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<br />position classification in effect at the time of their employment and <br />shall commence under step A for twelve (12) months probationary period; <br />thereafter, upon approval of the City Administrator, such employees may <br />be raised to steps B, C, D, or E, in intervals of one (1) year periods. <br />After step E, increases in salary shall be based on the percentage of <br />increase or decrease in the most recent cost of living index report. <br /> <br />Every employee in a permanent status shall receive in addition to their <br /> <br />base salary an annual cost of living increase upon commencing their <br /> <br />second year of employment and each year thereafter. All cost of living <br /> <br />increases shall be based on the most recent annual data available from <br /> <br />the United States Department of Labor. <br /> <br />(b) Original appointment to any position shall be made at the <br /> <br />entrance rate and advancement from such rate to the maximum rate within <br /> <br />a pay grade shall be by successive steps when earned by merit. Upon <br />approval of the City Administrator an employee may receive initial <br /> <br />compensation at a rate higher than the minimum rate in the salary <br /> <br />schedule provided such position involves executive, administrative, <br /> <br />or professional duties and responsibility, and provided further that <br /> <br />such exception is based on the outstanding and unusual character of <br /> <br />the employee's experience and ability over and above the minimum <br /> <br />qualifications specified for the class. <br /> <br />(c) A pay grade increase may be awarded by the City Administrator <br /> <br />for superior performance of assigned duties or suggestions which <br /> <br />materially benefit the city, contingent upon funds being available. <br /> <br />(d) For all permanent employees, the hourly rates to be used <br /> <br />as a basis for overtime pay and deductions for each hour of lost time <br /> <br />during which pay is not authorized shall be calculated according to the <br /> <br />following schedule: <br /> <br />The base monthly salary multiplied by twelve (12) and <br />divided by two thousand eighty (2080), the average number <br />of regularly scheduled hours in the work year, shall deter- <br />mine the hourly rates. <br /> <br />-4- <br />