The URL can be used to link to this page

Home My WebLink About2017 TDPUD Compensation Study Final Report - BryceBryce Consulting Prepared by Bryce Consulting 3436 American River Drive, Suite 7A Sacramento, CA 95864 916-974-0199 Presented April 2018 BRYCE CONSULTING TRUCKEE DONNER PUBLIC UTILITY DISTRICT 2017 COMPENSATION STUDY FINAL REPORT TABLE OF CONTENTS Section I - Introduction 3 Section II - Compensation Study Survey Parameters 5 Section III - Compensation Survey Results 8 Section IV - Salary Setting Methodology 17 Appendix A – Detailed Datasheets A B – Miscellaneous Benefit Data B C – Salary Recommendations C Truckee Donner PUD – 2017 Compensation Study Page 3 SECTION I - INTRODUCTION The Truckee Donner Public Utility District retained Bryce Consulting to conduct a compensation study involving unrepresented positions. This report presents the compensation study results and recommendations for the District. This introductory section of the report addresses the compensation study objectives and methodology. This report includes: Section I Introduction Section II Compensation Survey Parameters Section III Compensation Survey Results Section IV Salary Setting Methodology STUDY OBJECTIVES In conducting the compensation phase of the study, Bryce Consulting, had the following major objectives:  Collect and analyze base salary and benefit data for the survey classes.  Develop a salary plan for all unrepresented classes using market data and internal relationships to ensure parity to the labor market and internal equity within the organization.  Prepare and present a comprehensive report outlining the methodology, results, and recommendations. STUDY METHODOLOGY The survey methodology utilized by Bryce Consulting included:  Utilizing the survey agencies’ websites, where available, to collect base salary data and to collect and compare job descriptions, organization charts and position allocation lists to determine comparability.  Contacting the survey agencies to gain clarification and/or collect additional information regarding the classifications and salary and benefit data. Bryce Consulting Truckee Donner PUD – 2017 Compensation Study Page 4 In addition to the collection of base salary and benefit information, careful efforts were made to document the full-range of duties and requirements of the classes as comparable to the District’s corresponding survey classes. This included the collection of:  Reporting relationships  Functional areas of responsibility  The class's relationship to other classes in the series The labor market 75th percentile was calculated, based on past practice, for maximum base salary, total cash (maximum base salary, the employee’s share of retirement paid by the agency, longevity pay at Year 10, and the employer’s contribution towards deferred compensation) and total compensation (total cash elements, plus the agency’s contribution towards cafeteria, health, dental, vision, life and long term disability insurance, the agency’s contribution towards retiree health savings account, less the employer’s share of retirement paid by the employee). The data was collected in October and November 2017. Truckee Donner PUD – 2017 Compensation Study Page 5 SECTION II – COMPENSATION SURVEY PARAMETERS This section of the report presents the compensation survey parameters and includes:  Labor market employers and survey classes  Survey scope  Survey methodology SURVEY EMPLOYERS The overall objective in selecting survey employers is to define as accurately as possible the District’s "Labor Market.” A labor market consists of those employers with whom the District might compete with for employees. The criteria typically utilized in identifying those employers include the following:  EMPLOYER SIZE - As a general rule, the more similar employers are in size and complexity, the greater the likelihood that comparable positions exist within both organizations. Specifically, agencies of similar size to the District are likely to have departmental structures and organization of positions more similar to the District than organizations that are significantly larger or smaller in size.  GEOGRAPHIC PROXIMITY - Geographic proximity is another factor utilized in identifying an appropriate labor market. This factor is particularly important because it identifies those employers that the District must directly compete with to recruit and retain quality staff.  