Minutes - 2006/06/12 - Laserfiche WebLink

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Mounds View City Council June 12, 2006 Regular Meeting Page 19 • It was noted that three affirmative votes are required for approval of this item. N. Resolution 6849 Resolution Authorizing Severance Package for William Hanggi, Mounds View Public Works Lead Utility Worker. Assistant to the City Administrator Crane stated that William Hanggi has retired from the Mounds View Public Works Department effective May 31, 2006 and Resolution 6849 authorizes severance payment to William Hanggi. She stated these payments are in accordance with the Mounds View Personnel manual and the current Public Works Bargaining Agreement. Assistant to the City Administrator Crane stated that Resolution 6849 provides a cash payout for Mr. Hanggi's compensatory time hours of $1,212 (50 hours comp time x $24.24 hourly wage). She explained that this is in accordance with the current Public Works Collective Bargaining Agreement. Assistant to the City Administrator Crane stated that Resolution 6849 provides a payout of Mr. Hanggi's vacation hours. She stated that in accordance with the current Public Works Collective Bargaining Agreement, Mr. Hanggi is eligible to contribute accrued vacation time towards the Retirement Health Savings Plan. She explained this is calculated as 302.19 hours times his hourly salary of $24.24, which equates to $7,325.09 contribution to the Retirement Health Savings Plan. • Assistant to the City Administrator Crane stated Resolution 6849 also provides for a payout of Mr. Hanggi's sick time. She stated that in accordance with the Public Works Collective Bargaining Agreement, he is eligible to contribute 65% of his accumulate and banked sick leave for contribution to the employee Retirement Health Savings Plan. She stated this is calculated as 973.16 accrued/banked sick hours times 65% times his hourly rate of $24.24. She explained this comes to $15,333.01 to be contributed to the Retirement Health Savings Plan. Assistant to the City Administrator Crane stated that Staff recommends severance payment and contribution to the Retirement Health Savings Plan for William Hanggi in accordance with the City's Personnel Manual and current Public Works Collective Bargaining Agreement. She explained that this Severance Package may be adjusted at a later date pending the ratification of the 2006 - 2007 Public Works Contract. She stated that if the Severance Package is adjusted, then it will be presented at a City Council meeting with approval by Resolution. Councilmember Flaherty stated that every time this issue comes up, he asks if anybody ever takes sick hours and wondered if it was more like a savings account. He stated people retire and have large amounts of hours accrued in sick time and he can't believe that nobody gets sick. Administrator Ulrich stated that Mr. Hanggi was a 33-year employee, that the contracts were negotiated to only allow 50% of a maximum of 960 hours. Mr. Hanggi is the last of the Public . works employees to be grandfathered in at the higher 65% rate.