07.01 Executive Directors Top Management1. SUBJECT
Resolution No. 11104 — A Resolution of the City Council of the City of Orange relating to the
classification, compensation, and terms of employment of executive directors and top
management employees and repealing Resolution No. 11089 and amendments thereto.
2. SUMMARY
Resolution No. 11104 amends the compensation and terms of employment for the City's
executive directors and top management employees for the period July 1, 2018 through June 30,
2019. Details of this agreement are provided under Section 6, "Discussion and Background"
below.
3. RECOMMENDED ACTION
Approve Resolution No. 11104.
4. FISCAL IMPACT
Costing Summary:
Fiscal Year 2018 -19
Cost Description
General Fund
All Other Funds
Cost of One -Time Lump Sum Payments
$120,000
$40,000
Cost for Medical Insurance
$22,500
$7,500
Total Annual Cost
$142,500
$47,500
5. STRATEGIC PLAN GOAL(S)
Provide for a safe community.
a. Provide staffing and resources to deliver services that ensure public safety.
2. Be a fiscally healthy community.
a. Expend fiscal resources responsibly.
6. DISCUSSION and BACKGROUND
The City's Top Management employees are not formally recognized as an employee bargaining
unit, but are covered by a City Council- adopted Resolution that provides for employee
compensation and benefits. The Top Management Resolution covers the City's department heads,
division managers, and other executive management -level employees. There are currently 64
employees covered by this Resolution.
If approved, the new Top Management Resolution will reflect the following provisions for the
period of July 1, 2018 through June 30, 2019:
Term of Resolution Effective July 1, 2018 through June 30, 2019
Salary Effective the pay period beginning July 8, 2018, employees shall
receive a one -time lump -sum payment in accordance with the
Schedule attached as Appendix "C ".
Only regular, full -time employees that are active (employed by the
City) during the pay period that a lump -sum payment is to be made are
eligible for such payments. Payments will be according to the
classification the member is in at the time the lump -sum payment is
made. Members in an acting position at the time of the lump -sum
p ayment will receive the amount for their acting classification.
Medical Insurance Effective the first pay period starting in January 2019, the City's
contribution toward medical insurance benefits per employee shall
increase by $75.00.
7. ATTACHMENTS
Resolution No. 11104
ITEM 2 07/10/18
RESOLUTION NO. 11104
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF ORANGE RELATING TO THE CLASSIFICATION,
COMPENSATION, AND TERMS OF EMPLOYMENT OF
EXECUTIVE DIRECTORS AND TOP MANAGEMENT
EMPLOYEES, AND REPEALING RESOLUTION NO.
11089 AND AMENDMENTS THERETO.
WHEREAS, the employees covered by this Resolution constitute management personnel; and
WHEREAS, the City Council has consulted with the City Manager concerning the proposed
employment terms contained herein; and
WHEREAS, the City Council has determined that this Resolution shall set forth the wages,
hours, and conditions of employment for the period of July 1, 2018 through June 30, 2019 for those
management employees covered herein;
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Orange hereby
adopts the wages, hours, and conditions of employment for the period of July 1, 2018 through June 30,
2019 for Executive Directors and Top Management Employees as follows:
SECTION 1. BASIC COMPENSATION PLAN. There is hereby established a basic
compensation plan for all executive directors and top management employees of the City of Orange who
are now employed, or will in the future be employed in any of the classifications of employment listed in
this Resolution and its attachments. Whenever the masculine gender is used in this Resolution, it shall
be understood to include the feminine gender. Whenever the term "department head" is used, it shall be
understood to include the City Manager when the personnel action affects a department head.
SECTION 2. SALARY AND WAGE SCHEDULE. The monthly salaries for employees
covered by this Resolution are hereby incorporated, and listed in Appendices "A" and "B."
The attached salary and wage schedules shall constitute the basic compensation plan consisting of
six steps or rates of pay in each range.
The City Manager reserves the right to grant an additional salary increase of up to 5.0% for any
classifications described herein in Appendices "A" or `B." Any such increases shall not exceed a total
cost of 1% of payroll for Top Management employees.
The respective ranges shall be identified by number and the steps by the letters "A" to 'T" inclusive.
The minimum length of service required for advancement to the next higher step, is provided in Section
5 and 6.
A. Lump Sum Payment. Effective the pay period beginning July 8, 2018, employees shall
receive a one -time lump -sum payment in accordance with the Schedule attached as Appendix "C ".
1) Only regular, full -time employees that are active (employed by the City) during the pay
period that the lump -sum payment is made are eligible for such payments. Payments will
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