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HomeMy WebLinkAboutOrdinance No. 3356-2023Sponsored by: Administration CITY OF KENAI ORDINANCE NO. 3356-2023 AN ORDINANCE AMENDING KENAI MUNICIPAL CODE TITLE 23—PERSONNEL REGULATIONS TO ADDRESS RECRUITMENT AND RETENTION OF EMPLOYEES AND MAKE HOUSEKEEPING CHANGES. WHEREAS, pursuant to KMC 23.15.010, the City Manager prepares and recommend revisions and amendments to the personnel regulations as deemed necessary; and, WHEREAS, Administration worked with an internal working group to address ongoing recruitment and retention challenges in order to improve recruitment, retention, and reduce turnover and make minor amendments to reflect current practices or improve consistency; and, WHEREAS, the City and other comparable government employers have experienced workforce challenges in recent years which have made additional efforts necessary to recruit and retain qualified employees to meet the needs and expectations of the community; and, WHEREAS, the City Manager's recommended amendments to the Kenai Municipal Code to improve recruitment and retention of employees are in the best interests of the City of Kenai. NOW, THEREFORE, BE. IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, AS FOLLOWS: Section 1. Amendment of Section 23.05.010 of Kenai Municipal Code: That Kenai Municipal Code, Section 23.05.010—Employment—Qualifications, is hereby amended as follows: 23.05.010 Employment —Qualifications. Employment [IN]with the City [GOVERNMENT SHALL BE]is based on qualifications, free of personal and political considerations, with equal opportunity for all with no discrimination [IN EMPLOYMENT] on the basis of race, color, religion, sex, sexual orientation, national origin, age, disability, marital status, changes in marital status, pregnancy, parenthood, [OR] genetic information or any other basis protected by law. [IT IS A POLICY OF T] The City [TO NOT DISCRIMINATE AGAINST THE] will provide reasonable accommodation to qualified [DISABLEDlindividuals with disabilities in [EMPLOYMENT]accordance with the Americans with Disabilities Act. Section 2. Amendment of Section 23.05.020 of Kenai Municipal Code: That Kenai Municipal Code, Section 23.05.020—Incentives and conditions, is hereby amended as follows: 23.06.020 Incentives and [C]Conditions. (a) The City recognizes the benefit of [Jhust and equitable incentives and conditions of employment including monetary incentives, and non -monetary recognition to recruit and retain qualified employees. All incentives and conditions of employment [SHALL BE] must be established and maintained to promote efficiency and economy in the operations of the City government. f bl An Employee Referral Prog ram to encourage employees to refer qualified candidates to positions open for recruitment may be established by the City Manager. Employees may be eligible to receive up to one ( 1) day of annual leave upon initial appointment of a classified or department head service employee referred by the employee. New Text Underlined; [DELETED TEXT BRACKETED] Ordinance No. 3356-2023 Page 2 of 7 Section 3. Amendment of Section 23.15.010 of Kenai Municipal Code: That Kenai Municipal Code, Section 23.15.010—Administration by City Manager, is hereby amended as follows: 23.15.010 Administration by City Manager. The Citv, Manager has the overall authority and responsibility for the personnel program established by this title_ [SHALL BE ADMINISTERED BY THE CITY MANAGER. HE OR SHE SHALL ADMINISTER ALL PROVISIONS OF THIS TITLE AND OF THE PERSONNEL RULES. HE OR SHE SHALL] The City Manac er will prepare and recommend revisions and amendments to this title as deemed necessary. The City Manager or designee [SHALL]will draft and administer [SUCH] rules and procedures as may be necessary to carry out the provisions of this title. Such rules and procedures [SHALL]must be approved b the City Manager and be uniform in application except as specifically stated. [ADDITIONALLY, EACH DEPARTMENT OF THE CITY IS ENCOURAGED TO ESTABLISH DEPARTMENTAL RULES, REGULATIONS, AND PROCEDURES SUBJECT TO THE APPROVAL OF THE CITY MANAGER. SUCH RULES, REGULATIONS, AND PROCEDURES SHALL BE IN HARMONY WITH THE GENERAL RULES OF THE CITY MANAGER AND PROVISIONS OF THIS TITLE AND SHALL BE BINDING ON THE EMPLOYEES.] Section 4. Amendment of Section 23.20.010 of Kenai Municipal Code: That Kenai Municipal Code, Section 23.20.010—Initial classification, is hereby amended as follows: 23.20.010 Initial [C]Classification. The City Manager [SHALL MAKE ANALYSIS OF]or designee will analyze the duties and responsibilities of all positions in the classified service and department head service and [SHALL] recommend to the Council a job classification plan. Each position in the classified service and department head service [SHALL] must be assigned to a job class on the basis of the kind and level of its duties and responsibilities. All positions in the same class [SHALL] must be sufficiently alike to make use of a single descriptive title [, THE SAME QUALIFICATION REQUIREMENTS, THE SAME TEST OF COMPETENCE, AND THE SAME AND PAY SCALE]. A job class may contain one (1) position or more than one (1) position. The classification plan [SHALL BE]is effective upon enactment by City Council of the ordinance adopting a budget for the following fiscal year or by resolution. Section 5. Amendment of Section 23.25.040 of Kenai Municipal Code: That Kenai Municipal Code, Section 23.25.040—Appointee compensation —Classified service, is hereby renamed and amended as follows: 23.26.040 [APPOINTEE]Initial [C]Compensation[—CLASSIFIED SERVICE]. (a) Upon initial appointment to a position, [THE] employees in the classified service [SHALL]and department head service will receive the minimum compensation for the class to which the position is allocated, except as provided below. [(B)](1) In cases when unusual difficulty in filling the vacancy is experienced, [OR] when the appointee is exceptionally qualified, or when the appointee has comparable experience to the higher step or range, the City Manager may [CAUSE THE APPOINTMENT FOR EMPLOYEES IN THE CLASSIFIED SERVICE TO BE MADE AT A]approve compensation [LEVEL] above the minimum, but not more than [LEVEL D FOR THE SAME CLASS]the maximum, of the pay ran a for the class to which the position is allocated. _([C]D) For recruitment of police officers who have successfully completed a police academy recognized by the Alaska Police Standards Council, the City Manager may offer additional compensation in the form of a signing bonus up to twenty thousand dollars ($20,000.00) to a police officer certified in accordance with the State of Alaska Certification Standards. The signing bonus must be paid according to a plan approved by the City Manager. New Text Underlined; [DELETED TEXT BRACKETED] Ordinance No. 3356-2023 Page 3 of 7 (c) For recruitment of positions in which it has been determined that the position is likely to be difficult to fill in the absence of an incentive, the City Manager may offer additional compensation in the form of a recruitment incentive bonus up to ten percent (10%) of