Board approves FY26–27 pay plan and personnel‑policy changes after consultant study

The Emerald Isle Board of Commissioners approved a new FY26–27 pay plan and an accompanying personnel‑policy update designed to address market salary shortfalls identified in a consultant study.

Lindsay (staff) summarized the Ponifex Consulting Group analysis, saying the town’s salary ranges were ‘‘generally below the current market’’ and that minimum salaries averaged about 6% below market. Staff proposed a pay plan that will be implemented with July 24 payroll adjustments and a $100,000 budget for market adjustments. Lindsay said that after the cost‑of‑living increase is applied, 19 employees would still fall below the new minimum and about $62,000 of the $100,000 would be used immediately to raise those employees to the new minimum; the remaining $38,000 would be used later in the summer for targeted adjustments.

The board also adopted a resolution amending personnel policy to establish a standard 12‑month probation for newly hired employees and to replace references to the former hiring rate with the new minimum rate. Lindsay noted that new employees would remain eligible for a 5% increase upon completion of probation, placing them at least 5% above the new minimum for their classification.

Town Manager Frank Rush described the $62,000 as an annual recurring cost that includes benefits and said the town currently has budget capacity to absorb the adjustment. Commissioners voiced support, emphasizing retention of ‘‘top talent’’ across police, fire, parks and rec, public works and other departments.

Both the pay plan and the policy amendment were approved by voice vote at the meeting.

Next steps: staff will implement the payroll changes with July 24 payroll and return with any details needed for future phases of market adjustments.