Loading...
HomeMy WebLinkAbout2016/12/19 - ADMIN - Minutes - City Council - Study Session1!I St. Louis Park OFFICIAL MINUTES MINNESOTA CITY COUNCIL SPECIAL STUDY SESSION ST. LOUIS PARK, MINNESOTA DECEMBER 19, 2016 The meeting convened at 6:00 p.m Councilmembers present: Mayor Jake Spano, Tim Brausen, Steve Hallfin, Gregg Lindberg, Anne Mavity, Thom Miller, and Susan Sanger. Staff present: City Manager (Mr. Harmening), Deputy City Manager/Human Resources Director (Ms. Deno), Chief Financial Officer (Mr. Simon), Director of Operations and Recreation (Ms. Walsh), Director of Engineering (Ms. Heiser), Human Resources Coordinator (Ms. Timpone), Communications & Marketing Manager (Ms. Larson), and Recording Secretary (Ms. Pappas). Guest: None Election Law Councilmember Sanger requested looking into a law that a number of cities in Maryland follow regarding ordinances for non -citizens voting in elections. Mayor Spano commented that this practice would be against Minnesota law, which states that a person must be a U.S. citizen and 18 years old in order to vote in elections. 1. Employee Compensation Plan Update Mr. Harmening explained that the current citywide pay strategy and philosophy for employee compensation plan has been in place since 1997. Because it has been so many years since the job evaluation system and pay philosophy has been approved, the city began a compensation study in April, 2015. Staff now has recommendations for updates to the plan for a January 1, 2017, effective date. Mr. Harmening continued that the new philosophy will be a significant shift and will be used to continue to hire and retain good people. Ms. Deno added that the city is required by the Minnesota Pay Equity Act to have a job evaluation system in order to determine the comparable value of the work performed by each class of employee. Ms. Timpone gave an overview of the compensation history for non-union employees. She noted there is a 15% spread, and it takes 4-5 years to reach the maximum range of pay, and there is a split in philosophy where non-exempt positions are at the 50°i percentile and exempt positions are at the 75`h percentile. Approximately 20% of St. Louis Park employees are exempt. Mr. Harmening stated that the city expects high performance from its employees and most are non-exempt. He added that staff hears from employees that the city pays at an average rate but expects the best work. With this update, each job description was reviewed and recommendations are being developed for a pay philosophy going forward. He added that data has been reviewed in detail across all departments. Mr. Harmening noted the recommendation for all non-union employees (exempt or non-exempt) is a new target pay set at the 85th percentile of market maximums and taking longer to reach the maximum of the range. Ms. Deno added that union pay structures must be negotiated with each bargaining group. Ms. Deno also noted the new program would be implemented in 2017 for non-union employees and paid retro to January 1, adding this is in the 2017 budget. Special Study Session Minutes -2- December 19, 2016 Councilmember Lindberg stated this is an excellent plan, and agreed that not using the FLSA classification to split how compensation is viewed is best. He added he would also like to see a performance mechanism built into the plan. Councilmember Sanger stated that parts of this plan make sense but asked how the non-exempt employees will move to the same percentage points as the exempt employees. Will that lead to many employees getting raises? She further asked if that will also lead the city to a position where non-exempt are earning more than exempt supervisors and if this could be a problem. Ms. Deno stated this plan will continue, just like the current plan, with normal step adjustments. She stated that if an employee is currently at the maximum of the range, they will not be moved to the maximum of the range in the new plan, and they would continue with progression through the range. Ms. Deno stated that the grades were developed so employees and supervisors are not in the same pay grade. If a non-exempt employee is earning excessive amounts of overtime, a supervisor would watch this and manage that employee's overtime hours. Councilmember Sanger stated she also has concerns about not paying employees based on their performance and asked how staff can prove employees are being paid based on their performance. She further commented it is the wrong message to have probation periods that end. Essentially employees should always be on probation in order to encourage them to do their best and meet the city's expectations. Councilmember Miller stated he likes the overall direction the plan is headed and that it will be competitive with other cities. He asked if pay for jobs in other cities are comparable to those in St. Louis Park. Ms. Deno stated that in the public sector, pay information is considered public and staff is able to find out the actual salaries of comparable jobs. Councilmember Miller asked what the average increase is for a non-exempt employee. Ms. Timpone stated 4% is the average increase. Councilmember Miller stated he would like to see how staff will build merit increases into the process and asked if other cities have merit increases. Ms. Deno stated only a few cities have merit increases, and unions typically do not prefer merit -based increases. Ms. Timpone added staff does look at performance, and a director can make a recommendation not to give an increase if there are unsatisfactory performance issues. Mayor Spano added where he works at the state they have merit pay increases and an annual review process, which is tied to compensation. Councilmember Mavity stated she generally supports this. She asked if staff is looking at the process through a race equity lens and how this might impact or change the process. She also asked when the city has high performers if step adjustments are made in order to retain those employees. Ms. Deno stated council has given the authority to the city manager in the past to pay up to the maximum to high performers, and that this concept is recommended to continue. She added with regard to race equity, the ranges are a bit wider. Staff will be looking at job