HomeMy WebLinkAbout6.i. Fire Department Pay�ROSEMOUNT EXECUTIVE SUMMARY
CITY COUNCIL
City Council Regular Meeting: March 19, 2013
AGENDA ITEM: Fire Department Pay
AGENDA SECTION:
PREPARED BY: Dwight Johnson, City Administrator
AGENDA NO.
ATTACHMENTS: Proposed pay schedule; packet
information from March 13th work
APPROVED BY:
session
RECOMMENDED ACTION: Approve an increase in pay for firefighters from $6 per call to
$10 per call and an increase in officer stipends of approximately 10% as shown on the
attached proposal, retroactive to January 1, 2013
BACKGROUND
The Council has been reviewing Fire Department compensation nearly two years, and more specifically a
proposed increase in 2013 over the past two months. Rosemount, like a number of other cities, is trying
to recruit and retain paid -on -call firefighters. Our goal for a number of years has been 50 paid -on -call
firefighters, but this goal has never been achieved despite ongoing recruiting efforts. Even with one of the
highest fire pension benefits in the area, overall firefighter compensation continues to lag compared with
both neighboring cities and cities throughout the metro area. Even with the proposed increases,
Rosemount will not exceed the overall compensation of most area cities that we have surveyed. Officers
receive stipends in addition to their pay for responding to calls. The largest stipend is for the Chief at
$9,300 per year. These stipends have not been adjusted since 2006. Rosemount continues to have one of
the lowest cost Fire Departments on a per capita basis in Minnesota.
DISCUSSION
In order to aid both recruiting and retention as well as more closely match compensation levels for other
area departments, the Fire Department and staff have recommended an increase in firefighter pay from $6
per call to $10 per call. In addition, stipends for the officers are recommended to increase about 10% with
some minor variations. At the March 13`h work session, the Council directed that these proposals be
placed on this agenda for action. If approved, they would be retroactive to January 1, 2013. Since the Fire
Department is paid quarterly, action at this meeting would be timely for the first quarter fire department
payroll.
RECOMMENDATION
Staff recommends approval of the attached proposal for Fire Department pay increases to be effective as
of January 1, 2013.
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��C)ISEMOUl r 1 EXECUTIVE MMA
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CITY COUNCIL
City Council Work Session Meeting: March 13, 2013
AGENDA ITEM: Fire Department compensation
AGENDA SECTION:
� tM
PREPARED BY: Dwight Johnson, City Administrator
AGENDA NO. 2 L
ATTACHMENTS: Firefighter pay rates, Firefighter total
compensation, Fire Department
expenditures per capita, Memo on
APPROVED BY:
possible longer range needs, memo from
Chief Aker, information from February
work session
RECOMMENDED ACTION: Discussion only
BACKGROUND
A proposal to increase fire department pay from $6 to $10 per call and generally increase officer stipends
by 10% was budgeted for 2013 and discussed at the February work session. Council members asked for
revisions, expansions, reorganization and updates on the data presented at that time.
DISCUSSION
The attachments show that more cities have now been added for comparison purposes. The cities have
been divided into two groups: cities near us and cities similar in size and structure to us throughout the
metro area. For each group, we are now showing the mean, median, high and low results next to
Rosemount for each category. Also, all information in the attached charts is no older than 2012 and much
of it is 2013. The exception is that 2010 Census data is used for population. Finally, we have provided a
discussion and some calculations of potential future costs of a duty crew and full-time staff. Chief Aker
has provided additional information on these topics.as well.
SUMMARY
Council members should review the data and direct staff regarding changes in compensation for the Fire
Department. Discussion regarding the Fire Relief Association will be planned for a future meeting. If
Council members believe that significant additional information or analysis is needed, consideration should
be given to hiring a consultant as Chanhassen has done recently.
