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HomeMy WebLinkAbout24- City Administrator CITY OF SAN BERN ^ RDINO - REQUEST F -R COUNCIL ACTION From: Fred Wilson, Asst . City Admin. Subject: Authorize one additional -- Recreation Program Coordinator Dept: City Administrator (Mentoring Program) -- Parks , Recreation, Community Services Date: January 12, 1995 position. Synopsis of Previous Council action: 01/12/95 -- One additional position of Recreation Program Coordinator (Mentoring Program) in the Parks , Recreation, Community Services Department was recommended for approval by the Council Personnel Committee . Recommended motion: That one position of Recreation Program Coordinator/Mentoring Program be established in the Parks, Recreation and Community Services Department for a one-year period, at Range 1269, $1,698 - $2, 064 and that the Director of Personnel be authorized to update Resolution No. 6433 . Signature Contact person: Fred Wilson Phone: 5122 Supporting data attached: Yes Ward: FUNDING REQUIREMENTS: Amount: $26 , 837. 00 Source: (Acct. No.) (Acct. Description) Rental Housing Budget Finance: Council Notes: 75-0262 Agenda Item No.— 7 One position of Recreation Coordinator was approved for funding by the Mayor and Common Council on November 21, 1994 as part of the Late Night Hoops and Mentoring/Tutoring Program. This action was a result of recommendations by the Youth Committee which was comprised of members of City Council, City staff and the I.C.U.C. (Inland Congregations United for Change). The Youth Committee reviewed the concept of developing a Mentoring Coordinator position to work with San Bernardino City Unified School District to recruit, train, and assign volunteers to work as mentors with intermediate school students. The Mentoring proposal was based on a similar proposal developed by this department as part of the City's Federal Enterprise Zone Grant proposal. A description of responsibilities of the position is provided in the attached I.C.U.C. proposal. The cost of funding this position for a period of one-year is as follows: One (1) Recreation Coordinator, Range 1269, $1,698 - $2,064 month. Total compensation for one-year, including salary (six months at Step 1 and six months at Step 2) and variable benefits of $28.50%, equals $26,837. The funding for this position was previously approved by the Mayor and Common Council for a one-year period. An evaluation of the program will be conducted as the one-year funding comes to a close. CITY OF SAN SERNr -1DINO - REQUEST Fe- I COUNCIL ACTION BARBARA DILLON POSITIONS RELATIVE TO From: Subject: RENTAL HOUSING CER- Dept: PERSONNEL TIFICATION PROGRAM Date: JANUARY 12, 1995 Synopsis of Previous Council action: • On December 19, 1994, the Mayor and Common Council approved a twelve-month pilot proposal for inspection and certification of rental housing units. • On January 12, 1995, the Council Personnel Committee recommended this item for approval. Recommended motion: Establish the following positions to be funded for a period of 12 months from date of hire: 1. Housing Inspector, Range 1354, $2,595 - $3,154/month, (4) positions. 2. Senior Housing Inspector, Range 1373, $2,853 - $3,467/month, (1) position. 3. Business Registration Inspector, Range 1314, $2,125 - $2,583/month, (1) position. 4. Account Clerk I, Range 1247, $1,522 - $1,850/month, (1) position. 5. Typist Clerk II, Range 1247, $1,522 - $1,850/month, (1) position. 6. Typist Clerk III, Range 1267, $1,681 - $2,044/month, (1) position. Establish the following positions to be funded for up to six (6) months from date of hire: 1. Intern, (Part-Time, Temporary), Salary: $10.00/hour, five (5) positions. Signature Contact person: Barbara Dillon Phone: 384-5161 Supporting data attached: Yes Ward: FUNDING REQUIREMENTS: Amount: $369,396 Source: (Acct. No.) Rental Housing Budget (Acct. Description) Finance: Council Notes: 3/�}— 75-0262 Agenda Item No. 67�y✓ v �.. . ..�.. �- �..�. ►,� ► � �- iK L;UUNCIL ACTION From: Tom Minor, Mayor Subject: Authorize compensation and benefits Dept: increase for City Administrator Date: January 23 , 1995 Synopsis of Previous Council action: 1/ 12/95 -- Compensation and benefits increase for City Administrator recommended for approval by Council Personnel Committee. 