Arlington Hts. manager will get 2 percent raise July 1

Arlington Heights Village Manager Bill Dixon will receive a 2 percent raise July 1, his first salary increase in 2½ years, according to recent village board action.

Dixon's base salary after the raise will be $175,140.

In addition, the village will continue to put $20,500 annually into a retirement account for the manager. Dixon also has the use of a village vehicle.

Dixon also has the use of a village vehicle.

Under his 2005 contract with the village, Dixon was to receive an annual salary adjustment Jan. 1. However, due to the village's economic issues, Dixon and the board agreed there would be no raise for him in January 2009 or for department heads in the fiscal year that started May 1, 2009.

Dixon expects department heads to receive a raise Nov. 1, which, like his increase, would represent a six-month delay from when such adjustments usually occur. He said he has not yet discussed amounts with the village board.

The village has about 450 employees including 10 department heads, he said.

"Department heads' salaries are set by the village board, but over the years the board has relied heavily on the manager's recommendation because they report to the manager. This was true for my predecessor as well," said Dixon.

"Typically the increase has varied per department head based on performance and internal pay equity and external competition," he said.

Postponing Dixon's raise from Jan. 1 to July 1 is "in recognition of the challenging economic conditions faced by the village," a staff statement said.

Continuing drops in revenue such as sales and income taxes caused the board to cut an additional $4 million from the budget this year. This included leaving 30 positions open, laying off 11 employees, closing the Teen Center and ending the police department's Too Good for Drugs program in village schools.

"Arlington Heights was one of the first to forego increases for management staff," said Dixon. He also said the village ranks in the middle of compensation rates for municipal managers when considering communities of comparable size in the Chicago area.