the minimum compensation for the class to which the position is allocated. The incentive must be paid according to a plan approved by the City Manager. Section 6. Repeal of Section 23.25.045 of Kenai Municipal Code: That Kenai Municipal Code, Section 23.25.045—Department heads, is hereby repealed as follows: [23.26.045 DEPARTMENT HEADS. (A) UPON INITIAL APPOINTMENT TO A POSITION, EMPLOYEES IN THE DEPARTMENT HEAD SERVICE SHALL RECEIVE THE MINIMUM COMPENSATION FOR THE CLASS TO WHICH THE POSITION IS ALLOCATED, EXCEPT AS PROVIDED BELOW. (B) IN CASES WHEN UNUSUAL DIFFICULTY IN FILLING THE VACANCY IS EXPERIENCED, OR WHEN THE APPOINTEE IS EXCEPTIONALLY QUALIFIED, THE CITY MANAGER MAY CAUSE THE APPOINTMENT FOR EMPLOYEES IN THE DEPARTMENT HEAD SERVICE TO BE MADE AT A COMPENSATION LEVEL ABOVE THE MINIMUM, BUT NOT MORE THAN THE MAXIMUM FOR THE SAME CLASS.] Section 7. Amendment of Section 23.30.010 of Kenai Municipal Code: That Kenai Municipal Code, Section 23.30.010—General, is hereby amended as follows: 23.30.010 General. (a) The City Manager or designee is the [R]recruitment and appointing authority [SHALL BE VESTED IN THE CITY MANAGER]. (b) Applicants must be [UNITED STATES CITIZENS OR] eligible for employment under existing state and federal laws and regulations in order to be employed by the City. [(C) APPLICANTS FOR POSITIONS IN THE CLASSIFIED AND DEPARTMENT HEAD SERVICE NEED NOT RESIDE WITHIN THE CITY LIMITS. DEPARTMENTAL RULES SHALL ESTABLISH RESPONSE TIMES REQUIRED BY THAT DEPARTMENT. (D) MINIMUM AGE FOR CITY EMPLOYMENT SHALL BE IN ACCORDANCE WITH STATE OF ALASKA LAWS.] ([E]q) Employment of qualified individuals with a disability [SHALL BE]is encouraged. [(F) EMPLOYMENT RIGHTS FOR VETERANS SHALL BE IN ACCORDANCE WITH APPLICABLE STATE AND FEDERAL LAWS. (G) APPLICANTS MUST POSSESS AN APPROPRIATE VALID ALASKA STATE DRIVER'S LICENSE, SHOULD EMPLOYMENT REQUIRE OPERATION OF A MOTOR VEHICLE. (H)]Ld Applicants must complete a City application form or submit a resume of sufficient detail to equate to a City form. Section 8. Amendment of Section 23.30.050 of Kenai Municipal Code: That Kenai Municipal Code, Section 23.30.050—Business hours and hours of work, is hereby renamed and amended as follows: 23.30.060 [BUSINESS] Normal HOURS AND H] Hours of [W]Work. (a) The normal hours [DURING WHICH CITY OFFICES AND DEPARTMENTS SHALL NORMALLY BE OPEN FOR BUSINESS SHALL BE 8:00 A.M. TO 5:00 P.M.; POLICE AND FIRE SHALL BE OPEN FOR BUSINESS TWENTY-FOUR (24) HOURS A DAY. THE LIBRARY, SENIOR CENTER, PUBLIC WORKS AND ANIMAL CONTROL OPERATIONS SHALL BE OPEN FOR BUSINESS] of work for employees are established by the City Manager and may be adjusted to New Text Underlined; [DELETED TEXT BRACKETED] Ordinance No. 3356-2023 Page 4 of 7 allow for alternate or flexible work schedules or locations upon the recommendation of the de artment head and AS AUTHORIZED] approval by the City Manager. (b) Public safety employees, not including administrators, normal work week is: (1) Police and Communications —four (4) shifts per week, two thousand eighty (2,080) hours annually. When working shift, the first and third days off [SHALL]will be treated as Saturdays., and the middle day off (the second day) [SHALL will be treated as a Sunday for purposes of paying overtime; (2) Employees performing fire protection activities as defined by the Fair Labor Standards Act (FLSA) may work any FLSA approved 7(k) Work Period" approved by the City Manager. (c) All other full-time employees normal work week is forty (40) hours, two thousand eighty (2,080) hours annually. Standard work day is midnight to midnight succeeding. Standard work week is midnight Sunday to midnight Sunday succeeding. [OPERATING HOURS MAY BE ADJUSTED ON TIMELY NOTICE.] Section 9. Amendment of Section 23.40.020 of Kenai Municipal Code: That Kenai Municipal Code, Section 23.40.020—Holidays, is hereby amended as follows: 23.40.020 Holidays. (a) Employees [SHALL BE] are entitled to the holidays listed below with pay. Full-time employees [SHALL] will receive regular compensation; part-time employees [SHALL] will be compensated in proportion to the number of hours they are normally scheduled to work. (1) New Year's Day (2) Washington's Birthday (the third Monday in February) (3) Memorial Day (the last Monday in May) (4) Independence Day (5) Labor Day (6) Alaska Day (7) Veterans Day (8) Thanksgiving Day (9) Day after Thanksgiving (10) Christmas Day (11) A floating holiday [SUBJECT TO INDIVIDUAL CHOICE OF EACH EMPLOYEE WITH FIVE (5) WORKING DAYS' NOTICE TO, AND] to be used as leave on a day of the employee's choice subject to the approval of [, HIS OR HER] the employee's immediate supervisor. (12) A half -day holiday on either Christmas Eve or New Years' Eve at the employee's choice to be used as leave, subject to approval of the employee's immediate supervisor. (b) If any such holiday falls on a Sunday, the following Monday [SHALL]will be given as a holiday. If such holiday falls on a Saturday, the preceding Friday [SHALL]will be given as a holiday. (c) Public Safety employees who normally work holidays [SHALL]will receive a payment for authorized holidays at one and one-half (1 1/2) times their normal hourly pay as follows: Fire (7(k) work period): 11.2 hours pay per holiday. Police, Communications, and Fire (forty (40) hour week): eight (8) hours pay per holiday. Holidays which occur during annual leave [SHALL]will be charged against such leave. New Text Underlined; [DELETED TEXT BRACKETED] Ordinance No. 3356-2023 Page 5of7 Section 10. Amendment of Section 23.40.030 of Kenai Municipal Code: That Kenai Municipal Code, Section 23.40.030—Annual leave, is hereby amended as follows: 23.40.030 Annual [L]Leave. (a) Annual leave is combined vacation and sick leave. (b) Accrual Rate. (1) Full-time employees except certain Fire Department employees: 7.3846 hours bi-weekly—first two (2) years of service. 8.3077 hours bi-weekly—three (3) through five (5) years of service. 9.2308 hours bi-weekly—six (6) through ten (10) years of service. 10.1538 hours bi-weekly—more than ten (10) years of service. (2) Fire (7(k) work period): 10.3385 hours bi-weekly—first two (2) years of service. 11.6308 hours bi-weekly—three (3) through five (5) years of service. 12.9231 hours bi-weekly—six (6) through ten (10) years of service. 