BOARD AGENDA MEMORANDUM
SUBJECT: Title
Adopt Resolution Adopting Employee Salary Schedule for Fiscal Year 2022.
End
RECOMMENDATION: Recommendation
Adopt Resolution ADOPTING EMPLOYEE SALARY SCHEDULE - EFFECTIVE THE BEGINNING OF PAY PERIOD 14 FOR CALENDAR YEAR 2021.
Body
SUMMARY:
Board approval of the Employee Salary Schedule services the following four purposes:
1. Compliance with state law which requires that the governing body of a public agency formally approve salary schedules for all employees and make them available for public review;
2. Updates and makes current the salary schedule for Santa Clara Valley Water District (Valley Water) employees covered by labor Memorandum of Understandings;
3. Updates and makes current the salary schedule for Executive employees; and
4. Updates and makes current the salary schedule for the three Board Appointed Officers.
Compliance with State Legal Requirement
Approval of the Employee Salary Schedule by the Board of Directors is required under Title 2 California Code of Regulations, section 570.5 and its requirement of a publicly available pay schedule approved by a public body for all employee classifications. Under this requirement, the amount of “compensation earnable” for purposes of calculating retirement benefits is limited to the amount listed on a pay schedule meeting the following requirements:
(1) Has been duly approved and adopted by the employer’s governing body in accordance with requirements of applicable public meetings laws;
(2) Identifies the position title for every employee position;
(3) Shows the pay-rate for each identified position, which may be stated as a single amount or as multiple amounts within a range;
(4) Indicates the time base, including, but not limited to, whether the time base is hourly, daily, bi-weekly, monthly, bimonthly, or annually;
(5) Is posted at the office of the employer or immediately accessible and available for public review from the employer during normal business hours or posted on the employer’s internet website;
(6) Indicates an effective date and date of revisions;
(7) Is retained by the employer and available for public inspection for not less than five years; and
(8) Does not reference another document in lieu of disclosing the pay rate.
CalPERS has stressed that all eight of these requirements must be met in a single salary schedule for each member’s pay.
Salary Range Adjustments
1. Classified Employees
Valley Water has negotiated salary increases for classified employees covered by the three labor MOUs. Specifically, the bargaining groups, Employee Association, Engineers Society, and the Professional Managers Association have negotiated a four-year contract to receive a 4% increase each year effective the beginning of pay period 14 from 2018 to 2021. The attached Salary Schedule updates and makes current the salaries for employees represented by the three bargaining groups.
2. Executive Employees/BAOs
The attached salary schedule also reflects updated salary ranges for Executive employees and Board Appointed Officers (BAOs). These salary range adjustments for the Executives and the BAOs effective the beginning pay period 14, were made in accordance with the Salary Structure for Unrepresented Employees approved separately on May 22, 2018 in Resolution 18-25. The Executive employees shall receive 4% salary increases effective the beginning of pay period 14 of 2021 in accordance with the new ranges.
Despite any update of the salary ranges, the Board must establish any changes to the actual salaries of the BAOs through separate action and amendment of their respective employment contracts. In short, approval of the updated salary schedule alone does not modify the BAO salaries.
FINANCIAL IMPACT:
The estimated cost of the 4% salary increase to staff represented by Valley Water’s three bargaining groups and Executive employees is approximately $4,558,436.34. This assumes that the BAOs shall also receive a 4% increase.
CEQA:
The recommended action does not constitute a project under CEQA because it does not have the potential for resulting indirect or reasonably foreseeable indirect physical change in the environment.
ATTACHMENTS:
Attachment 1: Resolution with attached Salary Table
UNCLASSIFIED MANAGER: Manager
Ingrid Bella, 408-630-3171