Board of Directors Regular Meeting Agenda


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Meeting Date: 10/20/2016  

SUBJECT MATTER:
Receive, consider and act upon revisions to The Township Pay Structure;
FISCAL IMPACT:
$13,908 which was included in the 2017 Adopted Budget
BACKGROUND:
The Woodlands Township Board of Directors approved The Woodlands Township Pay Structure in October 2009 as part of the transition between the Community Associations and The Township.  The Board has approved the Pay Structure whenever new positions have been added or positions have changed ranges.  The current Pay Structure was approved in October 2015.
 
In 2009, all positions were reviewed using a Job Evaluation Process implemented and coordinated by Waters Consulting Group.  Supervisors completed a Position Analysis Questionnaire and Job Evaluation Manual for their positions.  A Job Evaluation Team, consisting of members of senior staff, reviewed each Job Evaluation Manual to ensure consistency among positions.  The Job Evaluation Manual consists of compensable factors with weights and points assigned for each job.  The factors and their corresponding weights and points ultimately determine the placement of each job into a Pay Grade within the Pay Structure.  The Job Evaluation Process implemented in 2009 has been used consistently since and whenever revisions are recommended to The Township Pay Structure.
 
During the budget process for 2017, two positions were approved which have not existed in the Township Pay Structure previously.   These positions have been reviewed by the Job Evaluation Team and are recommended for placement into their respective pay ranges:
 
           
Position Pay Range
Assistant Director, CVB 112
Lead Customer Service Representative 205

 
The proposed salary for these positions was included in the 2017 Budget which was adopted by the Board. 
 
The Department of Labor announced revisions to the Fair Labor Standards Act on May 18, 2016.  The revisions raise the minimum salary for a position to be considered Exempt from Overtime from $455/weekly or $23,660/annually to $913/weekly or $47,476/annually.  The salary level will also have automatic adjustments every three years; employers will have to review their exempt positions at least every three years to make sure they are above the FLSA salary level.
 
The Township Exempt Pay Structure contains two pay ranges in which the minimum of the pay range is lower than $47,476.  Exempt positions must not only be compensated higher than the minimum salary level, but also must pass duties’ tests to qualify for certain exemptions.  The Executive Exemption states that employees must customarily and regularly direct the work of at least two or more other full-time employees.  The Administrative Exemption states that an employee’s primary duty must be the performance of non-manual work directly related to the management or general business operations of the employer.  Examples of departments which contain positions which would qualify for the Administrative Exemption are Finance, Human Resources, Information Technology and Purchasing.
 
The Director of Human Resources analyzed each of the sixteen Township positions which did not meet the minimum salary level of $47,476, and made recommendations for these positions to remain exempt or to be reclassified to non-exempt.  Managers and Directors reviewed these recommendations and provided additional insight into the duties and functions of the positions.  Finally, the Township Attorney reviewed and approved each of the affected positions for compliance with the FLSA revisions. 
 
Positions that will remain exempt, and be placed into a pay range with a minimum salary greater than $47,476 are: 

Executive Assistant                                                                     
Revitalization Specialist                                            
Sr. Community Relations Specialist                                                                               
Parks & Recreation Program Coordinator                 
Special Events Coordinator 
Property Compliance Supervisor   
Accounting and Public Information Analyst  
Social Media Marketing Specialist
Benefits Coordinator
Corporate Records Supervisor
Real Estate Records Analyst

Employees, whose current salary is below the minimum of the new pay range, will receive a salary increase to the minimum of the pay range.  The annual cost for these increases is projected to be $13,908.  These increases will become effective December 1, 2016, the effective date named by the Department of Labor.  Costs for the month of December will be $1,159.  Staff included $15,000 in the 2017 Adopted Budget for FLSA revisions.
 
Positions that will be reclassified to non-exempt, and will be placed into a comparable non-exempt pay range are:

Legal Secretary                                                          
Neighborhood Services Program Coordinator                  
Environmental Services Program Coordinator  
Systems/Radio Analyst 
Engineering Technician
Fire Prevention Officer

Employees in these positions will not have their salary reduced as a result of this change.  These positions will become eligible for overtime pay if they work more than 40 hours per week beginning December 1, 2016. 
 
Each of the positions affected by the FLSA revisions was also reviewed by the Job Evaluation Team and recommended for placement into their respective pay range.  The Township Pay Structure is attached for your review and approval.
RECOMMENDATION:
Approve the recommended revisions to The Woodlands Township Pay Structure.
Attachments
2017 Pay Structure


    

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