The URL can be used to link to this page

Home My WebLink About74-25 RESOLUTION113 West Mountain Street Fayetteville, AR 72701 (479) 575-8323 Resolution: 74-25 File Number: 2025-203 2025 EMPLOYEE COMPENSATION ADJUSTMENT (BUDGET ADJUSTMENT): A RESOLUTION TO APPROVE A BUDGET ADJUSTMENT IN THE AMOUNT OF $2,409,500.00 TO FACILITATE THE CITY-WIDE 2025 EMPLOYEE COMPENSATION ADJUSTMENT WHEREAS, Mayor Rawn's proposed Employee Compensation Adjustment will cost the General Fund about $2,770,500.00 in 2025 for General Fund employees; and WHEREAS, including all employees (Water and Sewer, Recycling and Trash Collection, etc. as well as General Fund employees), the cost will be about $3,395,500.00 for 2025. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1: That the City Council of the City of Fayetteville, Arkansas hereby approves a budget adjustment, a copy of which is attached to this Resolution, in the amount of $2,409,500.00 to fund the city-wide 2025 Employee Compensation Adjustment. PASSED and APPROVED on March 4, 2025 Approved: Molly Rawn, Mayor Attest: Kara Paxton, City Clerk Treasurer Page 1 CITY OF FAYETTEVILLE ARKANSAS MEETING OF MARCH 4, 2025 TO: Mayor Rawn and City Council THRU: FROM: Paul Becker, Chief Financial Officer CITY COUNCIL MEMO 2025-203 SUBJECT: 2025 EMPLOYEE COMPENSATION ADJUSTMENT (BUDGET ADJUSTMENT): RECOMMENDATION: The Mayor is recommending that the City Council appropriate funds to provide for the compensation package outlined below. BACKGROUND: The Mayor is recommending a compensation package to the City Council based on the Police and Fire Staff Pay and Benefits Study recently completed. All funds have the capacity to afford these salary increases. DISCUSSION: Based on these results, the Mayor is recommending the following compensation package to the Council: • The plan would provide an increase for Police and Fire uniformed personnel by placing them on the new step pay plan structure at their current step effective 03/31/2025. • The plan would provide across the board increases for all non -uniformed personnel effective 03/31/2025. The increases will be based on the 4.5% movement to the structure approved in the 2025 Pay and Benefits Study. • To be eligible, merit employees must have completed at least six (6) months of service, which means they must have been paid on Pay Period #13, 2024, which equals a start date before 10/13/2024. • The 2025 cost of this plan is projected to be $2,770,500 in the General Fund. The 2025 cost for all funds would be $3,395,500. • The on -going cost of the plan in future years will be $3,790,000 for the General Fund and $4,645,000 for all funds. BUDGET/STAFF IMPACT: Mailing address: 113 W. Mountain Street www.fayetteville-ar.gov Fayetteville, AR 72701 The impact of this proposal would be to increase the budgets for various funds as follows: FUNDING SOURCE ANNUAL IMPACT PARTIAL IMPACT BUDGET ADJUSTMENT 1010 - General $3,790,000 $2,770,500 $1,765,400 2100 - Street 160,100 117,000 117,000 2130 - Parking 26,000 19,000 19,000 2180 - Community Development 20,500 15,000 15,000 2250 - Parks Development 101,200 74,000 74,000 2930 - Drug Law Enforcement Grant 4,100 3,000 22,100 5400 - Water and Sewer 279,100 204,000 204,000 5500 - Recycling and Trash Collection 177,800 130,000 130,000 5550 - Airport 28,700 21,000 21,000 9700 - Shop 57,500 42,000 42,000 Total $4,645,000 $3,395,500 $2,409,500 ATTACHMENTS: SRF (#3) , BA (#4) Mailing address: 113 W. Mountain Street www.fayetteville-ar.gov Fayetteville, AR 72701 == City of Fayetteville, Arkansas Y 113 West Mountain Street Fayetteville, AR 72701 (479)575-8323 - Legislation Text File #: 2025-203 2025 EMPLOYEE COMPENSATION ADJUSTMENT (BUDGET ADJUSTMENT): A RESOLUTION TO APPROVE A BUDGET ADJUSTMENT IN THE AMOUNT OF $2,409,500.00 TO FACILITATE THE CITY-WIDE 2025 EMPLOYEE COMPENSATION ADJUSTMENT WHEREAS, Mayor Rawn's proposed Employee Compensation Adjustment will cost the General Fund about $2,770,500.00 in 2025 for General Fund employees; and WHEREAS, including all employees (Water and Sewer, Recycling and Trash Collection, etc. as well as General Fund employees), the cost will be about $3,395,500.00 for 2025. