Jul 30, 2023 SPECIAL BOARD OF SUPERVISORS

[ CALL TO ORDER *A Portion of this Video Contains No Audio*]

[00:01:55]

MIC]. OKAY. CLERK OF THE BOARD.

CAN YOU CONDUCT ROLL CALL? YES. THANK YOU.

WELL, YOU HAVE A QUORUM.

THANK YOU. OKAY, WE'LL START OFF HEARING ITEM NUMBER ONE BOARD OF SUPERVISORS HEARING ON TAX LEVIES AND BUDGET FOR THE 2023, 2024 FISCAL YEAR

[1. Board of Supervisors - Hearing on tax levies and budget for the 2023-2024 fiscal year and Resolution No. 2113 adopting the budget, including resolving into the Board of Directors of the following special and improvement districts to approve budgets for the 2023-2024 fiscal year: Yavapai County Flood Control District, Yavapai County Free Library District, Yavapai County Jail District, Ash Fork Street Lighting Improvement District, Seligman Street Lighting Improvement District, Yarnell Street Lighting Improvement District, Seligman Sanitary District, and Poquito Valley Road Improvement District. Catherine Boland, Budget Manager. (All Districts)]

SELIGMAN STREET LIGHTING IMPROVEMENT DISTRICT, YARNELL STREET LIGHTING IMPROVEMENT DISTRICT, SELIGMAN SANITARY DISTRICT AND PAQUITO VALLEY ROAD IMPROVEMENT DISTRICT. KATHRYN BOHLEN, OUR BUDGET MANAGER.

GOOD MORNING. GOOD MORNING, MR. CHAIRMAN. MEMBERS OF THE BOARD.

WELL, WE'RE ALMOST TO THE FINISH LINE.

SO THIS IS, AS YOU MENTIONED, IS THE HEARING FOR THE HEARING ON TAX LEVIES AND BUDGET FOR 23-24 FOR ALL OF THOSE YAVAPAI COUNTY AND THOSE SPECIAL DISTRICTS THAT YOU JUST MENTIONED.

THE SECOND ITEM THAT WE'LL BE GOING BE TALKING BE GOING OVER IS THE ACTION ITEM FOR THE ADOPTION OF THAT BUDGET AND RESOLUTION 2113.

ON JULY 5TH, THERE WAS A 4 TO 1 VOTE TO APPROVE THE TENTATIVE ADOPTION OF THE COUNTY'S PRIMARY AND SECONDARY BUDGETS FOR FISCAL YEAR 23 AND 24. THERE HAVE BEEN NO CHANGES IN THE BUDGET SINCE THAT TIME, NO CHANGES IN THE BUDGET DOCUMENTS.

THIS GOES FOR YAVAPAI COUNTY AS WELL AS THE SPECIAL DISTRICTS AND IMPROVEMENT DISTRICTS.

ALL MAJOR BUDGET CONSIDERATIONS AND ASSUMPTIONS REMAIN THE SAME, WITH THE EXCEPTION OF POTENTIALLY ONE.

THERE IS AN AGENDA ITEM ACTION ITEM ON THE AUGUST 2ND BOARD OF SUPERVISORS MEETING TO PLACE A 5% CAP PER EMPLOYEE ON THE MERIT INCREASES.

AND THEN ONE OTHER THING I WOULD LIKE TO MENTION IS THAT SINCE THE TENTATIVE ADOPTION, YOU CAN MAKE THE CHANGES YOU CAN MAKE TO THIS BUDGET, YOU CAN REDUCE THEM, BUT YOU CAN'T INCREASE THE EXPENDITURES ON THE BUDGET.

SO WITH THAT IN MIND, THE TAX LEVIES FOR THE 2324 FISCAL YEAR BUDGET IS FOR YAVAPAI COUNTY IS 60,990,000 FLOOD CONTROL.

5,000,500. AND 95,000 LIBRARY DISTRICTS, 4,993,000.

THE TAX LEVIES INCLUDE NEW CONSTRUCTION ONLY.

SO THERE IS NO TNT HEARING REQUIRED BECAUSE YOU'RE NOT INCREASING THE LEVIES FOR ANY OF THE CURRENT PROPERTY TAX OWNERS.

[00:05:02]

THE MAXIMUM LEVY FOR 2024 IS 71,000,071.3 MILLION VERSUS THE PROPOSED OF 60,990,000.

THAT'S ABOUT A $10.3 MILLION REDUCTION OF THE MAX LIMIT.

SO MOVING ON TO GENERAL FUND REVENUES, WE JUST TALKED ABOUT THE PROPERTY TAXES OF ALMOST $61 MILLION.

THERE'S A STATE SHARED SALES TAX OF APPROXIMATELY $49 MILLION.

HALF-CENT SALES TAX OF ALMOST $30 MILLION.

THOSE TOGETHER ARE $79 MILLION.

SO THE TWO SALES TAXES TOGETHER COMPRISE ABOUT 47% OF THE GENERAL FUND REVENUES, AND THE PROPERTY TAX EQUALS ABOUT 37% OF THAT. VEHICLE LICENSE TAX IS 11.7 MILLION.

