HomeMy WebLinkAbout2018-06-26; City Council; ; Revisions to the Management Compensation and Benefits Plan and the Carlsbad Municipal Code and appropriating $55,000 in additional funds(i) CITY COUNCIL
Staff Report
Meeting Date:
To:
From:
Staff Contact:
June 26, 2018
Mayor and City Council
Kevin Crawford, City Manager
Julie Clark, Human Resources Director
Julie.clark@carlsbadca.gov or 760-602-2440
CA Review vJV
Subject: Revisions to the Management Compensation and Benefits Plan and the
Carlsbad Municipal Code and appropriating $55,000 in additional funds.
Recommended Action
Adopt a Resolution approving revisions to the Management Compensation and Benefits Plan and
the Carlsbad Municipal Code and appropriating $55,000 in additional funds.
Executive Summary
In accordance with City Council's desire to maintain competitive levels of compensation and
benefits, staff recommends updating the Management Compensation and Benefits Plan and the
Carlsbad Municipal Code. Staff have reviewed changes to recent bargaining unit MOUs, as well
as market survey data, and have determined that changes to the Management Compensation
and Benefits Plan and Carlsbad Municipal Code are necessary in order to keep management
employees competitively compensated. The revised Management Compensation and Benefits
Plan and Carlsbad Municipal Code are being presented to the City Council as the governing body
authorized to mak~ changes to such documents.
Discussion
Staff recommends making the following revisions:
1. COMPENSATION ADJUSTMENTS:
End the pay for performance system and replace the base pay matrix with a uniform base pay
increase. Effective January 1, 2019, all management employees will receive a three percent
(3.0%) salary increase. An employee's salary may not exceed the maximum of the pay range
for his or her classification.
In addition, effective January 1, 2019 all management pay ranges will be increased by a
percentage equal to the West Urban CPI -U percentage increase, with the minimum increase
equal to one half percent (0.5%) and the maximum increase equal to three percent (3%).
These actions do not impact employees' salaries.
2. FLOATING HOLIDAYS:
Effective July 1, 2018, all management employees will receive one floating holiday per fiscal
year.
June 26, 2018 Item #5 Page 1 of 51
3. EXECUTIVE LEAVE:
Effective July 1, 2018, increase the amount of Executive Leave provided to all management
employees from 56 to 64 hours.
4. PHYSICAL FITNESS REIMBURSEMENT:
Expand definition of the Physical Fitness Reimbursement benefit to include, but not be
limited to, fees paid to physical fitness providers.
5. GIVE CITY MANAGER AUTHORITY OVER MANAGEMENT JOB TITLES AND DESCRIPTIONS:
Allow City Manager to make changes to management classifications. This necessitates a
change to Section 2.44.020 of the Carlsbad Municipal Code.
6. Language changes to the Management Compensation and Benefits Plan and the Carlsbad
Municipal Code {Section 2.44.020 Personnel officer) as outlined in Attachments A and B to
the Resolution.
Fiscal Analysis
The estimated annual fiscaJ impact associated with the actions described above is as follows:
• The annual cost of the salary increase on January 1, 2019 included in the proposed
Management Compensation and Benefits Plan is $604,000. This cost includes salary and
related benefits. Funding for this is included in the adopted Fiscal Year 2018-19 budget.
• The annual cost of expanding the definition of the Annual Fitness Examination is
$55,000. An appropriation of $55,000 is being requested from the General Fund
balance to pay for this change.
• There is no fiscal impact associated with the remaining items outlined above.
Next Steps
Staff will implement the approved changes to the Management Compensation and Benefits Plan and
Carlsbad Municipal Code.
Environmental Evaluation {CEQA)
The proposed action does not qualify as a "project" under the California Environmental Quality
Act {CEQA) per State CEQA Guidelines Section 15378 as it does not result in a direct or
reasonably foreseeable indirect physical change in the environment.
Public Notification
This item was noticed in accordance with the Ralph M. Brown Act and was available for viewing
at least 72 hours prior to the meeting date.
Exhibits
1. City Council Resolution.
2. Strike-out copy of the Management Compensation and Benefits Plan.
3. Strike-out copy of affected section of the Carlsbad Municipal Code.
June 26, 2018 Item #5 Page 2 of 51
RESOLUTION NO. 2018-105
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD,
CALIFORNIA, APPROVING REVISIONS TO THE MANAGEMENT
COMPENSATION AND BENEFITS PLAN AND THE CARLSBAD
MUNICIPAL CODE AND APPROPRIATING $55,000 IN ADDITIONAL
FUNDS.
Exhibit 1
WHEREAS, the City of Carlsbad Human Resources Department has reviewed the
Management Compensation and Benefits Plan and Carlsbad Municipal Code and determined
revisions are necessary; and
WHEREAS, the City Council has determined it to be in the public interest to accept such
revisions in the form of the Management Compensation and Benefits Plan, marked Attachment
A, and the Carlsbad Municipal Code, marked Attachment B, and incorporated by reference
herein; and
WHEREAS, staff recommends that City Council appropriate $55,000 in additional funds to
pay for the impact of expanding the definition of the Annual Fitness Examination.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad, California,
as follows:
1. That the above recitations are true and correct.
2. That the Management Compensation and Benefits Plan as set forth in
Attachment A is hereby approved and the City Manager is authorized and
directed to execute it.
3. That the Carlsbad Municipal Code as set forth in Attachment Bis hereby
approved and the City Manager is authorized and directed to execute it.
4. That the City Council authorizes the Administrative Services Director to
appropriate additional funds in the amount of $55,000 from the General Fund
balance to be used to fund the compensation and benefit changes that will occur
during Fiscal Year 2018-19.
June 26, 2018 Item #5 Page 3 of 51
PASSED, APPROVED AND ADOPTED at a Regular Meeting of the City Council of the City
of Carlsbad on the 26th day of June, 2018, by the following vote, to wit:
AYES: M. Hall, K. Blackburn, M. Schumacher, C. Schumacher, M. Packard.
NOES: None.
ABSENT: None.
~v2~
rARBARA ENGLESON, City Clerk
(SEAL)
June 26, 2018 Item #5 Page 4 of 51
Attachment A
MANAGEMENT COMPENSATION AND BENEFITS PLAN
Section 1
Section 2
Section 3
TABLE OF CONTENTS
Introduction ............................................................................ Page 2
Compensation ........................................................................ Page 2
Pay Ranges ....................................................................... Page 2
Compensation Adjustments ............................................ Page 3
Survey Market .................................................................. Page 3
Benefits .................................................................................. Page 4
Life Insurance and Voluntary Benefits ............................ Page 4
Retirement ........................................................................ Page 4
Leave of Absence ............................................................. Page 5
1. Vacation .............................................................. Page 6
2. Executive Leave ................................................. Page 7
3. Sick Leave .......................................................... Page 7
4. Bereavement Leave ............................................ Page 8
5. Leave Without Pay ............................................. Page 8
6. Pregnancy Disability Leave ................................ Page 9
7. FMLA ................................................................. Page 10
8. Military Leave .................................................... Page 10
9. Jury Duty ............................................................ Page 10
10. Extended Leave of Absence ............................... Page 10
Separation Compensation ................................................ Page 11
Holidays ........................................................................... Page 11
Health Benefits ................................................................. Page 12
Health Insurance for Retirees ........................................... Page 13
Physical Fitness Reimbursement ..................................... Page 14
Long-Term Disability Insurance (LTD) .......................... Page 14
Deferred Compensation ................................................... Page 14
Drug and Alcohol Policy ................................................. Page 14
Uniform Reimbursement and Reporting the Value
of Uniforms to CalPERS .................................................. Page 15
Fire Safety Management.. ................................................ Page 15
Special Assignment and Temporary Upgrade Pay .......... Page 15
June 26, 2018 Item #5 Page 5 of 51
Management Compensation and Benefits Plan
SECTION 1: INTRODUCTION
The Management Compensation and Benefits Plan contains three parts: 1) an introduction, 2) an
overview of compensation and 3) a description of benefits for management employees.
Definitions
1. Management Employees -Management employees are defined as those employees
whose classifications are listed on the Management Salary Structure. Except as to those
· management employees subject to an applicable law, all management employees are
considered "at-will" and have no property rights to their position. At will employment
with the City may be terminated at any time by either party, with or without cause, for
any reason or no reason whatsoever, and with or without advance notice. At will
employees do not have the right to appeal.
2. City Council Appointed Employees -The City Manager, City Attorney and Chief
Operations Officer are hired by and responsible directly to the City Council. The salaries
for these positions shall be set by the City Council. The City Manager, City Attorney
and Chief Operations Officer will not be subject to the provisions of the Compensation
program as outlined in Section 2 of this document. The schedule of management benefits
(as outlined in Section 3 of this document) will apply to these positions, except as
otherwise provided by the City Council.
SECTION 2: COMPENSATION
Pay Ranges
Each management job classification is assigned to a specific pay range. An employee may be paid
anywhere in the pay range associated with their job classification.
Any employee may be advanced in the pay range regardless of the length of time served at the
employee's present pay rate. This advancement requires the written recommendation of the
employee's manager and the approval of the employee's department head and City Manager (or
City Attorney, for management employees in the City Attorney's Office)1.
If, as a result of a pay range adjustment, an employee's base salary falls below the minimum of the
pay range, the employee's salary will be increased to the new range minimum as of the date City
Council approves the pay range adjustment.
Periodically the Human Resources Department will bring forth salary range movement
recommendations to City Council that are based on market and economic conditions, and may
include one or more salary ranges.
Effective January 1, 2019 all management pay ranges will be increased by a percentage equal to the
West Urban CPI-U percentage increase (the index using all items from October to October), with
the minimum increase equal to one half percent (0.5%) and the maximum increase equal to three
percent (3%).
1 Hereafter, all references to the City Manager include, with regard to management employees in the City Attorney's
Office, the City Attorney.
2
Revised 6/26/18 June 26, 2018 Item #5 Page 6 of 51
Management Compensation and Benefits Plan
Compensation Adjustments
Effective January 1, 2019, all management employees shall receive a three percent (3%) base salary
increase. An employee's base pay rate may not exceed the maximum of the pay range for their
classification.
Survey Market
In keeping with the City Council's philosophy of surveying the total compensation of local
agencies, the agencies listed below will be considered in the survey market for management
classifications.
• City of Chula Vista
• City of Coronado
• City of Del Mar
• City of El Cajon
• City of Encinitas
• City of Escondido
• City of Imperial Beach
• City of La Mesa
• City of National City
• City of Oceanside
• City of Poway
• City of San Marcos
• City of Solana Beach
• City of San Diego
• City of Santee
• City of Vista
• County of San Diego
In addition to the agencies listed above, the following agencies will be considered in the survey
market only for Utilities Director, Utilities Manager and Utilities Supervisor classifications.
• Encina Wastewater Authority
• Helix Water District
• Olivenhain Municipal Water District
• Otay Water District
• Padre Dam Municipal Water District
• Vallecitos Water District
• Vista Irrigation District
The Human Resources Department will compare salary and benefits information on each City of
Carlsbad benchmark classification with appropriate classifications in the survey market. Those
classifications that are considered benchmarks are those in which there was a substantial match
between the competencies and duties required for jobs at the City of Carlsbad and those for jobs in
the survey market.
Each City of Carlsbad job classification is assigned to a specific pay range. The non-benchmark
positions are assigned to a pay range based on internal relationships, responsibility and/or
3
Revised 6/26/18 June 26, 2018 Item #5 Page 7 of 51
Management Compensation and Benefits Plan
knowledge, skills and abilities of jobs. The benchmark salary data will be surveyed regularly and
the benchmark comparisons will be modified when the classifications change within the
organization.
The City Council delegates to the City Manager the authority to create and change job
classifications and assign job classifications to a specific pay range, based on both benchmark salary
information and internal relationships within the organization.
SECTION 3: BENEFITS
Life Insurance and Voluntary Benefits
All management employees shall receive City paid life insurance in an amount equal to two times
the basic yearly earnings. To determine benefits, the amount of insurance is rounded to the next
higher $1,000 multiple, unless the amount equals a $1,000 multiple.
The City provides various voluntary benefits available at the employee's cost. Employees may
select among various levels of coverage. For information regarding these benefits, contact the
Human Resources Department at 760-602-2440.
Retirement
All management employees shall participate in the California Public Employees' Retirement System
(CalPERS). The specific retirement formula applied will be determined based on whether the
position is deemed safety or miscellaneous. All positions not deemed eligible for safety retirement
will be deemed miscellaneous under the CalPERS system. Optional benefits unique to the City of
Carlsbad's contract with CalPERS are outlined in the contract between the city and CalPERS. A
copy of this contract is kept on file in the Human Resources Department.
Management employees who are considered fire safety employees are eligible for the same
retirement benefit formula and are subject to the same optional retirement benefits described in the
City of Carlsbad CalPERS safety contract ( and are the same as those provided to employees
represented by the Carlsbad Firefighters' Association, Inc.). Umepresented sworn police
management employees are eligible for the same retirement benefit formula and are subject to the
same optional retirement benefits described in the City of Carlsbad CalPERS safety contract ( and
are the same as those provided to employees represented by the Carlsbad Police
Officers' Association).
