Resolution 6687 - Laserfiche WebLink

New Member Participant Labor Cost Increment. The New Participant Labor Cost Increment is an amount calculated in the development of each budget(or budget amendment)to identify the maximum amount by which Labor Costs may increase in the budget period without requiring unanimous consent of the Executive Board Members representing all four Original Principals. The Increment is determined by identifying the"Status Quo Labor Cost per Transaction" for the applicable budget period, assuming the Portal Agency has the same number of Participating Cities and staff as the prior budget period. The Labor Cost per Transaction is then multiplied by the number of Transactions attributable to new Participating Cities joining the Portal Agency in the budget period, and the resulting total is the maximum amount by which the Labor Costs in the new budget period may be increased over and above the Status Quo Labor Cost without requiring unanimous consent. Illustration: Calculation of New Participant Labor Cost Increment for Year X Assuming: 1 year budget period; addition of 2 member cities proposed in Year X Part 1: Labor Cost Per Transaction Status Quo Labor Costs for Year X $350,000 • Assuming same number of staff(including employees, if any, and loaned staff)as were engaged by the Portal Agency in the previous year, and adding any estimated increases in costs of salary, benefits, etc. for those same personnel over and above the previous year's costs. Estimated Transaction Count for Year X from Currently 125,000 Participating Cities • Includes all Cities participating as Principals or Subscribers in the previous year. • Transaction count is that used for purposes of estimating the cost allocations of these Participating Cities in Year X. Labor Cost Per Transaction ($350,000± 125,000) $2.80 Part 2: New Participant Labor Cost Increment New Participant Transaction Count 10,000 • Total Transactions assigned to the 2 new Participating Cities for purposes of budget allocation in Year X New Participant Labor Cost Increment for Year X ($2.80 x 10,000) $28,000 Labor Costs in Year X may be increased by Supermajority Vote to a level of$378,000. Labor Costs in excess of that amount would require Supermajority Vote and unanimous approval by Board Members representing the Original Principals. v. 11.4.13 39