FIREFIGHTER COMPENSATION RATES
Population
On Call Pay Pension per
per hr. unless noted Year of Service
6.00 per call 6,900
(2010 census)
Rosemount current
21,874
Rosemount proposed
10.00 per call
6,900
Rosemount estimated
6,900
per hour based on $30
NEARBY CITIES
Apple Valley
49,084
13.99
6,400
Lakeville
55,954
10.00
6,417
Farmington
21,086
10.21
4,575
Eagan (per call)
64,206
15.00
6,716
Inver Grove Heights 33,880 11.50 5,800
Hastings 22,491 13.00 4,000
Average Nearby Cities 41,117 12.28 5,651
Median Nearby Cities 41,482 12.25 6,100
High 64,206 13.99 6,716
Low 21,086 10.00 4,000
Rosemount proposed 21,874 10.00 6,900
SIMILAR CITIES
Chanhassen
22,952
9.00
5,050
Cottage Grove
34,589
11.00
3,600
Golden Valley
20,371
14.40
6,700
Hopkins
17,591
13.52
7,000
New Brighton
21,456
13.55
5,600
Prior Lake
22,796
11.00
6,500
Shakopee
37,076
10.00
7,500
Stillwater
18,225
11.25
5,000
Farmington
21,086
10.21
4,575
Inver Grove Heights
33,880
11.50
5,800
Hastings 22,172 13.00 4,000
Average Similar Cities 24,745 11.68 5,575
Median Similar Cities 22,172 11.25 5,600
High 37,076 14.40 7,500
Low 17,591 9.00 3,600
Rosemount proposed 21,874 10.00 6,900
FIREFIGHTER TOTAL COMPENSATION -20 YEAR CAREER
Note: All data is 2012 -2013 except population is 2010 Census.
Sources: Staff survey and League of Minnesota Cities website
Population
On Call Pay
Pension
Total
Career Comp
(2010 census)
Payment
Compensation
per hour
Rosemount current
21,874
35,478.26
138,000.00
173,478.26
22.67
Rosemount $10 /call
21,874
59,130.43
138,000.00
197,130.43
25.76
NEARBY CITIES
Apple Valley
49,084
107,051.48
128,000.00
235,051.48
30.72
Lakeville
55,954
76,520.00
128,340.00
204,860.00
26.77
Farmington
21,086
78,126.92
91,500.00
169,626.92
22.17
Eagan
64,206
88,695.65
134,320.00
223,015.65
29.14
Inver Grove Heights
33,880
87,998.00
116,000.00
203,998.00
26.66
Hastings
22,491
99,476.00
80,000.00
179,476.00
23.45
Average Nearby Cities 41,117 89,645 113,027 202,671 26.49
Median Nearby Cities 41,482 88,346 122,000 223,517 29.21
High 64,206 107,051 134,020 261,856 34.22
Low 21,086 76,520 80,000 189,189 24.72
Rosemount proposed 21,874 59,130 138,000 197,130 25.76
SIMILAR CITIES
Chanhassen 22,952 68,868.00 101,000 169,868.00 22.20
84,172.00
Cottage Grove
34,589
72,000
156,172.00
20.41
Golden Valley
20,371
110,188.80
134,000
244,188.80
31.91
Hopkins
17,591
103,455.04
140,000
243,455.04
31.82
New Brighton
21,456
103,684.60
112,000
215,684.60
28.19
Prior Lake
22,796
84,172.00
130,000
214,172.00
27.99
Shakopee
37,076
76,520.00
150,000
226,520.00
29.60
Stillwater
18,225
86,085.00
100,000
186,085.00
24.32
Farmington
21,086
78,126.92
91,500
169,626.92
22.17
Inver Grove Heights
33,880
87,998.00
116,000
203,998.00
26.66
Hastings 22,172 99,476.00 80,000 1 179,476.001 23.45
Average Similar Cities 24,745 89,341 111,500 200,841 26.25
Median Similar Cities 22,172 86,085 112,000 226,032 26.66
High 37,076 137,779 150,000 271,779 31.91
Low 17,591 86,112 72,000 177,248 20.41
Rosemount proposed 21,874 59,130 138,000 197,130 25.76
Note: All data is 2012 -2013 except population is 2010 Census.
