Resolution - #12-06-101 - 06/26/2012

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Councilmember Tossey introduced the following resolution and moved for its adoption: RESOLUTION #12 -06 -101 RESOLUTION TO OFFER A VOLUNTARY EARLY SEPARATION PROGRAM WHEREAS, the City of Ramsey may desire to establish a voluntary early separation program in order to reduce salary expenses and to meet business needs in tough economic times; and WHEREAS, staff analyzed several program design options and has determined the following program to be the most cost - effective: Employees with 10+ years of service at time of termination (includes cumulative total for non - consecutive service and /or pro -rated part-time service) shall receive: 1) The City will provide the terminating employee, a payout of $10,000. For each additional full year of service above 10 years, an employee will receive an additional $500 for each year of service, to a total maximum of $22,500 (35 years of service); and 2) The cash equivalent of nine (9) months of the city's contributions towards the employee's selected health premium in effect at the time the incentive program is adopted, or the cash equivalent of 9 months of the $290 waiving benefits. WHEREAS, if approved, the program will be strictly voluntary and open only to those City employees who meet the requirement listed below: 1) Must be a regular employee of the City with a minimum of 10 years of regular service AND: a) Who is at least age 55 years and eligible for a full or reduced PERA Coordinated Plan annuity; or b) Who is at least age 50 years and eligible for a full or reduced PERA Police and Fire Plan annuity; or c) Meet the above age requirement for your PERA plan and are receiving PERA disability benefits; and WHEREAS, Employees must submit a letter of interest to Human Resources by July 2, 2012 at 4:30 p.m. Employees must agree to leave employment with the city on or before July31, 2012 NOW, THEREFORE, BE IT RESOLVED THAT THE CITY COUNCIL OF THE CITY OF RAMSEY, ANOKA COUNTY, STATE OF MINNESOTA,