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4.m) Staff Report-Administrator Salary Adjustment ;�� ��` :., ,, � ::;v ,,��''^�, ,L,��, SCANDIA Staff Renort Date of Meeting: Apri19, 2013 To: City Council From: Kristina Handt,Administrator Re: Administrator Salary Adjustment Agenda Item#: 4.m) Background: On August 28,2012,the City Council approved an Employment Agreement with Kristina Handt. The agreement included the following language: "Upon completion of the Probationary Period and thereafter during the Term,Employee's salary may be adjusted from time to time by the Employer in its sole discretion." On December 18, 2012,the City Council approved 2013 pay rates. Most employees received a 2% increase. The City Administrator's rate was not increased at that time but on the attachment to the resolution it was noted **subject to change after probationary period,per employment agreement. Issue: How should the salary of the city administrator be adjusted following a 6 month probationary review? Proposal Details: Since there is no policy in place that provides guidance on the appropriate increase amount following a probationary period,Council may consider past practice. In January,the Council approved a 5%increase for the Maintenance Superintendent following a satisfactory performance evaluation at the end of the probationary period. Prior to that employee wage adjustments were considered with the annual budget with the exception of the FT Maintenance Worker position which has an established step program. Increases are 5-6%in that step program. Fiscal Impact: Since the 5°/a increase would not into effect until late April,the increase in wages,t�es and benefits to the administration department would be$2,830 far 2013. Options: 1) Direct staffs to place approval of 5% increase to Handt's salary effective on the next payroll on the next consent agenda. 2) Direct staffs to place approval of a different percent increase to Handt's salary effective on the next payroll on the next consent agenda. 3) Do not approve a salary adjustment for Handt.