DATE: December 12, 2023
TO: Mayor and Council
FROM: Director of Human Resources
SUBJECT: FY 2024 Salary Plan Amendment: Adopt a Resolution Approving an Amendment to the City of Hayward Salary Plan for Fiscal Year 2024
RECOMMENDATION
That the Council adopts a resolution (Attachment II) approving an amendment to the City of Hayward Salary Plan for Fiscal Year 2024 (FY 2024), which designates all classifications and corresponding salary ranges for employment with the City of Hayward as of January 1, 2024 superseding Resolution No. 23-252 and all amendments thereto.
SUMMARY
As required by the Municipal Code, the FY 2024 Salary Plan (Attachment III) has been updated to reflect salary adjustments to classifications in the City’s service as a result of the Council approved Memorandum of Understanding (MOU) between the City of Hayward and the Hayward Police Management Unit (HPMU). The Salary Plan has also been updated to reflect a contract-based salary adjustment to classifications represented by the Hayward Police Officer’s Association (HPOA) and salary adjustments to four (4) additional classifications.
On December 7, 2023, the Personnel Commission held a public hearing in which they reviewed and recommended to Council the adoption of the revised FY 2024 Salary Plan.
BACKGROUND AND DISCUSSION
Contract-Based Salary Adjustments
HAYWARD POLICE MANAGEMENT UNIT (HPMU): Pursuant to the negotiated terms of the Memorandum of Understanding between the City of Hayward and HMPU, effective August 28, 2023, HPMU represented classifications shall receive a salary adjustment of 18.45%. In April 2023, staff conducted a total compensation survey. The survey data reflected that the Hayward Police Captain classification is approximately 12.45% below the average total compensation of the top four (4) agencies. In addition to the full survey amount, HPMU shall receive a six percent (6%) adjustment in recognition of internal alignment and increases received by bargaining units within the Police Department in sworn ranks.
HAYWARD POLICE OFFICER’S ASSOCIATION (HPOA): Pursuant to the negotiated terms of the Side Letter of Agreement between the City of Hayward and HPOA, effective the pay period including January 1, 2024, HPOA represented classifications shall receive a salary adjustment based on the established survey formula, but not to exceed five percent (5%). In November 2023, staff conducted a total compensation survey and the resulting data showed Hayward Police Officers 11.46% below the average total compensation of the top four (4) agencies. As such, HPOA represented classifications shall receive a five percent (5%) salary adjustment effective the pay period including January 1, 2024.
Salary Adjustments:
RESERVE OFFICER COORDINATOR (H455): The salary for Reserve Officer Coordinator is internally set to be equivalent to Police Sergeant (P210). As a result of a five percent increase to Police Sergeant, the Reserve Officer Coordinator classification shall receive a four percent (4%) salary adjustment effective January 1, 2024. The new salary range for Reserve Officer Coordinator is $70.93 at Step A and $86.16 at Step E.
CHIEF OF POLICE (P500): To maintain a minimum pay differential of ten percent (10%) between this classification and Police Captain (P300), the Chief of Police shall receive a 9.51% increase effective August 28, 2023. The new salary range for Chief of Police is $121.81 per hour at Step A and $148.04 per hour at Step E.
MAYOR AND COUNCILMEMBERS (E100 & E110): On November 7, 2023, Council adopted Resolution No. 23-247 approving modifications and edits to the Council Member Handbook, which included salary adjustments to bring the pay for Mayor and Councilmembers into alignment with the intent of the ordinance governing Council compensation. Mayor and Councilmember salaries will be adjusted to reflect salaries that would be in place had provisions outlined in the Hayward Municipal Code Chapter 2, Article 1, Section 2-1.10 been applied consistently beginning FY2004 through FY2024. Based on CPI data through this period, the salary of Mayor would be $69,288 and the salary of Councilmember would be $43,305. Effective January 1, 2024, the new annual salary for Mayor is $69,288 and the new annual salary for Councilmember is $43,305.
FISCAL IMPACT
HAYWARD POLICE MANAGEMENT UNIT (HPMU): The additional fiscal impact to the FY 2024 budget for the salary adjustment to HPMU is approximately $447,678 to the General Fund. Budget adjustments will be included during the FY 2024 Mid-Year budget process.
HAYWARD POLICE OFFICER’S ASSOCIATION (HPOA): The fiscal impact for the salary adjustment to HPOA is approximately $1,535,556 to the General Fund and $30,570 to the Measure C Fund, for a total fiscal impact of $1,566,126. There is no fiscal impact in FY 2024, as the not to exceed 5% salary adjustment was included in the FY 2024 adopted budget.
RESERVE OFFICER COORDINATOR (H455): The additional fiscal impact to the FY 2024 budget for the salary adjustment to Reserve Officer Coordinator is approximately $2,289 to the General Fund. Budget adjustments will be included during the FY 2024 Mid-Year budget process.
CHIEF OF POLICE (P500): The additional fiscal impact to the FY 2024 budget for the salary adjustment to Chief of Police is approximately $37,044 to the General Fund. Budget adjustments will be included during the FY 2024 Mid-Year budget process.
MAYOR AND COUNCILMEMBERS (E100 & E110): The estimated annual cost for the salary adjustments to Mayor and Councilmember is approximately $187,388. The additional fiscal impact to the FY 2024 budget for the increase is approximately $93,694 to the General Fund. Budget adjustments will be included during the FY 2024 Mid-Year budget process.
STRATEGIC ROADMAP
This agenda item is a routine operational item and does not directly relate to one of the City Council’s Strategic Roadmap initiatives.
NEXT STEPS
If approved, the salary adjustments will be implemented by the Human Resources Department and Finance Department and will be reflected in the employees’ paychecks dated January 19, 2024. Appropriate retroactive payments based on the dates in this report will follow.
Prepared by: Valeria Cazares, Human Resources Analyst I Recommended by: Brittney Frye, Director of Human Resources Approved by:
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Kelly McAdoo, City Manager