CC Resolution No. 13-063 Establishing the Elected Officials Compensation Program RESOLUTION NO. 13-063
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CUPERTINO
ESTABLISHING THE ELECTED OFFICIALS COMPENSATION PROGRAM
WHEREAS, the compensation provisions for City Elected Officials currently
exist in several different City documents; and
WHERAS, to clarify and promote efficiency in administering compensation for
elected officials, the City wishes to consolidate all compensation and benefit provisions
for elected officials into one document.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of
Cupertino does hereby adopt the Elected Officials Compensation Program attached and
incorporated as Exhibit A.
PASSED AND ADOPTED at a regular meeting of the City Council of the City of
Cupertino this I6`h day of July 2013 by the following vote:
VOTE MEMBERS OF THE CITY COUNCIL
AYES: Mahoney, Wong, Chang, Santoro, Sinks
NOES: None
ABSENT: None
ABSTAIN: None
ATTEST: APPROVED:
e✓wP,, 3
Grace Schmidt, City Clerk OrKin Mahoney, Ma or, City of Cupertino
City of Cupertino
ELECTED OFFICIALS' COMPENSATION PROGRAM
Policy No. 1
PROGRAM PURPOSE AND DEFINITIONS FOR ELIGIBILITY
It is City of Cupertino policy that those certain persons holding positions hereinafter
defined and designated as elected official positions shall be eligible for participation under the
Elected Officials Compensation Program as hereby adopted by action of the City Council and
as same may be amended or as otherwise modified from time to time.
Eligibility for inclusion with this Compensation program is limited to persons holding
positions as elected officials. These are designated by the voters and may be modified as
circumstances warrant.
The position in the following classification has been designated as elected official.
ELECTED OFFICIAL CLASSIFICATIONS:
Classification Title
City Council Member
Adopted by Action of the
City Council,July 2013
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City of Cupertino
ELECTED OFFICIALS COMPENSATION PROGRAM
Policy No.2
SALARY SCHEDULE
As rates of pay are set forth under the State of California Municipal Code 2.14.020, and
hereby adopted by action of the City Council,so are those rates of pay included herein as a part
of this Compensation program. The inclusion herein of said rates and schedules does not affect
any effective dates or otherwise reflect on the approval processes required but is shown as an
integral part of this Program for completeness of record.
Adopted by Action
of the City Council
July,2013
2
City of Cupertino
ELECTED OFFICIALS COMPENSATION PROGRAM
Policy No. 3
TRAINING AND CONFERENCES
I. POLICY
It is City of Cupertino policy that members of the City Council and the Council's commissions
and committees, shall be reimbursed or receive a direct advance according to the schedules,
terms and conditions as set forth herein for the expenses authorized below. This policy is
established in accordance with California Government Code Sections 53232.2 and 53232.3.
111.AUTHORIZED EXPENSES
The City Council and their commission and committee members can receive reimbursements
or advances toward actual and necessary expenses incurred by participating in the following
activities or events:
1. Communicating with representatives of regional, state and national government on
City adopted policy positions;
2. Attending seminars, conferences, and training to improve skill and information levels;
3. Participating in regional,state and national organizations whose activities affect the
City's interests(such as the League of California Cities);
4. Attending International Conferences, budget limited to $2,500 per fiscal year,
provided there is a benefit to the City;
5. Attending City events;
1. Attending functions of other local civic or community organizations where there is a
clear nexus between the event and the member's attendance as an official
representative of the City. Purely social events, service club dues and meals, and
political or charitable contributions or events would be excluded. For purposes of this
section, reimbursable fundraisers and events include, but are not limited to, Cupertino
Union School District, Fremont Union High School District, Foothill-De Anza
Community College District, Silicon Valley Leadership Group, Cupertino American
Cancer Society (ACS)Relay for Life and Cupertino Chamber of Commerce activities.
