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RPVCCA_SR_2010_05_18_11_Salary_SurveyMEMORANDUM TO: FROM: DATE: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL ERIC MAUSSER,HUMAN RESOURCES MANAGER May 18,2010 SUBJECT:2010 SALARY SURVEY REVIEWED:CAROLYN LEHR,CITY MANAGER cJL-- RECOMMENDATION: Direct staff to adjust the salary ranges for all affected classified and management positions to the level established by previous Council resolution in order to maintain the City's desired market position to attract and retain employees. EXECUTIVE SUMMARY: The City Council requested at the adoption of the FY2009-2010 Budget that staff conduct a market survey to ascertain market position of its salary ranges for City positions.That survey was conducted,data results analyzed and recommendations are now being made to implement the findings effective July 1,2010. BACKGROUND: On July 2,2002,the Council adopted a resolution establishing salary ranges for all competitive and management employee positions at the 75th percentile of reported data for the cities surveyed.The last market survey completed and adopted was in 2002. Since FY 2002-2003,the City has adjusted salary ranges based on the March Consumer Price Index (CPI)to maintain its desired market position. 11-1 SubjectSalary Survey Date:5/18/10 2 of 3 DISCUSSION: Staff conducted the 2010 Salary Survey from a pool of 38 Southern California cities.A smaller subset of those cities was chosen to compare senior management salary ranges because those cities most closely mirror Rancho Palos Verdes'organizational structure and service level.These cities represent the labor market within which Rancho Palos Verdes must compete to recruit and retain personnel for management and classified positions.All findings are based on a comparison of the monthly salary range maximum. The cities used in the salary survey define the labor market within which the City must compete for comparably skilled employees.These cities were selected based upon a combination of three important criteria: 1.Geographic location.The proximity of other cities to the City of Rancho Palos Verdes and cities close to our employees'residences.This criterion also included insofar as possible proximity to the ocean,which influences the type of services rendered by communities. 2.Population and median household income.The size and general affluence of a city are often indicators of the level of service expected from residents as well as the city's operating budget. 3.Nature of services provided.Employers who provide generally similar services are most likely to have similar organizational and economic characteristics. Based on these criteria,38 cities were identified in the Los Angeles and Orange County areas to participate in the survey.Of these cities,13 were found to deal with similar issues and have similar organizational and fiscal structure as the City of Rancho Palos Verdes.Senior management salaries were compared against only these cities because we are most likely to recruit potential management staff from such cities. Staff gathered salary data and assessed job comparability from two resources:an on- line data base and direct mail surveys.Through the South Bay Cities Council of Governments,the City is a member of the California Public Agencies compensation Survey (CALPACS),an on-line salary data base of pre-determined positions with over 100 participating Southern California public agencies.Staff gathered salary reports form the data base,obtaining and comparing salaries for comparable positions. For the remaining positions not found on the CALPACS data base,staff faxed or emailed a survey packet to each