A. The City has contracted with CalPERS for the following retirement benefits:
Miscellaneous "Classic" Members (those that do not qualify as "New Members" as
defined below)
a) Employees entering City of Carlsbad miscellaneous CalPERS membership for the first
time prior to November 28, 2011 -The retirement formula shall be 3%@ 60; single
highest year final compensation.
b) Employees entering City of Carlsbad miscellaneous CalPERS membership for the first
time on or after November 28, 2011 -The retirement formula shall be 2%@ 60; three
year average final compensation.
4
Revised 6/26/18 June 26, 2018 Item #5 Page 8 of 51
Management Compensation and Benefits Plan
c) Employees entering City of Carlsbad safety CalPERS membership for the first time prior
to October 4, 2010 -The retirement formula shall be 3%@ 50; single highest year final
compensation.
d) Employees entering City of Carlsbad safety CalPERS membership for the first time on
or after October 4, 2010 -The retirement formula shall be 2%@ 50; three year average
final compensation.
"New Members"
Employees who are "New Members" as defined by the California Public Employees'
Pension Reform Act of 2013 (PEPRA) (e.g., an employee hired on or after 1/1/2013 who
has never been a CalPERS member or member of a reciprocal system or who has had a
break in CalPERS service of at least 6 months or more) will be subject to all the applicable
PEPRA provisions, which include but are not limited to the following retirement benefits.
a) Miscellaneous employees -Retirement formula shall be 2%@ 62; three year average
final compensation.
b) Safety employees -Retirement formula shall be 2.7%@ 57; three year average final
compensation.
B. Employee Retirement Contribution
The employee retirement contribution will be made on a pre-tax basis by implementing
provisions of section 414(h)(2) of the Internal Revenue Code (IRC).
Employees shall make the following employee retirement contributions through payroll
deductions:
• miscellaneous employees subject to the 3%@ 60 benefit formula shall pay all of
the employee retirement contribution (8% ),
• miscellaneous employees subject to the 2%@ 60 benefit formula shall pay all of
the employee retirement contribution (7% ),
• safety employees subject to the 3%@ 50 or 2%@ 50 benefit formulas shall pay
all of the employee retirement contribution (9% ), and
• miscellaneous and safety employees who meet the definition of "New Member"
under PEP RA shall pay one half of the normal cost rate associated with their
benefit plan.
Leave of Absence
Management employees are exempt from overtime requirements under the Fair Labor Standards
Act. Management employees in the City are paid on a salary basis versus an hourly basis. Pursuant
to FLSA regulation 29 CFR Section 541.5d, the City can make deductions from salary or leave
accounts for partial day absences for personal reasons or sickness because the City has a policy and
practice of requiring its employees to be accountable to the public that they have earned their
salaries. A partial day absence is an absence of less than the employee's regular work day.
Pursuant to FLSA regulation 29 CFR Section 541.118 (a)(2) and (a)(3), the City may make salary
or leave reductions based upon full day absences.
5
Revised 6/26/18 June 26, 2018 Item #5 Page 9 of 51
Management Compensation and Benefits Plan
Partial day or full day absences shall be first charged against the exempt employee's vacation, sick,
or executive leave account. In the event the exempt employee does not have sufficient time in
his/her leave account to cover the absence, deductions without pay will be made on full days only.
1. Vacation
a. Vacation Accrual
Revised 6/26/18
Every management employee shall accrue vacation leave for each calendar year of
actual continuous service dating from the commencement of said service, with such
time to be accrued on a daily (calendar day) basis. Vacation leave can be used in 15
minute increments.
All management employees ( except Fire Battalion Chiefs) shall earn vacation on the
following basis:
Beginning with the first (1st) working day through the completion of five (5)
full calendar years of continuous service -13 minutes/day.
Beginning the sixth (6th) year of employment through the completion of ten
(10) full calendar years of continuous service -20 minutes/day.
Beginning the eleventh (11th) year of employment through the completion of
eleven (11) full calendar years of continuous service -21 minutes/day.
Beginning the twelfth (12th) year of employment through the completion of
twelve (12) full calendar years of continuous service -22 minutes/day.
Beginning the thirteenth (13th) year of employment through the completion
of thirteen (13) full calendar years of continuous service -24 minutes/day.
Beginning the fourteenth (14th) year of employment through the completion
of fifteen (15) full calendar years of continuous
service -25 minutes/day.
Beginning the sixteenth (16th) year of continuous employment, vacation time
shall be accrued, and remain at a rate of 26 minutes/day for every full
calendar year of continuous employment thereafter.
Management employees with comparable service may be granted credit for such
service for the purpose of computing vacation at the discretion of the City Manager.
All management employees shall be permitted to earn and accrue up to and including
three hundred and twenty (320) hours of vacation, and no employee will be allowed
to earn and accrue vacation hours in excess of the three hundred and twenty (320)
hour maximum.* The City Manager shall be responsible for the granting of vacation
to all management personnel, except in the case of the City Attorney's Office, where
the City Attorney shall be responsible for granting vacation.
* If there are unusual circumstances that would require an employee to exceed the vacation accrual
maximum, he/she must submit a request in writing to the Department Head and the City Manager or
Designee. The Department Head and the City Manager or Designee may grant such a request if it is
6 June 26, 2018 Item #5 Page 10 of 51
Management Compensation and Benefits Plan
in the best interest of the City. Requests will be handled on a case-by-case basis and will be
considered only in extreme circumstances.
Fire Battalion Chiefs shall accrue vacation in the same manner and up to the same
maximum as Carlsbad Firefighters' Association (CF A) represented employees.
b. Vacation Conversion
Each February, management employees will be allowed to voluntarily convert up to
80 hours of accrued vacation to cash, provided that they have used 80 hours of
vacation, executive time or floating holiday during the prior calendar year. Fire
Battalion Chiefs that work 112 hours per bi-weekly pay period will be allowed to
voluntarily convert up to 112 hours of accrued vacation to cash, provided that they
have used 112 hours of vacation, executive time or floating holiday during the prior
calendar year.
c. Vacation Payout
An employee separating from the City service who has a balance of unused accrued
vacation leave shall be entitled to be paid for the remainder of their unused accrued
vacation leave as of their last day on payroll.
2. Executive Leave (E-time)
Effective July 1, 2018, all management personnel shall receive sixty-four (64) hours per
fiscal year for executive leave. The sixty-four (64) hours will be credited upon hire or
promotion into management and at the beginning of each fiscal year to individual leave
balances. This leave must be used within the same fiscal year. The City Manager is
authorized to provide ten (10) additional hours of executive leave per year to any
management employee who is required to work extended hours due to emergencies such as
fires, storms, floods, or other emergencies.
3. Sick Leave
Sick leave can be used in 15 minute increments.
Sixteen (16) minutes of sick leave are accrued per calendar day. Accumulation is unlimited
( employees cannot receive payment for unused sick leave). Fire Battalion Chiefs that work
112 hours per bi-weekly pay period shall accrue sick leave commensurate with CFA
represented employees that work at 112 hours per bi-weekly pay period.
Any management employee who has accrued and maintains a minimum of one hundred
(100) hours of sick leave shall be permitted to convert up to twelve (12) days of sick leave
and uncompensated sick leave to vacation at a ratio of three (3) sick leave days per one (1)
day of vacation. The sick leave conversion option will be provided during the first week of
each fiscal year. Conversion can only be made in increments of full day vacation days.
Employees will not be allowed to convert sick leave to vacation if such conversion would
put them over the vacation accrual maximum.
7
Revised 6/26/18 June 26, 2018 Item #5 Page 11 of 51
Management Compensation and Benefits Plan
Any permanent employee applying for retirement with the Public Employees' Retirement
System may convert accrued and unused sick leave time to extend service time in the system
at the ratio of twenty-five (25) days of accrued sick leave to one month of extended service.
4. Bereavement Leave
An employee may use up to an equivalent of three work days of paid leave if required to be
absent from duty due to the death of a member of the employee's immediate family.
Additional time off may be authorized by the Department Head and charged to accrued
vacation or sick leave or, when no accrued leave is available, treated as leave without pay.
The "immediate family" shall be defined in the personnel rules and regulations.
The employee may be required to submit proof ofrelative's death before final approval of
bereavement leave is granted.
5. Leave of Absence Without Pay
a. General Policy
Any employee may be granted a leave of absence without pay pursuant to the
pproval of his/her Department Head for less than two calendar weeks. If the duration
of the leave of absence will be longer, the approval of the City Manager or his/her
designee is required.
An employee shall utilize all his/her vacation, e-time ancl/or sick leave (if applicable)
prior to taking an authorized leave of absence without pay.
A leave without pay may be granted for any of the following reasons:
1. Illness or disability.
2. To take a course of study which will increase the employee's
usefulness on return to his/her position in the City service.
3. For personal reasons acceptable to the City Manager and Department
Head.
b. Authorization Procedure
Revised 6/26/18
Requests for leave of absence without pay shall be made in writing and shall state
specifically the reason for the request, the date when the leave is desired to begin, the
probable date of return, and the agreement to reimburse the City for any benefit
premiums paid by the City during the leave of absence. The request shall normally
be initiated by the employee, but may be initiated by his/her Department Head, and,
if applicable, shall be promptly transmitted to the City Manager or his/her designee
for approval. A copy of any approved request for leave of absence without pay with
a duration equal to or greater than two calendar weeks shall be delivered promptly to
the Directors of Finance and Human Resources.
8 June 26, 2018 Item #5 Page 12 of 51
Management Compensation and Benefits Plan
c. Length of Leave and Extension
A leave of absence without pay may be made for a period not to exceed six months,
unless otherwise approved by the City Manager. The procedure for granting
extensions shall be the same as that in granting the original leave provided that the
request for extension is made no later than fourteen (14) calendar days prior to the
expiration of the original leave.
d. Return From Leave
When an employee intends to return from an authorized leave of absence without
pay either before or upon the expiration of such leave, he/she shall contact his/her
Department Head at least fourteen (14) calendar days prior to the day he/she plans to
return. The Department Head shall promptly notify the Human Resources
Department of the employee's intention. The employee shall return at a rate of pay
not less than the rate at the time the leave of absence began.
e. Insurance Payments and Privileges
An employee on leave without pay may continue his/her City insurance benefits by
reimbursing the City for the employee's costs of insurance on a monthly basis during
the period of the leave. Failure to reimburse the City for such benefits during the
term of a leave of absence will result in the employee's coverage terminating on the
first day following the month in which the last payment was received.
Upon the employee's return to paid status, any sums due to the City shall be repaid
through payroll deductions. This applies to sums due for insurance as well as other
payment plans entered into between the City and the employee (e.g., computer loan).
Upon eligibility for COBRA, the employee will be notified of the opportunity to
continue benefit coverage via the COBRA process.
An employee on leave of absence without pay shall not have all of the privileges
granted to regular employees (e.g., holiday pay), unless required by law.
6. Pregnancy Disability Leave
Pregnancy Disability Leave shall be authorized and/or administered in accordance with the
provisions of State and Federal law. An employee disabled by pregnancy shall be allowed
to utilize a combination of accrued sick leave and vacation time and leave without pay to
take a leave for a reasonable period of time, not to exceed four months. An employee shall
utilize all accrued leave prior to taking leave without pay. Reasonable period of time means
that period during which the employee is disabled on account of pregnancy, childbirth, or
related conditions.
An employee who plans to take a leave pursuant to this article shall give the City reasonable
notice of the date the leave shall commence and the estimated duration of the leave.
9
Revised 6/26/18 June 26, 2018 Item #5 Page 13 of 51
Management Compensation and Benefits Plan
7. Family and Medical Leave of Absence (FMLA)
An employee may be granted a FMLA ofup to 12 weeks ina 12 month period for one or
more of the following reasons:
for the birth/placement of a child for adoption or foster care,
to care for an immediate family member with a serious health condition, or
to take medical leave when the employee is unable to work because of a serious
condition.
FMLA may be paid or unpaid and may be granted concurrently and in conjunction with
other leave and benefit provisions. Specific details regarding the provisions of this leave are
available by contacting the Human Resources Department.
8. Military Leave
Military leave shall be authorized in accordance with the provisions of State and Federal
law. The employee must furnish satisfactory proof to his/her Department Head, as far in
advance as possible, that he/she must report to military duty.
9. Jury Duty
When called to jury duty, an employee shall be entitled to his/her regular compensation.
Employees released early from jury duty shall report to their supervisor for assignment for
the duration of the shift. Employees shall be entitled to keep mileage reimbursement paid
while on jury duty.
A Department Head may, at his/her sole discretion, contact the court and request an
exemption and/or postponement of jury service on behalf of an employee.
Employees released early from jury duty shall report to their supervisor for assignment for
the duration of the work day. At the discretion of the supervisor, an employee may be
released from reporting back to work if an unreasonable amount of the work day remains in
light of travel time to the job site after release.
10. Extended Leave of Absence
Upon completion of 84 consecutive calendar days (12 weeks) ofleave of absence (paid or
unpaid and except when leave is ordered by the city or when an employee is on an active
duty military leave) or completion of a leave of absence related to Section 4850 of the
Labor Code, whichever occurs later, an employee will not be eligible for the benefits listed
below:
• accrual of sick leave and vacation,
• cell phone allowance,
• car allowance and
• holiday pay for Fire Battalion Chiefs.
