HomeMy WebLinkAbout08-59 - Revising Executive Compensation Plan and Salary ScheduleRESOLUTION NO. 08-59
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF COSTA MESA, CALIFORNIA, REVISING THE
EXECUTIVE COMPENSATION PLAN AND EXECUTIVE
SALARY SCHEDULE TO REFLECT CHANGES IN THE
ESTABLISHED LABOR MARKETPLACE. -
The City Council of the City of Costa Mesa does hereby resolve, determine and
order as follows:
SECTION 1. The Costa Mesa City Council previously established the Executive
Compensation Plan to: 1) promote maximum commitment by City executives to
objectives and standards of the City Council and City Manager; 2) establish a system in
which compensation serves as an effective device for promoting better job
performance; 3) foster the identification of an executive employee group and recognize
the distinct character of executive jobs; and, 4) improve the City's ability to attract and
retain outstanding executives.
The Human Resources Division annually conducts a survey of the total
compensation paid to comparable executive positions in the defined labor marketplace
using the most current information available. Historically, the elements of total
compensation used in the comparisons are as follows: top step base salary; employer -
paid member retirement contribution; 125 cafeteria accounts or individual premiums for
health, dental, life and disability insurances at the family rate; deferred compensation
contributions paid by the employer; auto allowance; the value of enhanced retirement
plans greater than the PERS 2%@60 (nonsworn) or PERS 2%@50 (safety) formulas;
other elements prevalent within the marketplace that the City Manager considers
appropriate and that may influence the City's ability to retain and recruit executive
employees or remain competitive.
SECTION 2. The following job classifications, placed under the Executive Salary
Schedule, are hereby revised to reflect the salary ranges and monthly rates of pay
specified, effective the pay period beginning August 31, 2008. The rate of pay for
individual executives may be anywhere within the monthly minimum and. maximum
salary steps.
Class Class
Code Title
Grade 1
2
3
Step
4
5
6
7
APPOINTED AT -WILL EXECUTIVES
75 Assistant City
810 $11,433
$12,004
$12,605
$13,235
$13,896
$14,591
$15,321 Monthly
Manager
$137,196
$144,048
$151,260
$158,820
$166,752
$175,092
$183,852 Annual
$65.96
$69.25
$72.72
$76.36
$80.17
$84.18
$88.39 Hourly
76 City Manager
840 $14,212
$14,922
$15,668
$16,452
$17,274
$18,138
$19,045
Monthly
$170;544:
$179,064
$188,016
$197,424
$207,288
$217,656
$228,540
Annual
$81.99
$86.09
$90.39
$94.92
$99.66
$104.64
$109.88
Hourly
APPOINTED AT•WILL SWORN DEPARTMENT DIRECTORS
223 Fire Chief
793 $12,768
$13,406
$14,076
$14,780
$15,519
$16,295
$17,110
Monthly
$153,216
$1.60,872
$168,912
$177,360
$186,228
$195,540
$205,320
Annual
$73.66
$77.34
$81.21
$85.27
$89.53
$94.01
$98.71
Hourly
207 Police Chief
792 $12,854
$13,497
$14,171
$14,880
$15,624
$16,405
$17,225
Monthly
$154,248
$161,964
$170,052
$178,560
$187,488
$196,860
$206,700
Annual
$74.16
$77.87
$81.76
$85.85
$90.14
$94.64
$99.38
Hourly
APPOINTED AT -WILL DEPARTMENT DIRECTORS
91 Administrative Services
775 $10,444
$10,966
:$11,514
$12,090
$12,694
$13,329
$13,995
Monthly
Director
$125,328
$131,592
$138,168
$145,080
$152,328
$159,948
$167,940
Annual
$60.25
$63.27
$66.43
$69.75
$73.23
$76.90
$80.74
Hourly
69 Finance Director
772 $10,455
$10,978
$11,527
$12,104
$12,709
$13,344
$14,011
Monthly
$125,460
$131,736
$138,324
$145,248
$152,508
$160,128
$168,132
Annual
$60.32
$63.33
$66.50
$69.83
$73.32
$76.98
$80.83
Hourly
117 Public Services Director
791 $10,998
$11,548
$12,125
$12,731
$13,368
$14,036
$14,738
Monthly
$131,976
$138,576
$145,500
$152,772
$160,416
$168,432
$176,856
Annual.