NATURE OF SERVICES PROVIDED - As a general rule, similar organizations are selected as survey employers, because they provide similar services. This is important for the following reasons:  Employers who provide similar services are most likely to compete with one another for employees.  These employers are most likely to have comparable jobs.  These employers are most likely to have similar organizational characteristics. Bryce Consulting Truckee Donner PUD – 2017 Compensation Study Page 6 LABOR MARKET Table 1 displays the survey agencies identified by the District. All of the agencies surveyed were able to participate in the process. Table 1 Survey Agencies City of Alameda City of Healdsburg City of Palo Alto City of Redding City of Roseville City of Santa Clara City of Ukiah Contra Costa Water District Incline Village General Improvement District North Tahoe Public Utility District Plumas Sierra Rural Electric Cooperative South Tahoe Public Utility District Tahoe City Public Utility District Town of Truckee Truckee Meadows Water Authority Truckee Sanitary District SURVEY CLASSES All of the District’s unrepresented classifications were included in the survey. Table 2 displays the survey classifications. Table 2 Survey Classifications Assistant General Manager/Power Supply Engineer/Electric Utility Manager Associate Electric Engineer Customer Service Manager Director of Administrative Services Electric Engineer Electric Superintendent Electric System Engineer Electric Utility Manager Executive Assistant/District Clerk Finance/Accounting Manager Bryce Consulting Truckee Donner PUD – 2017 Compensation Study Page 7 Table 2 Survey Classifications GIS Coordinator Human Resources Risk Manager IT/IS/GIS Operations Manager IT/SCADA Engineer Network and Systems Administrator Program Manager-Customer Services/Conservation Public Information and Strategic Affairs Manager Senior Accountant/Analyst Special Projects Administrator Water Engineer Water Superintendent Water System Engineer Water Utility Manager SURVEY SCOPE The scope of the survey included the labor market agencies presented in this report. The data collected for each survey classification included:  Title of comparable class  Minimum and maximum monthly salary (for both new Classic members and PEPRA employees)  Longevity Pay at Year 10  Employer pick-up of the employee contribution for retirement (for both new Classic members and PEPRA employees)  Employer contribution towards deferred compensation (for both new Classic members and PEPRA employees)  Education/Certification Pay  Employer contribution towards cafeteria plan, health, dental, vision insurance  Employer paid life insurance  Employer paid long term disability insurance  Retiree Health Savings Account contribution  Employee pick-up of employer contribution for retirement (for both new Classic members and PEPRA employees)  Cost of living information including date and amount of last and next cost of living increase.  Retirement benefit, formula and employer’s rate  Retiree health benefit information  Paid leave (vacation, sick leave, holidays, administrative/management leave) Truckee Donner PUD – 2017 Compensation Study Page 8 SECTION III – COMPENSATION SURVEY RESULTS This section of the report presents the compensation survey findings. As indicated in the previous section, the survey involved the collection of compensation information for each of the survey classes from the labor market employers identified. Table 3 displays the comparability for each survey classification out of 16 survey agencies. It should be noted that those classifications with three or fewer matches are reported as insufficient data and it is not recommended that those classifications be surveyed in the future studies due to limited comparability. Table 3 Comparability Survey Classifications Number of Comparable Matches Assistant General Manager/Power Supply Engineer/ Electric Utility Manager 8 Associate Electric Engineer 2* Customer Service Manager 6 Director of Administrative Services 15 Electric Engineer 6 Electric Superintendent 7 Electric System Engineer 4 Electric Utility Manager 6 Executive Assistant/District