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HomeMy WebLinkAboutAgenda - Mail Packet - 4/19/2022 - Information From Teresa Roche Re: Materials For April 18, 2022 Council Compensation Committee Human Resources Department 215 N. Mason, 2nd Floor Fort Collins, CO 80522 970.221.6535 DATE: April 14, 2022 TO: Mayor and City Councilmembers FROM: Teresa Roche, Human Resources RE: Materials for April 18 Council Compensation Committee _____________________________________________________________________ I hope you are flourishing. Attached to this memo are: • The agenda for the April 18, 3:30 pm to 4:30 pm Zoom meeting for the Council Compensation Committee meeting. • The draft minutes from the March Compensation Committee meeting. • Slides on Council pay and benefits analysis by hrQ Any questions, please let me know. TR Human Resources 215 N. Mason Street Fort Collins, CO 80522 970.221.6535 AGENDA Compensation Policy Committee April 18, 2022, 3:30 p.m. MDT Zoom Meeting +1 720 928 9299 Call In Meeting ID: 924 6972 2781 https://fcgov.zoom.us/j/92469722781 This information is available in Spanish or other language at no cost to a person who would like this information translated to or communicated in Spanish or other language. Please call 416-4254 or email titlesix@fcgov.com to make a request for information in other languages. Esta información está disponible en español u otro idioma, sin costo para la persona que le gustaría esta información traducida o comunicada en español u otro idioma. Favor llame al 416-4254 o envíe un correo electrónico a titlesix@fcgov.com para solicitar información en otros idiomas. Auxiliary aids and services are available for persons with disabilities. TTY: please use 711 to call 970.416.4254. Committee Members: Councilmember Susan Gutowsky, District 1 Councilmember Julie Pignataro, District 2, Chair Councilmember Shirley Peel, District 4 City Staff Members: Teresa Roche, Human Resources Executive Carrie Daggett, City Attorney Kelley Vodden, Director, Total Compensation Melanie Clark, Executive Administrative Assistant • Call Meeting to Order • Approve Minutes from March 21, 2022 • Discussion Items: o Review hrQ Presentation on Updated Analysis on Council Pay and Benefits o Decide on Next Steps • Adjournment Next Meeting: May 16, 2022 There are three or more members of City Council that will likely attend this meeting. Formal action may be taken by the Committee at this meeting and the discussion of public business will occur. Therefore, the meeting is open to the public. Past Meeting Topics • December 2021: Committee Identifies 2022 Schedule of Topics and Meeting Cadence • January 2022: Highlights from Child Care Benefits Exploration Study • February 2022: Discuss updated analysis on Council Pay and Benefits • March 2022: Review of performance management process for Council appointed employees Upcoming Meeting Topics • May 2022: COLA analysis and 2023- 2024 compensation and benefits assumptions • TBD: Internal compensation analysis, pay equity study, total compensation market analysis for Council appointed employees, annual evaluation process and timeline, childcare benefit exploration follow up Bike Rack Issues • Council onboarding 2023 • Annual performance evaluation process 2022 Compensation Policy Committee March 21, 2022, 3:30 – 4:30 p.m. Meeting Minutes Members in attendance: Councilmember Susan Gutowsky; Councilmember Shirley Peel; Councilmember Julie Pignataro Staff in attendance: Kelly DiMartino, Interim City Manager; Teresa Roche, Human Resources Officer; Carrie Daggett, City Attorney; Kelley Vodden, Director of Compensation, Benefits, and Wellbeing; Bob Smith, Compensation; Melanie Clark, Executive Administrative Assistant The Compensation Policy Committee (Committee) meeting was held on March 21, 2022, virtually through a Zoom webinar. Agenda • Call Meeting to Order • Approve Minutes from February 22, 2022 • Discussion Items: o Performance Management and Total Compensation Process and Timeline for Council's Three Appointed Employees • Adjournment Next Meeting: April 18, 2022 The meeting began at 3.35 p.m. Teresa called roll. Councilmember Gutowsky moved to approve the minutes from February 22, 2022. Councilmember Pignataro seconded the motion. Final Decisions Made: Keep the performance management process mainly as is for 2022. Mid-year check-in date is scheduled for June 7. The annual schedule needs to be determined. The Committee would like to return to the annual evaluation process discussion (e.g., training on giving feedback to executives) and prioritize improvements for 2023 Council onboarding on topics related to their appointed employees. Teresa Roche went over the meeting's outcomes as discussed at the previous Compensation Committee meeting. They were to review, discuss, and recommend performance management and total compensation strategy and/or policy for Council direct reports. She also wanted to confirm the April 18 and May 16 agenda topics. Teresa shared background information on the previous