OTHER REVENUES AT $15 MILLION.

SO TOTAL GENERAL FUND REVENUES FOR FISCAL YEAR 24 IS $166 MILLION.

LAST YEAR THEY WERE 157 MILLION.

WELL, WHAT WAS THAT NUMBER AGAIN? TOTAL OF GENERAL FUND REVENUES.

TOTAL THIS YEAR IS 166.

LAST YEAR WAS 157.

SO INCLUDING FUND BALANCE SHIFTS, THE PERCENTAGES JUST A LITTLE BIT.

SO WHEN YOU INCLUDE THE FUND BALANCE, WHICH IS ABOUT 27% OF THE RESOURCES AVAILABLE, THEN THE PROPERTY TAXES SHIFT TO ABOUT 25% OF THE BUDGET.

AND THE TWO SALES TAXES TOGETHER SHIFT TO ABOUT 33% OF THE BUDGET.

SO YOU CAN JUST SEE THE CHANGES THERE.

SO WHAT'S THE TOTAL OF THIS? SO THE TOTAL WITH THE FUND BALANCE FOR GENERAL FUND REVENUES AROUND 231 MILLION.

THANK YOU. YOU'RE WELCOME.

SO TOTAL EXPENDITURES.

THIS IS ALL FUNDS, NOT JUST GENERAL FUNDS.

SO YOU CAN SEE THE BIGGEST PIECE OF THAT PIE, 52% IS $216 MILLION IS THE SPECIAL REVENUE AND GRANT FUNDS.

GENERAL FUND COMPRISES ONLY ABOUT 36% OF THAT, OR $149 MILLION DEBT SERVICE VERY MINIMAL AT $6 MILLION WITH SPECIAL DISTRICTS AT 11% OR 44 MILLION.

SO WHEN FOLKS ASK YOU HOW BIG IS OUR BUDGET, 416 MILLION IS THE NUMBER.

AND OF THAT NUMBER, THE CAPITAL OUTLAY THAT'S BUDGETED IS 44 MILLION.

DEBT SERVICE, MINIMAL 6 MILLION.

AS WE MENTIONED, CONTINGENCIES ARE PROBABLY THE BIGGEST CHANGE.

THAT'S 50 MILLION AND ARPA IS AROUND 26.5 MILLION WITH LOCAL ASSISTANCE AND TRIBAL CONSISTENCY FUND DOLLARS, BUDGET CAPACITY OF 6.5 MILLION. THAT LEAVES THE REST OF IT FOR OPERATIONS OF 283 MILLION.

COMPARE THAT TO LAST YEAR.

THE TOTAL BUDGET WAS 362 MILLION WITH OPERATIONS AT 253.

SO YOU CAN SEE THE BIGGEST SWING THERE IS THE CONTINGENCY FUNDS.

AND REMEMBER THAT IT WAS INCREASED BY 25 MILLION TO ALLOW FOR MORE GRANT CAPACITY SHOULD THERE BE THE OPPORTUNITY TO ACCEPT THOSE.

SO GENERAL FUND BY SERVICE AREA.

YOU CAN SEE THE BIGGEST PIECE OF THAT PIE IS COURTS AND LAW ENFORCEMENT AT 52% OR 78 MILLION.

THE SECOND AREA IS INTERNAL SERVICES AT 20%.

GENERAL SERVICES 11% WITH THE REMAINING OTHER DEPARTMENTS AT 17%.

AND SUPERVISOR MICHAELS SAID IT ASKED LAST TIME THE COMPARISON TO THE PREVIOUS YEAR.

SO I INCLUDED THAT INFORMATION HERE.

YOU CAN SEE THE PREVIOUS YEAR.

LAST YEAR, 55% WAS COURTS AND LAW ENFORCEMENT VERSUS THE 52% THIS YEAR.

AND INTERNAL SERVICES ARE 20% THIS YEAR AND THEY WERE 18% LAST YEAR.

GENERAL SERVICES A CHANGE OF ABOUT A PERCENT WITH ALL THE OTHER DEPARTMENTS REMAINING APPROXIMATELY THE SAME.

AND WITH THAT, BECAUSE ALL OF THIS INFORMATION IS THE SAME AS THE TENTATIVE BUDGETS RELATIVELY QUICK.

SO UNLESS YOU HAVE QUESTIONS, OUR NEXT THING ON THE AGENDA IS FOR A SPECIAL MEETING ON MONDAY, AUGUST 14TH, AND THAT IS FOR THE APPROVAL OF ALL THE TAX RATES FOR ALL OF THE TAXING ENTITIES WITHIN YAVAPAI COUNTY.

SO I WOULD LIKE TO THANK ALL OF THE BOARD FOR THEIR FOR THEIR SUPPORT THROUGH THIS WHOLE PROCESS.

I KNOW THERE'S BEEN A FEW CHANGES THIS YEAR.

I THANK YOU, MAURY, AND THANK YOU TO LUCY FRANK AND ASSISTANT TO MAURY FOR ALL THE HELP THAT THEY'VE GIVEN.