1• That the Director of Personnel be instructed to amend Resolution No. 6413 to place the position of City Administrator in Range 4606; 2. That the City Administrator be appointed to Range 4606, Step 3, ($120,557/annually) effective February 1, 1995, with advancements to Steps 4 and 5 not to exceed 5% per Step and based upon a performance evaluation performed by the Mayor; 3• That the previously accrued benefits of the City Administrator remain intact and that future benefits continue to accrue in the same manner as with other management employees; 4. That a City owned printer and fax machine be authorized to the City Administrator for home use and to be returned to the City in the event of resignation or termination. A Li` Signature 3ontact person: mom Minor., Mayor Phone: 5051 Supporting data attached: yec Ward: FUNDING REQUIREMENTS: Amount: Source: (Acct. No.) -[Acct. Description) Finance: Council Notes: i j-3 �_` 75-0262 Agenda Item CITY OF SAN BERNA' DINO - REQUEST FC . COUNCIL ACTION STAFF REPORT I since appointment in 1990, the city administrator has remained in the same pay range. When other employees received salary adjustments in 1992 , the city administrator voluntarily gave up an 11% increase. Not only is the present salary far below those within other cities in the Inland Empire (see attached) , with the raises granted at the end of 1994, some positions subordinate to the city administrator receive higher salaries. It is recommended that the city administrator's salary be established at Range 4600, step 3. ($9757 monthly, $117, 084 annually) . As with other management employees, advancement beyond Step 3 would be approved by a performance evaluation prepared by the Mayor. This range was selected because it is commensurate with what the city administrator would have received had a raise been accepted in 1992 and fits in with internal relationships in the City. Range 4600 is equivalent to the range for the General Manager of the Water Department (top step-$10,748 month, $128,976 per year) and places the city administrator's salary at $117,084 per year which is 4% above the top step salary of the Administrator of the Economic Development Agency ($9395 monthly, $112,740 per year) Both the General Manager of the Water Department and the EDA Agency Administrator receive vehicles. In lieu of a vehicle, it has been requested that an annual payment of $7500 be made to the city administrator's deferred compensation fund. Most city administrators receive a contract with a severance i package. In lieu of this benefit, the city administrator requests a council motion confirming that the benefit package (vacation accruals, sick leave accruals, payoff provisions, health insurance, etc. ) will continue to be commensurate with that which is received by other management employees. The city administrator does a great deal of work at home on weekends and after hours. It is therefore requested that the city purchase a fax machine as well as a printer for home use. The city administrator' s personal computer has already been placed in use for the city. COMPARABLE SALARIES OF CITY ADMINISTRATORS/MGRS IN MEDIUM SIZED INLAND EMPIRE CITIES (Info gathered by Personnel, September 94) City Population Salary Car or allow. Moreno Valley 133 , 706 $129, 909 Y Ontario 140, 000 $120, 429 Y Rancho Cucamonga 112, 000 $122, 061 Y ($115, 152 plus 6% def comp) Riverside 242, 000 $136,512 Y Victorville 53, 000 $129, 329 Y ($120,829 plus $7500 deferred comp) San Bernardino 186,000 $104,628 Y C I T Y OF S A N B E R N A R D I N O INTEROFFICE MEMORANDUM FINANCE DEPARTMENT iltTO: FRED WILSON, ASSISTANT CITY ADMINISTRATOR r FROM: BARBARA PACHON, DIRECTOR OF FINANCE DATE: January 23 , 1995 SUBJECT: COPIES: In response to your questions regarding the IRS issues raised on Shauna's compensation package, we contacted the IRS in Washington, D.C. We spoke to Judy Alden and Cheryl Press at 202-622-6030. The following is the information obtained from Judy and Cheryl: The City is exempt from the highest paid executive rule as a municipality (Section 4a, 1974 ERISA) . It is not a problem with the IRS to have the employer contribute to Deferred Compensation for the employee as long as no more than $7, 500 is contributed by the employee and employer combined. We would have to report this contribution on the employee's W-2 and we would have to look at W-2 instructions to see how to do this. We also spoke to Great Western about our Deferred Compensation plan. They also did not see a problem with the compensation package as long as the Deferred Compensation contribution was voluntary and did not exceed $7, 500. Great Western said they would send some recommended language to be used if we needed it. 4(c C I T Y OF S A N B E R N A R D I N O INTEROFFICE MEMORANDUM CITY ADMINISTRATOR'S OFFICE DATE: January 20, 1995 TO: Mayor Tom lAssistant or FROM: Fred Wils City Administrator SUBJECT: Agenda Item No. 24 (c) -- City Administrator's Compensation and Benefits COPIES: ------------------------------------------------------------------ Diane Roth, in her January 19, 1995 memorandum, outlined a couple of issues relative to Motion #4 which addresses the salary benefits of the City Administrator. Specifically, this motion states: "That in lieu of a car or allowance, the sum of $7,500 annually, payable bi-monthly, be placed in the City Administrator's deferred compensation account. " I talked to Roy A. Leff, Vice President of Deferred Compensation at Great Western Bank, (currently the City's Deferred Compensation Plan provider) about whether implementing this proposal would call into question the tax exempt status of the City's entire deferred compensation plan. He indicated that this proposal would not affect in any way the City's deferred compensation program status. 