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1: That the City Council of the City of Fayetteville, Arkansas hereby approves a budget adjustment, a copy of which is attached to this Resolution, in the amount of $2,409,500.00 to fund the city-wide 2025 Employee Compensation Adjustment. Page 1 Paul Becker Submitted By City of Fayetteville Staff Review Form 2025-203 Item ID 3/4/2025 City Council Meeting Date - Agenda Item Only N/A for Non -Agenda Item 2/18/2025 CHIEF FINANCIAL OFFICER (110) Submitted Date Division / Department Action Recommendation: 2025 CITY-WIDE EMPLOYEE COMPENSATION: A RESOLUTION TO APPROVE A BUDGET ADJUSTMENT IN THE AMOUNT OF $2,409,500 TO FACILITATE THE CITY- WIDE 2025 EMPLOYEE COMPENSATION ADJUSTMENT. ####. ###. ####- 51##. ## Account Number Project Number Budgeted Item? Yes Does item have a direct cost? No Is a Budget Adjustment attached? Yes Purchase Order Number: Change Order Number: Original Contract Number: Comments: Budget Impact: Total Amended Budget Expenses (Actual+Encum) Available Budget Item Cost Budget Adjustment Remaining Budget ALL FUNDS Fund Project Title $ 92,452,021.00 $ 10,510,135.92 $ 81,941,885.08 $ 2,409,500.00 e. 84,351,385.08 Previous Ordinance or Resolution # Approval Date: V20221130 City of Fayetteville, Arkansas - Budget Adjustment (Agenda) Budget Year Division Adjustment Number Non -Departmental (800) /Org2 2025 Requestor: Kevin Springer BUDGET ADJUSTMENT DESCRIPTION / JUSTIFICATION: A BUDGET ADJUSTMENT IN THE AMOUNT OF $2,409,500 TO FACILITATE CITY-WIDE EMPLOYEE COMPENSATION ADJUSTMENTS FOR 2025. COUNCIL DATE: 3/4/2025 ITEM ID#: 2025-203 Kevin Springer 2/16'/2025 2:32 Pln Budget Division Date D - (City Council) TYPE: JOURNAL #: GLDATE: RESOLUTION/ORDINANCE CHKD/POSTED: TOTAL 2,409,500 2,409,500 v.2025218 Increase / (Decrease) Project.Sub# Account Number Expense Revenue Project Sub.Detl AT Account Name 1010.090.6600-5106.00 1,765,400 - EX Personnel Contingency - General 2100.410.4100-5106.00 117,000 - EX Personnel Contingency - General 2130.430.9130-5106.00 19,000 - EX Personnel Contingency - General 2180.642.4930-5106.00 15,000 - EX Personnel Contingency - General 2250.520.9250-5106.00 74,000 - EX Personnel Contingency - General 2930.200.2960-5106.00 22,100 - EX Personnel Contingency - General 5400.720.4000-5106.00 204,000 - EX Personnel Contingency - General 5500.750.5000-5106.00 130,000 - EX Personnel Contingency - General 5550.760.3940-5106.00 21,000 - EX Personnel Contingency - General 9700.770.1910-5106.00 42,000 - EX Personnel Contingency - General 1010.001.0001-4999.99 - 1,765,400 RE Use Fund Balance - Current 2100.410.4100-4999.99 - 117,000 RE Use Fund Balance - Current 2130.430.9130-4999.99 - 19,000 RE Use Fund Balance - Current 2180.642.4930-4320.00 - 15,000 RE Grant Funding CDBG 2250.520.9250-4999.99 - 74,000 RE Use Fund Balance - Current 2930.200.2960-4999.99 - 22,100 RE Use Fund Balance - Current 5400.720.4000-4999.99 - 204,000 RE Use Fund Balance - Current 5500.750.5000-4999.99 - 130,000 RE Use Fund Balance - Current loft Increase / (Decrease) Project.Sub# Account Number Expense Revenue Project Sub.Detl AT Account Name 5550.760.3940-4999.99 9700.770.1910-4999.99 21,000 42,000 RE Use Fund Balance - Current RE Use Fund Balance - Current 2of2