07-11-1995 FSTFSR MIN • MEETING OF THE ELK RIVER FIRE DEPARTMENT
COMPENSATION TASK FORCE
HELD AT THE ELK RIVER FIRE STATION
TUESDAY, JULY 11, 1995
Members Present: Bob Pearson, Randy Sykes, Cliff Skogstad,Tom Dillon, Lori Johnson
Members Absent: Hank Duitsman
The meeting of the Elk River Fire Department Compensation Task Force was called to
order at 6:30 p.m., by Randy Sykes.
Randy indicated that at the June 29 Fire Department meeting, the firefighters had
discussed at length the compensation package the City Council had approved on April
3, 1995. Randy indicated that the vote of the membership was 25 against, one in favor.
The membership requested that the pension plan remain as defined benefit and that the
Task Force negotiate a wage increase with the City Council. The membership requested
that its representatives on the Task Force not proceed with presenting any proposal for a
defined contribution plan.
Lori questioned whether the Mayor's proposal was presented to the firefighters and
voted on by the membership. Bob Pearson indicated that parts of the letter were
discussed, however, the fire membership representatives on the Task Force did not feel
• that the letter met the guidelines set by the department, therefore, it was not presented
in its entirety, nor was it presented for a vote.
Randy distributed a sheet showing the comparison of compensation packages. His
computations indicate that for 1994, the offer approved by the City Council would be an
increase of approximately$3,000. However, in years 1991, 1992, and 1993, there would
have been a decrease in the amount of retirement benefits received. Lori requested
that she and Randy meet to discuss the information presented so that the Council can
see how their proposal would compare to previous years payments. Lori indicated that it
was not the Mayor's nor the Council's intent to decrease the amount of benefits paid to
the firefighters.
Randy indicated concerns over some information in a memo authored by Lori which was
presented to the Council for the April 3 meeting. His concerns related to the pay
resolution and a statement in the memo that being included in the pay resolution does
not guarantee a pay increase. Lori explained to the Task Force that no city employees,
with the exception of union employees with a multi-year contract, are guaranteed a pay
increase from one year to the next. The Council is not obligated to approve a pay
increase for any group of employees. The firefighters would receive the same
consideration for a pay increase as would other employees.
There was also discussion on a comment made about the pay resolution as it related to
the liquor store employees. Lori had earlier indicated that the firefighters could have a
separate provision in the pay resolution which would apply just to firefighters. The liquor
store employees currently have a separate provision in the pay resolution. Some of the
• Task Force members interpreted this to be a comparison between firefighters and liquor
Fire Compensation Task Force Minutes Page 2
July 11, 1995
store employees. Lori clarified that there is no comparison between liquor store clerks
Sand firefighters, and that the comment was made just as a matter of formatting how the
pay resolution was to be presented. Lori requested that the fire membership be made
aware that there is no comparison between liquor store employees and firefighters and
that there was never any intent to compare the two employee groups.
Some of the issues of concern to the firefighters in changing to a defined benefit include
the possibility of split shifts and restructuring within the Fire Department which would limit
the number of hours each firefighter would be allowed to respond. The firefighters are
no longer in favor of including the city's contribution as part of the hourly rate which was
the concept when requesting $22.25 per hour. The firefighters felt that because their
hours could be limited due to internal restructuring, their annual pension amount would
decrease. The firefighters requested that no change take place in the pension plan until
all the restructuring was in place.
There were also several other issues of concern to the Fire Department. One of the issues
was the 1995 city contribution of$17,500. Randy indicated that he was not aware of the
decrease and felt that it was inappropriate since there were more firefighters on the
department roster now than in 1994.
Firefighters indicated concern over the fact that the$8.00 per hour rate had not been
increased for over ten years. Lori indicated that discussions had taken place with the fire
chief in the past regarding whether or not this needed to be adjusted. City staff had
always been told that the per hour rate was appropriate and that the firefighters were
more concerned about their retirement benefits. The firefighters plan to request an
increase in the hourly rate of pay.
4110 The members of the Task Force requested that a follow up meeting be scheduled for
August. The purpose of the August meeting is to discuss the request of the membership
to negotiate a wage increase. Lori indicated that she would contact the Mayor
regarding setting up an August meeting.
Respectfully submitted,
Lori Johnson
Assistant City Administrator
•