COMMUNITY AGENCY REVIEW COMMISSION (CARC

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PERSONNEL

M E M O

TO: Larry Stevens, City Manager CC: Steve Commons, ACM-Administration FROM: Lisa Goodpasture, HR Director DATE April 08, 2021 SUBJECT: 2021-2022 HR Annual Budget Report

Since July 1, 2020, (to date) we have processed 2906 applications for full-time and part-time positions. We only accept applications when we have open positions. During this same period we hired 38 new full-time employees to fill existing vacancies and approved new positions. A total of 33 full-time employees separated from the City. Ten employees of the 33 that separated, retired from the City. Separation includes resignations, retirements, and discharges. Based on 788 full-time active positions, our turnover rate to date for FY 2021 is 4.30%. If you exclude retirements the turnover rate is 3.00%. At this time last year the City’s turnover rate was at 3.49%. According to the Bureau of Labor Statistics, the national turnover rate (for all industries) in February 2021 was 6.2%. As of February 2021, the average turnover rate for Oklahoma is 4.4%.

Labor Relations: General Employees: A comprehensive benchmark study will be conducted in April 2021. Salary data is gathered from all major cities in Oklahoma and equivalent cities outside of Oklahoma in order to compare our civilian positions and salary ranges to the average of the other cities included in the survey. These cities included: Moore, Norman, Midwest City, Stillwater, Oklahoma City, Tulsa, Broken Arrow, Columbia MO, Lawrence KS, McKinney TX, and Fayetteville AR. Also, included in the benchmark study will be UCO and Edmond Public Schools. The City conducts a benchmark study every two years to ensure the City’s pay is aligned to market.

The proposed FY 2021-22 budget includes funds for a 1.5% COLA for general employees pending the results from the benchmark study. The goal of this study is to assist the City in determining if pay adjustments are necessary to address unjustified gaps in pay or issues relating to misalignment with market-based compensation levels, salary compression, or gaps that may impact recruitment or retention.

IAFF and FOP: The four-year collective bargaining agreement for the International Association of Firefighters (IAFF) and Fraternal Order of Police (FOP) commenced on July 1, 2019 and will remain in effect until June 30, 2023. We have a great respect for the IAFF and FOP Presidents and Negotiation Teams and if needed, throughout the year we mutually engage in productive discussions on policy changes, issues and sharing of information.

The FY 2019 thru FY 2023 FOP and IAFF salaries are based on available revenues and City Council approved allocation of funds in each of the applicable years.

Fiscal Year 2019 1.0% increase effective 07-01-19 1.0% increase effective 01-01-20 Fiscal Year 2020 1.0% increase effective 07-01-20 1.0% increase effective 01-01-21 Fiscal Year 2021 1.0% increase effective 07-01-21 1.0% increase effective 01-01-22 Fiscal Year 2022 1.0% increase effective 07-01-22 1.0% increase effective 01-01-23

Recommended Position/Increases/Decreases/Changes: Included with this report is a detailed listing of the recommended position requests received and reviewed by the Personnel Review Committee. This Committee, made up primarily of rank and file employees, meets annually to review requests from departments for new positions, both additions as well as position changes due to departmental reorganization. Budgeted positions for FY 2020-21 was at 787. Four of these positions were temporary over-hires approved for Fire and Water Resources, which will drop before the end of the year due to attrition. An additional 3 positions for Engineering, 1 position for Finance and 1 position for Water Resources were approved after the budget was calculated, bringing the total of authorized full-time positions at the end of FY20-21 to 789. If the attached personnel changes, are approved for FY 2021-22, this will bring our total number of authorized full-time positions to 810.

Personnel Budget: The proposed FY 2021-22 personnel budget (includes base, overtime, holiday pay, allowances, part time pay, FICA, Medicare and pensions – all 100 accounts) of $89,426,980 is an increase of 5.9% or $5,011,609 over the FY 2020-21 personnel budget of $84,415,371.

Pension

The City’s contribution to meet the normal cost of the pension plan and amortize the unfunded actuarial liability over 30 years is $3.656 million, or 11.68% of participant payroll. This is a decrease of .34% of payroll from last year’s contribution requirement. The decrease is principally the result of (1) investment earnings on the actuarial value of assets being less than the long-term assumed rate of return, more than offset by the impact of increasing the member contribution rate to 6.0% of pay as of 1/1/2021.

The plan was amended effective July 1, 2020 to increase the City’s contribution from 9.82% to 11%. The plan was also amended effective January 1, 2021 to increase the member contribution rate from 5.25% of pay to 6.0% of pay. Employee’s contribution of 5.25% has not increased in over 30 years.

Diversity, Equity and Inclusion Committee (DEI): The City is committed to supporting diversity, equity and inclusion. With Council approval the City Manager is recommending to hire a DEI Officer. The Chief Diversity, Equity and Inclusion Officer will be a leader, advisor, advocate, catalyst for change and resource focused on infusing DEI into all programs and activities. The DEI Officer will report to the City Manager and collaborate closely with Human Resources.

Employee Training: The City of Edmond continues to place a high priority on training for employees at all levels within the organization. Prior to the pandemic, training opportunities were offered through our partnerships with Francis Tuttle - Performance Management Training, the Oklahoma Municipal

Power Authority (OMPA), Municipal Electric Systems of Oklahoma (MESO), Oklahoma Municipal League (OML), contracted trainers and our internal Human Resources Department. In March 2020, COVID-19 safety protocol was implemented, these trainings were paused. In June 2021, we anticipate initiating training and continuing these partnerships for this next fiscal year as well as selection of our own internal department subject matter experts to assist with offering/presenting customer service training and additional Performance Management/professional development courses.

Edvance Branding: Over the past few years, several new professional development initiatives have been launched to help train and build City of Edmond employees into a high performing organization. As these now successful programs have launched, they have been given different names and have been branded differently. In an effort to streamline the programs into one brand, we have renamed these under the name Edvance. Edvance allows the HR, City Manager, and the Marketing department to continue delivering these great programs to our employees and have a tool to help in the recruitment of new employees. The programs are as follows: Edvance Academy (formerly Edmond Academy) Edvance Labs (new initiative) Edvance Leadership (formerly Performance Management Training) Edvance Talent (formerly Talent Development) Edvance Trainings (includes all one-session training classes)

Edvance Academy:

The City Manager and Marketing department organizes the Edvance Academy program. Edvance Academy gives employees opportunities to learn more about other City Departments, meet new people, and gain a more comprehensive understanding of the City of Edmond. Edvance Academy is an educational and informational program for City of Edmond employees – no matter how long they have been with the organization or what their job title is. The 5-day program will include tours of departments, demonstrations, and interactive activities.

Formerly known as Edmond Academy, this program was piloted in 2019 with 20 employees. The program was scheduled to kick off in May 2020, however due to the pandemic the program will be rescheduled after July 1, 2021.

Edvance Labs:

Graduates of Talent Development and Edmond Academy are being offered the unique opportunity to work together on City projects. Through Edvance Labs, graduates of Talent Development and Edmond Academy will get to tackle problems that our organization faces and provide recommendations on how to solve them. These problems may be outside their specialty area, which will give the City the fresh perspective necessary to provide creative recommendations. Lab initiatives for 2020 included: Employee Performance Reviews: How to increase their effectiveness Pros and Cons of 360-degree feedback Volunteering in Edmond - Stronger Together Employee (Satisfaction) Survey Tool - Is A Revamp Needed?

Lab initiatives for 2021 have not yet been determined.