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JCC Supes Discuss Employee Bonus

James City County Administrator Robert Middaugh argued Tuesday that employees should get a bonus this year, and though no decision was made he seemed to have support from at least three board members.

The county ended up with a surplus of about $6 million from the previous fiscal year, 2011, and thanks to spending less than expected managed to squeak out almost $2 million expected in the current fiscal year 2012, Middaugh explained to the Board during its Tuesday work session. He proposed the Board use about $568,000 of this money for one-time bonuses to all employees to the tune of $1,000 per full-time worker and $500 for each part-timer.

“I wanted to offer our folks something meaningful,” he said. “It is especially important to employees who don’t make that much.”

About 70 percent of employees make less than $50,000 per year, Middaugh said, and these are the people who will benefit the most from a flat-amount bonus.

He cited the high cost of living, a roughly 30 percent increase in healthcare costs and no pay increases since 2008 as reasons for the current bonus suggestion. “[Employees] are in a worse place than they were four years ago,” he said.

The county has asked employees to do more with less, and most people haven’t seen an impact in county service, Middaugh pointed out.

A bonus is a way to tell employees that the county values their service, and “I can’t look them in the eye and say we don’t have the money to afford this,” he told the board.

Chairman Mary Jones said she very much appreciated staff, but that she couldn’t support a bonus right now. There is “a lot of uncertainty” that impacted her decision, she said, including unknown state funding levels, how the upcoming real estate assessments will impact the county, what the county’s contribution to the state retirement system will look like and other variables.

Though he wasn’t ready to say whether or not he’d support the idea, board member Jim Kennedy said he had reservations about the idea, too, citing the same uncertainties. He said he was concerned that “it is too premature, five months into the new fiscal year” to make the decision.

He also said the school system will likely expect to do something similar if county employees get a bonus (WJCC already approved a small pay increase last year, he noted).

To take more money from the community for this “will be a tough sell to the citizens,” he said.

Board member John McGlennon said offering a bonus was more than just recognizing employees, “this is caring for the organization.” The county made an investment in the people it hired, he argued, and a bonus is an indication of how much the county values its people.

“You've got to back that up in a tangible way,” he said.

Board member Jim Icenhour said, “I don’t think there’s catastrophic uncertainty” in the county’s financial future. He also argued that “one-time money doesn’t add to long-term cost.”

The two Democrats got support from an unlikely corner when Republican Bruce Goodson said he also felt like a bonus was a good idea. The county spent less than its conservative budget estimate, he pointed out, which he said highlighted that conservative budgeting really works. “I think it is very good to recognize the accomplishment through the year... a bonus seems reasonable.”

The board will decide on the issue at its December 13 meeting.

Middaugh said he’ll look at the possibility of raises with the board after January.

Comments  

 
0 #10 marykay 2011-11-25 15:30
to follow on to charlie, how about small businesses that are struggling, how about EXEMPTING them from paying the dastardly personal property tax.....don't know about that? Well good ole VA imposes the same kind of tax we all pay our our cars...to the assets that are used by a business to produce a product......fo r a sandwich shop or coffeehouse all assets that are used to produce a sandwich or a cup of coffee are taxed. EVERY YEAR. pathetic. How about someone stand up for the really small business and give them a bailout. THEY haven't had a raise either you know.
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+3 #9 officegirl 2011-11-25 10:13
As a county employee I was amazed at "70 percent of employees make less than $50,000 per year!" I have worked for JCC for nearly 10 years and make well below $30,000 per year! Positions have been combined or simply done away with. We have had to do much more with less. I make too much for food stamps, but as a single parent, I cannot make my pay go far enough to make our ends meet. This is a one time bonus not a long term commitment. To the reader who made the COLA comment; there has never been a COLA increase in the nearly 10 years I have worked for JCC. Please let us know that you support and appreciate us as we have worked hard to serve you and give you our best. We pay JCC taxes as well and we love our customers.
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-2 #8 Charlie 2011-11-24 08:31
Why not give the taxpayers a bonus?Reduce their tax bill.
A reductions to folks of modest means might be something to think about. Like primary homes valued at less than $250,000. For retired folks making less than $50,000 per year. Might that be a good place to start?
Where did this idea come from to give public employees a raise? Being a goverment employee is the best deal out there! Benifits, pension and in most cases, wages more than the private sector. And when was a public servant ever laid off?
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-4 #7 roger8 2011-11-23 18:45
OF course Mr Icenhour sees not problem in the financial future of JCC. HES A DEMOCRAT. DEMOCRATS love to simply view the world of finance solved by having easy access to MY WALLET. Good grief, as if we all needed to see deeper into who these guys are. "Catastrophic Uncertainly"? wow, what world do you live in sir. As a multiple supplier of revenue, (personal and small business) to this fair county may I say that I see very serious problems with our finances, but nooooooo not to someone who has access to my wallet as easily as you do.
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+2 #6 cheapirish is right 2011-11-23 12:23
I don't pretend to be an expert in county finance, but if the county has extra money...

