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HomeMy WebLinkAboutMINUTES - 10122010 - SD.4RECOMMENDATION(S): CONSIDER adopting Resolution No. 2010/514 regarding compensation and benefits for County Elected and Appointed Department Heads, Management, Exempt, and Unrepresented Employees. The modifications to the Management Benefits Resolution are as follows: 1. The longevity pay benefit has been eliminated for any elected county official (elected department head) whose term of office begins on or after January 1, 2011. These changes are set forth in Sections 26 and 63 of the resolution. The longevity pay benefit for members of the Board of Supervisors was previously eliminated effective April 1, 2007 (Sections 12.10 and 12.11) 2. Technical changes have been made to the resolution to affirm that elected officials whose terms of office begin after January 1, 2009, are not eligible for a County retiree health care subsidy, unless the official was otherwise eligible or qualified to receive the subsidy before being elected to office. These changes are set forth in Sections 2.13 and 26 of the resolution. 3. Section 26 of the resolution has been modified to clarify that, under state law, only the APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 10/12/2010 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Mary N. Piepho, District III Supervisor Susan A. Bonilla, District IV Supervisor Federal D. Glover, District V Supervisor ABSENT:Gayle B. Uilkema, District II Supervisor Contact: Ted Cwiek, (925)335-1766 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: October 12, 2010 David J. Twa, County Administrator and Clerk of the Board of Supervisors By: June McHuen, Deputy cc: HR Director, County Counsel, HR Admin, CAO Financial, Auditor/Controller, CCCERA Administrator SD. 4 To:Board of Supervisors From:Supervisors John Gioia and Mary N. Piepho Date:October 12, 2010 Contra Costa County Subject:Revised Management Benefits Resolution Board of Supervisors may prescribe the compensation for County elected RECOMMENDATION(S): (CONT'D) officials. It has also been modified to confirm that a County employee who becomes a County elected official may receive payment for unused vacation accruals only at a rate of pay that the elected official last earned as a County employee. FISCAL IMPACT: This resolution will produce a cost savings to the County in that new elected officials will not receive longevity pay, which is additional compensation that is computed as a percentage of base rate of pay. Currently, that percentage is 5% for an elected official who has completed 10 years of County service, 10% for a sheriff who has completed 15 years of service, and 7.5% for other elected officials who have completed 15 years of service. BACKGROUND: Longevity pay is a form of compensation paid to employees based on seniority or length of service with an organization. Its purpose is to encourage the retention of long-term employees. In 2007, this Board determined that members of the Board of Supervisors who had not previously earned this benefit should not be eligible to receive it in the future and the Board of Supervisors revised the Management Benefits Resolution to reflect that decision. On August 10, 2010, the Board of Supervisors directed that the Management Benefits Resolution be updated to reflect a similar change with regard to the compensation of other elected county officials, i.e., Assessor, Auditor-Controller, Clerk-Recorder, District Attorney, Sheriff, and Treasurer Tax-Collector. Resolution 2010/514 carries out that direction. The resolution provides that elected officials who take office on and after January 1, 2011, and have not previously earned longevity pay as elected officials, will not receive longevity pay. These changes are set forth in Sections 12, 26, and 63 of the resolution. This reflects the Board’s ongoing effort to reduce its long-term liabilities and strengthen the County’s fiscal stability and ability to deliver services. Furthermore, elected officials run for office voluntarily and there is no need to pay a longevity benefit to encourage an elected official to run for re-election. Continuing to pay a longevity benefit would perpetuate a practice of increasing the compensation of an elected official merely for serving more years in office. Technical changes have also been made to the Management Benefits Resolution to affirm that the Board’s previous action to eliminate the retiree health subsidy for new hires after January 1, 2009, applies in the same way to elected officials as it does to appointed department heads and other management, exempt and unrepresented employees. This means that an elected official whose term of office begins after January 1, 2009, will not be eligible for a County retiree health care subsidy, unless that person previously qualified to receive the subsidy. Since no elected officials have begun a term of office since January 1, 2009, the first elected officials who will be impacted by this change are those whose terms begin on or about January 1, 2011. The chart below reflects the resulting annual compensation for incoming elected officials. Office Officer-Elect Current Annual Compensation Annual Compensation as of 1/1/2011 Auditor-Controller $104,658.00 $146,622.24 District Attorney (This reflects only the salary of the candidate who currently works for the DA’s office) $151,131.37 $203,082.84 Sheriff-Coroner (This reflects the salary of the Concord Police Chief) $202,362.00 $194,617.92 Treasurer-Tax Collector $132,872.97 $145,465.44 This chart demonstrates that the existing county employees who have been elected to the office of Auditor-Controller and Treasurer-Tax Collector will receive salary increases even without the additional longevity pay benefit. The county employee who is running for District Attorney would also receive a salary increase, if elected, even without the longevity pay benefit. CONSEQUENCE OF NEGATIVE ACTION: If the above-described changes are not made to eliminate the longevity pay for elected officials, the County will continue to incur the costs associated with paying longevity pay to elected officials. The remainder of the changes are technical and serve only to clarify existing language. If those changes are not made, the resolution will be less easily understood. CHILDREN'S IMPACT STATEMENT: None. CLERK'S ADDENDUM Speakers: Robert Campbell, Auditor-Controllers office; Russell Watts, Treasurer-Tax Collector Elect; Karen Mitchoff, Supervisor-Elect. ATTACHMENTS Resolution No. 2010/514 Resolution No. 2010_514 Resolution 2010 514 Table of Contents Resolution 2010 514 Clean Resolution 2010 514 with Mark-Ups Exhibits A - E