$63.45
$66.62
$69.95
$73.45
$77.12
$80.98
$85.03
Hourly
DEPARTMENT DIRECTORS IN THE CLASSIFIED SERVICE
155 Development Services
797 $11,386
$11,955
$12,553
$13,181
$13,840
$14,532
$15,258
Monthly
Director
$136,632
$143,460
$150,636
$158,172
$166,080
$174,384
$183,096
Annual
$65.69
$68.97
$72.42
$76.04
$79.85
$83.84
$88.03
Hourly
SWORN DIVISION MANAGERS IN THE CLASSIFIED SERVICE
214 Battalion Chief
728 $8,628.
$9,059
.$9,512
$9,988
$10,487
$11,012
$11,562
Monthly
$103,536
$108,708
$114,144
$119,856
$125,844
$132,144
$138,744
Annual
$49.78
$52.26
$54.88
$57.62
$60.50
$63.53
$66.70
Hourly
220 Deputy Fire Chief
771 $10,647
$11,180
$11,739
$12,326
$12,942
$13,589
$14,269
Monthly
$127,764
$134,160
$140,868
$147,912
$155,304
$163,068
$171,228
Annual
$61.43
$64.50
$67.73
$71.11
$74.67
$78.40
$82.32
Hourly
DIVISION MANAGERS IN THE CLASSIFIED SERVICE
Assistant Development
157
761 $9,526
$10,003
$10,503
$11,028
$11,579
$12,158
$12,766
Monthly
Services Director
$114,312
$120,036
$126,036
$132,336
$138,948
$145,896
$153,192
Annual
$54.96
$57.71
$60.59
$63.62
$66.80
$70.14
$73.65
Hourly
68
Assistant Finance
750
$8,536
$8,963
$9,411
$9,882
$10,376
$10,895
$11,440
.. Monthly
Director
$102,432
. $107,556
$112,932
$118,584
$124,512
$130;740
$137,280
Annual
$49.25
- $51.71
$54.29
$57.01
$59.86
$62.86
$66.00
Hourly
59
Budget & Research
740
$8,128
$8,534
$8,961
$9,409
$9,880
$10,374
$10,892
Monthly
Officer...
$97,536
$102,408
$107,532
$112,908
$118,560
$.124,488
$130,704
Annual
$46.89
$49.23
$51.70
$54.28
$57.00
$59.85
$62.84
Hourly
142.
Building Official
754.
$9,560
$10,038
$10,540
$11,067
$11,621
.$1:2,202:
$12,81.2
Monthly
$114,720.
$120,456..
$126,480
$132,804
$139,452
$146,424.
$153,744
Annual
$55.15...
$57.91
$60.81
$63.85
$67.04
'$70.40
$73.92
Hourl
23
City Clerk
892
$7,622
$8,003.
$8,404
$8,824
$9,265
$9,728
$10,215
Monthly
$91,464
$96,036
$100,848
$105,888
$111,180
$116,736
$122,580
Annual
$43.97
$46.17
$48.48
$50.91
$53.45
$56.12
$58.93
Hourly
112
City Engineer
751
$8,559
$8,987
$9,436
$9,908
$10,404
$10,924
$11,470
Monthly
$102,708
$107,844
$113,232
$118,896
$124,848
$131,088
$137,640
Annual
$49.38
$51.85
$54.44
$57.16
$60.02
$63.02
$66.17
Hourly
416
Fairview Park Plan
102
$6,979
$7,328
$7,694
$8,079
$8,483
$8,907
$9,353
Monthly
Administrator
$83,748
$87,936
$92,328
$96,948
$101,796
$.406,884
$112,236
Annual
$40.26
$42.28
$44.39
$46.61
$48.94
$51.39
$53.96
Hourly
90
Human Resources
748
$9,218
$9,679
$10,163
$10,671
$11,205
$11,765
$12,353
Monthly
Manager
$110,616
$116,148
$121,956
$128,052
$134,460
$141,180
$148,236
Annual
$53.18
$55.84
$58.63
$61.56
$64.64
$67.88
$71.27
Hourly
47
Information Technology
741
$7,937
$8,334
$8,751
$9,188
$9,648
$10,130
$10,636
Monthly
Manager
$95,244
$100,008
$105,012
$110,256
$115,776
$121,560
$127,632
Annual
$45.79
$48.08
$50.49
$53.01
$55.66
$58.44
$61.36
Hourly
77
Legislative & Public
140
$8,462
$8,885
$9,330
$9,796
$10,286
$10,800
$11,340
Monthly
Affairs Manager
$101,544
$106,620
$111,960
$117,552
$123,432
$129,600
$136,080
Annual
$48.82
$51.26
$53.83
$56.52
$59.34
$62.31
$65.42
Hourly
451
Maintenance Services
733
$8,282
$8,696
$9,130
$9,587
$10,066
$10,570
