DATE:
September 22, 2026
CATEGORY:
New Business
DEPT.:
City Council
TITLE: Annual Compensation Increases for the
City Clerk and City Manager and
Amending the Fiscal Year 2026-27 Salary
Plan for Regular Employees to Update
the Salaries for Council Appointees
RECOMMENDATION
Adopt a Resolution of the City Council of the City of Mountain View Approving Annual Compensation Increases for the City Clerk and City Manager and Amending the Fiscal Year 2026- 27 Salary Plan for Regular Employees to Update the Salaries for Council Appointees, to be read in title only, further reading waived (Attachment 1 to the Council report).
BACKGROUND
Compensation for City Employees may be adjusted through:
• Cost-of-Living Adjustments (COLAs) to salary, which are typically established labor agreements negotiated with the City’s employee groups;
• Merit or step increases to salary, which are provided through individual annual performance evaluations;
• Equity adjustments to salary, which are based on labor market conditions for specific job classifications or based on salary compaction between a manager and subordinate staff; and
• Changes to other compensation and/or benefits in the total compensation package, such as deferred compensation or supplemental pays, based on negotiations, merit, or labor market justification.
For the three City officials appointed by City Council (City Attorney, City Clerk, and City Manager), the City Council conducts an annual evaluation and market study to determine appropriate compensation adjustments recommended for adoption at a Regular Meeting of the City Council.
The City Attorney position is currently in recruitment and, therefore, is not included in this annual evaluation process.
Annual Compensation Increases for the City Clerk and City Manager and Amending the Fiscal Year 2026-27 Salary Plan for Regular Employees to Update the Salaries for Council Appointees
September 22, 2026
Per Council Policy D-9, Council Appointee Communications and Performance Evaluation Process, the City Clerk and City Manager received the annual COLAs , consistent with those for unrepresented miscellaneous department heads, which were 3% this fiscal year and effective the pay period including July 1, 2026.
Currently, Council appointees receive the following ongoing City contributions to their deferred compensation accounts:
City Clerk: 2% of base salary to a 457(b) plan
City Manager: 5% of base salary to a 457(b) plan and a flat amount contribution o f $9,055.54 annually to a 401(a) plan (equivalent to 2% base salary indexed by the COLA and/or merit applied to the incumbent’s salary each year)
ANALYSIS
The 2026 Council appointee performance evaluation process included review of their Fiscal Year 2025-26 accomplishments. The Council appointees have provided important and valuable service to the City of Mountain View over the last year , and the Council is pleased with their performance.
Based on this review, the following ongoing compensation for the City Clerk and City Manager is recommended:
City Clerk: 2% merit increase
Professional coaching and development reimbursement of up to $6,500 in FY 2026-27, to be funded from existing appropriations
An additional 2% of base salary as an ongoing City contribution to a 457(b) deferred compensation plan
City Manager: Authorize the City Manager to participate in the newly revised Mountain View Employee Homebuyer and Relocation Assistance Program (Council Policy D-13) for the purchase of a home in Mountain View. Following this authorization, no further City Council approval is required for the City Manager to receive assistance under the Program, including approval of individual loan terms, provided that the assistance and all applicable loan terms comply with Council Policy D-13 and sufficien t funds have been appropriated for the Program. Any exception to Council Policy D-13 would require separate City Council approval.
Annual Compensation Increases for the City Clerk and City Manager and Amending the Fiscal Year 2026-27 Salary Plan for Regular Employees to Update the Salaries for Council Appointees
September 22, 2026
An ongoing increase of $4,527.90 to the City’s annual 401(a) flat amount contribution, indexed by the COLA and/or merit applied to the incumbent’s salary each year (equivalent to approximately 1% of base salary)
The merit adjustments and ongoing deferred compensation contributions for the City Clerk and City Manager will be retroactive to the beginning of Fiscal Year 2026-27. This is in alignment with the timing of merit increases provided to other management and professional groups and reflective of the Council appointee evaluation process, which routinely takes place after the close of the fiscal year.
FISCAL IMPACT
The additional costs associated with the recommended actions are expected to be absorbed within existing Fiscal Year 2026 -27 appropriations. Ongoing costs associated with the recommended compensation adjustments will be incorporated into future fiscal year budgets.
LEVINE ACT
California Government Code Section 84308 (also known as the Levine Act) prohibits city officials from participating in any proceeding involving a “license, permit, or other entitlement for use” if the official has received a campaign contribution exceeding $500 from a party, participant, or agent of a party or participant within the last 12 months. The Levine Act is intended to prevent financial influence on decisions that affect specific, identifiable persons or participants. For more information see the Fair Political Practices Commission website: www.fppc.ca.gov/learn/pay-to- play-limits-and-prohibitions.html
Please see below for information about whether the recommended action for this agenda item is subject to or exempt from the Levine Act.
EXEMPT FROM THE LEVINE ACT
☒ Labor or personal employment contract
PUBLIC NOTICING – Agenda posting.
Prepared by:
Chris Clark
Vice Mayor
Attachment: 1. Resolution