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HomeMy WebLinkAbout073-96RESOLUTION NO. 73-96 APPROVING THE 1996-98 FINANCIAL PLAN AND THE 1996-97 APPROPRIATION LIMIT WHEREAS, a draft Financial Plan for fiscal years 1996-98 was submitted to the Town Council on April 26, 1996; and WHEREAS, the Town Council held five public study sessions on April 30, May 7, May 16, May 21 and May 29 and one public hearing on June 4, 1996 to discuss the proposed Financial Plan; and WHEREAS, the Town Council reviewed and made various revisions to the proposed Financial Plan; and WHEREAS, the emphasis in the draft Financial Plan is focused upon maintaining current program and service levels, with a modest expansion of services levels in certain areas; and WHEREAS, the draft Financial Plan proposes programmatic service levels which are within the Town's financial means while reserving funds for capital projects, meeting debt service obligations, and adequate reserve and contingency levels; and WHEREAS, the Town Council is required to adopt an appropriation limit for proceeds of taxes; and WHEREAS, this limit fixes the amount of general tax revenue that can be appropriated in a given fiscal year; and WHEREAS, any excess revenue must be returned to the taxpayers; and WHEREAS, pursuant to Proposition 111 passed by the voters in June 1990, the Town has selected the growth in the non-residential assessed valuation due to new construction within the Town and the change in Town population as the adjustment factors for 1996-97; and WHEREAS, the Town Manager has presented recommendations for staffing and compensation as detailed in Exhibit 1 of this resolution; now therefore, be it RESOLVED, that the Danville Town Council does hereby adopt the proposed 1996-98 Financial Plan; and be it further RESOLVED, that the Danville Town Council does hereby set the fiscal year 1996-97 appropriation limit at $11,705,760. APPROVED by the Danville Town Council at a regular meeting on June 4, 1996 by the following vote: AYES: Greenberg, NOES: None ABSTAINED: None ABSENT: None Shimansky, Arnerich, Doyle, Waldo 6 · MAYOR /AT~ROVED AS TO FORM: CITY ATTORNEY ATTEST: CITY CLERK MEMORANDUM Date: May 21, 1996 To: Mayor and Town Council From: Joe Calabrigo, Town Manager Subject: 1996-98 Draft Financial Plan Staffing and Compensation The following is an overview of staffing and compensation issues associated with the 1996-98 draft Financial Plan. STAFFING Page 25 of the draft Financial Plan identifies personnel allocations proposed by service program for 1996-98. A net increase of 3.5 full time positions are proposed to be added as follows: 1995-96 approved positions 98.75 FTE 1996-97 proposed additions 1.0 Administrative Secretary (Facilities Mgmt.) .5 Community Services Officer (Police) 1.0 Sergeant (Police) 1.0 Traffic Officer (Police) 102.25 FTE The recommendation to add new positions was based upon several considerations. The Administrative Secretary is required to provide clerical coverage at the new Community Center. The .5 Community Services Officer is recommended to administer the disaster preparedness classes, neighborhood watch and youth education programs. The Police Sergeant and Traffic Officer are recommended to provide expanded police coverage. The Account Clerk ! is necessary to keep pace with an increased workload and to reduce overtime hours. All positions will be funded by the General Fund. EXHIBIT 1 RECLASSIFICATIONS Rename or reclassify a number of positions to better reflect the Town's current work force. Rename: Administrative Secretary (City Clerk) to Account Clerk I (Finance) Reclassify: Legal Secretary to Administrative Secretary (City Attorney) Administrative Secretary to Police Assistant (Police) Secretary I to Community Services Officer (Police) Account Clerk II to Accounting Technician (Finance) Associate Planner to Assistant Planner (Building/Planning) COMPENSATION The 1996-98 draft Financial Plan includes a summary of salary and benefit costs on page 11 as well as "employee expense" costs associated with each program and comparison with 1995-96 estimated actual costs. While addressed in the draft Financial Plan, the issue of employee compensation for the next two year budget cycle will not be specifically discussed during the budget study sessions. The Town undertakes a comprehensive salary and total compensation survey every two years. The most recent total compensation survey was taken in June 1995 as part of adopting the 1995-96 Financial Plan. That survey was exhaustive in scope and subsequently resulted in changes to employee compensation. The next comprehensive survey to be undertaken by the Town will occur in early 1997 in preparation for the 1997-98 budget. In preparation for consideration of the 1996-97 draft Financial Plan, a limited survey of 17 other Bay Area Cities was conducted. The purpose for this survey was to identify whether or not cities were considering compensation adjustments for 1996-97, and to what degree. The survey indicated that 8 of the 17 cities contacted are planning for or negotiating salary increases for 1996- 97 while 9 of 17 do not know or are offering no increases. Increases range from 1% to 10% with an average of 3.8% for those cities making adjustments. The draft 1996-97 Financial Plan includes $146,000 to provide for merit-based salary adjustments for all Town staff. PAGE 2 OF EXHIBIT 1 TO RESOLUTION NO. 73-96 The proposed adjustment is recommended based upon the following considerations: . The increase is appropriate in order to maintain the Town's competitive relationship with other cities and continuing to maintain and retain good employees. . Employees have performed well, meeting program objectives outlined for 1995-96, continuing to provide positive service to the public despite overall expenditure reductions. . The salary adjustment which is proposed to be appropriated for 1996-97 represents an amount which is within the Town's overall financial resources given all other needs and priorities identified by the Town Council. PAGE 3 OF EXHIBIT 1 TO RESOLUTION NO. 73-96