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Exh 27STAFF REPORT City of Atlantic Beach Commission Meeting AGENDA ITEM: Police Officer/Employee Retention Issues DATE: December 27, 2003 SUBMITTED BY: David E. Thompson, Chief of Police/DPS BACKGROUND: Since 1999, the Atlantic Beach Police Department has lost fourteen(14) officers to other law enforcement agencies in northeast Florida, and Atlantic Beach expects to lose several more officers within the next six(6) months. Most of the officers were hired by the Jacksonville Sheriff's Office, which is a continuation of a trend that started in the late 1980s. However,over the past four (4) years, Atlantic Beach has lost officers to the Neptune Beach Police Department, Jacksonville Beach Police Department, Clay County Sheriff's Department, and the State of Florida. Losses to these agencies have been extremely rare in the past. In attempting to reduce the loss of officers to other agencies,the solution is not as simple as merely raising the pay for Atlantic Beach Police Officers. Several years ago when the Palmer and Cay pay plan was implemented,the officers who received the highest pay increases were also the officers who accepted positions with the Jacksonville Sheriff's Office. The increases in pay did not appear to have any significant effect on the loss of officers. The issue of retention is complicated, and there are a variety of factors that have an impact on the loss of personneL Some of factors can be addressed and altered,and some of those factors are simply realities that are not subject to change. The purpose of this report is to discuss some of the factors that impact officer retention, and to provide some realistic solutions for the consideration of the City Commission. In the discussion below, the recommendations for changes are in bold type. Opportunities When officers voluntarily leave the Atlantic Beach Police Department, exit interviews are typically conducted to identify their reasons for leaving. In most cases, the officers have said that the Jacksonville Sheriffs Office provides more opportunities for their professional development. In Jacksonville, there are numerous supervisory positions for which officers can compete. In Atlantic Beach, supervisory positions are limited in number, and the organizational structure is small. In Jacksonville, there are specialized units for officers to join. Jacksonville has a Canine Unit, Air Unit, Marine Unit, Equestrian Unit, Traffic Unit, and many additional areas in which officers can specialize. Jacksonville also has specialized investigative units including Homicide,Narcotics, Robbery, Burglary, and Sex Crimes. In Atlantic Beach, there simply is not enough demand to justify the creation of these specialized types of groups in the organization. These factors are not likely to change. Jacksonville will continue to expand in specialization and size, and Atlantic Beach is not likely to make significant changes that will alter this contrast in the two departments. There are some opportunities for specialization in Atlantic Beach, and it would be beneficial to recognize these assignments with additional compensation. In the Atlantic Beach Police Department, there are a number of officers who have taken on additional responsibilities beyond their patrol duties. Some of these duties require specialized training and certifications, and the additional responsibilities often require levels of commitment and performance that are significantly more challenging than general patrol functions. Based on these factors, we believe that these officers should be compensated with additional pay when they are performing these functions. Currently, the following special assignments and compensation are addressed: Detectives: An additional 10% is provided for an individual assigned as a detective. Additionally, detectives receive a clothing allowance of$650 per year to be paid quarterly. Patrolman in Charge (PIC): A Patrolman in Charge (PIC) is an assignment of an officer to perform sergeant or lieutenant functions for a period of four (4) hours of more. Such officers are provided an"add pay"of 5%while assigned as PICS. Field Training Officers: Officers assigned as Field Training Officers(Fl Os) must be recommended by their supervisors, complete an FTO certification course, and provide daily supervision and instruction for new recruits. Currently,FTOs receive a 5% "add pay" for these duties while the FTO is actively training a new recruit. We recommend that this be raised to 10%. This is one of the most important duties in the department, and it requires a high degree of commitment and professionalism. The cost of this proposal is