The City will not reimburse or advance payment toward expenses including,but not limited to:
1. The personal portion of any trip;
2. Family expenses, including those of a partner when accompanying Council or
commission member on City related business, as well as child or pet related expenses.
3. Entertainment expenses, including theatre, shows, movies, sporting events, golf, spa
treatments, etc.
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4. Meals and entertainment paid on behalf of third parties outside of the City;
5. Gifts of any kind for any purpose;
6. Alcoholic beverages;
7. Non-mileage personal automobile expenses including repairs, insurance, gasoline,
traffic citations; and
S. Personal losses incurred while on City business.
IV.BUDGETARY LIMITATIONS
Reimbursement or advancement of expenses shall not exceed budgetary limitations. Changes
in appropriations will be done through the budget process.
V. REIMBURSEMENT AND ADVANCE SCHEDULE
A. Intent
This schedule is written with the intent that the City Councilmember, commissioner, or
committee member will make every effort to find the lowest possible cost to the City for
traveling on City business. For example, if paying for parking at the airport is less expensive
than paying for a taxi or airport shuttle, then officials should drive their car and park at the
airport; or if renting a car is lower than taking taxis at the out-of-town location, then a car
should be rented. Air reservations should be booked in advance to obtain discounted fares.The
following procedures apply whether the expense is being paid through a reimbursement or a
direct advance.
B. Local Area
The local area is defined to be within Santa Clara and San Mateo Counties and within a 40 mile
distance from Cupertino when traveling to Alameda County.
C. Registration
The City will pay the registration fee for authorized attendance at a convention, conference,
seminar or meeting.
D. Transportation
The City will pay transportation costs on the basis of the lowest cost intent stated in paragraph
A. Eligible transportation costs include airfare (with coach fare being the maximum), van or
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taxi service to and from the attendee's home and airport, destination or airport parking
charges, taxi and shuttle services at the out-of-tovin location, trains, tolls, or rental cars. Use of
a personal automobile for City business shall be reimbursed or advanced at the rate per mile in
effect for such use, except in no case shall it exceed air coach fare if the vehicle is being used for
getting to the destination. Government or group rates offered by a provider of transportation
must be used when available.
E. Lodging
Hotel or lodging expenses of the City official resulting from the authorized event or activity
defined in this policy will be reimbursed or advanced if the lodging and event occur outside
the local area. Not covered will be lodging; expenses related to person(s) who are
accompanying the City member, but who themselves are not on City business. In this instance,
for example, the difference between single and multiple occupancy rates for a room will not be
reimbursed.
Where the lodging is in connection with a conference or other organized educational activity,
City-paid lodging costs shall not exceed the maximum group rate published by the conference
or activity sponsor, providing that lodging at the group rate is available at the time of booking.
If the group rate at the conference hotel is not available,then the non-conference lodging policy
described in the next paragraph should be followed to find another comparable hotel.
Where lodging is necessary for an activity that is not related to a conference or other organized
educational activity, reimbursement or advances shall be limited to the actual cost of the room
at a group or government rate. In the event that a group or government rate is not available,
lodging rates that do not exceed the median price for lodging for that area and time period
listed on travel websites like www.hotels.com, www.exl2edia.com or an equivalent service
shall be eligible for reimbursement or advancement.
F. Meals
1. No Conference
The actual cost of a meal can be claimed, within a standard of reasonableness,but receipts
must be kept and submitted for the expense incurred.
2. As Part of a Conference
When City officials are attending a conference or other organized educational activity,
they shall be reimbursed or advanced for meals not provided by the activity, on an actual
cost basis. The actual cost rate shall follow the rules described in the meals with no
conference paragraph.
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G. Other Expenses
Payments toward or reimbursement of other expenses related to authorized activities or events
shall be limited to the actual costs consistent with the application of reasonable standards.
Receipts must be kept and submitted for all expenses.
