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City Council Minutes 11-30-1982 SpecialMINUTES SPECIAL MEETING - MONTICELLO CITY COUNCIL November 30, 1982 - 6:30 P.M. Members Present: Arve Grimsmo, Ken Maus, Fran Fair, Phil White, Thomas Eidem. Members Absent: Dan Blonigen. The meeting was called to order by the Mayor. Administrator Eidem began with a brief introduction on the preliminary negotiations he had held with each of the non-union employees. He explained how he arrived at the figures he had, and explained some of the aspects he considered critical to granting salary increases. He noted that he had used approximately 8.4% as a cost of living adjustment in de- termining suggested salary increases. He stated the reason for this was that the early months of the year, inflation and cost of living were at double digit levels while the latest CPI reflected a 5.5% increase, thus he selected a middle ground. He explained that he had told each employee that merit increases were not being considered by him, but that if the employee wished, they could address the Council individually on the question of merit in- creases or salary adjustments. He also stated that he had in- formed the employees that their attendance at this Council meeting was optional, but that most had said that they were willing to stop in to visit with the Council prior to the salary decision. The following employees appeared before the Council briefly: Lynnea Gillham Marlene Hellman Diane Jacobson Karen Hanson Walt Mack Roger Mack Jim Miller Sean Hancock John Simola Rick Wolfsteller At the conclusion of the individual interviews, the Council began their salary deliberations. Council Member Maus raised the ques- tion as to what exactly is the cost of living. He stated he did not feel the cost of living was actually 8.4% and that the real cost of living was more accurately reflected by a figure of 512 to 6%. Council Member White concurred with this. Maus stated that he did not seriously object to the dollar figure that was proposed in some cases but he was uncomfortable with calling it cost of living if it did not accurately reflect cost of living. He went on to say that if it does not reflect cost of living then in fact,it would have to be a salary adjustment or a merit raise and, if that is the case, do all the employees warrant a merit increase. - 1 - Council Minutes - 11/30/82 Eidem stated that it was his contention that the increases should reflect slightly more than what is determined to be the actual in- creasing cost of living so that employees may continue to improve or "get ahead". He stated that if the cost of living increased 5.5% and a pay raise was 5.50, then the employee is not improving his life, but merely staying the same, and perhaps, in some cases playing catch up. Eidem stated that was part of the reason why he looked at the 8 to 812% range. A motion by White, seconded by Maus, and carried unanimously setting the cost of living figure to be used for salary increases at 6%. A motion made by Maus, seconded by White and carried unanimously to increase the clerical wage range by 6%, and extending the ceiling of that range by 2M Eidem was then directed by the Council to assign clerical wages to Gillham, Hellman and Jacobson within the defined range. Council discussion again returned to the problem of cost of living in- creases. Maus then suggested that perhaps cost of living percent- ages should be dispensed with totally and that dollar amounts be determined and agreed upon and increases be granted in that fashion. He also stated that in the future, if cost of living or percentages were to be used in determining salary increases, Eidem should be given a clearly defined frame work within which to work prior to any salary negotiations with the employees. Maus suggested that since the Council felt strongly on a dollar amount generated by a figure of 6%, but the employees and the administrator had negoti- ated in good faith at approximately 8.4%, that a middle ground be established with respect to actual dollars assigned, and that that figure be granted as the salary increase. A motion by White, seconded by Maus and carried unanimously to adopt the following salary schedule for 1983: - 2 - FROM TO Lynnea Gillham $6.82 per hour $7.57 per hour Marlene Hellman 5.95 per hour 6.63 per hour Diane Jacobson 6.65 per hour 7.33 per hour Karen Hanson 11,040 per year 12,000 per year Walt Mack 20,748 per year 22,308 per year Roger Mack 21,252 per year 22,812 per year Jim Miller 21,300 per year 22,860 per year Sean Hancock 19,800 per year 20,500 per year John Simola 26,412 per year 28,332 per year Mark Irmiter 24,528 per year 26,448 per year - 2 - Council Minutes - 11/30/82 With respect to the administrator's salary, Eidem raised the issue of a 22% disparity between the former administrator's salary and the current administrator's salary, when in fact, credentials were nearly identical. He provided data that reflected the mean salaries for city managers/administrators nation wide and State wide. He also raised the question that upon relocating in Monti- cello, he had forfeited several benefits that he had accrued through 10 years of public service and requested that some of those benefits be reinstated by virtue of his total experience, not just Monticello experience. Council Member [shite stated and other members concurred that the starting salary when Eidem was hired was largely because the new administrator would be unknown commodity, but that it had been agreed upon between members of the Council at the time of hiring, that when the new person had adjusted to the position the salary would then be readjusted to more accurately reflect what was being paid to the former admin- istrator. A motion by White, seconded by Maus and carried to adopt the following salary increases for Wolfsteller and Eidem. FROM TO Rick Wolfsteller $26,800 per year 29,690 per year Thomas Eidem 29,000 per year 35,000 per year A motion by Maus, seconded by White and carried unanimously allowing Eidem to take 2 weeks vacation in 1983 and 3 weeks vacation for 1984. A motion by Fair, seconded by White and carried for meeting to adjourn. i R Thomas A. Eidem City Administrator - 3 -