14.2154 hours bi-weekly—more than ten (10) years of service. (3) In cases in which a former City employee is selected for appointment, the City Manager may approve an accrual rate based on the years of service formerly earned by the employee. (c) Annual leave is charged on an hour -for -hour basis; i.e., normal work day of eight (8) hours would be charged at eight (8) hours annual leave; twelve (12) hour work day, twelve (12) hours annual leave; ten (10) hour work day, ten (10) hours annual leave; twenty-four (24) hour work day, twenty- four (24) hours annual leave. (d) Leave continues to accrue during the period of time an employee is on paid leave except during periods of terminal leave (leave time after which the employee does not intend to return to work). Leave does not accrue during periods of leave without pay. (e) Accrued and unused leave may be carried over from one (1) year to the next for the purpose of accumulating an annual leave account or reserve. The maximum leave hours that may be accrued are six hundred forty (640) hours for classified, unclassified, and department head service employees, and eight hundred ninety-six (896) hours for Fire Department employees working a 7(k) work period. (f) Annual leave may be used for any purpose desired by the employee. Incidental absences for sickness as unplanned are not controllable. However, planned absences must be coordinated with and approved by the appropriate department head. (g) It is required that each employee use a minimum of eighty (80) hours of leave per calendar year for employees working forty (40) hours per week, and one hundred twelve (112) hours for employees working a 7(k) work period, and affect appropriate coordination with the department head. If actual hours used are less than the minimum requirement, then the difference [SHALL]will be deducted from available leave hours without any compensation to the employee. Employees are not required to meet mandatory leave requirements their first year of service. (h) Excess leave above the amount authorized for accrual (subsections (a) through (e) of this section) existing on December 31st [SHALL]will automatically be paid at the then existing rate for the individual employee. (i) Department heads [SHALL]will schedule vacations for their respective employees with due consideration for the desires of the employees and the work requirements facing the department. Vacation schedules may be amended to allow the department to meet emergency situations. New Text Underlined; [DELETED TEXT BRACKETED] Ordinance No. 3356-2023 Page 6of7 Q) In the event of significant illness or injury not covered by workers' compensation, or absence due to training or education, an employee on exhausting annual leave may, with the approval of the City Manager or designee, borrow up to a six (6) month entitlement (i.e., thirteen (13) x 7.3846 hours) to avoid a no -pay status. Accrued annual leave will be charged to repay borrowed leave and must be repaid before annual leave may be used. In the event the person's employment with the City ends prior to the borrowed leave being repaid, the employee must reimburse the City for the value of any leave not repaid. The City may deduct the value of any leave not repaid from the employee's final paycheck. (k) Part-time employees working fifteen (15) hours a week or more [SHALL]will accrue at the same rate as a full-time employee except on a proportional basis as to hours. (1) Employees considered to be exempt from the provisions of the Fair Labor Standards Act [SHALL HAVE] are charged annual leave [CHARGED] on [AN EIGHT (8) HOUR/ WHOLE] a full -day basis. A full day is considered to be the normal hours worked in a day fora position as established b the City Manager. If any such employee [IS PRESENT FOR] works during any portion of a normal work day, that employee [SHALL NOT BE]is not charged annual leave for that day. [CONVERSELY, 1] If any such employee [IS ABSENT FROM HER OR HIS NORMAL PLACE OF] does not work [FORT within a [N ENTIRE] normal day [(EXCLUDING SATURDAYS, SUNDAYS, AND HOLIDAYS)] that employee will be charged [EIGHT (8) HOURS OF] a full day of annual leave for that day unless the City Manager or designee has a roved a substitute work da . Section 11. Amendment of Section 23.40.050 of Kenai Municipal Code: That Kenai Municipal Code, Section 23.40.050—Leave of absence without pay, is hereby amended as follows: 23.40.050 Leave of [A]Absence [W]Without [P]Pay. (a) Leave without pay may be granted to an employee upon recommendation of the department head and approval of the City manager or designee for up to one hundred eighty (180) days. Each request for such leave [SHALL]will be considered in the light of the reasons for the request and of the needs of the organization. Leave of absence without pay is not authorized or permitted for other employment. Leave without pay [SHALL]may not be requested nor granted until such time as all accrued annual leave has been exhausted, except when an employee is absent and drawing workers' compensation pay[,] or a new employee has been ranted approval for leave by the Cily Manager or designee prior to employment. (b) If an employee uses more than thirty (30) days total leave without pay during [HIS OR HER] the employee's leave year, [HIS OR HER] the employee's merit anniversary and length of service dates [SHALL]will be advanced on the calendar as follows: The number of days the leave without pay exceeds thirty (30) days are added to the anniversary date to arrive at an extended anniversary date. A new anniversary date is then established on the first day of the month closest to the extended anniversary date. (c) During a period of leave without pay, the employee's benefits [SHALL]may be in abeyance. Cost of maintenance of health and related benefits will be at the personal expense of the employee and must be prepaid via the City to insure continued coverage. Section 12. Amendment of Section 23.40.060 of Kenai Municipal Code: That Kenai Municipal Code, Section 23.40.060—Leave of absence with pay, paragraph 4, is hereby amended as follows: 23.40.060 Leave of [A]Absence with [p]Pay. (4) Death in the Immediate Family. Leave of absence with pay is provided to assist an employee who must be absent from work as a result of a death in the immediate family. [THE EMPLOYEE'S ABSENCE WOULD BE FOR FUNERAL ATTENDANCE, OR TO HANDLE MATTERS ARISING DUE TO THE DEATH OF AN IMMEDIATE FAMILY MEMBER, THAT CANNOT PRACTICABLY BE TAKEN CARE OF OUTSIDE OF REGULAR BUSINESS HOURS. UPON THE CITY MANAGER'S APPROVAL,] Immediate family means a parent, spouse, child, grandparent, New Text Underlined; [DELETED TEXT BRACKETED] Ordinance No. 3356-2023 Page 7of7 grandchild, sibling, and in-law and step -relation equivalents. Employees [SHALL BE] are entitled to [THE FOLLOWING LEAVE, WHICH WILL NOT DIRECTLY AFFECT THEIR PERSONAL LEAVE ACCOUNT: THREE (3)] five 5 working days, up to [TWENTY-FOUR (24)] forty (40) hours maximum and up to forty-eight AB) hours for emplovees engaged in fire protection activities who work an average of fifty-six (56) hours per week. Time taken for this reason will not affect the employee's annual leave accrual. Section 13. Amendment of Section 23.40.095 of Kenai Municipal Code: That Kenai Municipal Code, Section 23.40.095—Supplemental retirement, is hereby amended as follows: 23.40.095 Supplemental [R]Retirement. All employees with six (6) months of service regularly scheduled to work fifteen (15) hours or more per week [SHALL BE] are eligible to participate in a supplemental retirement program to be selected by the City Manager. The City's contribution on behalf of each eligible employee [SHALL]will be [FOUR]six and two tenths percent ([4]6_2%) of the first thirty-seven thousand five hundred dollars ($37,500.00) of base wages earned in a calendar year for the first five (5) years of service and of the first fifty thousand dollars ($50.000.00) of