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HomeMy WebLinkAboutSP December 20, 1978 · -- ~ 01 ANDOVER SPECIAL CITY COUNCIL MEETING - DECEMBER 20, 1978 MINUTES A Special Meeting of the Andover City Council was called to order by ~Byor Jerry Windschitl on December 20, 1978, 7:34 p.m., at the Andover City Hall, 1685 Crosstown Boulevard NW, for the purpose of discussing the budget and personnel matters. Councilpersons presant: Lachinski, McClure, Orttel Council person absent: VanderLaan Also present: City Clerk, Pat Lindquist; Building Inspector, Dave Almgren; Councilmen-elect, Don Jacobson and Bob Peach; Personnel Committee members, Terry Ruether and Larry Carlson; and others Personnel Committèè Report (Reference Minutes of the November 22, 1978, meeting of the Andover Personnel Committee and memo from City Clerk to Mayor and Council of December 15, 1978, referencing Personnel Committee Recommendations) Councilperson Lachinski explained the salary schedule the Clerk made up from the Stanton Report which showed comparable positions in the City, their descriptions, - and the average salary range for those levels in Cities of 5,000 to 12,000 population. He stated the Personnel Committee tried to establish a salary-range- type concept but found it was very difficult to do. Therefore, they decided to take the average 1978 Stanton salary and add 5 percent for the average 1979 salary for City employees. The Council then reviewed the Committee's recommendations for each of the City staff positions. Clerk/Steno positions: At the present time there is a difference in salary between Deloris Hanson and Rae Ellen Bakke because Ms. Hanson has had more time with the City, but it was the Committee's feeling that these positions are equal, the idea being that two experienced people in those positions are desired. Councilperson Lachinski explained that these positions fall into the Level 4 position as described in the Stanton Report. The wages for these two individuals are already higher than the Stanton average; therefore, the Committee felt there was no justification for an increase at this time. Council discussion noted that the Stanton report is .an average of all cities in the Metropolitan area; ~hè Clerk explained how she arrived at her recommendations for these positions based on halfway between the Clerk Levels 4 and 5 in the Stanton Report and comparing salaries for similiar positions in neighboring communities; that the median salary in the Stanton report would be a better figure to use rather than the average; and on whether just the Stanton averages should be looked at as it takes away from paying for an individual's performance. Mr>. Ruether stated that this is the theory behind merit increases, and some system of evaluations should be established. These recommendations are for cost-of-living increases. Hopefully evaluation forms to evaluate performance will be used in the future to provide for merit increases. Councilperson McClure expressed gr>eat concern that the City has not established an upper and lower limit on any given job classification to be used as a guideline for hiring employees, which then provides a guideline of where they should be going in what time frame. Without that, --- -- - ~ Special City Council Meeting December 20, 1978 - Minutes Page 2 we don't know where we are in any given range. He felt what is being done is the Stanton average is being used for the upper limit for salaries in the City. This is an inefficient way to do it. with upper and lower ranges established, employees can understand where they are at any given time. The Clerk statèd that the problem with the City's salary ranges is that there has been no guide- line for establishing wages when an individual is hired. It was generally agreed that future raises be given annually rather than separating merit and cost-of-living increases. However, Councilperson Lachinski stated there is some problem with that in that some people have been with the City only three or four months, giving a special reason to do an evaluation more than just once in 1979. Concern was expressed that if no raise is given at all at this time to a secretary, it is an invitation for the individual to quit, and it would be l 1/2 years without any increase assuming no further review will be done until 1980. A comparison of the median salary and duties performed was made for Clerk/Steno level 4 of the Stanton report and what the secretaries in the City are presently making. further discussion was on the duties and salary ranges of similiar positions in the immediate surrounding communities and on the possibility of giving some raise to both secretaries. Larry Car~son took exception that no raise is like asking them to quit. He stated his office is in contact with both secretaries in the office and has always found them to be helpful. In explaining the thought process of the Committee, he stated it was not the intention of the Committee to give a cut in pay, and he didn't feel the Committee's recommendation was too far off from the Clerk's recommendation. Everybody is entitled to decent pay, but at times you are going to find someone that will outgrow the needs of that particular job. The only alternative is to'have that person on another level and work his way up. He felt the pay recommended to all staff members were respectable wages. He felt in the case of the secretaries, it should be explained to them the thought process behind not giving a