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San Luis council approves one‑time COLA for city employees funded from savings and event funds
Summary
Council approved Option 1 for a one‑time cost‑of‑living adjustment for classified and contracted employees, funded from an $35,000 transfer originally for an employee recognition event and salary savings from vacant positions; staff will identify specific vacant‑positions savings amounts.
The city council approved a one‑time cost‑of‑living adjustment (COLA) for classified and contracted employees after reviewing options and the available funding sources.
Finance staff presented three options and identified funding from a $35,000 transfer for an employee recognition event plus additional vacancy savings across departments. Staff said employees received a minimum 3% increase in July under prior compensation adjustments and that the proposed COLA would be a one‑time payment rather than a recurring base salary increase.
Council members discussed equity and timing. Some members argued the one‑time payment was appropriate because a recurring salary increase would add future budgetary obligations, while others said the council should consider across‑the‑board raises in a future budget cycle. A motion to approve Option 1 (a one‑time COLA as presented) passed by roll call; staff was directed to complete necessary budget transfers and report back with precise vacancy savings amounts.
Next steps: human resources and finance will finalize budget transfers and determine the disbursement schedule for eligible employees.