base wages earned in a calendar year for six (6) through ten 00) years of service and of the first sixty-two thousand five hundred dollars ($62,500.00) of base wages earned in a calendar year for eleven (11) through fifteen (15) years of service and of the first seventy five thousand dollars ($75,000.00) of base wages earned in a calendar year for more than fifteen (15) years of service. The contribution [SHALL]will not apply to additional compensation to employees, such as overtime pay, holiday pay, and qualification pay. Section 14. Severability: That if any part or provision of this ordinance or application thereof to any person or circumstances is adjudged invalid by any court of competent jurisdiction, such judgment shall be confined in its operation to the part, provision, or application directly involved in all controversy in which this judgment shall have been rendered, and shall not affect or impair the validity of the remainder of this title or application thereof to other persons or circumstances. The City Council hereby declares that it would have enacted the remainder of this ordinance even without such part, provision, or application. Section 15. Effective Date: That pursuant to KMC 1.15.070(f), this ordinance shall take effect 30 days after enactment. ENACTED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, THIS 7T" DAY OF JUNE, 2023. -7 Brian Gabriel Sr., Mayor Introduced: May 17, 2023 Enacted: June 7, 2023 Effective: July 7, 2023 New Text Underlined; [DELETED TEXT BRACKETED] KE A City of Kenai 1 210 Fidalgo Ave, Kenai, AK 99611-7794 1907.283.7535 1 www1enaixity MEMORANDUM TO: Mayor Gabriel and Council Members THROUGH: Terry Eubank, City Manager FROM: Christine Cunningham, Acting Human Resources Director DATE: May 9, 2023 SUBJECT: Ordinance 3356-2023 Amending Kenai Municipal Code Title 23 Personnel Regulations to Address Recruitment and Retention The purpose of this memo is to recommend amendments to Kenai Municipal Code Title 23 — Personnel Regulations to address recruitment and retention of employees as provided in Ordinance 3356-5023. In September, 2022, Administration formed an internal working group to undertake a comprehensive review of the City's personnel practices and processes in light of the changing workforce composition, current economic conditions and trends, and the City's competitiveness to recruit and retain qualified employees to provide City services. The working group is comprised of the following City employees: 1. City Manager Terry Eubank 2. Assistant to City Manager Christine Cunningham 3. Human Resources Director Stephanie Randall 4. Police Chief Dave Ross 5. Fire Chief Tony Prior 6. Library Director Katja Wolfe 7. Controller Lana Metcalf The group presented its recommendations to Council at a Work Session on May 16. Those recommendations included the following strategies: Offer Recruitment Incentives for Difficult -to -Fill Positions Allows the City to offer a one-time hiring bonus payment to new employees for difficult -to - fill positions. Not all jobs would qualify as "difficult to fill." An example of a difficult -to -fill position would be one with a failed recruitment, a history of failed recruitments, or a position that has been vacant for a long time despite efforts to fill the position. Allow Greater Flexibility for Entry -Level Positions Facilitates a larger applicant pool by allowing the City to hire a new employee at a lower level (Level 1) with a plan to achieve a higher level (Level II) while the employee is on the job. Not all positions would qualify, and departments would need to work with Human Resources to approve a flexibly staffed position. Allow for Setting Higher Initial Compensation Allows the City to offer a higher level of compensation than the minimum level currently set in City Code for a new employee. For this to occur, the open position must be considered "difficult to fill," or an applicant must be highly qualified for the position or have comparable experience to the level offered by the City. Provide Returning Employees Credit for Prior Years of Service Toward Leave Accrual Allows the City to give an employee who returns to the City credit for their years of prior service with the City when setting their initial leave accrual. If a current employee has prior years of service with the City, they would receive credit for their service and their leave accrual would be adjusted. Allow Flexible Scheduling for Exempt Employees Allows employees who are not eligible for overtime to substitute a day of leave for a day worked on a weekend with pre -approval by the City Manager. Expand Leave of Absence with Pay for a Death in the Immediate Family Increases the amount of leave employees are eligible to receive when they experience a death in their immediate family from up to 24 hours to up to 40 hours (up to 48 hours for employees engaged in fire protection activities who work 56 hours per week). It would also expand the current list of family members, which includes parent, spouse, children, sibling, and parent -in-law to add grandparents, grandchildren, and in-law and step -equivalents. Establish an Employee Referral Program Creates a new Employee Referral Program to help the City find applicants for open positions by giving current employees a day off with pay if they refer someone to apply for an open job and the City then hires the person referred. This program would not apply to temporary positions and would be administered by the Human Resources department as a cost-effective way for the City to encourage employees to refer qualified applicants who might not otherwise be seeking employment, incentivizes employees to share job postings and promote the City. Establish a Limited Remote Work Program Allows employees to work remotely for up to two weeks if the employee's position is suitable for off -site work subject to approval of the immediate supervisor and Department Head. Eligibility will be limited for some positions (for example, some employees may only be eligible to complete mandatory training off -site). A remote work agreement would need to be approved through Human Resources. Establish Employee Educational Program This program, currently in City Code but not funded, would set aside $5,000 for an employee education program to provide educational assistance. Employees would need to apply for the program, which would be administered by the Human Resources Department. f Page 2 of 12 The City of Kenai I www kenai.city Add a Half -Holiday to the List of City Holidays Adds a half -holiday to the City's current list of holidays and allows all employees entitled to holidays to take a half -day on Christmas Eve or New Year's Eve at the employee's choice, subject to the approval of the immediate supervisor. Public safety employees will be compensated for the additional half -holiday on Christmas Eve, consistent with other City holidays. Increase Supplemental Retirement Contribution Increases the City's contribution to supplemental retirement for employees who work 15 or more hours a week from 4% of the first $37,500 base wages to 6.2% of