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COMMITTEE OF THE WHOLE Minutes - 9/23/2014 Approved CITY OF MUSKEGO COMMITTEE OF THE WHOLE MINUTES September 23, 2014 5:40 PM City Hall, W182 S8200 Racine Avenue CALL TO ORDER ROLL CALL Mayor Chiaverotti called the meeting to order at 5:45 p.m. Present were Ald. Madden (arrived at 6:42 p.m.), Kubacki, Engelhardt, Di Pronio, Borgman, Hammel, and Wolfe. Also present: Director of Finance and Administration Mueller, Community Development Director Muenkel and Deputy Clerk Blenski. STATEMENT OF PUBLIC NOTICE The Deputy stated that the meeting was noticed in accordance with the open meeting law. APPROVAL OF AGENDA There were no issues with the agenda. APPROVAL OF MINUTES - September 18, 2014 Alderman Kubacki made a motion to approve the September 18, 2014 minutes. Alderman Borgman seconded. Motion Passed 6 in favor. NEW BUSINESS Continue Review of 2015 Proposed Operating Budget Ms. Mueller stated that with the approved water rate increase, the City’s budget will have to be adjusted to include a 3% increase for public fire protection. She will offset the expenditure with the revenue from the State Transportation Aids. Consensus: All in favor. Severance The Mayor reviewed the existing policy for Separation of Employment. Several positions will be eliminated as of January 1, 2015. The affected employees would receive severance pay if certain conditions are met. One of those is that the employee must remain employed until the termination date (12/31). The Mayor noted that this could pose a problem for the employee who may find a new position and want to leave prior to December 31. Currently, the employee who leaves prior to December 31 would not receive any severance. The Mayor requested that the Committee review and consider other options. After considerable discussion and various suggestions, Ald. Kubacki recommended using a percentage scale if the employee leaves prior to December 31. He suggested the following severance payout for an employee whose position is eliminated: Last Day of Employment – 12/31/2014 100% Payout Last Day of Employment – 11/30/2014 95% Payout Last Day of Employment – 10/31/2014 90% Payout Last Day of Employment – 9/30/2014 85% Payout Consensus: 5 in favor; Ald. Wolfe opposed. Ald. Wolfe believes the suggested payout should be more conservative; he would like to revisit the existing policy in the future. Library Ald. Di Pronio questioned some increased expenditures in the Library budget for print materials. Ald. Engelhardt stated that activity at the library has increased according to information provided at the Library Board meetings he attended. It was suggested that the Director attend a future meeting after this budget process to help the Committee better understand the operation of the library and the requested expenditures. Percentage of Employee Increase (Ald. Madden arrived at 6:42 p.m.) The budget currently reflects up to a 4% increase for managerial and specialist staff as part of the Pay for Performance Plan. This allows for step increases and progression within the merit pay program. Ald. Hammel and Borgman stated those percentages were too high. The Mayor stated the average employee will receive approximately 2.7%. The 4% is a maximum and not commonly awarded. The increase is based on merit and subject to review of the Mayor. She stated that employees who were non-represented have wage ranges with minimum and maximum amounts. The merit increase allows an employee to move through the salary range. It may take employees many years to reach the maximum even with favorable evaluations. Several Aldermen requested that the maximum percentage of increase should be reviewed annually. It was determined that the 2015 budget would not be changed at this time and the issue would be reviewed in the future. City of Muskego Proposed 2015 Budget The Committee recommended unanimously to move the budget forward. Ms. Mueller noted that the budget public hearing notice would be sent to the paper later in the week for publication on October 2. ADJOURNMENT Alderman Kubacki made a motion to adjourn at 6:59 p.m. Alderman Hammel seconded. Motion Passed 7 in favor. Minutes transcribed by Jill Blenski, Deputy Clerk