Clerk 12 Finance/Accounting Manager 11 GIS Coordinator 7 Human Resources Risk Manager 13 IT/IS/GIS Operations Manager 9 IT/SCADA Engineer 2* Network and Systems Administrator 9 Program Manager-Customer Services/Conservation 3* Public Information and Strategic Affairs Manager 4 Senior Accountant/Analyst 10 Special Projects Administrator 1* Water Engineer 8 Water Superintendent 6 Water System Engineer 11 Water Utility Manager 6 *Insufficient Data Bryce Consulting Truckee Donner PUD – 2017 Compensation Study Page 9 BASE SALARY SURVEY RESULTS The data has been organized into a number of tables that summarize the District’s relationship to the labor market for each class. The detailed compensation survey data sheets are presented in Appendix A of this report. Table 4 summarizes, for each classification, how the District’s maximum base salaries compare to the labor market. The following data is presented:  Title of the District’s classification.  The District’s current maximum base salary for Classic and PEPRA employees.  The labor market 75th percentile for maximum monthly base salary for Classic and PEPRA employees.  Percentage the District’s maximum base salary is above or below the 75th percentile of the labor market for Classic and PEPRA employees. TABLE 4 BASE SALARY RESULTS Survey Classification Classic PEPRA Truckee Donner PUD Maximum Base Salary Labor Market 75th Percentile Base Salary % Truckee Donner PUD Is Above or Below Labor Market 75th Percentile Truckee Donner PUD Maximum Base Salary Labor Market 75th Percentile Base Salary % Truckee Donner PUD Is Above or Below Labor Market 75th Percentile Assistant General Manager/Power Supply Engineer/Electric Utility Manager $17,420 $23,851 -36.92% $17,420 $23,851 -36.92% Associate Electric Engineer $10,440 Insuff Data --- $10,440 Insuff Data --- Customer Service Manager $8,798 $11,609 -31.95% $8,798 $11,609 -31.95% Director of Administrative Services $13,649 $16,014 -17.32% $13,649 $16,014 -17.32% Electric Engineer $10,962 $13,439 -22.59% $10,962 $13,439 -22.59% Electric Superintendent $12,999 $13,551 -4.25% $12,999 $13,551 -4.25% Electric System Engineer $13,649 $13,751 -0.75% $13,649 $13,751 -0.75% Electric Utility Manager $15,048 $16,323 -8.47% $15,048 $16,323 -8.47% Executive Assistant/District Clerk $7,066 $8,982 -27.12% $7,066 $8,982 -27.12% Finance/Accounting Manager $10,962 $11,661 -6.38% $10,962 $11,661 -6.38% GIS Coordinator $9,469 $9,320 1.57% $9,469 $9,320 1.57% Human Resources Risk Manager $9,943 $11,667 -17.34% $9,943 $11,667 -17.34% Bryce Consulting Truckee Donner PUD – 2017 Compensation Study Page 10 TABLE 4 BASE SALARY RESULTS Survey Classification Classic PEPRA Truckee Donner PUD Maximum Base Salary Labor Market 75th Percentile Base Salary % Truckee Donner PUD Is Above or Below Labor Market 75th Percentile Truckee Donner PUD Maximum Base Salary Labor Market 75th Percentile Base Salary % Truckee Donner PUD Is Above or Below Labor Market 75th Percentile IT/IS/GIS Operations Manager $12,085 $13,333 -10.33% $12,085 $13,333 -10.33% IT/SCADA Engineer $9,943 Insuff Data --- $9,943 Insuff Data --- Network and Systems Administrator $9,469 $10,937 -15.50% $9,469 $10,937 -15.50% Program Manager- Customer Services/Conservation $9,018 Insuff Data --- $9,018 Insuff Data --- Public Information and Strategic Affairs Manager $13,324 $13,690 -2.75% $13,324 $13,690 -2.75% Senior Accountant/Analyst $9,469 $9,174 3.12% $9,469 $9,174 3.12% Special Projects Administrator $9,943 Insuff Data --- $9,943 Insuff Data --- Water Engineer $10,440 $10,497 -0.55% $10,440 $10,497 -0.55% Water Superintendent $10,962 $12,562 -14.60% $10,962 $12,562 -14.60% Water System Engineer $13,990 $11,661 16.65% $13,990 $11,661 16.65% Water Utility Manager $13,649 $16,970 -24.33% $13,649 $16,970 -24.33% TOTAL CASH SURVEY RESULTS Total cash represents the maximum base salary, the employee’s share of retirement paid by the agency, longevity pay at Year 10, and the employer’s contribution towards deferred compensation. Table 5 displays, for each classification, how the District compares to the labor market with respect to total cash. The following data is presented:  Title of the District’s classification.  The District’s current total cash for each classification for Classic and PEPRA employees.  