HomeMy WebLinkAbout2014_0707_Minutes Open_APPROVED COUNTY OF KAUAI
Minutes of Meeting
OPEN SESSION
Approved as circulated 9/15/14
Board/Committee : SALARY COMMISSION Meeting Date July 7, 2014
Location Mo ' ikeha Building, Meeting Room 2A/213 Start of Meeting: 9 : 06 a.m. End of Meeting : 10 : 56 a.m.
Present Vice Chair Randy Finlay. Members : Charles King; Cammie Matsumoto; Lenie Nishihira; Jo Ann Shimamoto
Also : Deputy County Attorney Mona Clark; Boards & Commissions Office Staff. Support Clerk Barbara Davis; Administrator Paula
Morikami; Administrative Aide Teresa Tamura; Acting Personnel Services Manager Thomas Takatsuki; HR Specialist II Kathy Tanita
Excused Chair Michael Machado . Member Sheri Kunioka-Volz
Absent
SUBJECT DISCUSSION ACTION
Prior to the start of the meeting, Council Administrative Assistant Eddie
Topenio gave the Oath of Office to new Commissioners Camilla Matsumoto
and Lenie Nishihira
Call To Order Vice Chair Finlay called the meeting to order at
9 : 06 a.m. with 5 members present and welcomed
the new members to the Commission.
Approval of Open Session Minutes of January 6, 2014 Mr. King moved to approve the minutes as
Minutes circulated. Ms . Shimamoto seconded the
motion. Motion carried 5 : 0
Business SC 2014-04 Review, discussion and possible decision-making with
regard to establishing salaries for the fiscal year 2015/2016 for
Councilmembers and all officers and employees included in Section 3 -2 . 1
of the Kauai County Code
a. Comparison of executive pay rates for counties
b. Inversion chart of Department/Deputy Department Heads versus
highest Civil Service employee
C. Resolution 2012- 1 ; Resolution 2012-2 ; Resolution 2012-3 ;
Resolution 2013 - 1 ; Resolution 2013-2
Ms. Morikami acknowledged Mr. Takatsuki and Ms. Tanita from the
Department of Personnel Services (DPS) who compiled the comparison
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pay rates and the inversion chart that was included in the meeting packet.
Ms. Morikami also distributed the history of the civil service pay increases
throughout the past years, and an article from the Big Island regarding
salary increases recently proposed to their Council. Ms . Morikami
explained for the benefit of the new members what the role of the
Commissioners is, and a brief overview of the Resolutions noting that the
salaries set are maximums, but not necessarily indicative that everyone is
at the maximum cap. As a reminder, the County Council urges the Salary
Commission to have recommendations to them no later than March 15 in
accordance with the Charter.
As compared to the private sector, Ms. Nishihira asked if the Big Island' s
budget is based on their population. Mr. Takatsuki said he could not
provide that at this time because he did not look at budgets. The
comparison is based strictly on what the various county mayors and
department heads are making based on what their Salary Commission has
proposed. Mr. Takatsuki was asked to get budget information for the other
islands, the number of employees, and the county populations . A
discussion ensued regarding the inversion chart, and while the discrepancy
of the inversion can be narrowed on occasion, the rank and file recently
received an increase, which again changes the inversion. It was further
noted there will be increases for the police through June 30, 2017 . It was
pointed out that police and fire have had raises during times when other
employees did not receive a raise, and that should be taken into
consideration. Mr. Takatsuki went on to explain that while employees may
be listed as the same position, the pay discrepancy can be attributed to the
number of years of service . The pay rate for Excluded Managers (EMs) is
set by Executive Order through the Mayor' s Office. Vice Chair Finlay
pointed out that while trying to right the inversion rate, it appears the
bargaining units use the management pay increases to renegotiate raises for
the rank and file. Ms. Shimamoto said it does not work the other way
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around, and just because the chief gets a raise does not mean the rank and
file gets a raise to which Mr. Takatsuki said they negotiate with the
bargaining units who come up with their own plan as to what they think
the pay increases should be. On the other side, management says that is
not what it is going to be. Because of the language in the Hawaii Revised
Statutes (HRS) police and fire can go to final and binding arbitration, and
it is the arbitrator who sets the increases. Inversions occur because certain
bargaining units negotiate better than others. Mr. Takatsuki explained he
is the County ' s representative at the bargaining table in which they
negotiate statewide for all bargaining units, but the Mayor signs the
agreements. Vice Chair Finlay asked how many entities there were that
determined salaries to which it was noted there were the bargaining units,
the Salary Commission, and the Executive Order. Mr. Takatsuki said that
all civil service employees are covered under their respective collective
bargaining agreements whether it be units 1 , 2, 3 , and 4 or units 11 , 12 , 13 ,
as well as the new bargaining unit 14. Excluded managerial pay is based
on HRS Chapter 89 C. Department heads, deputies, and other positions are
established through the Salary Commission.
