Agenda Packets - 2000/02/14 - Laserfiche WebLink

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Mounds View City Council March 22, 1999 Regular Meeting Page 40 to take 65 percent of the total value of their accumulated sick leave, and apply it to ongoing health insurance premium payments, to be paid out either until the funds expire, or the retiree reaches 65 years of age. He noted that this option has not been incorporated into any form of a personnel policy. City Administrator Whiting stated Chief Ramacher has expressed an interest in attempting to reach an agreement with the City, which would allow his ongoing health insurance premiums to be paid for from his accumulated sick leave hours. He noted that under no circumstances would the other employees that have this option be allowed to change their mind after they have exercised that option, and in the event they do chose to do something else, the funds cease to be paid. City Administrator Whiting stated the funds are maintained by the City, and paid on a monthly basis. He indicated that currently, the premium for family health insurance is approximately $400 per month. He stated the question before the Council is whether or not they would desire to consider an agreement with the outgoing Chief of Police to allow this option, and if so, to what extent. City Administrator Whiting stated there have been a number of opinions expressed on all sides of this issue. He indicated the Council met at Work Session for discussion of this matter, and Council Member Thomason had proposed an alternative to the options provided by staff. He requested Council Member Thomason provide an overview of her proposal for the Council. Council Member Thomason stated she had attempted to suggest a compromise since Chief Ramacher does not fall under the policy which covers the Police Officers, and was not covered under the Collective Bargaining Agreement. She indicated her proposal incorporates both of those policies. She explained that she had taken the number of sick leave hours the Police Chief had accrued as a Police Officer, and multiplied those by 65 percent, and took the 960 hours at 50 percent, which staff employees are allowed, and added these two amounts together. She indicated these amounts totaled $45,514, which would be held in an interest bearing account, paying out approximately $400 per month, over 114 payments. She advised that the interest accrued on this amount would be approximately $10,100, which would reduce the principal, for a final pay out of $35,404. She stated this formula was basically a collaboration of the two policies, which would not otherwise apply to the Police Chief. Mayor Coughlin inquired if Council Member Thomason would care to move approval of Resolution 5313, as stated, and presented before the Council. Council Member Thomason stated she would. MOTION/SECOND: Thomason/Marty. To Approve Resolution No. 5313, a Resolution Authorizing the Severance Package of Tim Ramacher, and to Take the Number of Sick Leave Hours Chief Ramacher Had Accrued as a Police Officer, and Multiply Those by 65 Percent, and to Take the 960 Hours at 50 Percent, Which Staff Employees are Allowed, and Add These Two Amounts Together, to Total $45,514, To Be Held in an Interest-Bearing Account, Paying Out Approximately $400 Per Month, Over 114 Payments. Council Member Stigney stated City staff had provided four options, one of which in his view applied to the Police Chief, in that it utilized the current policies of the City, and would treat