Loading...
HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 12/21/2021 - SECOND READING OF ORDINANCE NO. 169, 2021, AMENDINItem # 1 Page 1 AGENDA ITEM SUMMARY Agenda Item 20 December 21, 2021 City Council STAFF Jamie Heckman, Compensation Consultant Jenny Lopez Filkins, Legal SUBJECT Second Reading of Ordinance No. 169, 2021, Amending the Code of the City of Fort Collins Pertainin g to Adoption of the Classified Employees Pay Plan. EXECUTIVE SUMMARY The City Manager and City Attorney have requested that Council postpone this Ordinance indefinitely or vote to defeat the Ordinance on second reading, because the Charter requires that compensation be set by ordinance rather than by resolution. The Collective Bargaining Agreement is approved by resolution while the pay plan is adopted by ordinance, so acting each year to adopt the pay plan for the Collective Bargaining Unit is appropriate considering this Charter provision. This Ordinance, adopted on First Reading on December 7, 2021 by a vote of 6 -1 (Nay: Ohlson), amends City Code to allow the pay plan for classified police employees (as defined in Fort Collins Municipal Code Section 2-618) to be established in accordance with any collective bargaining agreement reached with an employee organization selected by such police employees and approved by Council. STAFF RECOMMENDATION Staff recommends adoption of the Ordinance on Second Reading. ATTACHMENTS 1.First Reading Agenda Item Summary, December 7, 2021 (w/o attachments) (PDF) 2.Ordinance No. 169, 2021 (PDF) Agenda Item 18 Item # 18 Page 1 AGENDA ITEM SUMMARY December 7, 2021 City Council STAFF Jamie Heckman, Compensation Consultant Jenny Lopez Filkins, Legal SUBJECT Items Relating to the 2022 Classified Employee Pay Plan. EXECUTIVE SUMMARY A. First Reading of Ordinance No. 168, 2021, Adopting the 2022 Classified Employee Pay Plan. B. First Reading of Ordinance No. 169, 2021, Amending the Code of the City of Fort Collins Pertaining to Adoption of the Classified Employees Pay Plan. The purposes of these items are to recommend the 2022 City Classified Employee Pay Plan and to amend City Code pertaining to the adoption of the classified employees pay plan. Classified jobs are grouped according to job functions, a business practice commonly used by both the public and private sectors. Pay ranges are developed by career group (management, professional, administrative, operations and trades) and level for each job function. The result of this work is a City Classified Employee Pay Plan which sets the minimum, midpoint and maximum of pay ranges for the level, within each career group and function. Actual employees pay increases are awarded through a separate administrative process in accordance with the budgeted amount approved by Council. The ordinance making amendments to the City Code will allow the pay plan for classified police employees (as defined in Fort Collins Municipal Code Section 2-618) to be established in accordance with any collective bargaining agreement reached with an employee organization selected by such police employees and approved by Council. STAFF RECOMMENDATION Staff recommends adoption of both Ordinances on First Reading. BACKGROUND / DISCUSSION OPEN PAY RANGES The City utilizes a common compensation methodology to assess jobs, combine them into job functions and establish pay range structures. The result of this work which sets the minimum, midpoint and maximum of pay ranges for the levels within each career group and function. Pay ranges are reviewed annually as part of a comprehensive market pricing analysis. Pay ranges are grouped and driven by job functions, that are based upon findings of a recruiting analysis conducted to determine where positions are typically sourced. Pay range midpoints are determined by looking at aggregate market data for positions or groups of positions and rolled up to a median of the market for functional groupings, with high and low outliers removed. ATTACHMENT 1 COPY Agenda Item 18 Item # 18 Page 2 Jobs for which there is no external benchmark are evaluated and placed in the Pay Plan using a job evaluation system that is calibrated against benchmark jobs. Individual salary placement in a pay range is based on an employee’s knowledge, skills, abilities, performance, and experience, paired with internal equity considerations and budget availability to ensure horizontal alignment across the City. Market Data Sources Employers Council - Colorado Benchmark Compensation Survey Employers Council - Information Technology Survey Employers Council - Public Employers Compensation Survey Willis Towers Watson - General Industry Compensation Survey Recommended Open Pay Range Structure Adjustments As a result of the market analysis, staff is recommending changes to open pay ranges, varying from 0% - 7% depending upon job function and career group. Additionally, some protective services pay ranges are recommended to be restructured to align to the market more closely, resulting in a 10% - 12% structure change. Actual employee salary increases are determined administratively within the Council adopted employee pay increase budget. STEP PLAN The City has 16 jobs that are part of a Step Plan, a pay system in which pay progression is directly linked to skills acquisition rather than to general pay increases applicable to employees in Open Pay Ranges. Employees in Step Plan jobs may receive labor market adjustments as determined by the annual market analysis. Market Data Sources Employers Council - Colorado Benchmark Compensation Survey Employers Council - Public Employers Compensation Survey Employers Council - Rural Electric Association Survey Recommended Step Plan Adjustments As a result of the market analysis, staff is recommending changes to Step Plan jobs, varying from 3% - 