AND ALSO ANOTHER BIG ROUND OF THANKS FOR THE AIR CREW.

THAT REALLY HELPED BECAUSE THE BIGGEST PIECE OF THIS BUDGET IS THE PERSONNEL.

SO WITH THAT, I HAND IT BACK TO THE CHAIRMAN.

THANK YOU.

THANK YOU, MR. CHAIRMAN. I GUESS I JUST HAVE ONE QUESTION ON THE CONTINGENCY AMOUNT.

I THINK LAST YEAR WE HAD ABOUT 35 MILLION OR SOMETHING LIKE THAT OR 30 MILLION.

[00:10:05]

AND SO THEN IT'S 50 MILLION THIS YEAR.

NOW AS I UNDERSTAND, THAT'S BASED ON THE POTENTIAL OF 25 MILLION IN GRANTS GOING TO SCHOOLS.

IS THAT CORRECT? SO THIS IS NOT REALLY FUNDED RIGHT NOW.

WE JUST HAVE THE CAPACITY.

WE LEFT THAT. YES, WE LEFT THAT 25 MILLION ORIGINALLY WAS REQUESTED BY THE SCHOOLS, BUT WE LEFT IT IN A CENTRALIZED LOCATION SO IT COULD BE FOR GRANTS FOR ANY ANYBODY IN THE COUNTY. ANY OKAY.

BUT THESE GRANTS HAVE TO COME IN.

THE MONEY'S NOT THERE RIGHT NOW, RIGHT? CORRECT. OKAY.

THANK YOU. THAT'S PRIMARILY ARPA FUNDS, CORRECT? NO, ARPA FUNDS ARE ACTUALLY THE BUDGET CAPACITY IN THIS.

THIS IS IN ADDITION TO THAT 50 MILLION IS ARPA AND THE LOCAL ASSISTANCE AND TRIBAL CONSISTENCY FUND AROUND 33 MILLION.

26.5 OF THAT IS THE ARPA AND THEN SIX AND A HALF OF IT THAT'S NOT IDENTIFIED FOR ANY PROJECTS RIGHT NOW IS THE LOCAL ASSISTANCE FUNDS.

SO WHAT IS THIS, 25 MILLION? THE 25 MILLION IS JUST BASICALLY THE ABILITY TO HAVE THE HAVE THE CAPACITY THERE SHOULD YOU GET THE GRANTS BECAUSE YOU CAN'T INCREASE THE BUDGET EXPENDITURES DURING ANY YEAR.

SO IF YOU DON'T, WHICH IS WHAT WE RAN INTO A YEAR AGO WHEN WE IF WE HAD SPENT THOSE ARPA FUNDS THAT WERE BUDGETED, WE WOULDN'T HAVE HAD THE CAPACITY TO TAKE ON NEW GRANTS BECAUSE WE HAD X NUMBER OF DOLLARS LISTED AS THE EXPENDITURES FOR THE BUDGET FOR THE YEAR.

SO THE ONLY WAY WE HAVE TO INCREASE THE EXPENDITURE LIMIT, RIGHT? CORRECT. OKAY.

WELL, THE EXPENDITURES IN GRANTS, YES.

SIR ROGER MALLORY. YEAH, I JUST WANT TO TOUCH ON THAT, WHAT WE JUST TALKED ABOUT FOR A SECOND, MAKE SURE I UNDERSTAND THIS CORRECTLY.

SO LAST YEAR WE DEALT WITH A LOT OF PEOPLE, DIRECTORS, GETTING GRANTS, BUT WE WEREN'T ABLE TO ACCEPT THEM BECAUSE OF THE FACT THAT WE JUST COULDN'T SPEND THE MONEY BECAUSE IT WOULD SEND US OVER OUR EXPENDITURE LIMIT.

AM I CORRECT ON THAT UNDERSTANDING? IT'S NOT THE WHAT WE CONSIDER THE EXPENDITURE LIMIT FOR LOCAL SOURCED FUNDS.

IT'S MORE OF THE BUDGET CAPACITY FOR THE TOTAL BUDGET.

OKAY. AND IT WAS EARLY ON IN THE YEAR AND IF WE HAD AND WE HAD A LOT OF DOLLARS THAT WERE BUDGETED FOR ARPA PROJECTS AND HAD THOSE PROJECTS GONE, WE WOULD HAVE NOT HAD ENOUGH CAPACITY TO TAKE ON SOME OF THE BIG GRANTS THAT WERE BEING PROPOSED LATER IN THE YEAR.

SOME OF THOSE ARPA PROJECTS WEREN'T GOING TO HAPPEN, SO IT FREED UP SOME OF THAT CAPACITY MID-YEAR.

OKAY. ALL RIGHT.

SO THIS JUST GIVES US THAT OPPORTUNITY FOR ANYONE THAT WILL BE ABLE TO GET A GRANT.

WE'LL HAVE THAT SPACE IN THERE TO USE IT.

CORRECT. UP TO 25 MILLION.

WELL, WE HAVE ACTUALLY ANOTHER 10 MILLION IN JUST BASIC, OUR NORMAL ANNUAL BUDGET CAPACITY FOR GRANTS AND SPECIAL REVENUE FUNDS WAS 10 MILLION.

