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HomeMy WebLinkAbout5.F.5. SPUC Commissioner Compensation Increase-Res. No. 6569 CITY OF SHAKOPEE 5. f. s: Memorandum COf~SE~'~T . j" . 8~i TO: Mayor and City Council FROM: Mark McNeill, City Administrator SUBJECT: SPUC Commissioner Compensation Increase DATE: January 24,2007 INTRODUCTION: The Council is asked to increase the compensation for Commissioners who serve Shakopee Public Utilities. BACKGROUND: Attached is a memorandum dated January 10th from John Engler, President of the Shakopee Public Utilities Commission. In that, he requests that the pay of the Commissioners be increased. ~ile the compensation comes from the SPUC budget, the Council actually establishes the rate of compensation. \ The last pay increase was effective June 1,2000. At that time, pay for the Commissioners was set at $225 per month ($2700 annually). The President of the SPUC Commission receives an additional $25 per month, or $300 annually. As shown, they are requesting that the pay be increased to $300 per month for Commissioners ($3600 annually), and an additional $1200 annually for the SPUC President. Finally, a new compensation is requested for the Minnesota Municipal Power Association (MMP A) representative, who would receive $75 permonth. This is in part to compensate for extra meetings and travel time to represent SPUC at MMP A functions. BUDGET IMPACT: As indicated previously, this has no impact on the City's budget. RECOMMENDATION: I recommend that the increase be approved. ., RELATIONSHIP TO VISIONING: This supports Goal D - Vibrant, resilient and stable. ACTION REQUIRED: If the Council concurs, it should, by motion, adopt the following resolution: RESOLUTION NO. 6569 A RESOLUTION ESTABLISHING A RATE OF PAY FOR COMMISSIONERS OF THE SHAKOPEE PUBLIC UTILITIES COMMISSION ~~\J~ Mark McNeill City Administrator MM:th RESOLUTION NO. 6569 A RESOLUTION ESTABLISHING A RATE OF PAY FOR COMMISSIONERS OF THE SHAKOPEE PUBLIC UTILITIES COMMISSION WHEREAS, the Shakopee Public Utilities Commissioners have received compensation established from time to tome by the City Council. of the City of Shakopee; and WHEREAS, since June 1, 2000,. Commissioners have received $225 per month, with an additional $25 going to the President of the Commission; and WHEREAS, a request has been made by the Commission to increase that base amount to reflect the additional responsibilities and time demands placed upon members of the Commission and its President; and WHEREAS, one member ofthe Commission is appointed to be involved with the Minnesota Municipal Power Association (MMP A), and as such is expected to devote considerable additional time in representing the interests of Shakopee Public Utilities Commission; and WHEREAS, the Shakopee City Council, as defined in Section 2.54 (Subd. 1), shall set the rate of compensation for the Commission. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Shakopee, Minnesota, that the compensation for serving on the Shakopee Public Utilities Commission shall be increased to $300 per month for Commissioners, with an additional $100 per month for the President, and an additional $75 per month for the Commissioner who is designated as the MMP A representative. , BE IT FUTHER RESOLVED that the effective date of this change in compensation shall be February 1, 2007 and that Resolution No. 5359 shall be repealed effective February 1, 2007. Adopted in session of the City Council of the City of Shakopee, Minnesota, held the day of , 2007. Mayor of the City of Shako pee ATTEST: City Clerk 'j' SHAKOPEE PUBLIC UrlLITIES C0.M,MISSION \ I To: Mayor Schmitt and the City Council From: John Engler, Shakopee Public Utilities Commission Subject: Compensation Increase for Commissioners Date: January 10,2007 On the bepalf of the Utilities Commissioners, please accept this letter as a formal request to allow Shakopee Public Utilities to increase the pay of the Commissioners. Background Salary increases for the commissioners must be approved by the City Council, but the actual salary is paid by SPUC. The compensation for the Commission was last raised by Council Resolution #5359, which was effective on June 1,2000. Resolution #5359 set the compensation at $225,00 per month for each Commissioner, and an additional $25.00 per month for the President. h1 the six years since the last increase, there have been significant changes to the responsibilities of all of the Commissioners, especially the President, and one commissioner has the additional responsibility of being the MMP A Representative. Request I am requesting the following changes to take effect by February 1,2007: Commissioners - mcrease to $300.00 per month President - an additional $100.00 per month MMP A Representative - an additional $75.00 per month President There are many more demands on the time of the President than there were even just a few years ago. SPUC is now over a $30,000,000.00 utility and is one of the top five municipal electric utilities in Minnesota. The President works very closely with the Utilities Manager on many issues and the responsibilities and the time demands have increased dramatically. MMP A Representative Since we joined the Minnesota Municipal Power Association two years ago, we have elected one of the Commissioners to be a voting representative at the MMP A meetings. Since Shakopee is the largest po\Xefuser in the agency, we need t<;> have strong, informed representation at those meetings. Most ofthese meetings are held during the day, which causes an extra hardship for that Commissioner. ill recognition of the increasing responsibilities of the Commissioners, we would appreciate your favorable consideration of this compensation request. If you have any questions, please feel free to contact me. Sincerely, John Engler President - Shakopee Public Utilities Commission P.O. Box 4700255 Sarazin.Streeto Shakopee, Minnesota 55379-1899 (952) 445-1988 Fax (952) 445-7767