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1979 08 13 I I I SPECIAL CHANHASSEN CITY COUNCIL MEETING - AUGUST 13, 1979 Mayor Hobbs called the meeting to order at 8:00 p.m. with the following members present: Mayor Hobbs, Councilmen Pearson, Neveaux, Geving and Matthews. APPROVAL OF AGENDA: As this represented a special Council meeting' with set agenda items, no additional items were considered. REVIEW 1979 ASSESSMENT POLICIES: The City Manager noted that no specific properties or assessments were proposed to be discussed this evening. The purpose of the review session was to allow councilmembers an opportunity to review, in depth, the improvements made in each of the projects and to discuss previous assessment policies used and their relationship to projects which had been completed in 1979 and proposed to be assessed. ' The city engineer reviewed the scope and nature of each of the following projects, presented detailed estimates and costs for each of the projects, and the general policies used by his office in preparing the engineer's recommended assessment roll for each of the projects. The projects discussed by councilmembers included: 1). Lotus Lake Estates - General concern expressed by council- members as to the differential in assessments between various lots. The Manager noted that such had occurred as a result of the development contract stating the specific amount for each of the lots and such being collected as a part of the building permits within the subdivision~ 'That costs had increased over the original estimate and, in any case, the developer would be responsible for any differential between amounts originally escrowed and actual costs. After discussion, the Manager noted it may be more appropriate to show each of the assessments as an even assessment with the developer required to make payment of differences between what was originally escrowed and the current even assessment for all lots. No specific action was taken by the city council; however, there did appear to be general agreement that all assessments should be shown in a similar manner to avoid future confusion. 2). Chaska Road Watermain: No comments were made by council- members regarding the engineer's review of this project. 3). Lake Riley Sewer Extension: After review by the engineer of the project (scope, costs, previous assessment policies, etc.), the Council generally discussed the history of this project including recognition of the fact that this project was originally anticipated to be a part of a larger project; however, as the pemrick's had required sanitary sewer prior to the time that the larger project could be completed, that a smaller project had been let for completion of such. Given the fact that the larger project exceeded original estimates, this project was being assessed as a separate project. Councilmembers requested that staff insure that both the pemrick's and Heille's were notified as to the previous history on this project and asked to review the engineer's recommended roll prior to the public hearing date - thus potentially reducing the number of administrative or technical qùestions at the hearing. SPECIAL CITY COUNCIL MINUTES - AUGUST 13, 1979 -2- REVIEW 1979 ASSESSMENT POLICIES, CONT: No action was taken by the City Council on any of the projects shown above except as shown. I NORTH SERVICE AREA SANITARY SEWER AND WATER REASSESSMENTS (PROJECT 71-1): During discussion of this item in July of 1979, the city council set this evening as a continuation of that discussion item with the city engineer's office instructed to prepare additional maps which would more clearly show properties having either or both deferred lateral and trunk sanitary sewer and/or water units against them. These maps should be referenced back to work sheets describing in detail the type and amount of these charges. Ray Jackson was present and noted that their office has completed a number of the maps, but with the departure of Bill Brezinsky from their firm, that they are requesting additional time prior to further discussion of this item. Councilman Pearson moved and Councilman Geving seconded a motion that this item should reappear as a part of a special city council meeting set for September 11, 1979. POSITION CLASSIFICATION AND PAY PLAN, CITY EMPLOYEES: The City Manager reviewed his report dated August 13, 1979. Such report primarily noted the Manager's concern that the position classification plan is basically sound in establishing position descriptions, relationships between I positions, establishment of salary ranges, and the establishment of a merit pay plan as a part of the position classification plan. Of concern to the Manager was the fact that, although the city has adjusted salary ranges and individual salaries during the past three year period, that the adjustments made by the council have been primarily "across the board" increases paralleling or being below the cost of living. The effect of these adjustments, although