WE ADDED 25 TO THAT.

OKAY. ALL RIGHT. THANK YOU, SUPERVISOR MICHAELS.

CHAIRMAN, ARE YOU LOOKING FOR ME TO MAKE A COMMENT? I'D BE DELIGHTED TO DO SO.

CHAIRMAN, YOUR MICROPHONE.

OH, SORRY ABOUT THAT.

MY MIC WASN'T ON.

WOULD YOU LIKE TO MAKE A COMMENT? SUPERVISOR MICHAEL. THANK YOU, MR. CHAIRMAN. I REALLY DO APPRECIATE THAT WE'RE MAKING CAPACITY AVAILABLE.

IT'S, I THINK, A TRAVESTY TO HAVE GRANT POTENTIAL, BUT NO CAPACITY IN WHICH TO RECEIVE IT.

SO THIS IS A VERY, VERY GOOD, IN MY OPINION, CHANGE FOR OUR BUDGET PROCESSING.

THANK YOU. OKAY.

THANK YOU, VICE CHAIR OBERG, DID YOU HAVE ANOTHER COMMENT? YES, MR. CHAIRMAN.

I THINK LAST YEAR WE WERE CONCERNED ABOUT GOING OVER OUR EXPANSION LIMIT.

YOU KNOW, WHERE ARE WE THIS YEAR SO FAR IN THIS YEAR, I JUST RAN THE NUMBERS AND WE'RE LOOKING PRETTY GOOD.

SOME OF THE BIG PROJECTS THAT WE'RE GOING TO GO IN THIS YEAR SEEMS LIKE THEY'RE BEING DELAYED.

I RAN THE GENERAL FUND NUMBERS AND WE'RE COMING IN WITH SOME DOLLARS ON THE BOTTOM LINE.

WE ALSO HAVE A GOOD AMOUNT OF CARRYOVER THAT WE CAN UTILIZE TOWARD THE EXPENDITURE LIMIT.

SO I'M NOT ANTICIPATING ANY ISSUES FOR THIS YEAR.

OKAY. THANKS. AND.

COUNTY MANAGER. THANK YOU, MR. CHAIRMAN. WHILE WE'RE ON THIS TOPIC OF GRANT CAPACITY, BUDGET CAPACITY, I THINK IT'S ALSO IMPORTANT TO POINT OUT THAT THE MAJORITY, IF NOT ALL OF THOSE OPPORTUNITIES, WOULD HAVE TO COME TO THE BOARD FOR APPROVAL, TOO.

SO YOU'VE GOT A SECOND ROUND OF CHECK ON THAT, IF YOU WILL.

OKAY. THANK YOU IN THE COMMENTS.

OKAY, WE'LL MOVE ON.

AND IS THERE ANY DISCUSSION FROM THE PUBLIC OR ANY GREEN SHEETS? NOW, MR. CHAIRMAN. OKAY.

[00:15:01]

THE BOARD OF SUPERVISORS WILL CONVENE IN THE SPECIAL MEETING FOR THOSE PURPOSES OF ADOPTING THE FISCAL YEAR 2023, 2024 BUDGET.

WE'LL GO ON TO THE NEXT ACTION ITEM, WHICH IS THE BOARD OF SUPERVISOR FINAL APPROVAL OF THE BUDGET FOR FISCAL YEAR 2023-2024 AND RESOLUTION

[1. Board of Supervisors - Final approval of the budget for Fiscal Year 2023-2024 and Resolution No. 2113 adopting the budget, including resolving into the Board of Directors of the following special and improvement districts to approve budgets for the 2023-2024 fiscal year: Yavapai County Flood Control District, Yavapai County Free Library District, Yavapai County Jail District, Ash Fork Street Lighting Improvement District, Seligman Street Lighting Improvement District, Yarnell Street Lighting Improvement District, Seligman Sanitary District, and Poquito Valley Road Improvement District. Catherine Boland, Budget Manager. (All Districts)]

YAVAPAI COUNTY FLOOD CONTROL DISTRICT YAVAPAI COUNTY FREE LIBRARY DISTRICT YAVAPAI COUNTY JAIL DISTRICT ASHE FORK STREET LIGHTING IMPROVEMENT DISTRICT.

SELIGMANN STREET LIGHTING IMPROVEMENT DISTRICT.

YARNELL STREET LIGHTING IMPROVEMENT DISTRICT.

SELIGMAN SANITARY DISTRICT AND PAQUITO VALLEY ROAD IMPROVEMENT DISTRICT.

KATHRYN. SO WAS THAT THE PRESENTATION THAT WE DID? IS THAT? ARE WE JUST GOING TO TAKE ACTION ON THE ITEM THAT WE WE JUST PRESENTED? OKAY. WITH THAT? GO AHEAD. BEFORE WE MOVE ON, I JUST WANT TO MAKE A COMMENT, AS PREVIOUSLY YOU NOTICED THAT THE VOTE HAS BEEN 4 TO 1.

I'M THE ONE.