14 C I T Y OF S A N B E R N A R D I N O 'V�J_n17v CL_77 K INTEROFFICE MEMORANDUM '95 JAN 20 P2 :42 TO: Mayor Tom Minor FROM: James F. Penman, City Attorney DATE: January 19, 1995 RE: 1/23/95 Agenda Item No. 24 (C) , Motion #4 COPY TO: Council Members, City Clerk, City Treasurer, City Administrator The attached memorandum of this date from Diane Roth explains the possible problems on the above-referenced agenda item. Our office law library does not have the Federal Tax Regulations and we will not be able to begin research on this issue at the County Law Library until tomorrow at the earliest. Even then we might need the opinion of a tax lawyer. Mr. Barlow and Ms. Roth have recommended that if the motion was to provide a car allowance of $625 per month the sum of $7, 500 annually would be paid to the City Administrator. The City Administrator could then place an additional $625 per month into deferred compensation from her salary, or any other amount she may wish up to the maximum allowable for deferred compensation, and the questions raised in Ms. Roth's memo would be irrelevant. Please advise me if you wish to handle it this way or if you wish us to commence the legal researc on these issues. � �A ES F. PENMAN ��C'ty Attorney Attachment JFP/js (Mayor.Mem) � 26 i a��ys C I T Y OF S A N B E R N A R D I N O INTEROFFICE MEMORANDUM TO: JAMES F. PENMAN, City Attorney FROM: DIANE CATRAN ROTH, Deputy City Attorney DATE: January 19, 1995 RE: 1/23/95 Agenda Item No. 24 (C) , Motion #4 Item No. 24(C) on the agenda for the 1/23/95 Council meeting contains five ( 5 ) motions which increase the salary and benefits of the City Administrator. Motion #4 states: "That in lieu of a car or allowance, the sum of $7, 500 annually, payable bi-monthly, be placed in the City Administrator' s deferred compensation account This proposal, if implemented could possibly call into question the tax-exempt status of the City' s entire deferred compensation plan. I see two major problems at first glance: Is this the type of benefit for which the employer may not discriminate in favor of highly compensated or key personnel? And, is this a flexible benefits plan? IRS regulations on tax-exempt benefits generally prohibit employers from discriminating in favor of "highly compensated" or "key" employees. If non-discrimination is required in this situation, it could possibly result in a loss of the tax-exempt status of similar benefits for all employees. Additionally, deferred compensation may not be offered as an option in a flexible benefits plan. In other words, an employer may not offer an employee a choice between a car allowance and deferred compensation. (They may opt between a car allowance and a car, as is the current practice with other employees, because both are taxable benefits. The problem arises when you allow employees to opt for a non-taxable benefit in lieu of a taxable one. ) Motion #4 would give deferred compensation "in lieu of a car allowance. " Questions that must be answered include: Does Shauna receive a car allowance now? Does she currently have the option of receiving a car allowance? Do other key employees get a car allowance? Did this alternative come about at her request? In view of her influence on City policy, would the IRS consider this to be her election even if it is in terms which ostensibly make the election that of the Council? Unfortunately, when Shauna' s salary was discussed in closed session at the Personnel Committee last week, I was ejected from the To: James F. Penman, City Attorney Re: 1/23/95 Agenda Item No. 24(C) , Motion #4 Page 2 meeting, and the Committee met without legal advice. No one has consulted our office on this proposal, and we became aware of it for the first time today when we received Monday' s agenda. Because of the short time period we have to work in, I can identify the questions, but will not have definitive answers by Monday' s Council meeting. I would suggest that Council defer action on Motion #4 until we have had a chance to research the effect it will have on the tax status of similar benefits. DIANE CATRAN ROTH Deputy City Attorney