Ad Hoc Committee, whose goal was to attract, retain, engage, develop and reward diverse and highly qualified employees to those positions that report directly to the City Council. She shared that their philosophy was to compensate in a market- based competitive, and understandable manner within a sustainable financial model. The previous Council separated conversations about performance management from total compensation or merit increase discussions with their employees. Based on feedback, this Committee wanted to rethink the philosophy, process, and timeline. Teresa asked Committee members about their philosophy for managing their employees. Councilmember Shirley Peel shared her concerns about evaluating people right after becoming a Councilmember and not yet knowing what they do. She would like to make sure future Councilmembers are better onboarded and would prefer mid-year reviews instead of doing it annually. She would like to see Councilmembers receive an organizational chart and a monthly update of what staff has accomplished. Having very clear processes and more information would be best. Councilmember Susan Gutowsky would like first to dialogue about goals and Council's expectations and then a follow-up conversation afterward. She would like more dialogue vs. box-checking. She would like to see a quarterly report of accomplishments. She does not feel like there is enough onboarding for new Councilmembers and would like to see improvement. Councilmember Julie Pignataro agreed. She felt very ill-prepared for the mid-year evaluations and like she was being managed vs. she was managing the process. She considered Council as a two-year unit and wondered if there was room in the process to point out how the previous Council did things and to see how the current Council would like to do things. She thought job descriptions would be helpful. Councilmember Peel would like to see a position description at the beginning of their term before being required to review. Councilmember Pignataro asked if the City had a system for employees to enter goals. Teresa explained there is a quarterly performance evaluation of City Staff where they can enter goals. Councilmember Peel questioned whether applying this system to the three appointed employees to Council would help. Councilmember Peel would like to start with the Council having a complete understanding of what their employees are supposed to be doing. The quarterly performance evaluations also sound appealing to her. Councilmember Peel felt that if the Council does not have anything to look at, it becomes subjective and becomes a personal opinion of what they believe they should be doing. Councilmember Gutowsky likes the idea of Council alignment. She shared that she wants to make sure the information is measurable and consistent. Councilmember Peel would like to see alignment to know what is expected of them annually. She does not like the possibility that they come in twice a year and may "blindside" the employees. She likes the idea of regular feedback. Councilmember Pignataro does not want quarterly check-ins to become a formal process. She believes the Mayor's responsibility is to keep Council in check and facilitate. She would like their direct reports to know what Council expects from them. Councilmember Pignataro shared concerns that their direct reports are still working on priorities from the previous Council for six months to a year or more when a new Council comes onboard. She acknowledged the challenges for their employees. Kelly DiMartino suggested that different processes could be put in place depending on where the cycle Council is and looking at it in 2-year blocks, not in annual blocks. Councilmember Pignataro wondered why the annual evaluations of the direct reports are not on the same cadence as when a new Council starts. Teresa shared that she imagines it has to do with the City's process to do merit increase planning at the end of the calendar year. Teresa shared that the previous Council did look at the two-year block, and they intended that the mid- year of the first year of a new Council be a results alignment, but she is hearing that is even hard to do. Then the annual review in the first was an opportunity to reflect on performance after a few months. Teresa and Kelly provided an overview of the quarterly review process used for City staff. Teresa further shared that it is certainly possible to decide on a different date to look at the increases or other benefits for their employees. Teresa asked the Committee if they wanted to consider adding a light touch check-in to the timeline. Committee members liked this idea. Teresa asked the Committee if they wanted to consider other inputs to determine the overall performance. Councilmember Pignataro thought this could be a possibility. She was concerned that it might not go well if these were not appropriately handled. She would like to see other options for input. Councilmember Peel wondered if there could be 2x2s leading up to