Title
Adoption of Resolution Approving a Revised Executive Management Compensation Plan for the Period Commencing July 1, 2022 and Ending June 30, 2025. (Human Resources 10025060)
Body
To: Honorable Mayor and Members of the City Council
EXECUTIVE SUMMARY
The prior Compensation Plan for Executive Management Employees (EXME), representing 14 employees, expired on June 30, 2022. The revised Compensation Plan encompasses a thirty-six month period, commencing July 1, 2022, and ending June 30, 2025.
Recommendations for base salary increases for miscellaneous employees, the medical premium contribution and holidays are the same as provided to other miscellaneous labor groups and are effective July 3, 2022.
Public Safety Chiefs will receive the same increases and medical premium contribution as their associated management association. It is also recommended to provide 6.5% salary differential between the Public Safety Chiefs and their highest paid subordinate.
Additionally, staff are recommending that EXME members receive an increase in administrative leave to reflect what was provided to the Management and Confidential Association and the Electric Utility Professionals Association.
BACKGROUND
The City of Alameda (City) has nine labor groups and administers two compensation plans. This includes four Public Safety groups and five miscellaneous groups.
In 2020, the City reached an agreement on a contract extension with the International Association of Firefighters (IAFF) through December of 2023. This year, the City also reached agreement with the Alameda Police Officers Association (APOA), Alameda Fire Chiefs Association (AFCA), and Alameda Police Management Association (APMA).
The agreements with the five miscellaneous groups and the two Compensation Plans expired June 30, 2022. The City has now reached agreement with the Alameda City Employees Association (ACEA), the Management and Confidential Association (MCEA), the Electric Utility Association and the Police Officers Non-Sworn Association (PANS). City Council has approved the agreement with PANs and the other agreements will be presented to City Council on November 15, 2022, The City is currently meeting with the International Brotherhood of Electrical Workers (IBEW) group.
DISCUSSION
The recommendations in the Compensation Plan for base salary increases for miscellaneous employees, the increase in contribution to the medical premium and the addition of Juneteeth as a City Holiday are the same as provided to other miscellaneous labor groups.
The proposed Compensation Plan provides miscellaneous members the following:
• Four and a half percent (4.5%) effective July 3, 2022;
• Three and a half percent (3.5%) effective the first full pay period following July 1, 2023; and
• Two and a half percent (2.5%) effective the first full pay period following July 1, 2024.
Public Safety Chiefs will receive the same salary increases as their management employee groups. It is also recommended to provide a 6.5% salary differential between the Public Safety Chiefs and their highest paid subordinate. Currently the Police Chief salary is just 1.0% above the highest paid subordinate and the Fire Chief is 2.9% above the highest paid subordinate. The 6.5% differential will recognize the 24 hour a day role of the Police and Fire Chief.
It is also recommended to provide EXME members with the three days of Administrative Leave provided to MCEA and EUPA during recent contract negotiations.
It is also recommended to update the title of the Auto Allowance section to Transportation Allowance to reflect the City’s desire to have employees look for alternatives for travel other than by automobile.
The general cost of living increases established above will be applied to the City Manager and the City Attorney consistent with their existing contracts. The three additional days of Administrative Leave will not be applied to the City Manager and the City Attorney, unless the Council specifically directs so separately.
Unless otherwise noted, all provisions are effective July 3, 2022. A draft compensation Plan is attached.
FINANCIAL IMPACT
The financial impact of the Compensation Plan for EXME in Fiscal Year (FY) 2022-2023 is approximately $160,000 for salary increases. The financial impact on the FY 2023-24, and FY 2024-25 will be approximately $147,000, and $124,000 respectively. The total cost for the thirty six month plan is estimated at $900,000.
Departments have sufficient funds in their budgets to absorb the additional cost related to this compensation plan in the current Fiscal Year. The full cost will be included in the upcoming Biennial Budget.
MUNICIPAL CODE/POLICY DOCUMENT CROSS REFERENCE
This action is consistent with the Alameda Municipal Code.
ENVIRONMENTAL REVIEW
This action is not a project under Public Resources Code Section 21065 or California Environmental Quality Act Guidelines section 15378 because it does not have potential for resulting in either a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment.
RECOMMENDATION
Adopt a resolution approving a revised Executive Management Compensation Plan for the period commencing July 1, 2022 and ending June 30, 2025.
Respectfully submitted,
Jessica Romeo, Human Resources Director
Financial Impact section reviewed,
Margaret O’Brien, Finance Director
Exhibits:
1. Compensation Plan - Redline
2. Compensation Plan - Clean
3. Draft EXME Salary Schedule