Westminster City Council
SUBJECT
Title
Ordinance Authorizing an Amendment to the Salaries of the Mayor and City Council Members and Authorizing a Corresponding Budget Adjustment.
End
From: Christine Cordon, City Manager
Requested by: Council Member NamQuan Nguyen, District 4
Prepared by*: Scott Porter, City Attorney
*Staff reports prepared by staff on behalf of members of the City Council do not reflect the opinions of staff and are generated in collaboration with the requesting council member(s).
____________________________________________________________
RECOMMENDED ACTION
Recommendation
1. Consider whether to introduce for first reading an Ordinance entitled, “AN ORDINANCE OF THE MAYOR AND CITY COUNCIL OF THE CITY OF WESTMINSTER, CALIFORNIA, AMENDING MUNICIPAL CODE SECTION 2.04.080 REGARDING THE COMPENSATION OF FUTURE CITY COUNCIL MEMBERS AND MAYORS,” read by title only and waive further reading.
2. Authorize an increase to the 2026-27 budget in the amount of $45,238 to cover the amended salaries for Mayor and City Council.
end
BACKGROUND
This item was requested by Council Member NamQuan Nguyen, District 4.
Effective January 1, 2024, via Senate Bill 329, the California Legislature amended Government Code 36516 to increase the maximum amounts that general law cities could pay their council members. The Legislature found:
“(a) The compensation schedule for general law cities has not been adjusted since 1984, meaning that city council compensation has not kept pace with inflation.
(b) Allowing cities to adjust their compensation for inflation since 1984 may help city councils become more diverse because increased compensation can help individuals from across different income levels receive sufficient income from their service to help ensure that they can continue to serve the public and support their families.”
Legal Maximum: $1,900 per month
Pursuant to recently updated Government Code section 36516, the City Council may adopt an ordinance to set the annual Council salary to up to $1,900 per month. This amount is in addition to any benefits or cost reimbursements. This maximum amount applies because Westminster’s population was 90,911 in the 2020 census, as shown in the following chart:
|
Population |
Monthly Base Pay |
|
Up to 35,000 |
$ 950.00 |
|
25,001-50,000 |
$1,275.00 |
|
50,001-75,000 |
$1,600.00 |
|
75,001-150,000 |
$1,900.00 |
|
150,001-250,000 |
$2,550.00 |
|
250,000+ |
$3,200.00 |
To keep pace with inflation, and to ensure that membership on the city council can include people with lower incomes, Council Member Nguyen has proposed that council members be paid $1,900 per month, and the mayor be paid $2,500 per month.
If the City Council approves the council salaries at the $1,900 maximum, in future years, the City Council could opt to increase the compensation beyond this amount by the higher of (1) the number of years since the last salary adjustment, multiplied by five percent, or (2) the amount equal to the change in the California Consumer Price Index since January 1, 2024 (not to exceed 10 percent per year). By way of example, if the City Council approves salaries of $1,900 for after the 2026 elections, that amount could be increased by 10 percent, or $190, effective after the 2028 elections, but this amount could be higher if inflation exceeded 10 percent over this two-year period.
Westminster Current Monthly Salaries: $850.50 and $955.50
Currently, Westminster Municipal Code section 2.04.080 sets the salary of council members at $850.50 per month. The mayor, who is directly elected, is paid an extra $105.00 per month, for a total of $955.50 per month. These amounts were established via Ordinance No. 2425, which was adopted January 16, 2008, and began affecting council members after the November 2008 election.
The City Council may adopt an ordinance to increase the amounts paid to council members starting as early as the time that new council members take office. Stated differently, it is expected that the updated salaries would begin shortly after the November 3, 2026 elections.
The City Council may also opt to cause the mayor to be paid in any additional amount it deems appropriate. Although state law does not require that increases to mayoral salaries be delayed until a new mayoral term begins, the ordinance as drafted changes the mayoral salary at the same time as the rest of the City Council.
Comparison to Other Cities
Here is a survey of salaries paid to council members by nearby cities, with footnotes shown by those cities which are charter cities. Although charter cities are not subject to Government Code 36516 and can set rates at any amount deemed appropriate, none of the surveyed cities has authorized payments either at, or in excess of, the maximum amounts authorized by 36516:
|
Council Salaries |
|
City |
Monthly Salary |
Year Updated |
2020 Population |
|
Huntington Beach |
$2,047.50 |
Increased annually by CPI |
198,711 |
|
Newport Beach |
$1,781.15 |
increased annually by CPI |
85,239 |
|
Anaheim |
$1,550.00 |
2022 |
346,824 |
|
Garden Grove |
$1,312.34 |
2022 |
171,949 |
|
Fountain Valley |
$1,200.00 |
2024 |
57,047 |
|
Santa Ana |
$1,100.00 |
2016 |
310,227 |
|
Costa Mesa |
$ 904.40 |
2010 |
111,918 |
|
Westminster |
$ 850.50 |
2008 |
90,911 |
|
Stanton |
$ 810.00 |
2009 |
37,362 |
|
Cypress |
$ 832.00 |
2006 |
50,151 |
|
Fullerton |
$ 750.00 |
2006 |
143,617 |
|
Seal Beach |
$ 600.00 |
2008 |
25,242 |
|
La Habra |
$ 500.00 |
2000 |
63,097 |
|
Placentia |
$ 150.00 |
1980 |
51,824 |
Unlike general law cities, charter cities may adopt an ordinance to automatically increase salaries annually, to keep pace with inflation.
Directly Elected Mayors
The following cities have directly elected mayors. Some pay their mayors a salary higher than that of other council members.
|
Directly Elected Mayoral Salaries |
|
City |
Extra Monthly Compensation Paid to Mayor |
Total Paid to Mayor |
|
Huntington Beach |
$753.50 |
$2,590.79 |
|
Newport Beach |
$746.19 |
$2,527.34 |
|
Garden Grove |
$200.00 |
$1,512.34 |
|
Westminster |
$105.00 |
$955.50 |
|
Santa Ana |
$0 |
$1,100.00 |
|
Costa Mesa |
$0 |
$904.40 |
Currently Westminster pays an additional $105 to the mayor. As a result, the mayor is currently paid $955.50 per month.
Voters may authorize additional amounts
Notwithstanding any of the above, the question of the amount of salary to be provided to city council members may be submitted to the electorate. Nothing in Government Code 36516 limits the salary that the voters may authorize for either city council members or the mayor.
FISCAL IMPACT
If the City Council increases the compensation from the current amounts to the amounts recommended by Council Member NamQuan Nguyen, the added cost for salaries and associated benefits that are a percentage of total pay would be $77,551 per year.
This would require an adjustment of $45,238 to the Fiscal Year 2026-27 budget in General Fund City Council salaries account 10000-40000 in the amount of $40,198, Medicare account 10000-40060 in the amount of $583, Worker’s Compensation account 10000-40065 in the amount of $265 and CalPERS account 10000-40040 in the amount of $4,192 for the remaining 7 months of the fiscal year.
LEGAL REVIEW
The City Attorney’s Office has reviewed as to form.
CONCLUSION
The City Council has the authority to increase future City Council salaries to as much as $1,900 per month. State law does not limit how much a city may pay a mayor.
ATTACHMENTS
1. Proposed Ordinance
REVIEWED BY
Erin Backs, Finance Director
City Attorney’s Office
Christine Cordon, City Manager