Understanding Salary Changes for Elected Officials in Horseshoe Bend, Arkansas
This presentation will explore the legal framework and best practices for managing salaries of elected officials in Horseshoe Bend, a second-class city in Arkansas. We'll cover statutory requirements, proper procedures, and important considerations for city officials and council members.

by Amberly Martin-Jeffries, CIPP

Statutory Basis and Key Principles

Arkansas Code § 14-42-113
Prohibits mid-term salary changes for elected officials

Pre-approval Requirement
Changes must be adopted before the term begins

Uniform Application
Changes must apply to all similar positions

90-Day Rule
Changes must be adopted at least 90 days before the general election
Salary Change Procedures

1

Ordinance Required
All salary changes must be set by ordinance, not resolution

2

Publication
The ordinance must be published as required by law

3

Documentation
Maintain detailed records of all salary-related ordinances

4

Legal Review
Have the city attorney review any proposed salary adjustment mechanisms
Cost of Living Adjustments (COLAs)
Advance Authorization
Must be explicitly authorized in advance by ordinance
Objective Criteria
Based on specific, measurable factors
Uniform Application
Applied equally to all eligible positions
Clear Definition
Adjustment mechanisms must be clearly defined
Budget Adoption and Salary Changes
Separate Ordinance
Salary changes require a specific ordinance, not just budget inclusion
Legal Process
Follow proper ordinance adoption procedures
Timing
Pass salary ordinance before adopting the new budget
Legal Definition of "Salary"
Under Arkansas statutory law, "salary" encompasses all forms of compensation provided to elected officials, not just base pay.

Direct Cash Compensation
Regular base pay, stipends, bonuses, and any other monetary compensation paid directly to the official

Retirement Benefits
All pension contributions, retirement plan matches, and deferred compensation arrangements

Cost of Living Adjustments (COLA)
Any periodic adjustments made to compensate for changes in the cost of living

Health Benefits
Medical, dental, vision insurance, and any healthcare spending accounts or reimbursements

Additional Benefits
Life insurance, disability coverage, vehicle allowances, and any other forms of indirect compensation or benefits
Note: Any changes to any component of salary must follow the same statutory requirements for salary modifications.
Mayor's Role and Limitations

1

2

3

4

1

Council Authority
Only council can set salaries via ordinance

2

Mayor's Recommendations
Can suggest changes to council

3

Ordinance Execution
Must execute council-approved ordinances

4

No Unilateral Changes
Cannot modify salaries without council action
Key Takeaways and Best Practices

1

Follow State Law
Adhere strictly to Arkansas Code § 14-42-113 and § 14-44-111

2

Proper Documentation
Maintain detailed records of all salary-related ordinances

3

Legal Review
Consult with city attorney on all salary matters

4

Transparency
Ensure clear communication and proper publication of all changes