Recommendation
Adopt resolution.

Discussion
In accordance with Chapter 2 of the Rockville City Code, the Compensation Commission, a group of five individuals appointed by the Mayor and Council (Virginia Onley, Chair, Stephen Edwards, Tom Moore, Jim Marrinan, and Jim Coyle) submitted a report on March 26, 2009 containing its recommendation regarding the annual compensation of the members of the Mayor and Council. (Attachment A)

By a majority vote, the Commission recommended the following:

1. That the Mayor's annual monetary compensation for FY 2010 be increased from $25,750 to $26,295 and that each Councilmember's monetary compensation for FY 2010 be increased from $20,600 to $21,036. These recommended increases reflect the difference in the Bureau of Labor Statistics Washington-Baltimore metropolitan area CPI-U from November, 2007 to November 2008.

2. That, for FY 2011 and FY 2012, the monetary compensation for the Mayor and Council be increased by the positive change, if any, in the Washington - Baltimore metropolitan area CPI-U for the twelve months preceding the previous November.

At its meeting of April 27, 2009 the Mayor and Council discussed with the members of the Compensation Commission the recommendations and the process that was used to determine the recommendations. The Mayor and Council heard from all the Commissioners, including Commission Chair Virginia Onley who had voted against the recommendation. Several commissioners stated that the recommendation reflects the Commission's desire to further de-politicize the compensation process by tying annual compensation to an independent indices, the consumer price index for the Washington-Baltimore metropolitan area. The Commissioners recognized that economic and/or political concerns might warrant the Mayor and Council in rejecting some or all of the recommendations. Commissioner Onley stated that in her opinion it would not be appropriate to increase the compensation of the Mayor and Councilmembers at this time.

During the discussion the members of the Mayor and Councilmembers indicated that they favored the principle of tying the annual compensation of the Mayor and Councilmembers to the CPU-I for FY2011 and FY2012 but that they could not approve an increase in the compensation for the Mayor and Councilmembers for FY2010 due to the difficult economic climate. During the discussion it was noted that pursuant to its authority over the budget the Mayor and Council can determine whether or not to fund a compensation increase in any given year.

As directed by the Mayor and Council, the City Attorney's Office has drafted the attached resolution that rejects the Commission's first recommendation for an increase in compensation for FY2010 and approves the Commission's second recommendation for an increase in compensation for FY2011 and FY2012. (Attachment B) If the resolution is approved the compensation for the Mayor and Councilmembers will remain at the current rate of $25,750 and $20,600, respectively, for FY2010 and will increase for FY2011 and FY2012 by the positive change, if any, in the Washington-Baltimore CPI-U for the twelve months preceding the previous November.

Mayor and Council History
Every two years prior to an election, the Compensation Commission is required to meet by January 31 to begin to discuss any increase to the Mayor and Council's monetary compensation and to submit a report by March 31. From January to March 2009, the Compensation Commission conducted a series of meetings for the purpose of discussing issues related to monetary compensation for the Mayor and Council and receiving public input on this topic. The Commission submitted its report and recommendations on March 26, 2009, and met with the Compensation Commission at its budget worksession held on April 27, 2009.

Following its discussion with the Compensation Commission, the Mayor and Council directed that a resolution be drafted for adoption that rejects the Commission's first recommendation for an increase in compensation for FY2010 and approves the Commission's second recommendation for a possible increase in compensation for FY2011 and FY2012.

Public Notification and Engagement
The meetings of the Compensation Commission (January 29, February 18, March 10 and March 20) were open to the public. Public input was welcomed at every meeting and two citizens did attend to present testimony.

Information was posted on the City's website about the meetings of the Commission, including mention of the meetings in the "This Week in Rockville" feature section. There were also articles in Rockville Reports and the Rockville Gazette about the work of the group.

The Mayor and Council's discussion of the Compensation Commission's report and recommendation with the members of the Commission was advertise as part of the Mayor and Council agenda for its April 27, 2009 meeting.

Fiscal Impact
Any increase in the annual compensation for the Mayor and Councilmembers for FY 2011 and FY 2012 budgets would be dependant on any positive change in the Baltimore Washington CPI-U for the twelve months preceding the previous November, and on the Mayor and Council's approval during the budget process.

Attachments

Department Head:



Debra Yerg Daniel, City Attorney
Approved on: 05/11/2009