HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 12/19/2006 - SECOND READING OF ORDINANCE NO. 195, 2006, ADOPTIN ITEM NUMBER: 10
AGENDA ITEM SUMMARY DATE: December19, 2006
FORT COLLINS CITY COUNCIL STAFF: Wendy Williams
SUBJECT
Second Reading of Ordinance No. 195, 2006, Adopting the 2007 Classified Employees Pay Plan.
RECOMMENDATION
Staff recommends adoption of the Ordinance on Second Reading.
EXECUTIVE SUMMARY
The Pay Plan continues the current practice of setting City pay range maximums at the market 70th
percentile. Data from the public and private sectors was used to determine the prevailing market
rates for approximately 100 benchmark jobs. This Ordinance,unanimously adopted on First Reading
on December 5, 2006, sets salary ranges, not specific salaries of individual employees.
ITEM NUMBER: 16
AGENDA ITEM SUMMARY DATE: December5, 2006
FORT COLLINS CITY COUNCIL STAFF: Wendy Williams
SUBJECT r y
First Reading of Ordinance No. 195, 2006, Adopting the 2007 Classified Employees Pay Plan.
RECOMMENDATION
Staff recommends adoption of the Ordinance on First Reading.
FINANCIAL IMPACT
Funding for the Pay Plan will be accomplished with existing funds, as proposed and modified in the
2006/2007 budget.
COPY
EXECUTIVE SUMMARY
The Pay Plan continues the current practice of setting City pay range maximums at the market 70th
percentile. Data from the public and private sectors was used to determine the prevailing market
rates for approximately 100 benchmark jobs. This Ordinance sets salary ranges,not specific salaries
of individual employees.
BACKGROUND
PRIMARY DATA SOURCES:
Mountain States Employer's Council MS Front Range Compensation Survey:
MSEC Colorado Front Range ompenQNoem
rese Colorado employers of all sizes.
Data is collected from 420 re nd t across Front Range, including the four
geographic areas of Denver/Bou er, Colorado, Colorado Springs, and Pueblo and
representing 48,296 employees. The Northern Colorado survey information includes 39 employers
of various sizes, representing a total of 24,645 employees. Although public sector employers are
included in this survey, they represent only 18%of the employers. MSEC surveys 305 benchmark
jobs.
December 5, 2006 -2- Item No. 16
Mountain States Employer's Council (MSEC) Information Technology Compensation Survey:
Data is collected from 299 respondents. There are 5,920 employees and 116 benchmark jobs.
Information is not broken downYu::,1l,(Tgr
e f rrustry.
Mountain States Em lb ?rwrt
to sCom en sation Surve :
99 respondents provided data representing 294 benchmark jobs.
Colorado Municipal Lea ug e (CML):
CML reports compensation from many jurisdictions in the State of Colorado, including
municipalities, counties, and special districts.
RESULTS
Pay Plan
The pay structures were established by calculating the 70th percentile on benchmarks and allowing
approximately 10% difference between pay grades. The pay range minimum for merit(non-skills
based) pay jobs remained the s c th m S. Therefore, the pay ranges
capture a 40% spread. Previo y, the ran 6 o spread.
The pay for benchmark jobs wa are m' obs in ocal private and public sectors to
evaluate the competitiveness of the pay grades. Each of the pay grades in an occupational group was
analyzed.
The resulting data showed that occupational groups needed to be adjusted to remain competitive
with the market. The proposed average structure adjustment for non-skills based pay occupational
groups is 4%. The proposed average structure adjustment for skills based pay occupational groups
is 10%, a result of continuing movement of the prevailing market wage for these jobs,most notably
in the electric utility industry.
COPY
ORDINANCE NO. 195, 2006
OF THE COUNCIL OF THE CITY OF FORT COLLINS
ADOPTING THE 2007 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 City of Fort Collins is committed to compensating employees in a manner
which is fair, competitive and understandable; and
WHEREAS, the annual market analysis conducted by the Human Resources Department
includes public and private employer survey information for Northern Colorado and the Front Range,
providing clear benchmark information for approximately 100 benchmark positions; and
WHEREAS, City staff believes that the pay plan recommended by the City Manager is
consistent with the Council objectives, including the philosophy of total compensation; and
WHEREAS, the Council believes that the adoption of the recommended pay plan is in the
best interests of the City and further believes that the allocation of individual salaries within the pay
plan should be related to employee performance.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT
COLLINS as follows:
Section 1. That the Council hereby adopts the 2007 City of Fort Collins Pay Plan(the
"Plan"),a copy of which is attached hereto as Exhibit"A" and incorporated herein by this reference.
Section 2. That the effective date of the Plan shall commence with the January 1, 2007
pay period.
Section3. That the City Manager may modify the Plan bymaking pay equity adjustments
within the established pay levels of the pay Plan, providing that the total cost of employee
compensation does not exceed the budget as adopted by City Council.
Introduced, considered favorably on first reading, and ordered published this 5th day of
December, A.D. 2006, and to be presented for final passage on the 19th day of December, A.D.
2006.
j%
Mayo
ATTEST:
City Clerk
Passed and adopted on final reading on the 19th day of December, A.D. 2006.
Mayor
ATTEST:
City Clerk