the first $37,500 base wages. The base wages would increase to $75,000 according to a schedule based on the employee's years of service to promote longevity and retention. Postpone Increase to Employee Cost Share for Health Insurance Benefits Over the past several years, the City has continued to increase the employee cost share for health insurance. This proposal would postpone the 1 % increase (from 13% to 14%) scheduled for July 1, 2023. Employees participating in health insurance benefits would not see a cost increase this year if approved. Nonmonetary Changes In addition to the above proposals, the working group explored a variety of new methods to recruit and retain employees and will continue to evaluate current personnel practices, including streamlining the application and hiring process, attending job fairs and connecting with community resources, creating a total compensation annual report for employees, additional training opportunities related to retirement and benefits, and continuing to re-evaluate minimum requirements in positions to ensure the education and experience requirements do not unnecessarily reduce the number of qualified applicants. Below is a summary of recommended amendments to the personnel regulations that relate to the above strategies to address ongoing recruitment and retention challenges to improve recruitment, retention, and reduce turnover and make minor amendments to reflect current practices or for consistency with the style generally followed in Kenai Municipal Code. City Attorney Scott Bloom has reviewed the following amendments and sectional analysis Section 1. Amendment of Section 23.05.010 of Kenai Municipal Code: That Kenai Municipal Code, Section 23.05.010—Employment—Qualifications is hereby amended as follows: 23.05.010 Employment —Qualifications. Employment [IN]with the City [GOVERNMENT SHALL BE]is based on qualifications, free of personal and political considerations, with equal opportunity for all with no discrimination [IN EMPLOYMENT] on the basis of race, color, religion, sex, sexual orientation, national origin, age, disability, marital status, changes in marital status, pregnancy, parenthood, [OR] genetic information. or any other basis protected by law. [IT IS A POLICY OF T] The City [TO NOT DISCRIMINATE AGAINST THE] will provide reasonable accommodation to qualified [DISABLED]individuals with disabilities in [EMPLOYMENT]accordance with the Americans with Disabilities Act. / Page 3 of 12 J The City of Kenai I www kenaixity This amendment changes language to follow the Americans with Disabilities Act (ADA) guidelines for referring to individuals with disabilities, adds language to ensure compliance with equal employment opportunity laws (e.g., amendments, specific characteristics, retaliation), and makes minor changes consistent with the style generally followed in Code. Section 2. Amendment of Section 23.05.020 of Kenai Municipal Code: That Kenai Municipal Code, Section 23.05.020—Incentives and conditions is hereby amended as follows: 23.05.020 Incentives and [C]Conditions. The City recognizes the benefit of [Jhust and equitable incentives and conditions of employment, including monetary incentives, and non -monetary recognition to recruit and retain qualified employees. All incentives and conditions of employment [SHALL BE] must be established and maintained to promote efficiency and economy in the operations of the City government. (b) An Employee Referral Program to encourage employees to refer qualified candidates to positions_ open for recruitment may be established by the City Manager. Employees may be eligible to receive up to one (1 ) day of annual leave upon initial appointment of a classified or department head service employee referred by the employee. This amendment changes language to clarify that the City offers monetary and non -monetary recognition incentives (e.g., service awards) and recruitment incentives, authorizes the City Manager to establish an Employee Referral Program, and makes minor changes consistent with the style generally followed in Code. Section 3. Amendment of Section 23.15.010_of Kenai Municipal Code: That Kenai Municipal Code, Section 23.15.010—Administration by City Manager is hereby amended as follows: 23.16.010 Administration by City Manager. The City Manager has the overall authority and responsibility for the personnel program established by this title. [SHALL BE ADMINISTERED BY THE CITY MANAGER. HE OR SHE SHALL ADMINISTER ALL PROVISIONS OF THIS TITLE AND OF THE PERSONNEL RULES. HE OR SHE SHALL] The City Manager will prepare and recommend revisions and amendments to this title as deemed necessary. The City Manager or designee [SHALL]will draft and administer [SUCH] rules and procedures as may be necessary to carry out the provisions of this title. Such rules and procedures [SHALL]must be approved by the City Manager and be uniform in application except as specifically stated. [ADDITIONALLY, EACH DEPARTMENT OF THE CITY IS ENCOURAGED TO ESTABLISH DEPARTMENTAL RULES, REGULATIONS, AND PROCEDURES SUBJECT TO THE APPROVAL OF THE CITY MANAGER. SUCH RULES, REGULATIONS, AND PROCEDURES SHALL BE IN HARMONY WITH THE GENERAL RULES OF THE CITY MANAGER AND PROVISIONS OF THIS TITLE AND SHALL BE BINDING ON THE EMPLOYEES.] This amendment changes language to allow the City Manager to designate responsibility for drafting and administering personnel rules and procedures, makes minor changes consistent with the style generally followed in Code, and removes language that no longer reflects current / Page 4 of 12 The City of Kenai I wwwlenaixity �Al practice. For example, department rules and procedures related to personnel are currently coordinated with and reviewed by Human Resources in coordination with the Legal Department. Section 4. Amendment of Section 23.20.010 of Kenai Municipal Code: That Kenai Municipal Code, Section 23.20.010—Initial classification is hereby amended as follows: 23.20.010 Initial [C]Classification. The City Manager [SHALL MAKE ANALYSIS OF]or designee will analyze the duties and responsibilities of all positions in the classified service and department head service and [SHALL] recommend to the Council a job classification plan. Each position in the classified service and department head service [SHALL] must be assigned to a job class on the basis of the kind and level of its duties and responsibilities. All positions in the same class [SHALL] must be sufficiently alike to make use of a single descriptive title [, THE SAME QUALIFICATION REQUIREMENTS, THE SAME TEST OF COMPETENCE, AND THE SAME AND PAY SCALE]. A job class may contain one (1) position or more than one (1) position. The classification plan [SHALL BE]is effective upon enactment by City Council of the ordinance adopting a budget for the following fiscal year or by resolution. This amendment changes language to allow the City Manager to designate responsibility for analyzing the essential duties and responsibilities for positions and job classes, removes language that would prevent flexible staffing at a lower and higher level for entry-level positions, which