HomeMy WebLinkAbout2006 04-06 FCA•
Memorandum 3
Date: 3 April 2006
To: Financial Commission Subcommittee on City Council Compensation
From: Daniel Jordet
Director of Fiscal & Support Services
Re: Compensation Discussion for 2007 & 2008
Attached to this cover memorandum are materials that may be used to consider
the Subcommittee's recommendation to the full Commission on City Council
compensation for the 2007 and 2008 calendar years. These materials include:
• The section of the financial policies dealing with City Council
compensation
•
The 2004 memorandum from the subcommittee to the Commission
• The 2004 comparison data
• The most recent comparative data (2005 and 2006)
• Graphic representations of the 2006 data
Again, the Subcommittee is scheduled to meet in the Shingle Creek Room
(conference room next to the City Council Chambers) on Thursday, 6 April 2006
at 6:30 PM. Please contact me if you are unable to attend.
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City of Brooklyn Center
• 2.2 Policy and Procedure on Mayor and Council Member Total Compensation
1. Need for Policy
The community is entitled to a clearly articulated, written description of the policy and
procedure for establishing the total compensation of local elected officials.
2. Policy
A. Service on the City Council is a civic obligation and an honor. The total
compensation of the Mayor and Council Members should, therefore, not
encourage candidacies based on monetary rather than public service objectives.
However, the compensation of Brooklyn Center elected officials shall be fair and
equitable in order to attract qualified candidates for local elective office.
B. The propriety of the compensation levels of the Mayor and Council Members
shall be evaluated through comparisons with compensation paid to similar
officials within the seven county metropolitan area.
C. The compensation levels of elected officials should be regularly reviewed and
adjusted to ensure compliance with the objectives of this policy and to avoid the
need for drastic or sudden compensation adjustments.
SD. Compensation set pursuant to this policy and procedure shall be deemed to be the
total compensation for elected officials of the City with the exception of expense
reimbursement which shall be the same as provided all other City employees.
3. Procedure
A. The City Manager shall biennially prepare a compensation report that contains an
analysis of the compensation paid to elected officials of Minneapolis-St. Paul
Area Metropolitan cities having a population within 10,000 of the City of
Brooklyn Center that are generally fully developed {Such grouping shall include
the cities of Richfield, Roseville, Maplewood, Fridley, Shoreview, White Bear
Lake, Crystal, New Hope, and Golden Valley, in addition to the City of Brooklyn
Center.} The report shall compute the average and median amounts paid to
Mayors and Council Members and correlate survey results to the current
compensation of Brooklyn Center elected City officials. The City Manager shall
assemble such additional information on compensation of City elected officials as
may be requested to assist the Commission and Council in their review of elected
official's compensation.
B. The City Manager shall submit the compensation report to the City Council and
the Financial Commission prior to June 1, for information pertaining to the
applicable calendar year.
• C. The Financial Commission shall biennially review the City Manager's
er's
compensation report and discuss possible budgetary and public perception
Financial Policies Secti5n II Page 21
City of Brooklyn Center
• impacts of the indicated changes. Prior to July 1 of the same year, the
Commission shall recommend to the City Council that the compensation of the
Mayor and Council Members either remain the same or be changed to some
specific amount in the manner prescribed by law.
D. Consistent with the City Charter, Section 2.07, the Mayor and Council Members
may, after conducting public hearings, set their compensation by ordinance. No
change in compensation shall be in effect until January 1, following the next
succeeding general election.
4. Authority
The authority for establishing compensation for the Mayor and Council Members is
found in Minnesota Statutes 415.11 and the City of Brooklyn Center Charter, Section
2.07.
Reference:
• City Council Minutes 1/10/94
• City Council Resolution No. 98-91
•
Financial Policies SecEion 11 Page 22
Memorandum
Date: 9 April 2004 Ar
To: Donn Escher, Chair
Members of the Financial Commission
From: Jay Hruska, Subcommittee Chair
Re: City Council Compensation for 2005 and 2006
The Financial Commission Subcommittee on City Council Compensation met on
Thursday evening, 8 April 2004, at 6:30 PM at City Hall. Present were, Jay Hruska,
Subcommittee Chair and Mark Nemec, Subcommittee Member. Also present was
Daniel Jordet, Director of Fiscal &Support Services.
The members reviewed the materials prepared by Mr. Jordet on behalf of the
Subcommittee. Mr. Hruska asked about the inclusion of computer expenses in
Council compensation. Mr. Jordet replied that the computer allowance was rolled
into the overall Council compensation amount in 2000.
• Mr. Hruska reviewed the goals used by compensation subcommittees in the past. It
has been the goal of the group to keep City Council compensation at or above the
median of the comparison cities. For 2004, the chart shows Brooklyn Center at
110% to 111% of the median for comparison cities.
Both Mr. Hruska and Mr. Nemec pointed out that compensation consideration should
also be viewed in light of the budget constraints currently being experienced by the
City.