AND PREVIOUSLY I MADE THIS COMMENT AND I'M GOING TO MAKE IT AGAIN AS I DO NOT APPROVE OF THE FACT THAT WE'RE MOVING FORWARD WITH GIVING MERIT WITH A CAP THAT WAS ABOVE 5% BEFORE AND NOW IS GOING TO BE DOWN AT 3%, SUPPOSEDLY WHEN WE'VE ALREADY COMMITTED OURSELVES A YEAR IN ADVANCE TO GOING WITH CPI AS BEING THE AMOUNT WE WERE GOING TO PAY OUR EMPLOYEES.

UNFORTUNATELY, WE'RE MOVING FORWARD WITH I WAS TOLD, AND THIS IS YEARS AND YEARS AGO, THAT MERIT WOULD BE USED SO THAT PEOPLE COULD BRING PEOPLE UP TO A MID-LEVEL POINT WITHIN THEIR PAY SCHEDULE SO THAT SUPERVISORS WERE NOT MAKING LESS THAN THEIR SUBORDINATES.

YOU KNOW, WE'VE HAD 2 OR 3.

DEPENDS UPON HOW YOU LOOK AT IT.

DIFFERENT CYCLES WHERE WE'VE GONE THROUGH AND SAID WE NEEDED TO DO THIS, DO THAT, DO OTHER THINGS IN REGARDS TO PAY FOR STAFF.

AND I JUST DON'T WANT TO GO FORWARD WITH HAVING ANY PROMISES, ESPECIALLY IN THIS NEXT MERIT.

I'VE ALREADY HEARD THAT THE CAP IS GOING, SUPPOSED GOING TO BE RECOMMENDED AT 3%, NOT 5%, AS IT HAS IN THE PAST.

REGARDLESS. WE'RE YOU KNOW, WE'RE BASICALLY HANDING OUR DIRECTORS, YOU KNOW, THE ABILITY TO MAKE CALL THE WINNERS AND LOSERS AND ALSO TO. CHANGING.

THE AMOUNT WE'RE PAYING PEOPLE TO AN EXTENT WHERE WE HAVE PEOPLE COMING IN ALREADY ASKING US TO INCREASE SALARIES, YOU KNOW, AT A RATE HIGHER THAN WHAT THEY SHOULD BE HIRED AT.

AND IT JUST.

WHEN DOES THIS STOP? WELL, I HAVE A QUESTION THEN.

YOU HAVE THE COLA, WHICH IS THE RATE OF INFLATION.

SO THAT'S THE COST OF GOODS AND HOUSING AND DIFFERENT THINGS.

AND THEN YOU HAVE A MERIT RATE.

SO YOU HAVE A LEVEL WHERE YOU'RE GOING THROUGH AND YOU'RE TRYING TO WORK YOUR WAY THROUGH YOUR PAY GRADE.

HOW ARE YOU GOING TO ADVANCE UNLESS THERE'S A MERIT THROUGH THAT PAY GRADE TO GET REACH THE TOP, YOU HAVE TO HAVE A MERIT.

AND I THINK 5% IS MORE TO CAP IT.

BUT IT'S THE DISCRETION TO THE THE DIRECTORS TO IDENTIFY WHO'S PERFORMING.

AND GIVEN THOSE PAY THOSE MERITS UP TO A 5%, IF YOU HAVE AN EXCEPTIONAL EMPLOYEE, THEY 5% BRING THEM UP TO PAY SCALE BECAUSE THEY'RE WORKING, THEY'RE DOING A GOOD JOB.

THAT DISCRETION, I THINK THAT'S MORE THAN FAIR.

SO WE HAVE TO HAVE A MERIT TO IN ORDER FOR PEOPLE TO GO UP AND WORK THROUGH THEIR GRADE.

COUNTY MANAGER. YES.

THANK YOU, CHAIRMAN.

A COUPLE OF ITEMS TO TO RESPOND TO.

LET'S START WITH THE COST OF LIVING ADJUSTMENT.

I BELIEVE, AS THE BOARD IS AWARE, STAFF USED WHAT HAS THE BOARD HAS PREVIOUSLY SET OUT FOR US A TEN YEAR LOOK BACK IN ORDER TO MITIGATE THE HIGHS AND LOWS AT ANY ONE SPOT.

I UNDERSTAND THERE'S SOME CONCERNS TODAY THAT IT'S STARTING TO COME BACK DOWN.

CONVERSELY, THOUGH, IF WE WERE AT A POINT WHERE WE WERE SITTING HERE TODAY AND IT WAS AT 9:00, WE PROBABLY WOULDN'T WANT TO GO NINE AGAIN, IT WAS TO PROVIDE A MORE EVEN ADDRESSING OF THE ECONOMIC CIRCUMSTANCES.

SO THAT'S HOW WE GOT TO THE NUMBER WE'RE AT TODAY.

THEN MOVING TO MERIT.

AND I APPRECIATE THE COMMENT, SUPERVISOR BROWN ABOUT WINNERS AND LOSERS.