may have different qualifications and a different range in the salary schedule for each level, and makes minor changes consistent with the style generally followed in Code. Section S. Amendment of Section 23.25.040 of Kenai Municipal Code: That Kenai Municipal Code, Section 23.25.040—Appointee compensation —Classified service, is hereby renamed and amended as follows: 23.26.040 [APPOINTEE]Initial [C]Compensation[—CLASSIFIED SERVICE]. (a) Upon initial appointment to a position, [THE] employees in the classified service [SHALL]and department head service will receive the minimum compensation for the class to which the position is allocated, except as provided below. [(B)](11) In cases when unusual difficulty in filling the vacancy is experienced, [OR] when the appointee is exceptionally qualified, or when the appointee has comparable experience to the higher step or range, the City Manager may [CAUSE THE APPOINTMENT FOR EMPLOYEES IN THE CLASSIFIED SERVICE TO BE MADE AT A]approve compensation [LEVEL] above the minimum, but not more than [LEVEL D FOR THE SAME CLASS]the maximum, of the pay range for the class to which the position is allocated. ([CID) For recruitment of police officers who have successfully completed a police academy recognized by the Alaska Police Standards Council, the City Manager may offer additional compensation in the form of a signing bonus up to twenty thousand dollars ($20,000.00) to a police officer certified in accordance with the State of Alaska Certification Standards. The signing bonus must be paid according to a plan approved by the City Manager Page 5 of 12 The City of Kenai I www.kenaixit ��, Y Y (c) For recruitment of positions in which it has been determined that the position is likely to be difficult to fill in the absence of an incentive, the City Manager may offer additional compensation in the form of a recruitment incentive bonus up to ten percent (10%) of the minimum compensation for the class to which the position is allocated. The incentive must be paid according to a plan approved by the City Manager. This amendment changes language to address initial compensation for both the classified and department head service employees and makes minor changes consistent with the style generally followed in Code. The amendment to paragraph (a) adds language to authorize the City Manager to offer a level of compensation above the minimum for positions when the appointee has experience comparable to a higher step or range or when a former City employee is hired to the same position the employee previously held, making the employee eligible to return to the step the employee was at when the employee left the City or higher. The amendment to paragraph (c) adds language to allow the City Manager to offer a recruitment bonus of up to 10% of the minimum compensation for the class to which the position is allocated when it has been determined that the position is likely to be difficult to fill in the absence of an incentive. Section 6. Repeal of Section 23.25.045 of Kenai Municipal Code: That Kenai Municipal Code, Section 23.25.045—Department heads is hereby repealed as follows: [23.25.045 DEPARTMENT HEADS. (A) UPON INITIAL APPOINTMENT TO A POSITION, EMPLOYEES IN THE DEPARTMENT HEAD SERVICE SHALL RECEIVE THE MINIMUM COMPENSATION FOR THE CLASS TO WHICH THE POSITION IS ALLOCATED, EXCEPT AS PROVIDED BELOW. (B) IN CASES WHEN UNUSUAL DIFFICULTY IN FILLING THE VACANCY IS EXPERIENCED, OR WHEN THE APPOINTEE IS EXCEPTIONALLY QUALIFIED, THE CITY MANAGER MAY CAUSE THE APPOINTMENT FOR EMPLOYEES IN THE DEPARTMENT HEAD SERVICE TO BE MADE AT A COMPENSATION LEVEL ABOVE THE MINIMUM, BUT NOT MORE THAN THE MAXIMUM FOR THE SAME CLASS.] This section is incorporated into the amendment to the above section of the Code and is no longer necessary as initial compensation for both the classified and department head service employees is included in the amendment to section 23.25.040. Section 7. Amendment of Section 23.30.010 of Kenai Municipal Code: That Kenai Municipal Code, Section 23.30.010—General is hereby amended as follows: 23.30.010 General. (a) The City Manager or designee is the [R]recruitment and appointing authority [SHALL BE VESTED IN THE CITY MANAGER]. (b) Applicants must be [UNITED STATES CITIZENS OR] eligible for employment under existing state and federal laws and regulations in order to be employed by the City. [(C) APPLICANTS FOR POSITIONS IN THE CLASSIFIED AND DEPARTMENT HEAD SERVICE NEED NOT RESIDE WITHIN THE CITY LIMITS. DEPARTMENTAL RULES SHALL ESTABLISH RESPONSE TIMES REQUIRED BY THAT DEPARTMENT. Page 6 of 12 The City of Kenai I www.kenai.city (D) MINIMUM AGE FOR CITY EMPLOYMENT SHALL BE IN ACCORDANCE WITH STATE OF ALASKA LAWS.] ([E]c) Employment of qualified individuals with a disability [SHALL BE]is encouraged. [(F) EMPLOYMENT RIGHTS FOR VETERANS SHALL BE IN ACCORDANCE WITH APPLICABLE STATE AND FEDERAL LAWS. (G) APPLICANTS MUST POSSESS AN APPROPRIATE VALID ALASKA STATE DRIVER'S LICENSE, SHOULD EMPLOYMENT REQUIRE OPERATION OF A MOTOR VEHICLE. (H)](d) Applicants must complete a City application form or submit a resume of sufficient detail to equate to a City form. This amendment changes language to allow the City Manager to designate recruitment and appointing authority to streamline the application and hiring process for routine positions, removes paragraphs that are covered by the language included in paragraph (b) referencing "existing state and federal laws and regulations," and makes minor changes consistent with the style generally followed in Code. Section 8. Amendment of Section 23.30.050 of Kenai Municipal Code: That Kenai Municipal Code, Section 23.30.050—Business hours and hours of work, is hereby renamed and amended as follows: 23.30.050 [BUSINESS] Normal HOURS AND H] Hours of [W]Work. (a) The normal hours [DURING WHICH CITY OFFICES AND DEPARTMENTS SHALL NORMALLY BE OPEN FOR BUSINESS SHALL BE 8:00 A.M. TO 5:00 P.M.; POLICE AND FIRE SHALL BE OPEN FOR BUSINESS TWENTY-FOUR (24) HOURS A DAY. THE LIBRARY, SENIOR CENTER, PUBLIC WORKS AND ANIMAL CONTROL OPERATIONS SHALL BE OPEN FOR BUSINESS] of work for employees are established by the City Manager and may be ad'usted to allow for alternate or flexible work schedules or locations upon the recommendation of the department head and AS AUTHORIZED] approval by the City Manager. (b) Public safety employees, not including administrators, normal work week is: (1) Police and Communications four (4) shifts per week, two thousand eighty (2,080) hours annually. When working shift, the first and third days off [SHALL]will be treated as Saturdays,, and the middle day off (the second day) [SHALL]will be treated as a Sunday for purposes of paying overtime; (2) Employees performing fire protection activities as defined by the Fair Labor Standards Act (FLSA) may work any FLSA approved 7(k) Work Period" approved by the City Manager. (c) All other full-time employees normal work week is forty (40) hours, two thousand eighty (2,080) hours annually. Standard work day is midnight to midnight succeeding. Standard work week is midnight Sunday to midnight