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HomeMy WebLinkAboutCOW 2009-11-09 Item 5D - Resolution - 2010 Non-Represented Employee Salary Schedule and Benefits Summary COUNCIL AGENDA SYNOPSIS (r A �J+ Inthals ITEM NO. j y Meeting Date 1 Prepared by 1 Mayor's rental, Counczl 11/09/09 1 SB 1 O 11/16/09 1 SB I 2 90 ITEM INFORMATION CAS NUMBER: 09-158 'ORIGINAL AGENDA DATE. NOVEMBER 9, 2009 AGENDA ITEM TITLE Resolution to adopt the 2010 non represented wage and benefit schedule CA TEGORY Discussion Motion _Resolution Ordinance Bic Award Public Hearing Otherr Mtg Date 11/9/09 Mtg Date Mtg Date 11/16/09 Mtg Date Mtg Date Mtg Date Mtg Date SPONSOR Council Mayor Human Res.. DCD Fznance Fzre Legal P&R Police PV SPONSOR'S The Council is being asked to consider a resolution updating and clarifying the non SUMMARY represented employees' compensation and adopting the non represented salary schedule and benefits summary effective January 1, 2010. REVIEWED BY COW Mtg. CA &P Cmte F &S Cmte Transportation Cmte Utilities Cmte Arts Comm. Parks Comm. Planning Comm. DATE: 10/20/09 RECOMMENDATIONS: SPONSOR /ADMIN. Human Resources Department COMMITTEE Forward to Committee of the Whole for review and discussion COST IMPACT FUND SOURCE EXPENDITURE REQUIRED AMOUNT BUDGETED APPROPRIATION REQUIRED Fund Source: 2010 BUDGET Comments: 1 MTG. DATE RECORD OF COUNCIL ACTION 11/9/09 11/16/09 MTG. DATE ATTACHMENTS 11/9/09 Informational Memorandum dated 10/14/09 Resolution in Draft Form Attachment "A" (wage schedule) Attachment "B" (benefits) Minutes from the Finance and Safety Committee meeting of October 20, 2009 City of Tukwila INFORMATIONAL MEMORANDUM TO. Mayor Haggerton Finance and Safety Committee FROM: Viki Jessop, Administrative Services Director DATE: October 14, 2009 SUBJECT: 2010 Non Represented Wages ISSUE 2010 Non Represented Wage Schedule analysis based on external comparables and internal equity. BACKGROUND In alignment with Resolution No. 1537, Establishina a Non Represented (NR) Employees' Compensation Plan, passed December 1, 2005, a wage study has been conducted for calendar year 2010. The resolution requires that a market analysis be done every other year for the upcoming year for Non Represented positions. The current analysis has been conducted based on information in the Association of Washington Cities 2009 Salary and Benefit Study, rather than going out to individual cities this year. It was decided that the data in the AWC survey would be utilized in part due to the economic and staffing constraints facing comparable cities as a result of furloughs, layoffs, and other budget changes affecting staff. As in the past, a comparison was done of external comparables (cities) and internal equity (union pay scales). The Decision Band Methodology (DBM) and regression line analysis have been completed in determining the "best line of match" and a wage schedule developed based on the market trend calculation outcome. The following comparable cities were used for this study: Comparables Auburn Bothell Federal Way Kent Kirkland Redmond Renton SeaTac Jim Haggerton, Mayor The average increase for all top steps of DBM ratings on the Non Represented wage schedule equals 4.14 A complete 2010 wage schedule was calculated using the information developed through the linear regression analysis and the percentage increase provided over the 2009 wage schedule in order to place new and current employees onto the proper step on the new wage schedule. Individual DBM rating top step increases vary according to how the trend line analysis compares to the market for the specific position. Current Non Represented wage increases that relate to INFORMATIONAL MEMO Page 2 established DBM ratings with corresponding classifications range from 1.5% to 6.7 Once again, the overall average for the entire wage schedule is 4.14 The Non Represented top step wage information was then compared to the unions' top step wages for 2010, which shows the union wage increases for 2010 ranging from 3.25% to 4 The market trend analysis and its various percentage increase related to specific Bands on the wage schedule and confirmed internal equity between all positions, union and non represented, in the City of Tukwila for 2010. DISCUSSION After the City of Tukwila Non Represented wages were approved in 2007 for 2008, it was noted that many of Tukwila's comparable cities were adjusting the wages for their non represented management level employees to a greater degree than had occurred in previous years. One of the primary reasons behind these increases was the difficulty the cities were having in recruiting and retaining qualified management