Chapter 3.55
SALARY ADMINISTRATION PLAN

Sections:

3.55.010    General policy—Annual focal review process.

3.55.020    Position classification.

3.55.030    Salary administration plan.

3.55.040    Salary structure.

3.55.050    Pay ranges.

3.55.060    Basis of pay ranges.

3.55.070    Pay rates.

3.55.080    Advancements within a pay range.

3.55.090    Pay adjustment on transfer, promotion, demotion and reinstatement.

3.55.100    Pay for special types of appointments/assignments.

3.55.105    Pay adjustments due to absence.

3.55.110    Effective date of changes in payroll actions.

3.55.115    Special incentive pay.

3.55.120    Total remuneration.

3.55.010 General policy—Annual focal review process.

The policy of the city is to fairly compensate its employees on the basis of merit, and to review and update compensation during the annual focal review process. During the annual focal review process, each employee’s performance shall be appraised and his or her pay adjusted in accordance with the provisions of this chapter. All pay adjustments are subject to availability of funds in light of fiscal and budgetary realities experienced by the city. (Ord. 03-33(SUB)(AM) § 2 (part), 2003)

3.55.020 Position classification.

A.    Assignment of Position. The mayor shall have the duty of assigning positions to the appropriate grade in the salary administration plan and making reassignments of positions when changes in duties and responsibilities justify such action. Departmental and employee requests for reclassification shall be submitted to the mayor for review at such time and in such form as he or she may require. Changes shall become effective upon approval of the mayor. The mayor, with advice and assistance from department heads, shall maintain written position descriptions for all positions with the city. Each position description shall include:

1.    An appropriate title;

2.    A general statement of duties and responsibilities;

3.    Examples of duties;

4.    A listing of minimum qualifications for the position; and

5.    Essential job functions, including but not necessarily limited to any physical requirements for the job, or any required reading, writing, and computer skills.

B.    Position Descriptions. Position descriptions shall be considered only as descriptive guidelines and not as inclusive of all duties required of positions assigned to a particular grade. All position descriptions shall be kept up-to-date. The city retains the right to determine that qualifications other than those included in the minimum qualifications qualify a person for the position, regardless of whether or not the position description explicitly states that other qualifications may qualify a person for the job.

1.    It shall be the responsibility of department heads to prepare and maintain position descriptions which define the duties and qualifications required for each of the positions in their department as delineated in subsection A of this section and to provide those descriptions to the mayor.

C.    Duties of Employees. Any employee may be required by a department head to perform any of the duties described in his or her position description, and other duties which may be necessary or desirable and for which the employee is qualified to perform. Nothing in this section prohibits the city from requiring an employee to perform duties which are not detailed in the employee’s position description.

D.    Qualifications Statements. Common alternative combinations of education, training or experience are specified in the position descriptions. However, other combinations may be qualifying, if deemed equivalent, by the mayor. Position descriptions shall be considered only as descriptive guidelines and not as inclusive of all duties required of positions assigned to a particular grade. The city retains the right to determine that qualifications other than those included in the minimum qualifications qualify a person for the position, regardless of whether or not the position description explicitly states that other qualifications may qualify a person for the job. Personal traits, including, but not necessarily limited to, good character, loyalty, honesty, industriousness, amenability to supervision, willingness to adapt to change, and willingness to cooperate with co-workers shall be qualifications required for each position, even though such traits may not be specifically mentioned in the position descriptions. (Ord. 03-33(SUB)(AM) § 2 (part), 2003)

3.55.030 Salary administration plan.

A.    The mayor shall establish and maintain the salary administration plan, which shall group together those positions that are sufficiently similar in kind, responsibility and difficulty of work to warrant assignment to the same pay range established for a particular grade. The pay ranges established for a particular grade shall be approved by the council by resolution.

B.    The official grades and positions shall be used as the exclusive means of reference in all official records and transactions, but working titles acceptable to department heads may be used in correspondence and other dealings with the public. (Ord. 03-33(SUB)(AM) § 2 (part), 2003)

3.55.040 Salary structure.

A.    The mayor shall develop, and present to the city council for approval, an equitable salary structure for classified and confidential/managerial positions. The city council shall adopt the salary structure, listing each pay range assigned to each grade included in the salary structure, by resolution. Amendments to the salary structure may be recommended to the city council by the mayor and shall become effective upon city council approval or any other date specified by the city council. Pay ranges for each grade shall be based upon economic trends and forecasts in Alaska, fiscal and budgetary realities, and/or any other information deemed relevant to employee pay by the mayor. Employees may provide input to the mayor and the council regarding pay ranges.