the quarterly check-ins. Teresa shared that many Executive Lead Team members often use 1x1s to provide feedback to their direct staff. Councilmember Pignataro believes the quarterly check-ins should be light-touch and informal in an executive session. She thought it might be helpful to provide training for Council on how to provide constructive feedback and how to conduct a review. Teresa asked if the Committee is okay with looking at a quarterly check-in in April, the June mid-year, and at least for this year's sticking with November. The Committee agreed. Councilmember Pignataro is okay with it but wants to make sure they continue to look at making some changes. Kelly DiMartino shared that Mayor will be checking in with all Councilmembers about how to use the June mid-term check-in conversation and an overarching theme around calibrating expectations and some time for committee check-in. She suggested that this may be a good item for them to include in the conversation. Councilmember Pignataro suggested they stay the course and table the conversation but continue to have it throughout the year. Teresa asked the Committee how to make this process more sustainable. Councilmember Pignataro suggested having a playbook that becomes a standard and asking if there is anything that needs to be tweaked. Teresa shared that April's topic is Brian Wilkerson coming to give an updated market analysis on Council pay and benefits topic. She shared that the May agenda could include the cost-of-living research, which would be done in late April, and talk about the benefit assumptions and other compensation issues. Teresa shared that Council Finance Committee will be talking about the benefits and pay assumptions on April 5. She asked if this Committee would want to talk about it in May instead. Councilmember Pignataro wondered if the cost-of-living analysis would be done earlier. Teresa stated that it would not. Teresa suggested they could allow Council Finance Committee to hear it. The Committee agreed this would be best. The meeting adjourned at 4:43 p.m. City of Fort Collins City Council Compensation Benchmark Study April 2022 •City Council Structure •Annual Compensation •Reimbursements/Allowances •Benefit Eligibility •Documentation of Council Duties Topics 2 •Data was collected in March 2022 via virtual meetings with City Human Resources employees, via email and online research. List of Cities in Benchmark Study Peer Cities •Wilmington, NC •Naperville, IL •Asheville, NC •Greensboro, NC •Oklahoma City, OK •Eugene, OR •Plano, TX Front Range Cities •Arvada •Greeley •Colorado Springs •Thornton •Loveland •Lakewood 3 Cost of Living Comparison Survey Cities Source: US Census Bureau; smartasset.com Total Taxes Housing Food Asheville, NC 83,393 94,589 13.4%-8%3%-19%-14% Eugene, OR 156,185 176,654 13.1%-2%18%-13%-4% Greensboro, NC 269,666 299,035 10.9%-3%3%-9%-11% Naperville, IL 141,853 149,540 5.4%7%4%14%-4% Oklahoma City, OK 579,999 681,054 17.4%5%2%-13%-12% Plano, TX 259,841 285,494 9.9%-4%-16%0%-8% Wilmington, NC 106,476 115,451 8.4%1%3%1%-8% Arvada 106,781 124,367 16.5%similar 0%0%0% Colorado Springs 420,691 479,257 13.9%-5%0%-11%-3% Greeley 93,156 109,084 17.1%-6%0%-14%-4% Lakewood 143,294 156,195 9.0%similar 0%0%0% Loveland 67,000 76,341 13.9%similar 0%0%0% Thornton 119,753 142,118 18.7%similar 0%0%0% Fort Collins 144,461 169,810 17.5% COL Compared to Fort Collins City 2010 Population 2020 Population % Change in Population 4 Study Results 5 Confidential •City Council sizes range from 5 to 10 members, with 5 of the 14 cities in the study having 8 members; there is no correlation between a city’s population or area size to the number of Council members City Council Structure Summary All Elected from Ward or District Mix of Wards and At Large All Elected At Large Number of Cities 6 4 4 •None of the Front Range cities in the study have a City Council where all members are elected At Large •Research did not uncover processes used to determine Ward or District boundaries; ordinances may contain vague wording such as “equal populations” •Mayors are usually considered part of the City Council with the same voting rights as members; principal duties are to preside over City Council meetings and serve as the ceremonial head of the city •Mayor Pro Tem positions are selected from current Council members and fill in for the Mayor should they be unavailable •Most City Councils have staggered elections, with members serving 4-year terms •If term limits are stated, the limit was generally 2 terms •Mayors are also elected to 4-year terms 6 Council Structures –Peer Cities 7 City 2020 Population Area in Square Miles City Council Structure Terms Notes Fort Collins 169,810 57.2 - Mayor - 6 Council Members, from Districts -Mayor: 2 year terms, limited to 3 terms - Council: 4-year staggered terms, limited to 2 terms Mayor presides over City Council meetings, ceremonial head of City; signs legal documents; Mayor Pro Tem: chosen from Council, 2-year term; Council is responsible for