BOARD AGENDA MEMORANDUM
SUBJECT:
Title
*Adopt a Resolution Adopting the Salary Structure for the Unrepresented Employees in the Executive Service.
End
RECOMMENDATION:
Recommendation
*Adopt the Resolution ADOPTING THE SALARY STRUCTURE FOR UNREPRESENTED EMPLOYEES IN THE EXECUTIVE SERVICE.
Body
SUMMARY:
The Board has engaged in a strategic approach to attract, hire, and retain a high-performing and skilled workforce. In addition to classified employees represented by three bargaining groups, Santa Clara Valley Water District (Valley Water) currently employs Unrepresented Employees in the Executive Service of Valley Water pursuant to District Personnel Ordinance 2000-01, section 2.6 ("Executive Employees").
The Board previously approved a salary structure for Executive Employees in 2018 (Resolution 18-25). However, to continue to address challenges with attracting and retaining unrepresented employees, Valley Water conducted a salary survey in December 2021, to ensure that we remain progressive in our approach to being an employer of choice. The goal of the survey was to obtain market information that assisted Valley Water with creating a market-competitive salary structure that minimizes any compactions with lower classifications. As a result of the survey, it is recommended that the Proposed Salary Structure for Unrepresented Employees set forth below be approved and replace the 2018 Salary Structure:
Salary Structure for Unclassified Employees
Valley Water procured Koff & Associates (K&A) to conduct the salary survey. Using a historically based comparator agency list and input from internal stakeholders, Koff & Associates (K&A) evaluated several comparative indicators related to Valley Water's demographics, financials, and scope of services to develop a list of closely ranked agencies to be utilized as comparators for salary surveys. Twenty-five Valley Water Unrepresented positions were evaluated against those benchmarked agencies. K&A then used the whole position analysis approach.
Based on the review, K&A determined that over half of Valley Waters unrepresented classifications are paid between 5-10% below the 60th percentile of the market comparators. Leaving Valley Water vulnerable with our ability to continue to attract and retain high-caliber employees.
As a result, the recommendation is to create a salary structure designed to adjust the maximum and minimum salary of the Board Appointed Officers and Unrepresented positions using the Deputy Operating Officer classification as the anchor. The goals of the salary structure will:
• Maximize the ability to Attract and Retain Employees- Valley Water will lead the industry by having salaries representing the 60% percentile of the market.
• Maintain Internal Equity- Minimize compaction with lower classifications by ensuring internal equity between classifications is considered in the evaluation.
To maintain market competitiveness, a bi-annual salary survey will be conducted. The Adoption of this new salary structure will have a minimal financial impact as all but two of the thirty-six unrepresented employees, including the three Board Appointed Officers, have current salaries within the recommended new salary range and will need no adjustments. There are two unrepresented employee’s salaries that would be below the minimum of the new range for their positions and will need to be adjusted to meet the new minimum salary of the range. The new salary ranges associated with the salary survey and updated Salary Structure will be reflected in the updated Salary Schedule to be considered by the Board as a separate agenda item.
The resolution will be set forth in a supplemental memorandum to be distributed on Friday, November 18, 2022.
ENVIRONMENTAL JUSTICE IMPACT:
There are no Environmental Justice impacts associated with this item.
FINANCIAL IMPACT:
*On the original board agenda memo, the financial impact indicated $4,854.00. After further review, it was determined the correct financial impact is $4,252.56. This represents the adjustment to one Executive Employee’s salary to the minimum of their corresponding salary range.
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:
*Original Board Agenda Memo
*Supplemental Board Agenda Memo
*Supplemental Attachment 1: Resolution
UNCLASSIFIED MANAGER:
Manager
Patrice McElroy, 408-630-3159