HomeMy WebLinkAbout13.E.2. Adoption of Updated Pay Plan for Full-Time, Non-Union Employees-Res. No. 6617
City of Shakopee / 3. e.l.
Memorandum
TO: Mayor and City Council
Mark McNeill, City Administrator
FROM: Kris Wilson, Assistant City Administrato~
SUBJECT: Adoption of Updated Pay Plan for Full-Time, Non-Union Employees
DATE: June 1, 2007
Introduction
The Council is asked to adopt the attached resolution adopting an updated pay plan for full-time,
non-union employees, effective July 9,2007.
Background
In 2006, the City undertook a review of its non-union pay plan, using data from the League of
Minnesota Cities salary survey and the professional expertise of Rod Kelsey, of Riley, Dettmann
and Kelsey, LLC. When finalizing the City's 2007 operating budget last fall, the Council
allocated $50,000 for the mid-year implementation of the revised pay plan. On April 10 ofthis
year, the Council held a workshop to discuss the details of the updated pay plan
In brief, the updated pay plan has been developed using data from a group often comparison
cities: Andover, Apple Valley, Chanhassen, Chaska, Cottage Grove, Inver Grove Heights,
Lakeville, Prior Lake, Savage and Woodbury. The top salary paid for positions in each of these
ten cities was compared to the top salary paid here in Shakopee.
Using the 50th percentile of the ten comparison cities to establish a "market rate," we found that
the City's non-union pay plan had fallen below the market in almost every pay grade. In general,
the further up our pay plan you look, the further away from the market our pay rates become. As
a result, we are recommending a revised pay plan that increases the pay in every grade except
Grade 8. The positions in Grade 8 were found to be at market already. The recommended
increases range from 1.62 to 8.51 percent.
It is recommended that the City Council authorize the attached pay plan effective July 9,2007.
This date was selected because it is the first day of a new pay period, which makes
implementation much easier from an administrative standpoint. Additionally, the cost estimate
for implementing the pay plan on July 1 was slightly over the $50,000 budget. Delaying
implementation until July 9 will address this problem.
As has been the City's practice in the past when a new or updated pay plan was adopted,
employees will be placed at the first step of the new pay plan that will provide them with a wage
increase. This will result in some employees who are currently at the top step of their pay grade
being placed one step down from the top, although they will still be receiving an increase in
dollar terms. Employees would then move upward through any remaining steps in their pay
grade on the anniversary date of their placement in their current position.
Budget Impact
As mentioned above, the Council included $50,000 in the City's 2007 operating budget to fund
mid-year implementation of an updated pay plan. The estimated costs for implementing the
attached pay plan for the remainder of2007 is $47, 586.18. It is recommended that the
remaining allocated funds be utilized to make slight adjustments to the wages in two union
contracts as part of the next agenda item.
Relationship to Vision
A competitive pay plan allows the City to attract and retain qualified individuals and contributes
to Goal D, a vibrant, resilient and stable City.
Requested Action: If the Council concurs, it should offer Resolution No. 6617, A Resolution
Adopting a Revised 2007 Pay Plan for Certain Non-Union Employees of the City of Shako pee,
and move its adoption.
RESOLUTION No. 6617
A RESOLUTION ADOPTING A REVISED PAY PLAN FOR CERTAIN
NON-UNION EMPLOYEES OF THE CITY OF SHAKOPEE
WHEREAS, the City of Shakopee strives to pay fair and competitive wages to its
employees, in order to recognize the value of their service to the City and to ensure the City's
continued ability to attract and retain qualified employees; and
WHEREAS, the findings of a recent market analysis comparing the wages paid in
Shakopee to those paid in ten other metropolitan area cities suggest that the City's wage rates
have fallen below the market for many positions; and
WHEREAS, the City's 2007 operating budget allocates funding to adjust the wages paid
to non-union employees in order to bring such wages to the median of that paid by comparable
cities.
NOW THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
SHAKOPEE, MINNESOTA, that the City Administrator is hereby authorized to issue warrants
upon the City Treasury payable to the appointed non-union employees of the City of Shakopee,
in accordance with the attached Pay Plan, with an effective date of July 9,2007.
BE IT FURTHER RESOLVED, that this Resolution supersedes Resolution No. 6543,
adopted December 16, 2006.
Adopted in regular session of the City Council of the City of Shakopee, Minnesota, held
this 5th day of June, 2007.
Mayor of the City of Shakopee
ATTEST:
City Clerk
Pay Plan for Full-Time and Certain Part-Time Non-Union Employees of the City of Shakopee
(effective July 9, 2007)
*Community Development Director
*Finance Director
*Parks, Rec. and Facilities Director
*Public Works Director I Engineer
10 *Police Captain $72,405 $75,422 $78,439 $81 ,455 $84,472 $87,489 $90,506
9 *Assistant City Administrator - $63,487 $66,662' $69,836 $73,010 $76,185 $79,359
*Assistant City Engineer
*Building Official
*City Clerk
*Public Works Superintendent
8 *MIS Coordinator - $55,144 $57,798 $60,566 $63,335 $66,104 $68,873
*Planner II
7 Inspector
Engineering Technician IV
Fire Inspector
Maintenance Supervisor
*Natural Resources Coordinator
*Park & landscape Designer
Graduate Engineer
Human Resources Technician
Information Technology (IT) Specialist
Planner I
Police Records Supervisor
Engineering Technician 11/
Telecommunications Coordinator
Pay Plan for Full-Time and Certain Part-Time Non-Union Employees of the City of Shakopee
(effective Ju!y 9, 2007)
Executive Secretary
~enior Accounting Clerk
" ~^."
,.. .- . .;y-, ~- -'Z'f$. $45,460
4 Accounting Clerk II - - $38,282 $40,675 $43,068 $47,853
Engineering Technician \I
Police Records Specialist
Police Records Technician
Records Clerk
2 Community Service Officer^ - - $31.638 $33.616 $35,593 $37,571 $39.548
Facilities Maintenance Worker
1 - - $28,762 $30,560 $32,358 $34,155 $35,953
* = position is exempt under the Fair Labor Standards Act
^ = Communications Coordinator position is currently authorized at 20 hours per week. Community Service Officers currently authorized at 30 hours per week.