Agenda Report
Fullerton City Council
MEETING DATE: AUGUST 15, 2023
TO: CITY COUNCIL / SUCCESSOR AGENCY
SUBMITTED BY: ERIC LEVITT, CITY MANAGER
PREPARED BY: EDDIE MANFRO, DIRECTOR OF HUMAN RESOURCES
SUBJECT: COMPENSATION FOR CONFIDENTIAL / NON-REPRESENTED AND EXECUTIVE EMPLOYEES AND PROPOSED AMENDMENT TO THE CHIEF OF POLICE EMPLOYMENT AGREEMENT
SUMMARY
Proposed resolutions relating to compensation for Confidential / Nonrepresented and Executive employees and a proposed amendment to the Chief of Police employment agreement for City Council consideration.
RECOMMENDATION
Adopt the following resolutions:
RESOLUTION NO. 2023-XXX – A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FULLERTON, CALIFORNIA, RELATING TO COMPENSATION FOR CONFIDENTIAL / NONREPRESENTED EMPLOYEES AND SUPERSEDING RESOLUTION NO. 2022-039 RESOLUTION NO. 2023-XXX – A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FULLERTON, CALIFORNIA, RELATING TO COMPENSATION FOR EXECUTIVE EMPLOYEES AND SUPERSEDING RESOLUTION NO. 2021-69 AND RESOLUTION NO. 2022-038 RESOLUTION NO. 2023-XXX – A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FULLERTON, CALIFORNIA, APPROVING A SALARY SCHEDULE FOR CITY COUNCIL APPOINTED POSITIONS IN ACCORDANCE WITH THE REQUIREMENTS OF THE CALIFORNIA CODE OF REGULATIONS TITLE 2, SECTION 570.5 AND SUPERSEDING RESOLUTION NO. 2023-029 Approve and authorize Mayor to execute the Amendment to the Employment Agreement between the City and Chief of Police Robert Dunn II.
CITY MANAGER REMARKS
City Manager recommends approval. These are in line with other agreements.
PRIORITY POLICY STATEMENT
This item matches the following Priority Policy Statement:
Fiscal and Organizational Stability.
FISCAL IMPACT
The following summarizes the fiscal impacts of the resolutions across all City Funds:
Fiscal Year
Confidential/
Nonrepresented
Executive*
*Includes Chief of Police
2023-24
$190,947
$146,034
2024-25
$299,362
$252,279
2025-26
$401,760
$318,924
2026-27
$469,346
$368,832
Total
$1,361,415
$1,086,069
The Fiscal Year (FY) 2023-24 Adopted Budget has adequate funding for Year 1 (2023-24) available.
DISCUSSION
Confidential / Nonrepresented Employee Group
Confidential / Nonrepresented employees serve in a variety of mid-management and general classifications, most of which work in the Human Resources, Administrative Services and City Manager departments.
Employees in this unit are not represented by a recognized bargaining unit and City Council sets parameters for compensation and other terms of employment by resolution.
The proposed resolution would supersede Resolution No. 2022-039 and make the following changes:
Section 5: Salaries
Across-the-board increases to salary ranges per the following schedule:
8% effective the first full pay period after August 15, 2023 4% effective the first full pay period after July 1, 2024 4% effective the first full pay period after July 1, 2025 3% effective the first full pay period after July 1, 2026.
All employees covered by this resolution would receive increases to their current base salary per this schedule.
Section 6: Retention Pay Bonus
Effective January 1, 2024 and through June 30, 2027, the City shall provide a retention bonus in the form of a gross lump sum payment when an employee achieves any of the following milestones of completed full-time regular services with the City:
10 years $2,500
15 years $3,000
20 years $4,500
Sections 8 and 9: Emergency Duty Pay and Compensation for City-Sponsored Events Language consistent with the Fullerton Management Association providing for overtime pay in limited circumstances.
