HomeMy WebLinkAboutResolution 2012-29 Retiree Service Stipend ProgramCITY OF PALM DESERT
CITY MANAGER'S OFFICE
STAFF REPORT
REQUEST: Consideration of Resolution No. 2012- 29 amending Resolution
No. 08-02 Retiree Service Stipend Program for Employees.
DATE: May 10, 2012
CONTENTS: 1) Resolution No. 2012- 29
SUBMITTED BY: John Wohlmuth, City Manager
Recommendation:
Waive further reading and adopt Resolution No. 2012- 29 amending
Resolution No. 08-02 Retiree Service Stipend Program for Employees.
Background:
At its meeting of March 22, 2012, the City Council approved a Voluntary Separation
Incentive which included a modification to the Retiree Health Service Stipend program.
This modification allows employees who elected to retire under the terms of the
Voluntary Separation Incentive, prior to June 15, 2012, to receive the equivalent of "two
years" of credit towards the calculation of the stipend and to increase the maximum
percentage payable from 75% to 85%.
As previously reported, twelve employees elected to retire under the program and
eleven of these are qualified for benefits under the modified Retiree Health Service
Stipend program.
The Retiree Health Service Stipend is set forth in Resolution 2008-02 and therefore a
resolution is necessary to effect an amendment to the program for qualifying individuals.
Staff Report: Retiree Service Stipend Amendment — 2012 Voluntary Separation Agreement
Submitted by: John Wohlmuth, City Manager
Date: May 10, 2012
Page 2
Financial Impact:
The fiscal impact for FY 2012/2013 is approximately $17,250. This cost is offset by
significant salary savings.
LORI CARNEY
HUMAN RESOURCES MANAGER
APPROVED:
JC qN WOHLMUTH
CITY MANAGER
UL GIBSON
FINANCE DIRECTOR
CITY COUNCILA,MON
APPROVED DEN". _,..._.
RY)CFIVED OTHER ._
M F ETJNG, DATE
AYES
NOES:
ABSENT: (V
ABSTAIN: NML
VERIFIED BY:
Original on File with
crk's Office
Page 2 of 2
RESOLUTION NO. 2012 - 29
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF PALM DESERT, CALIFORNIA, AMENDING
RESOLUTION NO. 08-02 RETIREE SERVICE STIPEND
PROGRAM FOR EMPLOYEES AND MEMBERS OF THE
CITY COUNCIL.
WHEREAS, The City's Labor Negotiator has met and conferred with the Palm
Desert Employees Organization on the terms of a Memorandum of Understanding;
WHEREAS, the parties met and consulted in the matter of revising the retiree
health stipend program established in Resolution 08-02; and
WHEREAS, this agreement changes the terms of the program adopted by
Resolution 08-02 for employees who retire during the 2012 Voluntary Separation
Incentive period adopted by the City Council in March 2012;
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Palm
Desert, California, as follows:
ADD:
SECTION II: Eligibility
Employees and Members of the City Council who began their service prior to
December 31, 2007:
8. Employees who elect to retire within the parameters of the City's 2012
Voluntary Separation Incentive Program may be credited with two years of
additional service credit for the purpose of calculating eligibility. Such
credit may be used for the purpose of meeting minimum service
requirements and/or to increase the benefit available by 10%, up to a
maximum 85% reimbursement.
RESOLUTION NO. 2012- 29
SECTION IV: City Service Stipend Contributions
b. Employees who elect to retire within the parameters of the City's 2012
Voluntary Separation Incentive Program (between March 22, 2012 and
June 15, 2012) may receive up to a maximum of 85% reimbursement,
based on years of service plus two (2) as follows:
Years Served: I Percentage of Premium
4 - 8
50%
44 9
55%
42 10
60%
43-11
65%
4-4 12
70%
45 13
75%
14
80%
15 or more
85%
PASSED, APPROVED, AND ADOPTED this 10th day of May, 2012, by the City
Council of the City of Palm Desert, California, by the following vote, to wit:
AYES:
NOES:
ABSENT:
ABSTAIN:
ATTESTED:
RACHELLE KLASSEN, CITY CLERK
CITY OF PALM DESERT
Page 2 of 2
ROBERT SPIEGEL, MAYOR