B.    When an employee’s pay range is amended and his or her current pay falls below the minimum rate of pay in the pay range applicable to his or her position, the employee’s pay shall be adjusted upwards to the minimum rate of pay for the pay range. When an employee’s pay range is amended and his or her current pay is higher than the maximum rate of pay in the pay range applicable to his or her position, the employee’s pay will be frozen at his or her current higher rate of pay. When an employee’s pay range is not amended and his or her pay is at the top of the range, the mayor in his or her sole discretion, may provide the employee with a lump sum longevity payment, not to exceed three percent of his or her annual pay. Any such longevity payment shall not be considered a part of the employee’s salary or become a part of the employee’s base pay; rather, any such longevity payment is a one time payment only. (Ord. 03-33(SUB)(AM) § 2 (part), 2003)

3.55.050 Pay ranges.

A.    A pay range is a level of pay that is assigned to a grade which determines the pay of employees in that grade. It comprises a range of pay through which an employee may progress if his or her performance merits an increase (subject to availability of funds). The positions assigned a grade may be adjusted to any rate of pay within the salary range.

B.    Pay ranges are assigned to grades based upon all or some of the following factors:

1.    Duties and responsibilities of positions within the grade;

2.    Internal equity within a pay range;

3.    Market rates for comparable work in both public and private employment;

4.    Pay relationships for similar jobs;

5.    Pay relationships between supervisors and employees;

6.    Employee recruitment and retention;

7.    Economic trends and forecasts;

8.    Salary survey data, including comparative fringe benefits;

9.    Availability of funds; and

10.    Other factors deemed relevant by the mayor and city council. (Ord. 03-33(SUB)(AM) § 2 (part), 2003)

3.55.060 Basis of pay ranges.

A.    Pay ranges are based on full-time employment for the respective positions assigned to the grades.

1.    Classified employees are paid at an hourly rate calculated by dividing the actual amount of pay within the pay range assigned to a particular classified employee by two thousand eighty (2,080) hours per year.

2.    Employees serving in confidential/managerial positions are paid an annual salary based on the actual amount of pay within the pay range for the grade to which the employee’s position is assigned, or paid on an hourly basis as provided for in Section 3.55.070(A). (Ord. 03-33(SUB)(AM) § 2 (part), 2003)

3.55.070 Pay rates.

A.    Starting Rate on Initial Employment. A new employee’s initial starting rate shall be at the place in the pay range for the grade in which the employee’s position is assigned which best corresponds with the employee’s qualifications for the position. In recommending the appropriate place in the pay range to the mayor, a department head shall consider the employee’s prior job experiences and abilities, and the current labor market for similar positions, in addition to the new employee’s qualifications for the position. Upon the department head’s recommendation, the mayor may approve a starting pay rate at or above the midpoint of the pay range. Any new employee hired from July 1st through March 31st shall be included in the focal review process that occurs on July 1st. Any new employee hired April 1st through June 30th shall be hired at a pay rate that anticipates that they will not be included in the focal review process until July 1st of the following year.

B.    Reinstatement and Reemployment of Employees.

1.    Reinstatement of Veterans. A reinstated veteran shall be reinstated in accordance with state and federal law. His or her length of service shall be that established before leaving for military service. A probationary period shall not be required unless one was not completed in his/her last previous employment, in which case only the incomplete portion need be served upon reinstatement.

2.    Reemployment of Certain Laid-Off Employees. When a laid-off employee in layoff status for twelve (12) months or less, who requested reemployment in writing after previously obtaining a regular appointment to a position, becomes reemployed, he or she is entitled to the same pay received at the time of layoff if he/she is reemployed in a position in the same grade as the position held prior to layoff. His or her length of service will be adjusted by the number of months and/or days laid off. The employee shall be included in the next scheduled focal review process. A probationary period shall be required only if requested by the department head and approved in advance by the mayor, unless one was not completed in the last previous employment, in which case the incomplete portion need be served in new employment.

