HomeMy WebLinkAboutD-1838-06 Employee Health Benefits
Sponsor: Councilor Mayo
Ordinance D-1838-06
AS AMENDED
AN ORDINANCE OF THE COMMON COUNCIL OF THE CITY OF CARMEL,
INDIANA AMENDING CHAPTER 2, ARTICLE 3, DIVISION II,
SECTIONS 2-38, 2-39, 2-40, 2-41, 2-42, 2-47, 2-50, 2-51, 2-56 and 2-59
OF THE CARMEL CITY CODE
WHEREAS, the City of Carmel has developed a comprehensive compensation
and benefits package for its employees; and
WHEREAS, it is necessary to occasionally clarify or update certain components
of the package to maintain legal compliance, ensure consistency with administrative
practices, reflect the competitive environment and manage the cost, equity and efficacy of
such compensation and benefits.
NOW, THEREFORE, BE IT ORDAINED by the Common Council of the City of
Carmel, Indiana, as follows:
Section 1.
The foregoing Recitals are incorporated herein by this reference.
Section 2. Chapter 2, Article 3, Division 11 of the Carmel City Code should be
and the same is hereby amended to read as follows:
A. Section 2-38 is amended to read as follows:
"Sec. 2-38
Health Insurance.
(a) Employee insurance. The City of Carmel will offer one or more plans of
medical, dental and/or vision insurance to its full-time employees. All full-time
employees, including probationary employees, shall be eligible for such insurance
coverage after 30 days of employment with the City. Details regarding medical
insurance are set forth in the City of Carmel Employee Health Benefit Plan, as
amended from time to time.
(b) Insurance premiums. The City shall contribute 75% or more of the
premiums for single and family coverage (excluding the surcharge for tobacco users),
depending on the plan selected by an employee. Employees will be informed of the
City's contribution level no later than November 15 of each year, to be effective the
following January 1.
(c) Parks employees. Full-time employees of the Carmel Clay Parks Board
shall also be eligible for coverage under the City's medical, dental and vision plans,
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on the same terms and conditions as City employees. The insurance provider, or third
party administrator in the event the City is self-insured, shall agree in writing on all
new plan inception dates and plan renewal dates that Parks employees are included in
such coverage. The Parks Board shall make the employer contribution for its
employees.
(d) Retiree insurance. The City shall contribute 50% of the monthly employee-
spouse premium for retirees who have 20 years of active service with the City, plus
an additional I % for each additional six months of service, up to a maximum of 75%
of the employee only or employee-spouse premium, as applicable (excluding the
surcharge for tobacco users), provided that the City's insurance premium contribution
shall not exceed $650 per month or $7,800 per year. Coverage for other eligible
dependents may be continued at the retiree's expense.
Details regarding retiree insurance are set forth in the City of Carmel Guidelines
for Payment of Retiree Insurance Premiums, as amended from time to time. The
Common Council shall review the amount and the terms of retiree insurance
contributions no less frequently than every four years during the year of the general
election of City officials.
(e) Insurance for individuals on work-related disability. The City will
contribute 100% of the family premium (excluding the surcharge for tobacco users)
for a City employee who is disabled or killed in the line of duty. The employee must
meet PERF disability requirements in order to qualify for the disability benefit."
B. Subsection 2-39(b) is amended to read as follows:
"(b) Full-time employees of the Carmel Clay Parks Board shall also be eligible
for coverage under the City's life insurance plan, on the same terms and conditions as
City employees. The insurance provider, or third party administrator in the event the
City is self-insured, shall agree in writing on all new plan inception dates and plan
renewal dates that Parks employees are included in such coverage. The Parks Board
shall pay the premiums for its employees."
C. Section 2-40 is amended to read as follows:
"Sec. 2-40
Disability Insurance.
(a) Short-term disability.
(I) The City shall contribute 100% of the premium for a short-term
disability plan. All full-time civilian employees shall be eligible for coverage
under this plan the first of the month coincident with or next following thirty (30)
days of active employment with the City.
(2) Full-time employees of the Carmel Clay Parks Board shall also be
eligible for coverage under the City's short-term disability plan, on the same terms
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and conditions as City employees. The insurance provider, or third party
administrator in the event the City is self-insured, shall agree in writing on all new
plan inception dates and plan renewal dates that Parks employees are included in
such coverage. The Parks Board shall pay the premiums for its employees.
(b) Long-term disability.
(1) The City will make available to eligible City employees, on an optional
basis, long-term disability coverage. Availability of the plan is contingent upon a
specified level of employee participation. All full-time civilian employees shall be
eligible for coverage the first of the month coincident with or next following
thirty (30) days of active employment with the City.
