Loading...
HomeMy WebLinkAboutAgenda Report - December 7, 2022 H-0804 CITY OF 06% z 0 CALIFORNIA AGENDA ITEM HmS COUNCIL COMMUNICATION AGENDA TITLE: Adopt Resolution Approving Revisions to the City Manager's Employment Contract Amending Compensation and Benefits MEETING DATE: December 7, 2022 PREPARED BY: Human Resources Manager RECOMMENDED ACTION Adopt Resolution Approving Revisions to the City Manager's Employment Contract Amending Compensation and Benefits. BACKGROUND INFORMATION: Over the course of the last twelve 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 November 16, 2022 and November 29, 2022, Council completed the performance evaluation process for the City Manager. In addition, Council reviewed salary survey data from our sixteen survey agencies for the position of City Manager. The City of Lodi's salary for City Manager is approximately 10% below average, and approximately 14.5% below median. The Council wishes to provide the City Manager with an increase in compensation, similar to what was provided to other employees, and that is commensurate for the position. The salary increase will also provide an equity adjustment to get the base compensation closer to median of comparative agencies. A summary of the proposed changes to the City Manager's contract are as follows: • Increases to the City Manager's salary as follows: • Six percent (6%) increase effective January 9, 2023, • Five percent (5%) increase effective January 8, 2024, and • Four percent (4%) increase effective January 6, 2025. • Equity adjustment of two point six one percent (2.61 %) increase effective January 9, 2023. • Increase to the City's contribution towards medical premiums and remain over the term of the contract: • $ 2,005.52 per month for family coverage; • $ 1,542.71 per month for employee plus one dependent coverage; and • $ 771.35 per month for employee only coverage. • Increase to the annual maximum dental benefit from $1,000 to $1,250 and the addition of orthodontia benefits for the employees and eligible dependents with a lifetime maximum benefit of $1,250. • Addition of one fixed holiday in observance of Juneteenth. APPROVED. aryjcb�r )�� Stephen Schwabauer, City Manager It is recommended that the Council approve the increases to compensation and benefits for the City Manager as set forth above. FISCAL IMPACT: The total long term annual cost of the proposed agreement is $59,000. The total cost of the term of the agreement is $162,000 as shown below. Fiscal Year 2022/23 $ 13,750 Fiscal Year 2023/24 $ 37,750 Fiscal Year 2024/25 $ 51,500 Fiscal Year 2025/26 $ 59,000 Total Cost 3 ears $ 162,000 FUNDING AVAILABLE: Budget adjustments for these and other compensation increases for City employees may be needed at Mid Year Fiscal Year 2022/23. Vacancy savings are the first source for funding the increases for this and future employee contract changes in the coming Fiscal Year. These savings have been significant in the past three years allowing the City to build up substantial reserves. These reserves may be necessary to finance a portion of salary increases. Staff will first seek to prioritize Pension Stabilization Reserves held at PARS to pay eligible pension costs in order to preserve locally held economic and catastrophic reserves should actual reserves be needed. Staff will seek Council input prior to any use of reserves. tom} Adele Post, Human Resources Manager Ojrv&xv� Andrew Keys, Deputy City Manager RESOLUTION NO. 2022-307 A RESOLUTION OF THE LODI CITY COUNCIL APPROVING COMPENSATION AND BENEFIT MODIFICATIONS FOR THE CITY MANAGER FOR THE PERIOD JANUARY 1, 2023 THROUGH DECEMBER 31, 2025 WHEREAS, the City has completed negotiations with all bargaining units; and WHEREAS, it is recommended that Council provide salary and benefit modifications to the City Manager's contract as follows: • Six percent (6%) increase to base salary effective January 9, 2023; five percent (5%) increase to base salary effective January, 8, 2024; and four percent (4%) increase to base salary effective January 6, 2025; • Additional equity adjustment of two point six one percent (2.61 %) effective January 9, 2023; • Increase to the City's contribution towards medical premiums and remain fixed over the term of the contract: o $ 2,005.52 per month for family coverage; o $ 1,542.71 per month for employee plus one dependent coverage; and o $ 771.35 per month for employee only coverage. • Increase to the annual maximum dental benefit from $1,000 to $1,250, and the addition of orthodontia benefits for the employees and eligible dependents with a lifetime maximum benefit of $1,250. • Addition of one fixed holiday in recognition of the Juneteenth holiday. NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby approve compensation and benefit modifications to the City Manager's contract. Date: December 7, 2022 I hereby certify that Resolution No. 2022-307 was passed and adopted by the Lodi City Council in a regular meeting held December 7, 2022, by the following vote: AYES: COUNCIL MEMBERS — Hothi, Khan, Kuehne, Nakanishi, and Mayor Chandler NOES: COUNCIL MEMBERS — None ABSENT: COUNCIL MEMBERS — None ABSTAIN: COUNCIL MEMBERS — None OLIVIA NASHED City Clerk 2022-307