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Staff Report PREPARED BY: LISA VELASCO Human Resources Director Reviewed by: Town Manager, Assistant Town Manager, Town Attorney, and Finance Director 110 E. Main Street Los Gatos, CA 95030 ● 406-354-6832 www.losgatosca.gov TOWN OF LOS GATOS COUNCIL AGENDA REPORT MEETING DATE: 12/18/2018 ITEM NO: 12 DATE: DECEMBER 12, 2018 TO: MAYOR AND TOWN COUNCIL FROM: LAUREL PREVETTI, TOWN MANAGER SUBJECT: ADOPT A SALARY SCHEDULE FOR TOWN COUNCIL AND MANAGEMENT REFLECTING A TOWN CODE AMENDMENT TO INCREASE TOWN COUNCIL SALARIES EFFECTIVE JANUARY 1, 2019 RECOMMENDATION: Adopt a Salary Schedule for Town Council and Management (Attachment 1) reflecting a Town code amendment to increase Town Council salaries effective January 1, 2019. BACKGROUND: During the February 6, 2018 Town Council meeting, Council approved an Ordinance to amend Section 2.20.025 of the Town Code to increase Town Council salaries fro m $200 per month to $570 per month, effective January 1, 2019. Pursuant to the California Public Employees’ Retirement System (CalPERS) regulations, current base salary amounts for elected officials must be reflected on a publicly available pay schedule. DISCUSSION: Town Council members are optional members of the CalPERS retirement system and if membership is elected, they may apply for a monthly retirement benefit which is calculated on eligible base salary. CalPERS requires that base salary used to calculate retirement earnings is reflected on a publicly available pay schedule pursuant to CCR Section 570.5. The Section further requires that each pay schedule is duly approved and adopted by the employer’s governing body in accordance with requirements of applicable public meeting laws. PAGE 2 OF 2 SUBJECT: ADOPT A SALARY SCHEDULE FOR TOWN COUNCIL AND MANAGEMENT REFLECTING A TOWN CODE AMENDMENT TO INCREASE TOWN COUNCIL SALARIES EFFECTIVE JANUARY 1, 2019 DATE: DECEMBER 12, 2018 S:\COUNCIL REPORTS\2018\12-18-18\TC Salary\Staff Report.docx 12/12/2018 3:17 PM CONCLUSION: In compliance with CalPERS requirements, staff requests that Council formally adopt the Salary Schedule for Town Council and Management reflecting the increase in the Council salary effective January 1, 2019, as previously approved in a Town Code amendment (Attachment 1). The draft Salary Schedule also identifies a potential modification to the Town Manager’s salary, which is subject to Council consideration under a separate agenda item for this Town Council meeting. FISCAL IMPACT: Funds are currently included in the Fiscal Year 2018/19 operating budget as a result of the related ordinance amending the Town Code approved on February 6, 2018. ENVIRONMENTAL ASSESSMENT: This is not a project defined under CEQA, and no further action is required. Attachment: 1. Salary Schedule for Town Council and Management