10
Revised 6/26/18 June 26, 2018 Item #5 Page 14 of 51
Management Compensation and Benefits Plan
On the day that the employee returns to work from the extended leave of absence, the
employee will resume eligibility for the abovementioned benefits and the employee's
vacation anniversary date and seniority ( calculation of continuous service with the City)
will be adjusted for each calendar day the leave of absence lasted beyond 84 consecutive
calendar days or the completion of a leave of absence related to Section 4850 of the Labor
Code, whichever was longer.
Separation Compensation
All management employees involuntarily separated from the City service due to budget cutbacks,
layoffs, contracting out of service or for other reasons not due to misconduct which would justify
involuntary separation shall receive one month's salary computed at the employee's actual salary at
the time of separation.
Holidays
All management employees shall be paid holidays in accordance with the schedule of eleven (11)
holidays as established by the City Council. Fire Battalion Chiefs are subject to the same holiday
schedule that is outlined for management employees. However, they are compensated for holidays
in the same manner as CF A represented employees that work 112 hours per bi-weekly pay period.
The scheduled paid holidays that will be official City holidays shall be as follows:
New Year's Day
Martin Luther King's Birthday
Presidents' Day
Memorial Day
Independence Day
Labor Day
Columbus Day
Veteran's Day
Thanksgiving Day
Thanksgiving Friday
Christmas Day
Only employees who are on employed status on their last scheduled work day before a holiday shall
be entitled to the paid holiday except where otherwise required by law.
Effective July 1, 2018, all management employees will receive one floating holiday per fiscal year,
each year on July 1st.
The floating holiday may be used at the discretion of the employee with prior approval of the
employee's supervisor. The floating holiday must be taken as a full day off. There is no partial day
use of a floating holiday. The floating holiday pay is paid at straight time equal to the number of
hours in the employee's regular work shift on that day. Unused floating holidays will not carry over
to the next fiscal year and will not paid out upon separation of employment.
11
Revised 6/26/18 June 26, 2018 Item #5 Page 15 of 51
Management Compensation and Benefits Plan
Health Benefits
Management employees will participate in a flexible benefits program which includes medical
insurance, dental insurance, vision insurance, flexible spending accounts (FSAs) and Accidental
Death & Dismemberment insurance (AD&D). Each of these components is outlined below.
1. Medical Insurance
Management employees will be covered by the Public Employees' Medical and Hospital Care
Act (PEMHCA) and will be eligible to participate in the California Public Employees'
Retirement System (CalPERS) Health Program. The City will pay on behalf of all management
employees and their eligible dependents and those retirees mentioned in the section of this
document titled, "Health Insurance for Retirees," the minimum amount per month required
under Government Code Section 22892 of the PEMHCA for medical insurance through the
California Public Employees' Retirement System (CalPERS). If electing to enroll for medical
benefits, the employee must select one medical plan from the variety of medical plans offered.,
Effective January 1, 2018, the City will contribute the following monthly amounts (called
"Benefits Credits") on behalf of each active management employee and eligible dependents
toward the payment of 1) medical premiums under the CalPERS Health Program, 2)
contributions in the name of the employee to the City's flexible spending account(s), 3) dental
premiums 4) vision premiums and/or 5) accidental death and dismemberment (AD&D)
premmms:
(a)
(b)
(c)
For employees with "Employee" coverage, the City shall contribute five
hundred seventy-three ($573) per month that shall include the mandatory
payments to CalPERS. If the actual total premiums exceed the City's total
contributions, the employee will pay the difference.
For employees with "Employee Plus One" coverage, the City shall contribute
one thousand one hundred forty-six dollars ($1,146) per month that shall
include the mandatory payments to CalPERS. If the actual total premiums
exceed the City's total contributions, the employee will pay the difference.
For employees with "Family" coverage, the City shall contribute one
thousand five hundred two dollars ($1,502) per month that shall include the
mandatory payments to CalPERS. If the actual total premiums exceed the
City's total contributions, the employee will pay the difference.
Subsequently, effective January 1 of each calendar year, the City monthly Benefits Credits will
change for each coverage level. The monthly Benefits Credits will be set to dollar amounts that
equate to 80% of the average health (medical, dental and vision) premium for Employee, Employee
Plus One and Family coverage levels, rounded to the nearest whole dollar based on the premiums
that will take effect on January 1 of the respective calendar year.
Unused Benefits Credits as outlined above will be paid to the employee in cash and reported as
taxable income. If the amount contributed by the City (Benefits Credits) exceeds the cost of the
medical insurance purchased by the employee, the employee will have the option of using any
"excess credits" to purchase dental, vision, or accidental death and dismemberment (AD&D)
12
Revised 6/26/18 June 26, 2018 Item #5 Page 16 of 51
Management Compensation and Benefits Plan
insurance or to contribute to a healthcare or dependent care flexible spending account (FSA),
instead of receiving taxable cash.
All management employees who work three quarter-time or less will receive prorated Benefits
Credits.
2. Dental Insurance
Management employees will be eligible to enroll in or waive enrollment in a City-sponsored
dental plan at any coverage level.
3. Vision Insurance
Management employees will be eligible to enroll in or waive enrollment in a City-sponsored
vision insurance plan at any coverage level.
4. Waiver Provision
Management employees who do not wish to participate in the CalPERS Health Program will
have the choice of waiving the City's medical insurance program, provided they can show that
they are covered under another group insurance program.
The dollar amount paid by the City for employees who elect the waiver provision may change in
the first pay period of each calendar year. The Benefits Credits associated with waiving medical
coverage will be set equal to 50% of the Benefits Credits associated with Employee medical
coverage. If this results in a situation where the unused benefit credits associated with any
medical plan exceed the benefit credits associated with waiving medical coverage, the benefit
credits associated with waiving medical coverage will be set equal to one dollar ($1) above the
unused benefit credits associated with that medical plan.
Unused Benefits Credits as outlined above will be paid to the employee in cash and reported as
taxable income.
Health Insurance for Retirees
Effective January 1, 2001, management employees will be covered by the Public Employees'
Medical and Hospital Care Act and will be eligible to participate in the California Public
Employees' Retirement System (CalPERS) Health Program. Management employees who retire
from the City, either service or disability, shall be eligible to continue their enrollment in the
CalPERS Health Program when they retire, provided that the individual is enrolled or eligible to
enroll in a CalPERS medical plan at the time of separation from employment and their effective
date of retirement is within 120 days of separation. The City will contribute the minimum amount
per month required under Government Code Section 22892 of the PEMHCA toward the cost of
each retiree's enrollment in the CalPERS Health Program.
Employees who retire from the City, either service or disability, shall be eligible to elect, upon
retirement to participate in the City's dental and/or vision insurance programs as a retiree. The cost
of such dental and/or vision insurance for the retiree and eligible dependents shall be borne solely
13
Revised 6/26/18 June 26, 2018 Item #5 Page 17 of 51
Management Compensation and Benefits Plan
by the retiree. An individual who does not choose coverage upon retirement, or who chooses
coverage and later drops it is not eligible to return to the City's dental and vision insurance
program.
The City will invoice the retiree for his/her monthly premiums for dental and/or vision insurance
and the retiree must keep such payments current to ensure continued coverage.
Physical Fitness Reimbursement
All management employees shall be eligible for reimbursement of up to the amount of four hundred
fifty dollars ($450) during each fiscal year for the costs associated with physical fitness.
Each employee claiming reimbursement shall be required to submit original receipts to the Human
Resources department for approval and reimbursement.
The physical fitness reimbursement is offered to management employees to promote optimum
health. Services include, but are not limited to: health assessment testing and examinations,
computerized heart risk profile, complete blood profile, fees paid to physical fitness providers,
nutritional assessment and diet program.
Long-Term Disability Insurance (LTD)
Long-term disability is available for all management personnel after 30 calendar days of disability.
The LTD premium cost is paid by the City. Employees shall be entitled to combine accumulated
vacation leave ore-time with LTD payments for the purpose of achieving the equivalent of their
pre-disability salary to the extent allowed by law during any period of nonindustrial disability.
Accumulated sick leave may not be combined with LTD payments. Under no circumstances shall
the combination of accumulated leave and LTD payments exceed the employee's pre-disability
salary.
Deferred Compensation
The City shall provide deferred compensation plan( s) which may be utilized by any management
employee. The City reserves the right to accept or reject any particular plan and to impose specific
conditions upon the use of any plan. It is acknowledged that the City will assist in the
administration of this benefit but that the City has no liability if an employee should default on the
repayment of such a loan.
Drug and Alcohol Policy
It is the policy of the City of Carlsbad to provide a work environment free from the effects of drugs
and alcohol consistent with the directives of the Drug Free Workplace Act.
The City provides a voluntary Employee Assistance Program (EAP) to assist employees who seek
help for substance abuse or other personal problems affecting work or family life. This program is
available to employees and their family members and offers 24-hour access to confidential
professional EAP assistance for emergency or urgent situations. For more specific information,
contact the Human Resources Department or visit the City's intranet site.
14
Revised 6/26/18 June 26, 2018 Item #5 Page 18 of 51
Management Compensation and Benefits Plan
Uniform Reimbursement & Reporting the Value of Uniforms to CalPERS
Reimbursement to the Police Chief for the cost of purchasing and maintenance of required uniforms
shall be $26.92 per pay period.
Effective May 31, 2010, all fire management employees who are required to wear City-provided
uniforms will have the amount of$17.31 reported to CalPERS bi-weekly as special compensation
related to the monetary value of the required uniforms, excluding boots.
Under PEPRA, this benefit is not reported to CalPERS as special compensation for new members.
Fire Safety Management
1. Post-Retirement Healthcare Trust
Employees promoted into a fire safety management classification from a position represented by
CF A, Inc. after the establishment of the post-retirement healthcare trust by CF A, Inc. shall
contribute into the post-retirement healthcare trust established by CF A, Inc. via payroll deductions
until participation by CF A, Inc., in this type of trust is terminated. The employee contribution
amount shall be equal to the amount established for employees represented by CF A, Inc. In
addition, the city will make monthly contributions per fire safety management employee who is
contributing to the trust. The city contribution amount will be equal to the amount established for
employees represented by CF A, Inc. The City has no administrative responsibilities or liabilities
related to this benefit, other than processing of payroll contributions as described above.
2. Overtime
The classifications of Fire Chief, Fire Division Chief, Fire Battalion Chief and Fire Marshal are
exempt from overtime requirements under FLSA. However, Fire Battalion Chiefs are paid
straight time for overtime when they are covering the duty for a Battalion Chief who is on a
leave of absence and when they are directed to attend a mandatory training class associated with
the rank of Battalion Chief on a non-scheduled work day.
Through the California Fire and Rescue Mutual Aid System and California Fire Assistance
Agreement (CF AA), and at the request of the California Governor's Office of Emergency
Services (Cal OES), California Department of Forestry and Fire Protection (CAL FIRE),
Federal Fire Agencies or other fire agencies, City of Carlsbad Fire Department personnel can be
assigned to locations throughout California in the event of a local, State, or Federal emergency.
In the event this occurs, employees in the classification of Fire Division Chief and Fire Marshal
who are assigned to the emergency location are paid straight time for overtime (portal to portal)
beginning at the time of dispatch to the return to jurisdiction and employees in the classification
of Fire Battalion Chief who are assigned to the emergency location are paid at a rate of 1.5 for
overtime (portal to portal) beginning at the time of dispatch to the return to jurisdiction.
Special Assignment and Temporary Upgrade Pay
Whenever the needs of the City require an employee to temporarily perform the duties of a job
classification that has a higher pay range than the pay range associated with their current job
15
Revised 6/26/18 June 26, 2018 Item #5 Page 19 of 51
Management Compensation and Benefits Plan
classification for a period of more than twenty-one (21) calendar days, the employee shall be
designated as being in a special assignment and receive additional temporary upgrade pay. In such
cases, the employee shall be paid at an appropriate level which will assure an increase of not less
than five percent (5%) greater than his/her current salary. Subsequent to designation in a special
assignment, in the event that the situation changes and the City does not need the employee to serve
in the assignment for at least twenty-one (21) consecutive calendar days, the employee shall receive
the temporary upgrade pay for that period of time the assignment lasts. In the event that at the
beginning of a special assignment, it is not perceived that the assignment will last at least twenty-
one (21) consecutive calendar days, and the assignment nonetheless extends beyond twenty-one
(21) consecutive calendar days, the employee in the assignment shall receive the temporary upgrade
pay retroactive to the first day of the acting assignment.
No employee shall be required to perform any of the duties of a higher classification unless that
employee is deemed to possess the minimum qualifications of the higher classification by the
Human Resources Director as recommended by the affected Department Head. Exceptions to the
minimum qualifications criteria may be recommended by the affected Department Head on a case
by case basis. If the employee does not meet the minimum qualifications for the higher
classification he/she shall receive not less than 2.5% temporary upgrade pay.
The temporary upgrade pay shall commence on the first (1st) calendar day of the special
assignment. The recommendation that an employee be placed in a special assignment shall be put in
writing by the affected Department Head and submitted to the Human Resources Director for
approval. The employee shall not serve for more than one hundred and eighty (180) calendar days
in a special assignment unless approved by the City Manager or his/her designee.
