HomeMy WebLinkAbout102110_SC_MEETING_PACKET0 "
Charles King
I" Vice Chair
Trinette Kant
2"
2 Vice Chair
Members:
Robert Crowell
William Dahle
Sheri Kunioka-Volt
Michael Machado
NOTICE AND AGENDA OF REGULAR MEETING
Thursday, October 21, 2010
9:00 a.m.
Mo'ikeha Building
Liquor Conference Room 3
4444 Rice Street, LThu'e, Kaua'i 96766
i I I I I i I
RMURKIVID] 11110 i II � 11 a � i
APPROVAL OF MINUTES
Regular Minutes of August 25, 2010
COMMUNICATION
SC 2010-6 Letter dated 9/14/ 10 from Randall J. Hee to Mayor Bernard P. Carvalho
Jr. tendering his resignation from the Salary Commission.
SC 2010-7 Communication dated 9 %3110, from the Salary Commission to Malcolm
Fernandez, Director of Personnel Services requesting the current salaries
of all County officers named on Salary Resolution No. 2009-2 and a list of
those positions within the department whose annual salary exceed that of
their respective department head or deputy.
SC 2010-3 Discussion and deliberation on establishing a framework and guidelines
for future salary increases commencing on 12101 / 10)
(Deferred 04101,`10)
a. Resolution No. 2009-2 Relating to the Salaries of Certain Officers and
Employees of the County of Kaua'i.
M
EXECUTIVE SESSION
Pursuant to H.R.S. §92-4 and 92-5 (a) (2) (4), the purpose of this Executive Session is for
the Salary Commission to consult with its Attorney on questions and issues pertaining to
the Commissions powers, duties, privileges, immunities, and liabilities as they may relate
to these items.
JUMME-wo
Persons wishing to offer comments are encouraged to submit written testimony at least 24-
hours prior to the meeting indicating.
1) Your name and if applicable, your position/title and organization you are representing.
2) The agenda item that you are providing comments on; and
3) Whether you are testifying in person or submitting written comments only.
4) If you are unable to summit your testimony at least 24 hours prior to the meeting,
please provide 10 copies of your written testimony at the meeting.
The length of time allocated to persons wishing to present verbal testimony may be limited
at the discretion of the chairperson or presiding member.
Send written testimony to:
Kaua'i Salary Commission
Office of Boards and Commissions
4444 Rice Street, Suite 150
Uhu'e, Hawaii 96766
Phone: (808) 241-4920
Business Fax: (808) 241-5127
E-mail: mvouuL&kauai.gov
If you need an alternate format or an auxiliary aid to participate, please contact the
Boards and Commissions support clerk at (808) 241-4920 at least five (5) working days
prior to the meeting.
M
COUNTY OF KAUAI
DR�AFT�`�o 0 104
Minutes of Meeting
I August 25, 2010
OPEN SESSION
Mo'ikeha Building — Meeting Room 2 A&B
Board/Committee:
I Salary Commission
Meeting 11 Date:
I August 25, 2010
Location
Mo'ikeha Building — Meeting Room 2 A&B
Start of Session: 9:03 a.m..
End of Session: 10:42 a.m.
Present
Acting Chair Charles King, Trinette Kaui, Robert Crowell, William Dahle and Michael Machado.
Also present: Guest Virginia Kapali, Deputy County Attorney Marc Guyot, Deputy County Attorney Mona Clark, John Isobe Boards and
Commissions Administrator/Executive Assistant, Cyndi Ayonon Administrative Aide and Mercedes Youn Boards and Commission Support Clerk.
Excused
to order at 9:03
Absent
Commissioner Sheri Kunioka -Volt
---SUBJECT
DISCUSSION
ACTION
Call To Order
Acting Chair King
called the meeting
to order at 9:03
Approval of
a.m.
Commissioner
Agenda
Acting Chair King amended the agenda to take Item SC 2010-4 before Item SC 2010-5,
Kaui moved to
approve the
agenda as
amended;
seconded by
Commissioner
Dahle and
unanimously
Selection of new
carried 5:0.
Officer's
Acting Chair King noted that it may be premature to select a new Chair before the Salary Commission receives the
Commissioner
Dahle moved to
official notification of resignation from Chair Nee, and suggested that the Commission defer this item until such a time.
defer; seconded
by Commissioner
Kaui and
unanimously
Approval f
5,
-0,
Minutes
Regular Meeting Minutes of June 30, 2010
Commissioner
Dahle moved to
approve the
regular meetin -- --------
August 25, 2010 Page 2
— ------ DISCUSSION
ACTION
minutes of June
30, 2010;
seconded by
Commissioner
Kaui and
unanimously
carried 5:0.
Executive Session Minutes of June 30, 2010.
Commissioner
Kaui moved to
approve the
Executive Session
minutes of June
30, 2010;
seconded by
Commissioner
Dahle and
unanimously
carried 5:0.
