6.6. SR 03-06-2006
City of Elk River
REQUEST FOR COUNCIL ACTION
Agenda Section Meeting Date
Administration March 6, 2006
Item Description
Sick Leave Donation Polic
Item Number
6.6.
Prepared by
Lori ohnson, Ci Administrator
Reviewed by
Introduction
The City does not have a leave donation policy that allows employees to donate leave to another
employee who is off work due to a serious illness or accident and has exhausted all of his/her leave time.
Employees have been asking about donating leave to a city employee seriously injured recendy in an
accident who will be exhausting his leave time before he is able to return to work.
Discussion
This question has come up before including the last time the personnel policy was revised. However, it
has never come before the Council for consideration. There are a very few instances when the policy
would apply; unfortunately, now is one of those times which is why the question is being raised by
employees now.
Many cities have a policy that allows employees to donate either sick, vacation, or compensatory time to a
fellow employee who has experienced a catastrophic accident or major illness. Some cities pay for long
and or short term disability for their employees in lieu of or in conjunction with a leave donation
program.
Elk River does not pay for long or short term disability insurance for its employees. Instead, it is made
available at employee expense on a voluntary basis through group plans offered by the City. The long
term disability policy does not start until 90 days after the disability.
If the Council agrees that a leave donation policy is needed, there are many ways to structure it. Some
cities require employees to donate equal amounts of vacation and sick leave, some only allow vacation
time, while others allow just sick time. Each employee is allowed to donate a maximum number of hours,
and the employee receiving the donation is allowed to receive a maximum number of hours. For
instance, each employee could donate eight hours of sick leave and the employee receiving the donation
could receive a maximum of 240 hours. The leave runs simultaneously with Family and Medical Leave
Act leave. Employees need to have used all of their leave time including vacation, compensatory time,
eligible holiday, and sick time before becoming eligible for donated leave. The hours donated are paid to
the recipient at his/her current rate of pay.
Financiallmoact
There is an expense to this program because the City would be paying for leave time that may not
otherwise be paid. If vacation and compensatory leave is donated, there will be no additional expense.
Since only a small portion of sick leave is paid at termination to long term employees, most sick leave
donated would be an expense to the City that would not otherwise be incurred.
S:\Council\Lori\2006\Sick Leave Donation Policy.doc
Attachments
nla
Action Reauested
Staff requests direction on whether the Council would like to adopt a leave donation policy. If so, a
policy will be brought back at a future meeting for adoption.
Council Action
Motion by _
Second by _
Vote
Follow Up
S:\Council\Lori\2006\Sick Leave Donation Policy. doc