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CC SR 20221206 H - Minimum Wage CITY COUNCIL MEETING DATE: 12/06/2022 AGENDA REPORT AGENDA HEADING: Consent Calendar AGENDA TITLE: Consideration and possible action to approve compensation changes for part -time employees due to the state’s mandatory minimum wage increase. RECOMMENDED COUNCIL ACTION: (1) Adopt Resolution No. 2022-__, A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO PALOS VERDES, AMENDING, RESTATING, AND SUPERSEDING RESOLUTION NO. 2022-44 THAT SETS THE SALARY AND HOURLY COMPENSATION SCHEDULE FOR ALL CITY EMPLOYEES TO REFLECT NEW SALARY RANGES FOR PART-TIME EMPLOYEES BASED ON A MINIMUM WAGE INCREASE EFFECTIVE JANUARY 1, 2023 FISCAL IMPACT: If the City Council adopts the resolution as proposed, the minimum wage will increase from $15.45 to $15.50 beginning January 1, 2023. The fiscal impact will vary depending on the number of hours worked. The increase is included in the adopted budget for FY 2022-23. Amount Budgeted: $1,363,200 Additional Appropriation: None Account Number(s): 101-400-XXXX-4102 (General Fund – various part-time accounts) ORIGINATED BY: Karina Bañales, Deputy City Manager REVIEWED BY: Same as Above APPROVED BY: Ara Mihranian, AICP, City Manager ATTACHED SUPPORTING DOCUMENTS: A. Draft Resolution No. 2022- ___, Minimum Wage Increase (page A-1) B. Resolution No. 2022-44 (page B-1) BACKGROUND: Senate Bill No. 3, approved in 2016, detailed an increase of the state’s minimum wage over future years for all employers with 26 or more employees, as shown below: 1 RANCHO PALOS VERDES Year Rate Adjustment January 1, 2017 $10.50 Per Hour January 1, 2018 $11.00 Per Hour January 1, 2019 $12.00 Per Hour January 1, 2020 $13.00 Per Hour January 1, 2021 $14.00 Per Hour January 1, 2022 $15.00 Per Hour January 1, 2023 $15.50 Per Hour After 2022, the state minimum wage rate will comply annually for inflation based on the national consumer price index for urban wage earners and clerical workers (CPI -W). However, the minimum wage cannot be lowered, even if there is a negative CPI, and the highest raise allowed in any one year is 3.5%. By August 1 of each year, the State Director of Finance will calculate an adjusted minimum wage effective the following January 1. Effective January 1, 2023, the California minimum wage will increase to $15.50 per hour. To ensure the City is compliant with state law, Staff recommends adjusting the bottom step of the range of those classifications impacted by the new state-mandated minimum wage by adopting the attached resolution (Attachment A) and replacing Resolution 2022- 44 (Attachment B). DISCUSSION: Since 2016, City Council has authorized Staff, by resolution, to adjust part-time hourly base rates following the state-mandated minimum wage law. In 2021, the City adopted a master pay schedule effective on January 1, 2022, to reflect the minimum wage increases mandated by state law, which resulted in changes to the bottom pay range of the Administrative/Public Works/Cable Interns and Recreation Leader I positions to $15.00 per hour. On June 21, 2022, City Council approved a Cost-of-Living Adjustment (COLA) of 3% for all City Staff, excluding the City Manager. The COLA adjusted the bottom and top pay ranges to $15.45 to $33.77, respectively, for the Administrative/Public Works/Cable Intern and $15.45 to $20.99 for Recreation Leader I. On April 28, 2022, a petition was filed with the City Manager to consider forming a labor unit for part-time employees, except for temporary and internship positions, which was formally recognized on August 4, 2022. On November 14, 2022, the City’s labor