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City Council Minutes 02-03-1986 I MI UTES SPECIAL MEETING - M NTICELLO CITY COUNCIL Monday, February 3, 1986 - 7:00 a.m. Members Present: Arve Grimsmo, Fr n Fair, Bill Fair, Jack Maxwell, Dan Blonigen. Members Absent: None. Also Present: r Eidem, Finance Director Wolfsteller. A special meeting of the City il was held on Monday, February 3, 1986, for the sole purpose of ssing salary proposals for non-union personnel for the year 1986. Administrator Eidem briefly reviewed with the Council information on me n salaries he had acquired from Minnesota communities of similar s.ze and budget capacity for all non-union positions. Eidem indica ed that the total salary package for 1985 reflected an approximate 5.4% increase over the 1984 salaries and that he recommended the City C uncil continue to base salary increases on the projected consume price index for the upcoming year as in the past. It is antici ated that the cost of living will increase approximately 4% in 1986; and as a result, Mr. Eidem recommended that in establishing a 1986 salary increase, an across the board increase of 4% to match the CPI be granted which would total approximately $14,632.00 ba ed on current 1985 salaries for non-union personnel. In addition, Eidem requested the Council grant an additional 2% pool totaling $6,516.00 which the Administrator would negotiate individually with each non-union personnel based on merit, position adjustment, et. Finally, Eidem recommended that the clerical staff receive a 85~ per hour adjustment in base pay to bring their base hourly pa more in line with surrounding communities who have adjusted bas scales recently. This 85~ per hour adjustment would total appro imately $7,072.00. I Administrator Eidem noted also th non-union personnel have not incr that the City consider adding den a cost of approximately $5,000.00 already receive a provision for p sick leave upon termination and a holiday for Christmas Eve, which He recommended that the Martin Lu and that non-union personnel rece for Christmas Eve. I A proposal was also presented by all City employees to establish m facility at no cost to the City; employee could receive a 10% disc benefits for the 10 years and suggested al insurance to the package at Eidem noted that union personnel yment of half of their unused so receive an additional ~ day on-union personnel do not receive. her King HOliday be established ve the additional ~ day holiday he Administrator which would allow mbership in the local Health Club ut through City sponsorship, each unto In addition, Eidem suggested -1- I that the City allow each employee payroll deduction over a six month to cash in up to 5 days of accumul could be applied to the cost of th of the package submitted by the A After presentation by the Administ Health Club membership proposal, a of the Council that they did not f in promoting a specific local busi etc., for membership fees and felt the employees could approach the H if they so desired. Special Council Minutes - 2/3/86 o pay for the membership through period and employees be allowed ted sick leave at half pay which annual membership. Total cost inistrator totaled 7.3% annually. ator, the Council discussed the d it was the general consensus el the City should become involved ess by involving payroll deduction, that individuallY as a group, alth Club to receive a discount Mayor Grimsmo noted that he initia ly intended to propose a 5.8% salary increase and thought the ci y staff has had additional responsibilities due to the growth of the City. He noted that the proposed 6% increase consisting of the 4% across the bOI rd COLA adjustment and the 2% additional pOOl is close to his or'ginal 5.8% and agreed that additional benefits in the form of a dental 1 surance program would be agreeable. Councilman Blonigen questioned whether the cost of living adjustment is a continuing trend which would lace the City in a position of always adjusting the salaries upwa d to match the cost of living. Administrator Eidem noted that alt ough it's hard to predict what the cost of living would do each year, he noted that during some of the previous years when the cost of living was in double digit figures, the Council at that time as not able to match the cost of living adjustments but indicated that during years when the COLA percentage was smaller, the Council could be in a better position to increase salaries SlightlY abo e the proposed cost of living to even things out. In addition, Eidem noted that the 2% pool would not be an automatic pay adjustmen but would depend on merit, longevity, and noted that not all employees ay get the 2% additional pay. I Councilman Maxwell noted that the over the percentage increase bein normally results in a lower dolla as they are paid lower, and did n this one time recommended 85~ an some of the disparities. Council City bUdget included for salary i Eidem noted that $40,000.00 had b After further discussion, motion by Maxwell, and unanimously carri for non-union personnel at 4% acr 2% pool to be established and neg Administrator, and to adjust the 85~ per hour. Additionally, the I clerical staff last year had concerns granted across the board which increase for clerical employees, t see any problem with adjusting our increase to help eliminate an Blonigen questioned what the creases during 1986, and Administrator en budgeted. as made by Fran Fair, seconded d to set the cost of living adjustment ss the board with an additional tiated with each employee by the lerical personnel an additional ity would establish a dental insurance -2- I Special Council Minutes - 2/3/86 program for the employees and to e tablish Martin Luther King Day as a holiday. along with a ~ day fore Christmas. Discussion by the Council then con salary. Mayor Grimsmo felt that t be justifiable for the City Admini of 6%. Motion was then made by Ma to grant an increase to the City which would be just under 6% of hi favor was Grimsmo. Fran Fair. Bill not based on performance of the A may not warrant that high of an in L...../ c. Rick Wolfst ler Assistant Administrator I I erned adjusting the City Administrator's e same percentage increase would trator's position in the neighborhood well. seconded by Bill Fair. ministrator of $200.00 per month. 1985 base salary. Voting in Fair. Maxwell. Opposed was Blonigen. inistrator but felt the position rease. -3-