03-09-2016 Council Packet - Laserfiche WebLink

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event. The City Administrator has the right to deny or limit use of donated leave if it is determined to be in the best interest of the City. Eligibility Employees must be benefit-eligible in order to participate as a recipient or donor in the PTO Donation Program. Requests for participation in the PTO Donation Program will be accepted only for individuals who are defined as having an approved medical emergency and who are within one pay period of exhausting all accrued paid leave. Employees receiving Workers’ Compensation benefits from city-related injuries or illnesses are not eligible to receive donations. Conditions The terms and conditions governing the PTO Donation Program are as follows: Forms: Completed donation forms must be submitted to the City Administrator for approval. The approval remains valid until the employee notifies the City Administrator to annul the approval or the employee becomes ineligible to participate in the program. Participation: Participation is voluntary and no employee shall pressure or otherwise attempt to influence another employee to donate accrued time. All donations will be kept confidential and the City will not inform the recipient of the names of those donating hours or the number of hours which have been donated. No provisions of this policy or its administration shall be subject to review under the grievance process. Recipient: An employee is eligible to receive donated leave only for time lost from normal work hours and only to make them financially whole once all paid leave banks have been exhausted. PTO Donation Program wages shall be limited to the amount equal to that individual’s regular gross earnings per pay period (i.e. current hourly base pay rate multiplied by regularly scheduled hours of work per pay period). Transfers of leave hours will be converted based on the donor’s hourly rate of pay versus that of the donee. (i.e. an employee making $30 per hour donates eight hours of PTO to an employee that makes $15 per hour. The value to the donee would be 16 hours). The IRS has ruled that these payments are considered wages and taxable income for the recipient. An employee may only have an excess of 40 hours of PTO on the books after application of the PTO donations. Donation of PTO will not be allowed once an employee is judged to be disabled by the major medical condition and will not be returning to work. Donated time cannot be paid to an employee in the form of cash or used in any manner other than what is stated in this policy. Donor: An eligible employee who donates PTO time understands this time is a “gift” and 26