negotiations team met and conferred with the American Federation of State, County, and Municipal Employees District Council 36 (AFSCME DC36) to discuss the state-mandated minimum wage increase for 2023 and, without waiving any future rights to bargain, AFSCME DC36 did not object to raising the base of the pay range for the impacted classifications effective January 1, 2023. The parties agreed that comprehensive part- time hourly wages remain an outstanding item for bargaining and will be addressed during the collective bargaining process with the City over a memorandum of understanding between the parties. 2 The only affected classification represented by AFSCME DC 36 is Recreation Leader I. However, Staff presents both classifications that the new minimum wage increase will impact below. Current Pay Range: Classification Pay Range Bottom to Top Administrative/Public Works/Cable Interns $15.45 $33.77 Recreation Leader I $15.45 $20.09 Proposed Pay Range: Classification Pay Range Bottom to Top Administrative/Public Works/Cable Interns $15.50 $33.77 Recreation Leader I $15.50 $20.09 The proposed pay range would take effect on January 1, 2023, for the above two classifications. At this time, the City has 18 Recreation Leader I part-time employees that the new minimum wage increase will impact. This means that salary adjustments will be made for these 18 employees in the Recreation Leader I position only, as no current interns are working for the City. Furthermore, new hires in these classifications onboarded after January 1, 2023, will be appointed within the proposed pay range. The cost associated with these wage adjustments is included in the adopted budget for FY 2022-23. ADDITIONAL INFORMATION: In accordance with CalPERS and California Code of Regulations § 570.5, the revised City Salary and Hourly Schedule for all City employees will be updated and publicly available on the City’s website. CONCLUSION: Staff recommends the City Council adopt the attached resolution, thereby adopting a new master salary schedule effective January 1, 2023 that will apply a $15.50 minimum wage adjustment for part-time employees in the Administrative/Public Works/Cable Interns and Recreation Leader I classifications. ALTERNATIVES: In addition to the Staff recommendation, the following alternative actions are available for the City Council’s consideration: 3 1. Direct Staff to make specific compensation changes to part-time positions in compliance with the minimum wage state laws. 2. Take other action as deemed appropriate. 4 RESOLUTION NO. 2022- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO PALOS VERDES, AMENDING, RESTATING, AND SUPERSEDING RESOLUTION NO. 2022-44 THAT SETS THE SALARY AND HOURLY COMPENSATION SCHEDULE FOR ALL CITY EMPLOYEES TO REFLECT NEW SALARY RANGES FOR PART-TIME EMPLOYEES BASED ON A MINIMUM WAGE INCREASE EFFECTIVE JANUARY 1, 2023 WHEREAS, the City Council adopted Resolution 2022-44 on June 21, 2022, that set the Salary and Hourly Compensation Schedule for all City employees (full and part- time), except the City Manager, effective July 2, 2022; and WHEREAS, the City Council now desires to amend the City’s Salary Schedule to reflect the new salary ranges for part-time classifications based on a state mandated minimum wage increase effective January 1, 2023; and WHEREAS, Section 36506 of the California Government Code requires that the City Council fix compensation of all appointive officers and employees by resolution or ordinance; and WHEREAS, Rule V of the Personnel Rules of the City provides that in order to amend the City’s Salary Schedule that changes must be made via Resolution; and NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF RANCHO PALOS VERDES DOES HEREBY FIND, DETERMINE AND RESOLVE AS FOLLOWS: Section 1: The salary and hourly ranges for City job classifications as set forth in Exhibit “A” which are attached hereto and incorporated herein by this reference, are adopted and are effective as of January 1, 2023. Section 2: Resolution No. 2022-44 is hereby amended, restated, and superseded and replaced by this resolution to reflect new salary ranges for certain part- time classifications based on a state mandated $15.50 per hour minimum wage effective January 1, 2023. Section 3: This resolution shall be adopted on December 6, 2022. The City Clerk shall certify the adoption of this Resolution. A-1 PASSED, APPROVED and ADOPTED this 6th day of December 2022. _____________________________ Mayor Attest: ____________________________ Teresa Takaoka, City Clerk STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) ss CITY OF RANCHO PALOS VERDES ) I, Teresa Takaoka, City Clerk of the City of Rancho Palos Verdes, hereby certify that the above Resolution No. 2022-__ was duly and regularly passed and adopted by the said City Council at a regular meeting thereof held on December 6, 2022. __________________________ Teresa Takaoka, City Clerk A-2 Resolution No. 2022-__ Exhibit A Salary and Hourly Schedule for the Competitive, Confidential, Management and Part-time Positions (Effective January 1, 2023) COMPETITIVE POSITIONS BOTTOM TO TOP BOTTOM TO TOP Account Clerk 54,557 --70,832 4,546 --5,903 26.23 --34.05 Accountant 79,781 --103,619 6,648 --8,635 38.36 --49.82 Accounting Manager 103,509 --134,434 8,626 --11,203 49.76 --64.63 Accounting Technician 61,754 --80,227 5,146 --6,686 29.69 --38.57 Administrative Analyst I 70,605 --91,692 5,884 --7,641 33.94 --44.08 Administrative Analyst II 70,609 --106,072 5,884 --8,839 33.95 --51.00 Administrative Analyst II (Records Management)70,609 --106,072 5,884 --8,839 33.95 --51.00 Administrative Staff Assistant 60,972 --79,175 5,081 --6,598 29.31 --38.06 Assistant Engineer 88,619 --115,085 7,385 --9,590 42.61 --55.33 Assistant Planner 74,287 --96,486 6,191 --8,041 35.71 --46.39 Associate Engineer 98,476 --127,872 8,206 --10,656 47.34 --61.48 Associate Planner 84,415 --109,638 7,035 --9,137 40.58 --52.71 Building Inspector I 71,642 --93,013 5,970 --7,751 34.44 --44.72 Building Inspector II 80,225 --104,192 6,685 --8,683 38.57 --50.09 Cable TV Station Manager 84,415 --109,638 7,035 --9,137 40.58 --52.71 Code Enforcement Officer 71,167 --92,425 5,931 --7,702 34.21 --44.44 Deputy City Clerk 72,026 --93,574 6,002 --7,798 34.63 --44.99 Engineering Technician 67,552 --87,726 5,629 --7,311 32.48 --42.18 Geographic Information Systems Coordinator 88,603 --115,090 7,384 --9,591 42.60 --55.33 Lead Worker 62,568 --81,268 5,214 --6,772 30.08 --39.07 Maintenance Superintendent 103,175 --133,995 8,598 --11,166 49.60 --64.42 Maintenance Supervisor 79,203 --100,351 6,600 --8,363 38.08 --48.25 Maintenance Worker I/II 54,375 --70,686 4,531 --5,891 26.14 --33.98 Open Space & Trails Manager 94,542 --122,792 7,879 --10,233 45.45 --59.03 Park Ranger 46,705 --60,665 3,892 --5,055 22.45 --29.17 Permit Clerk 53,522 --69,510 4,460 --5,793 25.73 --33.42 Permit Technician 61,085 --79,302 5,090 --6,609 29.37 --38.13 Planning Technician 63,581 --82,540 5,298 --6,878 30.57 --39.68 Principal Planner 105,896 --137,521 8,825 --11,460 50.91 --66.12 Project Manager 98,476 --127,872 8,206 --10,656 47.34 --61.48 Recreation Program Supervisor I 60,972 --79,175 5,081 --6,598 29.31 --38.06 Recreation Program Supervisor II 77,272 --100,351 6,439 --8,363 37.15 --48.25 Recreation