Agenda Item No: 1.i
PLACENTIA CITY COUNCIL AGENDA REPORT
Meeting Date: December 3, 2024
Submitted by: Alice Burnett
From: Administrative Services
Subject:
Resolution to Amend the Pay Schedule for Part -Time Employees in Compliance with the State Minimum Wage Increase
Financial Impact:
Fiscal Impact:
FY24-25 $5,000 ($10,000 annually) (104071-5005)
Summary:
To comply with the state minimum wage increase effective January 1, 2025, it is necessary to amend the pay schedule for part-time employees. It is anticipated that the cost to implement this minimum wage increase will cost the City approximately $10,000 per year in total compensation. Prorated costs in the amount of $5,000 will be funded by the General Fund for the remainder of the fiscal year.
Recommendation:
Recommended Action: It is recommended that the City Council:
1. Adopt Resolution No. R-2024-58 amending the pay schedule for part-time employees to reflect state minimum wage requirements; and
2. Adopt Resolution No. R-2024-79, a Resolution of the City Council of the City of Placentia, California authorizing a budget amendment in Fiscal Year 2024-25 in compliance with City Charter of the City of Placentia §§1206 and 1209 pertaining to appropriations for actual expenditures.
Strategic Plan Statement:
This item is consistent with the City Council approved 5 -Year Strategic Goal #8 to Improve City Governance, under Objective #1, which is update all rules, policies and procedures to be consistent with MOUs and State/Federal regulations.
Discussion:
The City's Pay Schedule for Part -Time Positions consists of non-competitive services positions that are excluded from the civil services system. California employers are governed by federal and state minimum wage laws. For 2024, the California minimum wage is $16.00. 1034
Due to cost -of -living increase required by the State's minimum wage law, effective January 1, 2025, California's minimum wage will increase by 3.18 percent from $16.00 to $16.50 per hour for all employers. California Labor Code section 1182.12 requires an annual review of the wage rate using the U.S. Consumer Price Index (CPI) and rate of change over the two most recent CPI rates. According to section 1182.12(c), the adjusted minimum wage will be calculated to be the lesser of 3.5% or the rate of change. Since the California Department of Finance calculated that the CPI increased by 3.18% from 2022-2023 to 2023-2024, it has been determined that the minimum wage shall be subsequently increased by 3.18 percent to $16.50 an hour and be effective January 1, 2025. For ease of payroll and to include the first pay period for 2025, the rate increase will go into effect December 22, 2024. This will affect approximately 58 part-time employees, who now earn less than $16.50 per hour in job classifications shown on the proposed resolution and pay schedule. Staff is recommending that the City Council adopt the proposed part-time pay schedule to ensure all employees are paid at least the California minimum wage of $16.50 per hour.
The City plans to address the part-time salary schedule more comprehensively in the near future once the Classification and Compensation Study is completed in January of 2025.
The adoption of this resolution is necessary pursuant to the Personnel Rules and Regulations of the City of Placentia, Rule IV, Section 1, which states proposed compensation schedules must be submitted to the City Council for approval.
Fiscal Impact Summary:
This proposal will cost the City approximately $10,000 per year in total compensation. Staff requests approval of a budget amendment in the prorated amount of $5,000 from the General Fund's fund balance for the remainder of the current fiscal year.
Attachments
Resolution_No._R-2024-58_Min imum_Wage_changes_2025.docx Part time salary schedule'25.docx
Attachment_1 _-Budget_Amendment_Resolution_No.R-2024-79_- Minimum_wage_increase.docx
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RESOLUTION NO. R-2024-58
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
PLACENTIA, CALIFORNIA AMENDING THE PAY
SCHEDULE FOR PART-TIME EMPLOYEES EFFECTIVE
DECEMBER 22, 2024
A. Recitals.
(i). The City's Pay Schedule for Part -Time Employees consists of unrepresented non-competitive services positions that are excluded from the civil services system.
(ii). To comply with state minimum wage increase effective January 1, 2025, it is necessary to amend the pay schedule for part-time employees. (iii). Personnel Rules and Regulations of the City of Placentia, Rule IV, Section 1, requires approval of proposed compensation schedules by City Council. (iv). City Charter of the City of Placentia § 1206 authorizes the City Council to amend or supplement the budget by motion adopted by the affirmative votes of at least three members so as to authorize the transfer of unused balances appropriated for one purpose to another purpose, or to appropriate available revenues not included in the budget. All other legal prerequisites to the adoption of this Resolution have occurred.
B. Resolution.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PLACENTIA DOES HEREBY FIND, DETERMINE AND RESOLVE AS FOLLOWS:
1. In all respects as set forth in the Recitals, Part A., of this Resolution.
2. The City Council desires to amend said Schedule for Part -Time Employees, effective December 22, 2024.
3. The Mayor shall sign this Resolution, and the City Clerk shall attest and certify to the passage and adoption thereof.
