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Councilmember McGlone noted the composition of the employee committee with regards to physical fitness and wellness and asked why AFSCME members were part of the committee. City Administrator Ulrich said this committee isn't intended for contract negotiation items but that each group is represented in order to be inclusive. Councilmember Strommen said everyone is doing more in their jobs than ever and some of the fitness and wellness aspects helps employees manage stress. She stated the Committee should wait for an actual proposal, adding these wellness recommendations can be beneficial in an environment where increased compensation can't be offered. Councilmember McGlone said he is concerned that this is an action item, adding he wasn't aware that this committee even existed. Case #2: Consider a Resolution to Approve a Non -union Sick Leave for Wellness Policy Human Resources Representative Lasher reviewed the staff report. Councilmember Tossey said this is a cost savings to the City and asked if an employee doesn't use the sick time can they cash out and if so what is the maximum amount. Human Resources Representative Lasher stated an employee can cash out their sick leave at the same percentage but only after five years of employment. She added the employee can receive up to half of the maximum amount of sick leave of 960 hours. Councilmember Tossey stated that AFSCME bargained for this benefit and asked if this is a result of the "me too" clause. City Administrator Ulrich said staff tried to demonstrate the mutual benefits of this proposal because it removes the liability of carrying the actual amount of sick leave which increases our annual cash flow, but added the dollar amounts are essentially the same overall. Councilmember Tossey asked if there is a cost savings if we prevent an employee from getting to their top level of accrual and if we offer this now we end up only paying 25% and not 50% based on the years of service. City Administrator Ulrich said there is a savings potential as well as promoting wellness. Motion by Councilmember Strommen, seconded by Councilmember Tossey, to approve the Resolution which confirms the recommendation of the Personnel Committee to approve a non- union Sick Leave for Wellness Policy. Further discussion: Councilmember Tossey said he will support the proposal if it saves money but doesn't want to see the "me -too" clause utilized automatically for non -bargaining employees. City Administrator Ulrich stated this would be the process used for non -union employees as Personnel Committee / September 13, 2011 Page 3 of 4