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BACKGROUND Compensation for management and confidential employees is outlined in the City of Pleasanton's Management/Confidential Employee Performance Compensation Plan. The salary structure is a range rather than a step system. Previously, the City's publicly available salary schedules listed only the midpoint for each classification. CalPERS has requested that the salary schedules for the previous five years and all future salary schedules show the full salary range for each classification. Failure to approve the updates to the salary schedules will cause delays in the processing of CalPERS retirements for the City of Pleasanton. DISCUSSION CalPERS issued Payroll Circular Letter 200-003-20 to ensure member agencies provide publicly available salary schedules in compliance with Public Employees' Retirement Law (PERL), Public Employees' Pension Reform Act of 2013 (PEPRA), and Title 2 of the California Code of Regulations (CCR). To comply, salary schedules must be approved and adopted by City Council, posted on the City of Pleasanton's website, and retained for public inspection for not less than five years. The salary schedules must also identify all positions within the Management/Confidential group, the full monthly pay range for each position, an effective date, and a revision date, if applicable. The pay rate cannot include additional compensation or reference another document in lieu of disclosing the pay rate. Under PERL and PEPRA, pensionable compensation is calculated based on publicly available salary schedules. The City of Pleasanton has historically published Management/Confidential Employee Performance Compensation Plan salary schedules which display "100% of Monthly Control Point." CalPERS has requested the full salary range be displayed, from 80 to 120% of the monthly control point, for each management and confidential classification. Without the recommended update, a Management/Confidential retiree's pension would be based on 100% of the monthly control point, even for retirees who achieved up to 120% of the monthly control point during their employment with the City of Pleasanton. Staff recommends that the City Council authorize the City Manager to amend the publicly available salary schedules for management and confidential employees to display the full salary range for each classification for effective dates September 9, 2017, to present, excluding the salary schedule for 2020 due to a pandemic -related pause in salary increases. Page 2 of 3