1.4%
1.4%
4.4%,
4.4%
1.I%'
1.0%
2.9%
2.8%
0
0
1.4%
1.4%
3.0% 3.0%
Respectfully submitted,
`.-wa viixl�—
Thomas A. Peterson
City Manager
RESOLUTION NO. 87-156
RESOLUTION SETTING MONTHLY CONTROL POINTS
FOR CERTAIN UNCLASSIFIED PERSONNEL
EFFECTIVE JUNE 29, 1987
RESOLVED, by the City Council of the City of Lodi that the following
monthly control points for unclassified personnel are hereby established effective
June 29, 1987. These ranges include salary, pension and deferred compensation.
Be it further resolved that these control points be additionally adjusted
as follows:
Assistant City Manager
Community Development Director
Electric Utility Director
Finance Director
Fire Chief
Parks & Recreation Director
Police Chief
Public Works Director
. Administrative Assistant to the
City Manager
. Community Center Director
Dated: November 18, 1987
87-156
Effective
CONTROL POINT
MANAGEMENT EMPLOYEES
EFFECTIVE 6/29/87
Assistant City Manager
$4,728
Community Development Director
$4,887
Electric Utility Director
$5;300
Finance Director
$4,494
Fire Chief
$4,770
Police Chief
$5,185
Parks and Recreation Director
$4,25I
Public Works Director
$5,300
Administrative Assistant to the
City Manager
$2,957
Community Center Director
$3,034
Be it further resolved that these control points be additionally adjusted
as follows:
Assistant City Manager
Community Development Director
Electric Utility Director
Finance Director
Fire Chief
Parks & Recreation Director
Police Chief
Public Works Director
. Administrative Assistant to the
City Manager
. Community Center Director
Dated: November 18, 1987
87-156
Effective
Effective
1/1/88
I/1/89
1.
1.5
.5% _.
.4%
1.4%
1.4%
4.4%
4.4%
1.1%
1.0%
2.9%
2.8%
0
0
1.4%
1.4%
4.2 4.1
0 0
I hereby certify that Resolution No. 87-156 was passed and adopted by the
City Council of the City of Lodi in a Regular Meeting held November 18, 1987 by the
following vote:
Ayes: Councilmembers - Hinchman, Pinkerton, Reid, Snider and Olson
(Mayor)
Noes: Councilmembers - None
Absent: Councilmembers - None
Attest:
�'
Alice M. Anx�he
City Clerk
87-156
t
M E M O R A N D U M
TO: The Honorable Mayor and
Members of the City Council
FROM: City Manager
DATE: November 6, 1987
SUBJ: Department Head Salaries
Attached for your review and consideration is information regarding
department head salaries. All data presented herein has been developed
from a survey of 15 Central Valley cities, a list of which is also
attached.
This office has developed data and recommendations utilizing three rather
standard approaches. These are:
Mid -Quartile Mean - This is the approach we have used in the past
when we had a much larger number of cities.
However, the now relatively smaller number of
survey cities, eliminating the top and bottom 25% leaves us with
data which is not truly reflective of the current market.
Median - This approach can be utilized, but again because of the
relatively small number of survey cities, the median point
can be unrealistically high or low.
Mean - This is the straight average of the 15 -city survey group and
is statistically valid in most department head positions.
However, some numbers are skewed because of the rather small
sample. For example, the Lodi classes of Administrative Assistant,
Assistant City Manager, City Attorney and City Clerk do not exist in
some other cities i.n the same manner as we have here. These
positions some times do not exist in the smaller cities and thus the
presence of just the larger cities causes an imbalance in the data.
Differential - This represents a new approach, and one that has been
favorably received by the department heads. In this
approach we survey the City Manager's position only,
since every city in the survey group has that position. We then
establish what the existing market differential is between the City
Manager and each of the other positions. For example, what is the
average percentage differential between the City Manager and the
The Joncrable Mayor and
ill ember s cif the C i ty Ccunc i I
November b, 1987
Page 2
Public Works Director; the City Manager and Fire Chief; the City
Manager and the Finance Director. We determined that the existing
City of Lodi differentials between the City Manager and the various
department heads was very close to the average differentials which
exist in the survey cities. Maintaining the existing, or close to
existing, differentials has these advantages:
The internal alignments among the department heads will
remain the same.
