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4.11. SR 12-17-2018 EGty1� ,.,�� Request for Action River To Item Number Mayor and City Council 4.11 Agenda Section Meeting Date Prepared by Consent December 17, 2018 Lauren Wipper, Human Resources Manager Item Description Reviewed by 2019 Compensation Plan Cal Portner, City Administrator Reviewed by Action Requested Adopt,by motion, a resolution approving the 2019 Compensation Plan for Non-Organized Employees. Background/Discussion Attached is the 2019 Compensation Plan for Non-Organized Employees. Changes include: ■ 3% pay increase—Budgeted for 2019 and reflected in item #1 and the Pay Plan on the final page of the document. It is also reflected in pay for paid on-call firefighters,part-time cablecaster, part-time liquor clerks, and police reserves. ■ Wastewater Systems Operator—Operators have been paid based on their license; they do not receive annual step increases as all other employees. This change will provide for an annual step or an increase based on their license each year until they reach the top of the pay scale. ■ Step increases —As part of the new compensation plan that was approved in July of this year, employees hired or promoted July 1, 2018, or later,will receive a step increase,per policy, on the employee's anniversary dates rather than on July 1" of each year. This, and the adjusted pay rates, should help prevent initial 6 month pay increases. ■ Minimum wage—The state minimum wage increases to $9.86 per hour on January 1, 2019. Any positions paid below that amount have been adjusted. ■ Duty officer pay—This has been budgeted but omitted from the plan in past years. ■ Part-time pay—Public Works has requested two new seasonal positions. Neither change the budgeted seasonal wages. Pay for both of these positions is comparable with cities surveyed. o The laborer position is needed this snow season. It is difficult to fill winter seasonal positions because our pool of candidates tends to be laid-off construction workers and landscape professionals and we complete with snow plowing companies. The pay rate is reflective of this challenge. o The plow operator position is not expected to be needed until the 2019/20 or 2020/21 snow season. ■ Part-time liquor clerk pay o Liquor Clerks hired before September 1, 2005,will receive a 3% pay increase. o We have had a lot of trouble hiring and retaining liquor clerks. We are adjusting the pay scale for clerks hired after September 1,2005, to be more competitive in the market. ■ Minimum hours for insurance coverage—The Affordable Care Act requires coverage for employees who work 30 hours per week or more. We have been practicing this but have not made the change official in our documents until now. The Elk River Vision A PehoMing community 2a itb revolutionary and spirited resourcefulness, exceptional POWERED By service, and community engagement that encourages and inspires prosperity INAMIRE1 ■ Flexible Benefits Plan contribution—Approved at the October 15, 2018, Council meeting. Financial Impact All of the compensation plan costs are accounted for in the Council-approved 2019 budget. Attachments ■ Resolution ■ 2019 Compensation Plan for Non-Organized Employees City of k :El --.� River Resolution 18- A Resolution of the City of Elk River Adopting the 2019 Compensation Plan for Non-Organized Employees NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Elk River, Minnesota, as follows: The attached Compensation Plan be approved and adopted effective December 23, 2018. Passed and adopted this 171h day of December, 2018. John J. Dietz,Mayor ATTEST: Tina Allard, City Clerk PawIREO 01 NAtUREJ CITY OF ELK RIVER 2019 COMPENSATION PLAN FOR NON-ORGANIZED EMPLOYEES PAY Pay Ranges 1. All current pay ranges of the approved City Pay Plan shall increase three percent (3%) effective the first pay period of January 2019 which begins on December 23, 2018. 2. Waste Water Treatment Operators shall qualify for regular annual step increases with satisfactory performance. Operators may qualify for earlier step increases based on obtaining a higher level license as follows: License Step - A D B C C B D-E With satisfactory performance and once a license has been obtained, the employee shall immediately move to the lowest step for that license. Employees who receive a step increase for obtaining a higher license are not eligible for an annual step increase until after one year of receiving the license-based step. Annual steps will be given in accordance with item #3 below. Step Increases 3. All non-union full-time and eligible part-time employees hired or promoted before July 1, 2018, and receiving a satisfactory rating on their performance review will move