04-08-98 Council Minutes - Laserfiche WebLink

Home Browse Search

MINUT~S CITY COUNCIL APRIL 8, 1998 expenses as well as reimbursement for an employee's deductible if an accident occurs while using a persona] vehicle on City business. Council discussed whether or not life insurance and long-term disability insurance coverage should be mandatory. It was pointed out that the City currently pays $9 per month toward the cost of an employee's life insurance coverage. Dependin~ on the date of hire, the cost of life insurance coverage is $9 per month for some employees and $12 per month for others. The additional $3 cost is paid for by the employee. The Administrator reported that long-term disability insurance coverage is paid for by employees. If the City paid for this insurance, any benefits which may be collected would be taxable. Given that the employees pay the cost, benefits received are non-taxable. The Administrator a(so pointed out that the employees unanimousty decided to pw~chase this coverage, and given that the insurance company requires a minimum percenta~e of participation, felt future employees should be required to purchase the coverage. The percentage of participation also affects the rates paid for the coverage. The Council asked if there was a minimum percentage of paRicipation in the PERA life insw~ance program. The City Administrator was not sure, but indicated he would obtain this information. Morelan questioned the rational for requiring employees to take life insurance and long-term disability insurance. The Administrator also pointed out that there have been a couple of instances in the past where employees were off the job due to a long-term illness. In these cases, the City continued to compensate the employee. With the long-term disability insurance, this exposure is now covered. Mr. LaValle introduced the following resolution and moved its adoption: RES07 UTION NO. 9N-4-Sl -ADOPTING TFIE PERSONNEL POLICY CHANGES AS RECOMMENDED ON PAGE 36 OF THE CITY CO(INCIL AGENDA The foregoing resolution was duly seconded by Pedersen. Ayes (5) LaValle, Pedersen, Morelan, Fahey, Scalze. Nays (0). Resolution declared adopted.