There is a City ManagerIn each city all of whom have the
same general responsibilities so the issue of
comparability is well established.
the effect of one position receiving a substantially
greater increase than another is minimized.
The plan is consistent and easily understood.
The need for a comprehensive annual salary survey is
eliminated.
The department heads support the concept.
Under this plan we would survey the market every three years to
insure that we weren't getting out of line with any one department
head position.
I will be pleased to review this with you and answer any questions you may
have. I would like to place this on the agenda for the regular City
Council meeting of Wednesday, November 18, 1987.
I have also included a suggested implementation schedule which spreads the
adjustments through January 1, 1989, in the event the Council feels an
incremental approach to the implementation of these adjustments is
appropriate.
TAP:br
Attachments
TXTA.07A C UNC275
Chico
Clovis
Davis
Fairfield
Manteca
Merced
Modesto
Redding
Roseville
Stockton
Tracy
Turlock
Vacaville
Visalia
Woodland
MID -QUARTILE MEAN
i-INIMUM 4,- ADJUSTMENT)
Present
Control
Point Survey +4%
Administrative Assistant $2,710 $2,884 $2,999
------------------------
Assistant City Manager 4,460 4,846 5,040
Community Development
Director
------------------------
4,610
4,589
4,794
Finance Director
------------------------
4,240
4,282
4,453
Fire Chief
------------------------
4,500
4,313
4,680
Parks and
Recreation Director
------------------------
4,010
3,997
4,170
Police Chief
------------------------
4,910
4,644
5,106
Public Works Director
------------------------
5,000
5,008
5,208
City Attorney
$5,319
$5,643
$5,869
City Clerk
3,212
3,390
3,526
City Manager
5,866
5,969
6,208
Rec.
4.0%
4.0%
Inc.
Inc_
10.7%
5.8%
13.0%
5.8%
4.0%
4.0%
5.0%
5.0%
4.0%
4.0%
4.0%
4.0%
4.0%
4.0%
4.2%
4.2%
10.3%
9.8%
5.8%
Page 1 of 5
MEDIAN
(MINIMUM 4% ADJUSTMENT)
Present
Control
Point Survey +4%
Administrative
Assistant $2,710 $2,837 $2,950
-----------------------
Assistant
City Manager 4,460 4,720 4,909 10.11;10,
-----------------------
Community Development
Director
-----------------------
4,610
4,580
4,794
Finance Director
-----------------------
4,240
4,285
4,456
Fire Chief
-----------------------
4,500
4,318
4,680
Parks and
Recreation Director
-----------------------
4,010
4,000
4,170
Police Chief
-----------------------
4,910
4,550
5,106
Public Works
Director
-----------------------
5,000
4,892
5,200
4.0
5.1%
4.0%
4.0%
4.0%
4.0%
Rec.
Inc.
8.9%
10.1%
4.0%
4.0%
4.0%
City Attorney $5,319 $5,642 $5,868 10.3%
City Clerk 3,212 3,271 3,402 5.9% i
City Manager 5,866 5,868 6,103 4.0% r
Page 2 of 5
Present
Control
Point
Administrative
Assistant
-----------------------
$2,710
Assistant
8.6%
City Manager
-----------------------
4,460
Community Development
9.1%
Director
-----------------------
4,610
Finance Director
-----------------------
4,240
Fire Chief
-----------------------
4,500
Parks and
Recreation Director
-----------------------
4,0I0
Police Chief
-----------------------
4,910
Public Works
Director
-----------------------
5,000
City Attorney
$5,319
City Clerk
3,212
City Manager
5,866
MEAN
Rec.
%
Survey +4-� Inc. Inc.