VI. DIRECT CASH ADVANCE POLICY
From time to time, it may be necessary for a City official to request a direct cash advance to
cover anticipated expenses while traveling or doing business on the City's behalf. Such request
for an advance should be submitted to the City Manager or Department Head no less than
seven days prior to the need for the advance with the following information: 1) Purpose of the
expenditure;2)The anticipated amount of the expenditure (for example,hotel rates, meal costs,
and transportation expenses); and 3) The dates of the expenditure. An accounting of expenses
and return of any unused advance must be reported to the City within 30 calendar days of the
official's return on the expense report described in Section VII.
VII. EXPENSE REPORT REQUIREMENTS
All expense reimbursement requests or final accounting of advances received must be
approved by the City Manager or Department Head, on forms determined by the Finance
Department, within 30 calendar days of an expense incurred, accompanied by a business
purpose for all expenditures and a receipt for each item other than mileage. The report will be
a public record subject to disclosure under the Public Records Act.
VIII. REPORTS TO CITY COUNCIL OR COMMISSIONS
At the next regular City Council or commission meeting, each councilmember or commissioner
shall briefly report on publicly noticed meetings attended at City expense. If multiple members
attended the meeting, a joint report may be made.
IX. POLICY VIOLATIONS
Violations of this policy including falsifying expense reports may result in any or all of the
following: (1) loss of reimbursement privileges, (2) demand for restitution to the City, (3) civil
penalties of up to $1,000 per day and three times the value of the resources used, and 4)
prosecution for misuse of public resources.
Revised 7/83, 7/85, 7/87, 7/88, 7/91, 7/92, 12/07, 7/10
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City of Cupertino
ELECTED OFFICIALS' COMPENSATION PROGRAM
Policy No.4
MILEAGE REIMBURSEMENTS
It is City of Cupertino policy that eligible persons under this Compensation Program
shall be compensated fairly for the use of personal automotive vehicles on City business.
Those persons who occasionally are required to use their personal automobiles for City
business shall be reimbursed for such use at the established IRS rates. Submission of
reimbursement requests must be approved by the City Manager.
Adopted by Action of the City Council
July,2013
7
City of Cupertino
ELECTED OFFICIALS' COMPENSATION PROGRAM
Policy No.5
ASSOCIATION MEMBERSHIPS AND
PROFESSIONAL PUBLICATIONS
It is City of Cupertino policy that eligible persons under this Compensation Program
shall be entitled to City sponsored association memberships as well as receiving subscriptions
to professional and technical publications. Such sponsorship, however, shall be conditioned
upon the several factors as set forth below.
Each association for which membership is claimed must be directly related to the field
of endeavor of the person to be benefited. Each claim for City sponsored membership shall be
submitted with their concurrence to the City Manager for approval.
Subscriptions to or purchase of professional and technical publications may be
provided at City expense when such have been authorized by the City Manager providing the
subject matter and material generally contained therein are related to municipal governmental
operations.
Adopted by Action of
the City Council
July,2013
8
City of Cupertino
ELECTED OFFICIALS'COMPENSATION PROGRAM
Policy No. 7
HEALTH BENEFITS PLAN-CITY CONTRIBUTION
It is the policy of the City of Cupertino to provide group hospital and medical insurance
under which the elected official positions and their dependents may be covered. The purpose
of this program is to promote and preserve the health of employees and their families through
comprehensive health plans available only through employer sponsorship.
Although the premium cost for the insurance provided remains the ultimate
responsibility of the employee in these positions, the City shall contribute the amounts listed
below towards the premium or pay the full cost of the premium if less than the stated amounts.
If the premium amounts for any employee covered by this policy are less than the amounts
listed below per month, the difference between the premium amount and the stated amounts
will be retained by the City.