Ms. Morikami pointed out that the salaries for 6 of the department heads
(Police, Fire, Liquor, Water, Personnel Services, and Planning) listed on
the Resolution are set by a board or commission based on the maximum
guideline from the Salary Commission because they are responsible for the
hiring or firing of that position. Mr. Takatsuki said the other counties are
pretty much set up this way but he did not know if they had any other
intricate issues. With 3 different places from which salaries can be set,
Vice Chair Finlay asked if it would be more efficient if 1 entity had input
into all 3 . Mr. Takatsuki said they would have to change the law. Before
it was simpler because the Legislature set the pay before collective
bargaining was introduced. Mr. King said the Commission can set the
salaries, but have nothing to do with the budget, or how the moneys for
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those salaries are raised.
Vice Chair Finlay said when the Mayor signed the Executive Order raising
excluded management, he had to have anticipated there would be
inversions. Mr. Takatsuki said they knew there would be inversions . Vice
Chair Finlay thought a 1 percent inversion was insignificant based on the
seniority and other factors involved. The real significance with the
inversion seems to be the Police Department and Public Works. Mr.
Takatsuki explained that the inversion rate changes as long time employees
retire. He further noted that BU 1 is UPW, BUs 2, 3 , 4, 13 , and 14 are
HGEA, BU 11 is HFFA and BU is 12 SHOPO .
Asked when HR was established, Mr. Takatsuki said they are still going
through the process of changing from DPS to HR and the Boards and
Commissions Office is working on a charter amendment for the ballot.
Vice Chair Finlay recalled that change started with the Cost Control
Commission when it was determined that each department had its own
little HR department, and it would be cost effective for the County to
combine them into one. While it will become a cost savings to the County,
it will require a more demanding skill set for the person who oversees HR.
Mr. King asked if the request for the increase was based on the expanded
responsibilities because the expanded responsibilities haven't been passed.
Mr. Takatsuki explained there are functions that were never part of DPS ,
which now includes workers from Finance and Payroll. Asked about the
people in the previous positions, Mr. Takatsuki said most of the people
who were performing 75 to 100 percent of personnel duties came into the
department. Secretaries who were performing some of those duties did not
come into DPS so the department has expanded from 8 people to 15 and
then to 18 . Asked where the cost savings were that came out of the
transition, Mr. Takatsuki said he could not tell her the money part, but
there is supposed to be savings. Ms. Morikami said one of the cost
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saving measures that the Civil Service Commission and the Cost Control
Commission looked at is with proper trainings uniformly administered
throughout the County, whether for safety issues, EEOC issues, etc .,
having a central location will save money in bodies in the long run. Asked
if everyone was salaried versus salaried exempt it was noted that deputies
do not earn overtime, but based on law, the EMs are entitled to overtime as
long as they do not exceed what is set as their salary range. Asked when
he started noting inversion was a problem, Mr. Takatsuki recalled it as
more than 15 years ago. Vice Chair Finlay thought it would be interesting
to see how the other counties are wrestling with the same problems we
have here; Mr. Takatsuki said they could check and find out.
Ms. Morikami advised the Commission that since December 1 , 2008 , there
have been no salary increases for the department heads except for Fire,
Police, County Clerk, Councilmembers, and Prosecutors; the last column
shown on the Resolution indicates a pay increase, but it never took place .