policy decisions Asheville, NC 94,589 45.6 - Mayor - 6 Council Members -All At Large - 4-year staggered terms - Mayor on separate ballot - Mayor: Presides over City Council; ceremonial head; no veto power - Vice Mayor: Appointed by City Council - City Council: Determines the needs to be addressed and the degree of service to be provided by city government Eugene, OR 176,654 44.1 - Mayor - 8 Council Members, All from 8 Wards - 4-year staggered terms - Mayor on separate ballot - Mayor: Has no vote except in case of tie; formal representative of City - City Council: Responsible for passing laws, setting community goals, adopting policy, and deciding which services the City will provide. Greensboro, NC 299,035 129.0 - Mayor - 8 Council Members, 3 At Large, 5 from Districts - 4-year terms - Mayor: Presides over City Council - Mayor Pro Tem: Selected from Council Members - City Council: Sets and directs policy regarding City government operations; executed by City Manager Naperville, IL 149,540 38.8 - Mayor - 8 Council Members - All At Large -Approving City policies, ordinances and other regulations. - Responsible for matters dealing with employee salaries and benefits. Oklahoma City, OK 681,054 606.3 - Mayor - 8 Council Members, All from 8 Wards - 4-year terms - Mayor: Part of City Council - City Council: Develop City priorities Plano, TX 285,494 71.7 - Mayor - 7 Council Members -All At Large - 4-year terms - Term limited to 2 terms - Mayor: Part of City Council - City Council: District residency requirement for members in Places 1 through 4 Wilmington, NC 115,451 51.4 - Mayor - 5 Council Members -All At Large -Mayor: 2-year term - Council: 4-year staggered terms - Mayor and Mayor Pro Tem: Part of City Council - Mayor Pro Tem: chosen from Council Council Structures –Front Range Cities 8 City 2020 Population Area in Square Miles City Council Structure Terms Notes Fort Collins 169,810 57.2 - Mayor - 6 Council Members, from Districts -Mayor: 2 year terms, limited to 3 terms - Council: 4-year staggered terms, limited to 2 terms Mayor presides over City Council meetings, ceremonial head of City; signs legal documents; Mayor Pro Tem: chosen from Council, 2-year term; Council is responsible for policy decisions Arvada 124,402 38.8 - Mayor - 5 Council Members; 4 from Districts, 1 At Large - Duties of Mayor and City Council members laid out in detail Colorado Springs 479,257 194.9 - Full-time Mayor - 9 Council Members - 6 from equally populated districts, 3 At Large - 4-year terms - Term limited to 2 terms - Has had Strong Mayor structure since 2011 - Mayor is Full-time elected positions, not part of City Council, has veto authority - City Council can override veto with 2/3 majority Greeley 109,084 48.8 - Mayor - 6 City Council - 4 from Wards, 2 At Large - 4-year staggered terms - Mayor is part of City Council Lakewood 156,195 43.0 - Mayor - 10 Council Members, 2 from each of 5 Wards - 4-year staggered terms - Mayor is part of City Council, no veto power - Mayor Pro Tem chosen annually Loveland 76,341 34.4 - Mayor - 8 Council Members, 2 from each of 4 Wards - No term limits - Mayor has same voting rights as other City Council Members - Mayor Pro Tem is elected by Council with same term as Mayor - City Council residency requirement of 1 year in Ward prior to election Thornton 142,118 35.9 - Mayor - 8 Council Members, 2 from each of 4 Wards - 4-year staggered terms - Mayor is part of City Council Annual Compensation -Mayor Annual Compensation –Mayor Pro Tem Minimum Median Maximum Peer Cities $19,000 Front Range Cities $9,600 $15,000 $21,000 All Cities $9,600 $17,000 $21,000 Fort Collins Same as City Council $10,712 Annual Compensation -Mayor Minimum Median Maximum Peer Cities $15,228 $24,000 $29,925 Front Range Cities* $12,000 $18,000 $38,800 All Cities $12,000 $24,000 $38,800 Fort Collins $16,074 •Annual salaries for the Mayor’s role range from $12,000 to $38,800. The $38,800 is an outlier as it is $8,875 higher than the next highest mayor salary. •Only two cities (one peer and one Front Range) have a lower compensation level for Mayor than Fort Collins. •4 Cities report a higher salary for the Mayor Pro Tem than other Council members; 3 of the cities are on the Front Range, only 1 peer city has this practice. *Data for Colorado Springs is not included as they have a Strong Mayor form of government, with the Mayor serving in a full-time position.9 Annual Compensation –City Council Minimum Median Maximum Peer Cities $12,000 $13,214 $23,377 Front Range Cities $6,250 $12,500 $18,000 All Cities $6,250 $13,000 $23,377 Fort Collins $10,712 Annual Compensation –City Council •Annual salaries for the City Council members range from $6,250 to $23,377, with 13 of the 14 cities falling at or below $18,000. •Only two Front Range cities have a lower compensation level for City Council than Fort Collins. •Fort Collins has the lowest compensation level for City Council among the peer cities in the study. •City Council salaries are customarily set by ordinance. In order to adjust Council or the Mayor’s salary, City Council must approve by a vote, allowing the increase to be effective past the next election date. •Two peer cities, within the ordinance regarding compensation, have allowed for annual increases using a defined inflation factor. Fort Collins also follows this practice. 