Sunday succeeding. [OPERATING HOURS MAY BE ADJUSTED ON TIMELY NOTICE.] This amendment changes the section title to clarify this section relates to normal hours of work. The amendment to paragraph (a) changes language to allow the City Manager to approve Page 7 of 12 The City of Kenai I www.kenaixity employees to work alternate or flexible work schedules outside of 8:00 a.m. to 5:00 p.m. for all City departments. This amendment would also allow the City Manager to approve work at alternate work sites, including off -site work. The amendment to paragraph (b) makes changes to active voice in the manner generally followed in the Code. The amendment to paragraph (c) adds language to clarify that full-time employees work a 40-hour work week and removes language covered by the amendment to paragraph (a). Section 9. Amendment of Section 23.40.020 of Kenai Municipal Code: That Kenai Municipal Code, Section 23.40.020—Holidays is hereby amended as follows: 23.40.020 Holidays. (a) Employees [SHALL BE] are entitled to the holidays listed below with pay. Full-time employees [SHALL] will receive regular compensation; part-time employees [SHALL] will be compensated in proportion to the number of hours they are normally scheduled to work. (1) New Year's Day (2) Washington's Birthday (the third Monday in February) (3) Memorial Day (the last Monday in May) (4) Independence Day (5) Labor Day (6) Alaska Day (7) Veterans Day (8) Thanksgiving Day (9) Day after Thanksgiving (10) Christmas Day (11) A floating holiday [SUBJECT TO INDIVIDUAL CHOICE OF EACH EMPLOYEE WITH FIVE (5) WORKING DAYS' NOTICE TO, AND] to be used as leave on a day of the employee's choice. subject to the approval of [, HIS OR HER] the employee's immediate supervisor. (12) A half -day holiday on either Christmas Eve or New Years' Eve at the employee's choice to be used as leave, subject to approval of the employee's immediate supervisor. (b) If any such holiday falls on a Sunday, the following Monday [SHALL]will be given as a holiday. If such holiday falls on a Saturday, the preceding Friday [SHALL will be given as a holiday. (c) Public Safety employees who normally work holidays [SHALL]will receive a payment for authorized holidays at one and one-half (1 1/2) times their normal hourly pay as follows: Fire (7(k) work period): 11.2 hours pay per holiday. Police, Communications, and Fire (forty (40) hour week): eight (8) hours pay per holiday Page 8 of 12 The City of Kenai I www.kenaixit Holidays which occur during annual leave [SHALL]will be charged against such leave. This amendment changes language to bring the Code current with City practice related to how the floating holiday is administered, adds a half -day holiday on Christmas Eve or New Year's Eve, and makes minor changes consistent with the style generally followed in Code. Section 10. Amendment of Section 23.40.030 of Kenai Municipal Code: That Kenai Municipal Code, Section 23.40.030—Annual leave is hereby amended as follows: 23.40.030 Annual [L]Leave. (a) Annual leave is combined vacation and sick leave. (b) Accrual Rate. (1) Full-time employees except certain Fire Department employees: 7.3846 hours bi-weekly first two (2) years of service. 8.3077 hours bi-weekly—three (3) through five (5) years of service. 9.2308 hours bi-weekly—six (6) through ten (10) years of service. 10.1538 hours bi-weekly—more than ten (10) years of service. (2) Fire (7(k) work period): 10.3385 hours bi-weekly—first two (2) years of service. 11.6308 hours bi-weekly—three (3) through five (5) years of service. 12.9231 hours bi-weekly—six (6) through ten (10) years of service. 14.2154 hours bi-weekly—more than ten (10) years of service. In cases in which a former City employee is selected for appointment, the City Manager may apgrove an accrual rate based on the years of service formerly earned by the employ. (c) Annual leave is charged on an hour -for -hour basis; i.e., normal work day of eight (8) hours would be charged at eight (8) hours annual leave; twelve (12) hour work day, twelve (12) hours annual leave; ten (10) hour work day, ten (10) hours annual leave; twenty-four (24) hour work day, twenty-four (24) hours annual leave. (d) Leave continues to accrue during the period of time an employee is on paid leave except during periods of terminal leave (leave time after which the employee does not intend to return to work). Leave does not accrue during periods of leave without pay. (e) Accrued and unused leave may be carried over from one (1) year to the next for the purpose of accumulating an annual leave account or reserve. The maximum leave hours that may be accrued are six hundred forty (640) hours for classified, unclassified, and department head service employees, and eight hundred ninety-six (896) hours for Fire Department employees working a 7(k) work period. (f) Annual leave may be used for any purpose desired by the employee. Incidental absences for sickness as unplanned are not controllable. However, planned absences must be coordinated with and approved by the appropriate department head. Page 9 of 12 The City of Kenai I www.kenaixity (g) It is required that each employee use a minimum of eighty (80) hours of leave per calendar year for employees working forty (40) hours per week, and one hundred twelve (112) hours for employees working a 7(k) work period, and affect appropriate coordination with the department head. If actual hours used are less than the minimum requirement, then the difference [SHALL]will be deducted from available leave hours without any compensation to the employee. Employees are not required to meet mandatory leave requirements their first year of service. (h) Excess leave above the amount authorized for accrual (subsections (a) through (e) of this section) existing on December 31st [SHALL]will automatically be paid at the then existing rate for the individual employee. (i) Department heads [SHALL]will schedule vacations for their respective employees with due consideration for the desires of the employees and the work requirements facing the department. Vacation schedules may be amended to allow the department to meet emergency situations. (j) In the event of significant illness or injury not covered by workers' compensation, or absence due to training or education, an employee on exhausting annual leave may, with the approval of the City Manager or designee, borrow up to a six (6) month entitlement (i.e., thirteen (13) x 7.3846 hours) to avoid a no -pay status. Accrued annual leave will be charged to repay borrowed leave and must be repaid before annual leave may be used. In the event the person's employment with the City ends prior to the borrowed leave being repaid, the employee must reimburse the City for the value of any leave not repaid. The City may deduct the value of any leave not repaid from the employee's final paycheck. (k) Part-time employees working fifteen (15) hours a week or more [SHALL]will accrue at the same rate as a full-time employee except on a proportional basis as to hours. (1) Employees considered to be exempt from the provisions of the Fair Labor Standards Act [SHALL HAVE] are