Business
SC 2010-4 Communication dated 8112110, from Malcolm Fernandez, Director of Personnel Services responding to
various issues relating to the salaries of the department heads and deputies affected by the furloughs.
Deputy County Attorney Marc Guyot introduced himself then stating, that he is here today to answer questions the
Commission may have that relates to this item.
Acting Chair King noted that one of the Commission's concerns were the inversions of which the county had
experienced in the past.
Based on the summary of the Comparison of Executive Pay rates for the State and Counties, Commissioner Kaui
asked, whether Kaua'i is the only county that excludes the Office of the Prosecuting Attorney salaries, because of how
our Charter is written,
Deputy County Attorney Guyot explained that the Office of the Prosecuting Attorney for the County of Kaua'i is an
elected position, as well as the other counties. The way that the Salary Commission Ordinance is written, which states
that the appointing authority sets the salaries, and appointing authority is the electorate by default, and it appears to
go to the salaries listed by this Commission. Mr. Guyot further explained that the 9.23% pay reduction that the Mayor
requested does affect the Prosecuting Attorney, because it is considered a separate branch of government, Mr. Guyot
referred to Section 29.05 of the Kaua'i County Charter- where it states that no change in the salary of
Regular Session
August 25, 2010
SUBJECT DISCUSSION ACTION
in which a change is enacted or for twenty-four months after a
Business Mr. Guyot stated that the Charter prevents the County Council from giving
themselves pay raises. However, in this case it appears to be detrimental in terms of being able to, by mechanism of
a vote; reduce their salaries. Mr. Guyot further explained that the Mayor, (who is an elected official), also has a
mechanism that is built into the Charter and provided for in Section 7.03, of the Charter, which allows for an automatic
reduction of his salary,
Acting Chair King then asked whether the salaries listed in the summary reflects the 9.23% pay reduction?
Deputy County Attorney Guyot stated that the County utilizes payroll certifications to pay the employees, He continued
to explain (referring to the summary) that the salaries that are noted with an asterisk, does not reflect the 9.23% pay
reduction (as requested by the Mayor),
Acting Chair King asked whether the 9.23% pay reduction affects the employee's retirement benefits,
McBuyot stated that there may beesmall change in the retirement, because it is based onwhat is actually earned.
And because the retirement benefits are based on the employee's highest so|aryleve!(caUing it the high three(3).
Kr . Guyot further explained that gi men the (1) year furlough the county, and i f on��hoosestorebroinU)enexth
two
(2) years; it may or may not affect the employees high three (3). Assuming that the salary was held at the same level
as the previous year when no furlough was imposed; theoretically, in the next two (2) years the salary will go back to
the same level before furloughs were implemented.
K8r. Guvot stated that it was a daunting task for the counties, because furloughs have never been implemented before,
And even with the best planning, there are issues that seem to arise going through the mechanics of the process;
trying to balance the various collective bargaining agreements, Civil Service agreements, and Executive Orders am
well as balancing federal laws onFLSA. and soforth.
Referring to the information on the Comparison of Executive Pay Rates for the State and Counties, Commissioner
Oahke inquired whether the date 12/1/2OOQ^ applies to the 8.23 < pay reduction for all Executives, excluding the
Prosecuting Attorney and Deputies onKaual
For clarification, the salaries listed on the document do not reflect the 9.23% pay reduction for all Executives.
Commissioner Dahle inquired whether the County Council took a pay reduction as well, adding that at the last
Commission meeting, the Commission was told that the County Council was in the process of developing a vehicle to
implement the 8.2396 pay reduction.
Deputy County Attorney Guyot stated that it is his understanding, that the County Council did not make a decision on
how they're going to address the issue.
RM J
• 11#121
Regular Session
August 25, 2010
ECT DISCUSSION
Commissioner Dahle stated that the furloughs may be over at the end of the fiscal year on June 30, 2011.
With no further questions, Acting Chair King thanked Deputy County Attorney Marc Guyot and Director of Personnel
Services Malcolm Fernandez for their time.
SC 2010-5 Discussion with former Chair Vir ginia Kapali relating to how the current compensation plan for the
Department Headsx Appointees and Elected Officials were structured.
Accompanying Ms, Kapali today was Personnel Program Analyst Karen Matsumoto,
Ms, KapatL-hBggn-�,v-PLe-,fr�--_sA
structured.
Questions
Acting Chair King asked Ms. Kapali what was the main issue that the Salary Commission faced during the structuring
phase in forming the salary schedule.
Ms. Kapali stated that back then, Commission recognized that it was working in a transitional period, and there was a
need to address the historical shortfalls. One of the issues was that the salary schedule which at that time was
generally defunct; the salary scheduled was in desperate need of a complete and comprehensive make-over. Other
issues faced were the retainment of department heads, filling of vacant positions and salary inversions. In addition, the
Salary Commission was tasked to oversee a Performance Evaluation, which was the result of a demand made by the
public that all Department Heads, submit to an annual performance evaluation.