level employees The economy was still fairly healthy and the need for strong leadership at the management level was desired. Another reason for the non represented wages increasing in other cities was the "fear" many cities had that they would be unable to recruit qualified police officers, much less retain them. Many cities were increasing the police officer wages in an effort to attract more viable candidates to their cities. By taking this action, they needed to raise the wages for other police officer positions, not just entry level, which then resulted in management level wages needing to be raised to avoid wage compression problems. These and other actions by cities resulted in the City of Tukwila Non Represented employees falling behind the comparable market almost immediately in 2008. These wage increases in other cities are reflected in the market results for the comparable cities in Tukwila's 2009 study. Fairly soon after the wage increases were made in other cities, the economy took a major hit and with it a shift in how wages and benefits were considered by the cities. It has necessitated that some of the same cities that raised wages have requested reductions in wages and /or benefits from their Non Represented employees and, in some instances, have negotiated similar changes with their unions. (Without their unions being willing to make reductions, the overall wage structure would be skewed by just reducing the wages of the Non Represented employees.) One of the results would be union positions making more than Non Represented management employees; even without consideration of premium pays and /or overtime. This type of situation can create a wide variety of problems. The City of Tukwila has been fortunate that there have not been wage freezes or other changes in wages or benefits thus far in 2009. In order to maintain external comparability and internal equity, it is important to keep the Non Represented wages consistently moving in alignment with the market and union wages. Based on the current analysis for the Non Represented. a wage increase for 2010 would cost INFORMATIONAL MEMO Page 3 approximately $15.700 per month (about $188,400 in 2010), exclusive of payroll taxes. retirement, etc. The $188.400 is approximately $10,600 more than what was budgeted for 2010. RECOMMENDATIONS The following Non Represented employee wage increase scenarios for 2010 are presented to the Mayor and Council for consideration: 1. Approve the 2010 Non Represented market trend analysis wage schedule (see attached draft resolution), which provides for external comparability and internal equity effective January 1, 2010. The estimated cost to implement waaes only is $188,400 in 2010. An additional cost over budget of $10,600. 2. Phase in one -half of the increases based on the 2010 wage schedule on January 1, 2010, and the remaining one -half of the increases on July 1, 2010, for all Non Represented positions as developed through the market trend analysis. By phasing in the wage increases, the Non Represented wage schedule is in alignment with the union wage schedules in mid -year. This method provides savings to the 2010 budget by spreading out the time in which wage increases are made in 2010 for the Non Represented employees. The estimated cost to phase in wage increases with one -half on January 1. 2010 and the second half on July 1. 2010, is $141,100. The estimated savings over implementina 100% of the market increase on January 1, 2010 is $47.300. 3. Do not give an increase in 2010 to DBM ratings D62 -D72, E, and F (management and supervisory levels), unless the City's economic condition begins to stabilize during the year. Often called a "COLA Holiday it would be important to seriously consider giving the total wage increase to D62 -D72, E, and F levels sometime later in 2010 or at the beginning of 2011. Waiting until 2011 may require the 2010 wage increases be given and /or additional COLA to keep up with internal equity compared with union wages for 2010 and 2011. Provide full wage increases to those at the A, B, C, and D -61 levels (generally technical and staff support levels) on January 1, 2010, in order to maintain internal equity for these positions, which have more internal similarity with the union positions. The estimated cost to implement waaes for A, B, C and D -61 levels on January 1, 2010 is $61.400. The estimated 2010 budaet savinas to implement this option, rather than implementing the waae increase for all Non Represented employees on January 1, 2010. is approximately $127,000. INFORMATIONAL MEMO Page 4 4. Do not give any wage increases to any of the Non Represented in 