estimated at approximately $5,184 for 2003-04. The following additional pay is being recommended: Crime Suppression Unit (CSU) members: These individuals have been selected to work on the Crime Suppression Unit with citizen groups, and to target specific problem areas in the city. Although CSU Officers will be assigned to the patrol division, they perform a number of functions that require them to dress in `plain clothes." Their shift schedules will change frequently, and they will be involved in a variety of investigations that will require additional training and skills beyond tradition patrol duties. We recommend that we compensate CSU members with an "add pay" of 5%, and a clothing allowance consistent with detectives ($650 per year, paid on a quarterly basis). Note: We recommend that the CSU sergeant be paid consistent with the Palmer and Cay plan, and in addition, receive the clothing allowance. The cost of this proposal is estimated at approximately$5,000 for 2003-04. Patrol Investigator/Evidence Technician: Last year, when we eliminated a detective position, we said that we would help to offset the workload by assigning a Patrol Investigator/Evidence Technician on each squad. These individuals would receive additional training, and they would follow-up on criminal investigations for each squad. We recommend that we provide a 5% "add pay" for two (2) officers assigned to these duties. The cost of this proposal is estimated at approximately 3,700 for 2003-04. SWAT: The Police Department has had a Special Weapons and Tactics Team for many years. The members attend specialized training, and they participate in high risk operations. They train with other agencies, serve search warrants, coordinate major events (Air Show, Super Bowl) and respond to various types of high risk situations. We recommend that we provide a 5% "add pay" for SWAT members for all SWAT operations, not including training. The cost of this proposal is estimated at approximately$1,000 for 2003-04. Clarification: There are a number of officers who are simultaneously assigned to more than one of these duties. It is our recommendation that the"add pays"be added to the compensation when an officer is engaged in more than one of these duties at a time. Pay The role of pay, relative to job satisfaction, has been discussed in a number of books and articles, and although there is no universal agreement,there are some points of consensus among researchers in this field. Pay is not a"cure all" for employee retention. Simply raising the pay will not keep employees from leaving an organization. However, if pay is not sufficient, and people believe that they are not being compensated commensurate with others who perform similar duties, then pay may become a significant "dissatisfier." This means that if people believe that they are being compensated too little,then they will certainly become dissatisfied with their employment. It is apparent that the"perception" of pay is a significant factor in job dissatisfaction and the loss of personnel in the Atlantic Beach Police Department. Relative to Atlantic Beach, exit interviews have consistently demonstrated that the reasons for leaving have typically included some consideration of the lack of a competitive pay plan for Atlantic Beach Police Officers. The pay plan is consistently identified as a significant factor in the loss of personnel. The best way to understand the disparities and deficiencies in the Atlantic Beach pay plan is to view current Atlantic Beach salaries as compared to other agencies' pay plans in the area. The numbers below were effective October 1, 2003: Years of Service Atlantic Beach Neptune Beach Jacksonville Beach JSO Annual 0-12 Months 31720 29812 31928 33840 1 33176 31005 32864 35760 2 33820 33534 34507 37644 3 36296 34824 35568 39324 4 37315 36114 36608 41220 5 38355 37404 37731 41220 6 N/A 38694 38833 48504 7 N/A 39984 39998 48504 8 N/A 41274 41308 49260 9 N/A 42564 42432 49260 10 N/A43853 43742 50016 11 NIA 45143 45032 50808 12 42889 46433 45947 51576 13 42889 47723 46862 52332 14 N/A 47798 53136 15 4124648755 53880 16 N/A 49753 54648 17 44595 55404 18 N/A 19 N/A 20 N/A 21 43555 At a glance, it is apparent that Atlantic Beach officers are competitive with area agencies at the beginning levels of the pay system. However, the most experienced Atlantic Beach officers' pay rates are not competitive with the higher pay rates in the area agencies. At the higher experience levels,the Atlantic Beach officers are making significantly less money than their counterparts in other agencies. The Atlantic Beach pay plan does not include any"expectation" of movement up a pay scale. Officers can see