Sources: Staff survey and League of Minnesota Cities website
FIRE DEPARTMENT EXPENDITURES
PER CAPITA
Population
Fire Expendiures
(2010 census)
2013 Fire Budget
Per Capita
Rosemount
21,874
437,000
19.98
NEARBY CITIES
Apple Valley
49,084
1,960,500.00
39.94
Lakeville (2012)
55,954
1,407,095.00
25.15
Farmington
21,086
1,090,716.00
51.73
Eagan
64,206
1,897,400.00
29.55
Inver Grove Heights
33,880
1,377,000.00
40.64
Hastings* 22,491 3,221,776.00 143.25
Average Nearby Cities 41,117 1,825,748 55.04
Median Nearby Cities 41,482 1,652,247 40.29
High 64,206 3,221,776 143.25
Low 21,086 1,090,716 25.15
Rosemount 21,874 437,000 19.98
SIMILAR CITIES
-
Chanhassen
22,952
757,300.00
32.99
Cottage Grove (2012)
34,589
837,585.00
24.22
Golden Valley
20,371
1,591,200.00
78.11
Hopkins (2012)
17,591
855,424.00
48.63
New Brighton
21,456
845,000.00
39.38
Prior Lake
22,796
857,539.00
37.62
Shakopee
37,076
1,792,325.00
48.34
Stillwater (2012)
18,225
1,352,010.00
74.18
Farmington
21,086
1,090,716.00
51.73
Inver Grove Heights
33,880
1,377,000.00
40.64
Hastings* 22,172 3,221,776.00 145.31
Average Similar Cities 24,745 1,325,261.36 56.47
Median Similar Cities 22,172 1,090,716.00 48.34
High 37,076 3,221,776.00 145.31
Low 17,591 757,300.00 24.22
Rosemount 21,874 437,000.00 19.98
*Hastings has 14 FT and provides ALS ambulance service with $1.78m in fees.
%D EXECUTIVE SUMMARY
CITY COUNCIL
City Council Work Session: March 13, 2013
AGENDA ITEM: Long range Fire Department Budget
Discussion
AGENDA SECTION:
PREPARED BY: Dwight Johnson, City Administrator
AGENDA NO.
ATTACHMENTS:
APPROVED BY:
0 4J
RECOMMENDED ACTION: Discussion only.
BACKGROUND
At the February 13'h work session, Council members requested an analysis of impacts on future Fire
Department budgets if either a full-time staff member is added and /or a duty crew concept is
implemented.
For purposes of analysis, we have assumed that a future full-time staff member would be a full time Fire
Chief. A duty crew is a concept where a few paid on call firefighters sign up for shifts of 2 -4 hours each
during normal work hours (8 a.m. to 5 p.m. M -F) to help assure daytime response. They get an hourly rate
similar to their paid on call rate for the hours they work and get some credit for meeting the required
percentage of calls response. For this memo, we are assuming that a duty crew would consist of two
firefighters filling daytime shifts. It is possible a dozen or more different firefighters might sign up for one
or more duty crew shifts per month.
DISCUSSION
Before discussing the details, it has not been determined that either a full-time chief or a duty crew is
necessary at this time. In our Chief selection process, we had four capable candidates, all of whom
represented that they have the necessary time to devote to the job. This suggests that the need for a full-
time chief may be at least three years away, since the Chiefs position has a three year term. Chief Aker has
submitted information that indicates that 17% of all calls had less than 10 firefighters responding, but only
1% had fewer than five responding. There is some anecdotal evidence that firefighters tend to respond to
some degree according to the information details in the call and self - evaluate the need for a major
response. And, before any Duty Crew is implemented, the City could look at the number and kind of
medical calls to which we respond, especially if HealthEast continues to improve its ambulance response
time. We may also be able to share a Duty Crew with one or more neighboring cities. Finally we may
have some future potential for regular City employees to provide daytime response. It is wise, however, to
be ready for any future contingency if some unforeseen change in the Fire Department, the community, or
something external occurs such as a new government mandate.
