MEETING DATE:
DECEMBER 10, 2024
SUBJECT:
Title
RESOLUTION NO. 2024-9397 & 2024-9398 - APPROVING AN UPDATED PART TIME AND FULL TIME CLASSIFICATION AND COMPENSATION SCHEDULE
Body
Recommendation
Recommendation
ADOPT resolutions approving an updated Part-time and Full-time Classification and Compensation schedules.
Body
Board or Commission Action
Not Applicable
Relevant Council Strategic Theme
Planning for the Future
Good Governance
Executive Summary
Effective January 1, 2025, the State of California minimum wage will increase from $16.00 per hour to $16.50 per hour. To comply with this increase and maintain consistency in our compensation structure, an adjustment to the Part-time compensation structure is necessary to ensure minimum wage compliance. Additionally, to preserve the internal equity and progression within the pay structure, a 3.13% increase is proposed to be applied across each group and step within the pay schedule.
This approach aligns with best practices in compensation philosophy, ensuring our compensation framework remains competitive and fair for employees within this compensation schedule. In addition, changes to the Part-time schedule that may impact the Full-time compensation schedule were evaluated and an update to the Full-time EMT Classification has been recommended at this time.
Finally, an addition to the Full-time Classification and Compensation Schedule is being proposed with the addition of the Director of LEAN (Leading Efficiency, Accountability and eNgagement) Government classification to best meet the expanded two-way citywide communication needs.
Discussion
On January 1, 2025, the state-mandated minimum wage will increase from $16.00 to $16.50 per hour, impacting the city’s entry-level positions within Group A of the Part-time Classification Schedule, where the starting step is tied to minimum wage. This change necessitates an adjustment for all affected positions to ensure compliance with the new rate.
In addition to this adjustment, each pay step within the affected schedule is proposed to increase by 3.13%, reflecting the same percent change from $16.00 to $16.50. This incremental adjustment helps maintain the established internal pay structure and ensures that the progression between steps and groups remains consistent. By applying this adjustment across each group, the city upholds its commitment to a balanced compensation philosophy that supports employee retention and ensures competitive pay. This recommendation is made in line with best practices, reflecting the city’s goal to support employees equitably and adapt to evolving minimum wage requirements while maintaining a structured and consistent pay scale.
During this analysis, classifications that are found on both the part-time and full-time classification and compensation schedules are reviewed to ensure alignment is maintained. To ensure consistency, the starting base hourly wage for full-time EMTs is proposed to be adjusted to $19.00 per hour, aligning starting pay with the part-time pay scale and ensuring that our compensation remains competitive in the regional market. The City of San Marcos led the region in establishing the EMT staffing philosophy over the last two decades, which has been instrumental in meeting recruitment and staffing goals by creating a recruitment pipeline for the Firefighter Paramedic ranks. Given the regional shift for an increase in non-safety EMT roles, maintaining a competitive pay structure remains essential to attract and retain high-quality candidates for the San Marcos Fire Department.
Finally, in considering the evolved and expanded needs of the organization, a new Full-time classification is being proposed. The Director of LEAN (Leading Efficiency, Accountability and eNgagement) Government classification is a key leadership position focused on building upon the City’s strong foundation of operational excellence, transparency, and responsiveness. This role is dedicated to continuously improving organizational efficiency, fostering accountability, and enhancing community engagement. By leveraging advanced communication strategies and data-driven approaches, the Director will further strengthen internal collaboration and alignment across all City departments, ensuring that the City of San Marcos continues to deliver exceptional value and service to its residents. Given the expanded scope and role, this position is being added to the current schedule at Grade IV, which is one pay grades higher than the original Strategic Communications Director position. The pay range for this position is an annual salary of $154,141 to $209,399.
Environmental Review
The proposed action is not a “project” as defined under Section 15378 of the California Environmental Quality Act Guidelines (California Code of Regulations, Title 14, Division 6, Chapter 3, Sections 15000 - 15387), and is therefore not subject to environmental review pursuant to Guidelines Section 15060(c)(3).
Fiscal Impact
Part-time employees are permitted to work up to 999 hours per fiscal year to stay below the CalPERS threshold. To complete this fiscal impact analysis, all current part-time positions and hourly rates were evaluated, with the assumption that the typical employee will work 500 hours during the period of January 1 - June 30, 2025, at the new hourly rate presented on the schedule, resulting in a citywide increase of approximately $47,000.
Using a similar methodology for the full-time EMT classification, assuming employees in this classification will work 1,456 hours for the same period, the fiscal impact of this change is approximately $55,000.
The previous recruitment for the Strategic Communications Director in December 2023 was unsuccessful and the position remains vacant. Given the prior budget challenges, this position was not funded for FY25. With an anticipated start date in February 2025, the projected total compensation fiscal impact for the current fiscal year is estimated at $114,000.
An additional budget appropriation to cover these additional personnel costs for this current fiscal year is necessary to support these actions and will be presented at the FY25 Midyear Budget request. As ongoing personnel costs for future years, these new pay rates and classification will be used for future budgeting purposes.
Attachment(s)
Resolution - Adopting Part-time Classification and Compensation Schedule
Part-time Classification and Compensation Schedule, effective 12/21/2024
Resolution - Adopting Full-time Classification and Compensation Schedule
Full-time Classification and Compensation Schedule, effective 12/20/2024
Prepared by: Stacy Armacost, HR/Risk Manager
Submitted by: Janelle Laughlin, Administrative Services Director
Reviewed by: Janelle Laughlin, Administrative Services Director
Approved by: Michelle Bender, City Manager