Subject
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Consider Actions Related to Reorganization and Revisions to Chapter 15 - Personnel of City Code
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Department
Human Resources
Recommendation
Staff recommends that the Mayor and Council consider and adopt the following Ordinances and Resolutions related to the reorganization and proposed changes to Chapter 15 (Personnel) of the City Code:
1. Adopt an Ordinance to create the Department of Procurement and the Communications and Community Engagement Department.
2. Adopt an Ordinance that amends certain provisions of Chapter 15-Personnel of the City Code.
3. Adopt a Resolution that establishes and updates certain Classified Civil Service Positions, as Non-Merit Civil Service positions.
4. Adopt a Resolution that amends the July 1, 2024, Amended and Restated Pension Plan document.
Change in Law or Policy
If adopted, the ordinance and resolution will result in changes to the respective city code chapters.
Discussion
Ordinance #1: Creating Departments
As part of the FY2026 budget deliberations, the City Manager recommended, and the Mayor and Council authorized the creation of two new departments - the Department of Procurement and the Communications and Community Engagement Department. The two departments were previously divisions within the City Manager’s Office. To formally effectuate the creation of the departments, an ordinance is needed. Pursuant to the Article IV, Section b (18) of the City Charter, the Mayor and Council has authority to create new department(s) by passage of an ordinance.
Attached to this staff report is the draft ordinance (Attachment 1) that creates the two departments for your consideration and adoption.
Resolution #1: Establishing and modifying list of Classified Civil Service Positions placed in the Non-Merit Civil Service
Pursuant to Section 15-2(4) of the City Code, the Mayor and Council shall provide by resolution the positions that are placed in the Non-Merit Civil Service. The creation of the two departments required a change to the list of Classified Civil Service Positions that are in the Non-Merit Civil Service to include the two director positions. Resolution No.12-89, passed on May 22, 1989, is the most recent resolution that identifies the positions that are in the Non-Merit Civil Service. These positions include: all department heads; the administrative assistant to the city manager; the assistant city manager; and part-time, temporary and unpaid offices and positions, except for permanent part-time classified employees.
Upon review of Resolution No.12-89, not only were revisions needed to remove positions that are nonexistent and add the two new department director positions but also include the positions of the Deputy City Manager, Deputy City Attorney; except for permanent part-time classified employees.
Attached to this staff report is the draft Resolution (Attachment 2) that establishes and modifies the list of at-will Classified Civil Service positions place in the city of Rockville Non-Merit Civil Service for your consideration and adoption.
Resolution #2: Amending Pension Plan Document
Concurrent with the actions above, amendments to the July 1, 2024, Amended and Restated City of Rockville Pension Plan document, are needed. The amendments include: the addition of a definition for Non-Merit Civil Service Employees (Article I, Section 1.3), clarification that supplemental contributions to the Thrift Plan are authorized for Non-Merit Civil Service Employees without reference to contract provisions (Article II, Section 2.2 and Article XVI, Section 16.4), and an appendix addition to recognize the retiree cost of living adjustment that was provided in January 2025 (Appendix A). The last time the Mayor and Council approved changes to the Pension Plan was on May 6, 2024, when DROP was added as a benefit for the Police officers.
To effectuate these changes, staff prepared the attached draft resolution (Attachment #3) for your consideration and adoption.
Ordinance #2: Revisions for Chapter 15-Personnel
City staff reviews the city code regularly and as needed brings forth proposal for change. The impetus for a proposed change could be the need to provide clarity, alignment with best practices and changes in state laws or Mayor and Council directives or policy, alignment with City Charter among others. As part of the reorganization and recent personnel actions, staff identified sections of Chapter 15 (Personnel) of the city code that require revisions. The proposed revisions are meant to provide clarity, align our practices with the City Charter, and best practices. These changes include:
1. Amending Chapter 15. Sec. 15-2 to clarify and provide for the administrative approval of personnel policies and procedures. This amendment will ensure that discrepancies between General Orders and personnel policies can be addressed quickly, and changes to personnel related policies and procedures are responsive in meeting employee needs.
2. Amending Chapter 15. Sec. 15-2 and Sec 15-3 to make it clear that the Mayor and Council approve the employment contracts of the appointed officials; and the appointed officials approved the employment agreement of their respective Non-Merit Civil service employees.
3. Amending Chapter 15. Sec. 15-63 and Sec. 15-64 to provide more time for when the Personnel Appeals Board may schedule a hearing and clarifying that the Personnel Appeals Board findings be limited to whether an employee violated any law, City policy, rule, regulation or directive.
To effectuate the proposed amendments to Chapter 15 (Personnel) of the City Code, staff prepared the attached draft ordinance (Attachment 4) for your consideration and adoption.
Mayor and Council History
This is the first time this item is being presented.
Fiscal Impact
The FY2026 budget accounted for the reorganization. The newly created departments will have their budgets with their respective cost centers.
Next Steps
Following the approval of the ordinances and resolutions, staff will proceed with implementation.