The cost of a full-time Chief would be estimated at $130,000 per year, based on a review of salaries and
benefits in other communities. However, the City already budgets a stipend for the Chief who also
receives paid -on -call compensation based on the number of calls answered. A full-time chief would not
also be paid a stipend or receive on -call pay. Therefore, the net new cost of a Fire Chief is estimated at
$117,000. Other options might include hiring a half -time salaried Chief if qualified candidates could be
found or phasing in a full-time chief over two budget years to mitigate the immediate budget impact.
It is assumed that a duty crew would supplement and not replace current day time response. Therefore,
this analysis assumes that two weekday slots would be filled from 8 a.m. to 5 p.m. Monday through Friday.
Since most firefighters probably do not work their full-time jobs on national holidays, we further assume
that the duty crews are needed during the daytime hours for 250 days per year (52 weeks x 5 days /week
less 10 holidays)
The calculation of the cost of a duty crew can be summarized as follows:
9 hours per day x two firefighters at a time = 18 hours per day
18 hours per day x 250 days x $10 /hr.= $45,000 per year
There would some savings in night -time and weekend call response, since the people serving on duty
crews would be less likely to respond if their requirements are mostly met through duty crew assignments.
On the other hand, there is some administrative cost for someone to fill the shifts and supervise the
activities of the duty crew members when they are not out on calls. Typical duties include minor
equipment and station maintenance, fire prevention activities, public education and fire pre - planning for
larger buildings in the community. While these costs tend to cancel out, the costs of supervision are
probably greater than the savings in night and weekend response. Therefore, rounding up, we would
estimate the cost of a two person duty crew program at about $50,000 per year.
BUDGETIMPACT
If we hire a full-time Chief and implement a duty crew, the total budget impact would be about $167,000.
These expenditures would be in the General Fund of the City which currently receives 79% of its revenue
from property taxes. This amount is equal to 1.56 percent of the General Fund. This may or not require
an overall property tax increase depending on many other conditions in the budget at that time. For
example, the budgeted amount for Fire Department salaries has increased by $115,407 from 2011 to 2013,
but the City's total levy decreased by $502,457 during that time.
SUMMARY
The timing and need for a full-time Chief or a Duty Crew is uncertain, and in the case of the Duty Crew
concept, there are several management strategies to consider before implementation. Based on our
current Fire Chief selection process, we may not need a full-time Chief for 3 -6 years. Daytime response
should be monitored and a Duty Crew may be needed sooner, depending somewhat on the level of service
the Council wishes to provide and unknown future events.
The cost of a both a full time Chief and a Duty Crew are estimated at $167.000 in today's dollars. The
source of funding would be the General Fund, which is 79% supported by property taxes. This could add
1.56% to our future tax levy for the Fire Department, but whether or not this would be the cause of an
overall City tax increase in some future year will depend upon many other factors.
2
Firefighter Response During Work Day
Without manually sorting through the 724 calls that the fire department responded to in 2012 it is not
possible to isolate the calls that occurred during normal daytime working hours. It can likely be assumed
that the calls with the fewest number of firefighters responding were during the day. The number of
firefighters at each call was available by looking at past pay information. Below is the number of calls
that occurred with less than 10 firefighters responding.
Firefighters Number of Calls
9 28
8 32
7 32
6 13
5 11
4 5
3 3
2 1
Minimum acceptable number of firefighters responding
The minimum number of firefighters needed to safely and efficiently handle an emergency call varies
greatly with the type of call, location, and department procedures. For a minor medical call that is also
being responded to by the police department, 3 firefighters could be adequate. That number would
increase with a more severe medical call. Additional firefighters would be needed for a vehicle accident.