$11,098
Monthly
Manager
$99,384
$104,352
$109,560
$115,044
$120,792
$126,840
$133,176
Annual
$47.78
. $50.17
$52.67
$55.31
$58.07
$60.98
$64.03
Hourly
160
Neighborhood
719
$7,753
$8,140
$8,547
$8,975
$9,423
$9,894
$10,389
Monthly
Improvement Manager
$93,036
$97,680
$102,564
$107,700
$113,076
$118,728
$124,668
Annual
$44.73
$46.96
$49.31
$51.78
$54.36
$57.08
$59.94
Hourly
97
Police Administrative
756
$9,802
$10,292
$10,807
$11,347
$11,914
$12;510
$13,135
Monthly
Services Commander
$117,624
$123,504
$129,684
$136,164
$142,968
$150,120
$157,620
Annual
$56.55
$59.38
$62.35
$65.46
$68.73
$72.17
$75.78
Hourly
305
Recreation Manager
893
$7,596
$7,975
$8,374
$8,793
$9,233
$9,694
$10,179
Monthly
$91,152
$95,700
$100,488
$105,516
$110,796
$116,328
$122,148
Annual
$43.82
$46.01
$48.31
$50.73
$53.27
$55.93
$58.73
Hourly
236
Telecommunications
894
$8,048
$8,450
$8,873
$9,317
$9,782
$10,272
$10,785
Monthly
Manager
$96,576
$101,400
$106,476
$111,804
$117,384
$123,264
$129,420
Annual
$46.43
$48.75
$51.19
$53.75
$56.43
$59.26
$62.22
Hourly
113
Transportation Services
745
$8,687
$9,121
$9,577
$10,056
$10,559
$11,087
$11,641
Monthly
Manager
$104,244
$109,452
$114,924
$120,672
$126,708
$133,044
$139,692
Annual
$50.12
$52.62
$55.25
$58.02
$60.92
$63.96
$67.16
Hourly
SECTION 3. The City of Costa Mesa has contracted with the California Public
Employees Retirement System (CalPERS) to provide retirement benefits to eligible City
employees. under the 2% at 55 formula for non -sworn classifications,. 3% at.50 formula
for sworn police classifications and 3% at 55 formula for sworn fire classifications. For
non -sworn classifications, the City pays 7% of the employees' retirement contribution to
the CalPERS, and for sworn classifications, the City pays 9W of the employees'
retirement contribution to CalPERS. The City shall pay' each affected employee's
COPERS normal member. contribution .(as defined in §20677 of. the California
Government. Code) into an individual employee account with CalPERS, pursuant to.
§20615 of the California Government Code,` and will include this payment in ,the
employee's compensation earnable that is reported to CalPERS,. pursuant to
§20023(c)(4) of the California Government Code.
The City agrees to implement procedures to amend the CalPERS Miscellaneous
Plan to provide Government Code §21354.4 (2.5@55) retirement benefits to be
effective on, or about October 1, 2008 for. non -sworn classifications. Pursuant to
CalPERS regulations, this new formula will apply to all employees., that are in. active
status on the date this amendment takes effect. This new formula will apply to each
year of eligible service credited with the City of Costa Mesa.
Employees covered by this resolution shall contribute 1 % of their salary towards
the employee contribution and 2.52% of their salary towards the employer contribution
for a total of 3.52% (the total cost of the 2.5% @ 55 CalPERS retirement benefit based
on CalPERS actuarial data on November 14, 2007). To the extent permitted by
CalPERS and the IRS regulations, this 3.52% contribution shall be implemented
through payroll deduction on a pre-tax basis.
