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Leon Valley adopts pay‑plan framework for FY26 to address pay inequities and recruitment challenges

3442423 · May 22, 2025
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Summary

City Council approved a structured pay‑plan framework on May 20 to align starting salaries with market comparators and reduce pay disparities; staff estimated a one‑time fiscal impact of roughly $53,000–$83,000 to place incumbents at market midpoints.

The City of Leon Valley adopted a framework May 20 for a formal pay plan to guide salaries, moves through steps, and future cost‑of‑living adjustments, City Manager Dr. Crystal Caldera told the council. The council voted to adopt the pay‑plan structure as a framework for the FY26 budget and asked staff to continue refining details for final adoption.

Dr. Caldera said the pay plan aims to promote equity, attract talent and reduce legal risk from pay disparities by establishing market‑based midpoints and a steps system for progression. The plan uses a market survey of comparable municipalities and sets many starting salaries at the midpoint rather than the minimum; Dr. Caldera explained that approach prevents an excessively high maximum salary in the long term.

Caldera presented sample figures from the survey and said patrol officers’ proposed starting mid was $61,183; firefighters/paramedics and public‑works maintenance positions were adjusted to comparable market levels. She told councilors the estimated immediate budget effect of moving incumbents to the new market midpoints would be roughly $53,000 to $83,000, depending on policy choices and budget parameters.

Council discussion focused on recruitment pressures and retention costs. Caldera cited competing offers from neighboring cities and private‑sector roles and said failure to adjust pay can drive turnover and raise replacement costs. She also described alternatives to a permanent salary increase for maxed‑out employees, such as increasing longevity pay instead of one‑time “bonuses,” which the city is not permitted to treat as non‑recurring pay in the same way.

Councilor Beth Mersh moved to adopt the pay‑plan structure framework and continue development and refinement; Councilor Danielle Bolton seconded the motion and the council approved the motion. Caldera said staff will use the framework in assembling the FY26 budget and bring back implementation details, including recommended step percentages and any longevity adjustments.

The council’s action creates a path for a more consistent compensation system but leaves specific funding choices to the forthcoming budget process.