Ms. Kapali noted that the performance evaluation was left over from the previous Commission, and as part of earlier
discussions, the first thing to do was to meet with the Finance Director to see whether it was feasible for the county to
be financing the different level of salaries at the current market conditions.
Acting Chair King asked Ms. Kapali whether the former Commission had the opportunity to gather information from
within the state and elsewhere.
Ms. Kapali said that during that period the Commission did take the opportunity to look within the state for possible
recruits. Ms. Kapali thanked the Department of Personnel Services staff for their prompt and detailed responses to the
Commission's request for information. Ms. Kapali also noted that even though the Commission did want to recruit
from out of state, it realized that the cost of living on Kaua'i is quite high and it was a factor that the Commission had
not yet considered.
Regular Session
August 25, 2010
Page 5
Ms. Kapali stated that through the market studies done by Dr. Nash; the Commission found that there were other
comparable positions in the private industry. Adding to the discussion, Ms. Matsumoto stated that the NAGHstudvon�
covered the pr�atesector� she noted that the Salary CVmmn|so{onalso looked at the other oounboswhhinthe - '
Relevant to the NASH study that included managerial positions, the Commission found that the executive positions
were comparable in the level of salary range.
Ms. Kapali stated based on the information the Commission received on the marketing trends- and with clear common
sense, the Commission nonp�tedand adopted asa�ryschedule. Adding to the d�oumsion.CommissionerCrowell
recalled that the Commission welcomed input from the general public and from all personnel affected by the Salary
Resolution, because it was such a signification increase in the salary levels, and if he is not mistaken the increase
amounted to about 25%, which was unheard of during that period; however, with no public outcry the updated salary
schedule was adopted.
Commissioner Kaui stated that another key part of the salary inversions had to do with the Performance Evaluation for
the Executive Appointees. The Salary Commission believed that salary increases should be contingent Vnjob
performance. The Resolution requires that the appointing authority must certify that the appointee has been evaluated,
and has met or exceeded job requirements before a pay increase can occur.
Ms, Kapa|[s recommended to the Salary Commission not regress. And whatever this Commission does going honward,
to please sustain the base line salary schedule, aothat this Commission does not encounter the same problems of
salary inversions in the years tocome. She added that it was important Ur keep the pace of the department head
salaries with the excluded management (EM) and the SR rating (rank and file) so it will not fall back. To give some
history, Ms. Kapali explained that the rank and file was making more money than the excluded management, and with
all of the work that the former Salary Commission had ochieved, she suggested to the current Salary Commission, to
create a plan to keep this from happening,
Questions
Commissioner Dahle asked how would one approach the future, given the fact that we really don't know what will be
happening in the next four to five years,
Ms. KapaU advised to keep the basic salary schedule intact, and then later compliment it with a formula eaa
percentage. We must take care of the salary schedule for the excluded management positions stays above the rank
and file, Secondly; the Salary Commission must refer to the Performance Evaluations, because as it is written in the
Salary Resolution that each department head will not receive a salary increase, if their job requirements are not met.
Commissioner Dahle stated that if the performance evaluation has been completed for a department head; how does it
affect the Salary Commission decision if it does not see the evaluation; other than the Department of Personnel
Services who notifies the Commission by a letter that the evaluation was satisfactorv.
ACTION
Regular Session
August 25, 2010
SUBJECT
----- DISCUSSION
— — --------- ----
Ms. Kapali explained that it is not the responsibility of the Salary Commission to review the performance evaluations.
Commissioner Dahle stated that although the Commission talks performance evaluation and then, accepts the yes or
the no, and yet it is aware that it is not the Commissions responsibility, "How does one make sense of that"?
Ms. Kapali replied that she believes that the Salary Commission sets the criteria and the guidelines, which was not
present prior to the Salary Commission she served on and moving forward is a major accomplishment for the County.
Commissioner Dahle asked if it would be too much to ask to designate one individual the responsibility to decide
whether to allow the increase or not.
Ms. Kapali stated that the County has its checks and balances in place, and that certain positions have a respective
appointing authority that may set the salary of the appointee at a lower figure than the figure established by the
Resolution for that position. For those positions that are directly appointed by the Mayor, she would assume that the
Mayor has the ability to do the 360 evaluation, and by the time the evaluation gets to the Department of Personnel
Director, it is a compilation,
Commissioner Dahle asked Ms. Kapali if she felt that the final figures set by the former Salary Commission are
sufficient to attract or find competent people. Ms. Kapali said that it gives the county a good chance for attracting
competent individuals. Although, she cannot guarantee it.
