5.2 ERMUSR 01-09-2024��i
Elk River
Municipal Utilities UTILITIES COMMISSION MEETING
TO:
FROM:
ERMU Commission
Mark Hanson — General Manager
MEETING DATE:
AGENDA ITEM NUMBER:
January 9, 2024
5.2
SUBJECT:
ERMU Clothing Allowance Update
ACTION REQUESTED:
Approve the new clothing allowance amount of $120
BACKGROUND:
At the November 2023 commission meeting, the Commission directed staff to review the
clothing allowance program for potential adjustment. The employee handbook states: "For
Commissioners and employees other than regular field workers, the Utilities will provide a $75
annual allowance for Utilities logo clothing." The $75 amount has been in place since the
clothing allowance program was implemented in August 2014.
DISCUSSION:
Staff reviewed employees' clothing expenditures beyond the allowance over the past several
years to determine a reasonable adjustment. Purchase records since 2020 show the average
personal expense paid by employees and commissioners is $22.35. In actuality, this translates
to roughly half the people paying $35-$50 out of pocket while others purchased right at the
allowance limit or slightly over.
Feedback received is that the current allowance only provides for the purchase of a single name
brand item (perceived as more durable). Setting the allowance at $120 would be sufficient to
provide two average items (such as a dress shirt or vest) or one larger item (such as a jacket). As
such, it is recommended that the clothing allowance be increased to $120.
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