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Council sets 2025 Cost-of-Living Adjustment at 2.6% for full-time staff
Summary
Council approved a 2.6% COLA for regular full-time city employees effective Jan. 1, 2025; the figure matches the Midwest Region CPI through November 2024 and differs from the 3% that had been budgeted.
The council voted to apply a 2.6% cost-of-living adjustment to all regular full-time city employees, effective Jan. 1, 2025.
Staff presented comparative data showing the Midwest Region CPI through November 2024 at 2.6% and noted that a 3.0% COLA had been budgeted for 2025 when the budget was adopted Sept. 16, 2024. The administration recommended rounding to 3.0% given recruitment and retention concerns, but Councilmember Rebecca Van Der Wege moved to approve 2.6% (seconded by Blaine Heble); the motion passed 7-0.
Mayor Shultz noted the overall cap for combined merit and COLA increases would remain at 5% based on budget parameters.