2010, and give the full wage increase, COLA, and /or possible catch up in 2011. The estimated savings of this choice in 2010 is approximately. $188,400; however, the choice would create a "catch up" situation in 2011. Finance has provided the attached tables for each of the above scenarios. These tables include the TOTAL COST for the increases in wages AND benefits for 2010 (without consideration for an increase sometime during 2010 for the D62 -D72, E, and F levels under scenario #3). MAYOR'S RECOMMENDATION Mayor Haggerton has reviewed the wage scenarios shown above, and there has been discussion of other possible combinations and options for managing the Non Represented wage increases for 2010. Though it is his preference for all Non Represented staff to receive the full wage increase based on external comparables and internal equity, he recognizes the current budget concerns and broad economic conditions create a need to look at reducing and /or cutting wages and benefits Options #3: Mayor Haggerton recommends the Tukwila City Council select Option #3 above, which provides the full 2010 wage increase positions at DBM levels A, B, C, and D61 and take a "COLA Holiday" on 2010 wage increase for DBM levels D62 -D72, E, and F. The Council is being asked to consider this issue at the October 26, 2009 Committee of the Whole meeting and subsequent November 2, 2009 Regular meeting. ATTACHMENTS Wage and Benefit estimate tables for all scenarios Draft Resolution with attachments: Attachment A 2010 Wage Schedule Attachment B 2010 Benefits Attachment C 2010 Longevity Pay Plan Non -Rep Salary Increase Options 10/15/2009 Budgeted Salary Increase Cost of Wage Increase Cost (Over) Under Budget Option 1 All Non -Reps, effective 1/1/2010 Option 2 50% Wage Incr 1/1/2010, 50% 7/1/2010 Option 3 Wage Incr Level A, B, C and D61, eff 1/1/2010 Option 4 No Wage Increase Same as above, but with benefits at the following rate: Budgeted Salary Increase Cost of Wage Increase Cost (Over) 1 Under Budget Option 1 All Non -Reps, effective 1/1/2010 Option 2 50% Wage Incr 1/1/2010, 50% 7/1/2010 Option 3 Wage Incr Level A, B, C and D61, eff 1/1/2010 Option 4 No Wage Increase Option 1 All Non -Reps Effective 1/1/2010 178,000 (188,400) (10,400) Budget 178,000 178,000 178,000 178,000 10 00 %i Option 1 All Non -Reps Effective 1/1/2010 195,800 (207,240) (11,440) Budget 195,800 195,800 195,800 195,800 Option 2 50% Wage lncr 1/1/2010 Another 50% on 7/1/2010 178,000 (141,100) 36,900 Cost of Wages (188,400) (141,100) (61,400) Option 2 50% Wage Incr 1/1/2010 Another 50% on 7/1/2010 195,800 (155,210) 40,590 Cost of Wages (207,240) (155,210) (67,540) Option 3 Wage Incr Level A, B, C, D61 Effective 1/1/2010 178,000 (61,400) 116,600 Cost (Over) Under Budget (10,400) 36,900 116,600 178,000 Option 3 Wage Incl Level A, B, C, D61 Effective 1/1/2010 195,800 (67,540) 128,260 Cost (Over) Under Budget (11,440) 40,590 128,260 195,800 Option 4 No Wage Increase 178,000 178,000 Option 4 No Wage Increase 195,800 195,800 W \Word Processing\Resoluuons \Non-rep Salary 2009.doc KG:ksn 11/4/2009 F C1' A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, UPDATING AND CLARIFYING THE NON REPRESENTED EMPLOYEES' COMPENSATION AND ADOPTING THE NON REPRESENTED SALARY SCHEDULE AND BENEFITS SUMMARY, EFFECTIVE JANUARY 1, 2010. WHEREAS, the Tukwila City Council has conducted a review of the non represented employees' compensation system that was originally implemented in January 1998, and WHEREAS, the City Council recognizes that current economic conditions and forecasts are a consideration in actions that deal with the compensation of employees; and WHEREAS, the City Council has made a determination to review the non represented compensation for even numbered years and provide COLAs in odd numbered years; and WHEREAS, a compensation study has been conducted and the recommended non- represented wage schedule and benefit information has been prepared for implementation on January 1, 2010; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, HEREBY RESOLVES AS FOLLOWS: Section 1. The following statements have been used for the purpose of adopting the non- represented employees' wages for 2010 and consideration for future years. A. The following basic plan elements remain the same: 1. Decision Band Methodology (DBM) for creating classifications. 2. Market analysis using comparable jurisdictions' top -step wages. 3 Data was gathered through use of the "Association of Washington Cities (AWC) Salary and Benefits Survey" to reduce the impact of contacting cities who have reduced wages and /or benefits recently in a variety of ways, that do not reflect their actual wage and benefit schedules and systems. 