descriptions, and different kinds of experience such as outreach, working with others and multi - language abilities to incorporate into descriptions. She added looking at job descriptions through advancing race equity is work that has started. Special Study Session Minutes -3- December 19, 2016 Councilmember Lindberg stated it is excellent to hear about planned work in race equity. Councilmember Brausen stated that based on what he has heard tonight, he is supportive of this process. It will attract and retain the quality employees the city wants. Mayor Spano also noted he is supportive of this process where employees are held to a high standard. He added he would like staff to integrate a review mechanism in the process in order to check in and have a discussion with council on a more regular basis. Additionally, he added that the merit -based component is acceptable, along with the system already in place for meeting job performance. Councilmember Sanger stated staff needs to streamline this process, noting she is nervous about how the city will defend itself if an employee is fired and staff cannot determine if it is clearly related to a performance issue. She stated the city will need to have a useful tool that is consistent and understandable to the employee. Mayor Spano noted it is the consensus of the council to move forward with this process, and to also add the merit component. He added that with many employee retirements coming up soon, staff will need to figure this piece out, as well. Mr. Harmening stated staff can bring back the final base plan for approval, and the merit piece can be approved at a later date. Ms. Deno added with a merit program, it might be a one-time bonus but not guaranteed year to year. She stated staff will bring back the program for council approval to implement January I and will work during 2017 to build the performance measures and look at an additional merit component. 2. Review Draft of 2017 Legislative Issues and Priorities Mr. Harmening stated staff has prepared a draft list of legislative issues and priorities which ultimately are intended to be reviewed on January 9 with Senator Ron Latz, Representative Cheryl Youakim, Representative Peggy Flanagan, Hennepin County Commissioner Marion Green, and Metropolitan Council representative Gail Dorfman. In preparation for that meeting, staff is asking for council feedback on the proposed list. Mayor Spano stated the list mentions items about transportation funding and projects. The reality is that in January the legislature make-up will be very different, so it is hard to imagine much of this will be funded. Councilmember Mavity asked what the changes are in this year's list versus last year's list. Mr. Harmening stated there are updates, with the additions of water treatment plan, police safety, and tax increment financing. Councilmember Mavity stated this list is good, but she would like only the city's top 3-4 priorities to be included. She would ask Mr. Harmening to advise what these top 3-4 items would be operationally. She added that the language on housing has not yet been approved by the full coalition and could change. She added it would also be helpful to say to whom the items will be directed. Special Study Session Minutes -4- December 19, 2016 Councilmember Brausen stated he liked the priorities as laid out, adding he is more optimistic on what will be funded, especially with the budget windfall. Councilmember Sanger stated CSAH 25 and Minnetonka Boulevard should be taken off the list as they are not legislative issues. However, Mayor Spano stated he would like to keep them on the list in case funding does become available. Councilmember Sanger stated she is not clear on the section discussing SWLRT. She added that the portion on Xcel should also note negotiating completion dates and imposing fines if work is not completed on time. She approves of the Elmwood tax increment and water treatment sections, but added she would prefer not including TIF on the list as it sounds like it is authorizing the tear down of buildings. Councilmember Hallfm stated he was fine with the list; however, Water Treatment Plant #4 and the bonding issue need to be first and foremost as the state should be helping St. Louis Park on these issues. He added he would like to take the item regarding opposing the expansion of legal fireworks off the list. Mayor Spano stated the fireworks item is a public safety issue that our Fire Chief is concerned about. Mr. Harmening added the Fire Chief wants it on the list in case he needs to testify on this topic. Councilmember Lindberg asked why the other fire related issue is included as it relates to 4,500 square foot homes in St. Louis Park. He asked how this could be a public safety issue when that size home is not being built in St. Louis Park. Mr. Harmening stated the Fire Chief is often asked to testify on this issue. Mayor Spano added that taking this topic off the list might promote building bigger houses in St. Louis Park, as it would be a cost reduction for builders. However, Councilmember Lindberg stated this is not pertinent as a significant legislative priority. Mayor Spano asked if there is a push on a transportation bill if everything else will be set aside or if there will be a bonding bill and smaller projects. He noted this will determine priorities. Mayor Spano also asked about the Dan Patch line and if that should be added to the list, as well. Councilmember Mavity also noted items for further discussion include smoke -related fire pits; initiatives supporting climate change and sustainability; and distracted driving as a public safety issue. She noted these should be on the city's radar, as well. Councilmember Sanger noted liquor being sold in stores on Sunday should also be included. She added she is concerned about including redevelopment, just for the sake of redevelopment. Councilmember Brausen stated he is in favor of adding the TIF tool to the list, as well. Mayor Spano asked for staff to present an updated list at the January 3`a meeting. Mr. Hai -Meiling stated he would bring the list back for review. The meeting adjourned at 7:20 p.m. Written Reports provided and documented for recording purposes only 7e r of Intent for Park & Ride Site ak Spa o ayor