agency.Staff audited the job descriptions and salary ranges and identified matches with positions.From the reported data, recommendations for Rancho Palos Verdes salary range adjustments were calculated and formatted. W:\Forms\RPV-MEMagendaFRM.doc 11-2 Subject Salary Survey Date:5/18/10 3 of 3 The 2010 Salary Survey results showed that the current Rancho Palos Verdes salary ranges have fallen out of the 75th percentile salary range specified by Council as its policy goal.Findings from the survey show that Rancho Palos Verdes salary ranges are on average 3.44%below the 75th percentile of the cities surveyed.The variance below the 4th quartile is larger for senior management (-7.35%)than the classified positions (-2.06). FISCAL IMPACT: This action will not cause an immediate increase of salaries.It will provide an opportunity for employees who are currently at the top of their salary range to receive a merit increase they would not otherwise receive upon their annual performance evaluation during FY 10- 11.The estimated fiscal impact of this recommendation is approximately $20,000.The recommendation will also appear as a menu item on the May 22,2010 Council Budget Workshop. Attachments:Exhibit 1:Impact of Recommended Monthly Salary Ranges for All Full-time Positions Exhibit 2:Cities Included in 2010 Salary Survey Exhibit 3:Comparison of Cities in 2010 Salary Survey W:\Forms\RPV-MEMagendaFRM.doc 11-3 5/12/2010 EXHIBIT 1 City of Rancho Palos Verdes Impact of Recommended Monthly Salary Ranges for All Full-Time Positions Categorized by Department .i:iSttititlli$jliiMJlanaif Recommended RanQe* ::::ii:iiiiiiJ,i,tWifii:iiiiiiiiiiiIiiiiii:ii8tlfii@@:Low High variance 5:39 PM ICity Manager IDeputy City ManaQer I I 7.35% Total Finance and IT Director of Finance &IT Deput Director of Finance and IT Accountin Mana er Senior Accountant Accountant Account Technician Account Clerk Senior Information Technician $7,802 $6,849 $6,500 $5,511 $5,010 $3,878 $3,426 $5,941 $13,255 $11,597 $8,442 $7,158 $6,507 $5,038 $4,448 $7,714 7.35% 7.35% 3.53% 3.53% 3.53% 3.53% 2.87% 3.82% Clerk $10,858 $5,876 0.51% 1.64% Community Development Director of Communit Development Deput Plannin Director Buildin Official Senior Code Enforcement Officer Code Enforcement Officer Buildin Inspector 2 Buildin inspector 1 Principal Planner Senior Planner Associate Planner Assistant Planner Plannin Technician Public Works $7,802 $6,849 $6,413 $5,005 $4,469 $5,038 $4,499 $6,650 $5,937 $5,301 $4,665 $3,337 $13,255 $11,597 $10,858 $6,500 $5,804 $6,543 $5,841 $8,636 $7,711 $6,885 $6,059 $4,332 7.35% 7.35% 0.51% 1.19% 1.19% 1.85% 1.85% 2.35% 2.35% 2.35% 2.35% 2.35% Senior Engineer ii:ii:ii::I~ilai:i::ii::Hi::::$.r~:m!::::it $6,926 $8,994 2.94% Maintenance Worker I1II ii::i::::i.tlB::::i::::i:::i::::M::~iJ.i:i:::::::$2,837 $4,188 1.85% Permit Clerk i:::::ii:lar~IQi::::i:::iiii::::i'I1l~::::iii $3,361 $4,365 3.11 % Permit Technician:iI$.~tl~riii:iiii::ii:H1iISQ::::r $3,836 $4,980 3.11 % Open Space and Trails ManaQer ::i:$r.~a~1:rr t$f::~.tr $5,937 $7,711 2.35% 11-4 5/12/2010 Parks and Recreation 5:39 PM RecreatioA Pro ram Supervisor II Recreation Services Mana er Support Human Resources Mana er Senior Administrative Analyst Administrative Analyst II Administrative Anal st Executive Staff Assistant Administrative Staff Assistant Staff Assistant II Staff Assistant I $6,894 $5,744 $4,434 $4,434 $4,518 $3,829 $3,334 $2,933 $6,183 $7,243 $12,347 $7,459 $6,661 $5,758 $5,869 $4,972 $4,330 $3,810 2.28% 2.06% 0.0% 0.39% 0.39% 0.39% 1.52% 2.94% 2.28% 2.28% *75th percentile of salary ranges surveyed **City Manager's recommended salary range represents the 50th percentile of salary ranges