I WOULD PUT THAT IN MORE IN TERMS OF PAYING FOR PERFORMANCE, MAKING SURE WE'RE REWARDING THOSE EMPLOYEES WHO ARE PERFORMING AT EXCEPTIONAL LEVELS OF PERFORMANCE AND CONVERSELY, NOT REWARDING THOSE WHO ARE NOT PERFORMING UP TO THE STANDARDS THAT WE'VE SET FOR OUR EMPLOYEES.

[00:20:05]

THAT REALLY TRANSLATES INTO THE ABILITY FOR A DIRECTOR TO MAKE DECISIONS ANYWHERE FROM 0% UP TO A MAXIMUM OF 5%.

AND THAT'S THE POLICY THAT THE HUMAN RESOURCES DIRECTOR IS BRINGING BEFORE YOU THIS WEEK TO PUT IN PLACE.

FINALLY, I UNDERSTAND THE CONCERN BECAUSE I SHARE IT ABOUT WHAT I UNDERSTAND TO HAVE BEEN THE HISTORY HERE AND PROBABLY NOT UNIQUE HERE, THAT YOU GET INTO SITUATIONS WHERE MERIT IS USED, QUITE FRANKLY, INAPPROPRIATELY TO ADDRESS OTHER ISSUES.

AND I'M SURE THAT THAT HAS HAPPENED.

AGAIN, AS THE HUMAN RESOURCES DIRECTOR WILL BE COMING BEFORE YOU THIS WEEK, WE INTEND TO PUT OTHER TOOLS IN PLACE TO HELP MITIGATE THAT GOING FORWARD.

I MET WITH THE EXECUTIVE LEADERSHIP TEAM THIS PAST WEEK AND WE TALKED ABOUT THIS PROPOSAL OF CAPPING IT AT 5% AND THAT THE PURPOSE OF MERIT WAS TO HAVE A PAY FOR PERFORMANCE SYSTEM, THAT THOSE DECISIONS NEEDED TO BE BASED ON THE PERFORMANCE OF EMPLOYEES.

NO OTHER FACTOR.

THANK YOU. SUPERVISOR MALLORY.

YEAH, I JUST MY QUESTION IS, IS THAT AS WE WENT FORWARD, YOU KNOW, A LITTLE OVER A YEAR AGO, GOING THROUGH THE COMPENSATION STUDY, MAKING SURE WE'RE GETTING THINGS CAUGHT UP FOR OUR EMPLOYEES AND EVERYTHING, I JUST WANT TO MAKE SURE THAT WE ARE CONTINUALLY MOVING FORWARD.

IS THIS A MOVE FORWARD? AND WE WILL CONTINUE TO FOLLOW THAT PLAN THAT WE WERE GIVEN BECAUSE I DON'T WANT TO GO BACKWARDS.

THANK YOU, CHAIRMAN, IF I MAY.

EXCELLENT QUESTION.

AND I SHARE THAT CONCERN AS WELL.

AGAIN, THIS ORGANIZATION INVESTED A TREMENDOUS AMOUNT OF MONEY AND TIME AND OTHER RESOURCES INTO GETTING THE SITUATION FIXED TO THE GREATEST EXTENT POSSIBLE. AGAIN, THAT'S WHY THE HUMAN RESOURCES DIRECTOR IS COMING BACK BEFORE YOU TO TALK ABOUT OTHER MECHANISMS TO PROVIDE SOME FLEXIBILITY TO ADDRESS THESE ISSUES WHEN THEY ARISE SO THAT WE CAN MAINTAIN THE INTEGRITY OF THAT WORK THAT WE'VE ALREADY PAID FOR AND PUT IN PLACE, AND KEEPING UP WITH THE FUTURE OF TRYING TO HAVE A GOOD LIVING.

I MEAN, I KNOW WE DON'T BUY HOUSES HERE FOR OUR EMPLOYEES AND ALL OF THAT KIND OF THINGS, BUT I DO WANT TO BE SURE THAT WE'RE KEEPING UP WITH THE CORRECT, YOU KNOW, SALARIES ACCORDINGLY.

WE CAN ONLY DO SO MUCH.

WE HAVE OUR BASIS OF REVENUE IS FROM TAXPAYER DOLLARS.

AND WE NEED TO BE VERY AWARE AND NEVER FORGET THAT WE'RE ALL TRYING TO LIVE A GOOD LIFE HERE WITH THE FUNDS THAT WE HAVE.

SO I JUST DON'T WANT TO GET BEHIND AND I KEEP WANTING TO MOVE FORWARD AND DO WHAT WOULD BE GOOD FOR ALL, INCLUDING THE TAXPAYERS.

THANK YOU, VICE CHAIR OBERG.

THANK YOU, MR. CHAIRMAN.

I GUESS NOW, SINCE WE OPENED UP THIS SUBJECT, I'LL GO AHEAD AND PUT IN MY $0.05.

FIRST OF ALL, I BELIEVE THE SMOOTHING AVERAGE THAT WE HAVE RIGHT NOW FOR RECOGNIZING [INAUDIBLE], I THINK IS A GOOD IDEA.

YES. IF IT GOES DOWN, THAT JUST MEANS NEXT YEAR IT WOULD BE LESS THAN WE GAVE THIS YEAR.