Medical Insurance Coverage Level City Contribution
Elected Official 714.00
Elected Official+1 714.00
Elected Official+2 714.00
Effective as soon as administratively possible, the City will establish a Health Reimbursement
Account(HRA) to be used towards health related expenses as determined by the IRS. Effective
the first full pay period after adoption of this policy by the City Council, each elected official
will receive an $83.00 monthly contribution from the City into a Health Reimbursement
Account (HRA) or a notional account until the FIRA is established to be used towards health
related expenses, consistent with the laws and regulations governing HRAs. The parties
acknowledge that the use of these funds shall not occur until the HRA is established. The
parties agree to meet and discuss HRA program implementation.
Effective the first full pay period in July 2014, each elected official will receive an additional
$80.00 per month contribution from the City for a total of $163.00 per month into the Health
Reimbursement Account(HRA).
During the 13/14 contract year, the City will be reopening negotiations to discuss elimination of
the Ca1PERS 100/90 retirement plan and replacement of said plan.
Adopted by Action of the City Council July,2013
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City of Cupertino
ELECTED OFFICIALS' COMPENSATION PROGRAM
Policy No. 9
LIFE INSURANCE
It is the policy of the City of Cupertino to provide life insurance benefits to the elected
officials to a maximum of$16,000.
The elected officials may enroll in the life insurance program offered if eligible under
the contract provisions of the policy and the personnel rules of the City. The full cost of
premiums for these programs shall be paid by the City for such individuals.
Adopted by Action of
the City Council
July,2013
10
City of Cupertino
ELECTED OFFICIALS COMPENSATION PROGRAM
Policy No. 10
DEFERRED COMPENSATION
It is the policy of the City of Cupertino to provide equitable current compensation and
reasonable retirement security for the elected officials for services performed for the City. The
City participates in the California Public Employees' Retirement System (PERS) and deferred
compensation plans have been established. Both the elected official and City may make
contributions from current earnings to these plans. The purpose of this policy is to promote
means by which compensation may be provided in such manner and form to best meet the
requirements of the City and the needs of the elected officials. .
The City shall maintain and administer means by which the elected officials in these
positions may defer portions of their current earnings for future utilization. Usage of such
plans shall be subject to such agreements, rules and procedures as are necessary to properly
administer each plan. Individual contributions to such plans may be made in such amounts as
felt proper and necessary to the elected official. The City contributions shall be as determined
by the City Council.
Adopted by Action of
the City Council
July,2013
11
City of Cupertino
ELECTED OFFICIALS COMPENSATION PROGRAM
Policy No. 11
PUBLIC EMPLOYEES'RETIREMENT SYSTEM CONTRIBUTION
A. Council Members occupying office on or before December 29,2012 Only:
For Council Members occupying office on or before December 29,2012, the City has contracted
with CalPERS for a 2.7%@55 retirement formula.
Effective in the first full pay period in July 2013, the City agrees to pay the employee's
contribution rate to the California Public Employees Retirement System (CalPERS)not to
exceed 4.5%of applicable salary and each employee agrees to pay 3.5%of applicable salary.
Effective in the first full pay period in July 2014, the City agrees to pay the employee's
contribution rate to the California Public Employees Retirement System(CalPERS)not to
exceed 3.0%of applicable salary and each employee agrees to pay 5.0%of applicable salary.
Effective in the first full pay period in July 2015, the City agrees to pay the employee's
contribution rate to the California Public Employees Retirement System(CalPERS)not to
exceed 1.75%of applicable salary and each employee agrees to pay 6.25%of applicable salary.
The City agrees to pay the employer's contribution rate to the Public Employees Retirement
System to the extent required by law and the parties acknowledge that by January 1, 2018 the
employees are required to pay 50%of the normal cost rate as determined by CalPERS.
B. Council Members occupying office on December 30,2012 or December 31,2012 or a
current CAPERS employee who qualifies as a classic member under CAPERS Regulations
Only.
