TO: CITY COUNCIL
FROM: ADAM PIRRIE, CITY MANAGER
DATE: MAY 28, 2024
Reviewed by:
City Manager: AP
SUBJECT:
Title
CONSIDERATION OF AN ORDINANCE THAT, IF ADOPTED, WOULD INCREASE THE MONTHLY SALARY RECEIVED BY MEMBERS OF THE CITY COUNCIL TO THE AMOUNT AUTHORIZED BY SENATE BILL 329 (FUNDING SOURCE: GENERAL FUND)
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SUMMARY
On June 29, 2023, the Governor signed Senate Bill 329 (SB 329). The bill allows cities a one-time chance to “reset” the monthly salaries of city councilmembers to take into account inflation, the work done by local government officials, and the need to ensure that members of the community are not discouraged from seeking city office due to the low pay and high demands of that office.
Per Government Code Section 36516, cities with populations between 35,000 and 50,000 people may increase Councilmember pay to up to $1,275 per month. The salary increases would not take effect until after the general municipal election in November of 2024. In future years, SB 329 also allows City Councils to adopt an amended ordinance or a new ordinance to adjust their pay moving forward to reflect inflation as measured by the California Consumer Price Index.
Staff recommends the City Council consider pay increases for future City Councilmembers in accordance with SB 329 and, if desired, adopt the proposed ordinance.
RECOMMENDATION
Recommended Action
Staff recommends the City Council:
A. Consider pay increases for future City Councilmembers in accordance with Senate Bill 329; and
B. If desired, introduce for first reading, and that reading be by title only, AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CLAREMONT, CALIFORNIA, APPROVING A STATUTORY INCREASE IN COMPENSATION FOR MEMBERS OF THE CITY COUNCIL TO TAKE EFFECT AFTER THE NOVEMBER 2024 MUNICIPAL ELECTION.
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ALTERNATIVES TO RECOMMENDATION
In addition to the recommendation, there are the following alternatives:
A. Request additional information.
B. Provide direction to increase City Council compensation to an amount less than $1,275.
C. Do not adopt the proposed Ordinance, in which case Claremont City Councilmembers will continue to receive a monthly stipend of $400.
FINANCIAL REVIEW
Per Government Code Section 36516, cities with populations between 35,000 and 50,000 people may increase Councilmember pay up to $1,275 per month. The salary increases would not take effect until the first pay period after the seating of a new councilmember or the confirmation of the new term of an existing councilmember after the general municipal election in November of 2024.
Should the City Council adopt an ordinance increasing City Councilmember pay from $400 per month to $1,275 per month, the additional cost would be included in the City’s operating budget.
The staff cost to prepare this report is estimated at $600, and is included in the operating budget of the Administrative Services Department.
ANALYSIS
On June 29, 2023, the Governor signed Senate Bill 329 (SB 329). The bill allows cities a one-time chance to “reset” city council salaries to take into account inflation, the work done by local government officials, and the need to ensure that people are not discouraged from seeking city office due to the low pay and high demands of that office. According to the League of California Cities, a proponent of SB 329, lengthy time commitments and limited pay could discourage residents from running for office, especially low-income residents, single parents, people of color, and young people.
In Claremont, Councilmembers currently receive a stipend of $400 per month, which has not been increased since July 1, 1990. Per Government Code Section 36516, under SB 329, cities with populations between 35,000 and 50,000 people may increase Councilmember pay up to $1,275 per month. SB 329 also allows City Councils to adjust their pay moving forward to reflect inflation as measured by the California Consumer Price Index (CPI) in an amount no lower than 5 percent and no higher than 10 percent. Future CPI increases could not be implemented automatically and would need to be adopted through an amended ordinance or a new ordinance.
While, if adopted, this Ordinance would take effect thirty days after adoption, by operation of Government Code Section 36516.5, salary increases would not take effect until the first pay period after the seating of a new councilmember or the confirmation of the new term of an existing councilmember in 2024. In Claremont, this would occur after the results of the November 5, 2024 election are certified and Councilmembers for Districts 1 and 5 are seated in December 2024. Per Government Code Section 36516.5, all of the members of the City Council would receive the salary increase at the same time.
LEGAL REVIEW
The proposed Ordinance has been reviewed and approved as to form by the City Attorney.
RELATIONSHIP TO CITY PLANNING DOCUMENTS
Staff has evaluated the agenda item in relationship to the City’s strategic and visioning documents and finds that it applies to the following City Planning Documents: Council Priorities, Sustainable City Plan, Economic Sustainability Plan, General Plan, and the 2022-24 Budget.
CEQA REVIEW
This item is not subject to environmental review under the California Environmental Quality Act (CEQA).
PUBLIC NOTICE PROCESS
The agenda and staff report for this item have been posted on the City website and distributed to interested parties. If you desire a copy, please contact the City Clerk’s Office.
Submitted by: Prepared by:
Adam Pirrie Katie Wand
City Manager Assistant to the City Manager
Attachment:
Proposed Ordinance