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Council delays vote on new pay plan after debate over automatic raises and performance evaluation
Summary
Council held over action on a proposed unified nonrepresented employee compensation plan (9-step pay schedule with 4% steps) after members raised concerns that automatic step increases lack sufficient performance accountability; staff said implementation costs are included in the 2026 budget and offered to return with metrics and modeling.
HR manager Steve Barrett presented results of a Baker Tilly compensation study and recommended a single city pay plan for nonrepresented employees (grades 1'3) with nine steps and a 4% step increment. The plan would consolidate seasonal and regular pay scales and spread step increases across anniversary dates, creating predictable wage progression.
Council debate: Several council members expressed support for improving equity and predictability but raised concerns about automatic step increases that happen regardless of performance. Council members requested additional information on (1) which jobs changed upward or downward in market alignment, (2) the net fiscal impact on the 2026 budget versus a no-change scenario, and (3) the city's performance-evaluation systems to ensure poor performers are not retained simply to receive scheduled step increases.
Decision and next steps: After extended discussion, council voted to hold the item over for additional review and modelling, with staff asked to return with requested analysis and suggested performance-management metrics. Council directed staff to schedule the follow-up prior to finalizing implementation timelines.