Services Manager 90,539 --117,545 7,545 --9,795 43.53 --56.51 Senior Account Technician 69,166 --89,852 5,764 --7,488 33.25 --43.20 Senior Accountant 87,067 --113,987 7,256 --9,499 41.86 --54.80 Senior Administrative Analyst 91,469 --118,817 7,622 --9,901 43.98 --57.12 Senior Code Enforcement Officer 79,700 --103,509 6,642 --8,626 38.32 --49.76 Senior Engineer 110,292 --143,224 9,191 --11,935 53.03 --68.86 Senior Information Technician 94,607 --122,839 7,884 --10,237 45.48 --59.06 Senior Park Ranger 53,092 --68,952 4,424 --5,746 25.53 --33.15 Senior Planner 97,123 --126,144 8,094 --10,512 46.69 --60.65 Staff Assistant I 46,705 --60,676 3,892 --5,056 22.45 --29.17 Staff Assistant II 53,092 --68,952 4,424 --5,746 25.53 --33.15 Traffic Engineering Technician 67,552 --87,726 5,629 --7,311 32.48 --42.18 CONFIDENTIAL POSITIONS Accounting Supervisor 100,918 --131,089 8,410 --10,924 48.52 --63.02 Executive Assistant 71,947 --93,460 5,996 --7,788 34.59 --44.93 Human Resources Analyst 70,601 --106,077 5,883 --8,840 33.94 --51.00 MANAGEMENT POSITIONS Assistant to the City Manager 102,450 --133,038 8,538 --11,087 Building Official 102,116 --172,906 8,510 --14,409 City Clerk 102,116 --172,906 8,510 --14,409 City Manager *226,000 226,000 18,833 --18,833 Deputy City Manager 124,239 --211,082 10,353 --17,590 Deputy Director of Community Development 109,065 --184,668 9,089 --15,389 Deputy Director of Finance 109,065 --184,668 9,089 --15,389 Deputy Director of Public Works 109,065 --184,668 9,089 --15,389 Deputy Director of Recreation & Parks 109,065 --184,668 9,089 --15,389 Director of Community Development 124,239 --211,082 10,353 --17,590 Director of Finance 124,239 --211,082 10,353 --17,590 Director of Parks & Recreation 124,239 --211,082 10,353 --17,590 Director of Public Works 124,239 --211,082 10,353 --17,590 Human Resources Manager 109,065 --184,668 9,089 --15,389 Information Technology Manager 102,116 --172,906 8,510 --14,409 Principal Civil Engineer 102,116 --172,906 8,510 --14,409 OFFICIAL For illustration purposes Annual Salary Monthly Salary Hourly Salary BOTTOM TO TOP Resolution No. 2022-__ Page 1 of 2A-3 Resolution No. 2022-__ Exhibit A Salary and Hourly Schedule for the Competitive, Confidential, Management and Part-time Positions (Effective January 1, 2023) PART-TIME POSITIONS Administrative/Public Works/Cable Intern 15.50 --33.77 Code Enforcement Officer 34.20 --45.52 Park Ranger 19.38 --25.13 Permit Clerk 24.59 --31.94 Recreation Leader 15.50 --20.09 Recreation Leader II 15.69 --19.29 Recreation Specialist 19.38 --25.18 Staff Assistant I 22.99 --29.87 Staff Assistant II 26.16 --33.97 Television Producer 18.68 --37.38 Television Producer (On-Camera)21.14 --42.91 Monthly AUTO ALLOWANCE Amount City Manager 700 Deputy City Manager 150 Director of Community Development 150 Director of Finance 150 Director of Public Works 150 Director of Recreation & Parks 150 * City Manager salary set by contract agreement adopted by the City Council. (contract amended February 1, 2022) OFFICIAL Hourly Rates BOTTOM TO TOP Resolution No. 2022-__ Page 2 of 2A-4 B-1 I I I RESOLUTION NO. 2022-44 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO PALOS VERDES, STATE OF CALIFORNIA, AMENDING, RESTATING, AND SUPERSEDING RESOLUTION NO. 2021-65 THAT CONFIRMS AND ADOPTS THE CITY-WIDE SALARY AND HOURLY COMPENSATION SCHEDULE FOR ALL CITY EMPLOYEES (FULL TIME AND PART TIME), EXCEPT THE CITY MANAGER, EFFECTIVE JULY 2, 2022 WHEREAS, the City Council adopted Resolution 2021-65 on January 1, 2022, that set new salary ranges for part-time classifications based on a state-mandated minimum wage increase; and WHEREAS, the City