4. Regression line analysis to establish the Control Point for each DBM rating with a range of 12.5% and 30% used to establish the steps (Regression Line Analysis provided by Fox Lawson Associates, LLC, based on Personnel Department acquired market data). 5. Steps below the Control Point (Wage Schedule Top Step) are automatic as individuals move through the system. 6. Ranges for all bands A11 -F102 of the Decision Band Methodology have been established based on the outcome of the regression analysis (line of best fit) in creating the 2010 wage schedule. 7. Ranges A11 -D61 wages for 2010 are based on the outcome of the trend line analysis. Wage increases for these Decision Bands shall be as shown on the attached Salary Schedule, "Attachment A," pages 1 and 2. 8. Ranges D62 -F102 wages for 2010 will be on a "Cost -of- Living Holiday" (COLA Holiday), meaning there will be no wage increases on January 1, 2010 for positions in these Decision Bands. Any consideration for wage increases during 2010 for positions in these Decision Bands will be based on the ability of the City of Tukwila to pay such increases through improved budget and economic factors. The Finance Department, working in conjunction with the Human Resources Department will, from time to time, review the ability of the City of Tukwila to provide wage increases to employees at these Decision Band levels during 2010. Page 1 of 6 9 A "market adjustment" is normally applied to a position when the wage survey results establish a new Control Point, that is 10% or more below the market and internal compression exists within the career ladder, or where there is difficulty in recruiting and /or retaining qualified employees. Due to the current budget and economic downturn, no "market adjustments" will be considered for 2010. In order to ensure the integrity of the Decision Band Method is maintained, while recognizing a wage gap based on market conditions for a specific position, the "market adjustments" may be made in future years. When implemented, the "market adjustment" shall be calculated by taking the difference between the newly- established Control Point and the market average wage for the position, and applying it on top of the established salary range for the position. This market adjustment shall be reviewed every two years from the time it is implemented (if implemented) as part of the salary study and may be eliminated or changed based on the results of the survey. B. The non represented salary schedule for 2010 provides an average market trend increase of 4.14 as a whole, at the top step (Control Point). Individual DBM increases may vary on the wage schedule based on where they fit in the overall regression analysis that develops the market trend line. This analysis brings the wage schedule in alignment with external comparables and internal equity C. The City shall continue to conduct in -house market analysis of the non represented compensation system during odd numbered years, using outside assistance on regression line analysis calculations, as needed. The results of the analysis will be considered for implementation on January 1 of the following even numbered year D A COLA increase shall be considered for application each January 1 during odd numbered years, based on the Seattle- Tacoma Bremerton Consumer Price Index (CPI -W) Average (first half of 2010 to first half of 2011). E. The Decision Band method of job evaluation will be used to establish classifications and the relative internal value and relationship of non represented jobs within the City of Tukwila. F Merit will continue to be eliminated from the plan at this time and may be reconsidered as a plan element in subsequent years. G. Step increases from the minimum to the Control Point for all positions shall be given annually on the employee's performance review date. There will be no step increases for employees at or above the Control Point. Section 2. Non represented employee salary schedule and benefits summary A. The non represented employee salary schedule, "Attachment A" hereto, shall be approved, effective January 1, 2010. B. The non represented employee benefits summary, "Attachment B" hereto, shall be approved, effective January 1, 2010. C. The non represented employee longevity pay plan, "Attachment C" hereto, shall be approved, effective January 1, 2010. PASSED BY THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, at a Regular Meeting thereof this day of 2009 ATTEST/AUTHENTICATED- Christy O'Flaherty, CMC, City Clerk APPROVED AS TO FORM BY: Joan Hernandez, Council President Filed with the City Clerk: Passed