Kent Mayor Suzette Cooke is set to receive about a $20,000 cash payout when she’s not longer the mayor under what the city calls a management benefits program.
That fact turned up as part of the information gathering by the city’s Independent Salary Commission, a group of five residents who will determine this summer pay hikes for the mayor and City Council.
“That could be a significant fact,” said Greg Haffner, commission chairman, to the rest of the members during a Tuesday meeting.
Becky Fowler, city benefits manager, met with the commission to explain the benefit packages for the mayor and council.
“We are unique in that,” Fowler said about the management benefits, which also are available to city employees in management positions. “There are a few cities that have asked for the policy and a couple of cities have implemented the program but there are quite a few that still don’t have it.”
Kent implemented the management benefits program in the 1980s as a way to provide some extra compensation because department heads, managers and certain other employees are exempt from receiving overtime pay. The mayor also is exempt from overtime pay. The part-time council members are not part of the management benefits program.
Any money in the account can be cashed out when the mayor’s term ends or a mayor leaves office for another reason. Cooke’s latest four-year term ends in two years. It takes about three years under the program to reach the maximum payout. The mayor and employees can use the money to purchase leave or additional medical coverage but most opt for the cash out, according to city staff.
Cooke appointed the five salary commission members earlier this year and the council approved the appointments. The council formerly had the power to give itself and the mayor pay increases, but hasn’t done so for at least 10 years. The board has the power to change salaries and benefits and what it decides will be part of next year’s budget.
Cooke receives a salary of $102,192 per year, the lowest pay among comparable cities of Everett, Bellingham, Renton, Auburn and Federal Way. She also receives $7,332 in medical, dental and vision coverage each year or about $611 per month for her individual coverage.
“We’re not out of line with the other cities for medical, dental and vision,” Haffner said.
The mayor also is part of the state retirement system. The city pays $9,625 each year into the state program. Cooke pays a portion into the fund as well.
Council members can opt in or out of the state retirement system and some are part of it and some are not. The city pays a portion to the state for those members who belong to the retirement plan.
Kent does not pay vehicle allowance to the mayor, but reimburses at about 55 cents per mile. The city of Bellingham pays its mayor $6,000 per year in car allowance.
When asked how the benefits paid to Kent’s mayor compares to other cities, Fowler said for the most part it’s pretty similar.
“I think we’re pretty comparable when it comes to the mayor because she’s treated like an employee and most cities treat their mayors as employees,” she said.
The council, however, must pay the full premium for any medical insurance above their own coverage. Council members are part-time and paid $13,752 per year.
“A number of cities are stepping up and providing full coverage for their council members as well,” Fowler said. “If you want a recommendation from me, I would treat council members just as the mayor.”
Because council members are part-time, their benefits would be reduced based on their salary. The commission asked staff to come back at the next meeting with more details about benefits to the council and how Kent compares to other cities.
The board plans to start discussion at its next meeting on June 4 about what direction it might go as far as changes in pay and benefits for the mayor and council. The members have been receiving a lot of statistics and information during its first four meetings.
Commission member Mizanur Rahman asked city staff for a 10-year trend on city revenue from taxes and general fund budget breakdowns to get an idea about the financial health of Kent and how to possibly tie that into pay increases.
“We want to see how these are performing the last 10 years,” Rahman said about revenue from sales, property and other taxes. “If they are performing in a positive trend then we are comfortable to advise some raises for the mayor and the council. We need to have a basis.”
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