Federal Way Mayor Jim Ferrell is getting two 7.5-percent pay raises over the next two years to bring his salary in line with other mayors in the area.
Salaries for the mayor and Federal Way City Council are reviewed and adjusted every two years by the Independent Salary Commission.
When the commission met April 4, it found Ferrell’s monthly salary of $9,924 per month – or $119,088 per year – was the lowest of the comparable cities of Auburn, Bellingham, Everett, Kent, Redmond and Renton. The closest salary to Ferrell’s was the Redmond mayor, who makes $11,417 per month.
“The overall goal that (the salary commission) expressed was to try to match the lowest paid mayor in the group,” Federal Way City Attorney Ryan Call said during a presentation at Tuesday’s council meeting.
After the first 7.5-percent increase, which takes effect May 21, Ferrell will make $10,668 per month (about $128,016 per year). The second 7.5-percent increase, which takes effect Jan. 1, 2019, will bring his monthly salary to $11,468 (about $137,616 per year). His monthly benefits of $2,786 and use of city vehicle will not be affected.
“It brings him a little more into a reasonable range with the comparables because he was considerably below the market,” Call said of the increases.
The salary commission decided to give Federal Way City Council members two 1-percent increases over the next two years. Council members make $1,185 per month.
“That put them slightly below the mean for the group but not dramatically out of sync with our comparable cities,” Call said.
The first increase, which takes effect May 21, puts their monthly pay at $1,196. The second increase on Jan. 1, 2019, will raise it to $1,208. Council members also receive $475 a month in benefits, which will not change.
Commissioners are appointed by the mayor and confirmed by the council and can serve a maximum of two four-year terms. Four out of the five commission positions are filled. Commissioners are Michael Christner, James Englund, David Nelson and Brian Sandler.
Fairness and accountably to the taxpayers are taken into account when setting the salaries, Call said.
“Salary and benefits for elected officials should not be significantly less than the officials get in similarly sized cities,” he said. “On accountability, it is kind of the opposite. Elected officials should not be overpaid. … (The salary commission) would also take into account poor economic conditions of the city, such as if there are salary freezes or layoffs.”
The commission received budget documents and consulted with city staff regarding the financial status of the city.
“We had some discussion about the current status of the city given the recent utility tax passed and the budget shortfall,” Call said.
On March 20, the council approved levying a 7.75-percent excise tax on Lakehaven Water and Sewer District customers to help cover an approximately $850,000 budget shortfall.
Following Call’s presentation to the council, Deputy Mayor Susan Honda asked if the pay raises could be postponed until the city is in a better financial position.
“The council has delegated this authority to the salary commission and this is self-effecting, so no further action from council is needed or authorized,” Call responded. “If an individual council member wanted to contribute the difference back to the city, hypothetically that is possible. There is disagreement … as to whether or not that is lawful. The idea here is to remove this decision from the elected officials.”
In 2016, the commission agreed to give both the mayor and the council 3-percent pay increases.