If an employee is on a leave of absence (paid or unpaid and except when leave is ordered by the
city) for more than twenty-one (21) calendar days, the temporary upgrade pay associated with their
special assignment shall cease on the twenty-second (22nd) day. On the day that the employee
returns to work, if the supervisor determines that the employee is required to continue to perform
the duties of the special assignment, the temporary upgrade pay will resume as of the day the
employee returns to work.
A person in a special assignment shall be eligible to receive pay increases in his/her regular position
during the special assignment. The Human Resources Director shall obtain the employee's consent
for the special assignment prior to the employee's assuming or continuing the duties and additional
compensation, which shall clearly state that it is understood that a reduction in salary will occur due
to cessation of the temporary upgrade pay upon the expiration of the need for the special
assignment.
16
Revised 6/26/18 June 26, 2018 Item #5 Page 20 of 51
Attachment B
2.44.020 Personnel officer.
The city manager will be the personnel officer. The city manager may delegate any of the powers and
duties conferred upon him or her as personnel officer under this chapter to any other officer or employee
of the city or may recommend that such powers and duties be performed under contract as provided in
Section 2.44.140. The personnel officer will:
A. Administer all provisions of this chapter and of the personnel rules not specifically reserved to
the council;
B. Prepare and recommend to the council revisions and amendments to the personnel rules. The
city attorney will approve the legality of such revisions and amendments prior to their submission to
the council;
C. Prepare or cause to be prepared a position classification plan, including class specifications,
and revisions of the plan. For classifications in the classified service, the plan, and any revisions
thereof, will become effective upon approval by the council;
D. Prepare or cause to be prepared, a plan of compensation, and any subsequent revisions to it,
covering all classifications in the classified service. The plan, and any revisions thereof, will become
effective upon approval by the council;
E. Publish or post notices of examinations for positions in the classified service; receive
applications; conduct and score examinations and certify to the appointing power a list of all persons
eligible for appointment to the appropriate position in the classified service. (Ord. NS-793 §§ 5, 6, 7,
9, 10, 2006; Ord. 1120 § 2, 1970)
June 26, 2018 Item #5 Page 21 of 51
EXHIBIT 2
MANAGEMENT COMPENSATION AND BENEFITS PLAN
Section 1
Section 2
Section 3
TABLE OF CONTENTS
Introduction ............................................................................ Page 2
Performance Management and Compensation ...................... Page 2
Pay Ranges ....................................................................... Page
Compensation Adjustments ............................................ Page
Survey Market .................................................................. Page
Purpose .............................................................................. Page 2
Background ....................................................................... Page 3
Guidance ........................................................................... Page 3
Procedures ......................................................................... Page 10
Compensation Plan ........................................................... Page 12
Training ............................................................................. Page 13
Glossary ............................................................................ Page 13
Schedule of Benefits .............................................................. Page 14
Life Insurance and Voluntary Benefits ............................. Page 14
Retirement .... '. .................................................................... Page 14
Management Leave of Absence ........................................ Page 15
1. Vacation ......................................................... Page
2. Executive Leave ............................................. Page
3. Sick Leave ...................................................... Page
4. Bereavement Leave ........................................ Page
5. Leave Without Pay ......................................... Page
6. Pregnancy Disability Leave ........................... Page
7. FMLA ............................................................ Page
8. Military Leave ................................................ Page
9. Jury Duty ........................................................ Page
IO.Extended Leave of Absence ............................ Page
Sick Leave Com'ersion ..................................................... Page 21
Separation Compensation ................................................. Page 22
Holidays ............................................................................ Page 22
Health Benefits .................................................................. Page 22
Health Insurance for Retirees ............................................ Page 21
Annual Physical Examination and/or Physical ................ Page 24
Fitness TestingReimbursement
Long-Term Disability Insurance (LTD) ........................... Page 24
Deferred Compensation .................................................... Page 25
Drug and Alcohol Policy .................................................. Page 25
Uniform Reimbursement and Reporting the Value
of Uniforms to CalPERS ................................................... Page 25
Post Retirement Healthcare Trust.. ................................... Page 25
Fire Safety Management.. ................................................. Page 26
Special Assignment and Temporary Upgrade Pay ........... Page 26
June 26, 2018 Item #5 Page 22 of 51
Management Compensation and Benefits Plan
SECTION 1: INTRODUCTION
This attachment constitutes tihe Management Compensation and Benefits Plan, v,rhich contains
three parts: 1) an introduction, 2) ag ooe-f.overview of hmv management performance will be
evaluated and hov1 compensation levels will be determined, and 3) a schedule description of
management benefits for management employees.
A-Definitions
1. Management Employees -Management employees are defined as those employees
whose classifications are listed on the Management Salary Structure. Except as to those
management employees subject to an applicable law, all management employees are
considered "at-will" and have no property rights to their position. At will employment
with the City may be terminated at any time by either party, with or without cause, for
any reason or no reason whatsoever, and with or without advance notice. At will
employees do not have the right to appeal.
2. City Council Appointed Employees -The City Manager,_ and-City Attorney and Chief
Operations Officer are hired by and responsible directly to the City Council. The salaries
for these positions shall be set by the City Council. The City Manager.,_ aH:El-City Attorney
and Chief Operations Officer will not be subject to the provisions of the Performance
Management and Compensation program as outlined in Section 2 of this
attachmentdocument. The schedule of management benefits ( as outlined in Section 3 of
this attachmentdocument) will apply to these positions, except as otherwise provided by
the City Council.
SECTION 2: PERFORl\U ... NCE M} ... NACEl\iENT AND COMPENSATION 8Y8TE1\l(
The City Council has delegated its authority to the City Manager (and City l\.ttomey, for
management employees in the City Attorney's Office}1 to administer a Performance Management
and Compensation System for management employees under the general guidelines set forth in this
section. The City Manager will periodically provide the City Council with progress reports on the
operation of the Performance Management and Compensation System.
Pay Ranges
Each management job classification is assigned to a specific pay range. An employee may be paid
anywhere in the pay range associated with their job classification.
Any employee may be advanced in the pay range regardless of the length of time served at the
employee's present pay rate. This advancement requires the written recommendation of the
employee's manager and the approval of the employee's department head and City Manager (or
City Attorney, for management employees in the City Attorney's Office)1.
1 Hereafter, all references to the City Manager include, with regard to management employees in the City Attorney's
Office, the City Attorney.
2
Revised 6/23/15 June 26, 2018 Item #5 Page 23 of 51
Management Compensation and Benefits Plan
If, as a result of a pay range adjustment, an employee's base salary falls below the minimum of the
pay range, the employee's salary will be increased to the new range minimum as of the date City
Council approves the pay range adjustment.
Periodically the Human Resources Department will bring forth salary range movement
recommendations to City Council that are based on market and economic conditions, and may
include one or more salary ranges.
Effective January 1, 2019 all management pay ranges will be increased by a percentage equal to the
West Urban CPI-U percentage increase (the index using all items from October to October), with
the minimum increase equal to one half percent (0.5%) and the maximum increase equal to three
percent (3%).
Compensation Adjustments
Effective January 1, 2019, all management employees shall receive a three percent (3%) base salary
increase. An employee's base pay rate may not exceed the maximum of the pay range for their
classification.
Survey Market
In keeping with the City Council's philosophy of surveying the total compensation of local
agencies, the agencies listed below will be considered in the survey market for management
classifications.
• City of Chula Vista
• City of Coronado
• City of Del Mar
• City of El Cajon
• City of Encinitas
• City of Escondido
• City of Imperial Beach
• City of La Mesa
• City of National City
• City of Oceanside
• City of Poway
• City of San Marcos
• City of Solana Beach
• City of San Diego
• City of Santee
• City of Vista
• County of San Diego
In addition to the agencies listed above, the following agencies will be considered in the survey
market only for Utilities Director, Utilities Manager and Utilities Supervisor classifications.
• Encina Wastewater Authority
• Helix Water District
3
Revised 6/23/15 June 26, 2018 Item #5 Page 24 of 51
Management Compensation and Benefits Plan
• Olivenhain Municipal Water District
• Otay Water District
• Padre Darn Municipal Water District
• V allecitos Water District
• Vista Irrigation District
The Human Resources Department will compare salary and benefits information on each City of
Carlsbad benchmark classification with appropriate classifications in the comparator groupsurvey
market. Those classifications that are considered benchmarks are those in which there was a
substantial match between the competencies and duties required for jobs at the City of Carlsbad and
those for the comparator groupjobs in the survey market. The job matching is conducted by the
Human Resources Department. From time to time the City Council may also request that private
sector salary and benefits data be reviev1ed and compared to benchmark positions at the City of
Carlsbad.
Each City of Carlsbad job classification is assigned to a specific salary :lli!Y_range. The non-
benchmark positions are assigned to the salary structurea pay range based on internal relationships,
responsibility and/or knowledge, skills and abilities of jobs. The benchmark salary data will be
surveyed regularly and the benchmark comparisons will be modified when the classifications
change within the organization.
The City Council delegates to the City Manager the authority to create and change job
classifications and assign job classifications to a specific salary gradepay range, based on both
benchmark salary information and internal relationships within the organization.
I. PURPOSE:
Pay for Performance at the City of Carlsbad is based on the concept of a supervisor providing
regular coaching/feedback to the employee. The purpose is to:
r create an environment that rev,rards high performers;
r link financial rev,rards to accomplishing City business objectives;
r create a consistent City vlide approach for managers to link performance and rev,rards; and
r create a meaningful/fair reward system.
II. B} •. CKCROUND:
Consistent with the direction of the City Council, city staff have developed a compensation program
that establishes competitive pay through regular and consistent compensation surveys. The Human
Resources Department ',Nill maintain the highest possible number of benchmarks within the survey
market and make recommendations to City Council regarding maintaining competitive salary
ranges. The components of the compensation plan include:
r a performance management program based on the concepts of performance planning and
regular coaching/feedback;
4
Revised 6/23/15 June 26, 2018 Item #5 Page 25 of 51
Management Compensation and Benefits Plan
~ a market based salary structure; and
~ a Pay for Performance re1.vard system that includes merit increases* (base pay increases
and/or cash rewards for employees who are at the maximum of their salary range) based on
the demonstration of competencies and achievements.
* Eligibility for a merit pay increase is determined by an employee's performance and 1.vhere his/her
salary is relative to the midpoint of his/her salary range. Eligible employees who are at the salary
range maximum receive a cash re1vvard in lieu of a base pay increase.
III. C UID,A ..... ~CE:
l' .... ,A· .. nmial Review Cyele
The Performance Management Cycle is aligned 1.vith the calendar year. Belov,r is a summary.
Merit increases
delivered
l
HR determines base pay
matrix that complies with
approved merit pool funding
Supervisors conduct
year end reviews
B. Performanee Management
Council determines
funding for merit
pool
Supervisors select
competencies and
define priorities
\
Supervisors conduct mid-year
reviews (after Dept. Director
approves mid-year ratings)
I
Supervisors submit proposed
year end performance ratings
to Department Director
Department Directors
calibrate and finalize
performance ratings
The performance management process consists of four important, interrelated steps.
Step 1 Performance Planning
Supervisors and employees will have an initial discussion to determine which functional
competencies will be used to evaluate the employee in the upcoming year. The supervisor explains
and sets performance level expectations. The supervisor and employee will also establish specific
priorities, contributions or development plans that are aligned with the departmental and
organizational strategic direction.
5
Revised 6/23/15 June 26, 2018 Item #5 Page 26 of 51
Management Compensation and Benefits Plan
Step 2 Performance Coaching and Feedback
Throughout the year, at least on a quarterly basis, the supervisor and employee reviev,r and discuss
the employee's work performance, including significant accomplishments and/or shortfalls.
Generally, these coaching and feedback sessions ·will be informal and may be initiated by either the
supervisor or employee. It will be the supervisor's responsibility to ensure these discussions take
place and are appropriately documented.
Step 3 Mid Year Performance Reviev,r
Prior to the mid year reviev,r meeting 1vvith the employee, the supervisor proposes mid year ratings
for the employee based on the employee's demonstrated competencies and accomplishments related
to priorities. The Department Director reviews all proposed mid year ratings in his/her department
and validates that Pay for Performance (P4P) guidelines are follo1.ved consistently 1vvithin his/her
department.
The goal of the mid year performance reviev,r is to encourage open communication behveen
supervisors and employees and ensure that there are "no surprises" during the annual performance
evaluation session at the end of the year. The supervisor and employee 1.vill assess and discuss the
employee's progress and the status of specific priorities. A.s organizational and department
directions and priorities shift throughout the year, this session also provides the opportunity to re
evaluate and, if necessary, revise employee's priorities, achievement expectations or development
plans. The performance evaluation form, including mid year performance ratings, will be submitted
to Human Resources and included in the employee's personnel file. The employee '.Nill be entitled
to provide a written rebuttal to any rating and comments. Hmvever, only the final year end
performance ratings will be used to determine eligibility for merit pay increases. The final year end
performance ratings may differ from mid year performance ratings.
