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515 Little Canada Road, Little Canada, MN 551174600 (651) 766 -4029 / FAX: (651) 766 -4048 ADMINISTRATOR www.ci.little- canada.nut.us Joel R. Hanson MAYOR Bill Blesener COUNCIL Rick Montour John Keis Michael McGraw Shelly Boss MEMORANDUM TO: Mayor Blesener and Members of the City Council FROM: Joel Hanson, City Administrator DATE: December 18, 2013 RE: Paid Time Off (PTO) A staff meeting was held on Monday to review the Paid Time Off (PTO) parameters that were included in the Council's agenda packet. At that meeting, staff questions were answered and staff input was sought on the proposed conversion of sick leave and vacation to PTO. A staff vote was taken based on the parameters as drafted. That vote resulted in 11 staff members in favor of the conversion and 3 opposed. In our discussions, there were two issues raised by staff, and both relate to Short Term Disability (STD). These are: 1. The entire staff would prefer to see a maximum carry -over of 65 days rather than the 30 days listed in the parameters. It was felt that this carry -over was a means of allowing an employee the ability to accumulate enough PTO time to bridge the gap to Long Term Disability (LTD). 2. One staff member expressed concern with the parameters relative to STD. In discussing this employee's concerns, it would be my proposal to further study the issue of STD and bring a recommendation to the Council at a workshop meeting on January 6, 2014. The options that would be looked at would be: ■ Purchase of a STD Policy with benefits beginning after either 14 or 21 days. We are currently obtaining pricing for these options. ■ Establishing a City self - funded bank that could be used by employees with a catastrophic event to bridge the gap from the event to when STD benefits begin. This fund would be used after the employee has exhausted any deferred sick leave balance, but would not require the employee to exhaust PTO. 40