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Council hears proposal for 3.5% compensation increase to retain staff
Summary
Staff proposed a 3.5% base compensation adjustment for 2025 (with performance-based distribution) to keep pay competitive with a 30-city comparators set. Council discussed comp-ratio benchmarking and requested the compensation philosophy document be made available to the public.
City staff recommended a 3.5% compensation adjustment for 2025 as part of a continued effort to keep city salaries competitive with peers. Staff described the proposal as consistent with the city's compensation philosophy and comp-ratio benchmarking using a set of comparator municipalities. "We are recommending a 3.5% (increase) and then, as a performance based, paying increase up to that 3.5," staff said during the policy discussion.
Several council members asked for clarification on the phrase "performance-based" versus market comp-ratio increases. Staff said the comp-ratio sets ranges and the 3.5% figure is the budgeted amount to move ranges and to provide merit adjustments, noting prior multi-year efforts to bring salaries toward the midpoint of the market. Council members asked that the adopted compensation philosophy (a resolution adopted in August 2022) be posted and publicized for resident reference.
The discussion did not finalize a council vote on the compensation policy in the study session; council asked for the policy language and the supporting comp-ratio study to be available for follow-up before formal adoption.