raise to prevent them from becoming disgruntled. Mr. Carlson also stated that the Committee was always at odds with itself because of the very tight classifications or the unionization of a particular job. Employees grow faster and better if they are allowed to spread themselves more. The Committee's intent was not to disrupt the entire staff; and if he knew the girls were going to be hurt because of no raise, he would be the first one to give them one if they are doing a good job. Mayor Windschitl felt that in the case of no pay increase at all, just the loss of morale or production will cost the City something. It was agreed to review the other positions before making a decision on the Clerk/Steno positions. Accounting position: There was agreement between what the Personnel Committee and the City Clerk recommended in salary. Ms. Eveland will be a full-time employee beginning January, 1979. Council Recording Secretary position: Councilperson Lachinski stated it is very difficul t to try to place a value on what the recording secretary is doing, as they don't know how much work is done outside of the meeting. He felt it was an adequate salary and stated he felt there isn't anybody who would do a better job on the Minutes. Mayor Windschitl suggested having Mrs. Peach log hours for a quarter to see how the pay is coming out to compare a per-hour rate. Discussion was also on the possibility and advantages of making the position a contract since this is not really a typical employee, on the average number of hours it takes to transcribe the minutes, that there is no City overhead with this position, . . ..~ Special City Council Meeting December 20, 1978 - Minutes Page 3 the costs to the City in unemployment compensation etc., and what it would mean for the City and for Mr>s. Peach if a contract were negotiated relative to payment of FICA, etc. The Secretary is to log hours for a quarter and report back to the Council. A determination will be made at that time on a salary adjustment, if warran ted, retroactive to January 1, 1979. Public Works Person, Bob Muscovitz: Discussion was on Mr>. Muscovitz's present salary, how the work level in the Stanton report was arrived at, and how the Personnel Committee and the Clerk arrived at their recommendations for salary increase. Mr>. Muscovitz's job description includes snowplowing, which requires a Class B license that Mr>. Muscovitz does not have. It was noted that hopefully, in the future after some formal evaluation, the Council will Come back and recognize what he has done and reward him accordingly. Further discussion noted that a person should not be inticed to get a Class B License by giving him a raise first; on the fact that this requirement of the position was made after Mr. Muscovitz was already hired; that cooperation is needed with the individual and the other employees; that possibly an evaluation period could be set afterwhich the situation would be reviewed to see if it has improved; that possibly establishing an upper and low~r li~r, on salary would solve the problem in this position; that Mr. Muscovitz does a variety of duties, including janitorial work, errands, parks, and public works; on his reliance on his outside employment, which he fears might interfere with snowplowing; that Mr. Muscovitz is very very ambitious but is in a position that doesn't allow for his ambition; that he has a lot of education that the City isn't taking advantage of in this position; on his attitude; that this is a cost-of-living increase as no merit was given in July, 1978; and that it might be better to have a promise of an increase knowing it would be retroactive if things straighten themselves out. Discussion continued on what is a fair salary for what he does and comparing salaries and duties to similar positions in other cities. It was generally agreed that the new Council should meet with Mr. Muscovitz as soon as possible to explain what is expected of the position for a particular salary. Future raises would be based on performance within the classification. After that, there should be a decision made by the Council as to what is to be done. Five-Minute recess; reconvene at 9:51 p.m. Charlie Vieman--for himself personally and representing the residents in Andover, extended his Thanks to Councilpersons McClure and Vanderlaan for their years of service on the Council, knowing there has been a great deal of effort and hours put in towards the City. He stated, "¡'Ie appreciate the job you have done because you are actually doing our job for us. Thank you." Public Works Person, Ray Sowada: Councilperson Lachinski stated the Committee was looking at trying to make the hours more flexible by putting him on salary. They didn't feel that an additional 5 percent increase on a salary position would result in a cut in pay. Mayor Windschitl felt there would be a problem going exempt with the Wage and Hour Control. Discussion was on the criteria to be used to make a person exempt and whether this could be done with this particular position. The Clerk is to check with the Attorney and what ¡{age and Hour Control requires for this. Further discussion noted the job was filled recently by an individual willingly . . accepting the level of pay offered and that should be fair compensat~on - - Special City Council Meeting December 20, 1978 - Minutes Page 4 for the job; on what Mr. Sowada's duties are and what he is doing in the City at the present time; on whether salary