Council now desires to amend the City's master Salary Schedule to reflect new salary ranges for all employees (full time and part time), except the City Manager, based on cost of living adjustment (COLA) wage increase of three percent (3%) effective the first full pay period of FY 2022-23; and WHEREAS, Section 36506 of the California Government Code requires that the City Council fix the compensation of all appointive officers and employees by resolution or ordinance; and, WHEREAS, Rule V of the Personnel Rules of the City provides that in order to amend the City's Salary Schedule that changes must be made via Resolution; and, NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF RANCHO PALOS VERDES DOES HEREBY FIND, DETERMINE AND RESOLVE AS FOLLOWS: Section 1: The salary and hourly ranges for the City job class.ifications as set forth in Exhibit "A" which are attached hereto and incorporated herein by this reference, are adopted on June 21, 2022 and are effective as of July 2, 2022. Section 2: Resolution No. 2021-65 is hereby amended, restated, and superseded and replaced by this resolution to reflect the new salary ranges for all City employees based on a 3% COLA effective July 2, 2022 (not provided to City Manager). Section 3: This resolution shall be effective on July 2, 2022. The City Clerk shall certify the adoption of this Resolution. B-2 PASSED, APPROVED and ADOPTED this 21 st day of June, 2022. I ~!~)~11,~ Attest: ~4~- =ei-esakadka, City Clerk STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) 55 CITY OF RANCHO PALOS VERDES ) I, Teresa Takaoka, City Clerk of the City of Rancho Palos Verdes, hereby certify that the above Resolution No. 2022-44 was duly and regularly passed and adopted by the said City Council at a regular meeting thereof held on June 21, 2022. ~~~./,.. ~a,ookaXity Clerlr Resolution No. 2022-44 Page 2 of 2 I I B-3 Resolution No. 2022-44 Exhibit A Salary and Hourly Schedule for the Competitive, Confidential, Management and Part-time Positions (Effective July 2, 2022) I OFFICIAL For illustration purposes Annual Salary Monthly Salary Hourly Salary COMPETITIVE POSITIONS BOTTOM TO TOP BOTTOM TO TOP BOTTOM TO TOP Account Clerk 54,557 -70,832 4,546 --5,903 26 23 --34 05 Accountant 79,781 --103,619 6,648 --8,635 38 36 --49 82 Accounting Manager 103,509 --134,434 8,626 --11,203 49 76 -6463 Accounting Technician 61,754 -80,227 5,146 --6,686 29 69 --38 57 Admin1strat1ve Analyst I 70,605 --91,692 5,884 --7,641 33 94 --44 08 Admin1strat1ve Analyst II 70,609 --106,072 5,884 --8,839 33 95 --51 00 Adm1nistrat1ve Analyst II (Records Management) 70,609 --106,072 5,884 --8,839 33 95 --51 00 Admin1strat1ve Staff Assistant 60,972 --79,175 5,081 --6,598 29 31 --38 06 Assistant Engineer 88,619 --115,085 7,385 --9,590 42 61 --55 33 Assistant Planner 74,287 --96,486 6,191 --8,041 35 71 --46 39 Associate Engineer 98,476 --127,872 8,206 --10,656 47 34 --61 48 Associate Planner 84,415 --109,638 7,035 --9,137 40 58 --52 71 Bu1ld1ng Inspector I 71,642 --93,013 5,970 --7,751 34 44 --44 72 Building lns·pedor II 80,225 --104,192 6,685 --8,683 38 57 --50 09 Cable TV Station Manager 84,415 --109,638 7,035 --9,137 40 58 --5271 Code Enforcement Officer 71,167 --92,425 5,931 --7,702 34 21 --4444 Deputy City Clerk 72,026 --93,574 6,002 --7,798 3463 -44 99 Engineenng Technician 67,552 --87,726 5,629 --7,311 3248 --42 18 Geographic Information Systems Coordinator 88,603 --115,090 7,384 --9,591 42 60 --55 33 Lead Worker 62,568 --81,268 5,214 --6,772 30 08 --39 07 Maintenance Superintendent 103,175 --133,995 8,598 --11,166 4960 --6442 Maintenance Supervisor 79,203 --100,351 6,600 --8,363 38 08 --48 25 