City of Gonzales
FINANCE DEPARTMENT
STAFF REPORT
TO: Honorable Mayor Rios and City Council
DATE: January 20, 2026
FROM: Mike Howard, Finance Director
THROUGH: Carmen Gil, City Manager
SUBJECT: Resolution No. 2026-02 Amendment to the Classification Plan - Minimum Wage 2026
RECOMMENDATION
It is recommended that the City Council of the City of Gonzales adopt Resolution No.2026-02, A Resolution of the City Council of the City of Gonzales Approving an Amendment to the City of Gonzales Classification Plan for the Fiscal Year 2025-2026.
BACKGROUND
Each year, the City is required to adopt a Summary of Job Classifications and Salary Schedule, which reflects all Council approved classifications and compensation. Amendments to the Schedule may occur during the fiscal year and are submitted to Council for approval.
On January 1, 2026, California State law increases the 2026 minimum wage to $16.90 per hour for all employers regardless of the number of employees. As a result, it is necessary to make adjustments to some of the City’s part-time hourly pay rates. A Resolution and updated FY 25/26 Salary Schedule are attached for Council consideration.
REVIEW AND ANALYSIS
In June 2025, the City Council adopted the FY 2025/26 Budget, which included the Summary of Job Classifications and Salary Schedule. This Amendment to the FY 2025/26 Salary Schedule is necessary to memorialize the increase in minimum wage for some of the City’s part-time positions in Recreation that are currently set at the 2025 minimum wage in order to avoid compaction between subordinates and supervisors.
The proposed increases are as follows:
AGENDA
ITEM
12 Classification 2025 Hourly Rate 2026 Hourly Rate % of Increase Pool Manager $19.30 $19.70 2.07%
Assistant Pool Manager $18.60 $19.00 2.15%
Senior Life Guard $17.90 $18.30 2.23%
Life Guard $17.15 $17.55 2.33%
Recreation Leader II $17.15 $17.55 2.33%
Rec Leader I/After School Aid $16.50 $16.90 2.42%
Rec Program Supervisor $17.15 $17.55 2.33%
Explain Recommendation and How it Supports the Vision
Gonzales will continue to be a safe, clean, family-friendly community, diverse in its heritage, and committed to working collaboratively to preserve and retain its small-town charm.
Explain: Paying competitive wages encourages our youth with growth opportunities.
Explain how the Recommendation Directly Implements the Mission The City Council and Staff of the City of Gonzales will realize our Vision by providing the leadership, commitment and resources necessary to provide excellent services that enhance the quality of life of our diverse community. X Yes ___No ___ NA
Explain: It is necessary for the City to comply with State Wage and Hour laws which also provides for enhanced quality of life.
City services will be delivered in a cost-effective, respectful and friendly manner to ensure the safety and well-being of the residents and the promotion of business, recreational, housing and employment opportunities in an environmentally sustainable manner. ___ Yes ___No X NA Explain: The City is required to comply with the new Minimum Wage Order effective January 1, 2026.
Strong fiscal reporting allows us to provide appropriate resources for:
• Public Safety X Yes No N/A
• Housing X Yes No N/A
• Recreation X Yes No N/A
• Environment X Yes No N/A
• Education X Yes No N/A
Explain: Please see above.
ALTERNATIVES
The following alternative are provided for Council Consideration.
1. Adopt the Resolution;
2. Modify and adopt the Resolution;
3. Do not adopt the Resolution and direct staff to consider other options; or
4. Provide staff other direction
BUDGET IMPACT
There is no financial impact with the adoption of this resolution. Increases were factored into the FY 2025-2026 Budget when it was prepared.
CONCLUSION
It is recommended that the City Council of the City of Gonzales adopt Resolution No.2026-02, A Resolution of the City Council of the City of Gonzales Approving an Amendment to the City of Gonzales Classification Plan for the Fiscal Year 2025-2026.
Attachments:
1. Resolution No. 2026-02 with Exhibit A