charged annual leave [CHARGED] on [AN EIGHT (8) HOUR/ WHOLE] a full -day basis. A full day is considered to be the normal hours worked in a day for a position as established by the City Manager. If any such employee [IS PRESENT FOR] works during any portion of a normal work day, that employee [SHALL NOT BE]is not charged annual leave for that day. [CONVERSELY, 1] If any such employee [IS ABSENT FROM HER OR HIS NORMAL PLACE OF] does not work [FORT within a [N ENTIRE] normal day [(EXCLUDING SATURDAYS, SUNDAYS, AND HOLIDAYS)] that employee will be charged [EIGHT (8) HOURS OF] a full day of annual leave for that day, unless the City Manager or designee has approved a substitute work day. This amendment changes language to allow the City Manager to approve a leave accrual rate for a returning employee based on the employee's total years of service, clarifies that City employees are not required to meet mandatory leave requirements their first year of service, clarifies that, when employees borrow leave, their leave accounts are charged to repay borrowed annual leave to reflect current practice, and makes minor changes consistent with the style generally followed in Code. The amendment to paragraph (1) allows employees who are not eligible for overtime to substitute a day of leave for a day worked on a weekend with City Manager approval. Section 11. Amendment of Section 23.40.050 of Kenai Municipal Code: That Kenai Municipal Code, Section 23.40.050—Leave of absence without pay is hereby amended as follows: 23.40.060 Leave of [A]Absence [1N]Without [P]Pay. Page 10 of 12 • The City of Kenai I www.kenaixity (a) Leave without pay may be granted to an employee upon recommendation of the department head and approval of the City manager or designee for up to one hundred eighty (180) days. Each request for such leave [SHALL]will be considered in the light of the reasons for the request and of the needs of the organization. Leave of absence without pay is not authorized or permitted for other employment. Leave without pay [SHALL]may not be requested nor granted until such time as all accrued annual leave has been exhausted, except when an employee is absent and drawing workers' compensation pay[,] or a new employee has been granted approval for leave by the City Manager or designee prior to employment. (b) If an employee uses more than thirty (30) days total leave without pay during [HIS OR HER] the employee's leave year, [HIS OR HER] the employee's merit anniversary and length of service dates [SHALL]will be advanced on the calendar as follows: The number of days the leave without pay exceeds thirty (30) days are added to the anniversary date to arrive at an extended anniversary date. A new anniversary date is then established on the first day of the month closest to the extended anniversary date. (c) During a period of leave without pay, the employee's benefits [SHALL]may be in abeyance. Cost of maintenance of health and related benefits will be at the personal expense of the employee and must be prepaid via the City to insure continued coverage. The amendment to paragraph (a) changes language to allow the City Manager to designate authority to approve leave without pay requests and allows the City Manager to approve leave without pay for a new employee without requiring the employee to exhaust leave. The amendments to paragraphs (b) and (c) make changes consistent with the style generally followed in Code. Section 12. Amendment of Section 23.40.060 of Kenai Municipal Code: That Kenai Municipal Code, Section 23.40.060—Leave of absence with pay, paragraph 4 is hereby amended as follows: 23.40.060 Leave of [A]Absence with [p]Pay. (4) Death in the Immediate Family. Leave of absence with pay is provided to assist an employee who must be absent from work as a result of a death in the immediate family. [THE EMPLOYEE'S ABSENCE WOULD BE FOR FUNERAL ATTENDANCE, OR TO HANDLE MATTERS ARISING DUE TO THE DEATH OF AN IMMEDIATE FAMILY MEMBER, THAT CANNOT PRACTICABLY BE TAKEN CARE OF OUTSIDE OF REGULAR BUSINESS HOURS. UPON THE CITY MANAGER'S APPROVAL,] Immediate family means a parent. spouse, child, grandparent, grandchild. sibling, and in-law and step - relation a uivalents. Employees [SHALL BE] are entitled to [THE FOLLOWING LEAVE, WHICH WILL NOT DIRECTLY AFFECT THEIR PERSONAL LEAVE ACCOUNT: THREE (3)] five 5 working days, up to [TWENTY-FOUR (24)] forty (40) hours maximum and up to forty-eight (48) hours for employees engaged in fire protection activities who work an average of fifty-six (56) hours per week. Time taken for this reason will not affect the employee's annual leave accrual. The amendment changes language to increase the maximum amount of paid leave employees would be eligible to receive for absences due to a death in their immediate family. The definition % Page 11 of 12 The City of Kenai I www.kenaixity of immediate family is not in this section of the Code, but it has been the City's practice to include parent, spouse, children, sibling, and parent -in-law. This amendment would add the definition of immediate family to include grandparents, grandchildren, and in-law and step -equivalents to make the City comparable to other government employers that provide employees with paid bereavement leave. Section 13. Amendment of Section 23.40.095 of Kenai Municipal Code: That Kenai Municipal Code, Section 23.40.095—Supplemental retirement is hereby amended as follows: 23.40.096 Supplemental [R]Retirement. All employees with six (6) months of service regularly scheduled to work fifteen (15) hours or more per week [SHALL BE] are eligible to participate in a supplemental retirement program to be selected by the City Manager. The City's contribution on behalf of each eligible employee [SHALL]will be [FOUR]six and two tenths percent ([4]6_2%) of the first thirty-seven thousand five hundred dollars ($37,500.00) of base wages earned in a calendar year for the first five (5) years of service and of the first fifty thousand dollars ($50.000.00) of base wages earned in a calendar year for six (6) through ten (10) years of service and of the first sixty-two thousand five hundred dollars „($62 500.00) of base wades earned in a calendar Year for eleven (11) through fifteen (15) years of service and of the first seventy five thousand dollars (�75 000.00� of base wages earned in a calendar year for more than fifteen 05) years of service. The contribution [SHALL]will not apply to additional compensation to employees, such as overtime pay, holiday pay, and qualification pay. This amendment increases the City's contribution to supplemental retirement for employees who work 15 or more hours a week from the 4% established in 1989. The supplemental Retirement Program was designed as a partial replacement for the Social Security Program, from which the City withdrew in 1981. If these amendments are approved, they would become effective July 7, 2023, and Administration would work with Human Resources to update the Employee Handbook and communicate changes with employees. Thank you for your consideration. Page 12 of 12 The Cityof Kenai I www.Lenaixit Y