(A) Establishment.
(1) City Council shall, by ordinance, fix the compensation of every elected city officer not later than the first Monday in May in the year the officer is elected. An elected officer’s compensation shall not be changed after his election or during his term of office.
(2) The City Council shall fix the compensation of each appointed city officer by ordinance and may change it by ordinance.
(3) The City Council shall fix the compensation of city employees in accordance with a personnel pay classification plan which shall be adopted by ordinance.
(4) All fees and commissions authorized by law shall be paid into the city treasury for the benefit of the city and shall not be retained by any officer or employee.
(5) City Council may, by ordinance, establish the compensation for any elective or appointive city office on a salaried or per diem basis.
(KRS 83A.070)
(B) Equating the compensation with purchasing power of the dollar.
(1) In order to equate the compensation of the Mayor and members of the City Council with the purchasing power of the dollar, the Department for Local Government shall compute by the second Friday in February of every year the annual increase or decrease in the consumer price index of the preceding year by using 1949 as the base year in accordance with section 246 of the Constitution of Kentucky which provides that the Mayor in cities of the first class shall be paid at a rate no greater than twelve thousand dollars ($12,000.00) per annum and the Mayor in cities other than the first class and legislative body members shall be paid at a rate no greater than seven thousand two hundred dollars ($7,200.00) per annum.
(2) The City Council of the city shall set the compensation of the officer in accordance with KRS 83A.070 at a rate no greater than that stipulated by the Department for Local Government.
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Cross reference:
Setting salary of Mayor and Council, see Tables of Special Ordinances, Table 6