Step 4 Year End Performance Review
Prior to the year end reviev,r meeting with the employee, the supervisor proposes ratings for the
employee based on the employee's demonstrated competencies and accomplishments related to
priorities. The Department Director reviews all proposed ratings in his/her department and works
with Human Resources staff to validate that Pay for Performance (P4P) guidelines are followed
consistently within and across City departments.
Next, the supervisor meets 1;vith the employee. The employee will come to the year end review
meeting v1ith his/her ovm thoughts and notes as to hov,r well he/she performed during the evaluation
period. The hvo way discussion focuses on accomplishments, areas for growth and improvement,
job accountabilities and defined competencies. This meeting v.4ll also include the performance
planning for the upcoming year as outlined in Step 1 above.
C. Governanee of the Plan
Human Resources will be responsible for the administration and maintenance of the performance
management system, including forms, guidelines and related policies subject to City Council
approval. Human Resources will periodically review the effectiveness of the performance
management system.
6
Revised 6/23/15 June 26, 2018 Item #5 Page 27 of 51
Management Compensation and Benefits Plan
D. Major Roles and Responsibilities
City Council The City Council is initially responsible for approving the pay for performance
management system and for annually approving the merit pool/funding amount in order to tie
rev1ards to performance.
Human Resources The role of Human Resources 1,Nill be to monitor the activities of the process,
ensure compliance 1.vith City processes and procedures, and ensure that the employee receives a fair,
accurate, and timely evaluation. This will be done by ensuring that appropriate results oriented
goals and measures are established for the upcoming calendar year and by reviewing proposed
performance and development plans and evaluation forms for accuracy and completeness.
Human Resources 1.vill track performance ratings over time to encourage accountability and ensure
that there is consistency among the distribution of performance ratings across departments.
Human Resources will provide on going guidance and training to supervisors regarding conducting
performance revimvs and understanding the purpose and design of the pay for performance system.
Human Resources uses data from all employee performance ratings and Council's authorized
funding amount to determine the percentages in the base pay matrix. Human Resources will
process merit increases for eligible employees.
Department Director Department Directors will be responsible for reviev,ring performance ratings
within their departments to ensure that accurate evaluation ratings are given and that supervisors are
held responsible for effectively rating their staff. In the event of turnover of an employee's
supervisor, the Department Director 1.vill be responsible for ensuring that an employee is equitably
and adequately reviev,red and rated.
Supervisor The supervisor 1Nill carry out the steps in the performance management process in a
fair, accurate, consistent, and timely manner. This includes guiding the development of
performance plans, monitoring and recording employee accomplishments, providing timely
coaching and feedback, conducting accurate performance evaluations, and ensuring the employee
has the opportunity to participate in the process.
In the event that an employee has more than one supervisor during a rating period, each super1isor
v,rjJl submit an assessment and the supervisors will mutually agree on a rating for the review period.
b .. nev,rly assigned supervisor will not be responsible for reviewing a rating period of less than three
months.
Employee The employee 1,Nill actively contribute in the process of defining priorities and
performance measures, initiating coaching and feedback sessions as needed. Requests for feedback
by the employee shall be responded to 1.vithin 14 calendar days of the request, although actual
feedback can be written or oral and can be provided more than 14 calendar days after the request.
Employees 1.vill complete a self assessment prior to the year end performance evaluation, and 1Nill
be prepared to contribute in the mid year and end of year performance evaluations.
E. Performanee 1'4anagement Components
7
Revised 6/23/15 June 26, 2018 Item #5 Page 28 of 51
Management Compensation and Benefits Plan
Essential Functions
Essential functions are the job duties/tasks that an employee 1.vas hired to perform. These functions
are the permanent features of the employee's job. The essential functions are outlined in the
employee's job description. Essential functions are job based rather than employee based.
At the beginning of the performance year, the employee's job description 'Nill be reviev,ced by the
supervisor and employee. A..ny significant changes in the qualifications or job tasks 'Nill be noted
and submitted to Human Resources. Essential functions 'Nill determine which functional
competencies may be appropriate for a specific position. At the end of the plan year, the employee
will be rated on their performance related to the essential functions of the job as described in the job
description.
Employees serving in out of class assignments will be revie1.ved in accordance 1Nith their regular
position unless the employee served out of class for more than one half of the review period. In that
case, the employee will be reviewed based on their out of class assignment. If, at the outset of the
out of class assignment, it is anticipated that the employee will spend more than one half of the
review period in that out of class assignment, the employee and supervisor shall have a Performance
Planning Meeting as described in Step 1 above.
Core and Functional Competencies
i\ll employees 'Nill be reviewed and evaluated based on how ',Nell they can demonstrate specific
competencies. Competencies are essential to the success of each employee in their job. There are
two types of competencies: 1) Core describes the required competencies for all employees and 2)
Functional describes competencies specific to the essential functions of the job performed by the
employee.
A.11 employees will be evaluated on the five core management competencies and only two of the
seven functional management competencies. Each year, during the Performance Planning step, the
supervisor and the employee v,i.11 talk about vmich functional competencies are the most appropriate
to use in the upcoming year based on the employee's specific job, priorities and v,rork plan. Each
year, the supervisor and the employee will select the two functional competencies that v,iJl be used
to evaluate the employee that year.
Setting Priorities
Individual priorities indicate specific results to be achieved by an employee for the corning review
period. Priorities often change from year to year because they are intended to focus on a significant
outcome identified by the department. The City 'Nill support the employee in their development and
aim to create an environment of engagement, innovation and excellence.
Supervisors ',Nill determine three priorities for an employee and 1.vill link each priority to a core or
functional competency. Priorities must be related to a significant component of the employee's job
and the needs of the City and individual department or division. Supervisors 'Nill communicate
orally and in writing how each priority is linked to the mission of the City/department and to the
development of the employee.
8
Revised 6/23/15 June 26, 2018 Item #5 Page 29 of 51
Management Compensation and Benefits Plan
PeFfefffiance dees PeFfefffiance dees Peffefffiance PeFfefffiance Peffefffiance
net meet net censistently censistently meets e~rneeds significafl:tly e~rneeds
FeEJ:B:iFements. moot-all FeEJ:B:ifements. FeEJ:tiiFements and mEJ:t1:imments.
Peffefffiance is FeEJ:t1:imments. Bffii3leyee is fully demenstrntes the Bllll3leyee has made
censistently and PeFfefffiance f)feficient and al3ility te handle centfilmtiens and
seFiet1:sly deficiencies am adeEJ:B:ately assignments ef achie,1ements well
inadeEJ:tiate. +his Stich that demenstrates the gFeatef ceffii3le~Eity eeyend these
effii3leyee mt1:st illll3rn'1ement is desiFed and ms13ensi0ility. mEJ:B:imd ey theif
make immediate needed fef the cellll3etency This effii3leyee assigned
and st1:stained effii3leyee te 0eha1.'iefs fef th.e she'NS initiati,1e and FeSJ3ensi0ilities. In
illll3rnvements. satisfoctOFily level efth.e jee. seeks 8)3f)8ftl:lllities many cases,
moot-te enhance theif j ee )3effefffiance
mEJ:tiimments. Felated skills and demenstFates new
ceffii3etencies. amas ef J3rnooctivity
and innevatien faf
l=ieyend J3esitien
mEJ:t1:imments.
Bmpleyee Cemments
Bffii3leyees shall ee advised that they am encemaged 0t1:t net FeEJ:B:imd te 13rnvide cemments th.at they
1vvet1:ld like decmnented fef the evalt1:atien 13eFied. Bllll3leyee cemments 'vVill ee )3aft ef th.e
J3Sffefffiance evalt1:atien dect1:mentatien.
Signatmes
The effii3loyee' s signatme acknov,rledges that the 13eFfefffiance evalt1:ation h.as eeen mviewed and
disct1:ssed vnth them. '.fhis does net mean the emJ3loyee agmes, Of disagmes, v,rj_th statements made
Of contained themin. \\Zhen the evalt1:ation session is ceffii3leted, the effii3loyee and St1:J3eFvisOF sign
th.e fefffi and aJ3J3f8f)fiate levels ef signatmes am oMained:
• Immediate Stlf)efvisOF
• Mid level Managef (if aJ3J3lica0le)
• DeJ3aftment DimctOF
• Ht1:man Resemces
fanpleyee Ot1:dets
Bffii3loyees wh.e disagme with theif rnting may mEJ:t1:est a meeting with theif DeJ3aftment DirnctOF.
ff, aftef this meeting, this mattef is net msolved, the effii3leyee may then mEJ:t1:est a meeting v,rj_th the
City Managef ef h.is/h.ef designee and this meeting sh.all eccm v,rj_thin 30 days at th.e effii3loyee's
mEJ:t1:est ff the emJ3loyee' s J3effefffiance rnting is changed as a mst1:lt of th.is 13rncess, any mst1:lting
mefit 13ay adjt1:stment sh.all ee 13aid mtrnactively.
F. Linking Pay and Performanee
10
Revised 6/23/15 June 26, 2018 Item #5 Page 31 of 51
Management Compensation and Benefits Plan
Eligibility for a merit increase is determined by an employee's overall performance rating and
\Vhere his/her current salary is relative to the midpoint of their salary range.
Eligibility
Employees must receive an overall rating of "Competent" or better to be eligible for performance
based merit increases. Those employees receiving an overall "Improvement Needed" or an
"Unsatisfactory" performance rating are not eligible for performance based merit increases.
An employee vmose salary is at their salary range maximum is not eligible for a base pay increase.
In lieu of a base pay increase, eligible employees 'Nill receive a cash reward that is paid out in a
lump sum equivalent to the amount of the base pay increase that they v10uld have received if they
were not at the salary range maximum. ,'\n eligible employee 1vvhose salary is close to their salary
range maximum (such that the designated pay increase would cause their salary to exceed the salary
range maximum) will receive a base pay increase up to the salary range maximum and v,rill receive
the remaining portion of the designated pay increase as a lump sum cash rev1ard as described above.
Base Pav Matrix
f,._ base pay matrix '.Nill be used to re>.vard performance. The City Council determines the merit pool
or budget for the annual pay increase. After all of the performance reviev,rs have been completed,
merit increase percentages will be determined by Human Resouroes based on the size of the Council
approved base pay matrix funding, distribution of all employees' performance ratings and
distribution of employees in their salary range (i.e. above or belov,r the salary range midpoint). The
goal is to assign merit increase percentages that 'Nill use substantially all of the funding approved by
the City Council for merit increases for that performance cycle. An employee's overall
performance rating (sum of individual competency ratings) and position in the range put them in
one of the cells ",A,._," "B," "C," "D," "E," or "F" as shov,'11 in the sample Base Pay A4atrix belmv.
Each employee's merit increase is determined using the base pay matrix.
11
Revised 6/23/15 June 26, 2018 Item #5 Page 32 of 51
Management Compensation and Benefits Plan
SAM.PLE BASE PA,Y MATRIX
Ou---~11...,. ~ .r.-;-...-.. TI.-4-!--.rr
'-' T -·----_&_ -----~-·-------
1-1.4 1.5 2.4 2.5 J.4 J.5 4.4 ~
Salary Range Improvement
Plaeement TT---'-: P -Needed r< ;_ .4-Commendable y;, -·-._, . ., ............ , -. .1
,<\t er aee'1e
salaFy range ~ ~ A% G% E%
midpeint
Bele-1.v salary
mnge-~ ~ B% 9% F%
•. 1
The pay fur performance base pay matrix fur 12/31/2015 will be funded at fuur percent (4 %) .
The pay fur perfurmance base pay matrix for 12/31/2016 'Nill be funded at fuur percent (4%).
The pay for perfurmance base pay matrix for 12/31/2017 will be funded at fuur percent (4%).
IV. PROCEDURES:
1. i\.ll empleyees will be reviev,red at mid year and at the end efthe calendaF yeaF. After beth ef
these review meetings are cempleted, the performance evaluatien furm, including performance
ratings, will be submitted te Human Reseurces and be made a part ef the empleyee' s persennel
fil&..
2. The immediate superviser at the time that each step in the review precess is due shall cemplete
the step in the precess. If the empleyee has had mere than ene superviser during the evaluatien
peried, the ether superviser(s) ',Nill be censulted and enly ene evaluatien furrn/everall rating will
be submitted.
3. Electrenic perfurmance evaluatiens forms 'Nill be made available by the Human Reseurces
Depaftment.
4 . Ratings shall be based upen the cempetent perfurmance ef the full range ef skills indicated by
the class specificatien cevering the empleyee's pesitien. In the event that the class specificatien
is net representative ef the empleyee' s current respensibilities, Human Reseurces 'Nill be
netified and asked te review and make recernmendatiens. Deviatiens frnm the class
specificatien sheuld be neted en the performance evaluatien furm.
5. Human Reseurces v!ill cernmunicate the due dates asseciated with each step in the reviev,r
precess. .Any everdue evaluatiens v,r]Jl be reperted te the Department Directer and the City
Manager. Exceptiens may be made for extenuating circumstances, such as empleyees eut en
leaves ef absence (see sectien 7). The Human Reseurces Department 1.vill review all efthe
12
Revised 6/23/15 June 26, 2018 Item #5 Page 33 of 51
Management Compensation and Benefits Plan
Life Insurance and Voluntary Benefits
All management employees shall receive City paid life insurance in an amount equal to two times
the basic yearly earnings. To determine benefits, the amount of insurance is rounded to the next
higher $1,000 multiple, unless the amount equals a $1,000 multiple.