The labor market 75th percentile for total cash for Classic and PEPRA employees.  Percentage the District’s total cash is above or below the 75th percentile of the labor market for Classic and PEPRA employees. Bryce Consulting Truckee Donner PUD – 2017 Compensation Study Page 11 TABLE 5 TOTAL CASH RESULTS Survey Classification Classic PEPRA Truckee Donner PUD Total Cash Labor Market 75th Percentile Total Cash % Truckee Donner PUD Is Above or Below Labor Market 75th Percentile Truckee Donner PUD Total Cash Labor Market 75th Percentile Total Cash % Truckee Donner PUD Is Above or Below Labor Market 75th Percentile Assistant General Manager/Power Supply Engineer/Electric Utility Manager $17,778 $25,590 -43.94% $18,959 $24,511 -29.28% Associate Electric Engineer $10,666 Insuff Data --- $11,374 Insuff Data --- Customer Service Manager $8,993 $11,791 -31.10% $9,590 $11,630 -21.27% Director of Administrative Services $13,936 $16,732 -20.06% $14,862 $16,437 -10.60% Electric Engineer $11,198 $14,292 -27.63% $11,942 $13,647 -14.28% Electric Superintendent $13,274 $14,136 -6.49% $14,155 $13,694 3.26% Electric System Engineer $13,936 $14,073 -0.98% $14,862 $13,830 6.94% Electric Utility Manager $15,362 $17,574 -14.40% $16,382 $16,808 -2.60% Executive Assistant/District Clerk $7,229 $9,548 -32.08% $7,708 $9,089 -17.92% Finance/Accounting Manager $11,198 $12,250 -9.39% $11,942 $12,250 -2.59% GIS Coordinator $9,677 $9,592 0.88% $10,319 $9,456 8.36% Human Resources Risk Manager $10,160 $11,688 -15.04% $10,834 $11,688 -7.88% IT/IS/GIS Operations Manager $12,343 $14,133 -14.51% $13,162 $14,133 -7.38% IT/SCADA Engineer $10,160 Insuff Data --- $10,834 Insuff Data --- Network and Systems Administrator $9,677 $11,287 -16.64% $10,319 $11,265 -9.17% Program Manager- Customer Services/Conservation $9,218 Insuff Data --- $9,829 Insuff Data --- Public Information and Strategic Affairs Manager $13,605 $14,549 -6.94% $14,508 $14,475 0.23% Senior Accountant/Analyst $9,677 $9,645 0.33% $10,319 $9,645 6.53% Special Projects Administrator $10,160 Insuff Data --- $10,834 Insuff Data --- Water Engineer $10,666 $10,565 0.95% $11,374 $10,565 7.12% Water Superintendent $11,198 $12,581 -12.35% $11,942 $12,617 -5.66% Bryce Consulting Truckee Donner PUD – 2017 Compensation Study Page 12 TABLE 5 TOTAL CASH RESULTS Survey Classification Classic PEPRA Truckee Donner PUD Total Cash Labor Market 75th Percentile Total Cash % Truckee Donner PUD Is Above or Below Labor Market 75th Percentile Truckee Donner PUD Total Cash Labor Market 75th Percentile Total Cash % Truckee Donner PUD Is Above or Below Labor Market 75th Percentile Water System Engineer $14,284 $11,774 17.57% $15,232 $11,774 22.70% Water Utility Manager $13,936 $18,128 -30.08% $14,862 $17,831 -19.98% TOTAL COMPENSATION SURVEY RESULTS Total compensation represents the total cash elements, plus the agency’s contribution towards cafeteria, health, dental, vision, life and long term disability insurance, the agency’s contribution towards retiree health savings account, less the employer’s share of retirement paid by the employee. Table 6 displays, for each classification, how the District compares to the labor market. The following data is presented:  Title of the District’s classification.  The District’s current total compensation for each classification for Classic and PEPRA employees.  The labor market 75th percentile for total compensation for Classic and PEPRA employees.  Percentage the District’s total compensation t is above or below the 75th percentile of the labor market for Classic and PEPRA employees. TABLE 6 TOTAL COMPENSATION RESULTS Survey Classification Classic PEPRA Truckee Donner PUD Total Compensation Labor Market 75th Percentile Total Compensation % Truckee Donner PUD Is Above or Below Labor Market 75th Percentile Truckee Donner PUD Total Compensation Labor Market 75th Percentile Total Compensation % Truckee Donner PUD Is Above or Below Labor Market 75th Percentile Assistant General Manager/Power Supply Engineer/Electric Utility Manager $21,602 $26,536 -22.84% $22,783 $26,536 -16.47% Associate Electric Engineer $14,373 Insuff Data --- $15,080 Insuff Data --- Customer Service Manager $12,572 $13,726 -9.17% $13,169 $13,656 -3.70% Director of Administrative Services $17,702 $19,039 -7.56% $18,627 $19,191 -3.02% Electric