a. The City Manager and Director of Finance agree to review the financial position of the City and determine its ability to provide Cost of Living Adjustments (COLA).

b. The City Manager and Director of Finance agree to perform this review on an annual basis in January of each calendar year.

c. For this review the City Manager and Director of Finance agree to use the “Consumer Price Indexes Pacific Cities and U.S. City Average, All Items Indexes, All Urban Consumers (CPI-U)” currently accepted as the recognized resource for cost of living information.

d. Contingent upon the availability of funding as determined by the City Manager and Finance Director, the City Manager will recommend by formal action to the City Council a Cost of Living Adjustment for all City of Clearlake Employees. The City Manager will make the formal recommendation in February of each calendar year during the mid-year Budget Presentation. (Ord. #2006-125; Ord. #2012-153)