The need for 15 firefighters would not be uncommon for a structure fire, and weather conditions could
dramatically increase that needed number.
If 10 firefighters are used for an average need at a high priority call, the above data would indicate that
125 calls or 17% fell below what would be desirable. However, at no time during 2012 did we feel that
any calls failed to be handled properly due to the number of firefighters that responded. In other words
the calls with a low turn -out of firefighters were apparently low priority calls requiring minimal
personnel.
Trigger for a Duty Crew Program
The number of firefighters available during the day, call volume, availability by station, and response
time seem to be the triggers that have moved other departments to the duty crew approach during the
day.
Neighboring departments that have duty crews are responding to at least twice as many calls as we are
experiencing in Rosemount. Duty crews can take some of the load off of the day time responders who
are typically few in number compared to the night time responders.
One or two firefighters showing up at each station in a multi station city can be delayed in their
response compared to a response when they are pooled together as a duty crew.
Response time by a paid -on call department is composed of travel time to the station by firefighters in
their person vehicles, and then response to the incident in emergency vehicles. A duty crew could
theoretically reduce that response time to calls by 50% in many situations.
When will there be a need for duty crews
As was mentioned, increased population, increased number of calls, and the need for a 3`d fire station
will all have an impact on the timing of the addition of a duty crew during the day.
An inability to maintain response time, or desire to improve that time and improve the ISO rating would
be decisions that could influence the desire for a duty crew at any time.
A decrease in day -time available firefighters is always a concern, and firefighters are recruited
accordingly. Currently we have firefighters who are retired, work second shift, have rotating days off,
have early start and end times to their work day, and can leave work to respond to calls. This number
can change at any time. Of the 9 firefighters who recently left the department or will soon, 6 of those 9
were available for day time response. Additionally 7 of those 9 were experience officers with the
department.
I do not believe a duty crew is warranted at the present time, but the factors that have an influence on
that need should be monitored, as they have changed somewhat already, and have the potential to
change quickly.
Size of duty crew
Some duty crews are used as a supplement to a paged response by the other paid -on call firefighters.
That number can be as few as 2 firefighters on the duty crew.
Some cities utilize their duty crews as a replacement to paging the paid -on -call firefighters during the
day. A crew of 3 -4 is able to handle a majority of medical calls, fire alarms, CO calls, lift assists, and calls
requiring a minimal amount of personnel.
Cost to provide duty crews
Duty crews are paid at the department's hourly rate, or if given a stipend for calls, are paid that stipend
each hour effectively making it an hourly rate. The number of hours per day varies by department.
A neighboring department utilizes duty crews on week days. They operate from 8AM to 513M. Those 9
hours are divided into two 4 % hours shifts with 2 firefighters on duty each shift to supplement the
paged response. The cost would be:
4 firefighters per day X 4 %: hours X 5 days a week X hourly rate X 52 weeks = Annual cost
If a department uses duty crews as a replacement to paging the rest of the firefighters there is some
cost recovery to the salaries paid to the duty crews. However, a replacement crew would typically
involve more than 2 firefighters so although there is some cost recovery there is also additional expense
when the replacement model is used.
Additional Information
While on duty the duty crews are working. They are doing maintenance, routine inspection of
equipment and vehicles, station housekeeping, fire prevention activities, inspections, preplans,
providing assistance to the Fire Marshall, etc.
There does need to be someone responsible for the logistics that are needed to operate a duty crew.
Someone needs to be responsible for scheduling firefighters and assigning work each day. There is
sometimes a cap on the number of hours a firefighter may work on a duty crew. At the present time an
eye is being kept on the effect that Obama Care may have on the requirement to provide medical
benefits if a firefighter works more than a certain number of hours in a week.