Engineer $14,922 $15,758 -5.60% $15,666 $15,758 -0.59% Bryce Consulting Truckee Donner PUD – 2017 Compensation Study Page 13 TABLE 6 TOTAL COMPENSATION RESULTS Survey Classification Classic PEPRA Truckee Donner PUD Total Compensation Labor Market 75th Percentile Total Compensation % Truckee Donner PUD Is Above or Below Labor Market 75th Percentile Truckee Donner PUD Total Compensation Labor Market 75th Percentile Total Compensation % Truckee Donner PUD Is Above or Below Labor Market 75th Percentile Electric Superintendent $17,029 $16,150 5.16% $17,911 $16,150 9.83% Electric System Engineer $17,702 $16,610 6.17% $18,627 $16,610 10.83% Electric Utility Manager $19,149 $19,963 -4.25% $20,169 $19,963 1.02% Executive Assistant/District Clerk $10,673 $11,458 -7.35% $11,152 $11,458 -2.74% Finance/Accounting Manager $14,922 $15,048 -0.84% $15,666 $15,157 3.25% GIS Coordinator $13,308 $12,539 5.78% $13,950 $12,245 12.22% Human Resources Risk Manager $13,828 $13,875 -0.34% $14,502 $13,875 4.32% IT/IS/GIS Operations Manager $16,084 $17,923 -11.43% $16,903 $17,923 -6.03% IT/SCADA Engineer $13,828 Insuff Data --- $14,502 Insuff Data --- Network and Systems Administrator $13,308 $13,753 -3.35% $13,950 $13,753 1.41% Program Manager- Customer Services/Conservation $12,813 Insuff Data --- $13,425 Insuff Data --- Public Information and Strategic Affairs Manager $17,366 $18,192 -4.76% $18,269 $18,118 0.83% Senior Accountant/Analyst $13,308 $11,444 14.00% $13,950 $11,444 17.96% Special Projects Administrator $13,828 Insuff Data --- $14,502 Insuff Data --- Water Engineer $14,373 $12,890 10.32% $15,080 $12,936 14.22% Water Superintendent $14,922 $14,715 1.39% $15,666 $14,801 5.52% Water System Engineer $18,054 $14,503 19.67% $19,003 $14,454 23.94% Water Utility Manager $17,702 $20,521 -15.93% $18,627 $20,625 -10.73% Bryce Consulting Truckee Donner PUD – 2017 Compensation Study Page 14 RELATIONSHIP TO THE MARKET For the Classic tier, on average, the District is 11.57% below market for maximum base salary; 13.78% below market for total cash; and 1.63% below market for total compensation. For the PEPRA tier, on average, the District is 11.57% below market for maximum base salary; 4.92% below market for total cash; and 3.27% above market for total compensation. MISCELLANEOUS BENEFIT DATA Appendix B presents the miscellaneous benefit data that was collected including cost of living, retirement practices, tuition reimbursement, pay for performance, retiree health benefits, and leave benefits. COST OF LIVING INCREASE- APPENDIX B – TABLE 1 The District’s last cost of living increase included a 1.45% increase plus a 1.75% negotiated increase. The District’s next cost of living increase is scheduled for January 2018 based on the CPI. With respect to the survey agencies, 13 agencies received an increase in 2017, depending on bargaining unit, ranging from 1.56% to 4%. 11 of the survey agencies have an increase scheduled for the end of 2017 or 2018 ranging from 2% to 4%. RETIREMENT PRACTICES – APPENDIX B – TABLE 2 With the legislative changes related to defined benefit plans within California, the District, as well as all of the survey agencies with a CalPERS plan, has a benefit of 2% @ 62 for PEPRA employees. The District has a CalPERS retirement plan with a benefit of 2.7% @ 55 based on the Average of 3 Last Years for Classic employees. With respect to the survey agencies, 12 have a CalPERS plan, two are a1937 Act agencies, one is in Nevada PERS, and one has a defined contribution plan. With respect to Classic tier retirement benefits:  Six have a benefit of 2.7% @ 55;  Three have a benefit of 2% @ 55;  Two have a benefit of 2% @ 60;  One have a benefit of 2.5% @ 55;  One has a benefit of 2.35% @ 55;  One has a benefit of 1.6% with 31 years of service or at age 62  One has a benefit of 2.25% for each year with the age of retirement based on years of service With respect to Classic tier retirement formulas: Bryce Consulting Truckee Donner PUD – 2017 Compensation Study Page 15  Eight have Single Highest Year;  Five have Highest 3 Year Average;  One has Average of Last 3 Years;  One agency did not provide the data. RETIREE MEDICAL BENEFITS – APPENDIX B – TABLE 3 The District does not contribute to a Retiree Health Savings Account but does contribute to