The Subcommittee recommends that City Council compensation be left at the 2004
levels for 2005 and that no additional amounts be paid. For 2006 the Subcommittee
recommends an increase of 2% in the base wage of City Council members. Total
cost of the increase should be about $ 1,000 for 2006. The three main reasons for
this recommendation are:
• Budget constraints
• Sensitivity to citizens concerns expressed about prioritization of expenses
• Council's current status in terms of position above the median compensation
of comparison cities
This recommendation will be forwarded to the Financial Commission for
consideration at their 29 April 2004 meeting.
0
• 2004 Annual Salary for Elected Officials
2004 2005
Population Mayor Council Mayor Council
Golden Valley 20,391 $11,619 $8,696 $11,619 $8,696
Maplewood 35,080 $10,983 $9,666
Fridley 27,469 $9,637 $7,916
Richfield 34,876 $8,779 $6,815
New Hope 20,910 $10,672 $7,553
Roseville 33,949 $9,300 $7,020
Crystal 22,748 $9,136 $7,028 $9,410 $7,239
White Bear Lake 24,606 $7,680 $5,760 $7,680 $5,760
Brooklyn Center 29,180 $10,522 $8,056
Shoreview 36,374 $8,208 $6,084
Fridley
Council salary listed above is for Council At-Large
Council by ward is $6,998
Provides laptop computers
Golden Valley
Pays per diem of$50 per extra meeting to a maximum of$150 per month
New Hope
Pays per diem of$25 for EDA meetings
DSL line at residence for laptop computers
Provides laptop computers
•
8
• 2006 Cities in Compensation Policy Comparison for City Council Salaries
2005 2006
Population* Mayor Council Mayor Council
Golden Valley 20,736 $11,619 $8,696 $11,619 $8,696
Maplewood 35,763 $10,983 $9,666 $11,752 $10,343
Fridley 27,480 $9,893 $8,074 $9,926 $8,153
Richfield 34,502 $9,042 $7,019 $9,313 $7,230
New Hope 20,908 $10,672 $7,553 $10,672 $7,553
Roseville 34,080 $9,300 $7,020 $9,300 $7,020
Crystal 23,012 $9,410 $7,239 $9,410 $7,239
White Bear Lake 24,909 $7,680 $5,400 $7,680 $5,400
Brooklyn Center 29,174 $10,522 $8,056 $10,732 $8,217
Shoreview 26,475 $8,376 $6,204 $8,376 $6,204
Average $9,750 $7,493 $9,878 $7,606
Median $9,652 $7,396 $9,668 $7,396
Brooklyn Center as per cent of:
Average 107.92% 107.52% 108.65% 108.04%
Median 109.02% 108.92% 111.01% 111.10%
Fridley
Council salary listed above is for Council At-Large
Council by ward is $7,208 for 2006
• Provides laptop computers
Provides basic cable services
Golden Valley
Pays per diem of$50 per extra meeting to a maximum of$150 per month
Maplewood
Provides laptop computers
New Hope
Pays per diem of$25 for EDA meetings
DSL line at residence for laptop computers
Provides laptop computers
Population*
As listed in the 2005 LMC Directory of Minnesota City Officials
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11
2006 Cities in Compensation Policy Comparison for City Council Salaries CAic- C.06"'cm"
1111/ jobt, O
c+.F 2005 2006 C_ hob 4'6F
Population* Mayor Council Mayor Council .41ctck .(01
Golden Valley IAiwco 20,736 $11,619 $8,696 $11,619 $8,696
Maplewood ZrBisevi 35,763 $10,983 $9,666 $11,752 $10,343 i c'0 .zecct, •itei1/40
Fridley 130yn 27,480 $9,893 $8,074 $9,926 $8,153
oiu 2Bt••1. .1g11)(
Richfield itinqq 3 34,502 $9,042 $7,019 $9,313 $7,230 3 cria. . ?pco.. •47..SV
New Hope 64,41/4,
20,908 $10,672 $7,553 $10,672 $7,553 - • 3cd' •5* ie
Roseville £'tia-1 34,080 $9,300 $7,020 $9,300 $7,020 • -2.4•vo •4-44.b
Crystal q%`to5 23,012 $9,410 $7,239 $9,410 $7,239 _ • 3%144, • °
White Bear Lake 1.0 S' 24,909 $7,680 $5,400 $7,680 $5,400 -- •Wei'8 •-kowr
Brooklyn Center ister.ks,. 29,174 $10,522 $8,056 $10,732 $8,217 Z'ie . Z,1sty .V1iti1•
Shoreview (silo 26,475 $8,376 $6,204 $8,376 $6,204 -- • /Aril •iR 3
Average $9,750 $7,493 $9,878 $7,606 .ZEs2'j • Colkty
Median $9,652 $7,396 $9,668 $7,396 •2.604 .(.Z6 Z
Brooklyn Center as per cent of:
Average 107.92% 107.52% 108.65% 108.04% 4104% gZ.•154 o
Median 109.02% 108.92% 111.01% 111.10% cie. elo 444'0.
