CC RES 1996-020 RESOLUTION NO. 96-20
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO
PALOS VERDES AMENDING RESOLUTION NOS 94-56 AND 94-57
ADOPTING REVISIONS TO THE COMPETITIVE SERVICE AND
MANAGEMENT EMPLOYEE PERSONNEL RULES TO PROVIDE FOR A
MERIT PAY PLAN IN THE CITY
WHEREAS, the City Council is authorized and directed under the provisions of
Chapter 2.46 of the Rancho Palos Verdes Municipal Code to adopt rules for the
administration of the personnel system created in said Municipal Code Chapter; and
WHEREAS, the objectives of these rules are to facilitate efficient and
economical services to the public and to provide for an equitable system of personnel
management; and
WHEREAS, these rules set forth in detail those procedures which define many
of the obligations, rights, privileges and prohibitions which are placed upon
Management Employee and Competitive Service Employees which are described in
Chapter 2.46 of the Rancho Palos Verdes Municipal Code;
WHEREAS, at the same time, within the limits of administrative feasibility,
considerable latitude shall be given the City Manager in the interpretation and
application of these rules so that they are applied equitably; and
WHEREAS, from time to time these rules must be revised due to policy changes
of the City Council; and
WHEREAS, the City Manager in cooperation with the City Council identified a
new merit pay plan more in keeping with the private sector which awards performance
rather than time spent in a particular job classification and will become the basis of any
future employee compensation increases; and
WHEREAS, the new merit pay plan will necessitate a change in the
Management Employee and Competitive Service Employee Personnel Rules to
establish the new system and eliminate the automatic 5 percent step adjustments within
the current pay plan;
WHEREAS, as a policy decision, the City Council has determined that the City's
current program to grant longevity pay after a minimum of 10 years of service is no
longer in keeping with standard private and public sector employer practices; and
WHEREAS, the 1995 public sector compensation study completed in June 1995
indicates that all of the survey agencies, except Rancho Palos Verdes, pay for the
employee portion of the retirement contribution to the Public Employees Retirement
System (PERS); and
WHEREAS, the current policy of not paying the employee contribution to PERS
from the initial hire date places the City in a weakened position when competing for
employees in the marketplace;
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF RANCHO PALOS
VERDES DOES RESOLVE, DETERMINE, AND ORDER AS FOLLOWS:
Section 1: Sections 1, 2 and 3 of Rule IV of Exhibit "B" of Resolution No. 94-57
(Management Employee Personnel Rules) are hereby amended to read as follows:
"RULE V
REGULAR COMPENSATION/PERFORMANCE EVALUATIONS
Compensation shall be determined from a salary schedule of ranges
established by a Resolution of the City Council. Each range spread shall be
approximately 30 percent from the bottom of the range to the top of the range. During
the annual budget deliberations, the City Council shall establish a pool of funds to be
used by the City Manager for employee merit increases if general fund revenues are
estimated to be sufficient to cover the cost associated with such a merit pool.
SECTION 1 - INITIAL EMPLOYMENT: The rate of compensation for
initial employment in any classification shall be determined by the City Manager at
his/her sole discretion based upon the experience, education, skills and ability of the
employee.
SECTION 2 - MERIT ADVANCEMENT WITHIN A RANGE: The only
reason for advancement within a range shall be meritorious performance in an
employee's assigned duties.
(a) Meritorious performance shall be determined by the overall rating on
the employee's performance evaluation.
(b) Merit increases shall be based on meritorious service and granted
only if sufficient funding is available within the City Manager's merit pool. Granted
increases shall be effective on the day in which the employee's evaluation date falls,
whether or not the performance evaluation is conducted on the evaluation date.
(c) An employee may be advanced within his/her range in accordance
with the merit pay program determined annually by the City Manager.
(d) The City Manager shall make a final determination on all proposed
merit increases based upon the overall rating on the employee's evaluation and the
funds available in the City Manager's merit pool.
(e) When an employee demonstrates exceptional ability and proficiency,
such employee may be advanced within his/her range by the City Manager in his/her
sole discretion, within available funding, without regard to the minimum length of
service provisions contained in this section. Advancements under this section shall not
RESOL. NO. 96-20
PAGE 2
change the employee's regular evaluation date.
SECTION 3 - TOP OF THE RANGE: In no case shall an employee's
regular salary exceed the maximum of the range established by resolution of the City
Council."
