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CR 98-104 Council Salary IncreaseJuly 2, 1998 Proposed Action Staff recommends adoption of the following motion: Move that Council adopt for second reading, and order published. Ordinance 9$ -811 establishing salaries of the Mayor and Council, and amending Section 200.01 of the Hopkins City Code. This action will continue the process of raising the salaries of the Mayor and Council members. Overview COUNCIL SALARY INCREASE Primary Issues to Consider Council Report 98 -104 The salaries of the Hopkins City Council have not been increased since 1989. Staff has completed a study comparing the salaries of the Hopkins City Council with the Councils of similar cities. This study shows that the salaries received by the Hopkins City Council were below those of similar cities. • Comparison of City Council salaries • When does a change in City Council salaries take effect? According to Section 2.07 of the City Charter, no change to the salaries of the Council Members can take effect until after the next municipal election. The next municipal election will occur on November 2, 1999. Should there also be an additional payment for extra meetings? Supporting Information Steven C. Mielke City Manager Analysis of Issues Alternatives Ordinance 98 -811 Section 2.07 of the Hopkins City Charter Anoka $25 /meeting Provided for each special meeting held in addition to regular council meetings.' Brooklyn Park $50 /day Payment made when Council Members are required to attend special functions or take time away from work to perform services beneficial to the city. Crystal $35 /meeting Provided for each, meeting over and above regular or special Council meetings. Allowance will not be paid for the first 4 special meetings in any month. Allowance limited to $70 month. Eden Prairie $25- $50 /meeting Compensation for all meetings outside of regularly scheduled City Council meetings. $25 for meetings up to 2 hours; $50 for meetings longer than 2 hours. Golden Valley $50 /meeting $50 for extra authorized meetings up to a maximum of $150 per month. Lino Lake $40 /meeting Provided for meetings over and above regular meetings. Compensation is limited to two special meetings per month. Council Report 98 -104 Page 2 Analysis of Issue Comparison of City Council salaries: 1997 average annual salaries for mayors and council members in cities with populations between 10,000 and 20,000 Average Current Hopkins salaries Proposed Hopkins salaries Mayors: $5,414 $5,200 $6,000 Council Members: $4,346 $4,000 $4,600 Should there also be an additional payment for extra meetings? The City Council requested that staff investigate the establishment of per diem or per meeting payments for the City Council when Council Members are required to attend special meetings or take time off from work to attend city functions. Per diem payment are allowed under Minnesota Statute 415.11. The City Council must pass an ordinance to establish such payments. Such an ordinance would not go into effect until after the next municipal election. The following are some cities that provide per diem payments: CITY PER DIEM NOTES Each city that has a provision for extra compensation handles it differently. The amount and method of payment varies as do the type of meetings that are covered. If the City Council is interested in adopting some sort of per meeting compensation it should continue this item and staff can present various alternatives at a future worksession for the Council to consider. ' Given automatically to all City Council Members who attend specially called Council meetings. 2 Council Members must submit reimbursem - nt request to Finance Department. 3 . Council sanctioned County. State, Metropolitan and National Committees; Council sanctioned Joint Powers Committees; and special meetings which the Council directs or designates Council Members to attend as the Council representative. Council Members submit reimbursement requests to the Mayor. Council Report 98 -104 Page 3 Alternatives 1. Adopt Ordinance 98 -811 for second reading. This would result in the City Council salaries increasing after the next municipal election. 2. Continue this item for additional information and consideration. CITY OF HOPKINS HENNEPIN COUNTY, MINNESOTA ORDINANCE NO. 98 -811 An Ordinance establishing salaries of the Mayor and City Council from and after November 3, 1999. THE CITY COUNCIL OF THE CITY OF HOPKINS DOES ORDAIN: SECTION 1. That Section 200.01, Subdivision 1 be amended to read as follows: 200.01. Salaries of Mayor and Council members. Subdivision 1. Mayor. The salary of the mayor is $5,200 $6,000 per year, payable bi- weekly. SECTION 2. That Section 200.01, Subdivision 2 be amended to read as follows Subd. 2. Council Member. The salary of a council member is $1,000 54,600 per year, payable bi- weekly. First Reading: May 19, 1998 Second Reading: July 7, 1998 Date of Publication: July 15, 1998 Date Ordinance Takes Effect: November 3, 1999 Attest: Mayor Charles Redepenning City Clerk Terry Obermaier