3.    Reinstatement as Result of Chapter 3.75. An employee reinstated through the hearing process provided for in Chapter 3.75 of this title is entitled to all rights previously established, including the same pay, and the same length of service, unless otherwise directed by the mayor.

C.    Rehire. A former employee may be rehired at the same pay rate he or she had before separation or any lower or higher pay rate, depending on the position for which the employee is rehired. When rehired in the same grade or a lower grade, when approved in advance by the mayor, the employee may be paid at the rate that best reflects prior creditable city service. Consideration shall be given to experience and education acquired since leaving city employment. The employee must serve a probationary period.

D.    Demotion.

1.    Pay Rate for Lower Grade. When an employee is demoted, his or her pay rate in the range for the lower grade shall be that rate which is determined by the department head and approved in advance by the mayor. Factors to determine the pay rate may include, but are not necessarily limited to, reason for demotion, past and current performance appraisals, cooperation with the department head and other employees; previous experience in the lower grade; budgeted funds available; and length of service.

a.    Demotion for Disciplinary Reasons. An employee demoted for disciplinary reasons may be placed at the pay rate in a lower pay range that is appropriate given the employee’s overall level of performance.

b.    Demotion in Lieu of Layoff. Employees demoted in lieu of layoff shall be placed at the pay rate in the pay range for the grade to which the demoted position is assigned that is appropriate given the employee’s overall level of performance.

2.    Length of Service. Length of service of a demoted employee shall remain unchanged. (Ord. 03-33(SUB)(AM) § 2 (part), 2003)

3.55.080 Advancements within a pay range.

A.    An employee’s advancement through the pay range for a particular position shall be determined in the annual focal review process in which each employee’s performance is appraised and their rate of pay reviewed and adjusted in accordance with their performance, subject to availability of funds. In the first year of the focal review process, the annual focal review process shall culminate on August 1st instead of July 1st, and any adjustment to an employee’s pay rate shall be retroactive to July 1st.

B.    After the employee’s performance is appraised, his or her pay rate shall be adjusted accordingly, subject to availability of funds. During the first year of transition to the focal review process, a pay increase already received by an employee on his or her anniversary date or upon successful completion of a probationary period before August 1st shall be taken into account in determining his or her pay rate during the focal review process. The department head’s recommendation for a pay increase must be based on merit and the performance of an employee. Pay increases are not automatic and shall only be awarded to an employee whose performance merits an increase, if funds are available to fund the pay increase. The amount of a pay increase is discretionary. An employee who does not meet the minimum requirements for the job shall receive no pay increase. An employee who needs improvement or an employee who meets the requirements of his/her job may receive a pay increase, depending on where the employee’s pay falls within the pay range at the time of evaluation and the employee’s actual performance, as well as availability of funds. An employee whose performance exceeds requirements or an employee whose performance is exceptional shall receive a pay increase depending on where the employee’s pay falls within the pay range at the time of evaluation and the employee’s actual performance, if funds are available for the pay increase. (Ord. 03-33(SUB)(AM) § 2 (part), 2003)

3.55.090 Pay adjustment on transfer, promotion, demotion and reinstatement.

A.    In the event of transfers, demotions and promotions, or reinstatement, the following principles shall apply, subject to availability of funds:

1.    Transfer. In the case of transfer, the pay rate of the employee shall remain unchanged unless it is below the minimum of the pay range for the transferred position, in which case the employee’s pay shall be increased to the minimum of the pay range.

2.    Promotion. In the case of promotion, the pay rate of the promoted employee shall increase to the point in the pay range that reflects the employee’s qualifications. Employee’s salary shall represent at least a five percent increase.

3.    Upward Reclassification. In any case where a position is reclassified upwards the salary of the employee occupying the position shall be increased a maximum of at least three percent.

4.    Demotion. In the case of demotion, the pay rate of the demoted employee shall be determined by the mayor in consultation with the employee’s department head. (Ord. 03-33(SUB)(AM) § 2 (part), 2003)

3.55.100 Pay for special types of appointments/assignments.

A.    Temporary Appointments. The mayor shall set the starting pay of temporary employees at an appropriate level. Temporary employees do not accrue paid time off or other benefits provided to other employees under this title. However, if a temporary employee subsequently attains a regular full-time or part-time appointment, without a break in service, credit shall be given for service already rendered under the temporary appointment when computing the duration of probation but not when computing accrual of paid time off or other benefits provided to other employees under this title.