should be exempt from overtime or if compensa- tion time would be better; on the number of hours the position requires; on the number of hours it takes to plow the roads after a snowfall, the City's share of it and the cost to the City versus contracting to have it done completely; and that it should be determined exactly what it is costing the City for snowplowing. Councilperson Orttel felt it shouldn't take more than 9 hours to plow the paved streets if it takes the contractor 28 hours to do the entire City. If it takes longer than that, we should go back to having Mr. Kraabel doing it; and if that is all it takes, there shouldn't be that much overtime over an entire season. Mrs. Lindquist will check with the Attorney and Wage and Hour Control to get a determination as to whether this position can be made exempt from overtime. Also, if there is superior performance in the future, this deserves to be looked at. Building Inspector, Dave Almgren: It was agreed that this could be made an exempt posi tion. Mr. Almgren stated that the hours vary considerably depending on the time of year and the number of homes under construction. He felt that overall the position is about a 42-hour/week job for about 7 months of the year. Discussion was that at the present time Mr. Almgren is the only Building Inspector for the City; on the difference of an hourly rate plus overtime versus a salary exempt from overtime; that the Committee was looking at this job as being 40 hours a week and that only a 5 percent increase wouldn't be sufficient if he is expected to work 42 hours a week; on the comparison of salaries and duties of the Building Inspectors in the surrounding communities; and on whether there is time for him to do snowplow- ingand to utilize his engineering background. General agreement was that if the position is put on salary, a salary of $16,500 would represent an adequate increase at this time, believing that the job is about a 42-hour a week job for 7 months of the yearand represents slightly more than a 5 percent increase. He would be expected to work 40 hours per week minimum. Further discussion was on the salary median of the Stanton Report and those salaries for the Building Inspector in surrounding communities; and, again, that a salary range should be established for the City of Andover as a guideline to work from. Clerk/Treasurer/Assistant Administrator: Councilperson Lachinski stated the whole idea is that an Actrng Adm:mistrator over the entire City staff is preferable over having three separate Department heads. He explained that in discussing the problem of the Acting Administrator with Ms. Lindquist, that in the event an Engineer/ Administrator is hired, much of the work she is already doing would be delegated to her. If that was not a problem, the position of Assistant Administrator would continue to grow as the City grew; and he felt that - - that spirit of cooperation does exist. With that, he recommended to the Personnel Committee that they set the salary at $17,800. The reason the Personnel Committee recommended a lower salary is because they wanted to take a "wait and see" attitude. The Personnel Committee's and the Clerk's recommendation for $16,800 for the Clerk/Treasurer position is in agreement. Since this relates directly to the Council's decision relative to the Engineer/Administrative position and the 1979 budget, further discussion was postponed until after the budget discussion. 1979 Budget (Reference worksheet on Revenues and Expenditures for 1979 Budget as determined in Minutes of September 20 and October 4, 1978) - - Special City Council Meeting December 20. 1978 - Minutes Page 5 Revenues: 331.1 CETA - Ms. Lindquist noted that the City has been guaranteed CETA funding to May 1, 1978. 386.2 Contributions (Park Dedications) - General agreement that the figure of $7.500 is low and should be raised to $9.500. Total Revenues. 12/19/78: Increased to $514,764.00 Expenditures: 406.301 Attorney - General - Question was raised whether $8,000 is excessive. Discussion was that attorney's costs are rising, mostly because of litigations--the bigger the City is getting the more legal work that is required. Further discussion was that an Administrator/Attorney position would see a higher return of money, directly reducing the Attorney's costs and on why an extra cushion should be allowed for in the budget. Item was left at $8,000 in the budget. 412.23 Small Tools (Fire) - Chief Evans was under the impression there was an implied agreement by the Council that by awarding the Public Services Building, the $6.000 for fire equipment would be restored to the 1979 Budget and the $4,400 of bond election expenses would be taken from the General Fund. allowing the Fire Department to purchase the equipment necessary to operate. The Clerk stated that most of the monies that were allocated for the bond election from the General Fund were taken out of the bond. If that money were to be taken out of the bond and put back in the General Fund, the surplus could be increased by about $2,000. Council discussion was on the monies already allocated from the bond issue for the building, trucks and equipment, and what is left. Council- person Lachinski suggested waiting until the Council has an accurate figure on the 1978 surplus before talking about purchasing the fire equipment and leave the $1,500 for small tools for the Fire Department as shown. as not all of that equipn~nt needs to be purchased this