For Council Members hired on December 30, 2012 or December 31,2012 or a current CalPERS
employee who qualifies as a classic member under CalPERS Regulations only the City has
contracted with CalPERS for a 2.0%@ 60 retirement formula, three year average compensation
Effective in the first full pay period in July 2013 the City agrees to pay the employee's
contribution rate to the California Public Employees Retirement System (CalPERS)not to
exceed 3.5%of applicable salary and each employee agrees to pay 3.5%of applicable salary.
Effective in the first full pay period in July 2014, the City agrees to pay the employee's
contribution rate to the California Public Employees Retirement System(CalPERS)not to
exceed 2.0%of applicable salary and each employee agrees to pay 5.0%of applicable salary.
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Effective in the first full pay period in July 2015, the City agrees to pay the employee's
contribution rate to the California Public Employees Retirement System(Ca1PERS)not to
exceed .75%of applicable salary and each employE,e agrees to pay 6.25%of applicable salary.
The City agrees to pay the employer's contribution rate to the Public Employees Retirement
System to the extent required by law and the parties acknowledge that by January 1,2018 the
employees are required to pay 50%of the normal cost rate as determined by Ca1PERS.
C. For Council members occupying office on of after January 1,2013,or former Ca1PERS
employees that do not qualify as Classic employees hired by the City of Cupertino on or
after January 1,2013
For Coucil Members occupying office on or after January 1,2013 Ca1PERS has by statute
implemented a 2%@ 62 formula, three year average and employees in this category shall pay
50%of the normal cost rate as determined by Ca1PERS.
Adopted by Action of
the City Council
July,2013
13
City of Cupertino
ELECTED OFFICIALS' COMPENSATION PROGRAM
Policy No. 12
DENTAL INSURANCE-CITY CONTRIBUTION
It is the policy of the City of Cupertino to provide dental insurance under which the
elected official positions and their dependents may be covered.
The premium cost for the insurance provided by the City shall not exceed $78.26 per
month per individual. Enrollment in the plan or plans made available pursuant to this policy
shall be in accordance with Personnel Rules of the City and the provisions of the contract for
such insurance between the City and carrier or carriers.
Adopted by Action of
City Council
July,2013
14
City of Cupertino
ELECTED OFFICIALS COMPENSATION PROGRAM
Policy No. 14
EMPLOYEE ASSISTANCE PROGRAM
It is the policy of the City of Cupertino to provide an Employee Assistance Program for
the benefit of the elected officials and their eligible dependents. The purpose of this program is
to provide professional assistance and counseling concerning financial, legal, pre-retirement,
and other matters of a personal nature.
Adopted by Action of the City Council
July,2013
15
City of Cupertino
ELECTED OFFICIALS' COMPENSATION PROGRAM
Policy No. 17
VISION INSURANCE—CITY CONTRIBUTION
It is the policy of the City of Cupertino to provide vision insurance under which
employees and their dependents may be covered.
The premium cost for the insurance provided by the City shall not exceed $14.94 per
month per employee. Enrollment in the plan or plans made available pursuant to this policy
shall be in accordance with the provisions of the contract between the City and carrier or
carriers providing vision insurance coverage,
Adopted by Action of the City Council
July,2013
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CITY OF CUPERTINO
CITY COUNCIL
AND PLANNING COMMISSION
EFFECTIVE JULY 1,2013
The salaries,wages or rates of pay for members of the City Council and Planning Commission
are set forth below. Only the City Council can modify these rates.
Members of the City Council $730.24/month
Members of the Planning Commission* $50.00/meeting(maximum$200 monthly)
*Benefits as set forth in this document do not apply to members of the Planning Commission.
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CITY OF CUPERTINO
CITY COUNCIL
AND PLANNING COMMISSION
EFFECTIVE JULY 1,2013
The salaries,wages or rates of pay for members of the City Council and Planning Commission
are set forth below. Only the City Council can modify these rates.
Members of the City Council 730.24/month
Members of the Planning Commission* $50.00/meeting(maximum$200 monthly)
Benefits as set forth in this document do not apply to members of the Planning Commission.
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