(2) Employees who elect long-term disability insurance coverage shall pay
100% of the cost of the coverage through payroll deduction, or on other payment
terms acceptable to the City.
(3) Full-time employees of the Carmel Clay Parks Board shall also be
eligible for coverage under the City's long-term disability plan, on the same terms
and conditions as City employees. The insurance provider, or third party
administrator in the event the City is self-insured, shall agree in writing on all new
plan inception dates and plan renewal dates that Parks employees are included in
such coverage."
D. Subsection 2-41(e) is amended to read as follows:
"(e) Should an employee have an interruption in employment of 100 or fewer
calendar days, the employee shall be entitled to full credit for service prior to the
interruption. After an interruption of more than 100 calendar days, a returning
employee shall be treated as a new employee for purposes of calculating vacation
time earned and shall not receive credit for prior service."
E. Subsections 2-42(c) and 2-42(d) are amended to read as follows:
"(c) For all full-time employees, up to and including 300 hours of accrued sick
leave may be carried over to the next calendar year. All leave in excess of 300 hours
shall be forfeited ifnot "bought back," as described in subsection (d) below.
(d) The City may elect annually to "buy back" excess sick leave from
employees who have accrued significant sick leave balances. The timing and amount
of such buy-backs, as well as the procedures for administering them, shall be
determined at the sole discretion of the City in accordance with applicable law."
F. Subsection 2-47(c) is amended to read as follows:
"( c) Disciplinary leave.
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(1) An employee who is placed on unpaid leave for disciplinary reasons,
either by the department head or the Board of Public Works and Safety, shall
accrue and/or receive benefits as outlined in subsection (b )(2) above. Except,
however, that benefits for sworn members of the Police Department and the Fire
Department shall be consistent with all requirements of Indiana Code.
(2) An employee who is placed on unpaid leave pending the resolution of
criminal charges shall also accrue and/or receive benefits as outlined in subsection
(b)(2) above. Except, however, that benefits for sworn members of the Police
Department and the Fire Department shall be consistent with all requirements of
Indiana Code."
G. Section 2-50 is amended to read as follows:
"2-50 Compensation.
(a) In general.
(1) Rate of pay. Compensation for City of Carmel employees is fixed
annually as required by IC 36-4-7-3 and IC 36-8-3-3. The Common Council shall
approve an annual salary ordinance, which establishes maximum bi-weekly
salaries for each position.
(2) Compliance. The City, in determining the compensation of City
employees and in making payments of said compensation, shall comply at all
times with the provisions of the Fair Labor Standards Act (FLSA), as amended,
and with the provisions of IC 22-2.
(3) Public accountability. Public officials and public entities, including the
City of Carmel, are held to a high level of responsibility under the public trust
that demands effective and efficient use of public funds in order to serve the
public interest. The principles of public accountability require that any
compensation paid to a City employee for time not worked by that employee
must be calculated pursuant to a pay system established by a federal, state or local
statute, ordinance or regulation, a written policy or procedure or a documented
administrative practice.
(4) Recordkeeping. Each employee shall keep an accurate written record of
time worked and paid time off on an approved time sheet. Individual time records
shall be transferred to General Payroll Form 99 and General Payroll Form 99A by
each department at the end of each pay period.
(b) Definitions.
Civilian Employee refers to all employees who are not sworn members of
either the Carmel Fire Department or the Carmel Police Department.
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Employee shall mean any person who is employed by the City of Carmel
on a full time (including probationary), part-time or temporary basis.
Exempt Employee shall mean any individual employed in an Exempt
Position.
Exempt Position shall mean any position that is not subject to the
overtime provisions of the FLSA. The City shall have the right to determine
whether a position that meets the FLSA exemption criteria will be treated as
exempt or non-exempt.
Non-exempt Employee shall mean any individual employed in a Non-
exempt Position.
Non-exempt Position shall mean any position that IS subject to the
overtime provisions ofFLSA.
Pay Period shall mean two consecutive Regular Workweeks, for which
one paycheck is issued.
Regular Workweek shall mean a period of seven (7) consecutive days,
beginning at midnight each Friday and ending at midnight the following Friday.
Regular Work Period shall mean a work period in excess of seven (7)
days, as authorized by Section 207(k) of the FLSA. Regular Work Periods are
defined in subsections (c)(3) and (c)(4) below.
(c) Overtime compensation.
(I) Non-exempt civilian employees; overtime pay.
a) Civilian salaries are based upon a 37\1, hour workweek. All
overtime work must have the prior approval of the department head or his
designee and must be within the department's budgetary limitations,
except in an emergency. No payment will be made for overtime without
an individual time sheet signed by the department head or the department
head's designee.
b) Employees shall be entitled to compensation at their regular
hourly rate of pay for each hour (or portion thereof) worked in excess of
37\1, but less than or equal to 40 in a workweek, in addition to their bi-
weekly salary.
c) Employees shall be entitled to compensation at one and one-
half times their regular hourly rate of pay for each hour (or portion
thereof) worked in excess of 40 in a workweek, in addition to their bi-
weekly salary.