SO I THINK THE TEN YEAR MOVING AVERAGE IS IS A SMART WAY TO DO THINGS.

AND I THINK IT'S SOMETHING THAT THE OUR EMPLOYEES CAN UNDERSTAND AND ANTICIPATE AND PROBABLY BE ABLE TO FIGURE OUT EXACTLY WHAT THEY'RE GOING TO BE SEEING NEXT YEAR.

SO I AGREE WITH THAT.

I THINK THE COMPENSATION STUDY, AS I UNDERSTAND, PRETTY MUCH BROUGHT EVERYBODY UP TO MIDPOINT.

IS THAT CORRECT OR INCORRECT? HOW MANY PEOPLE ARE BELOW MIDPOINT? MR. CHAIRMAN, IF. VICE CHAIRMAN ASKED THE HUMAN RESOURCES DIRECTOR TO PROVIDE SOME INFORMATION THERE.

GOOD MORNING. WENDY ROSS, DIRECTOR OF HUMAN RESOURCES AND RISK MANAGEMENT.

I DON'T HAVE THAT NUMBER, THAT PERCENTAGE OF HOW MANY ARE BELOW MIDPOINT.

WHAT THE COMPENSATION STUDY DID DO, THOUGH, WAS TO LOOK AT OUR EXISTING WORKFORCE AND MOVE PEOPLE CLOSER WITHIN TO THE POINT WITHIN THEIR RANGE THAT THEY SHOULD BE BASED ON THE YEARS THAT THEY'VE BEEN HERE AT THE COUNTY.

DIDN'T GO BACK INTO THEIR PERSONNEL FILES AND LOOK AT HOW MUCH EXPERIENCE DID THEY COME TO US WITH FROM OTHER PLACES.

AND SO WE COULD RUN A REPORT AND WE COULD TELL YOU HOW MANY EMPLOYEES ARE ABOVE MIDPOINT WITHIN THEIR GRADE, HOW MANY ARE BELOW MIDPOINT.

BUT I DO THINK THAT THE COMPENSATION STUDY GOT US CLOSER TO WHERE WE NEEDED TO BE.

IS IT PERFECT YET? NO, IT'S NOT PERFECT YET, BUT MUCH BETTER.

AND WE'RE SEEING MUCH LESS INTERNAL EQUITY ISSUES BECAUSE WE WERE ABLE TO TAKE CARE OF THE CURRENT WORKFORCE AND GET THEM FURTHER UP INTO THE RANGE WHERE THEY OUGHT TO BE.

SO I THINK WE ELIMINATED STEPS, BUT WE STILL HAVE, I GUESS, THE WORD RANGE.

I'M NOT EXACTLY SURE I UNDERSTAND WHAT THAT MEANS, BUT I'M SURE YOU'LL HELP ME OUT WITH THAT.

BUT AGAIN, YOU KNOW, I THINK IN THE PAST MANY TIMES, BECAUSE WE DIDN'T

[00:25:09]

MAYBE HAVE PAY FOR PERFORMANCE FOR THEIR EMPLOYEES.

AND I DON'T HAVE A PROBLEM WITH THAT.

BUT, YOU KNOW, NOW THAT WE ARE, I THINK WE HAVE A MUCH BETTER PAY SCALE THAN WE HAD BEFORE.

WE ALSO HAVE THE COLA THAT WE'VE DECIDED THAT I THINK IS MEETING THE NEEDS OF OF INFLATION FOR MOST PEOPLE IN A REALISTIC MANNER.

SO THEREFORE, YOU KNOW, I WOULD HOPE THAT, YOU KNOW, ANY MERIT IS BASICALLY FOR MERIT.

AND I WOULD HOPE THAT WE DON'T HAVE DIRECTORS THAT JUST GIVES A 3% TO EVERYBODY LIKE WE'VE HAD IN THE PAST.

I HOPE THAT THEY WILL HONESTLY TAKE A LOOK AT THEIR FOLKS AND SAY, YOU KNOW, MAYBE SOMEBODY THAT'S EXCEPTIONAL GETS A THREE AND SOMEBODY THAT'S, YOU KNOW, JUST DOING THEIR JOB GETS A ONE OR MAYBE NOTHING, I DON'T KNOW.

BUT, YOU KNOW, I THINK THAT'S SOMETHING THAT THE COUNTY MANAGER AND ASSISTANT MANAGER ARE GOING TO HAVE TO LOOK AT VERY CLOSELY.

THANK YOU. I WOULD AGREE.

AND AND, YOU KNOW, LOOKING BACK OVER THE YEARS THAT I'VE BEEN HERE AND THE DIFFERENT WAYS THAT WE'VE HANDLED EMPLOYEE INCREASES OVER THE YEARS OR ALL THOSE YEARS THAT WE WENT WITHOUT INCREASES, I REALLY THINK WE'RE MOVING IN THE RIGHT DIRECTION WITH SOME ADDITIONAL FLEXIBILITIES.

