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1 of Mounds View Staff Item No: 08C Meeting Date: December 9, 2013 Type of Business: CA Administrator Review: To: Honorable Mayor and City Council From: Desaree Crane, Assistant City Administrator Item Title/Subject: Resolution 8187, Approving Severance for Parks Supervisor Steve Dazenski of the Mounds View Public Works Department REVISED AS OF December 9, 2013, at 915am Background Steve Dazenski retired and his last day of employment was December 4, 2013. Mr. Dazenski has been working for the City since June 22, 1987. Attached is Resolution 8187, which authorizes severance to Mr. Dazenski in accordance with Sections 3.45 and 3.47 of the Mounds View Personnel Manual. The Parks Supervisor position is an exempt non-union position. Discussion In accordance with Section 3.45, of the Mounds View Personnel Manual: Upon separation from the City, employees who have completed two or more years of service and leave in good standing shall contribute 100% of their eligible sick leave to their Retirement Health Savings Plan (RHSP). Except as noted below, eligible sick leave is limited to 50% of an employee's sick balance, which is capped as follows: Base cap = 960 hours. The base cap shall be increased by 20 hours per year for each year employed beyond ten years. For example, a 15 -year employee's cap would be 1060 and a twenty-year employee's cap would be 1160 hours. Employees who had completed ten years of service by January 1, 2008, qualify for enhanced sick leave payout. Upon separation, qualifying employees shall contribute 100% of their eligible sick leave to their RHSP. The enhanced sick leave payout is equal to 65% of an employee's sick leave balance. (the enhanced conversion rate applies ONLY to sick hours contributed at separation, subject to the maximum cap addressed above). Employees who have a sick leave balance of 600 or more hours shall contribute their excess balance to the RHSP at a 2 to 1 ratio with a maximum annual contribution of 160 hours (80 hours converted) or that amount which brings the employee's sick leave balance down to 600 hours — whichever is less. The City shall calculate and process the annual contribution to the RHSP on the first payroll period of November of each year.