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d) The total hours worked in a regular workweek shall include
all paid vacation days, paid sick leave, paid holidays (except when an
employee is scheduled to work on the holiday), compensatory time off and
other paid absences for the purpose of calculating overtime pay.
e) Although various types of pay (time worked, vacation, sick leave,
holiday, compensatory time off, etc.) may be combined in one shift, in no case
shall an employee be paid for more than his regularly scheduled shift unless the
employee has actually worked longer than his scheduled shift with the approval
of his supervisor, or such payment is for time the employee works before
and/or after his scheduled shift.
(2) Non-exempt civilian employees: compensatory time off.
a) The department head may, at his discretion, substitute
compensatory time off for overtime pay, provided an understanding of
such substitution exists prior to the time the overtime work is performed.
b) Employees who receive compensatory time off in lieu of
overtime pay shall be entitled to compensatory time off on an hour-for-
hour basis for each hour (or portion thereof) worked in excess of 37Y, but
less than or equal to 40 in a workweek, in addition to their bi-weekly
salary.
c) Employees who receive compensatory time off in lieu of
overtime pay shall be entitled to compensatory time off on a time-and-
one-half basis for each hour (or portion thereof) worked in excess of 40 in
a workweek, in addition to their bi-weekly salary.
d) Each department head may set limits on the amount of
compensatory time off departmental employees are allowed to accrue. In
no instance except an emergency, however, may an employee accrue more
than 100 hours of compensatory time off.
e) Requests to use earned compensatory time off shall be granted
within a reasonable period after making the request, provided they do not
unduly disrupt the operations of the department. An employee shall not be
allowed to use compensatory time off until it is accrued.
f) Accrued but unused compensatory time off shall be paid out
to employees at the time of their separation from the City. In addition, the
City may choose, at any time, to payout any or all accrued compensatory
time off.
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(3) Non-exempt sworn Police Department employees.
a) The regular work period for police officers is 28 days.
b) Officers shall be entitled to compensation at their regular
hourly rate of pay for each hour (or portion thereof) worked in excess of
160 but less than or equal to 171 in a regular work period, in addition to
their bi-weekly salary.
c) Officers shall be entitled to compensation at one and one-half
times their regular hourly rate of pay for each hour (or portion thereof)
worked in excess of 171 in a regular work period, in addition to their bi-
weekly salary.
d) The total hours worked in a regular work period shall include
all paid vacation days, paid sick leave, paid holidays, compensatory time
off and other paid absences for the purpose of calculating overtime pay.
e) Although various types of pay (time worked, vacation, sick leave,
holiday, compensatory time off, etc.) may be combined in one shift, in no case
shall an employee be paid for more than his regularly scheduled shift unless the
employee has actually worked longer than his scheduled shift with the approval
of his supervisor, or such payment is for time the employee works before
and/or after his scheduled shift.
(4) Non-exempt sworn Fire Department shift employees.
a) The regular work period for firefighters is 28 days.
b) Firefighters shall be entitled to compensation at one-half their
regular hourly rate of pay for each hour (or portion thereof) of scheduled
overtime in excess of 212 but less than or equal to 224 in a regular work
period, in addition to their bi-weekly salary.
c) Firefighters shall be entitled to compensation at one and
one-half times their regular hourly rate of pay for each hour (or portion
thereof) of scheduled overtime in excess of 224 in a regular work period
and for all emergency call-outs, end-of-shift runs and work-related court
appearances, in addition to their bi-weekly salary.
d) The total hours worked in a regular work period shall include
all paid vacation days, paid sick days, paid holidays, compensatory time
off and other paid absences for the purpose of calculating overtime pay.
e) Although various types of pay (time worked, vacation, sick
leave, holiday, compensatory time off, etc.) may be combined in one shift, in
no case shall an employee be paid for more than his regularly scheduled shift
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unless the employee has actually worked longer than his scheduled shift with
the approval of his supervisor, or such payment is for time the employee works
before and/or after his scheduled shift.
(5) Exempt employees; compensatory time.
a) Exempt employees are expected to work the hours necessary
to fulfill their responsibilities, and are not entitled to overtime pay.
b) Exempt employees shall receive compensatory time off, on
an hour-for-hour basis, for hours actually worked over 40 in a regular
workweek. Exempt employees shall not receive compensatory time off for
hours worked in excess of37Yz but less than 40 in a regular workweek.
c) Exempt employees may not at any time accrue more than 50
hours of compensatory time off. Once an employee accrues 50 hours, all
further accruals shall cease until the balance drops below 50 hours.