The City provides various voluntary benefits available at the employee's cost. Employees may
select among various levels of coverage. For information regarding these benefits, contact the
Human Resources Department at 760-602-2440.
Former CMV.Z:D management employees shall receive Group Term Life Insurance, i\ccidental
Death and Dismemberment, and Dependent Life Insurance as contained in their Indi'.!idHal
Agreement.
Retirement
All management employees shall participate in the California Public Employees' Retirement System
(CalPERS). The specific retirement formula applied will be determined based on whether the
position is deemed safety or miscellaneous. All positions not deemed eligible for safety retirement
will be deemed miscellaneous under the CalPERS system. Optional benefits unique to the City of
Carlsbad's contract with CalPERS are outlined in the contract between the city and CalPERS. A
copy of this contract is kept on file in the Human Resources Department.
Management employees who are considered fire safety employees are eligible for the same
retirement benefit formula and are subject to the same optional retirement benefits described in the
City of Carlsbad CalPERS safety contract (and are the same as those provided to employees
represented by the Carlsbad Firefighters' Association, Inc.). Umepresented sworn police
management employees are eligible for the same retirement benefit formula and are subject to the
same optional retirement benefits described in the City of Carlsbad CalPERS safety contract (and
are the same as those provided to employees represented by the Carlsbad Police
Officers' Association).
A. The City has contracted with CalPERS for the following retirement benefits:
Miscellaneous "Classic" Members (those that do not qualify as "New Members" as
defined below)
a) Employees entering City of Carlsbad miscellaneous CalPERS membership for the first
time prior to November 28, 2011 -The retirement formula shall be 3% @ 60; single
highest year final compensation.
b) Employees entering City of Carlsbad miscellaneous CalPERS membership for the first
time on or after November 28, 2011 -The retirement formula shall be 2%@ 60; three
year average final compensation.
c) Employees entering City of Carlsbad safety CalPERS membership for the first time prior
to October 4, 2010 -The retirement formula shall be 3%@ 50; single highest year final
compensation.
d) Employees entering City of Carlsbad safety CalPERS membership for the first time on
or after October 4, 2010 -The retirement formula shall be 2%@ 50; three year average
final compensation.
15
Revised 6/23/15 June 26, 2018 Item #5 Page 36 of 51
Management Compensation and Benefits Plan
"New Members"
Employees who are "New Members" as defined by the California Public Employees'
Pension Reform Act of2013 (PEPRA) (e.g., an employee hired on or after 1/1/2013 who
has never been a CalPERS member or member of a reciprocal system or who has had a
break in CalPERS service of at least 6 months or more) will be subject to all the applicable
PEPRA provisions, which include but are not limited to the following retirement benefits.
a) Miscellaneous employees -Retirement formula shall be 2% @ 62; three year average
final compensation.
b) Safety employees -Retirement formula shall be 2.7%@ 57; three year average final
compensation.
B. Employee Retirement Contribution
The employee retirement contribution will be made on a pre-tax basis by implementing
provisions of section 414(h)(2) of the Internal Revenue Code (IRC).
Employees shall make the following employee retirement contributions through payroll
deductions:
• miscellaneous employees subject to the 3%@ 60 benefit formula shall pay all of
the employee retirement contribution (8% ),
• miscellaneous employees subject to the 2%@ 60 benefit formula shall pay all of
the employee retirement contribution (7% ),
• safety employees subject to the 3%@ 50 or 2%@ 50 benefit formulas shall pay
all of the employee retirement contribution (9% ), and
• miscellaneous and safety employees who meet the definition of "New Member"
under PEPRA shall pay one half of the normal cost rate associated with their
benefit plan.
l\'lanagement Leave of Absence
Management employees are exempt from overtime requirements under the Fair Labor Standards
Act. Management employees in the City are paid on a salary basis versus an hourly basis. Pursuant
to FLSA regulation 29 CFR Section 541.5d, the City can make deductions from salary or leave
accounts for partial day absences for personal reasons or sickness because the City has a policy and
practice of requiring its employees to be accountable to the public that they have earned their
salaries. A partial day absence is an absence of less than the employee's regular work day.
Pursuant to FLSA regulation 29 CFR Section 541.118 (a)(2) and (a)(3), the City may make salary
or leave reductions based upon full day absences.
Partial day or full day absences shall be first charged against the exempt employee's vacation, sick,
or executive leave account. In the event the exempt employee does not have sufficient time in
his/her leave account to cover the absence, deductions without pay will be made on full days only.
1. Vacation
a. Vacation Accrual
16
Revised 6/23/15 June 26, 2018 Item #5 Page 37 of 51
Revised 6/23/15
Management Compensation and Benefits Plan
Every management employee shall accrue vacation leave for each calendar year of
actual continuous service dating from the commencement of said service, with such
time to be accrued on a daily (calendar day) basis. Vacation leave can be used in 15
minute increments.
All management employees ( except Fire Battalion Chiefs that v,z:ork 112 hours per bi
weekly pay period) shall earn vacation on the following basis:
Beginning with the first (1st) working day through the completion of five (5)
full calendar years of continuous service -13 minutes/day.
Beginning the sixth (6th) year of employment through the completion often
(10) full calendar years of continuous service -20 minutes/day.
Beginning the eleventh (11th) year of employment through the completion of
eleven (11) full calendar years of continuous service -21 minutes/day.
Beginning the twelfth (12th) year of employment through the completion of
twelve (12) full calendar years of continuous service -22 minutes/day.
Beginning the thirteenth (13th) year of employment through the completion
of thirteen (13) full calendar years of continuous service -24 minutes/day.
Beginning the fourteenth (14th) year of employment through the completion
of fifteen (15) full calendar years of continuous
service -25 minutes/day.
Beginning the sixteenth (16th) year of continuous employment, vacation time
shall be accrued, and remain at a rate of 26 minute~/day for every full
calendar year of continuous employment thereafter.
Management employees with comparable service may be granted credit for such
service for the purpose of computing vacation at the discretion of the City Manager.
All management employees shall be permitted to earn and accrue up to and including
three hundred and twenty (320) hours of vacation, and no employee will be allowed
to earn and accrue vacation hours in excess of the three hundred and twenty (320)
hour maximum.* The City Manager shall be responsible for the granting of vacation
to all management personnel, except in the case of the City Attorney's Office, where
the City Attorney shall be responsible for granting vacation.
* If there are unusual circumstances that would require an employee to exceed the vacation accrual
maximum, he/she must submit a request in writing to the Department Head and the City Manager or
Designee. The Department Head and the City Manager or Designee may grant such a request if it is
in the best interest of the City. Requests will be handled on a case-by-case basis and will be
considered only in extreme circumstances.
Former CMWD management employees shall earn and accrue vacation up to and
including the maximum as contained in their Individual Agreement.
17 June 26, 2018 Item #5 Page 38 of 51
Management Compensation and Benefits Plan
Fire Battalion Chiefs that v1ork 112 hours per bi weekly pay period shall earn and
accrue vacation in the same manner and up to the same maximum as up to and
including the maximum commensurate with Carlsbad Firefighters' Association
(CF A) represented employees that work 112 hours per bi weekly pay period.
b. Vacation Conversion
Each February, management employees will be allowed to voluntarily convert up to
80 hours of accrued vacation to cash, provided that they have used 80 hours of
vacation, executive time or floating holiday during the prior calendar year. Fire
Battalion Chiefs that work 112 hours per bi-weekly pay period will be allowed to
voluntarily convert up to 112 hours of accrued vacation to cash, provided that they
have used 112 hours of vacation~ executive time or floating holiday during the prior
calendar year.
c. Vacation Payout
An employee separating from the City service who has a balance of unused accrued
vacation leave shall be entitled to be paid for the remainder of their unused accrued
vacation leave as of their last day on payroll.
2_. __ Executive Leave (E-time)
Effective July 1, 2018, All-all management personnel, except former CMWD
management employees, shall receive sixty-four *{Q.12._hours per fiscal year for
executive leave. The sixty-four* _..(ffihours will be credited upon hire or
promotion into management and at the beginning of each fiscal year to individual
leave balances. This leave must be used within the same fiscal year. The City
Manager is authorized to provide ten (10) additional hours of executive leave per
year to any management employee who is required to work extended hours due to
emergencies such as fires, storms, floods, or other emergencies.
3_. __ Sick Leave
Revised 6/23/15
Sick leave can be used in 15 minute increments.
Sixteen ( 16) minutes of sick leave are accrued per calendar day. Accumulation is
unlimited ( employees cannot receive payment for unused sick leave). Fire Battalion
Chiefs that work 112 hours per bi-weekly pay period shall accrue sick leave
commensurate with CF A represented employees that work at 112 hours per bi-
weekly pay period.
Any management employee who has accrued and maintains a minimum of one
hundred (100) hours of sick leave shall be permitted to convert up to twelve (12)
days of sick leave and uncompensated sick leave to vacation at a ratio of three (3)
sick leave days per one (1) day of vacation. The sick leave conversion option will be
provided during the first week of each fiscal year. Conversion can only be made in
increments of full day vacation days. Employees will not be allowed to convert sick
18 June 26, 2018 Item #5 Page 39 of 51
Management Compensation and Benefits Plan
leave to vacation if such conversion would put them over the vacation accrual
maximum.
Any permanent employee applying for retirement with the Public Employees'
Retirement System may convert accrued and unused sick leave time to extend
service time in the system at the ratio of twenty-five (25) days of accrued sick leave
to one month of extended service.
Former CM\VD management employees per their Individual Agreement, have the
option to sell back 100% of accumulated sick leave in excess of 250 hours at their
current rate. The City, at its discretion, may purchase any accumulated sick leave
from any of these referenced management employees at the current rate.
4. Bereavement Leave
An employee may use up to an equivalent of three work days of paid leave if
required to be absent from duty due to the death of a member of the employee's
immediate family. Additional time off may be authorized by the Department Head
and charged to accrued vacation or sick leave or, when no accrued leave is available,
treated as leave without pay.
The "immediate family" shall be defined in the personnel rules and
regulations. ,
The employee may be required to submit proof of relative's death before final
approval of bereavement leave is granted.
5_. __ Leave of Absence Without Pay
Revised 6/23/15
1. Lea:1e of Absence :without Pa:t
a. General Policy
Any employee may be granted a leave of absence without pay
pursuant to the approval of his/her Department Head for less than two
calendar weeks. If the duration of the leave of absence will be longer,
the approval of the City Manager or his/her designee is required.
An employee shall utilize all his/her vacation, e-time and/or sick leave
(if applicable) prior to taking an authorized leave of absence without
pay.
A leave without pay may be granted for any of the following reasons:
1. Illness or disability.
2. To take a course of study which will increase the employee's
usefulness on return to his/her position in the City service.
19 June 26, 2018 Item #5 Page 40 of 51
Revised 6/23/15
Management Compensation and Benefits Plan
3. For personal reasons acceptable to the City Manager and
Department Head.
b. Authorization Procedure
Requests for leave of absence without pay shall be made in writing
and shall state specifically the reason for the request, the date when
the leave is desired to begin, the probable date of return, and the
agreement to reimburse the City for any benefit premiums paid by the
City during the leave of absence. The request shall normally be
initiated by the employee, but may be initiated by his/her Department
Head, and, if applicable, shall be promptly transmitted to the City
Manager or his/her designee for approval. A copy of any approved
request for leave of absence without pay with a duration equal to or
greater than two calendar weeks shall be delivered promptly to the
Directors of Finance and Human Resources.
c. Length of Leave and Extension
A leave of absence without pay may be made for a period not to
exceed six months, unless otherwise approved by the City Manager.
The procedure for granting extensions shall be the same as that in
granting the original leave provided that the request for extension is
made no later than fourteen (14) calendar days prior to the expiration
of the original leave.
d. Return From Leave
When an employee intends to return from an authorized leave of
absence without pay either before or upon the expiration of such
leave, he/she shall contact his/her Department Head at least fourteen
(14) calendar days prior to the day he/she plans to return. The
Department Head shall promptly notify the Human Resources
Department of the employee's intention. The employee shall return at
a rate of pay not less than the rate at the time the leave of absence
began.
E. Effect of Leave Vlithout Pay
A prorata reduction of normal annual vacation and sick leave accruals
shall be applicable to an approved absence without pay. Any absence
1vvithout pay constitutes a break of continuous service with the City.
The granting of any leave v,rithout pay exceeding two full scheduled
pay periods shall cause the employee's salary anniversary date and
calculation of full time continuous ser1ice to be extended by the
number of calendar days for which such leave has been granted less
the first tv10 full pay periods of such leave.
20 June 26, 2018 Item #5 Page 41 of 51
Management Compensation and Benefits Plan
An employee's accumulation of sick leave and vacation leave \Vill
cease after the completion of two (2) full scheduled pay periods in
1,vhich the employee has not received compensation due to a leave of
absence without pay. Accrual will be reinstituted beginning the first
day after the employee has returned to 1.vork.
Fe. Leave Without Pav Insurance Payments and Privileges
An employee on leave without pay may continue his/her City
insurance benefits by reimbursing the City for the employee's costs of
insurance on a monthly basis during the period of the leave. Failure
to reimburse the City for such benefits during the term of a leave of
absence will result in the employee's coverage terminating on the first
day following the month in which the last payment was received.