10 •Expense reimbursements are defined within the City ordinances as “reasonable and necessary expenses”; limitations and rules for approval are generally included •3 of the 14 cities do not reimburse for expenses •Common reimbursements include: •Travel to Council-related conferences, meetings, classes •Mileage to attend events where they are representing the City •Cell phone, laptop and/or internet service allowances or provision •Meals during Council meetings •Office supplies •Association dues •Greensboro, NC was the only city reporting an annual car allowance for City Council members: •Mayor: $4,200 •Mayor Pro Tem: $3,600 •City Council: $3,000 Expense Reimbursements 11 Eligible to Participate Not Eligible to Participate Fort Collins Peer Cities 5 2 Front Range Cities 3 2 (1 Not Available) Benefit Eligibility Health, Vision, Dental Insurance Participation•When City Council members are eligible to participate in the Health Insurance benefits provided to City employees, cities require the member to pay the full premium. In cities interviewed, it was reported as a “rare” event when Council members would participate. •Minimal other benefits are provided by the cities to the Council members: •Voluntary life insurance can be purchased in a few cities •Arvada, CO was the only city to report a provision that allows a Council member to participate in retirement, the supplemental 457 plan 12 Mayor City Council •Signing legal instruments •Review and approve budgets •Represent city in local and regional meetings and events •Represent the city to the press •Approves Council members expenditures •Serves on boards and commissions •Review and approve budgets •Determine policy for City direction •Evaluate performance of City Manager, City Attorney and City Clerk •Attending council meetings and planning sessions •Attending strategic planning meetings •Participating in groundbreakings, ribbon cuttings and grand openings •Attending community events •Participation in local, regional and national organizations •Hosting events within ward •Attending conferences away from City Documentation of Council Duties Most often, the duties for the Mayor and City Council are briefly outlined in the City Charter. The descriptions generally state that the Mayor is the ceremonial head of the city and presides over Council meetings. City Councils are charged with setting the direction and policy of the City to be carried out by the City Manager and staff. However, several cities, have gone to the effort of expanding on those outlines and have listed specific duties, requirements and expectations of the roles in either job descriptions, a manual or a brochure. 13 Thank You Brian Wilkerson bwilkerson@hrqinc.com (303) 564-5686 Julie Stanek julie@hrqinc.com (970) 310-5582 Appendix –ICMA 2018 Municipal Form of Government Survey excerpts 15 Confidential ICMA 2018 Survey Results -Chief Elected Official Source: 2018 Municipal Form of Government Survey; ICMA Survey Highlights • The vast majority of chief elected official positions are part-time and receive an annual salary or stipend. • Local governments rarely place term limits on chief elected officials, but those that do most often limit those terms to two four- year terms. • Most chief elected officials may vote on all issues during council meetings. ICMA –Chief Elected Official Source: 2018 Municipal Form of Government Survey; ICMA ICMA –Chief Elected Official Source: 2018 Municipal Form of Government Survey; ICMA ICMA City Council Council Survey Highlights • Being a member of the council is rarely a full-time position. Over 90 percent of respondents indicated that their council member positions are all part-time. • Term limits on council positions are rare overall but are most commonly found in communities with 100,000 residents or more. • Less than one in five responding local governments have concurrent council terms. Few local governments put all council seats up for election in the same year. Source: 2018 Municipal Form of Government Survey; ICMA Survey Highlights •Local elected officials are nearly always paid a salary or stipend. •Chief elected officials (mayors or the council president) are paid an average of $16,837 per year. • Full-time mayors are paid an average of $61,723. •Part-time council members are paid an average of $5,244 per year. •Some local governments symbolically pay their elected officials $1 per year. This typically only happens among council- manager communities in which elected officials do not provide day-to-day administration. ICMA –Mayor/Council Compensation Source: 2018 Municipal Form of Government Survey; ICMA ICMA –Mayor/Council Compensation Source: 2018 Municipal Form of Government Survey; ICMA