CC - Item 5A - Approval of Adjustment to Salary and Benefits for City Manager and City Clerk Based on Recent Salary and Benefit Changes Approved in Oct. 26, 2021ROSEMEAD CITY COUNCIL
STAFF REPORT
TO: THE HONORABLE MAYOR AND CITY COUNCIL
FROM: RACHEL H. RICHMAN, CITY ATTORNEY
GLORIA MOLLEDA, CITY MANAGER J1 , ,
DATE: NOVEMBER 9, 2021
SUBJECT: APPROVAL OF ADJUSTMENT TO SALARY AND BENEFITS FOR
CITY MANAGER AND CITY CLERK BASED ON RECENT SALARY
AND BENEFIT CHANGES APPROVED TO EMPLOYEE GROUPS ON
OCTOBER 26, 2021
1` ANG Kym
The City Council will consider the approval of employee salary and benefit adjustments to the
City Manager's and City Clerk's employment agreements to mirror and reflect the changes that
were approved for the Executive Management Team on October 26, 2021. These adjustments
include the 2% salary increases given to all other employees, effective November 1, 2021 and
June 27, 2022, the management incentive pay, and other benefit and leave modifications.
Based on contract provisions detailed herein and State law regarding compensation for key
executive employees, this report has been placed on the Matters from City Manager and Staff for
discussion.
ANALYSIS
City Manager:
Section 3(a)(3) of the City Manager's contract, as approved on January 9, 2018, states that:
"Whenever a cost of living adjustment or other non -merit based pay increase is
provided to other City employees, the City Council shall meet to determine
whether it is reasonable and appropriate to provide a similar adjustment or
increase to City Manager's Base Salary. In the event such a cost of living
adjustment or other non -merit based pay increase is provided to other City
employees, it shall be the City Manager's responsibility to coordinate with the
Mayor to place the consideration of a similar adjustment or increase on the
agenda of a regular City Council meeting. "
Section 3(c) further states:
To the extent benefits are not specifically addressed in the Agreement, the City
AGENDA ITEM 5.A
City Council Meeting
November 9, 2021
Page 2 of 3
Manager shall receive the benefits set forth and attached hereto as Exhibit A (the
City of Rosemead Benefits Summary — Management Services Unit), which may be
modified from time to time at the discretion of the City Council. In the event there
are amendments to the Management Services Group's Benefits made by the City
Council, it shall be the City Manager's responsibility to coordinate with the
Mayor to place the consideration of a similar adjustment or increase on the
agenda of a regular Cit Council meeting.
The benefits listed in the Benefit Summary Management Group, provided as Exhibit A to the
contract, is no longer current based on recent City Council actions. Benefit changes not reflected
on the outdated list include the additional $100/mo for out-of-pocket health premiums,
management incentive pay, the revised city list of recognized holidays and elimination of the
floating holidays, the accrual basis of administrative leave that replaced the annual allotment, the
change in listed flex weeks, and the additional jury duty provision for lengthy trials.
City Clerk:
The City Clerk's original employment agreement approved in 2018, provided leave allowances,
holidays, and health and welfare insurances matching those in the Mid -Management,
Professional, and Confidential group. In 2019, the contract was amended to provide benefits
matching those in the Executive group. The contract is silent as to compensation increases
outside the merit -based annual evaluation process, so the issue of the 2% salary increases and
management incentive pay is being brought forward for consideration.
If approved, the base salary amounts for the two positions would be as follows:
Position
Current
Nov 1, 2021
June 27, 2022
City Manager
19,417
19,805
20,201
City Clerk
9,496
9,686
9,880
STAFF RECOMMENDATION
Staff recommends that the City Council approve the adjustments in salary and benefits to the
City Manager's and City Clerk's employment agreements to mirror those approved for the
Executive Management Group on October 26, 2021. If approved, adoption of Resolution No.
2021-59, presented separately, will establish the salary amounts for the two positions effective
November 1, 2021.
FISCAL IMPACT
The annualized cost of providing the 2% cost of living and management incentive pay, including
Ca1PERS retirement, social security, and Medicare is $34,000; however, with the effective date
of November 1, the cost for the current fiscal year is $22,800. The additional 2% effective June
2022 would add $9,100 to this cost in fiscal year 2022-23.
City Council Meeting
November 9, 2021
Page 3 of 3
PUBLIC NOTICE PROCESS
This item has been noticed through the regular agenda notification process.
Prepared by:
Paula Chamberlain, Interim Finance Director