Upon the employee's return to paid status, any sums due to the City
shall be repaid through payroll deductions. This applies to sums due
for insurance as well as other payment plans entered into between the
City and the employee ( e.g., computer loan).
Upon eligibility for COBRA, the employee will be notified of the
opportunity to continue benefit coverage via the COBRA process.
An employee on leave of absence without pay shall not have all of the
privileges granted to regular employees (e.g., holiday pay), unless
required by law.
6_. __ Pregnancy Disability Leave
Pregnancy Disability Leave shall be authorized and/or administered in accordance
with the provisions of State and Federal law. An employee disabled by pregnancy
shall be allowed to utilize a combination of accrued sick leave and vacation time and
leave without pay to take a leave for a reasonable period of time, not to exceed four
months. An employee shall utilize all accrued leave prior to taking leave without
pay. Reasonable period of time means that period during which the employee is
disabled on account of pregnancy, childbirth, or related conditions.
An employee who plans to take a leave pursuant to this article shall give the City
reasonable notice of the date the leave shall commence and the estimated duration of
the leave.
7_. __ Family and Medical Leave of Absence (FMLA)
Revised 6/23/15
An employee may be granted a FMLA ofup to 12 weeks ina 12 month period for
one or more of the following reasons:
for the birth/placement of a child for adoption or foster care,
21 June 26, 2018 Item #5 Page 42 of 51
Management Compensation and Benefits Plan
to care for an immediate family member with a serious health condition, or
to take medical leave when the employee is unable to work because of a serious
condition.
FMLA may be paid or unpaid and may be granted concurrently and in conjunction
with other leave and benefit provisions. Specific details regarding the provisions of
this leave are available by contacting the Human Resources Department.
8_. __ Military Leave
Military leave shall be authorized in accordance with the provisions of State and
Federal law. The employee must furnish satisfactory proof to his/her Department
Head, as far in advance as possible, that he/she must report to military duty.
9_. __ Jury Duty
When called to jury duty, an employee shall be entitled to his/her regular
compensation. Employees released early from jury duty shall report to their
supervisor for assignment for the duration of the shift. Employees shall be entitled to
keep mileage reimbursement paid while on jury duty.
A Department Head may, at his/her sole discretion, contact the court and request an
exemption and/or postponement of jury service on behalf of an employee.
Employees released early from jury duty shall report to their supervisor for
assignment for the duration of the work day. At the discretion of the supervisor, an
employee may be released from reporting back to work if an umeasonable amount of
the work day remains in light of travel time to the job site after release.
10. Extended Leave of Absence
Revised 6/23/15
Upon completion of 84 consecutive calendar days (12 weeks) of leave of absence
(paid or unpaid and except when leave is ordered by the city or when an employee is
on an active duty military leave) or completion of a leave of absence related to
Section 4850 of the Labor Code, whichever occurs later, an employee will not be
eligible for the benefits listed below:
• accrual of sick leave and vacation,
• cell phone allowance,
• car allowance and
• holiday pay for Fire Battalion Chiefs.
On the day that the employee returns to work from the extended leave of absence, the
employee will resume eligibility for the abovementioned benefits and the employee's
vacation anniversary date and seniority (calculation of continuous service with the
City) will be adjusted for each calendar day the leave of absence lasted beyond 84
consecutive calendar days or the completion of a leave of absence related to Section
4850 of the Labor Code, whichever was longer.
22 June 26, 2018 Item #5 Page 43 of 51
Management Compensation and Benefits Plan
Separation Compensation
All management employees involuntarily separated from the City service due to budget cutbacks,
layoffs, contracting out of service or for other reasons not due to misconduct which would justify
involuntary separation shall receive one month's salary computed at the employee's actual salary at
the time of separation.
Holidays
All management employees shall be paid holidays in accordance with the schedule of eleven (11)
holidays as established by the City Council. Fire Battalion Chiefs are subject to the same holiday
schedule that is outlined for management employees. However, they are compensated for holidays
in the same manner as CF A represented employees that work 112 hours per bi-weekly pay period.
The scheduled paid holidays that will be official City holidays shall be as follows:
New Year's Day
Martin Luther King's Birthday
Presidents' Day
Memorial Day
Independence Day
Labor Day
Columbus Day
Veteran's Day
Thanksgiving Day
Thanksgiving Friday
Christmas Day
Only employees who are on f*llil-employed status on their last scheduled work day before a holiday
shall be entitled to the paid holiday except where otherwise required by law.
Effective July 1, 2018, all management employees will receive one floating holiday per fiscal year,
each year on July 1st.
The floating holiday may be used at the discretion of the employee with prior approval of the
employee's supervisor. The floating holiday must be taken as a full day off. There is no partial day
use of a floating holiday. The floating holiday pay is paid at straight time equal to the number of
hours in the employee's regular work shift on that day. Unused floating holidays will not carry over
to the next fiscal year and will not paid out upon separation of employment.
Health Benefits
Management employees will participate in a flexible benefits program which includes medical
insurance, dental insurance, vision insurance, flexible spending accounts (FSAs) and Accidental
Death & Dismemberment insurance (AD&D). Each of these components is outlined below.
Former CMVlD management employees shall receive Medical, Dental and Vision, and Retiree
Medical as contained in their lndtvidual Agreement.
23
Revised 6/23/15 June 26, 2018 Item #5 Page 44 of 51
Management Compensation and Benefits Plan
Medical Insurance
Management employees will be covered by the Public Employees' Medical and Hospital Care Act
(PEMHCA) and will be eligible to participate in the California Public Employees' Retirement
System (CalPERS) Health Program. The City will pay on behalf of all management employees and
their eligible dependents and those retirees mentioned in the section of this document titled, "Health
Insurance for Retirees," the minimum amount per month required under Government Code Section
22892 of the PEMHCA for medical insurance through the California Public Employees' Retirement
System (CalPERS). If electing to enroll for medical benefits, the employee must select one medical
plan from the variety of medical plans offered.
Effective January 1, ±G-1-52018, the City will contribute the following monthly amounts (called
"Benefits Credits") on behalf of each active management employee and eligible dependents toward
the payment of 1) medical premiums under the CalPERS Health Program, 2) contributions in the
name of the employee to the City's flexible spending account(s), 3) dental premiums 4) vision
premiums and/or 5) accidental death and dismemberment (AD&D) premiums:
(a)
(b)
(c)
For employees with "Employee" coverage, the City shall contribute five
hundred forty fourseventy-three ($M4573) per month that shall include the
mandatory payments to CalPERS. If the actual total premiums exceed the
City's total contributions, the employee will pay the difference.
For employees with "Employee Plus One" coverage, the City shall contribute
one thousand thirty eightone hundred forty-six dollars ($-l--;ill--81, 146) per
month that shall include the mandatory payments to CalPERS. If the actual
total premiums exceed the City's total contributions, the employee will pay
the difference.
For employees with "Family" coverage, the City shall contribute one
thousand three-five hundred sixty threetwo dollars ($-1--,-Jfil 1,502) per month
that shall include the mandatory payments to CalPERS. If the actual total
premiums exceed the City's total contributions, the employee will pay the
difference.
Subsequently, Effective effective the pay period that includes January 1, 2016 and, subsequently
January 1 of each calendar year, the City monthly Benefits Credits will change for each coverage
level. The monthly Benefits Credits will be set to dollar amounts that equate to 80% of the average
health (medical, dental and vision) premium for Employee, Employee Plus One and Family
coverage levels, rounded to the nearest whole dollar based on the premiums that will take effect on
January 1 of the respective calendar year.
Unused Benefits Credits as outlined above will be paid to the employee in cash and reported as
taxable income. If the amount contributed by the City (Benefits Credits) exceeds the cost of the
medical insurance purchased by the employee, the employee will have the option of using any
"excess credits" to purchase dental, vision, or accidental death and dismemberment (AD&D)
insurance or to contribute to a healthcare or dependent care flexible spending account (FSA),
instead of receiving taxable cash.
24
Revised 6/23/15 June 26, 2018 Item #5 Page 45 of 51
Management Compensation and Benefits Plan
All active management employees who work three quarter-time or less will receive prorated
Benefits Credits.
Dental Insurance
Management employees will be eligible to enroll in or waive enrollment in a City-sponsored dental
plan at any coverage level.
Vision Insurance
Management employees will be eligible to enroll in or waive enrollment in a City-sponsored vision
insurance plan at any coverage level.
Waiver Provision
Management employees who do not wish to participate in the CalPERS Health Program will have
the choice of waiving the City's medical insurance program, provided they can show that they are
covered under another group insurance program.
Effective January 1, 2015, employees who elect this option vfill be given a reduced City
contribution amount (Benefits Credits) of r.vo hundred ninety five dollars ($295) per month, that
shall include the mandatory payments to CalPERS, to be used toward the purchase of dental, vision
or accidental death and dismemberment (AD&D) insurance, as a contribution to a flexible spending
account or as cash (reported as tmmble income). The City contribution amount ofr.vo hundred
ninety five dollars ($295) per month \Vill be granted to any employee vm.o elects to 1.vaive the
CalPERS Health Program, regardless of the employee's level of coverage (Employee , Employee
Plus One or Family).
The dollar amount paid by the City for employees who elect the waiver provision may change in the
first pay period of each subsequent calendar year. The Benefits Credits associated with waiving
medical coverage will be set equal to 50% of the Benefits Credits associated with Employee
medical coverage. If this results in a situation where the unused benefit credits associated with any
medical plan exceed the benefit credits associated with waiving medical coverage, the benefit
credits associated with waiving medical coverage will be set equal to one dollar ($1) above the
unused benefit credits associated with that medical plan.
Unused Benefits Credits as outlined above will be paid to the employee in cash and reported as
taxable income.
Health Insurance for Retirees
Effective January 1, 2001, management employees will be covered by the Public Employees'
Medical and Hospital Care Act and will be eligible to participate in the California Public
Employees' Retirement System (CalPERS) Health Program. Management employees who retire
from the City, either service or disability, shall be eligible to continue their enrollment in the
CalPERS Health Program when they retire, provided that the individual is enrolled or eligible to
enroll in a CalPERS medical plan at the time of separation from employment and their effective
date of retirement is within 120 days of separation. The City will contribute the minimum amount
per month required under Government Code Section 22892 of the PEMHCA toward the cost of
each retiree's enrollment in the CalPERS Health Program.
25
Revised 6/23/15 June 26, 2018 Item #5 Page 46 of 51
Management Compensation and Benefits Plan
Employees who retire from the City, either service or disability, shall be eligible to elect, upon
retirement to participate in the City's dental and/or vision insurance programs as a retiree. The cost
of such dental and/or vision insurance for the retiree and eligible dependents shall be borne solely
by the retiree. Effective January 1, 2016, anAn individual who does not choose coverage upon
retirement, or who chooses coverage and later drops it is not eligible to return to the City's dental
and vision insurance program.
The City will invoice the retiree for his/her monthly premiums for dental and/or vision insurance
and the retiree must keep such payments current to ensure continued coverage.
,".:nnaal Physieal Examination and/or Physical Fitness TestingReimbursement
All management employees, excluding former CMWD management employees, shall be eligible for
reimbursement of up to the amount of four hundred fifty dollars ($450) during each fiscal year te---
f*lj'for the cost§. of an employee's annual physical examination and/orassociated with physical
fitness testing.
The annual physical examination may be completed by a physician of the employee's choice. Each
employee claiming reimbursement shall be required to submit original receipts to the Human
Resources Department department in lieu of submitting them to the insurance company for approval
and reimbursementpayment.
The annual physical examination fitness reimbursement is offered to management employees IQ_
provides physical fitness testing and information regarding lifestyle changes that promote optimum
health. Program componentsServices include, but are not limited to: health assessment testing and
examinations, Computerized computerized Heart-heart Risk-risk Profileprofile, Complete complete
Blood blood Profileprofile, fees paid to physical fitness providers, Nutritional nutritional
Assessmentassessment, and Diet-diet Programprogram, Body Measurements, Lung A.ssessment,
Consultations, etc.
Long-Term Disability Insurance (LTD)
Long-term disability is available for all management personnel (except management personnel 1vvho
are considered fire safety employees) after 30 calendar days of disability. The LTD premium cost is
paid by the City. Employees shall be entitled to combine accumulated vacation leave ore-time with
LTD payments for the purpose of achieving the equivalent of their pre-disability salary to the extent
allowed by law during any period of nonindustrial disability. Accumulated sick leave may not be
combined with LTD payments. Under no circumstances shall the combination of accumulated
leave and LTD payments exceed the employee's pre-disability salary.
Former CM\VD management employees shall receive LTD benefits as contained in their Individual
Agreement.
Deferred Compensation
The City shall provide deferred compensation plan(s) which may be utilized by any management
employee. The City reserves the right to accept or reject any particular plan and to impose specific
conditions upon the use of any plan.
26
Revised 6/23/15 June 26, 2018 Item #5 Page 47 of 51
Management Compensation and Benefits Plan
The City agrees to v,rork 1vvith the City's deferred compensation provider (currently ICMA.