Asking a hypothetical question, Commissioner Dahle based his question on the proposed Charter amendment that will
allow councilmember's to serve two consecutive four year terms. "Asking should the proposed amendment pass and a
salary increase would apply to the new council; do you feel that the Salary Commission should change some of the
rules to address the issue"?
Ms. Kapali said that she would highly recommend that the Salary Commission address the issue and has a mechanism
built in, if it is going to be for four years, the Commission needs to at see how it is going to regress and will affect the
resolution,
Commissioner Machado asked whether the Commission has the ability to set rules and regulations for dealing with the
salary inversion. Ms. Matsumoto stated that there is a provision somewhere in the rules that addresses the issue.
With no further questions, Acting Chair thanked Ms. Kapali for taking the time to brief the Salary Commission on how
the current compensation plan for the Department Heads, Appointees and Elected Officials were structured.
Salary Commission
Regular Session
August 25.2O18 Page
SUBJECT
DISCUSSION ACTION
SC 2010-3 Discussion and deliberation on establishing the framework and guidelines for future salary increases
Resolution 2009-2 — Resolution relating to the salaries of certain officers and employees of the County of Kaua'i
The Commission has requested further clarification and information from Director of Personnel Services for the
following meeting,
1, Provide a comparative list that reflects the actual annual salaries for all County officers named on the Salary
Resolution 2OO8-2. from July 1.20O6bopresent.
2, Provide a list by department and position of any existing employee (s) whose annual salary exceeds that of their
respective department head ordeputy,
As a follow up staff
will send a written
notification to the
Director of
Personnel
Services
requesting for the
Adjournment
Commissioner
With no further discussion, Acting Chair King called for the motion to adjourn, Machado moved
to adjourn the
seconded by
Commissioner
Kaui and
unanimously
carried 5:0,
7, oninlisslor.,
Regular Session
August 25, 2010
Submitted by:
Mercedes Youn, Staff
Approved as is.
Approved with amendments. See minutes of meeting.
N
Reviewed and Approved by:
Charles King, Acting Chair
F-160"I ARNIM
September 14, 2010
Honorable Bernard P.CGrv8|hO`Jr.
Mayor, County ofKauai
4444 Rice SL. Suite 235
[ihu8. HI 96766
Dear Mayor Carvalho:
Randal! J.Hee
PO Box 627
Kekaha. H|98752
(8O8)635-7325
Resignation from Salary Commission
VVKhregret. | hereby submit this letter 0f resignation from the Salary Commission, I8m
currently recovering from complications resulting from @ knee replacement surgery and dOnot
3rK|c|p@te recovery until early 2O11� k4y current status leaves nne with limited mobility which has
forced nl8 to send virtually all my time at hQnl8.
My resignation will allow you to appoint a replacement who can better serve our County.
| appreciate your having appointed n0e10 the Salary Commission and | feel personally rewarded
with the opportunity hJserve our community, | have enjoyed working with rnyfellow
commissioners and thank them for their dedication, | also thank Charles King, 1m Vice Chair for
having covered nny responsibilities during noyabsence.
Randall J.Heg
Cc' John |Sobe. Executive Assistant @0d Boards and Commission Administrator
KXercedesYDUn. Staff V~
Salary Commissioners (via copies from staff)
a�
���� ���� 10 —&
Randall Hee
Members:
Chair
Robert Crowell
Charles King
0
William Dahle
Sheri Kunioka-Volz
1`t Vice Chair
Michael Machado
Trinette Kaui
, nd
.1 Vice Chair
SALARY COMMISSION
September 3, 2010
MEMORANDUM
TO: MALCOLM FERNANDEZ. DIRECTOR OF PERSONNEL SERVICES
FROM: CHARLES KING, SALARY COMMISSIO'NACTING CHAIR
VIA: JOHN ISOBE. BOARDS & COMMISSIONS ADMINISTRAT(f__,�)
RE: REQUEST FOR INFORIMATION FOR THE SALARY CC, M, ISS N
Thank you very much for providing written information in response to Salary Commission's questions
and for attending their meetiner on August 25, 2010. In follow-up to the meeting, the Commission is
requesting further clarification and information from your Office as follows:
1. Provide a comparative list that reflects the actual annual salaries for all County officers named
on the Salary Resolution (see attached) from July 1. 2006 to present. Please indicate the specific
dates that any changes to the actual annual salary for any of the County officers took effect.
2. Provide a list by department and position of any existing employee(s) .N -hose annual salary
exceeds that of their respective department head or deputy. If the information is available. please
indicate approximate date that the individual holding the position is considering retirement.
I would appreciate your response by October 14, 2#10 so that we may provide the Salary
Commissioners with your response prior to the October 211, 2010 meeting at which time we would like
to request your presence.
Thank you for vour assistance.
ca/
cc.- Mayor
Gary Hcu, Administrative Assistant
Sc 2ol0 -7