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HomeMy WebLinkAboutAgenda Report - December 19, 2018 H-04CITY OF LODI COUNCIL COMMUNICATION TM AGENDA TITLE: MEETING DATE: SUBMITTED BY: AGENDA ITEM H-4 Adopt Resolution Approving Revisions to Contracts for City of Lodi Council Appointees Amending Compensation and Benefits December 19, 2018 Human Resources RECOMMENDED ACTION: BACKGROUND INFORMATION: Adopt Resolution approving revisions to contracts for City of Lodi Council Appointees amending compensation and benefits. Over the course of the last three months, Council has approved successor Memorandums of Understanding (MOUs) and Statements of Benefits with various City bargaining units and extended those same benefit changes to Confidential Unrepresented employees and Executive Management. During its meetings on October 30, 2018 and November 7, 2018, Council completed the performance evaluation process for the Council Appointees, including the City Manager, City Attorney, and the City Clerk. The Council wishes to provide the Council Appointees with the similar benefits and compensation amendments as provided to other employees. A summary of the proposed changes to Council Appointee contracts are as follows: • Increase to the City's maximum contribution to healthcare premiums by five percent. • Amend the Flexible 125 plan to provide for carryover of contributions. • Three percent salary adjustment, effective December 3, 2018, for a three percent employee contribution (cost-sharing) of the employer's normal contribution toward CaIPERS, pursuant to Government Code Section 20516. The total employee CaIPERS contribution will be 10 percent. In addition, during the evaluation process, Council expressed their desire to recognize the additional duties and responsibilities absorbed by the City Attorney when she assumed the management and oversight of the Risk Management/Liability Division in December 2016, previously assigned to the Deputy City Manager. The additional duties and responsibilities over the various programs such as worker's compensation, general liability, insurance, claims and safety, have resulted in a significant increase in the Attorney's time and resources allocated to the management of this Division, but did not include additional compensation. As such, Council desires to compensate the City Attorney for the additional duties and responsibilities and to increase the City Attorney's salary by five percent, effective November 19, 2018. It is recommended that the Council approve the revisions to the compensation and other benefits for Council Appointees as set forth above. FISCAL IMPACT: The total long term annual cost of the proposed agreement is estimated to be $14,264 once the PERS cost sharing contract is implemented. For the APPROVED. Andrew Keys, Internal Services Director/Deputy City Manager FUNDING AVAILABLE: four months prior to the PERS cost sharing implementation, additional cost will be approximately $8,748 ($2,187 per month) as the 3% salary adjustment is effective as of December 3, 2018. City Staff will work with CaIPERS to implement the cost sharing as soon as possible. It is anticipated that existing appropriations will be sufficient to cover increased costs due to vacancies throughout the City. Should budget adjustments be necessary, staff will bring requests to Council with the midyear budget. gam. 4th Adele Post, Human Resources Manager Andrew Keys, nternal Services Director/Deputy City Manager RESOLUTION NO. 2018-253 A RESOLUTION OF THE LODI CITY COUNCIL APPROVING COMPENSATION AND BENEFIT MODIFICATIONS FOR COUNCIL APPOINTEES WHEREAS, the City has completed negotiations with all Mid and Executive Management employees; and WHEREAS, it is recommended that Council approve the following compensation and benefit modifications to the Council Appointee contracts: • Increase the City's maximum contribution to healthcare premiums by five percent (5%); • Amend the Flexible 125 plan to provide for carryover of contributions; • Three percent (3%) salary adjustment, effective December 3, 2018, for a three percent (3%) employee contribution (cost-sharing) of the employer's normal contribution toward CaIPERS, pursuant to Government Code Section 20516. The total employee CaIPERS contribution will be ten percent (10%); and • Increase the City Attorney's salary by five percent (5%), effective November 19, 2018, for oversight of the Risk Management/Liability Division. NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby approve compensation and benefit modifications to Council Appointee contracts. Date: December 19, 2018 I hereby certify that Resolution No. 2018-253 was passed and adopted by the Lodi City Council in a regular meeting held December 19, 2018, by the following vote: AYES: COUNCIL MEMBERS — Johnson, Kuehne, Mounce, Nakanishi, and Mayor Chandler NOES: COUNCIL MEMBERS — None ABSENT: COUNCIL MEMBERS — None ABSTAIN: COUNCIL MEMBERS — None �NNIFEP,M. FERRAIOLO City Clerk 2018-253