Well returning at least some of it to us taxpayers ought to be considered. We provided it in the first place.

But if county employees are indeed underpaid, then money to them could be the right idea, too.

I've not gotten a raise in 6 years and nobody's arguing to give me one, so I don't necessarily have a lot of sympathy for the 'but county workers haven't gotten a raise lately' argument. If they're really underpaid, that's different, though.

Some real data would be nice to see. How do our payscales compare to surrounding counties?

And the county where I grew up just let go a third of its IT department -- hardware advances made for less demand for PC technicians. How is JCC doing in that area?
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-10 #5 Not 2011-11-23 12:10
There wasn't a cost savings of 6 million dollars, the cost savings of 1.4 million was due to spending cuts, the rest was from growth in tax areas of the budget. The fact is much of this money is one time money, not recurring.

The County is not the longest hold out, in Fact 2 other surrounding localities have not done anything sine FY 2009 also. The other issue to consider is the past decade, JCC gave the highest increases, and salary adjustments of any locality. The aggregate is greater over that time frame.

A compensation study was done last year, JCC is at or above average in most categories. And the health care and benefits package is among the best in the region.

The bonus raises many issues, but performance is also one of them. Why give the same to below average or average performers and penalize the top performers? And to give $500.00 to part time employees is just wrong.

In regards to Icenhour and McGlennon, and their budgetary decision making, I say look back to 2008's budget session, they voted against bonus's and spending reductions. Their rationale, things "aren't going to be that bad", I don't know about you, but I'm still hoping to see something get better. We are in line to go into a double dip recession, and possibly a depression, I hope I'm wrong, but the numbers don't look good world wide.
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+13 #4 cheapirish 2011-11-23 10:39
Come on, Mary....what about the mantra that I always hear from your fellow Republicans (of which I include myself) that it's not the government's money, it's the people's money?

I think it's only fair to give some back to the people who worked harder to make up for the savings of $6 million.
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+5 #3 Hopley Yeaton 2011-11-23 09:53
I think the Sups should consider an ongoing "variable" compensation plan that allows line managers to give bonuses to a percentage (i.e., 50% of the top performers)each year. The bonus pool can be say 1% of the approved regular compensation budget. This way, the best performers are rewarded (rather than across the board) and since it is variable, the program can be suspended in years where there is not a surplus.

Further, JCC should complete a compensation study to determine how the saleries of our employees compare with other municipalities in our area. We should be slightly better than the average.
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+14 #2 Taxpayer 2011-11-23 09:52
Long overdue. JCC employees have gone longer without a raise, bonus, or COLA than any surrounding locality. I hope they remember to spend it within the community.
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-3 #1 Please reply 2011-11-23 09:47
Has Human Resources determined whether JCC offers competitive pay compared to other jurisdictions? Simple put - are county employees underpaid compared to their counterparts? To say that 70% of county employees make less than $50,000 a year does not answer the question. Is it fiscally responsible to provide staff bonuses across the board? What about merit bonuses? Why $1000 for full-time and $500 for part-time?
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