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The Mounds View Vision A Thriving Desirable Community Item No: 5.C. Meeting Date: June 8, 2026 Type of Business: Consent Agenda Administrator review: _______ City of Mounds View Staff Report To: Honorable Mayor and City Council From: Rayla Sue Ewald, Human Resource Director Item Title/Subject: Resolution 10264, Authorizing Separation Compensation for Gayle Bauman and Approving Status Change from Full-Time to Part-Time Background: Finance Director Gayle Bauman submitted her retirement notice in April 2026. After submitting notice, she agreed to stay in a part-time capacity to approve weekly duties of Finance Department and train new Finance Director when they are onboard. Dependent on weekly schedule, Ms. Bauman may work between 10 – 20 hours per week. Ms. Bauman will benefit from having her vacation and sick leave rolled into her Retirement Health Savings Plan (RHSP) prior to moving into part-time status. The City allowed this for staff member Quasabart in 2023. Discussion: Effective June 4, 2026, Ms. Bauman will conclude full-time employment. Her hours will no longer allow her to be eligible for benefits, except for Public Employee Retirement Association (PERA) and Minnesota Paid Leave (MNPL). She will be offered COBRA for benefit options. As Ms. Bauman will work less than 20 hours per week, she will be eligible for Employee Sick and Safety Time (ESST). ESST accrues at one hour for every 30 hours worked. She will no longer receive sick leave, vacation, or holiday accruals. Additionally, as a part-time staff member, she will no longer contribute to the RHSP. Section 2.11 of the City of Mounds View Personnel Manual, non-union exempt employees upon separation from the City, who have completed two (2) or more years of service and leave in good standing shall contribute 100% of accrued vacation compensation to the Retirement Health Savings Plan (RHSP). Employees who have completed two (2) or more years of service and leave the City in good standing shall contribute their eligible sick leave hours, converted at the rate of 50%, to their RHSP. Ms. Bauman has the following estimated leave balances: Hours Hourly rate Payout Vacation Hours 325.82 $84.07 $27,391.69 Into RHSP 50% Sick Leave 243.55/2=121.78 121.78 $84.07 $10,238.05 Into RHSP Total Estimated Separation Compensation: $37,629.74 Into RHSP The HR Committee supports and appreciates Ms. Bauman in her dedication to the City and her willingness to remain onboard in a part-time capacity to assist the Finance Department during the transition of her retirement to the onboarding of the new Finance Director. Additionally, they wish to reflect that former Accountant Quasabart went from a full-time to a part-time position prior to retirement, and was allowed to move her RHSP when she transitioned into the part-time position. Strategic Plan Strategy/Goal: Create a culture where employees desire to work. Financial Impact: None, this is a budgeted item. Recommendation: Staff recommend Council approve Resolution 10264, Authorizing Separation Compensation for Gayle Bauman and Approving Status Change from Full-Time to Part-Time. Respectfully submitted, _______________________ Rayla Sue Ewald Human Resource Director Attached: Resolution 10264