SECTION 4. The following classifications shall be provided with a City vehicle or
monthly automobile allowance:
Assigned City Vehicle: Fire Chief, Deputy Fire Chief, Fire Marshal, Police Chief,
Public Services Director
$450 Monthly Automobile Allowance: City Manager, Assistant City Manager,
Development Services Director,. Finance Director, Administrative Services
Director
The monthly automobile allowance will be adjusted on an annual basis by the
Department of Labor's actual June Consumer Price Index (CPI -W) for Urban Wage
Earners and Clerical Workers for the Los Angeles -Anaheim -Riverside region up to a
maximum amount equal to the average monthly automobile allowance of the
established survey agencies. In all situations, the City Manager has the sole discretion
to grant, modify or deny use of a City vehicle or grant an allowance for Department
Directors and Division Managers
SECTION 5. With exception of the City Manager, a pay -for -performance
evaluation and compensation system will be utilized for all employees. in executive job
classifications. All compensation increases for executives will be based upon continued .
meritorious service to the CityrThough the City Manager may receive labor marketplace
salaryadjustments, annual performance evaluations for this position will be conducted..
in the fall of each year by the City Council.
SECTION 6. The City shall contribute an 'amount toward the executive flexible
benefit plan bucket for : the payment of premiums for affected employees and
dependents based upon the following criteria:
• Full family coverage for the PERS Choice medical plan under the California
Public Employees' Retirement System (CALPERS) health "insurance
programs
• Full family coverage for the Dental Indemnity plan
• Full premium payment for Life Insurance
• For Department Directors, the Long Term Disability premium will be based
upon the top step salary of the highest -salaried Department Director within
the classified service
• For Division Managers, the Long Term Disability premium will be based upon
the top step salary of the highest -salaried Division Manager within the
classified service
Any amounts necessary to maintain benefit premiums in excess of the City
contribution specified above shall be borne entirely by the executive employee.
SECTION 7. Full-time employees employed in the classifications of Battalion
Chief and Deputy Fire Chief are eligible to participate in the Fire Management
Certification/Education Program based upon the following achievements and criteria:
Certification/ Degree
California State Fire -
Chief Officer
California State Fire -
Fire Marshall
National Fire Academy -
Executive Fire OfficeP
Master's Degree
Urban Search and Rescues
Eligible Rank(s) Award
Battalion Chief/ Deputy Fire Chief 2.50%
Battalion Chief/ Deputy Fire Chief 2.50%
Battalion Chief/ Deputy Fire Chief 2.50%
Battalion Chief/ Deputy Fire Chief 2.50%
Battalion Chief 1.25%
Strike Team Leaders Battalion Chief 1.25%
Completion of all requirements per the State Fire Training Polices and Procedures Manual
2Completion of all required coursework (pending certification) per. the State Fire Training Policies and Procedures
Manual
3Comp letion of all requirements per the USFA Executive Fire Officer Program
4Degrees. submitted mustbe accredited by the Western Association of Schools and Colleges, .Council. for Higher
Education Accreditation, or pre -approved by the Fire Chief or designee.
5 Completion of RS -1, 'RS -2, Confined Space, Trench Rescue, Swift Water Rescue
5 Completion of all requirements per the California Incident Command Certification System (C/CCS).
Awards are based on a percentage of base: salary. The maximum cumulative
award payable. to any employee shall not exceed 7.5%. of base salary. These awards
shall be reported to PERS as "compensation earnable" and will be included as. an
element of total compensation in the annual calculation.
Employees must submit official documentation/transcripts to Fire Administration
confirming that he or she is in possession of the required certifications or degree prior
to receiving an award. The acceptance or rejection of any application of any employee
for this incentive ,program. shall be the responsibility of the Fire Chief. The Fire Chief, in
considering the application of an employee for an award under the Fire Management
Certification/Education Program, shall examine the employee's length of service,
certification/degree and training records, to determine if the employee has, in his/her
opinion, successfully met the standards outlined. ,Fire Administration will be responsible
for notifying the Human Resources Division of the award qualification, upon verification
that an employee has met the required criteria.