All accrued hours may be carried forward indefinitely; however,
exempt employees are not entitled to be paid for accrued compensatory
time off at any time while employed by the City or at the time of
separation from the City.
(6) Salaries and pay deductions for exempt employees.
a) The FLSA requires that all exempt employees be paid on a
salary basis as defined by the Department of Labor in 19 CFR 541.602 and
19 CFR 541.710, which strictly limit deductions from pay. It is the City's
policy to comply at all times with the salary basis requirements of the
FLSA. Therefore, the City of Carmel, its employees and agents are
prohibited from making improper deductions from the salaries of exempt
employees.
b) An exempt employee who believes that an improper
deduction has been made to his salary shall immediately report this
information to his direct supervisor or the Director of Human Resources.
c) All reports of improper deductions will be promptly
investigated. If it is determined that an improper deduction has occurred,
the employee shall be promptly reimbursed for the full amount of such
improper deduction and the City will take whatever action it deems
necessary to ensure future compliance with the salary basis test."
H. Section 2-51 is amended to read as follows:
"Sec. 2-51 Longevity.
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(a) Subject to the conditions listed in subsections (b) through (d) below, each
full-time employee of the City shall receive longevity pay as stipulated in the annual
salary ordinance.
(b) An eligible employee must begin full-time employment on or before June
30 of a given year in order to receive service credit for that year. All entitlement to
longevity pay shall cease when the full-time employment relationship is terminated.
(c) Longevity pay shall accrue on December 31 of the year in which it is
earned, and shall be included in the employee's hourly rate of pay in the year
immediately following.
(d) Should an employee have an interruption in employment of 100 or fewer
calendar days, the employee shall be entitled to full credit for service prior to the
interruption. After an interruption of more than 100 calendar days, a returning
employee shall be treated as a new employee for purposes of calculating longevity
pay and shall not receive credit for prior service.
(e) The Common Council shall review the amount and the terms of longevity
pay no less frequently than every four years during the year of the general election of
City officials."
I. Subsections 2-56(d)(I), 2-56(g)(2) and 2-56(g)(7) are amended to read as follows:
"(d)(I) The eligible employee shall agree in writing that the salary of such
employee shall be reduced by at least $20 per month and the same amount shall be
credited to the employee's deferred compensation account."
"(g)(2) Employee contributions shall be matched by the City at the levels
stated below. The City's matching contribution will not exceed 50% of the employee
contribution or $7,750 annually, whichever is lower, regardless of the employee's
length of service or the amount of his deferral."
"(g)(7) Should an employee have an interruption of employment of I 00 or
fewer calendar days, the employee shall be entitled to full credit for service prior to
the interruption. After an interruption of more than I 00 calendar days, a returning
employee shall be treated as a new employee for purposes of the Deferred
Compensation matching program and shall not receive credit for prior service."
J. Subsections 2-59(b)(I) and 2-59(b)(2) are amended to read as follows:
"(I) Courses offered through a degree-granting institution that is accredited
by The Higher Learning Commission of the North Central Association of
Colleges and Schools or an equivalent regional accreditor, as recognized by the
United States Department of Education and the Council on Higher Education
Accreditation.
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(2) No more than seven (7) three-credit hour courses per employee per
academic year (September through August)".
Section 3. This Ordinance shall be in full force and effect on and after its
passage and signing by the Mayor or January I, 2007, whichever is later.
Section 4. All prior City ordinances or parts thereof that are inconsistent with
any provIsIOn of this Ordinance are hereby repealed as of the effective date of this
Ordinance.
Section 5. If any portion of this Ordinance is declared unconstitutional, invalid
or unenforceable by the valid judgment or decree of any court of competent jurisdiction
such unconstitutionally, invalidity or unenforceability shall nor affect any of the
remaining portions of same.
+"
PASSED by the Common Council of the City of Carmel, Indiana, this J '8
day of])^, ~_ ,2006, by a vote of.s ayes and \ nays.
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Kevi irby
.-iJ~.", Q
Brian D. Mayo
;YL. ;-'
~ecu.s.e D
Fredrick J. Glaser
oPPosg-l)
Mark Rattermann
ATTEST:
Diana L. Cordray, lAMC, Clerk- easurer
~ me to the Mayor of the City of Carmel, Indiana this 1B-+lctay of
2006, at /0: '10 .p .M.
~
Diana L. Cordray, lAMC, Cler -
"S::> Approved by me, Mayor of the City of Carmel, Indiana, this \ ~ ~I day of
\ ~"Q~ 2006,at(o:YO P.M.
ATTEST:
Prepared by Barbara A. Lamb, Director of Human Resources
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".