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City Council Minutes November 22, 1995 Page 2 penalize someone planning to leave the city very soon. If this is a concern, the council could phase out the severance benefit at a date in the near future, giving current employees an opportunity to use it. Councilmember Hustad asked how health care benefits would be pro-rated for part-time employees. Hoyt answered that any regular, part-time employee would be eligible to participate in the city's health benefits package but that the city's contribution would be pro-rated according to the number of hours designated for the position. For example, an employee working 10% time could buy into the same insurance package as a full-time employee, but the city's contribution to the premiums would only be 10% of that given to a full-time employee. Councilmember Hustad then proposed the elimination of the sick leave sell back policy. Hustad stated that the policy may inadvertently encourage people not to use their sick leave when they should stay home. Mayor Baldwin noted that his employer has a similar policy, which is meant to reduce the financial liability of sick leave payouts at termination. However, Baldwin stated, those problems are not as likely to be seen in a smaller organization. The council discussed the use of sick leave, noting that while some may have more need to use it (for sick children and family members, for example) sick leave should be seen as an insurance policy rather than as a matter of financial benefit. Councilmember Gehrz agreed with the idea of eliminating the sell back, but suggested that the policy not become effective until January 1, 1996 since there may be employees planning on selling back time this year. With respect to severance pay, the council agreed that it was not good policy to pay employees who are leaving the city as a routine matter. However, they did agree that it would be fair to give employees some advance notice of this benefit loss and not delete the severance pay clause until July 1, 1996. A motion was made by Councilmember Gibson Talbot to approve the revised personnel policy effective immediately, with the following exceptions: 1) the severance pay policy is to be eliminated effective July 1, 1996 and 2) the sick leave sell back policy is to be eliminated as of January 1, 1996. Motion passed unanimously. INFORMATION ON THE 1990 PROCESS FOR APPOINTMENT TO A VACANT COUNCIL SEAT Councilmember Gehrz was elected to the office of Mayor effective at the first meeting in 1996. Since there will be only two years remaining in her council term, the 1996 council must appoint a replacement to serve out the term (January 1996 to January 19981• Mayor Baldwin, who has been on the council for three other such appointments, described the process that was used the last time there was a vacancy. The council advertised the opening and invited all the applicants to give a five minute presentation at a public meeting and on television. The council then each voted anonymously for three candidates that they would be able to support. All names taken from the councilmembers were considered further and were invited back for a second interview. After the interviews, the