up one step in their pay range effective the first pay period of July 2019,which begins June 23, 2019. All non-union full-time and eligible part-time employees hired or promoted July 1, 2018, or later and receiving a satisfactory rating on their performance review will move up one step in their pay range on their anniversary date. All orientation period employees will receive increases as stated in their employment letter. If no special provision was outlined in the employment letter, the employee shall receive the first step increase on the date noted above provided they have successfully passed Orientation and are performing satisfactorily. Part-Time Pav 4. Effective January 1, 2019, Paid On-Call Firefighters shall be paid in accordance with the following schedule: Position Hourly Probationary Firefighter $ 9.86 Firefighter $14.30 Lieutenant $14.80 Captain $15.30 District Chief $15.80 Assistant Chief $16.30 Additional Educational Incentive Pay shall be paid as approved by the City Council on October 27, 1997. Officers who serve on-call as Duty Officer shall be paid $4.50 for each hour of on-call duty. 5. Fire Academy Instructors shall be paid according to the following schedule: Assistant Instructor $25.00 per hour Lead Instructor $30.00 per hour 6. Part-time Cablecaster shall be paid $14.94 per hour effective December 23, 2018. 7. Part-Time Police Reserves are required to serve in both a volunteer and a paid capacity. Effective January 1, 2019, Police Reserves shall be paid $15.94 per hour for the hours that are to be paid as determined by the Police Chief. 8. Part-Time, Seasonal and Temporary Park and Recreation and Public Works employees shall be paid in accordance with the following schedule: Maximum Annual Hourly Position Hourly Increase Recreation Program Assistant $9.86 - 11.00 $ .25 Recreation Program Lead $10.50- 15.00 $ .50 Recreation Program Supervisor $12.00- 17.00 $ .50 Warming House Attendant $9.86 Recreation Building Supervisor $12.00- 17.00 $ .50 Office Worker-Activity Center $12.00- 17.00 $ .50 Seasonal Park Laborer $12.00- 15.00 $ .75 Seasonal Street Laborer $12.00- 15.00 $ .75 Winter Public Works Laborer $15.00 - $17.00 $ .75 Seasonal Snow Plow Operator $18.00 - $21.00 $ .75 Seasonal Wastewater Laborer $12.00- 15.00 $ .75 Ice Arena Worker/Ice Resurfacer $12.00- 15.50 $ .50 Ice Arena Worker $10.50- 12.00 $ .50 Ice Arena Cashier $11.00- 14.00 $ .50 Ice Arena Concession Clerk $10.75 - 13.75 $ .50 Ice Arena Concession Lead $11.75 - 14.75 $ .50 Hockey Instructor $10.00- 13.00 $ .50 Hockey Pro (player at college level) $20.00-22.00 $ .50 Skating Academy Instructor One $11.50- 13.00 $ .50 Skating Academy Instructor Two $13.00- 17.00 $ .50 Skating Academy Instructor Three $17.00-22.00 $ .50 Skating Academy Director $22.00-28.00 $ .50 Starting Pam At the city's discretion,when hired, employees may be granted an amount equivalent to the Maximum Annual Hourly Increase for each year of related education or previous work experience. Annual Hourly Increase Recreation Program Assistant,Program Lead,Program Supervisor,Building Supervisor, and Office Worker—Activity Center employees may receive an increase once per year at the City's discretion. Seasonal Park Laborer, Seasonal Street Laborer,Winter Public Works Laborer, Seasonal Snow Plow Operator, and Seasonal Wastewater Laborer employees may receive an increase at the beginning of the season at the city's discretion. If an employee returns for another season in the same calendar year, they are not eligible for another increase. Ice Arena Worker/Ice Resurfacer,Ice Arena Worker, Cashier, Concession Clerk, and Concession Lead employees may receive an increase for each additional year the employee works for the Ice Arena. Increases will be given on the first day of the first full pay period of the calendar year at the city's discretion. Skating Academy and Hockey Program employees may receive an increase for each additional year the employee works for the Ice Arena. Increases will be given at the beginning of each summer program session (June) at the city's discretion. Skating Academy Assistant Skating Academy Director—At the beginning of each session, the Skating Academy Director shall assign one instructor to be Assistant Skating Academy Director. Off Ice Time—Includes time spent planning lessons and skating programs,meetings, and any other activity that is not performed on the ice. The Skating Academy Director shall be paid 60% of his/her regular wage for off ice time which shall not exceed one half hour for each hour spent on ice. The Assistant Director shall be paid 50% of his/her regular wage for off ice time which includes off ice activities performed as Acting Director and required