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7.3.A. - Page 1 <br /> REPORT <br /> To the Honorable Mayor and City Council <br /> From the City Manager <br /> October 6, 2014 <br /> SUBJECT <br /> Amendments to the Executive Management Salary Plan <br /> RECOMMENDATION <br /> Approve a resolution to amend the Executive Management Salary Plan and adjust <br /> salary ranges for selected classifications. <br /> BACKGROUND <br /> The City's Executive Management Group is comprised of Department Heads, Assistant <br /> and Deputy Department Heads, and Division Managers. In April 2000, the Council's <br /> Personnel Sub - Committee approved a compensation program for Department Heads in <br /> the group. The compensation program requires that the salary range for each <br /> Department Head classification be established by using the lowest and highest salary <br /> for the comparable position within the City's group of benchmark cities. On December <br /> 14, 2004, the Council Personnel Sub - Committee approved the inclusion of Division <br /> Heads and other executive managers under this compensation policy, as set forth in the <br /> Executive Management Summary of Benefits. <br /> Executive Management salary ranges are reviewed annually, and adjustments are <br /> recommended in accordance with market survey data. Adjustments to the salary <br /> ranges do not result in automatic changes to employee salaries. Individual salary <br /> adjustments may be granted by the City Manager, with consideration given to employee <br /> performance and the City's fiscal situation and ability to pay. <br /> Following the recession of 2008 -2009, the City worked with employee groups to <br /> implement short -term salary freezes as well as long -term benefit reform measures. <br /> Executive Management employees agreed to a salary freeze for three out of four years <br /> between 2009 and 2012, with salary range adjustments made in 2011. In June 2011, <br /> Council approved an amendment to the Executive Management Summary of Benefits to <br /> include employee cost - sharing for medical benefits and employer retirement <br /> contributions, mitigating the impact to the City's budget of rising employee benefit costs. <br /> On January 13, 2014, Council approved further amendments to the Executive <br /> Management Summary of Benefits, which included an increase in the employees' share <br />