Council Study Session

MINUTES OF THE GILBERT TOWN COUNCIL, IN SPECIAL MEETING FOR A STUDY SESSION, OF TUESDAY, JUNE 18, 2024, AT 5:00 PM, MUNICIPAL BUILDING I, COUNCIL CHAMBERS, 50 E. CIVIC CENTER DRIVE, GILBERT, ARIZONA COUNCIL PRESENT: Mayor Brigette Peterson, Vice Mayor Scott Anderson, Councilmembers Chuck Bongiovanni, Bobbi Buchli, Kathy Tilque, and Jim Torgeson COUNCIL ABSENT: Councilmember Yung Koprowski STAFF PRESENT: Town Manager Patrick Banger, Town Attorney Chris Payne, Town Clerk Chaveli Herrera, Intergovernmental Relations Director Rob Bohr, and Chief People Officer Nathan Williams CALL TO ORDER OF SPECIAL MEETING Mayor Peterson called the meeting to order at 5:03 p.m. ROLL CALL Town Clerk Herrera confirmed a quorum was present. AGENDA ITEM 1. Discussion and Presentation on Mayor and Council Annual Salary and Council Commitments, Assignments, and Reports. Intergovernmental Relations Director Bohr provided an overview of the item and noted references from statute, Arizona Supreme Court, and Gilbert Town Code. He said Town Code stated Gilbert would comply with the Arizona Constitution, that anyone performing the same duties should be compensated the same amount; the Mayor had different duties and should be compensated differently. He said they interpreted the references as when they had a Council with staggered terms, like Gilbert, all the Council would need to adjust compensation at the same time, occurring at the beginning of a new regular term of any Councilmember, which would be January following an election cycle. He said salary changes could occur no more frequently than every two years for Councilmembers and every four years for the Mayor seat. He added the earliest any approved changes could take effect would be January 2025, or they could decide changes would go into effect January 2027, or any odd numbered year thereafter. He said any mid-term Councilmembers would receive the same change in compensation as newly elected members, and for the Mayor, only every four years or at the start of the Mayor term, so January 2025, 2029, etc. He discussed different roles and responsibilities for elected officials in the following categories: (1) formal duties including regular meetings and study sessions, board and commission appointments, liaison assignments, and subcommittee meetings; (2) Town Hall meetings and responsibilities including briefings with staff and meetings with community leaders and constituents; (3) events including ribbon cuttings, speaking engagements, and conferences; and (4) representation on regional and statewide governing organizations. He noted historical information regarding Council compensation and salaries in the past 15 years, showing there was not a significant amount of change. He noted an increase in the Mayor and Councilmember salaries in 2017, from $37,822 to $43,631 and from $21,012 to $24,239 respectively, then a decrease of the Councilmember salary in 2019, back down to the amount of $21,012. Chief People Officer Williams discussed using local market Consumer Price Index (CPI) data from 2008-2023. He provided pay scenarios using the “fully loaded” data for Mayor and Council, using the current salary of a Councilmember at $21,012, with contributions for health and dental budgeted using the family plan for the higher cost scenario. He discussed contributions to the retirement system that was being paid per elected official to manage past financial commitments to the retirement system; he noted that number changed and was expected to drop significantly soon. He provided state benchmark data, which he said was comparable to how the Town did salary benchmarking for staff to identify Gilbert’s salary ranges and midpoints. He provided Council salary averages and cost per resident. He highlighted different compensation adjustment scenarios including the following options: 15 year CPI growth, six biggest Arizona cities, average of 10 benchmarked cities, and population counts. He noted the option suggested by Councilmember Torgeson of anchoring it to the lowest salaried employee pay of Gilbert. He discussed other ways for future increase scenarios, noting it would require a change in statute or ordinance, but said an increase could be treated similar to an annual increase based on historical CPI data. He said options could be with a market or inflationary-based approach, biannual increases based on Town- wide benchmarking data, or market-based movement based on other city or town data. Councilmember Bongiovanni confirmed that the topic was discussed at the fall retreat and was not brought up at the last minute as reported. He said at least five of the Councilmembers wanted to discuss the matter; he believed it was being worked on but was stopped. He provided a cost scenario using child care expenses. Councilmember Tilque said she did not know there was a consensus to bring the topic forward before; if it had been expressed, she would have helped to bring forth the conversation. She said it may have been good to bring up the topic at a prior study session that addressed Council training pay, and she would like to know if someone felt they were not being heard. She said she was not opposed to having the conversation about the value of a Councilmember’s time, but it was about providing a service and not salary. She discussed the time needed to be a good Councilmember and her own experience. She said at the last meeting she was offended that it was relayed that the only reason they wanted a pay increase was to ensure quality candidates for Council. She discussed how other quality Councilmembers had served while working full time jobs, and without the virtual attendance options; she named some of those former members. She