Retirement Corporation) to maintain a personal loan provision for all management employees. It is
acknowledged that the City will assist in the administration of this benefit but that the City has no
liability if an employee should default on the repayment of such a loan.
Former CMWD management employees may voluntarily participate in the Deferred Compensation
Plan as contained in their Individual Agreement. The City matches former CMWD employee
contributions up to a maximum of 7.5% of the employee's earnings.
Drug and Alcohol Policy
It is the policy of the City of Carlsbad to provide a work environment free from the effects of drugs
and alcohol consistent with the directives of the Drug Free Workplace Act. This policy is
applicable to all employees covered by the Management Compensation and Benefits Plan. l'1. copy
of this policy is available in the Human Resources Department.
f ... s a provision of this policy, tihe City provides a voluntary Employee Assistance Program (EAP)
to assist employees who seek help for substance abuse or other personal problems affecting work or
family life. This program is available to employees and their family members and offers 24-hour
access to confidential professional EAP assistance for emergency or urgent situations. For more
specific information, contact the Human Resources Department or visit the City's intranet site.
Uniform Reimbursement & Reporting the Value of Uniforms to CalPERS
Reimbursement to the Police Chief for the cost of purchasing and maintenance of required uniforms
shall be $26.92 per pay period.
Effective May 31, 2010, all fire management employees who are required to wear City-provided
uniforms will have the amount of $17 .31 reported to CalPERS bi-weekly as special compensation
related to the monetary value of the required uniforms, excluding boots.
Under PEPRA, this benefit is not reported to CalPERS as special compensation for new
membersdoes not apply to nev,r members.
Fire Safety Management
Post-Retirement Healthcare Trust
Employees vmo 1.vere promoted into a fire safety management classification after May 28, 2013 from
a position that 1.v:as represented by CF A, Inc. after the establishment of the post-retirement healthcare
trust by CF A, Inc. will-shall continue to contribute into the post-retirement healthcare trust established
by CF A, Inc. via payroll deductions until participation by CF A, Inc., in this type of trust is terminated.
The employee contribution amount will-shall be equal to the amount established for employees
represented by CF A, Inc. In addition, the city will make monthly contributions per fire safety
management employee who is contributing to the trust. The city contribution amount will be equal
27
Revised 6/23/15 June 26, 2018 Item #5 Page 48 of 51
Management Compensation and Benefits Plan
to the amount established for employees represented by CF A, Inc. The City has no administrative
responsibilities or liabilities related to this benefit, other than processing of payroll contributions as
described above. The City will not make any contributions to the post retirement healthcare trust.
Overtime
The classifications of Fire Chief, Fire Division Chief, Fire Battalion Chief and Fire Marshal are
exempt from overtime requirements under FLSA. However, Fire Battalion Chiefs are paid straight
time for overtime when they are covering the duty for a Battalion Chief who is on a leave of
absence and when they are directed to attend a mandatory training class associated with the rank of
Battalion Chief on a non-scheduled work day.
Through the California Fire and Rescue Mutual Aid System and California Fire Assistance
Agreement (CFAA), and at the request of the California Governor's Office of Emergency Services
(Cal OES), California Department of Forestry and Fire Protection (CAL FIRE), Federal Fire
Agencies or other fire agencies, City of Carlsbad Fire Department personnel can be assigned to
locations throughout California in the event of a local, State, or Federal emergency. In the event
this occurs, employees in the classification of Fire Division Chief and Fire Marshal who are
assigned to the emergency location are paid straight time for overtime (portal to portal) beginning at
the time of dispatch to the return to jurisdiction and employees in the classification of Fire Battalion
Chief who are assigned to the emergency location are paid at a rate of 1.5 for overtime (portal to
portal) beginning at the time of dispatch to the return to jurisdiction.
Special Assignment J!ayand Temporary Upgrade Pay-
Whenever the needs of the City require an employee to temporarily perform the duties of a job
classification that has a higher pay range than the pay range associated with their current job
classification for a period of more than twenty-one (21) calendar days, the employee shall be
designated as being in a special assignment and receive additional temporary upgrade pay. In such
cases, the employee shall be paid at an appropriate level which will assure an increase of not less
than five percent (5%) greater than his/her current salary. Subsequent to designation in a special
assignment, in the event that the situation changes and the City does not need the employee to serve
in the assignment for at least twenty-one (21) consecutive calendar days, the employee shall receive
the temporary upgrade pay for that period of time the assignment lasts. In the event that at the
beginning of a special assignment, it is not perceived that the assignment will last at least twenty-
one (21) consecutive calendar days, and the assignment nonetheless extends beyond twenty-one
(21) consecutive calendar days, the employee in the assignment shall receive the temporary upgrade
pay retroactive to the first day of the acting assignment.
No employee shall be required to perform any of the duties of a higher classification unless that
employee is deemed to possess the minimum qualifications of the higher classification by the
Human Resources Director as recommended by the affected Department Head. Exceptions to the
minimum qualifications criteria may be recommended by the affected Department Head on a case
by case basis. If the employee does not meet the minimum qualifications for the higher
classification he/she shall receive not less than 2.5% additional temporary upgrade pay.
The additional temporary upgrade pay shall commence on the first (1st) calendar day of the
temporary special reassignment of the performance of duties of the higher classification. The
recommendation that an employee be required to perform duties of the higher classificationplaced
28
Revised 6/23/15 June 26, 2018 Item #5 Page 49 of 51
Management Compensation and Benefits Plan
in a special assignment shall be placed put in writing by the affected Department Head and
submitted to the Human Resources Director for approval. The employee assigned to perform the
duties of a higher classification shall not serve for more than one hundred and eighty (180) calendar
days in a higher classificationspecial assignment unless approved by the City Manager or his/her
designee.
If an employee is on a leave of absence (paid or unpaid and except when leave is ordered by the
city) for more than twenty-one (21) calendar days, the temporary upgrade pay associated with their
special assignment shall cease on the twenty-second (22nd) day. On the day that the employee
returns to work, if the supervisor determines that the employee is required to continue to perform
the duties of the special assignment, the temporary upgrade pay will resume as of the day the
employee returns to work.
A person appointed in an acting capacity in a special assignment shall be eligible to receive mefit-
,lli!Y__increases in his/her regular position during the acting appointmentspecial assignment. The
Human Resources Director shall obtain the employee's consent for the temporary performance of
any of the duties of the higher classificationspecial assignment, prior to the employee's assuming or
continuing the duties and additional compensation, which shall clearly state that it is understood that
a reduction in salary will occur shall be effected to his/her original salary ratedue to cessation of the
temporary upgrade pay upon the expiration of the need for the performance of the duties of the
higher classificationspecial assignment.
29
Revised 6/23/15 June 26, 2018 Item #5 Page 50 of 51
Exhibit 3
2.44.020 Personnel officer.
The city manager will be the personnel officer. The city manager may delegate any of the powers and
duties conferred upon him or her as personnel officer under this chapter to any other officer or employee
of the city or may recommend that such powers and duties be performed under contract as provided in
Section 2.44.140. The personnel officer will:
A. Administer all provisions of this chapter and of the personnel rules not specifically reserved to
the council;
B. Prepare and recommend to the council revisions and amendments to the personnel rules. The
city attorney will approve the legality of such revisions and amendments prior to their submission to
the council;
C. Prepare or cause to be prepared a position classification plan, including class specifications,
and revisions of the plan. For classifications in the classified service, +!he plan, and any revisions
thereof, will become effective upon approval by the council;
D. Prepare or cause to be prepared, a plan of compensation, and any subsequent revisions to it,
covering all classifications in the classified service. The plan, and any revisions thereof, will become
effective upon approval by the council;
E. Publish or post notices of examinations for positions in the classified service; receive
applications; conduct and score examinations and certify to the appointing power a list of all persons
eligible for appointment to the appropriate position in the classified service. (Ord. NS-793 §§ 5, 6, 7,
9, 10, 2006; Ord. 1120 § 2, 1970)
June 26, 2018 Item #5 Page 51 of 51
--~-Agendatteffll 5
For the Information of the:
CITY COUNCIL Dat~~r~ ~M~~~v'j
Council Memorandum
June 26, 2018
To:
From:
Via:
Re:
Honorable Mayor Hall and Membe e City Council
Julie Clark, Human Resources Dir c~l-+lt'r"'-
Scott Chadwick, Chief Operations
Supplemental Information for item
{cityof
Carlsbad
This memorandum is to provide supplemental information related to the June 26, 2018 staff
report and Resolution revising sections of the Management Compensation and Benefits Plan
and the Carlsbad Municipal Code (Agenda Item 5).
Please find attached two revised pages (page 3 of Exhibit 2 and page 2 of Attachment A) which
pertain to changes made to the "Definitions" section of the Management Compensation and
Benefits Plan. Under section 2. entitled "City Council Appointed Employees," the job title of
Chief Operations Officer was inadvertently listed. Because the Chief Operations Officer is
appointed by the City Manager and not the City Council as referenced, the text has been
updated to remove the job title of Chief Operations Officer from this section.
We apologize for any inconvenience.
cc: City Attorney
City Manager
Administrative Services Director
Human Resources Department
1635 Faraday Ave. I Carlsbad, CA 92008 I 760-434-2440 t
Management Compensation and Benefits Plan
SECTION 1: INTRODUCTION
The Management Compensation and Benefits Plan contains three parts: 1) an introduction, 2) an
overview of compensation and 3) a description of benefits for management employees.
Definitions
1. Management Employees -Management employees are defined as those employees
whose classifications are listed on the Management Salary Structure. Except as to those
management employees subject to an applicable law, all management employees are
considered "at-will" and have no property rights to their position. At will employment
with the City may be terminated at any time by either party, with or without cause, for
any reason or no reason whatsoever, and with or without advance notice. At will
employees do not have the right to appeal.
2. City Council Appointed Employees -The City Manager and City Attorney are hired by
and responsible directly to the City Council. The salaries for these positions shall be set
by the City Council. The City Manager and City Attorney will not be subject to the
provisions of the Compensation program as outlined in Section 2 of this document. The
schedule of management benefits (as outlined in Section 3 of this document) will apply
to these positions, except as otherwise provided by the City Council.
SECTION 2: COMPENSATION
Pay Ranges
Each management job classification is assigned to a specific pay range. An employee may be paid
anywhere in the pay range associated with their job classification.
Any employee may be advanced in the pay range regardless of the length of time served at the
employee's present pay rate. This advancement requires the written recommendation of the
employee's manager and the approval of the employee's department head and City Manager (or
City Attorney, for management employees in the City Attorney's Office)1•
If, as a result of a pay range adjustment, an employee's base salary falls below the minimum of the
pay range, the employee's salary will be increased to the new range minimum as of the date City
Council approves the pay range adjustment.
Periodically the Human Resources Department will bring forth salary range movement
recommendations to City Council that are based on market and economic conditions, and may
include one or more salary ranges.
Effective January 1, 2019 all management pay ranges will be increased by a percentage equal to the
West Urban CPI-U percentage increase (the index using all items from October to October), with
the minimum increase equal to one half percent (0.5%) and the maximum increase equal to three
percent (3%).
2
Revised 6/23/15
. Management Compensation and Benefits Plan
SECTION 1: INTRODUCTION
,
This attachment constitutes tihe Management Compensation and Benefits Plan, 1vvhlch contains
three parts: 1) an introduction, 2) an brief-overview of hov,1 management performance 1,vill be
evaluated and hov, compensation levels vt'ill be detennined, and 3) a schedule description of
management benefits.for management employees.
A-Definitions
1. Management Employees -Management employees are defined as those employees
whose classifications are listed on the Management Salary Structure. Except as to those
management employees subject to an applicable law, all management employees are
considered "at-will" and have no property rights to their position. At will employment
with the City may be terminated at any time by either party, with or without cause, for
any reason or no reason whatsoever, and with or without advance notice. At will
employees do not have the right to appeal.
2. City Council Appointed Employees -The City Manager and City Attorney are hired by
and responsible directly to the City Council. The salaries for these positions shall be set
by the City Council. The City Manager and City Attorney will not be subject to the
provisions of the Performance 1'.4anagement and Compensation program as outlined in
Section 2 of this attachmentdocument. The schedule of management benefits ( as outlined
in Section 3 of this attachmentdocument) will apply to these positions, except as
otherwise provided by the City Council.
SECTION 2: PERFOmY..NCE 1\4}..N} .. GEMENT } .. ND COMPENSATION SYSTEM
The City Council has delegated its authority to the City Manager (and City Attorney, for
management employees in the City .Attorney's Officel to administer a Perfonnance Management
and Compensation System for management employees under the general guidelines set forth in this
section. The City Manager will periodically proyide the City Council 1,vith progress reports on the
operation of the Performance Management and Compensation System. ·
Pay Ranges
Each management job classification is assigned to a specific pay range. An employee may be paid
anywhere in the pay range associated with their job classification.
Any employee may be advanced in the pay range regardless of the length of time served at the
employee's present pay rate. This advancement requires the written recommendation of the
employee's manager and the approval of the employee's department head and City Manager (or
City Attorney, for management employees in the City Attorney's Office)1.
1 Hereafter, all references to the City Manager include, with regard to management employees in the City Attorney's
Office, the City Attorney.
3
Revised 6/23/15