Resolution R-2024-58
1036
PASSED, ADOPTED AND APPROVED THIS 3RD DAY OF DECEMBER 2024.
Jeremy B. Yamaguchi, Mayor
ATTEST:
Robert S. McKinnell, City Clerk
STATE OF CALIFORNIA
COUNTY OF ORANGE
I, Robert S. McKinnell, City Clerk of the City of Placentia, do hereby certify that the foregoing resolution was adopted at a regular meeting of the City Council of the City of Placentia held on the 3RD day of December 2024 by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
Councilmembers:
Councilmembers:
Councilmembers:
Councilmembers:
Robert S. McKinnell, City Clerk
APPROVED AS TO FORM:
Christian Bettenhausen, City Attorney
Attachment:
Appendix A: 2024 Pay Schedule for Part -Time Employees
Resolution R-2024-58
1037
APPENDIX "A" SALARY SCHEDULE PART-TIME
EFFECTIVE DECEMBER 22, 2024
SECTION 1
The compensation of part-time employees of the City of Placentia shall be set forth in the table herein below:
STEPS
CLASS TITLE
A
B
C
D
Admin. Intern.
Clerical Aide
Production Coordinator
Production Assistant
Maintenance Aide
Police Cadet
Pol Reserve Off - Level 1
Lifeguard
Instructor Guard
Sr. Instr. Guard
Pool Manager
Com. Serv. Leader
Sr. Com. Serv. Leader
Com. Serv. Specialist
Sr. Com. Serv. Specialist
Program Coordinator
$18.54
$19.50
$21.43
$18.91
$19.89
$22.82
$17.57
$19.69
$20.82
$17.93
$20.09
$21.24
$19.29
$20.29
$24.21
$16.89
$18.28
$20.49
$21.65
$16.71
$19.67
$20.69
$16.50
$16.71
$16.71
$25.71
$17.23
$18.64
$20.90
$22.09
$16.50
$16.89 $17.23
$17.57 $17.93 $18.28 $18.64
$19.03 $19.41 $19.80 $20.20
$21.00 $21.42 $21.85 $22.29
SECTION 2
Part-time employees may progress to the next salary step after satisfactorily completing a minimum of four hundred (400) hours of work at the current salary step and one year of service An evaluation of the employee's performance should be completed prior to the salary change.
SECTION 3
The following classes are elected or appointed by City Council:
CLASS TITLE SALARY
Mayor/Councilmembers $150.00
City Clerk $150.00
City Treasurer $50.00
Adopted by City Council 2024.12.03 Resolution No. R -2024 -XX 1038
RESOLUTION NO. R-2024-79
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
PLACENTIA, CALIFORNIA AUTHORIZING A BUDGET
AMENDMENT IN FISCAL YEAR 2024-25 IN COMPLIANCE
WITH CITY CHARTER OF THE CITY OF PLACENTIA §§ 1206
AND 1209 PERTAINING TO APPROPRIATIONS FOR
ACTUAL EXPENDITURES.
A. Recitals.
(i). The adopted budget for the 2024-25 Fiscal Year sets out estimated appropriations for City expenses throughout the year.
(ii). From time to time the adopted budget must be adjusted when precise expenditures are finally determined or when estimated expenditures exceed projected costs allocated.
(iii). City Charter of the City of Placentia § 1206 authorizes the City Council to amend or supplement the budget by motion adopted by the affirmative votes of at least three members so as to authorize the transfer of unused balances appropriated for one purpose to another purpose, or to appropriate available revenues not included in the budget. All other legal prerequisites to the adoption of this Resolution have occurred.
B. Resolution.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PLACENTIA DOES HEREBY FIND, DETERMINE AND RESOLVE AS FOLLOWS:
1. In all respects as set forth in the Recitals, Part A., of this Resolution.
2. The adopted budget for Fiscal Year 2024-25, Resolution No. R-2024-38, is hereby amended to adjust the following accounts as specified below:
Fund Description Department GL Account Amount Type
General Part Time Salaries Community 104071-5005 $5,000.00 Increase Fund Services
3. The Mayor shall sign this resolution, and the City Clerk shall attest and certify to the passage and adoption thereof.
Resolution R-2024-79
1039
PASSED, ADOPTED AND APPROVED THIS 3rd DAY OF DECEMBER 2025.
Jeremy Yamaguchi, Mayor
ATTEST:
Robert McKinnell, City Clerk
STATE OF CALIFORNIA
COUNTY OF ORANGE
I, Robert McKinnell, City Clerk of the City of Placentia, do hereby certify that the foregoing resolution was adopted at a regular meeting of the City Council of the City of Placentia held on the 3rd day of December 2024 by the following vote:
AYES: Councilmembers:
NOES: Councilmembers:
ABSENT: Councilmembers:
ABSTAIN: Councilmembers:
Robert McKinnell, City Clerk
APPROVED AS TO FORM:
Christian Bettenhausen, City Attorney
Resolution R-2024-79
1040