by the City Council. Resolution Number. Office of the City Attorney Attachments: Attachment A, Non Represented Employee Salary Schedule 2010 Attachment B, Non Represented Employee Benefits Summary 2010 Attachment C, Non- Represented Employee Longevity Pay Plan 2010 W \Word Processing\Resolutions \Non -rep Salary 2009.doc KG:ksn 11/4/2009 Page 2 of 6 Administrative Assistant Program Coordinator Management Coordinator Management Analyst Program Administrator Program Manager Administrative Manager Assistant Director Department Manager Department Administrator Department Head Department Director City Administrator W \Word Processing Resolutions \Non -rep Salary 2009.doc KG:ksn 11/4/2009 Attachment A, Page 1 City of Tukwila Non Represented Employee Salary Schedule 2010 Classification Title 1 Job Title Range Administrative Support Technician I Administrative Support Technician Al2 Office Technician N Personnel Technician B21 Office Specialist Administrative Secretary B22 Civil Service Secretary /Examiner Deputy City Clerk B23 Executive Secretary Administrative Secretary I Council Administrative Assistant Systems Administrator C41 Personnel Assistant City Clerk C42 Court Administrator Police Records Manager Legislative Analyst Personnel Analyst Public Works Analyst Internal Operations Manager C43 Public Works Coordinator Emergency Management Coordinator Assistant City Administrator D61 Senior Engineer Building Official IT Manager Maintenance Operations Manager D62 Police Commander Deputy Community Development Director D63 Deputy Finance Director Deputy Public Works Director Deputy Parks Recreation Director Assistant Fire Chief D72 Assistant Police Chief City Engineer Economic Development Administrator E81 Administrative Services Director E83 DCD Director Finance Director IT Director Parks Recreation Director Fire Chief E91 Police Chief Public Works Director City Administrator I F102 I Page 3 of 6 DBM Rating All Al2 A13 B21 B22 B23 B31 B32 C41 C42 C43 C51 C52 D61 D62 D63 D71 D72 E81 E82 E83 E91 E92 F101 F102 Attachment A, Page 2 Non Represented Employee Salary Structure (Monthly) 2010 Step 1 3,535 3,815 4,105 4,287 4,566 4,842 5,082 5,487 5,708 5,970 6,236 6,439 6,882 7,013 7,271 7,526 7,691 8,072 8,157 8,456 8,705 9,008 9,380 9,748 10,114 Step 2 3,646 3,937 4,231 4,448 4,737 5,024 5,305 5,728 5,935 6,211 6,486 6,727 7,192 7,364 7,633 7,902 8,112 8,512 8,564 8,881 9,142 9,459 9,851 10,234 10,620 W \Word Processing\Rcsolutions\Non -rep Salary 2009.doc KG:ksn 11/4/2009 Step 3 3,757 4,058 4,360 4,611 4,909 5,206 5,527 5,969 6,163 6,449 6,737 7,017 7,502 7,715 7,997 8,279 8,534 8,954 8,973 9,304 9,576 9,910 10,322 10,722 11,127 (Minimum) Step 4 3,867 4,177 4,488 4,770 5,081 5,388 5,749 6,210 6,393 6,688 6,986 7,307 7,812 8,067 8,359 8,655 8,956 9,394 9,379 9,728 10,013 10,362 10,790 11,211 11,635 Step 5 3,977 4,296 4,615 4,935 5,254 5,573 5,972 6,451 6,622 6,928 7,235 7,595 8,123 8,418 8,723 9,032 9,376 9,837 9,817 10,153 10,446 10,812 11,261 11,700 12,140 Step 6 Step 7 6,850 7,169 7,488 7,888 8,367 8,766 9,085 9,404 9,803 10,282 10,257 10,681 10,577 11,000 10,882 11,319 11,264 11,719 11,731 12,198 12,186 12,677 12,646 13,155 The salary grid average is 4.14% at the top step. Individual DBM ratings differ based on market trend analysis. Page 4 of 6 Attachment B Non Represented Employee Benefits 2010 Social Security (FICA): Social Security benefits shall be provided as contained in Section 2.52.010 of the Tukwila Municipal Code (TMC). State -Wide Employee Retirement System (PERSI: Retirement shall be provided as contained in Section 2.52.020 of the TMC. Holidays: Holidays shall be provided as contained in Section 2.52.030 of the TMC. Regular part time employees shall be entitled to benefits on a pro -rata basis. Sick Leave: Sick leave shall be provided as contained in Section 2.52.040 of the TMC. Regular part -time employees shall be entitled to benefits on a pro -rata basis. Medical Insurance: The City shall pay 100% of the 2010 premium for regular full -time employees and their dependents under the City of Tukwila self insured medical/ dental plan. Premium increases above 10% per year shall result in a modified plan document to cover the additional cost above 10 or a premium shall be implemented for the difference, at the City's discretion. The City reserves the right to select all medical plans and providers. Regular part time employees shall be entitled to benefits on a pro -rata basis. Employees who choose coverage under the Group Health Cooperative plan shall pay the difference between the City of Tukwila plan full family rate and the rate charged to them by Group Health. Dental Insurance: The