HomeMy WebLinkAbout2012-03-20 Finance and Safety MinutesCity of Tukwila
Finance and Safety Committee
FINANCE AND SAFETY COMMITTEE Meeting Minutes
March 20, 2012 5:15j). m C'on ferenee Roon7
PRESENT
Councilmembers: De' Sean Quinn, Chair; Dennis Robertson and Kate Kruller
Staff: Mayor Haggerton, David Cline, Jennifer Ferrer -Santa Ines, Christy O'Flahertv,
Joyce Trantina, Maio Miotke, Gail Labanara, Bob Giberson and Kimberly Mattj
CALL TO ORDER: Chair Quinn called the meeting to order at 5:16 p.m.
*Committee Chair Quinn amended the agenda, and the Committee concurred, to reflect the addition of Item C:
Non- Relnresentecl Ernhlovees Cornl)ensation Discussion as listed beloAv.
I. PRESENTATIONS
No presentations.
II. BUSINESS AGENDA
A. Sales Tai and Miscellaneous Revenue Reaort: 2011 Fiscal Year
Staff presented the ftill rear sales tai and miscellaneous revenue report for 2011. Overall, revenues came
in slightly over 8% for the year as compared to budget. This increase includes various sales tai revenue
mitigation payments. Gambling tai revenue is down by_ =40% due to non payment by casino, and
admissions tax is down by 19
Committee Member Robertson requested that a column be added to Schedule L Sales Tai (included in the
agenda packet) that reflects the 2010 sales tai revenue from construction in order to attempt to identify
where the decline in sales tai revenue is as compared to 2010. Committee Member Robertson is
interested in looking at long -term trends. Staff stated they were planning to include this information for
2011 and 2012 to see such comparisons; however they provide construction numbers for 2010 per the
request. INFORMATION ONLY.
B. Proaosed Consent Agenda Process
Staff presented a proposed consent agenda process for improving meeting efficiency based on a
discussion regarding consent agendas at the Council Retreat in Febnuai The proposed process outlines
options for placing items on a consent agenda, and lists items that could be placed on the agenda as well
as items that would not be eligible for consent agenda consideration.
After discussion, the Committee Members suggested a combination of Option 1 and Option 2 which are
outlined in the informational memo included in the Committee agenda packet. Option 1 would be utilized
for non controversially items that are purely administrative in nature. Based on this suggestion, the
Committee recommends implementing a consent agenda by using the following process:
An iten7 that is non contr'over'sial aml strictly aA lninistrative in nature can be hlaeeAl &reetly on
the consent agemla of a Regular meeting by recorrrrnenAI(Ition of staff arul hr`ior ahhroval of the
Council Pres0ent.
An item that rnav be of greater° interest to the Council, but is still non controversial, can be
hlacecl on the consent (gencla of a Regular meeting With the uhhrohr °iate Cornrnittee
reeonwwmlation an4l subsequent Council Presi4lent al)hroval.
Committee Members expressed the importance of understanding that in this proposed process, any
Councilmember can request an item be removed from the consent agenda at a Regular meeting, and that
item will then be discussed under nevv business later in the meeting. UNANIMOUS APPROVAL.
FORWARD TO MARCH 26 COW FOR DISCUSSION.
Finance Safety Committee Minutes
March 20, 2012 Paae 2
C. Non Represented EmploN "ees Compensation Discussion
At the Council Work Session on Monday, March 19, 2012, there vvas Council consensus to send the
discussion of the 2012 Wage and Benefit Package for Non Represented Employees and appropriate
policy considerations for City- -ivide compensation to today's Finance Safety Committee meeting.
Committee Chair Quinn began the discussion by proposing a timeline for the Committee to review and
make a recommendation to the full Council regarding this item. He suggested the follolving:
March 20 Today's Committee Meeting
Discussion of ideas that could lead to potential proposals the Committee will consider and discuss
at the next Committee meeting for ultimate recommendation to the fiill Council.
April 3 Finance do Sgfety Committee Meeting
Reviesy and discuss proposals and make a recommendation to full Council for consideration.
April 9 COW
Full Council discussion of Finance Safety recommended action.
Recognizing the timeliness of continuing discussion and review of this item, Committee Members agreed
to adhere to this timeline. Additionally, Committee Chair Quinn requested this item be the only agenda
item on the April 3 Finance Safety Committee meeting with the exception of any contract that may be
forthcoming relative to the Strategic Plan.