If the employee has not, in the opinion of the Fire Chief, successfully met these
requirements, the application shall be rejected. An award may be granted, rejected or
removed at any time. The Fire Chief, with the approval of the City Manager, may
review and update this program on a periodic basis to ensure its vitality and relevance.
SECTION 8. Any employee in the job classification of Battalion Chief shall be
entitled to compensation in the amount of 2.5% of the employee's base salary when
permanently assigned by the Fire Chief to a 40 -hour administrative assignment
workweek. The cumulative percentage of base salary of the Fire Administration
Assignment and Fire Management Certification/Education Program shall not exceed
7.5%. This additional compensation shall be reported to PERS as "compensation
earnable.
SECTION 9. Administrative Regulation 2.19 on Executive Leave establishes
the provision of 80 hours (112 hours for Battalion Chiefs) of Executive. Leave for every
executive employee. Executives who are regularly assigned as staff support to the City
Council, Planning Commission or the Parks and Recreation Commission may be
annually granted additional Executive Leave up to forty (40) hours. Executives who are
involved in extraordinary major projects or assignments may also be granted additional
Executive Leave up to forty (40) hours based upon a Department Director
recommendation, which includes documentation of additional hours regularly worked.
The City Manager has the sole discretion to grant or deny additional Executive Leave
hours. No employee shall be granted more than 120 Executive Leave hours annually
and, if additional hours are approved, the hours are subject to the same carry forward
limitations detailed in Administrative Regulation 2.19:
Off-dutyexecutives in the Battalion- Chief classification who are assigned by,
the Fire Chief or designee to a twenty-four :(24) hour fire suppression work shift :for, an
emergency assignment associated with an ongoing emergency incident or.:to replace.
another Battalion Chief who is on an approved leave of absence, will receive an amount
equivalent to one ,and one-half times (1 Y2) their regular rate of pay (overtime). Monthly
staff meetings or, regular assignments will -not be eligible for. overtime'. and shift
exchanges between two Battalion Chiefs will not qualify for overtime compensation.
SECTION10. Pursuant to the Executive Professional Development
Reimbursement Program, the City agrees to reimburse Department Directors . up to
$2,000 and Division Managers up to $1,000 per fiscal year for activities, materials,
equipment or fees that will aid in their individual professional development. The intent of
this program is to encourage and recognize executive staff for pursuing educational,
professional or community -oriented activities, enhancing job skills and expertise, and/or
purchasing materials/equipment, which improve the executive's performance. These
activities, materials, equipment or fees are intended to be beyond what is budgeted for
individuals through the annual budget cycle. The reimbursement options available
include the following:
• Professional memberships, licenses and certificates that are job-related
• Professional conferences that are job-related including fees and other
expenses while attending
• Membership dues in community organizations relevant to the executive's job
assignment
• Purchase of job-related professional journals, periodicals, books or other
written materials which further knowledge or improvement of effectiveness in
performance of duties
• Education fees that exceed the City's annual $1,000 tuition reimbursement
limit
• Direct purchase of qualifying computer equipment defined in Administrative
Regulation 2.29
• Annual payments for the Executive Computer Loan Guarantee Program
defined below up to the maximum $2,000 per fiscal year for Department
Directors and $1,000 for Division Managers
The Department Director and Administrative Services Director must approve
participation in the activities and/or purchase of the materials/equipment in advance.
Claims for reimbursement must be accompanied by documentation that an eligible
expense has been incurred during the fiscal year for the executive employee only. Any
portion of the reimbursement amount not incurred within the fiscal year shall remain
City funds unless prior approval has been received by the City Manager. Requests to
carry forward unencumbered amounts to the next fiscal year must receive approval by
the City Manager prior to the end of the fiscal year. All payments will be in the form of
reimbursement and no executive employee will directly receive cash for this benefit.
Reimbursements, which are subject to taxation, will be processed through the payroll
system. The Finance Department shall administer this program in accordance to the
stated purpose and will provide the 'appropriate forms and -,procedures. This
reimbursement program does not prohibit individual departments from continuing to
budget funds for executive staff attendance at professional conferences and seminars;
for thepayment of professional membershipdues, and/or for the purchase of books,
journals and 'written%materials that are job-related and will enhance an executive's
knowledge or. expertise.