8.5%. Employees in Step Plan jobs will receive a market adjustment consistent with the analysis. COLLECTIVE BARGAINING UNIT Police collective bargaining unit (CBU) positions are included in the Pay Plan to establish pay for such positions until market data is collected and pay is established according to the Council-approved collective bargaining agreement. The pay plan for classified positions not in the CBU is taken to Council for consideration and adoption by ordinance in December and before the new payroll year. Terms of the collective bargaining agreement between the City and the police employee organization call for market data to be collected after the end of each year, there is a delay in gathering market data for the CBU positions. This results in City staff bringing the amended pay plan back to Council for consideration early in the first quarter of the year. The recommended changes to the Fort Collins Municipal Code Section 2-566 will eliminate that obligation so long as the pay for the classified police employees is established in accordance with a collective bargaining agreement approved by Council. COPY Agenda Item 18 Item # 18 Page 3 CITY FINANCIAL IMPACTS The estimated net cost for the adjustments to the Step Plan jobs is approximately $340,000 and will be absorbed within the 2022 operating budgets approved by Council. COPY -1- ORDINANCE NO. 169, 2021 OF THE COUNCIL OF THE CITY OF FORT COLLINS AMENDING THE CODE OF THE CITY OF FORT COLLINS PERTAINING TO ADOPTION OF THE CLASSIFIED EMPLOYEES PAY PLAN WHEREAS, Section 2-566 of the City Code requires that the pay plan for all classified employees of the City shall be established by ordinance of the City Council; and WHEREAS, the electors of the City approved at a special City election an ordinance that contains a comprehensive scheme for collective bargaining between the City and certain employees of its Police Services (the “Ordinance”); and WHEREAS, the Ordinance amended the City Code by adding a new Division 7 to Article VII Chapter 2 of the Code entitled “Public Safety Administration Cooperative Agreement; and WHEREAS, pursuant to the provisions of the Ordinance, the Northern Colorado Lodge #3, Colorado Fraternal Order of Police (“FOP”) was selected as the designated bargaining agent for those employees of Police Services who are members of the bargaining unit; and WHEREAS, pursuant to the provisions of the Ordinance, the members of the collective bargaining unit include all full-time sworn police officers at the rank of lieutenant and below, and community service officers and dispatchers equivalent to the rank of lieutenant and below, all City classified positions (“CBU Members”); and WHEREAS, in 2006, the City and the FOP entered into a collective bargaining agreement for 2006-2007 and, since that time, the parties have approved and executed subsequent agreements for each ensuing two-year period except for a one-year period for the year 2018 and a three-year period for 2018 through 2021; and WHEREAS, the latest such agreement will expire on December 31, 2021; and WHEREAS, the City and the FOP have, pursuant to the provisions of the Ordinance, again engaged in negotiations regarding the terms and conditions of a new collective bargaining agreement for a three-year term to begin in 2022 (the “Agreement”); and WHEREAS, the salary article of the Agreement requires the City to collect market salary data no later than January 5 of each year from several comparable jurisdictions and the Agreement allows analysis and pay adjustments for the CBU Members as late as the first pay period of February; and WHEREAS, in December of each year since 2016, City staff brought the classified employee pay plan to the City Council for consideration and approval for the upcoming year setting salary ranges for classified positions who are not CBU Members; and -2- WHEREAS, early in the new payroll year, City staff brought an amended pay plan with salary data for CBU Members’ positions to the City Council after collecting and analyzing data in January; and WHEREAS, City staff recommends amending the City Code to allow for an exception for the pay plan approval requirement only for CBU Member positions because the Agreement, which must be considered and approved for execution by the City Council, sets out the criteria to be used in establishing the pay for CBU Members; and WHEREAS, based on the foregoing, the City Council desires to amend City Code Section 2-566 to make an exception to the pay plan approval requirement only for CBU Member positions because City Council approves the Agreement setting out the criteria for establishing CBU Members’ pay. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That the City Council hereby makes and adopts the determinations and findings contained in the recitals set forth above. Section 2. That Section 2-566 of the Code of the City of Fort Collins is hereby amended to read as follows: Sec. 2-566. – Compensation of employees. The pay plan for all classified employees of the City shall be established by ordinance of the City Council, except that the pay plan for classified police employees as defined in §2-618 will be established in accordance with any collective bargaining agreement reached with an employee organization selected by such police employees and approved by the City Council. Introduced, considered favorably on first reading, and ordered published this 7th day of December, A.D. 2021, and to be presented for final passage on the 21st day of December, A.D. 2021. __________________________________ Mayor ATTEST: _______________________________ Interim City Clerk -3- Passed and adopted on final reading on the 21st day of December, A.D. 2021. __________________________________ Mayor ATTEST: _______________________________ Interim City Clerk