FOR EXAMPLE, WITH THE NEW SALARY TABLE, WE DID AWAY WITH THE STEPS WHEN WE HAD THE STEPS, THERE WAS LESS FLEXIBILITY BECAUSE THERE WAS 1% IN BETWEEN EACH STEP. SO YOU HAD TO STICK WITH THOSE INCREMENTS.

NOW THAT WE DON'T HAVE STEPS, THERE'S SOME ADDITIONAL FLEXIBILITY IN THE INCREMENTS 0.25% BEING THE INCREMENTS THAT WE CAN DO.

SO INSTEAD OF HAVING TO GIVE SOMEONE 2% OR 3% OR 4%, YOU MIGHT DO 3.5% OR 3.7, 5% OR THAT TYPE OF THING TO WHERE THERE'S A LITTLE BIT MORE FLEXIBILITY IN THE AMOUNT OF FUNDING THAT YOU HAVE TO SPREAD OUT AMONGST YOUR WORKFORCE.

THERE WAS ANOTHER THING I WAS THINKING THAT HAD SOME ADDITIONAL FLEXIBILITIES, BUT WE HAVE DONE SEVERAL THINGS OVER THE YEARS TO TRY TO FIX THOSE INTERNAL EQUITIES.

THERE WAS 1.10 YEARS AGO WE DID WHAT WE CALLED A COMPRESSION INCREASE AND WE LOOKED AT YEARS OF SERVICE AND WE GAVE CERTAIN NUMBER OF STEPS TO CERTAIN PEOPLE TO TRY TO SPREAD THEM OUT A LITTLE BIT.

AND BECAUSE HUMAN RESOURCES DOES SEE ALL OF THE HIRES COMING THROUGH AND THE RATES THAT PEOPLE ARE BEING HIRED AT, WE KNOW WE'VE CORRECTED SOME OF THOSE INEQUITIES BECAUSE WE'RE SEEING LESS OF THOSE COMPRESSION ISSUES AND DEPARTMENTS HAVE BEEN ABLE TO HIRE IN NEW PEOPLE FURTHER UP INTO THE PAY GRADE WHERE THEY SHOULD BE INSTEAD OF BEING STUCK LOWER BECAUSE WE DIDN'T WANT THEM TO LEAPFROG OVER EXISTING EMPLOYEES WHO HAD BEEN HERE.

SO I KNOW WHAT WE'RE DOING IS WORKING AND WE'RE JUST CONTINUING TO REFINE THOSE POLICIES AND ADD IN THOSE ADDITIONAL FLEXIBILITIES SO THAT WE CAN ATTRACT AND RETAIN THE QUALITY EMPLOYEES THAT WE HAVE.

SUPERVISOR MICHAELS.

THANK YOU, MR. CHAIRMAN. YES, I THINK THIS IS A REALLY EXCITING MOMENT FOR THE HISTORY OF OUR COUNTY.

WENDY, YOU'VE DONE AN EXTRAORDINARY JOB, ALONG WITH MANY OTHERS WHO'VE WORKED WITH YOU, ON ENSURING EQUITY, WHICH IS WHAT THAT COMPENSATION STUDY WAS REALLY ALL ABOUT. AND AND MORE IMPORTANTLY FOR DIRECTORS ASSURING THE FLEXIBILITY WOULD BE BUILT IN.

AND SO I DON'T KNOW WHAT THE STUDY HAS BEEN DONE TO DATE TO SHOW INCREASED HIRES OR A LACK OF FOLKS, BUT THE RETENTION RATE IS AND WHETHER THAT'S IMPROVED OR NOT MIGHT BE A LITTLE TOO SHORT IN TIME TO TO KNOW THAT WITH WITH THE CLARITY AND RELIABILITY.

BUT I'LL TELL YOU, WE'RE ON THE RIGHT PATH.

AND IT'S CLEAR TO ME THAT OUR EMPLOYEES ARE WHAT MAKE THIS COUNTY'S SERVICES SUCCESSFUL.

AND I'M REALLY PLEASED AND GRATIFIED TO SEE THAT WE'RE FOCUSING ON THAT.

AND MR. CHAIRMAN, IF YOU WOULD ENTERTAIN A MOTION, I CERTAINLY WOULD MOVE THAT WE APPROVE THIS.

OKAY WITH THAT? I'LL MAKE A MOTION TO APPROVE THE BUDGET FOR FISCAL YEAR 2023, 2024 AND RESOLUTION 2113 ADOPTING THE BUDGET. SECOND.

OKAY. I'LL SECOND.

MOTION BY MYSELF.

THE SECOND BY SUPERVISOR MICHAELS.

ALL IN FAVOR SAY AYE? AYE. OKAY.

ALL RIGHT. IS THERE ANY DISCUSSION? I VOTE NAY. OKAY, SO 4-1, MOTION CARRIES.

ANY DISCUSSION BY THE PUBLIC OR GREEN SHEETS?

[00:30:02]

NO DISCUSSION FROM THE PUBLIC.

OKAY, WITH THAT, I'LL MAKE A MOTION TO ADJOURN.

SECOND. ALL IN FAVOR SAY AYE.

AYE. OKAY.

MEETING ADJOURNED.

* This transcript was compiled from uncorrected Closed Captioning.