Communications SC 2014-01 Letter dated 6/ 10/ 14 from the Kauai Police Department Ms . Shimamoto moved to receive the
requesting correction to the pay inversion for the Chief and Deputes communication. Mr. King seconded the motion.
of Police Motion carried 5 : 0
Discussion ensued regarding the inversion rate and that the Commission
thought that was resolved with Resolution No. 2012-2, but the Executive
Order raised the EMs causing this new inversion. Vice Chair Finlay said
while they need to consider what the other counties are doing they also
need to consider what private industry is doing, and there are not many
raises in the private sector.
SC 2014-02 Letter dated 6/ 16/ 14 from the Prosecutor' s Office Mr. King moved to receive the communication.
requesting consideration of pay increases for the Prosecutor, First Deputy Ms. Shimamoto seconded the motion. Motion
Attorney and all Deputy Attorneys carried 5 : 0
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Mr. King said he would like to see what the Prosecutor is looking for as far
as increases. Vice Chair Finlay noted the Prosecutor' s letter was
requesting agenda time at the July meeting, but he was not present. Vice
Chair Finlay asked Ms. Morikami to follow up with asking the Prosecutor
to attend the next scheduled meeting.
SC 2014-03 Memo dated 6/25/ 14 from the Civil Service Commission Ms. Shimamoto moved to receive the
requesting consideration of a pay increase for the Director of DPS/HR in communication. Mr. King seconded the motion.
light of the expanded responsibilities for the position Motion carried 5 : 0
Mr. King thought an increase seemed warranted as far as the expanded
responsibilities, but then hits a roadblock because not everybody should be
on the same level . Asked what the ballot question would be Ms . Morikami
said it would be a name change from the Department of Personnel Services
to the Department of Human Resources, and the amendment would
describe the functions, which they are currently doing in the capacity of an
HR Department. Vice Chair Finlay was in agreement with Mr. King in
that everyone would love to explain all the duties they do and the need for
a raise, but in the broader spectrum they are doing no more than other
departments . The Commission needs to take all the communications into
consideration, then look at it in a global sense and perhaps fine tune certain
departments .
Ms. Morikami explained that when The Nash Study was done in 2007 DPS
had a study done county-wide on classifications, and based on that study it
was determined there would be two levels of department heads. The rate
listed for 2008 in the Resolution is the salary cap currently in effect. Vice
Chair Finlay said over the last two years there has been a letter from the
Mayor requesting to freeze the salaries, and asked if there had been any
correspondence from the Mayor' s Office. Ms . Morikami noted only that
there have been concerns from the department heads that they have not
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received raises since December 1 , 2008, but she did not know if those were
expressed. Mr. King said the progression in salaries shown on the
Resolution was to correct the previous inversions. Vice Chair Finlay
suggested the Director of Finance be at the next meeting to help
understand from a budget standpoint what type of leeway they have. Items requested for the next meeting :
➢ Director of Finance to provide guideline
on outlook for tax revenues
➢ Vice Chair Finlay to solicit comment
from the Mayor
➢ Comparison of budget, number of
employees, and population of the four
counties from DPS
➢ Presentation from the Prosecuting
Attorney
➢ Presentation from the Civil Service
Vice Chair Finlay stated the Commission is still in an information Commission regarding the HR Director
gathering mode, and all communications reviewed today will remain
active.
Next Meeting Monday, August 11 , 2014 — 10 : 00 a.m. — Moikeha Building, Meeting Vice Chair Finlay read from Article XXIX of the
Room 2 A/B Charter outlining the duties and responsibilities of
the Salary Commission
Adjournment Ms. Shimamoto moved to adjourn the meeting at
10 : 56 a.m. Mr. King seconded the motion.
Motion carried 5 : 0
Submitted by: Reviewed and Approved by:
Barbara Davis, Support Clerk Randy Finlay, Vice Chair
( ) Approved as circulated.
( ) Approved with amendments . See minutes of meeting.