TO: ADAM PIRRIE, CITY MANAGER
FROM: SHELLEY DESAUTELS, CITY CLERK
DATE: JULY 23, 2024
Reviewed by:
City Manager: AP
SUBJECT:
Title
SECOND READING AND ADOPTION OF AN ORDINANCE INCREASING CITY COUNCILMEMBER COMPENSATION TO $1,275 PER MONTH IN ACCORDANCE WITH SENATE BILL 329 (FUNDING SOURCE: GENERAL FUND)
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SUMMARY
On June 29, 2023, California Governor Newsom signed Senate Bill 329 (SB 329) into law. The Bill allows cities a one-time chance to “reset” the monthly compensation of city councilmembers to take into account inflation, the significant workload performed by local government officials, including regional assignments, and to help encourage members of the community who may be considering seeking office.
Per Government Code Section 36516, cities with populations between 35,000 and 50,000 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 councilmember pay moving forward to reflect inflation as measured by the California Consumer Price Index.
At its July 9, 2024, the City Council, by a majority vote, placed the Ordinance on first reading. Tonight, if adopted, the Ordinance will become effective once the results of the November 5, 2024 election are certified and Councilmembers for Districts 1 and 5 are seated, since a change in compensation does not apply to a councilmember during the councilmember’s current term of office. Once an election is held, the increase will apply to all members.
Pursuant to Government Code Section 36516.5, all councilmembers serving staggered terms are eligible for the increase in compensation whenever one or more members becomes eligible by virtue of a new term of office.
RECOMMENDATION
Recommended Action
Staff recommends the City Council waive further reading and adopt 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. 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 the Ordinance increasing City Council compensation 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 $650 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.
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.
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 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 2024-26 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:
Shelley Desautels
City Clerk
Attachment:
Ordinance Increasing City Councilmember Compensation