City shall provide 100% of the 2010 premium for regular full -time employees and all dependents under the City of Tukwila self- insured medical/ dental plan for dental coverage. Regular part -time employees shall be entitled to the same benefits on a pro rata basis. Life Insurance: For regular full -time employees, the City shall pay the premium for Plan C (Multiple of annual earnings) or similar group life and accidental death and dismemberment insurance policy. Said plan shall be at 100% of annual earnings rounded up to the next $1,000. Regular part -time employees that work at least 20 hours per week shall be entitled to benefits on a pro -rata basis (per insurance program requirements). Vision/Optical/Hearin>r Care: The City shall provide coverage for eye examinations, vision, optical and hearing care to non represented regular full -time employees and their dependents at the rate of $200 per person, to a maximum of $400 per family unit each year. Regular part time employees and their dependents shall be entitled to benefits on a pro -rata basis. Disability Insurance: The City shall provide 100% of the premium for regular full -time employees for a comprehensive long -term disability policy. Regular part -time employees that work at least 20 hours per week shall be entitled to benefits on a pro -rata basis (per insurance program requirements). Health Reimbursement Arranaement/Voluntary Employee Benefit Association (HRA/ VEBA): VEBA benefits shall be provided as contained in Resolution No. 1445 and as amended. Vacation: Following the sixth month of continuous employment, annual vacation leave of six full days (each day is calculated at eight hours, regardless of schedule worked) shall be granted. Thereafter, an additional day of annual leave shall accrue each month, up to a total of 12 days. Three additional days of annual leave shall be granted on the employee's anniversary date after the third, fourth and fifth years. After six years, the employee shall be granted one day per year additional annual leave to a maximum of 24 days per year. The maximum number of accrued hours is 384 or 48 days. Years of Service Vacation Accrual Years of Service Vacation Accrual 0 -1 years 12 days* 10 years 19 days 1 -2 years 12 days 11 years 20 days 3 -6 years 15 days 12 years 21 days 7 years 16 days 13 years 22 days 8 years 17 days 14 years 23 days 9 years 18 days 15 years 24 days (maximum) *Six full days will be granted following the sixth month of continuous employment. (Days accrue at eight hours, regardless of schedule worked.) Regular part -time employees shall be entitled to benefits on a pro -rata basis. Uniform Allowance: An annual uniform allowance of $350 shall be granted to the following employees: Fire Chief, Assistant Fire Chief, Police Chief, Assistant Police Chief, Police Commander and Records Manager W \Word Processing \Resolutions \Non -rep Salary 2009.doc KG:ksn 11/4/2009 Page 5 of 6 Attachment C Non Represented Employee Longevity Pay Plan 2010 The monthly longevity flat rates shall be as follows for regular full -time employees after the completion of the number of years of full time employment with the City set forth below Regular part -time employees shall receive longevity on a pro -rata basis. W \Word Processing\Resolutions \Non -rep Salary 2009.doc KG:ksn 11/4/2009 Completion of 5 years Completion of 10 years Completion of 15 years Completion of 20 years Completion of 25 years Completion of 30 years $75 100 125 150 175 200 Page 6 of 6 FINANCE AND SAFETY COMMITTEE Meeting Minutes October 20, 2009 5:OOp.m.; Conference Room #3 PRESENT Councilmembers: Pam Linder, Chair; Joe Duffle and De' Sean Quinn Staff: Shawn Hunstock, Nick Olivas, Mary Miotke, Don Lincoln, Rhonda Berry, Gail Labanara, Viki Jessop, Christy O'Flaherty and Kimberly Matej Guests: Jeremy Eide and Chuck Parrish CALL TO ORDER: Chair Linder called the meeting to order at 5:04 p.m. I. PRESENTATIONS No presentations. II. BUSINESS AGENDA A. Resolution Reeardinu 2010 Non represented Employee Salary /Wane Schedule and Benefits Summary Staff is seeking full Council approval of a resolution regarding Non Represented Employee Wages and Benefits for 2010. City of Tulhwila Finance and Safety Committee With the exception of utilizing information extracted from the AWC salary survey (rather than calling comparable cities individually), the same basic process was utilized, as in previous years, to calculate market trends and the regression line analysis for calculating wage increases. Based on current economic conditions staff has presented four non represented employee wage increase scenarios to the Mayor for consideration. After