REQUEST FOR CITY COUNCIL ACTION
SUBMITTED TO: Honorable Mayor and City Council Members
SUBMITTED BY: Michael E. Gates, City Attorney
VIA: Michael E. Gates, City Attorney
PREPARED BY: Michael J. Vigliotta, Chief Assistant City Attorney
Subject:
title
Adopt Resolution No. 2022-82 Modifying Non-Associated Salary Schedule for City Attorney to Adjust for Recent Inflation, Make Compensation More Competitive
body
Statement of Issue:
The City Attorney’s last compensation increase was May of 2019, which by comparison to all other City employees, is the longest period for any employee without an increase in compensation. According to the Bureau of Labor and Statistics, inflation has dramatically increased over those years by nearly 16%, which reduces income by the same amount in contrast. Moreover, the current compensation rate for the City Attorney is not competitive, even with other governments in the area. The City Attorney’s current rate is $117.63/hour, and it is recommended that this rate increase to $140.00/hour to adjust for the dramatic increase in inflation since 2019 and to maintain compensation as competitive.
The City Attorney has been a dedicated, faithful, and successful public servant. In addition to a string of legal wins for the City over the past 8 years, just this year alone Mr. Gates won a large, high profile case at trial defending two of the City’s police officers in a $20,000,000 lawsuit. In addition, the City prevailed in a suit this year against the State of California in which a $5,200,000 decision in favor of Huntington Beach was won, not including another $22,400,000 that is possible to come back to the City. The City Attorney’s work has been very good and he has provided the City with substantial, measurable financial and monetary benefits on the scale of millions of dollars. In addition, the City Attorney’s Office has benefitted from the great leadership of the City Attorney, with the office performing at a level seen in the private sector.
In the City’s recent Class and Comp Study, the City Attorney’s position was not studied and no comparable salaries were provided. However, according to a random sampling of local law firms in Orange County, the City Attorney’s experience and expertise as an experienced manager and trial attorney would provide income of at least $300/hour. While the City Attorney position is not in the private sector, the City’s ability to continue with this high level, high quality legal representation is ensured by providing a respectable, even competitive, salary to the City Attorney’s position.
Comparable Salaries for City Attorney
City of Santa Monica $320,136.00, or $154/hour
City of Long Beach $312,528.00, or $150/hour
City of Anaheim $283,447.00, or $137/hour
City of Newport Beach $275,836.00, or $133/hour
After a study of comparable salaries, it is proposed that compensation for the position of City Attorney be $140.00/hour or $291,200.00/annum. It is also recommended that this rate increase be retroactive to and including July 1, 2022, that the cap on ability to cash out accrued vacation be removed, that 3% automatic increases be given for anticipated inflation for the next two years, and that all other allowances and benefits remain and track according to the Non-Associated agreement(s) with the City.
Financial Impact:
The estimated Fiscal Year 2022/23 impact for the proposal is $60,929 plus any cash out of accrued vacation due to removal of the cap. The additional costs can be absorbed in the City Attorney’s Office Fiscal Year 2022/23 budget.
Recommended Action:
recommendation
Adopt Resolution No. 2022-82, “A Resolution of the City Council of the City of Huntington Beach Modifying Salary and Certain Benefits of the Elected City Attorney.”
end
Alternative Action(s):
Do not adopt Resolution No. 2022-82 Modifying Salary and Certain Benefits of the Elected City Attorney.
Analysis:
The City Attorney, Michael Gates, was elected in 2014. When he took the position, he volunteered to receive compensation at a much lower rate than what his predecessor was making.
The City Attorney’s last compensation increase was May of 2019, which by comparison to all other City employees, is the longest period for any employee without an increase in compensation. According to the Bureau of Labor and Statistics, inflation has dramatically increased over those years by nearly 16%, which reduces income by the same amount in contrast. Moreover, the current compensation rate for the City Attorney is not competitive, even with other governments in the area. The City Attorney’s current rate is $117.63/hour and it is recommended that this rate increase to $140.00/hour to adjust for the dramatic increase in inflation since 2019 and to maintain compensation as competitive.
The pay for the City Attorney position is “set” and “locked” by Resolution of the City Council. Unlike nearly every other City Department Head, the City Attorney’s pay does not automatically progress up the City Council designated pay range. In fact, while other city employees naturally get increases with the passage of time, the City Attorney’s pay does not, it is locked in place until the City Council takes action again.
The City Attorney has been a dedicated, faithful, and successful public servant. In addition to a string of legal wins for the City over the past 8 years, just this year alone Mr. Gates won a large, high profile case at trial defending two of the City’s police officers in a $20,000,000 lawsuit. In addition, the City prevailed in a suit this year against the State of California in which a $5,200,000 decision in favor of Huntington Beach was won, not including another $22,400,000 that is possible to come back to the City.
Moreover, over the last eight years the City Attorney has demonstrated exceptional leadership, great management decision-making, exceptional legal skill and judgment; he implemented office-wide efficiencies and eliminated waste. Under his leadership and through the work of the City Attorney’s Office over the past four and a half years, the City has saved over $150,000,000 in good, smart legal work. As it is now, the City Attorney’s Office of Huntington Beach is as good as any private sector law firm of the same size and is now an example to many other cities, not to mention the City’s relatively new image of strong legal advocacy. It is proposed that the City Attorney compensation be increased to reflect the outstanding legal work that has been accomplished for the taxpayers.
In the City’s recent Class and Comp Study, the City Attorney’s position was not studied and no comparable salaries were provided. However, according to a random sampling of local law firms in Orange County, the City Attorney’s experience and expertise as an experienced manager and trial attorney would provide income of at least $300/hour. While the City Attorney position is not in the private sector, the City’s ability to continue with this high level, high quality legal representation is ensured by providing a respectable, even competitive, salary to the City Attorney’s position.
Comparable Salaries for City Attorney
City of Santa Monica $320,136.00, or $154/hour
City of Long Beach $312,528.00, or $150/hour
City of Anaheim $283,447.00, or $137/hour
City of Newport Beach $275,836.00, or $133/hour
After a study of comparable salaries, it is proposed that compensation for the position of City Attorney be $140.00/hour or $291,200.00/annum. It is also recommended that this rate increase be retroactive to and including July 1, 2022, that the cap on ability to cash out accrued vacation be removed, that 3% automatic increases be given for anticipated inflation for the next two years, and that all other allowances and benefits remain and track according to the Non-Associated agreement(s) with the City.
Environmental Status:
N/A
Strategic Plan Goal:
Non Applicable - Administrative Item
Attachment(s):
1. Resolution No. 2022-82 “A Resolution of the City Council of the City of Huntington Beach Modifying Salary and Certain Benefits for of the Elected City Attorney.”