meetings with the Arena Manager and/or Skating Academy Director. If the off- ice wage falls below minimum wage, minimum wage will be paid for off ice time. 9. Effective December 23, 2018, Part-Time Liquor Store Clerks shall be paid in accordance with the following schedule: Hired before September 1, 2005: $19.54 Hired September 1, 2005 and after: A B C D E 12.12 13.21 14.30 15.39 16.48 Part-Time Liquor Store Clerks will move up one step on their anniversary date based on satisfactory performance. On Call Pay 10. Wastewater Operators are assigned on call duties for periods of one week. The on call operator will be compensated five hours of overtime/compensatory time on Saturday and five hours of overtime/compensatory time on Sunday. The on call duties include responding to after-hours emergency callouts and performing required duties at the Wastewater Treatment Facility on Saturday, Sunday,and any holidays that fall within the assigned week. Premium Pay 11. Non-union snow plow operators working on snow removal duties on Saturdays and Sundays will receive one and one half times their regular rate of pay for their hours worked. 12. Police department clerical employees required to type reports on a Sunday shall receive one and one half times their regular rate of pay for their hours worked. Out of Class Pav 13. Ice Arena Worker/Ice Resurfacers assigned as a shift leader when the Arena Manager, Arena Maintenance Supervisor, or Arena Lead Worker are not working will be paid an additional$2.00 an hour for serving as Arena Shift Leader. 14. Any employee who is assigned to operate a snow plow truck who does not operate a snow plow truck as part of his/her regular position with the city shall be paid at their current rate of pay or pay grade 5N of the City Pay Plan,whichever is greater, for these snow removal hours. Employees utilizing pay grade 5N for this provision shall begin at step A and receive a step increase at the beginning of each snow season that they are assigned to perform snow plowing duties. INSURANCE BENEFITS 15. All regular full-time employees are eligible for insurance benefits. Part-time employees scheduled to work 30 or more hours per week are eligible for prorated insurance benefits. Seasonal and temporary employees are not eligible for insurance benefits. 16. Employees eligible for insurance benefits are eligible for participation in the city's Flexible Benefits Plan. The contribution levels shall be as follows: Health Insurance Election Monthl�ty Contribution Single $606.00 Employee & Child(ren) $1,116.00 Employee & Spouse $1,165.00 Family $1,601.00 Opt-out $300.00 17. Paid On-Call Firefighters who are not full-time city employees shall be provided $10,000 Life Insurance coverage. OTHER 18. The City Council may make adjustments in any section of the Pay Plan at any City Council meeting for any reason including performance incentives, state or federal law changes, the Pay Equity Law, or any other reason the Council deems appropriate. 19. All employees who are members of the Law Enforcement Labor Services, Locals 231 and 271, or the International Union of Operating Engineers, Local 49, shall receive compensation and benefits as outlined in the Master Labor Agreement between the city and the union. 20. A Wage Incentive Program is offered to employees holding a Captain position in the police department. Participation is on a voluntary basis. An employee will earn the following amounts provided that the employee meets the established guidelines for all the identified categories. After five (5) years of service—up to 3% of employee's base wage rate After nine (9) years of service—up to 4.5% of employee's base wage rate After thirteen (13) years of service—up to 6% of employee's base wage rate After seventeen (17) years of service—up to 7.5% of employee's base wage rate City of Elk River 2019 Pay Plan Effective December 23, 2018 Grade A B C D E Levels Minimum Maximum 1E $141,146 $145,067 $148,988 $152,908 $156,829 2E $114,282 $117,457 $120,631 $123,806 $126,980 3E $94,832 $99,015 $103,199 $107,383 $111,567 4E $83,967 $87,672 $91,376 $95,081 $98,785 5E $73,920 $77,181 $80,442 $83,703 $86,964 6E $68,554 $71,578 $74,603 $77,627 $80,652 7E $57,033 $59,549 $62,065 $64,581 $67,098 1N $90,705 $93,224 $95,744 $98,263 $100,783 $43.61 $44.82 $46.03 $47.24 $48.45 2N $68,949 $71,991 $75,033 $78,075 $81,117 $33.15 $34.61 $36.07 $37.54 $39.00 3N $55,068 $58,510 $61,952 $65,394 $68,835 $26.48 $28.13 $29.78 $31.44 $33.09 4N $51,077 $54,269 $57,461 $60,654 $63,846 $24.56 $26.09 $27.63 $29.16 $30.70 5N $47,919 $51,397 $54,875 $58,353 $61,831 $23.04 $24.71 $26.38 $28.05 $29.73 6N $39,649 $42,953 $46,257 $49,562 $52,866 $19.06 $20.65 $22.24 $23.83 $25.42