reviewing the scenarios and considering external comparability and internal equity, Mayor Haggerton recommends: A 4.41% increase to the non represented wages for position band ranges All through D61, effective January 1, 2010. A COLA Holiday (no wage increases) for position band ranges D62 through F, effective January 1, 2010. Committee members had a lengthy discussion regarding the Mayor's recommendation for partial increases and a COLA Holiday as described above as well as other possible options. Some options discussed were: Temporary freeze of longevity pay, dependent on the total value of savings, acknowledging this scenario would be shared more equally across the entire non represented employee group. Request for a more detailed recommendation from the Mayor regarding the specific funding cuts Council is being asked to consider regarding non represented employee wages. No non represented employee wage increases for 2010. Wage increases given to all non represented employees regardless of position band range. In regards to the second bulleted item above, Rhonda Berry responded that the Administration is cognizant of both the complex nature of discussions involving employee benefits and wages, and the Finance Safety Committee Minutes October 20. 2009 Paae 2 general Council desire to be responsive and diplomatic in the process of making decisions that directly affect City employees. It is with these considerations that a specific amount of funding has not been targeted for reduction. At this time, the intent is to save funding and reduce expenditures whenever or wherever possible. The Committee did not reach unanimous approval for a recommended action in regards to this item. The following items were agreed to: This item will move forward to full Council for discussion with the Mayor's recommendations, after the November 3 General Election (to the November 9 COW). Non represented City employees should be asked to provide input on potential wage options. FORWARD TO NOVEMBER 9 COW FOR DISCUSSION. B. Contract Renewal for 2010 M.J. Durkan for Lobbvine Services This is a professional services renewal contract with M. J. Durkan, Inc. for local lobbying service. This will be a one -year contract with terms, scope of services and fees remaining the same as last year. The Committee recognizes the importance of maintaining relations with the State especially during these challenging economic times. UNANIMOUS APPROVAL. FORWARD TO OCTOBER 26 COW FOR DISCUSSION. C. Authorization to Transfer Funds for Additional 2009 Budget Reductions Staff is seeking full Council authorization to transfer funds from various City Department budgets in the amount of $392,416 to Dept 20 for additional budget reductions. Council has previously approved funds transfers including a City -wide 3% budget reduction and a transfer from the 2009 Equipment Replacement fund. This third transfer comes from selected departments based on identified cost savings opportunities. Committee Chair Linder requested clarification in the Fund Transfer line item for Public Works Emergency Services. This line item reflects a cost savings as a result of the vacant CERT position. UNANIMOUS APPROVAL. FORWARD TO OCTOBER 26 COW FOR DISCUSSION. D. Budget Process and Deadlines Based on Council request, staff has provided a detailed, dated list of major steps involved and required in the biennial budget process as outlined in the informational memo included in the Committee agenda packet. Kimberly Matej is currently working with Shawn Hunstock to incorporate this information into a table that can be utilized and updated annually. The Committee noted that most of the budget process is dictated and required by law. The majority of preparation taking place prior to legally mandated deadlines is at City discretion. Committee Members expressed confidence that this detailed process will allow input on budget items in a timely and efficient manner. The documentation incorporates this Council policy -level review at various times throughout the year, including an early Spring (May) review of sales receipts and potential budget modifications. The information and timeline Council will be discussing on October 26 is based on budgetary requirements without implementation of Initiative 1033. If I -1033 passes, the City will have ample time to react strategically. However, Committee Chair Linder requested that Shawn also provide the initial three or four steps that will be required of the City in the event of I -1033 passage. For example, passage will require setting the property tax level to the highest possible limit. FORWARD TO OCTOBER 26 COW FOR DISCUSSION.