If a duty crew is used to replace firefighters as was mentioned earlier, someone needs to monitor
staffing levels and be in contact with the dispatching agency daily. The dispatching agency needs to
know if they should be assigning calls to the duty crew, or paging the paid -on -call firefighters. This could
even fluctuate mid -day if some shifts are not fully staffed.
ROSEMOUNTEXECUTIVE UT VE SUMMARY
CITY COUNCIL
City Council Work Session Meeting: February 13, 2013
AGENDA ITEM: Fire Department Compensation
AGENDA SECTION:
m
PREPARED BY: Dwight Johnson, City Administrator
AGENDA NO.
ATTACHMENTS: Compensation proposal; Multi -City
comparison chart
APPROVED BY:
RECOMMENDED ACTION: Consider compensation changes for Fire Department personnel
BACKGROUND
For nearly two years, the Council has been reviewing Fire Department compensation. The purpose of the
ongoing review is primarily to help assure that the Fire Department can attract and maintain enough paid
on call firefighters to continue to provide effective service to Rosemount for years to come. We are also
seeking to be competitive in total compensation (including pension) with neighboring cities. Last year, the
Council approved an increase in firefighter pay per call from $2 per call to $6 per call. Market studies
show that we are still behind all other area cities in total compensation. The Fire Department has
recommended additional increases in compensation as shown on the attached chart. Generally, the
recommendation shows firefighter pay increasing from $6 to $10 per call and increases in the stipend for
officers of about 10% (slightly more for the Lieutenant and Training Assistant). The last time pay was
adjusted for the officers was in 2006.
DISCUSSION
Staff has reviewed the Fire Department's recommendations relative to the total compensation practices of
other nearby cities. Rosemount has a higher pension benefit than the other cities, but also by far the
lowest pay. In order to weigh these two items together, we analyzed what a Rosemount firefighter who
serves for 20 years and retires would get in total compensation over that time period in both pay and
pension benefits. We then looked at what this total compensation would be after 20 years in a number of
our neighboring cities as shown in the second attached chart. This chart shows that with the proposed
increase to $10 per call, Rosemount will be much closer, but still somewhat below most of our neighboring
cities in total compensation. The Fire Department Relief Association discussed a $100 per year of service
increase recently, but decided against it for this year.
As discussed in the several recent City budget memos, the City at some point will likely need to consider
adding one or more staff members to the Fire Department and implementing a Duty Crew concept to aid
in day time response, even after implementation of the proposed increases in pay per can and officer
stipends.
For now, the Fire Department's recommendations on pay appear to be a reasonable next step in a longer
range plan to assure the future of our very cost - efficient department. The 2013 Fire Department budget
has sufficient funding to accomodate the proposal.
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Attachment 2
Paid On -Call Firpfiehtp.r
Organization
Andover
"op •
31,298
p- i
518.86
didn't respond accordingly
yes
Chanhassen
23,629
$9.00
$5. 050
no
Co umbia Heights
19' R!
12.84
didn't respond accor ingly
yes -& AC
Cottage Grove
34,000
$11.00
$3,600
yes
Farmington
21,086
$10.21
$4,575
no.
Golden Valley
20,371
14.40
$6,700
yes
Hastings
22,491
13.00
$4,000
yes & AC
Hopkins
17,290
13.52
7,000
yes
Inver Grove Heights
33,600
$11.50
$5,800
yes & AC
New Brighton
22,321
13.55
5,600
yes PSDj
Prior Lake
23,335
11.00
6,500
yes
Ramsey
23,272
$12.88
didn t respond accordingly
yes
flalsu .
,. 7
p� _3.
,.,�
yes
Shakopee
37,000
$10,00
$7,500
Stillwater
18,235
$11.25
$5,0100
yes
Average $12.00 $5,575
6— A�E3r00A-gll 6 ?�G
La 11• 0t0 0 l �r- I I/
U4( $1:091hr- (C�, KID C)
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