Maintenance Worker 1/11 54,375 --70,686 4,531 --5,891 2614 --33 98 Open Space & Trails Manager 94,542 --122,792 7,879 --10,233 4545 --59 03 Park Ranger 46,705 --60,665 3,892 --5,055 2245 --29 17 Permit Clerk 53,522 --69,510 4,460 --5,793 25 73 --33 42 Permit Technician 61,085 --79,302 5,090 --6,609 29 37 --38 13 Planning Technician 63,581 --82,540 5,298 --6,878 30 57 --39 68 I Principal Planner 105,896 --137,521 8,825 --11,460 50 91 --6612 Proiect Manager 98,476 --127,872 8,206 --10,656 47 34 --6148 Recreation Program Supervisor I 60,972 --79,175 5,081 --6,598 29 31 --38 06 Recreation Program Supervisor II 77,272 --100,351 6,439 --8,363 3715 --48 25 Recreation Services Manager 90,539 --117,545 7,545 --9,795 43 53 --56 51 Senior Account Technician 69,166 --89,852 5,764 --7,488 33 25 --4320 Senior Accountant 87,067 --113,987 7,256 --9,499 41 86 --54 80 Senior Admin1strat1ve Analyst 91,469 118,817 7,622 9,901 43 98 5712 Senior Code Enforcement Officer 79,700 --103,509 6,642 --8,626 38 32 --49 76 Senior En·gineer 110,292 --143,224 9,191 --11,935 53 03 --68 86 Senior Information Technician 94,607 --122,839 7,884 --10,237 4548 --59 06 Senior Park Ranger 53,092 --68,952 4,424 --5,746 25 53 --33 15 Senior Planner 97,123 --126,144 8,094 --10,512 4669 --60 65 Staff Assistant I 46,705 --6Q,676 3,892 --5,056 2245 --29 17 Staff Assistant II 53,092 --68;952 4,424 --5,746 25 53 --33 15 Traffic Engineering Technician 67,552 --87,726 5,629 --7,311 324.8 --42 18 CONFIDENTIAL POSITIONS Accounting Supervisor 100,918 --131,089 8,410 --10,924 48 52 --63 02 Executive Assistant 71,947 --93,460 5,996 --7,788 34 59 --44 93 Human Resources Analyst 70,601 --106,077 5,883 --8,840 33 94 --51 00 MANAGEMENT POSITIONS Assistant to the City Manager 102,450 --133,038 8,538 --11,087 Building Official 102,116 -172,906 8,510 --14,409 City Clerk 102,116 --172,906 8,510 --14,409 City Manager * 226,000 226,000 18,833 --18,833 Deputy City Manager 124,239 --211,082 10,353 --17,590 Deputy Director of Community Development 109,065 --184,668 9,089 --15,389 Deputy Director of Finance 109,065 --184,668 9,089 --15,389 I Deputy Director of Public Works 109,065 --184,668 9,089 --15,389 Deputy Director of Recreation & Parks 109,065 --184,66& 9,089 --15,389 Director of Community Development 124,239 --211,082 10,353 --17,590 Director of Finance 124,239 --211,082 10,353 --17,590 Director of Parks & Recreation 124,239 --211,082 10,353 --17,590 Director of Public Works 124,239 --211,082 10,353 --17,590 Human Resources Manager 109,065 --184,668 9,089 --15,389 Information Technology Manager 102,116 --172,906 8,510 --14,409 Principal C1v1I Engineer 102,116 --172,906 8,510 --14,409 Re·solut1on No. 2022-44 Page 1 of 2 B-4 Resolution No. 2022-44 E_xhibit A Salary and Hourly Schedule for the Competitive, Confidential, Management and Piirt-time Positions (Effective July 2, 2022) PART-TIME POSITIONS Admm1strat1ve/Pubhc Works/Cable Intern Code Enforcement Officer Park Ranger Permit Clerk Recreation Leader Recreation Leader II Recreation Specialist Staff Assistant I Staff Assistant II Telev1s1on Producer Telev1s1on Producer (On-Camera) AUTO ALLOWANCE City Manager Deputy City Manager Director of Community Development Director of Finance Director of Public Works Director of Recreation & Parks OFFICIAL Hourly Rates BOTTOM TO TOP 15 45 --33 77 3420 -45 52 19 38 -2513 24 59 --31 94 15 45 --20 09 15 69 --19 29 19 38 --2518 22 99 --2987 26 16 --33 97 18 68 --37 38 21 14 --42 91 Monthly Amount 700 150 150 150 150 150 • City Manager salary set by contract agreement adopted by the City Council (contrac,t amended February 1, 2022) Resolution No 2022-44 Page 2 of 2 I I I