Committee Chair Quinn requested that, as a result of tonight's meeting, each Committee Member provide
him with a suggested proposal /recommendation, via e -mail, for addressing this item by Tuesday_ March
27, 2012, so that he can work with Council staff in preparation of an informational memo to be included
in the April 3 Committee agenda packet. Committee Chair Quinn then set the criteria and parameters for
what each recommendation should, at a minimum, include:
A proposal reeon7n7endation should be based on a strong policy eon7ponent that draws fron7 the
report and findings presented by Mr. Ardrey at yesterday's Council Work Session. It should also
address policy related to the ongoing discussion surrounding City-wide en7ployee eon7pensation.
A discussion followed w herein Committee Members offered suggestions for policy considerations and
objectives that could be included in a potential recommendation to address this item. Belovv is a summaiN
of the ideas offered for discussion by each Connnittee Member.
Robertson
Use a market -based method to calculate wage and benefit packages. The decision band
methodology can cause problems because it compares positions that are not thought to be common.
In order to stay within a competitive salai range, only use the decision band when there is no
market -rate comparison for a position.
As offered in Mr. Ardrey's report, likes the use of selecting comparable cities based on assessed
valuation.
Comparable cities should be a fixed set of cities and the highest and losyest compensation samples
should not be included in the average calculations for each position.
Positions syith salaries falling belosy comparables should be brought up to the comparable market
immediately. Although compensation would not be reduced, positions above the comparables
should not receive additional compensation increases until the position is in line syith the
comparable market. Do not treat non represented employees as a v, instead look at each
position and how it compares to the market.
Once the market survey establishes a "top" salary for each position, apply a 90% CPI increase. This
is because the swi ey data is one year old.
Finance Safety Committee Minutes
Robertson (contina ed)
March 20, 2012 Paae 3
In consideration that not evei situation is the same, if Administration feels that there is a case for a
position being above or below the market, then written justification should be provided.
Consider medical benefits (if they are above comparables) to be used as an additional compensation
benefit.
Kruller
Be consistent in treatment of employees City_ -wide with the emphasis on presenting a proposal that
is fair, equitable and defensible.
Agrees with Committee Member Robertson's comments, except with how to proportion the
decision band /market surrey ratio in identifying the proper wages for Tukwila employees. Perhaps
utilize a hybrid of compensation methodology by decision banding first and then applying market
rates to fine tune.
Review /study Citv offered benefits, including medical, and adjust as necessai
Consider use of performance factors in determining salaiN increases (i.e.: part COLA part bonus
wage process look at City of Seattle Compensation Plan).
Quinn
Consistency is key.
Utilizing the decision -band methodology makes sense as well as providing an opportunity for the
justification of unique positions.
In the short-term, utilize the information provided in Mr. Ardrey's report to bring salaries up to
where they need to be.
Look for and identify employee incentives.
Create a policy that clearly articulates how the City respond to and resolve decisions related to
wage and benefit packages in a good economy and in a bad economy
One of the values of Mr. Ardrey's report is that it indicates that the Citv's current salary structure is
not significant1v out of range.
In summaiv, Committee Chair Quinn would like the Committee to consider a total of four potential
proposals/recommendations to address the 2(_)12 Wage and Benefit Package for Non Represented
Employees and appropriate policy considerations for City -wide compensation at the April 3 Committee
meeting. Two of these recommendations are outlined below, and the remaining two will be submitted to
Chair Quinn by Committee Members Robertson and Kruller.
Proposal 1: Mayor's Recommendation
Based on the statements of Resolution No. 1567, approve a resolution regarding the 2(_)12
Wage and Benefit Package for Non Represented Employees. Includes a 3% increase to
non represented positions A, B, C and D61 level employees, a market adjustment for D62-
F102 level employees and a benefit reduction of City medical contributions from 1l_)% to
Proposal 2: 2% Increase across the Board
With the understanding that this proposal will include more details for discussion at the
April 3 Committee meeting, this proposal will essentially be the same as Proposal 1, with
the exception that a 2% increase and market adjustment would be given to all
positions /levels in the non represented employee group. Council would then take the next
year to engage in a wage and benefit policy discussion including responding to and
resoling decisions related to wage and benefit packages in a good economy and in a bad
economy.
Finance Safety Committee Minutes
March 20, 2012 Paae 4
The Committee agreed that the Council has an issue that needs to be addressed and resoled in a timely
manner. They also agree that any recommendation forthcoming from the Finance Safety Committee to
the full Council must be acceptable to a majority of Councihmmbers.
III. MISCELLANEOUS
Meeting adjourned at 6:44 p.m.
Next meeting: Tuesday April 2012 5:15 p.m. Conference Room 4'
r
Committee Chair Approval
Minutes by KAM.