HomeMy WebLinkAboutOrdinance No. 2694-2013Suggested by: Administration
CITY OF KENAI
ORDINANCE NO. 2694 -2013
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, AMENDING
THE KENAI MUNICIPAL CODE SECTION 23.25.065, SHIFT DIFFERENTIAL PAY, TO
PAY EMPLOYEES SHIFT DIFFERENTIAL PAY FOR EACH QUALIFYING SHIFT
WORKED.
WHEREAS, pursuant to KMC 23.25.065, Shift differential pay, City employees are only
eligible for shift differential pay if the employee is scheduled to work at least seventy
five percent (75 %) of the hours in a monthly pay period in one or any combination of
shifts eligible for shift differential pay, and then the employee receives the shift
differential pay for all hours worked during the month; and,
WHEREAS, it is more equitable to pay employees a shift differential for each qualifying
shift at the specific qualifying shift differential rate; and,
WHEREAS, KMC 23.25.065 must also be amended to reflect the change in the City
moving from a monthly pay period to a bi- weekly pay period.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI,
ALASKA:
Section 1. Form: That this is a Code ordinance.
Section 2. Amendment of Section 23.25.065 of the Kenai Municipal Code: That
Kenai Municipal Code, Section 23.25.065 Shift differential pay, is hereby amended as
follows:
23.25.065 Shift differential pay.
(a) Eligible [E]employees who [ARE SCHEDULED TO] work certain shifts explained
below [MAY BE] are entitled to additional compensation. To be eligible, the scheduled
shift must be for a period of less than twenty -four (24) hours. [IN ADDITION, THE
EMPLOYEE MUST BE SCHEDULED TO WORK AT LEAST SEVENTY -FIVE PERCENT
(75 %) OF THE HOURS IN A MONTHLY PAY PERIOD IN ONE OR ANY COMBINATION
OF THE SHIFTS IDENTIFIED BELOW].
(b) Eligible shifts and rates are:
(1) Shift begins after 2:00 p.m. and before 6:00 p.m. -2 %.
(2) Shift begins on or after 6:00 p.m. and before 3:00 a.m. -4%.
(c) The above rates will be computed against Step A of the pay range of the
employee. [IF DETERMINED TO BE ELIGIBLE, THE EMPLOYEE WILL RECEIVE THE
COMPUTED DOLLAR AMOUNT FOR THE WHOLE MONTH. IF INELIGIBLE, NO SHIFT
New Text Underlined; [DELETED TEXT BRACKETED]
Ordinance No. 2694 -2013
Page 2 of 2
DIFFERENTIAL PAY WILL BE ALLOWED FOR THAT MONTH. IF THE EMPLOYEE IS
ELIGIBLE BASED UPON A SCHEDULE OF A COMBINATION OF SHIFTS, HE WILL BE
PAID AT THE RATE CORRESPONDING TO THE MAJORITY OF TIME WORKED.] Shift
pay is not to be considered in computing annual leave or holiday pay.
(d) Eligible employees shall receive shift deferential pay for each eligible shift
worked. [IF ALL EMPLOYEES OF THE SAME CLASS IN A GIVEN DEPARTMENT
ROTATE AT THE SAME TIME TO A SUBSTANTIALLY DIFFERENT SHIFT BASIS, THE
PROVISIONS OF THIS SECTION SHALL NOT APPLY.]
(e) Shift pay will be allowed only upon approval of the City Manager when such
work schedule is necessary for the benefit of the City.
Section 3. 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 4. Effective Date: That pursuant to KMC 1.15.070(f), this ordinance shall
take effect July 1, 2013.
PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 15th day of May,
2013.
PAT PORTER, MAYOR
ATTEST:
S44a odig , City Clerk
Approved by Finance: 1• �
Introduced: May 1, 2013
Adopted: May 15, 2013
Effective: July 1, 2013
New Text Underlined; [DELETED TEXT BRACKETED]
"Villaye with a Past, Gity with a Future"
FINANCE DEPARTMENT
210 Fidalgo Avenue, Kenai, Alaska 99611 -7794
\the cs�y of Telephone: 907 - 283 -7535 ext 221 / FAX: 907 - 283 -3014
V
To: Rick Koch, City Manager
From: Terry Eubank, Finance Director
Date: April 24, 2013
Re: Ordinances 2693 -2013, 2694 -2013, and 2695 -2013
Ordinances 2693 -2013, 2694 -2013, and 2695 -2013 are necessary for the City to switch its
payroll cycle from monthly to bi- weekly effective July 1, 2013. The proposed switch will
simplify the City's payroll processing, eliminate control deficiencies of the current system, and
assure compliance with payroll laws and regulations. The switch will also provide a means for
employees to receive pay for overtime worked on a more - timely basis.
Many sections of the KMC reference paying employees on a monthly basis or using a salary
basis to pay employees. These changes will replace monthly basis with bi- weekly and replace
salary with hourly basis so as to eliminate confusion with provisions of the Fair Labor Standards
Act.
Other changes necessary for this switch include converting monthly accrual rates for leave to bi-
weekly accrual rates. These changes are accomplished in Ordinance 2693 -2013 with no increase
or reduction in employee leave benefits.
Ordinance 2394 -2013 will change how eligibility for shift differential pay is determined.
Currently 75% or more of the shifts worked in a month by an employee must be a qualifying
shift to receive shift differential compensation. The proposed change will pay shift differential
for each shift worked.