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Mounds View City Council March Z2, 1999 <br />Regular Meeting Page 40 <br />to take 65 percent of the total value of their accumulated sick leave, and apply it to ongoing <br />• health insurance premium payments, to be paid out either until the funds expire, or the retiree <br />reaches 65 years of age. He noted that this option has not been incorporated into any form of a <br />personnel policy. <br />City Administrator Whiting stated Chief Ramacher has expressed an interest in attempting to <br />reach an agreement with the City, which would allow his ongoing health insurance premiums to <br />be paid for from his accumulated sick leave hours. He noted that under no circumstances would <br />the other employees that have this option be allowed to change their mind after they have <br />exercised that option, and in the event they do chose to do something else, the funds cease to be <br />paid. <br />City Administrator Whiting stated the funds are maintained by the City, and paid on a monthly <br />basis. He indicated that currently, the premium for family health insurance is approximately <br />$400 per month. He stated the question before the Council is whether or not they would desire <br />to consider an agreement with the outgoing Chief of Police to allow this option, and if so, to <br />what extent. <br />City Administrator Whiting stated there have been a number of opinions expressed on all sides <br />of this issue. He indicated the Council met at Work Session for discussion of this matter, and <br />Council Member Thomason had proposed an alternative to the options provided by staff. He <br />requested Council Member Thomason provide an overview of her proposal for the Council. <br />• Council Member Thomason stated she had attempted to suggest a compromise since Chief <br />Ramacher does not fall under the policy which covers the Police Officers, and was not covered <br />under the Collective Bargaining Agreement. She indicated her proposal incorporates both of <br />those policies. She explained that she had taken the number of sick leave hours the Police Chief <br />had accrued as a Police Officer, and multiplied those by 65 percent, and took the 960 hours at 50 <br />percent, which staff employees are allowed, and added these two amounts together. She <br />indicated these amounts totaled $45,514, which would be held in an interest bearing account, <br />paying out approximately $400 per month, over 114 payments. She advised that the interest <br />accrued on this amount would be approximately $10,100, which would reduce the principal, for <br />a final pay out of $35,404. She stated this formula was basically a collaboration of the two <br />policies, which would not otherwise apply to the Police Chief. <br />Mayor Coughlin inquired if Council Member Thomason would care to move approval of <br />Resolution 5313, as stated, and presented before the Council. <br />Council Member Thomason stated she would. <br />MOTION/SECOND: Thomason/Marty. To Approve Resolution No. 5313, a Resolution <br />Authorizing the Severance Package of Tim Ramacher, and to Take the Number of Sick Leave <br />Hours Chief Ramacher Had Accrued as a Police Officer, and Multiply Those by 65 Percent, and <br />to Take the 960 Hours at 50 Percent, Which Staff Employees are Allowed, and Add These Two <br />Amounts Together, to Total $45,514, To Be Held in an Interest-Bearing Account, Paying Out <br />Approximately $400 Per Month, Over 114 Payments. <br />Council Member Stigney stated City staff had provided four options, one of which in his view <br />applied to the Police Chief, in that it utilized the current policies of the City, and would treat <br />