PURPOSE

The purpose of this report is to request the City Council to discuss and, if desired, adopt a resolution and an ordinance for compensation package adjustments for the City Clerk, City Treasurer, and City Council respectively.

BACKGROUND & DISCUSSION

Tonight the City Council will be acting upon the proposed compensation package increases for the BMA, BCEA, Unrepresented Managers, and Executives.  Each proposed package represents an overall 2.50% increase to the General Fund.

As the City Clerk and the City Treasurer positions are both an integral part of the Executive team, their proposed compensation package is also being brought to the Council this evening for consideration.  However, as Elected Officials, the salaries for the City Clerk  and City Treasurer can only be discussed and determined in public session. 

Similar to the City Clerk and City Treasurer, Council compensation can also only be discussed and determined in public session.  The issue of Council compensation was last brought before the City Council in December 2000.  At that time, the City Council passed an ordinance that called for a special election for the purpose of asking the electorate to vote on Council compensation.  The ordinance provided a five percent (5%) increase for Fiscal Year (FY) 2000-01 and a 2.8% increase for FY 2001-02 based on the Consumer Price Index (CPI).  The voters approved both of these salary increases.  Subsequent to this ballot initiative, in November 2002, staff was asked to present a compensation option that would provide for annual Council salary adjustments based on the Consumer Price Index (CPI).  However, further research has determined that this is not a possible option pursuant to California Government Code � 36516 ( c ).  This Code, which was adopted by reference in Burbank Municipal Code � 2-202, prohibits the City from enacting a salary ordinance which would provide for automatic future increases in salary.  As such, staff is presenting the attached survey information to facilitate discussions regarding a Council compensation package for FY 2003�04.  It is staff�s intention, unless directed otherwise, to present this information on an annual basis at the same time the City Clerk and City Treasurer compensation package is brought before Council.

ANALYSIS & CONCLUSION

CITY CLERK AND CITY TREASURER

Traditionally staff has used elected-only surveys for the City Clerk and City Treasurer positions and has tied the two positions to each other, using the City Clerk position as the benchmark.  This year, staff compiled four survey variations using the same 12-city survey methodology as was used for the Executives.  There were two survey versions prepared for each position:

�        one for elected-only positions and,

�        one with elected and comparable appointed positions

The surveys showed the following:

            CITY CLERK (Elected Only)                                    7.73% below survey average

            CITY CLERK (Elected & Appointed)                      17.04% below survey average

            CITY TREASURER (Elected Only)                         12.16% below survey average

            CITY TREASURER (Elected & Appointed)           20.29% below survey average

Based on an average of the elected-only surveys, these positions are below survey by 9.95%. Using the same methodology staff used for the Executive survey (approximately 40% of the survey adjustments), the positions of City Clerk and City Treasurer would receive a 3.98% increase.  This would increase the fixed monthly salary from $7,284.00 to $7,584.00. 

For discussion purposes, the following is a sliding scale of potential increases:

                        1.00% = $7,357                                            3.00% = $7,503       

                        1.50% = $7,393                                            3.50% = $7,539

                        2.00% = $7,430                                            3.98% = $7,574

                        2.50% = $7,466                                            4.00% = $7,575

CITY COUNCIL

According to the attached Council Member Compensation Comparison from the City�s twelve (12) survey cities, the City Council Members are behind the compensation/benefit levels provided in other cities by 15.21%.  However, it should be noted that pursuant to California Government Code � 36516(c), the Council compensation can only be increased up to a maximum of 5.00% from the previous year.  A 5.00% increase would raise the City Council salary from $951.00 to $999.00 per month.

For discussion purposes, the following is a sliding scale of potential increases for the City Council to consider:

                        0.50% = $956                                                3.00% = $980

                        1.00% = $961                                                3.50% = $984

                        1.50% = $965                                                4.00% = $989

                        2.00% = $970                                                4.50% = $994

                        2.50% = $975                                                5.00% = $999

Also provided  for discussion purposes, is a list of the Council�s potential salaries permitted by the California Government Code versus Council�s actual salaries since January 1994:

            PERMITTED BY GOVT. CODE                APPROVED BY CITY COUNCIL

January 1, 1994        $929               5.00%             $830               3.30%

January 3, 1995        $975               5.00%             $855               3.00%

January 3, 1996        $1,024            5.00%             $855               0.00%

January 1, 1997        $1,074            5.00%             $881               3.00%

January 1, 1998        $1,127            5.00%             $881               0.00%

January 1, 1999        $1,183            5.00%             $881               0.00%

January 1, 2000        $1,242            5.00%             $881               0.00%

May 1, 2001               $1,304            5.00%             $925               5.00%  (by ballot initiative)

May 1, 2002               $1,369            5.00%             $951               2.80%  (by ballot initiative)

FISCAL IMPACT

The 3.98% increase for the positions of City Clerk and City Treasurer has been included in the overall 2.50% compensation package calculated for the Executive Team (as described in the other compensation staff report on the agenda this evening).  As such, there would be no further fiscal impact on the General Fund.

A 2.50% increase for the Council Member positions, which would be consistent with other employee bargaining groups in FY 2003�04, would have a total annual impact on the General Fund of $1,440. 

These proposed salary increases were anticipated in the Fiscal Year 2003-04 Budget but were not officially appropriated.  Thus, the current budget will need to be amended to appropriate the necessary funds from the Unappropriated Fund Balance (Account No. 001.ND000.30004) to cover these recurring increased salary costs.

RECOMMENDATION

Staff recommends that the City Council discuss the compensation package for the City Clerk and City Treasurer and, if so desired, adopt a resolution setting the salary level for these two positions.  A blank resolution for the City Clerk and the City Treasurer�s compensation package has been included. 

Staff further recommends that the City Council discuss their total compensation package and, if so desired, introduce and adopt an ordinance setting the salary level for City Council Members.  A blank Council compensation ordinance has also been included.

Lastly, it is recommended that any salary adjustment that may be approved by the City Council be retroactive to July 1, 2003 for all Elected Officials.

Respectfully submitted,

JUDIE SARQUIZ

Management Services Director

go to the top