SLO City Council gives top two employees 9.24% pay raises

December 19, 2020

SLO City Manager Derek Johnson

By JOSH FRIEDMAN

Amid a pandemic-driven global economic crisis, and shortly following the passage of a sales tax hike, the San Luis Obispo City Council voted to give approximately $20,000 raises, as well as benefit increases, to each of the city’s top two executives.

On Dec. 8, the council approved 9.24 percent salary increases, along with added benefits, for City Manager Derek Johnson and City Attorney Christine Dietrick without any discussion. The raises were part of a consent agenda item that consisted of amending Johnson’s and Dietrick’s contracts.

However, the agenda did not mention raises, and the council did not discuss the matter prior to voting.

With the 9.24 percent increase, Johnson’s base salary will rise from $218,374 a year to $238,550 and Dietrick’s annual salary will increase from $206,622 to $225,706.

Though Johnson’s and Dietrick’s amended employment contracts show they received 9.24 percent raises, a city staff report states the council agreed to give them 5 percent salary increases.

In addition to the raises, the council also awarded Johnson a car allowance of $450 a month, or $5,400 a year, and Dietrick a car allowance of $250 a month, or $3,000 a year.

Likewise, both Johnson and Dietrick can now cash out up to three weeks of unused vacation time annually. Furthermore, Johnson received a one-time cash-out of 107 hours of accrued vacation time for his “commitment and leadership” and limited ability to have gone on vacation since 2018.

The council also voted to increase the city’s contribution to Johnson’s and Dietrick’s retirement plans.

Christine Dietrick

City official stated in a staff report the pay increases bring both Johnson’s and Dietrick’s total compensation to the “median of the market.” The city of SLO frequently compares employees’ pay to compensation given to workers for other cities and government agencies in order to justify salary increases.

For years, San Luis Obispo employees have topped the list of highest paid city workers in the county. Dietrick took the number one spot in 2019 with $376,602 in pay, benefits and pro-rated pension funds, while Johnson garnered $343,626, according to Transparent California.

Last month, San Luis Obispo voters approved an indefinite 1 percent sales tax increase, which was listed on the voting block as a funding source and not as an increase in sales tax.


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San Luis Obispo didn’t want Arroyo Grande to be the only city to give their city manager a raise during this economic pandemic, first rule in government never let a crises go to waste,


The city manager of Calexico makes $350k—it has 10,000 fewer citizens than SLO. The city manager of Santa Maria makes $247k. In fact, more than 110 California city managers make more than Mr. Johnson. The job of city manager is complex and is traditionally well paid. These pay scales have nothing to do with liberal or conservative. The city manager of deep red Laredo, Texas made over $800k in 2019. I’m sad that Americans are consistent in criticizing something they really have no idea about.


So what you are saying is paying a city manager too much is not just a San Luis Obispo fact or even just a California fact?


Well, if you’re saying that gaining a M.S. and at least 10 years in either corporate or city planning is worth less than 200K, then, yes, they are overpaid. But I doubt if you’ll find anyone in the corporate sector with a city manager’s combination of education, experience and expertise making much less, at least not in California. The boys (and a few girls) up in Silicon Valley—or in Austin, Texas, where many have moved—are making five to ten times more than the average city manager with the same skill set.


The difference being that those who work in the corporate sector in the Silicon Valley and Austin are making millions helping their employers make billions while those who work for the government are helping their employers suck the taxpayers dry.


But this isn’t the corporate greed sector. It’s government. It’s public service. The mentality should be anything but corporate.


You sure about the City Manager salary in Calexico? Santa Maria’s population is a bit over 107,000. The City of San Luis is a bit over 45,000. What is the regular pay of the City Manager of Santa Maria.


Let’s actually let the market decide, shall we? Let’s advertise Johnson’s job at $150K plus full city benefits.


I’ll bet good money that the city would receive a fairly long list of fully qualified applicants at $150K.


Calexico City manager (David Dale) salary is $134,740, (2019). Benefits like medical. Dental and pension is approximately $23k.


Santa Maria (Jason Stilwell) is $214k with benefits of $40k.


Please check your facts before publishing.


Never could figure out how a city employee makes more than Congress and the President You people keep voting for tax increases and these employees and they keep screwing you . Are they that smart or you that stupid. You pass gas tax that will not be spent for what they say just as the sales tax is. For all of you who vote foe increased tax’s and these people I think you should give 25% of your money to them to help out the sane people that said enough is enough and voted no


The liberal agenda in SLO is proving what a clown show it has become. It truly is obscene how flagrant they are in trying to destroy the city financially.


What a gig for executive management at the City of SLO.


Huge pay raise, check.

Ability to arrive to work after 9:00 am daily, check.

First, send staff to get your bagel and coffee daily, check.

Take 1 ½ – 2 hour breaks to work out daily, check.

Take 1 ½ – 2 hour lunches daily, check.

Leave work by 3:30 daily, check.

Ability to blame staff for all executive management ill informed decisions, check.

Ability to verbally abuse staff based upon mood, check.

Absolutely, no accountability for piss poor performance, check.

Routinely waive fees for community players (those that lobby for sales tax increases), check.

Routinely waive regulatory requirement s for pot dispensaries, check.

Convince community routinely to increase sales tax for maintenance and then give oneself a huge salary increase, check.

Contract all real work to one’s cronies, check.

Routinely, take holidays on agency dime, check.

Get huge pay raises, check.


Are we really that stupid or just that oblivious as a community.


You described Derek Johnson to a T. You must have daily contact with him. The City of SLO is getting fleeced with ridiculous salaries and subpar performance. The only way to limit the fleecing was to not pass the sales tax increase. Too late now.


Thank you, but DAYUM…


Literally enough to make you want to vomit.


And Dietrich does nothing other than provide political cover. All of the City’s real legal work is contracted out.


Lets not forget how Derek Johnson took no action when his buddy Chris Olcott, a city building inspector, was placed on leave April 16, nearly three years after he was seen on surveillance video striking a woman at Mr. Rick’s after Cal Coast News reported on it.


and the Tribune took no action reporting it. And now they want money to fund “reporting”? BTW Olcott is still around now working for a corrupt contractor, probably making bank as a result of his connections. This makes it hard for me to follow the rules.


To all the ones who voted for this tax increase – what exactly did you expect? Was all the ‘Kool-Aid” the city got you to drink that good? How many times will you allow yourselves to be lied to or misled and still believe what you are told?

The answer – my friend – is blowing in the wind. Take a close look in the mirror – you are exactly the residents the city loves – naïve and gullible.

So now you have exactly what you voted for – no fair bitching about it.

The sadder tale of this charade is that it will be repeated in other cities in this county that also drank the “Kool-Aid” and approved tax increases. The cities have discovered how to scam us and they will continue to do so

Example : the illustrious city manager of Paso Robles (Tom Frutchey) will be retiring early next year. He will be riding off into the sunset, set for life due to the generosity of taxpayers over many years. His current salary + benefits exceed $300K, and I will bet that after the city pays out thousands of tax-payer dollars to ‘search’ companies to find a replacement – that replacement will be compensated more that Frutchey. That is exactly how city governments function.

We deserve better – but will never get it – until we decide to get some backbone and stop being the

naïve, uninformed, and gullible citizens that the cities willingly take advantage of.


I don’t know why the tipping point is before the good folks of SLO finally have had enough but based on the last election they have a ways to go. It’ll be interesting to see what happens when the town is boarded up shops and homeless people. But at least Heidi will get 4 years of employment.