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HomeMy WebLinkAbout030326-08.1 ADMINISTRATIVE STAFF REPORT 8.1 TO: Mayor and Town Council March 3, 2026 SUBJECT: Ordinance No. 2026-01, amending Section 2-1.3b of the Danville Municipal Code relating to Town Council compensation BACKGROUND Compensation for members of city councils in general law cities throughout California is governed by Sections 36516 and 36516.5 of the Government Code. Section 36516 sets a base salary depending on the population of the city and allows for an increase of either 5% per year or the amount of the annual increase in California CPI since January 1, 2024 (up to a maximum of 10% per year). Any such increase must be approved each time by ordinance- Section 36516 prohibits ordinances including automatic increases. Section 36516.5 regulates the timing of any increase in salary, providing that any adopted increase in council salary does not become effective until at least one member of the council begins a new term of office. As a practical matter, this means that any approved increase becomes effective after a council election and the swearing in of those elected or appointed. DISCUSSION The Town Council’s current salary is set at $1,387 per month, which became effective in December 2024 after the Council election that year. Using the existing formula of Section 36516, the maximum possible increase would be $138 per month ($1387 x 5% x 2 years), for a new monthly amount of $1,525. Note that the option of using the CPI would be difficult at this point because the figure for 2025 has not been adopted (the 2024 figure was 3.3%). Using the proscribed timeline of Section 36516.5, any approved increase would become effective in December 2026, after the councilmembers elected in the November 2026 election are sworn in and begin their terms. PUBLIC CONTACT Notice of this hearing was published in a newspaper of general circulation. Posting of the meeting agenda serves as notice to the general public. Town Council Compensation 2 March 3, 2026 FISCAL IMPACT There is no fiscal impact until December of 2026. Should the ordinance be adopted, sufficient funds will be appropriated in the Town’s 2026/27 Operating Budget to pay for the approximately $8,280 increase in annual salary for the entire Council. RECOMMENDATION Introduce and read by title only Ordinance No. 2026-01, amending Section 2-1.3b of the Danville Municipal Code relating to Town Council compensation and return for second reading and adoption on March 17, 2026. . Prepared by: Robert B. Ewing City Attorney Attachment: Ordinance No. 2026-01 ORDINANCE NO. 2026-01 AMENDING SECTION 2-1.3b OF THE DANVILLE MUNICIPAL CODE RELATING TO TOWN COUNCIL COMPENSATION The Danville Town Council does ordain as follows: SECTION 1. AMENDING SECTION 2-1.3b OF THE DANVILLE MUNICIPAL CODE. Section 2-1.3b of the Danville Municipal Code is hereby amended to read as follows: 2-1.3 Compensation of Town Council. b. Salary. The salary for each member of the Town Council shall be set at $1,525 per month, payable at the same time and in the same manner as the salary paid to employees of the Town. This salary is exclusive of any other amount payable to a member of the Town Council as health care benefits or reimbursement for actual and necessary expenses consistent with the Town’s reimbursement policy. SECTION 2. CODIFICATION. Section 1 of this ordinance shall be codified in the Danville Municipal Code. SECTION 3. PUBLICATION AND EFFECTIVE DATE. The City Clerk shall have this ordinance published once in a newspaper of general circulation within 15 (fifteen) days after adoption. This ordinance shall become effective 30 days after adoption, however, pursuant to Government Code Section 36516.5, the salary specified shall not take effect or be paid until at least one member of the Town Council begins a new term of office. Docusign Envelope ID: 8606073F-1438-422D-A2EC-9945EDAB684E PAGE 2 OF ORDINANCE NO. 2026-01 The foregoing Ordinance was introduced on March 3, 2026, and approved and adopted by the Danville Town Council at a regular meeting held on March 17, 2026, by the following vote: AYES: NOES: ABSTAINED: ABSENT: ______________________ MAYOR APPROVED AS TO FORM: ATTEST: _______________________ CITY ATTORNEY CITY CLERK CLERK'S CERTIFICATE I, Marie Sunseri, City Clerk of the Town of Danville, hereby certify that the foregoing is a true and accurate copy of Ordinance No. 2026-01 of said Town and that said ordinance was published according to law. Dated: __________________________ _________________________________ City Clerk of the Town of Danville Docusign Envelope ID: 8606073F-1438-422D-A2EC-9945EDAB684E