what more experienced officers are making, but there is no expectation of advancement to higher pay levels. The top of the pay range for a patrol officer in Atlantic Beach is approximately$48,000. However,the chart above shows that the highest paid patrol officer is making $44,595. This reveals a problem with pay compression that has resulted from Cost of Living Adjustments (COLAs), with no additional differentials for progression in a pay range. This deficiency is often mentioned when officers leave for employment with other law enforcement agencies. An additional concern is the absence of police officers with six(6) to eleven(11) years of experience. Clearly, officers are leaving for other departments after Atlantic Beach has helped to train and educate them. When officers are reaching their.highest potential for productivity and expertise, they leave for other job opportunities. The other agencies have a pay plan that allows officers to visualize and anticipate pay increases in the future. This allows officers to look at a pay plan and identify the pay rate that they may expect at various points in their careers. When officers are planning for their futures, it is beneficial for them to identify what they can expect to be paid in the future. This has been a significant factor in the loss of personnel to other agencies. The problem with these factors is primarily one of perception. The Palmer and Cay study that was adopted by the City of Atlantic Beach,recommended annual increases above the cost of living. The purpose of the increases is to avoid pay compression at the bottom end of the pay scale, and to recognize experience and longevity. Although it is apparent that the City of Atlantic Beach intends to advance police officers through the pay plan, this is not readily visible or understood by the officers. As a result, officers leave for other agencies that have clearly established expectations for advancement and pay increases. If a pay plan was constructed that showed the intent to elevate pay beyond a cost of living adjustment,then it would allow officers to make informed comparisons with the pay in other departments. This would probably help the Atlantic Beach Police Department retain some of the personnel that they have been losing. BUDGET: The total budgetary impact of the Add Pays for specialized assignments is estimated at slightly less than$15,000 for the year. It is anticipated that this can be absorbed into the existing 2003-04 budget. The adoption of the recommendation to identify pay increases of 3%per year, in addition to any cost of living adjustments, will not have an immediate impact on the 2003-04 budget. However, it will result in the expectation of future pay increases for police officer pay rates. It should also be anticipated that such a commitment will probably be requested next year for all city employees, not just the police department. SUMMARY OF RECOMMENDATIONS: To approve the Add-Pays for Field Training Officers, two (2) Crime Suppression Officers, a Crime Suppression Sergeant, two (2) Patrol Investigator/Evidence Technicians, and SWAT team members as discussed in the report above. To approve clothing allowances for Crime Suppression Unit members including one sergeant and two (2) crime suppression officers. To articulate the expected or anticipated salary increases by adopting language establishing the"intent to provide annual pay increases in the range of 3% per year, in addition to a cost of living adjustment." This will allow officers to "visualize" a pay plan that will be competitive with other agencies. The Commission may also want to include language to the effect that such increases could be deferred, postponed, or altered by the City Commission based on future funding/budgeting considerations. ATTACHMENTS: Pay Comparison with 3% Differential Proposal REVIEWED BY CITY MANAGER: AGENDA ITEM NUMBER: 2003-04 Pay Comparisons Actual) 3% Midpoint) Patrol Offices Years of Service Atlantic Beach 3% Proposal Neptune Beach Jacksonville Beach JSO Annual 0-12 Months 31,720 91720 71` 29812 31,928 33,840 1 33,176 32;905:w 31,005 32,864 35,760 2 33,820 34,091,- 33,534 34,507 37,644 3 36,296 35,276 -. 34,824 35,568 39,324 4 37,315 P36462 ' 36,114 36,608 41,220 5 38,355 Pier46, 37,404 37,731 41,220 6 188834' 38,694 38,833 48,504 7 x'40,019-.. 39,984 39,998 48,504 8 4.1,205. 41,274 41,308 49,260 9 42,390 -. 42,564 42,432 49,260 10 4,3,576 .:,, 43,853 43,742 50,016 11 - 44,762 45,143 45,032 50,808 1 42,389 45,947.. 46,433 45,947 51,576 3 42,88 \ 47,133 4 ,723 46,862 52,332 14 1 48,318 47,798 53,136 15 41,246 \ S' °``"`' 48,755 53,880 16 49,753 54,648 17 44,595 ' 55,404 18 19 0 1 2\_,.,.__ 21 43,555