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2.5. ERMUSR 06-11-2013 4Se.4Elk Diver Municipal Utilities UTILITIES COMMISSION MEETING TO: FROM: Elk River Municipal Utilities Commission: ERMU Wage & Benefits Committee: John Dietz—Chair John Dietz—Chair Al Nadeau—Vice Chair Troy Adams, P.E. —General Manager Daryl Thompson—Trustee Theresa Slominski —Finance and Office Manager Mark Fuchs—Electric Superintendent MEETING DATE: AGENDA ITEM NUMBER: June 11, 2013 2.5 SUBJECT: Minnesota Pay Equity Compliance BACKGROUND: In February 2012 we filed our 2012 Pay Equity Compliance Report, per Local Government Pay Equity Act, M.S.471.991-471.999 and Minnesota Rules, Chapter 3920 requiring local jurisdictions to submit a pay equity report to the State of Minnesota every three years. At that time we were out of compliance and the wage committee was charged with meeting to propose changes to bring us back into compliance. DISCUSSION: The Wage& Benefits Committee met in June 2012 and a compliant report was achieved, and we were instructed by the state to wait for the official letter to re-submit. We received notice February 27th, 2013 that we had until May 25th, 2013 to submit a new compliant report, with updated current information. The State has allowed an extension to accommodate ERMU's Commission meeting schedule for ERMU Commission concurrence in the filing of the report. Updating the report required the additions of new positions and changes to the points of existing positions that had job responsibility changes since the previous filing. The Wage Committee met again on June 5, 2013, to review all the details leading into the rewritten report which reflects the new positions and changes. With all of the updates, the revised 2012 Pay Equity Compliance Report meets the requirements and ERMU is in compliance. FINANCIAL IMPACT: The changes with the recently added positions and revised job responsibilities do not have an impact to the budget as approved in December 2012. ACTION REQUESTED: The Wage& Benefits Committee recommends that the Commission approve this updated pay equity report filing for 2012. ATTACHMENTS: • ERMU's revised 2012 Pay Equity Compliance Report �a. POBEOEO Bt 3 Page 1 of 1 NATURE Reliable Public Power Provider Pay Equity Implementation Report 61612013 Part A:Jurisdiction Identification Jurisdiction: Elk River Municipal Utilities Jurisdiction Type: Utility 13069 Orono Parkway Elk River, MN 55330 Contact: Theresa Slominski Phone: (763)441-2020 E-Mail:tslominski @elkriverutilities.com Part B:Official Verification 1. The job evaluation system used measured skill, effort 3. An official notice has been posted at: responsibility and working conditions and the same Elk River Municipal Utilities Offices system was used for all classes of employees. (prominent location) The system used was: informing employees that the Pay Equity Description: Riley, Dettmann&Kelsey LLC Job Implementation Report has been filed and is Evaluation System available to employees upon request. A copy of the notice has been sent to each exclusive representative, if any,and also to the public library. The report was approved by: Elk River Municipal Utilities Commission 2. Health Insurance benefits for male and female classes of (governing body) comparable value have been evaluated and: John Dietz (chief elected official) Commission Chair (title) Part C: Total Payroll © Checking this box indicates the following: -signature of chief elected official -approval by governing body $2,466,941.00 -all information is complete and accurate, and -all employees over which the jurisdiction has is the annual payroll for the calendar year just ended final budgetary authority are included December 31. Date Submitted: 6/11/2013 Compliance Report Jurisdiction: Elk River Municipal Utilities Report Year: 2012 13069 Orono Parkway Case: 19-2012 2013 Current Data 2(Private(Jur Only PO Box 430 Elk River MN 55330 Contact: Theresa Slominski Phone: (763)441-2020 E-Mail: tslominski @elkriverutilities.com The statistical analysis,salary range and exceptional service pay test results are shown below. Part I is general information from your pay equity report data. Parts II, Ill and IV give you the test results. For more detail on each test, refer to the Guide to Pay Equity Compliance and Computer Reports. I.GENERAL JOB CLASS INFORMATION Male Female Balanced All Job Classes Classes Classes Classes #Job Classes 17 5 1 23 #Employees 26 10 3 39 Avg. Max Monthly 6,295.59 4,551.50 5,747.37 Pay per employee II.STATISTICAL ANALYSIS TEST A. Underpayment Ratio= 80.88 * Male Female Classes Classes a.#At or above Predicted Pay 6 1 b.#Below Predicted Pay 11 4 c.TOTAL 17 5 d.%Below Predicted Pay 64.71 80.00 (b divided by c=d) *(Result is%of male classes below predicted pay divided by%of female classes below predicted pay.) B. T-test Results Degrees of Freedom(DF)= 34 Value of T= 2.557 a.Avg. diff. in pay from predicted pay for male jobs= $22 b.Avg.diff. in pay from predicted pay for female jobs= ($92) III.SALARY RANGE TEST= 95.29 (Result is A divided by B) A. Avg.#of years to max salary for male jobs= 4.76 B. Avg.#of years to max salary for female jobs= 5.00 IV. EXCEPTIONAL SERVICE PAY TEST= 0.00 (Result is B divided by A) A. %of male classes receiving ESP 0.00 * B. %of female classes receiving ESP 0.00 *Of 20%or less,test result will be 0.00)