B.    Acting Assignment. Upon approval by the mayor, an employee may be temporarily assigned, on a full-time basis, to accept the responsibilities for and perform work normally assigned to a position in a higher grade for seven working days or more. The employee shall receive a minimum upward pay adjustment of five percent in his/her normal rate of pay for all days served in the acting assignment retroactive to the first day of the acting assignment. An employee shall have the right to refuse an acting assignment at the higher pay rate without prejudice. All acting assignments will be approved by the mayor on a personnel status change form. The acting assignment shall end when the employee who previously held the position in the higher grade returns to work on a part-time or full-time basis. At the end of the acting assignment, the employee who was assigned to the position in the higher grade shall be paid at the same rate of pay he or she received prior to the acting assignment.

C.    “Standby” and “Call Out” Pay.

1.    With the approval of the mayor, a department head may designate one or more employees to be on standby on a day when the designated employee has no regular working hours. For each day on which an employee is designated to be on standby, but is not called out to work, the employee will receive two hours of overtime compensation at one and one-half times the employee’s normal hourly rate of pay.

2.    An employee who actually is called out to work while on standby shall receive overtime compensation at one and one-half times the employee’s normal hourly rate of pay for the greater of two hours or the number of hours the employee actually worked when called out.

D.    Emergency “Call Out” Pay.

1.    An employee who is called out to work in response to an emergency outside of the employee’s regularly scheduled shift on a day when the employee is not designated to be on standby under subsection C of this section shall receive overtime compensation at one and one-half times the employee’s normal hourly rate of pay for the number of hours the employee actually worked when called out.

2.    In this subsection, the term “emergency” means an occurrence, event, or situation that, in the judgment of the mayor or a department head:

a.    Requires an immediate response to prevent death or injury to persons or damage to property or the environment, or otherwise to carry out the mission of the department effectively; and

b.    Requires a response by employees who do not have regular working hours at the time when the response is required.

E.    Shift Differential. Employees who are assigned to shifts that commence between 12:00:00 hours and 19:59:00 hours will be paid two and one-half percent above the rate normally received for daytime work in the same position, and employees who are assigned to shifts that commence between 20:00:00 hours and 03:59:00 hours will be paid five percent above the rate normally received for daytime work in the same position. Employees who are entitled to overtime in accordance with Section 3.60.070 shall be paid the entire shift differential percentage for every hour of overtime worked during a shift that entitles them to receive shift differential pay. (Ord. 07-52 §§ 2, 3, 2007; Ord. 05-52 § 2, 2005; Ord. 03-43 § 3, 2003; Ord. 03-33(SUB)(AM) § 2 (part), 2003)

3.55.105 Pay adjustments due to absence.

An employee who is absent for one day or less who is paid on a salary basis will not be subject to a pay deduction and will not have his or her paid time off adjusted for the absence. (Ord. 04-22 § 2, 2004)

3.55.110 Effective date of changes in payroll actions.

A.    Nothing in this chapter shall prohibit retroactive pay approved by the city council or required because of administrative oversight or error as determined by the mayor.

B.    Personnel actions implementing any change in status or pay shall be effective upon approval of the mayor provided such changes are received by the payroll section of the finance department at least ten (10) working days prior to the effective date. (Ord. 03-33(SUB)(AM) § 2 (part), 2003)

3.55.115 Special incentive pay.

Notwithstanding any other provision of this chapter, the city council may approve special incentive pay programs for eligible employees of certain departments in accordance with policies developed by the mayor. (Ord. 05-59(SUB) § 2, 2005)

3.55.120 Total remuneration.

The pay rate determined for an employee in accordance with this chapter shall represent the total remuneration for the employee, not including reimbursement for expenses approved by the department head in accordance with these rules or benefits provided to the employee in accordance with these rules. Except as provided in this chapter, an employee shall not receive any form of compensation from the city. An employee shall not receive remuneration from any person other than the city for performance of his or her ordinary duties, or for any other additional duties which may be imposed upon him or her, or for which he or she may undertake or volunteer to perform as an employee. (Ord. 03-33(SUB)(AM) § 2 (part), 2003)