surveyed 11-5 EXHIBIT 2 5/12/2010 5:44:03 PM CITY OF RANCHO PALOS VERDES Salary Survey 2010 Cities Included in the Salary Survey Cities written in bold were included in the Management Survey #CITY 1.Aguora Hills 2.Aliso Viejo 3.Bell Gardens 4.Claremont 5.Calabasas 6.Cerritos 7.Cypress 8.Dana Point 9.EI Segundo 10.Gardena 11.Goleta 12.Hawthorne 13.Hermosa Beach 14.Huntington Beach 15.La Cana~a Flintridge 16.Laguna Hills 17.Laguna Niguel 18.Lake Forest 19.Lakewood 20.La Mirada 21.Lawndale 22.Lomita 23.Long Beach 24.Malibu 25.Manhattan Beach 26.Mission Viejo 27.Newport Beach 28.Palos Verdes Estates 29.Pico Rivera 30.Placentia 31.Redondo Beach 32.Rolling Hills Estates 33.Rolling Hills 34.San Clemente 35.San Juan Capistrano 36.Santa Monica 37.Torrance 38.Walnut 11-6 5/12/2010 5:42 PM EXHIBIT 3 1 2008 U.S.Census Bureau estimate -http://www.census.gov/popesllcltles/tables/SUB-EST2008-04-06.xls 2.Contract safely score was multiplied by 2 to remain consistent with other factors Comparison of Cities in Salary Survey Geographic Location Population and Income Services costal pOp.1 median household contract safety 2 Compositecitysubregionproximityincome1 3 points 3 points 6 points Score3points3points Rancho Palos Verdes South Bay coastal 41,106 $108,640 police and fire 18 Goleta :.,iCi'''',~;,,(;!,,'i:coastal <'5 D,.:'.;$79,523 police and fire 16 Aliso Viejo Orange ;Ic':;,';'.::';";.41,572 $92,280 police and fire 15 Calabasas ,.;:;;,;",.':",,;;,>..')x:\·',:::'::,$104,935 police and fire 15 Dana Point Orange coastal 35,700 :'(:.l}"'.police and fire 15 Rolling Hills Estates South Bay ':;'::"'{>.::,7,860 $109,010 police and fire 15 San Clemente Orange coastal ,.,:.;','.,$81,060 police and fire 15 Agoura Hills >:.'i:.",inland ::.'?::.:$108,862 police and fire 14 Cerritos ""'i':i;",';'inland .',"':"':",-'.$96,070 police and fire 14 Diamond Bar :;:,:r:;;":):·,·,·,,inland :?:;:$87,224 police and fire 14 La Mirada ,.:.,,::;:..;;:.inland 49,809 ::::,';:','police and fire 14 Laguna Hills Orange inland 31,346 $89,781 police and fire 14 Laguna Niguel Orange :;-:,',':.;;'."'·i(::·$80,733 police and fire 14 Lawndale South Bay inland 31,711 $39,012 police and fire 14 Malibu ,."",;;coastal 13,009 $102,031 police and fire 14 Manhattan Beach South Bay coastal 36,605 ~$132,535 neither 14 San Juan Capistrano Orange 34,793 :-I,.:.::!::,'police and fire 14..:,.,.:,,;; Walnut :';.i·;"':':"';:::':'inland ),i..$100,360 police and fire 14 Claremont .'i·;:",•.:(:;::':::'"inland 35,000 $86,704 ';i 13 Encinitas San Diego coastal ';(::;::$85,693 .:X:;,:,13 Lake Forest Orange inland '.:.).....;.$84,343 police and fire 13 Lakewood ,.:.:,":":':"'";',,inland 78,444 $81,776 police and fire 13 Palos Verdes Estates South Bay "''':'','.',),'':.;13,585 $123,534 r(13 Cypress Orange inland 47,123 $82,171 :::,12 Hermosa Beach South Bay coastal 19,350 $81,153 neither 12 La Canada Flintridge '/"\·,::re'.inland 20,671 $144,689 police and fire 12 Lomita South Bay inland 20,156 $51,360 police and fire 12 Mission Viejo Orange inland 94,461 $78,248 police and fire 12 Pico Rivera ,'.::;,',::,.,,"'"inland ;':','IV:$54,677 police and fire 12 Placentia Orange inland 49,692 $80,162 :,12 Bell Gardens "....,>.•..".';!:.inland 44,692 $40,250 .::,11 EISegundo South Bay coastal 16,217 :.c.',-',.neither 11 Gardena South Bay inland :i..,'"$51,288 ·f·11 Hawthorne South Bay '.,,::ex.·;:,:,:84,305 $45,593 ,I,11 Torrance South Bay coastal 140,820 ..;::.,.;neither 11 Huntington Beach Orange coastal 192,620 $86,528 neither 10 Long Beach Long Beach coastal 463,789 $50,975 neither 10 Newport Beach Orange coastal 79,661 $123,958 neither 10 Santa Monica """"",coastal 87,664 .;:.:neither 10 ., 11-7