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- - - - 8. STAFF REPORTS - TAKEN OUT OF ORDER AT THIS TIME , --- A. Executive Management Benefits, Salary and Wage Plan (905) REPORT: Human Resources Director Rivera-Pena, July 14, 1997 City Manager Everett said the proposed resolution represented what the Council discussed in Closed Session on June 23,1997. In response to Councilman Leipzig's questions regarding "Pay for Performance Merit Increases" on page 8.A-8 and how that was implemented and how often, City Manager Everett said this salary policy applies to employees who are not at the top of the range. He said that pay for performance is considered during annual evaluations, and was in Executive Management contracts before he became City Manager, five and a half years ago. In response to Councilman Leipzig's questions regarding how often it is used, City Manager Everett advised he would have the Finance Department supply those figures to him. He added that a merit increase is not given to people at the top of the position's salary range, but could be applied to everyone who is under it, if warranted by performance. '-- Councilman Leipzig asked, "It is conceivable that if you are not at the top of the range you are going get an increase of 3% to 7%, in addition to the current increase.. (which) would be at 3.1 % for this coming year, and the CPI for the following two years?" City Manager Everett said, "That is correct. The CPI moves the ranges up with the cost of living. We try to bring people in as low as we can, or I can when we hire, sometimes we can't. But they have movement within that range, and so I do that until such time as they have gone to the top of the range." Councilman Leipzig said, "So everyone under your review at least, goes through this process and unless there is some reason they get a zero percent score, unsatisfactory, they are going to get an additional increase from 3% to 7%?" City Manager Everett said, "That is correct." Mayor Hartnett said, "I interpret it as rather than an additional increase, when we set the salary ranges by granting increases, sorneone may not be at the highest level that we set, and so your perfonnance evaluations are aimed at eventually, if the perfonnance is satisfactory, within a period of time, bringing them up to the top step of the salary range for their position." City Manager Everett said, "That is correct, because of both experience and quality of performance based on their objectives." -.......- REGULAR COUNCIL MEETING MINUTE BOOK NO. 55 JULY 14,1997 MINUTES Page No. 445 PAGE 8