Section 16: CalPERS EPMC / Cost Share
Effective July 1, 2024, the City’s EPMC contribution shall be reduced by 1.958%. Concurrently, the employee cost sharing contribution shall be reduced by 1.958%.
Effective July 1, 2025, the City’s EPMC contribution shall be reduced by an additional 2.021%.
One-time non-PERSable payment of $2,000 for impacted employees.
Effective July 1, 2026, the City’s EPMC contribution shall be reduced by an additional 2.021%.
One-time non-PERSable payment of $2,000 for impacted employees.
Section 19: Health Insurance
Effective January 2024, the City will increase the flex benefit contribution by an additional $300 (a total of $350 per month).
Effective January 1, 2025, the flex benefit contribution will be provided in three tiers based on an employee’s particular level of enrollment. The flex benefit contribution will be adjusted annually in the amount of 50% of the premium increase for each applicable tier in the Kaiser HMO plan.
For an employee who 1) was hired before January 1, 2012, 2) has been regularly employed for 20 cumulative years or more, and 3) who retires from the date this Resolution is approved through December 31, 2024 only, the City shall provide a monthly medical contribution of $550.
For an employee that retires after the effective date of this Resolution and up to June 30, 2027, the City will reimburse such retirees who live outside of the City’s Medical Network for the actual cost of procuring comparable health insurance in an amount not to exceed what the City would otherwise be obligated to pay on behalf of the retiree.
Executive Employee Group
Executive Employees serving in the classifications of: Deputy Director of Parks and Recreation, Deputy Director of Community and Economic Development, Deputy City Manager, City Engineer / Assistant Director of Public Works and Chief Information Officer, as well as all department directors.
Employees in this unit are not represented by a recognized bargaining unit. Rather, City Council sets parameters for compensation and other terms of employment by resolution. In keeping with the objectives of the City Council, the proposed change to the salary schedule matches that recently approved for the Fullerton Municipal Employees Federation and the Fullerton Management Association.
The proposed resolution would supersede Resolution No. 2022-003 and Resolution No. 2022-038 and provide the following changes:
Section 6: Salary Ranges
Across-the-board increases to salary ranges per the following schedule:
8% effective the first full pay period after August 15, 2023 4% effective the first full pay period after July 1, 2024 4% effective the first full pay period after July 1, 2025 4% effective the first full pay period after July 1, 2026 Section 12: Health Insurance
Addition of flex benefit contribution of $50 per month upon approval for those employees enrolled in the City’s medical program. Effective January 2024, the City will increase the flex benefit contribution by an additional $300 (a total of $350 per month).
Effective January 1, 2025, the flex benefit contribution will be provided in three tiers based on an employee’s particular level of enrollment. The flex benefit contribution will be adjusted annually in the amount of 50% of the premium increase for each applicable tier in the Kaiser HMO plan.
Section 23: Vacation
Increase to the maximum annual vacation conversion eligibility from 40 hours per year to 80 hours per year.
Chief of Police Employment Agreement
Terms of the Executive Compensation Resolution do not apply to the Chief of Police. City Council approves a separate employment agreement establishing compensation for the Chief of Police. The proposed amendment to the Chief of Police Employment Agreement would provide the same 8% salary increase provided across-the-board to other Executive employees.
Staff has provided redline versions of the resolutions, reflecting all changes including outdated provisions, clarified language, reference corrections and formatting updates at attachments to this report displaying new language in bold print and deleted language as struck through.
Attachments:
Attachment 1 – PowerPoint Presentation
Attachment 2 – Confidential / Nonrepresented Resolution redline version Attachment 3 – Draft Resolution No. 2023-XXX (Confidential / Nonrepresented) Attachment 4 – Executive Resolution redline version
Attachment 5 – Draft Resolution No. 2023-XXX (Executive) Attachment 6 – Draft Resolution No. 2023-XXX (Council Appointed Salary Schedule) Attachment 7 – Draft Amendment to the Chief of Police Employment Agreement Confidential / Nonrepresented Executive Compensation and Police Chief Agreement August 15, 2023