retiree health benefits with 50% of the contribution paid with 10 years of service and an additional 5% for each year of service to a maximum of $475, or $375 if over the age of 65. For retiree plus dependents, the amount is increased to $725. Four of the survey agencies contribute to a Retiree Health Savings Account with the amounts ranging from $100 per month to $3,500 per year. With respect to retiree medical benefits, 10 of the survey agencies contribute to retiree health benefits ranging from the Public Employees’ Medical and Hospital Care Act (PEMHCA) minimum to 100% of the cost of the premiums. Six of the agencies that contribute to retiree health benefits do not contribute for dependents. TUITION REIMBURSEMENT – APPENDIX B – TABLE 4 The District has a tuition reimbursement policy whereby the District may reimburse up to 50% of the costs associated with tuition, fees and books. All of the survey agencies provide some level of tuition reimbursement for some or all of the bargaining units; however, the policy details vary by agency and, in some instance, by bargaining unit. The details are provided in Table 4 of Appendix B. PAY FOR PERFORMANCE – APPENDIX B – TABLE 5 The District does not have a pay for performance plan. 10 of the survey agencies provide some level of pay for performance for some or all of the bargaining units with the details varying as provided in Table 5 of Appendix B. LEAVE BENEFITS – APPENDIX B – TABLES 6 & 7 The District provides 80 hours of vacation at year 1; 120 hours at year 6; 160 hours at year 11; 168 hours at year 21; 200 hours at year 25; and 240 hours at year 30. The District provides 12 days of sick leave with an unlimited accrual, 11 holidays and 64 hours of administrative leave. Bryce Consulting Truckee Donner PUD – 2017 Compensation Study Page 16 With respect to vacation, on average, the labor market provides 88 – 117 hours at year 1; 127 – 150 hours at year 6; 153-170 hour at year 11; 189 – 199 hours at year 21; 198 – 207 hours at year 25; and 201 – 211 hours at year 30. It should be noted that one agency has paid time off whereby vacation and sick leave are combined. With respect to sick leave, 14 agencies provide 12 days, with 11 having an unlimited accrual. The labor market average for holidays is 12. Furthermore, 11 agencies provide administrative leave ranging from 14 hours to 120 hours. Truckee Donner PUD – 2017 Compensation Study Page 17 SECTION IV – SALARY SETTING METHODOLOGY This section of the report presents the salary setting methodology and salary recommendation guidelines for District classes. SALARY SETTING METHODOLOGY In setting salaries for the District, Bryce Consulting has applied consistent compensation principles and practices typically utilized in the public sector as outlined below: 1. The 75th percentile maximum labor market salary adjusted for benefits is used to set the maximum of the salary for the District’s benchmark classification salary. 2. The adjusted labor market 75th percentile is placed on the closest salary range of the District’s salary matrix. 3. Classes where insufficient data was collected are then set to the benchmarks using internal relationship guidelines typically utilized by local government agencies:  Approximately 10% - 15% between entry and journey level classes in a series.  Approximately 10% - 15% between journey and advanced journey level classes in a series.  Approximately 20% between manager and highest level supervised. As a practical matter, there could be occasions when market data will skew internal alignments. In those cases internal alignments may take precedence over market data. SALARY RECOMMENDATIONS Using the above methodology, Bryce Consulting prepared salary recommendations for all District unrepresented classes. The recommended salary plan has been included in Appendix C. It should be noted that the data collected was for 2017; however, any changes made to District salaries will occur in 2018. Therefore, it will be important for the District to not only consider the market data but to also consider a cost of living increase to stay consistent with the market since some of the agencies received an increase in January 2018. APPENDIX A DETAILED DATASHEETS APPENDIX B MISCELLANEOUS BENEFIT DATA APPENDIX C SALARY RECOMMENDATIONS