SECTION 11. Executive employees who have passed probation and . at -will
Department Directors are eligible to participate in the Executive: Computer Loan.
Guarantee Program: The City shall specify the minimum equipment configuration and it-
is the employee who is responsible to negotiate the price for the equipment and to bring
a copy of the order/quote to the MIS Division for approval before loan application and
purchase. The executive must apply for a loan with the Costa Mesa Federal Credit.
Union that will be subject to all Credit Union lending practices. The City will. agree to .
guarantee the loan for the executive, which thereby will lower the interest rate on the
loan.
Loan payments must be by payroll deduction. Each loan payment period shall
not exceed 30 months and the aggregate value of the loan(s) shall.not exceed $3,500
per executive. As a condition of the program, terminating executives participating. in the
program must satisfy any outstanding amounts of the loan with the final paycheck. The
City will continue to provide the software necessary for executives to have remote
access to the City's servers and compatibility to City software. In order for an executive
to receive a loan under the program for equipment upgrades or purchase of new
equipment components that meet the City -approved minimum configuration, the
executive must certify that he/she already owns the remaining components required to
meet the minimum equipment configuration. Equipment purchased under this program
becomes the property of the executive. No more than once a year an. executive may
request reimbursement for payments under the Executive Computer Loan Guarantee
Program along with Credit Union verification that the payments have been made by the
employee. Department Directors may request up to $2,000 and Division Managers up,
to $1,000 per fiscal year under the Executive Professional Development
Reimbursement Program.
SECTION 12. Employees hired after January 1, 2004 will participate in the
mandatory Retirement Health Savings defined contribution plan and are not eligible for
the Retired Employees' Medical Program. The purpose of the Defined Contribution
Retirement Health Savings Plan (Plan) is to establish a tax protected savings program
for every full-time employee that will:
• Provide a retiree medical benefit for employees hired after January 1, 2004
who will not be eligible for -the health insurance contribution under the Council
Policy 300.-1.
• Provide a supplemental benefit to the City contribution under Council Policy
300-1 for'current employees (hired before January 1, 2004).
The program will require `mandatory participation by all full-time 'employees.
Employees will make a monthly contribution to the plan equal to 1% of their base
monthly salary, which will be matched by a 1'% salary monthly contribution from the City
into employees' accounts. The account assets that accumulate, plus investment
earnings, will be used in retirement to pay health insurance premiums and other eligible
out-of-pocket medical expenses such as deductibles, co -payments, vision care or
dental care. Employee contributions plus vested employer contributions will be portable
if an employee should leave employment with Costa Mesa prior to retirement.
SECTION '13. The 401(a) deferred compensation plan provides executives with
another tax-deferred savings plan for future financial planning. The City will provide a
.5% per pay period employer contribution for any executive whose management group .
elects to participate in the 401(8) plan. The employer contribution will be reflected in
that executive's annual total compensation calculation. However, the City will not
provide an employer contribution to the current 457 deferred compensation plan and
the executive must make all 457 contributions,
SECTION 14. All resolutions and parts of resolutions in conflict herewith are
hereby rescinded.
PASSED AND ADOPTED this 19th day of August, 2008.
Eric R. Bever, Mayor
ATTEST: APPROVED AS TO FORM:
ck�
G�
Julig Folcik, 6ity Clerk Kimberly all Barlow, City Attorney
STATE OF CALIFORNIA
COUNTY OF..ORANGE _) . ss
CITY OF COSTA MESA )
1, JULIE FOLCIK, City Clerk of the City of Costa Mesa, DO HEREBY"CERTIFY.-
that the above and .foregoing is the. original.of Resolution No.. 08-59 and, was duly
passed and adopted by the City Council of the City of Costa Mesa at a regular meeting
held on the 19th day of August, 2008, by:the following. roll call vote, to. wit:
AYES: COUNCIL MEMBERS: BEVER, MANSOOR, DIXON, FOLEY, LEECE
NOES: COUNCIL MEMBERS: NONE
ABSENT: COUNCIL MEMBERS: NONE
IN WITNESS WHEREOF, I have hereby set my hand and affixed the seal of the
City of Costa Mesa this 20th day of August, 2008.
JUL FOLCIK, CITY CLERK
(SEAL)