month. Hopefully, there will be monies from the interest derived from the bond investment. Chief Evans asked if it is financial good sense to draw interest on money now and - purchase later at inflated prices since inflation is higher than the interest. Tom May, Equipment Committee Chairman, Fire Department. presented. the Council with a prioritized list of equipment needed for the Fire Department and explained the categories listed and what is needed to make the Department operational. The Clerk noted that on Item 42, bids for them last May were almost $1.000 more than what is listed. Council discussion was on the amount of money needed to purchase this equipment; what is left from the bond money; what is needed from the general budget; the amount of interest expected from investing bond monies until it is needed; that a 5 percent overlevy has been built in for contingencies; and when the equipment is anticipated to be purchased. Councilperson - - Special City Council Meeting December 20, 1978 - Minutes Page 6 Lachinski felt that by April or May we would know what the Building is going to cost, as the well will be dug and variables should be known. He felt we should be cautious with the surplus funds until we find out where we stand and saw no need to budget the $6,000 needed by the Fire Department. All the rest of the equipment could be purchased now with the exception of the last $6.000 worth. The Clerk explained that if we are short to ¡¡ake the bond payment. the difference must come from the General Fund. It was generally agreed that since there is money coming from the bond issue itself, that if it is something greater than what is being asked for, it should be spent for the Fire Department and not put in the operating budget. Item left at $1,500. All remaining corrections on the worksheet were left as is. With the change to Park Dedication Contributions, a deficit of $8,735 was generated. A lengthy discussion followed on where to cut that money to obtain a balanced budget. Council person Lachinski suggested that a decrease could be made in the budget under Street and Highway. Numbers 421.221 and 421.22 - Maintenance Supplies. Discussion was on what those budget items were used for and on how much was spent for road maintenance in prior years. Mayor Windschitl expressed concern that the monies. approximately $20,000, recommended by the City Engineer for sealcoating the streets has not been budgeted and felt money should be budgeted for this. Councilperson Lachinski felt that some money could also be taken out of the Administrator/Engineer position, as it would probably be about four to six months before an Administrator "- could be hired. and that the position is somewhat of a pay-back situation. Further discussion was on the funds needed for the Fire Department. further road improvement. sealcoating, etc.. and where custs are needed to obtain a balanced budget. It was generally agreed to take $4.000 out of 421.221. Maintenance Supplies. and $5,000 out of the' Engineer/Administrative account. Number 4023, to balance the budget. MOTION by Lachinski, Seconded by McClure, adopting the 1979 budget with expenditures and revenues at $514.764.00 and noting the changes from the originally prepared budget on the worksheet with the following changes: Item 386.2 - Contributions for Park Dedication, was changed from $7,500 to $9,500; Item 421.221 - Maintenance Supplies, was changed from $14.000 to $10,000; and Item 4023 from $20,000 to $15,000, which provides for a surplus of $5,265.00. VOTE ON MOTION: YES-Lachinski. McClure. Orttel; NO-Windschitl Motion carried. Mayor Windschitl - I think the budget is not proper. There's a question if it is balanced with some of the cuts that were made. The sealcoating was not included in the budget when the Engineer was recommending that we have $22,000 in the budget. And we have raised the question if we are going to be able to make our Fire Department operational in the fact that they weren't funded for the proper equipment. Special City Council Meeting December 20, 1978 - Hinutes Page 7 Personnel Committee Report, Continued It was generally agreed that due to the lateness of the hour, d~scussion on the salary of the Clerk/Treasurer/Acting Administrator would be continued to another meeting next week. Council discussed the salary increases that were agreed upon in the previous discussion and on Mr. Almgren I s salary becoming exempt, meaning ~o hours a week is expected to be worked. It was noted that hopefully the Council will recognize the effort of Mr. Almgren should he get into snowplowing~ engineering work, etc. MOTION by Lachinski, Seconded by McClure, that we set the 1979 salaries for Deloris Hanson at $5.18 per hour; for Rae Bakke at $5 .O~ per hour; for Janett Eveland at $5.23 per hour; and for Dave Almgren, at salaried at $16,500 a year. Motion carried unanimously. Councilperson McClure recommended that the City start working up an upper and lower limit for each of the job classifications in the City. He sincerely hoped that this is continued and finished out with the next Council such that this struggle is not continued year after year. This would eliminate a hassle for everyone so everyone would know where they stand at any given time. MOTION by McClure, Seconded by Lachinski, to adjourn. Motion carried unanimously. Meeting adjourned at 12:55 a.m. Respectfully submitted, \~~-~~L ¡,P I y r'~ Mar ella A. Peach Recording Secretary t .' >' \.r- O¡lr' (/ -- - -