Fridley
Council salary listed above is for Council At-Large
Council by ward is $7,208 for 2006
• Provides laptop computers
Provides basic cable services
Golden Valley
Pays per diem of$50 per extra meeting to a maximum of$150 per month
Maplewood
Provides laptop computers
New Hope
Pays per diem of$25 for EDA meetings
DSL line at residence for laptop computers
Provides laptop computers
Population*
As listed in the 2005 LMC Directory of Minnesota City Officials
•
• I
Financial Commission
Work Session Meeting Minutes
26 January 2006
1. Call to Order
The meeting was called to order by Mr. Escher at 6:35 PM
2. Roll Call
Members Present: Commissioners Escher, Nemec, Paulson, Asn ho
Smith. Council Member Lasman was excused. Staff present werender Cityo ManagerandSgren-
McCauley and Director of Fiscal & Support Services Jordet.
3. Adoption of the Agenda
Mr. Paulson proposed and Mr. Anderson seconded a motion to adopt the agenda as
presented. With all voting in favor, the motion was adopted.
• 4. Minutes
Mr. Paulson proposed and Mr. Anderson seconded a motion to adopt the minutes of
the 28 July 2005 meeting as presented. With all voting in favor, the motion was
adopted.
Mr. Paulson proposed and Mr. Anderson seconded a motion to adopt the minutes of
the City Council as minutes for the Financial Commission regarding the proceedings
of the 15 August 2005 and 21 November 2005 joint work sessions on the 2006
Budget. With all voting in favor, the motion was adopted.
(said City Council minutes are included with the permanent records of the Financial
Commission in the Finance Department)
5. Selection of Chair for 2006
Mr. Anderson nominated Mr. Escher as Chair of the Commission for 2006. Ms.
Shogren-Smith seconded the nomination. Mr. Nemec then proposed and Mr.
Anderson seconded a motion to close the nominations and cast a unanimous ballot
for the nominee. With all voting in favor the motion was adopted, making Mr.
Escher Chair of the Commission. Mr. Escher then named Mr. Nemec as Vice Chair of
the Commission.
III
• 6. City Council Compensation
2006 is a year in which the Financial Commission is charged with reviewing City
Council compensation. Mr. Escher related some of the recent history of the process
and the basic assumptions of placing the Brooklyn Center Council at or near the
median compensation for the selected comparison cities. Mr. McCauley will arrange
to have the comparative information updated and passed on to the Commission.
Mr. Escher appointed a subcommittee to be chaired by Mr. Anderson with Mr.
Paulson and Ms. Shogren-Smith to review the comparative information and present
the Commission with options.
7. Update on Commissioner Appointments
Mr. Jordet informed the Commissioners that with the departure of Mr. Simons and
Mr. Tweah there are two openings on the Commission. Applications will be taken by
the City Clerk through 31 January 2006 for the pending appointments.
8. Update on Development Activities
Mr. McCauley reviewed some history and recent developments concerning the
Opportunity Site, the Northbrook Shopping Center and Brookdale Center.
• 9. Utility Rate Study
A study of the factors affecting utility rates for water and sanitary sewer was
initiated in 2005. Preliminary results indicate that further discussion is needed in
order to develop a sound basis for application of new rates. The City Council and
Financial Commission will hold a joint work session on 6 March 2006 to discuss the
results of this study and its potential impact on Brooklyn Center's utility rates.
10. RFP for Investment Securities Custodian
An RFP for Investment Securities Custodian, currently held by Wells Fargo, is being
developed for a spring 2006 distribution. It will be reviewed by the Commission at
its next regular meeting.
11. Calendar of Joint Meeting
A revised calendar of joint meetings of the City Council and Financial Commission
was distributed. The dates ofr joint working sessions with the two groups include 6
March 2006, 5 June 2006, 21 August 2006, 16 October 2006 and 20 November
2006.
12. Adjournment
• With no other business to transact, the meeting was adjourned at 7:52 PM.
2
• 0,4)4 Li,
4rt
Financial Commission
Subcommittee on City Council Compensation Meeting Minutes
6 April 2006
Call to Order
The meeting was called to order by Mr. Anderson at 6:36 PM
Roll Call
Subcommittee Members Present: Commissioners Anderson (Chair), Paulson and
Shogren-Smith. Staff present: Director of Fiscal & Support Services Jordet.
Discussion
Mr. Anderson paid tribute to Donn Escher, longtime Chairman of the Financial
Commission, who passed away in March.
The difference between ward council members and at-large council members was
• clarified, as in the case of Fridley.
Materials prepared for the meeting were reviewed. The Financial Policy sets the
comparison cities at those metropolitan within 10,000 population of Brooklyn Center
and which are generally fully developed. The previous report to the Financial
Commission in 2004 indicated that past Subcommittees have used the benchmark of
the median of the comparison cities as a goal for compensation of the Brooklyn
Center City Council. Compensation relationships between the last study and the
current study were examined. The current compensation for the City Council
relative to the other comparison cities is much the same as it was during the last
study; about 110% above the average for the comparison cities.
Given that the current compensation is about 10°A) higher than the stated goal for
compensation of the City Council the subcommittee, by consensus, recommended no
increase for City Council compensation in 2007. For 2008, the subcommittee
recommended, again by consensus, a 2°A) increase in wages for both the Mayor and
each City Council member.
The meeting was adjourned at 6:58 PM
•
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