said the argument about money for future candidates was not a good one, then spoke of others who expressed different reasons for not wishing to run for Council. She said it was not about the money, rather, about the amount of time someone was willing to put into it and she wished to address those issues. She said every running and sitting Councilmember was aware of the rate of pay, and if there was an increase, it should be for 2027. She concluded that if the Councilmembers wished to give themselves a raise and felt they deserved it, they should be honest about that. Councilmember Torgeson said there would have been Open Meeting Law problems if they had talked to each other about the topic. He spoke of those able to run for Council based on salary, then discussed being attacked, vitriol, and other costs of service. He spoke of predecessors and how some indicated they had left because of the pay and that it also impacted the pool of potential candidates. He noted ways of wasting dollars by some Councilmembers including the cost of lawsuits. Councilmember Tilque said her bottom line was that if it was truly about making sure there were candidates who could afford to run with time and money, it was too late for 2026; therefore, 2027 was the date it should become effective. She said if it were for 2026, the Council was saying that they deserved the raise. Councilmember Bongiovanni spoke of not worrying about the appearance of things, the likelihood of Councilmembers being reelected, and of consequences and benefits of making decisions. He said he would not make a decision based on appearance; if they felt it should be adjusted, it should be adjusted. Councilmember Tilque said making the conversation solely on future candidates was not transparent. Councilmember Torgeson spoke of asking for the topic to be considered six months prior, back when candidates were filing to run for Council; he said if it had not been “tanked” it would have done exactly what they were attempting to do. He spoke of there being a parity rule and said if it had been done six months ago, because of parity, everyone would have gotten a raise, adding that was not the intent. He said he was tired of dealing with what was preventing conversation and expressed other frustrations. Councilmember Buchli said she agreed with Councilmember Bongiovanni and was a little offended with some of Councilmember Tilque’s comments. She said the four people coming into the Council in 2025 would benefit from the change. She said she was most bothered that she and Councilmembers Bongiovanni and Torgeson were not mentioned for running their own businesses and their time commitments. She noted being a Councilmember was a full-time job. She added she was not happy with how the item got delayed and was presented, but said it was presented that way because they could not get attention any other way. Councilmember Bongiovanni agreed with Councilmember Torgeson regarding how it would have been different if taken care of sooner. He said service was a privilege and honor, then discussed the potential for hidden agendas when serving for free. Vice Mayor Anderson said the purpose of the study session was to receive data so there could be debate during a forthcoming public hearing. Mayor Peterson discussed how it was important to mention former Councilmembers and what they did for a living in order to speak to the quality of those who had served. She spoke of time spent by herself and others while serving and reasons others may have left, including pay and retirement plans. She discussed being accountable to commitment if they were going to increase pay. She provided slides showing a Town of Queen Creek agenda with Committee Reports being at the beginning of the meeting, right after proclamations, showing events and meetings that month and the names of those who attended. She provided a list of events and meetings in May for the Gilbert Council and proposed moving that portion of the meeting to the beginning when more people were present. She said there was a misnomer that it did not take a lot of time to be on the Council, noting it was not the same for everyone. She said she did not want it to be seen as negative to those serving before them, noting the need to show people what the role entailed. She said she understood the reasoning for an increase in pay, but she did not think it should go to the level recommended; it was way more than the community should be expected to pay those on the dais. She said the rest would be discussed during the public hearing portion of the Regular Meeting, then noted if they increased pay, it also increased the amount paid into retirement and other factors for final compensation. She said her total compensation was $80,000 for a salary of $43,000, despite not taking health insurance. Councilmember Bongiovanni agreed to providing a listing of the events and meetings that the Councilmembers attended to the public. Mayor Peterson noted the Council also needed to consider how to track and handle events that were paid for but not attended by a Councilmember, stating there was still a cost to the community. ADJOURN Mayor Peterson adjourned the meeting at 6:25 p.m. ATTEST: ___________________________ ___________________________________ Brigette Peterson, Mayor Chaveli Herrera, Town Clerk CERTIFICATION I hereby certify that the foregoing minutes are a true and correct copy of the minutes of the Study Session of the Town Council of the Town of Gilbert held on the 18th day of June, 2024. I further certify that the meeting was duly called and held and that a quorum was present. Dated this __________ day of ______________, 2024. ___________________________________ Chaveli Herrera, Town Clerk Pfost