R7L - Establishing a Pay Plan for The

Resolutions - R7 L

COMMISSION MEMORANDUM

RECOMMENDATION

Administration recommends approval of the Resolution.

BACKGROUND/HISTORY

Employment positions at the city are categorized as being part of either the Classified or Unclassified Service. Employees in the Unclassified Service are considered at-will. There are over 700 persons employed in positions within the Unclassified Service. Historically, cost-of-living adjustments to pay for positions within the Unclassified Service have mirrored changes to pay for positions within the Classified Service. The last cost-of-living (cola) adjustment to pay for positions in the Unclassified Service was granted through the adoption of Ordinance 2022-4516, as amended by Ordinance 2022-4528 on December 14, 2022, which granted an adjustment of 3% effective in April 2024. The proposed adjustment of 3% to pay for positions in the Unclassified Service effective in the first full pay period of July 2025 is consistent with the pay adjustments requested for other city employees in the Classified Service.

ANALYSIS

This proposed resolution is made concurrent with the second reading of the Unclassified Employees’ Salary Ordinance and consistent with the procedure for Pay Plan amendments set forth in the Ordinance. Exhibit A to the proposed resolution reflects a three percent (3%) increase in the pay range for positions in the Unclassified Service and establishes the Pay Plan. The Pay Plan refers to the grade assigned to each position within the Unclassified Service and the associated minimum and maximum pay range. The inventory of positions and pay grade assigned to each comprises the Classification Plan, which is provided as an attachment to this memo. Together, the Pay Plan and the Classification Plan make up the city’s Compensation Plan.

The Compensation Plan is administered as part of the city’s enterprise resource planning system. As changes to the Classification Plan are made, the enterprise system is programed with these

updates. Should the Commission pass the proposed resolution, the enterprise system will be updated to reflect the three percent (3%) cost-of-living adjustment approved.

In addition, the proposed resolution seeks to raise pay for employees in positions within the Unclassified Service by three percent (3%) effective the first full pay period in July 2025, up to the new max of the range. This pay raise is consistent with the pay increases approved by the Commission for employees represented by the Fraternal Order of Police (FOP), the International Association of Fire Fighters (IAFF), and the Government Supervisors Association of Florida (GSAF) as part of the collective bargaining agreements ratified for the three year term starting October 1, 2025 through September 30, 2027.

FISCAL IMPACT STATEMENT

The fiscal impact of the three percent (3%) cost-of-living adjustment for employees in the Unclassified Service is $610,241 in fiscal year 2024-25. The cola is budgeted in each department’s salary line item in fiscal year 2024-25.

Does this Ordinance require a Business Impact Estimate? (FOR ORDINANCES ONLY)

If applicable, the Business Impact Estimate (BIE) was published on: See BIE at: https://www.miamibeachfl.gov/city-hall/city-clerk/meeting-notices/

FINANCIAL INFORMATION

CONCLUSION

The Administration recommends the adoption of the Resolution which proposes an increase of three percent (3%) to the pay ranges for positions in the Unclassified Service as indicated in Exhibit A accompanying the Resolution and also approves a cost-of-living adjustment of three percent (3%), up to the max of the range, to employees holding positions in the Unclassified Service, whose salary does not exceed the maximum rate of pay.

Applicable Area

Citywide

Was this Agenda Item initially requested by a lobbyist which, as defined in Code Sec. 2-481, includes a principal engaged in lobbying? No

If so, specify the name of lobbyist(s) and principal(s):

Department

Human Resources

Sponsor(s)

Co-sponsor(s)

Condensed Title

Establish Pay Plan for Unclassified Service, Approve 3% COLA. HR

Previous Action (For City Clerk Use Only)