12-05-1985 CCMi
MINUTES
SPECIAL MEETING - HUTCHINSON CITY COUNCIL
THURSDAY, DECEMBER 5, 1985
The special City Council meeting was opened at 7:10 P.M. in the fire station
conference room by Mayor Stearns. Present were: Alderman Mike Carls, Alder-
man John M 1 i nar, Alderman Mar1in Torgerson, and Mayor Robert H. Stearns. Ab-
sent: Alderman Pat Mikulecky. Also present: City Administrator Gary D. Plotz,
Finance Director Kenneth B. Merrill, Personnel Coordinator Hazel Sitz, City At-
torney James Schaefer, and Mayor -Elect Paul Ackland (arrived at 7:35 P.M.).
Seventeen City employees were also in attendance.
City Administrator Plotz stated that all employees had received a memorandum
asking for input on a proposed salary adjustment. He also commented on future
consideration of reviewing merits at the employee's anniversary date.
Personnel Coordinator Sitz reviewed the two memorandums distributed to the Coun-
cil. She reported it was the consensus of the directors that to combine both
salary and merit adjustments into one action made it appear as one item when it
was not. Therefore, the merit should not be considered as cost of living. It
was suggested that merit review be made for those employees who had worked for
the City five years or less since no merit increase had been given in 12 months.
She explained the Employment Cost Index used for determining the cost of living
increase during the year.
Mayor Stearns suggested raising the pay plan ranges and retaining the relative
position in the range. He felt it was up to the department head to make a rec-
ommendation for merit increase. It was his recommendation to make the salary
adjustment a 3.5% increase.
Ms. Sitz stated that this year's pay plan was a little different than in the past
inasmuch as it had been revised to comply with comparable worth. She suggested
using option A, whereby the general adjustment for each pay grade would be "X"
percent of its midpoint. Each individual in that pay grade would receive the
same increase per hour, which would be to the advantage of the lower paid em-
ployee.
Sgt. John Gregor stated he did not agree with this proposal. He commented on
the method used in the police department to determine merit and longevity in-
crase.
Officer Chuck Jones asked about the advantage between a flat increase and the
percent basis for determining an adjustment.
Ms. Sitz stated that option B would be the same principle as A, except there
would be a limitation placed on the salary.
Sgt. Gregor commented he was not sure if he would be in the range to have a
"cap" placed on it.
City Attorney Schaefer stated that he felt the whole amount should be given when
the cost of living was low. This would make up for the times when the cost of
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CITY COUNCIL MINUTES - DECEMBER 5, 1985
living increase was high, and the entire amount could not be given.
Option C was presented by Personnel Coordinator Sitz. According to this plan,
no percentage adjustment would be made to the pay grades. The same table would
be used for another year. It would allow for an adjustment based on the mid-
point of each pay grade, which would place a freeze on the salary of any indi-
vidual at the top of an assigned pay grade.
City Forester Mark Schnobrich stated he favored a flat dol lar raise for every-
one. Discussion followed.
Alderman Mlinar commented on the merit issue. He was not against merit but felt
it should be given for a good job done on or above for a given year and not an
automatic thing every year.
Finance Director Merrill stated that within five years most employees have
reached the midpoint of their range and full competency on the job.
Alderman Torgerson stated it was difficult to give increases when the money
wasn't available, and there were other items that need funding. He commented he
didn't feel the animosity present this year that he had felt in previous years.
Alderman Torgerson commended the employees for their good work.
A brief recess was taken, at which time the City employees left the meeting.
City Administrator Plotz reviewed with the Council the Handbook On Policies,
Procedures And Practices, And Administrative Orders. He stated these policies
were in addition to the Personnel Handbook and other materials available. They
represented policies that had never been put into writing. The Council members
made various corrections and additions in the first section, Policy - City Coun-
cil. It was the consensus of the Council to continue the review at another
time.
Maintenance Operations Director Ralph Neumann commented on the recent article in
The Leader regarding the Woman's Club community project for a sign and en-
trance gate at Oakland cemetery. He stated the cost would be about $6,000, with
the Woman's Club raising the funds.
Authorization was requested by Director Neumann to replace an old water heater
in the old fire station with a new one for a cost of approximately $400. It was
the consensus of the Council to spend the money for a replacement water heater.
In closing, the Council discussed what method to use in awarding the cost of
living increase. Alderman Carls requested a written report on the dollar in-
crease per employee. He felt equal dollars should be awarded periodically and
did not favor a percent increase every year. It was reported that Alderman Mik-
ulecky recommended a 3.2% increase or $600, whichever was less. City staff was
directed to prepare a report providing the following information: 1) equal per-
cent by employee/total dol lar; 2) Plan A by employee, based on 3.0%, 3.5% and
4.0% increase; and 3) last year's salary for each employee.
The meeting adjourned at 10:40 P.M.
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