Section 2: Sections 1, 2, 3, 4 and 5 of Rule V of Exhibit "A" of Resolution No.
94-56 (Competitive Service Employee Personnel Rules) are hereby amended to read
as follows:
"RULE V
REGULAR COMPENSATION/PERFORMANCE EVALUATIONS
Compensation shall be determined from a salary schedule of ranges
established by a Resolution of the City Council. Each range spread shall be
approximately 30 percent from the bottom of the range to the top of the range. During
the annual budget deliberations, the City Council shall establish a pool of funds to be
used by the City Manager for employee merit increases if general fund revenues are
estimated to be sufficient to cover the cost associated with such a merit pool.
SECTION 1 - INITIAL EMPLOYMENT: The rate of compensation for
initial employment in any classification shall be determined by the City Manager at
his/her sole discretion based upon the experience, education, skills and ability of the
employee.
SECTION 2 - MERIT ADVANCEMENT WITHIN A RANGE: The only
reason for advancement within a range shall be meritorious performance in an
employee's assigned duties.
(a) Meritorious performance shall be determined by the overall rating on
the employee's performance evaluation.
(b) Merit increases shall be based on meritorious service and granted
only if sufficient funding is available within the City Manager's merit pool. Granted
increases shall be effective on the day in which the employee's evaluation date falls,
whether or not the performance evaluation is conducted on the evaluation date.
(c) An employee may be advanced within his/her range in accordance
with the merit pay program determined annually by the City Manager.
(d) All proposed advancements shall be recommended by the Department
Head and approved by the City Manager before becoming effective. The City Manager
shall make a final determination on all proposed merit increases based upon the overall
rating on the employee's evaluation, the Department's Heads's recommendation and
the funds available in the City Manager's merit pool.
(e) When an employee demonstrates exceptional ability and proficiency,
such employee may be advanced within his/her range with the approval of the City
Manager, in his/her sole discretion, within available funding, following recommendation
RESOL. NO. 96-20
PAGE 3
by the Department Head, without regard to the minimum length of service provisions
contained in this section. Advancements under this section shall not change the
employee's regular evaluation date.
SECTION 3 - PROMOTIONAL ADVANCEMENT: When an employee is
promoted from employment in one class to employment in a class assigned a higher
range, advancement shall be to a level within the higher classification as will accord
such employee an increase of at least five percent (5%) over his/her current rate of
compensation, provided that the salary does not exceed the maximum of the range.
SECTION 4 -ACTING PAY: An employee who, by written assignment by
his/her Department Head or the City Manager, performs the duties of a position with a
higher salary classification than that in which he/she is regularly employed, shall
receive the compensation specified for the position to which he/she is assigned if
he/she performs the duties for a period of one (1) calendar month or more. The
employee shall be compensated at a level within the higher classification as will accord
such employee an increase of at least five percent (5%) over his/her current rate of
compensation, provided that the salary does not exceed the maximum of the range.
Such compensation shall be retroactive to the first day of the assignment through the
duration of the assignment.
SECTION 5 - TOP OF THE RANGE: In no case shall an employee's
regular salary exceed the maximum of the range established by resolution of the City
Council."
Section 3: Section 3 of Rule X of Exhibit "A" of Resolution No. 94-56 is hereby
amended as follows:
"SECTION 3 - RETIREMENT: The City shall pay the full 7% of an
employee's contribution to the Public Employees Retirement System (PERS)."
Section 4: The Longevity Pay Plan language is hereby rescinded from the
Management Employee and Competitive Service Employee Personnel Rules effective
March 15, 1996. Employees granted Longevity Pay prior to March 15, 1996 shall
continue to receive the same amount of Longevity Pay without any further increases
until such time that their employment is terminated with the City.
RESOL. NO. 96-20
PAGE 4
PASSED, APPROVED AND ADOPTED on March 11, 1996.
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Ma 4r
ATTEST:
At, 1
City Clerk
State of California )
County of Los Angeles ) ss
City of Rancho Palos Verdes )
I, JO P U RC E LL, City Clerk of the City of Rancho Palos Verdes, hereby certify
that the above Resolution No. 96-20 was duly and regularly passed and adopted by the
said City Council at a regular meeting thereof held on March 11, 1996.
� _.
ity Clerk
City 6 Rancho Palos Verdes
RESOL. NO. 96-20
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