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City presents compensation study findings and pay‑philosophy choices; council asks for budget contingencies
Summary
Consultant Tessa McGarvey and city staff presented a two‑part compensation study (classification review and market analysis) that would move pay grids closer to or above market by mid‑2025; council asked for contingency scenarios, performance linkage clarity and targeted steps for police retention.
City staff and consultant Tessa McGarvey presented the results of a citywide compensation and classification study and asked the council to choose a pay philosophy to guide implementation.
McGarvey summarized the two phases: an internal classification review to update job descriptions and ensure internal pay equity, and a market study to set competitive wage ranges. She said the classification work already narrowed the city’s gap with benchmark communities and that phased adjustments could move the city’s pay grids toward market averages and modestly above market for leadership roles by July 1, 2025.
The recommended approach would use phased implementation and ongoing annual maintenance to limit budget spikes. McGarvey and staff explained that five of six union negotiations had already used the market analysis as a basis and that the remaining non‑represented and leadership positions would be addressed through the proposed grid adjustments.
Council members pressed staff for contingency modeling showing the budgetary impact of alternative pay philosophies (for example, remaining at market average versus moving to a higher percentile). Council member Erickson and others specifically asked for scenarios that show the fiscal impact of landing at 95–100% of market versus 105–110% of market.
Several councilors asked how pay for performance ties into the grid changes. Staff and the consultant said Brooklyn Park already uses an annual performance evaluation system that translates an evaluation score into a percentage increase; they said updating pay ranges preserves motivation for top performers and prevents employees from reaching a hard top end that undermines further raises.
Police recruitment and retention emerged as a high‑priority issue. Staff and the police leadership said recent market shifts—most notably large increases in nearby jurisdictions’ officer pay—have driven a wave of lateral departures. The city manager and police chiefs indicated an additional targeted market adjustment for sworn officers is being considered as part of the budget discussion.
Staff committed to deliver: contingency cost scenarios for different pay philosophies, a clearer breakdown of which funds (federal, state, city) offset local costs when applicable, and additional detail on performance‑based implementation rules. The council asked that budget impacts be presented alongside the final compensation proposal on Sept. 23.
What’s next: staff will return with budget contingency scenarios and a formal pay‑philosophy resolution for council consideration on Sept. 23.