representing an effort by the City to stay within budgetary constraints and/or to meet Presidential guidelines, has been to erode the rational of a merit plan, i.e. that employees would be reviewed for their work performance and that employees performing at a level above the requirements of the position would be rewarded for such. Examples were noted of individuals presently being below the starting salary range for the position and/or other employees who had remained in the lower portion ~f the range and, without question, being high performers. The Manager did not question the City's previous action, but was significantly concerned that, given the current rate of inflation and levy limits of the city, that salary negotiations for 1980 may produce greater inequities. Although no reasonable solution may be possible, the Manager recommended the following: I) . That the city council authorize the Manager to meet with employees and inform them that general pay scale increases would occur on or about January 1, 1980. That such general increases were to parallel a program, to be initiated by the City Manager, to update all position descriptions for city employees and to review such in advance of general pay raises; I I I I SPECIAL CITY COUNCIL MEETING - AUGUST 13, 1979 -3- POSITION CLASSIFICATION AND PAY PLAN, CITY EMPLOYEES, CONTINUED: 2). That the city council authorize the Manager to begin reviews of position requirements in conjunction with performance of each employee during February through April of 1980 with the results of such performance reviews being submitted to the city council prior to July of each year; 3). That the Council will consider merit increases for employees, after reviewing the performance reviews, on or about July of each year. The above general concepts were discussed by councilmembers. After discussion, councilman Neveaux moved and Councilman Matthews seconded a motion to approve the Manager's recommendation in regards to position classificabions and the review schedules for 1980. Ayes All. Councilman Geving noted, as a part of developing the position descriptions, he believes that the city council should review methods and general guidelines under which performance increases would occur. The Manager noted that this would be a part of the information submitted back to the city council and that action by the council would be required prior to considering any merit increases. Further discussion occurred between councilmembers in regards to the "1979 Position Range" versus "1979 Salaries" of various employees. In light of the Manager's statements that various employees were presently below the minimum salary for the range and/or various employees with significant experience were in the lower portion of the range for their position; Councilman Matthews moved and seconded by Councilman Pearson that the following salary adjustment::should be made effective as of July 1, 1979: position Yearly Salary Secretary/Housing Coordinator $9,680/year (This is the yearly salary and should be reduced by 1/5 to represent the 32 hour work schedule for Nancy) . Manager's Secretary Foreman - Street (vic Kohman) Utility Supt. (Jerry Boucher) Treasurer Asst. Manager/Land Use Coor. $12,250/year $16,050/year $16,800/year $14,9l0/year $15,600/year Councilmembers discussed the means by which the City Manager's salary and position should be reviewed. After discussion, it was generally agreed that the City Manager's salary should not be shown on the same sheets and/or be considered as a part of salary negotiations for all other employees. Such statements being made in light of the Manager's responsibility to review all other positions and to make recommendations in regards to salaries for other employees. As such, a position that the Manager will be treated in the same manner, for all personnel policies and/or salary adjustments would be neither advisable nor reasonable business practice. In addition, SPECIAL CITY COUNCIL MEETING - AUGUST 13, 1979 -4- POSITION CLASSIFICATION AND PAY PLAN, CITY EMPLOYEES, CONTINUED: Councilmembers noted the fact that all other:' employees aréuresponsible I to the Manager's office and it is his responsibility to higher and fire such employees in light of State law, i.e. recognition of grievance procedures, rights to contest suspensions and/or termination for other than incompetance, insubordination, etc. These protections, are not given to the Manager who must be responsible to a city council and their interpretations as to what job requirements should be. Councilman Pearson moved and seconded by Councilman Geving that the Manager should be afforded a 60 day notice by the City prior to termination and, similarly, the Manager must provide the city with a 30 day notice prior to resignation; that the Manager's vacation schedule be set at 3 weeks per year; and that a 4% increase should be given to the Manager, effective July 1, 1979. Ayes - All. Adjournment: 11:45 p.m. Don Ashworth, City Manager I I