$3,094 $3,218 18.7% 9.1%
5,065 5,268 18.1% 9.1%
4,814
5,007
8.6%
8.6%
4,532
4,713
11.2%
9.1%
4,531
4,712
4.7%
4.7%
4,293
4,465
11.3%
9.0%
4;972
5,171
-5.3%
5.3%
5,285 5,496 9.9% 9.1%
$5,744
$5,974
12.3%
3,525
3,666
14.1%
6,156
6,402
9.1%
Page 3 of 5
City
Attorney
$5,319
DIFFERENTIAL
85.2%
851.
$5,442
City
Clerk
Present
Present
Survey
Recommended
+4%
Recommended
Manager
Control
% of
% of
% of
Central
Point
City Mgr
City Mgr
City Mgr
Adjustment
Increase
Administrative
Assistant
--------------
$2,710
46.2%
52.8%
50%
$3,201
18.1%
Assistant
City Manager
--------------
4,460
76.0%
79.7%
76%
$4,866
9.1%
Community
Development
Director
--------------
4,610
78.6%
75.8`
77%
4,930
6.9%
Finance
Director
--------------
4,240
72.3%
73.6%
76%
4,866
14.8%
Fire Chief
--------------
4,500
76.8%
75.2%
76%
4,866
8.1%
Parks and
Recreation
Director
--------------
4,010
68.4%
71.0%
_70%
4,481
11.7%
Police Chief
--------------
4,910
83.7%
80.8%
81%
5,186
5.6%
Public Works
Director
--------------
5,000
85.2%
84.6%
85%
5,442
8.8%
City
Attorney
$5,319
90.1%
85.2%
851.
$5,442
City
Clerk
3,212
54.7%
55.2%
55%
3,521
City
Manager
5,866
100%
100%
100%
6,402
Page 4 of 5
Page 5 of 5
TXTA.07A CU -UNC -274
NUI-RENTIAL
IMPLEMENTATTON
Cost
Present
Adj.
Adj.
of
Gen.
Control
Control
Control
Adj
Adj.
Point
7/1/87
Point
1/1/88
Point
1987-88
1/1/89
7/1/88
Administrative
Assistant
--------------
$2,710
6.0%
$2,873
3.Q%
$2,959
7.5%
3.0%
?
Assistant
City Manager
--------------
4,460
6.0%
4,728
1.6%
4,804
6.8%
1.5%
?
Community
Devel opmei t
Director
4,610
6.0%
4,887
.5%
4,911
6.250.
.4%
?
---------------
Finance
V_
Director
-------------
4,240
6.0%
4,494
4.4%
4,692
8.2%
4.4%
?.
Fire Chief
--------------
4,500
6.0%
4,770
1.1%
4,822
6.55%
1.0%
?
Parks and
Recreation
Director
--------------
4,010
6.0%
4,251
2.9%
4,374
7.45%
2.8%
?
Police
Chief
--------------
4,910
5.6%
5,185
0
5,185
5.6%
0
?
Public Works
Director
--------------
-------------city
5,000
6.0%
5,300
1.4%
5,374
6.7%
1.4%
? '
city
g 4
Attorney
$5,319
2.3%
$5,441
0
$5,441
2.3%
0
, _
City Clerk
3,212
6.0%
3,405
1.8%
3,466
6.9%
1.8%
?
City Manager
5,866
6.0%
6,218
1.6%
6,317
6.8%
1.5%
Page 5 of 5
TXTA.07A CU -UNC -274
! ctrt! tF�-e_vrt czcrr�e��S�sTv[l!��c � �
DIFFERENTIAL
COMPARISONS
(% Compensation)
TXA.07A COUNC2 4
Previous
Survey
Valley
Current
City Manager's
(30-60K)
Survey
Lodi
Recommendation
Administrative Assistant
to the City Manager
49.7
52.8
46.2
50
Assistant City Manager
79.0
79.7
76.0
76
Community Development Director
75.5
75.8
78.6
77
Finance Director
73.9
73.6
72.3
76
Fire Chief
77.5
75.2
76.8
7G
Parks and Recreation Director
70.6
71.0
68.4
70
Police Chief
81.9
80.8
83.7
81
Public Works Director
83.4
84.6
85.2
85
City Attorney
85.0
85.2
90.1
85
City Clerk
50.7
55.2
54.7
55
TXA.07A COUNC2 4