INFORMATION #2 01-16-1995
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JAN-16-95 MON 13:26 ELK RIVER MACH
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JANUARY 10, 1995
COMPENSATION TASKFORCE
ELK RIVER FIRE DE~ARTMENT
SUMMARY OF PROPOSED FAIR COMPENSATION PACKAGE
THIS COMPENSATION PACKAGE WILL INCLUDE CHANGING THE PENSION' FROM
DEFINED BENEFIT TO DEFINED CONTRIBUTION. ,THIS CHANGE WILL BE: DONE
IN A FAIR AND EQUITABLE WAY THAT WILL NOT REGRESS ANY PENSION
ACCOUNT BALANCES.' THE CHANGE NEEDS TO BE DONE' SO THAT NO, FIRE
FIGHTER, WHETHER NEW OR LONG STANDING MEMBER, IS TREATED
DIFFERENTLY'THAN ANOTHER.
TOTAL BENEFIT WILL BE DEFINED AS FOLLOWS:
TOTAL BENEFIT = HOURLY PAY + BENEFIT PAY
HOURLY:PAY is DEFiNED AS THE PAY THAT IS PAID DIRECTLY TO THE FIRE
FIGHTER.
BENEFIT PAY IS DEFINED AS THE PENSION PAY PER HOUR THAT GOES INTO
THE DEFINED CONTRIBUTION RETIREMENT PAY. ' ,
TOTAL BENEFIT HOURS WOULD BE APPLIED TO THE FOLLOWING HOURS: ,
HOURS WHILE ON A PAGED EMERGENCY CALL (MINIMUM 1 HOUR PER. PAGED
EMERGENCY) . .'
ALL HOURS FOR TRAINING DRILLS AND FIRE RELATED SCHOOLING.
HOURLY PAY ONLY...WOULD APPLY TO THE FOLLOWING HOURS:
HOUR$ FOR,COMMITTEE WORK THAT HAS BEEN PRE-APPROVED.
ALL WORK DUTY HOURS AT THE FIRE STATION.
ALL FIRE MEETINGS.
THE TOTAL BENEFIT PAYMENT WOULD BE MADE UP OF THREE FACTORS:
1) HQURLY WAGE PAID TO THE FIRE FIGHTERS.
: 2) THE 2% 'STATE 'PENSION PAYMENT.
; 3) THE CITY OF ELK RIVER PENSION PAYMENT.
EXAMPLE: IF 5000 HOURS WERE PUT IN BY THE FIRE FIGHTERS IN ONE
CALENDAR YEAR 5000 hrs X $22.25 (RATE PAID IN 1991) = TOTAL
BENEFIT. .
THE FIRE FIGHTERS WERE PAID $8.00 PER HOUR IN 1991, SO THE BENEFIT
PAY WOULD BE $22.25 LESS $8.00 = $14.25 PER HOUR. THE CITY PENSION
PAYMENT AND THE STATE 2% PENSION PAYMENT WOULD BE 5000 X $14.25jhr,
WHICH WOULD BE PUT INTO THE RELIEF ASSOCIATION PENSION FUND FOR THE
FIRE FIGHTERS. THE CITY'S PENSION PAYMENT WILL FLUCTUATE WITH THE
HOURS PUT IN AND WITH WHAT THE STATE 2% PENSION PAYMENT IS FROM THE
STATE OF MINNESOTA.
SPECIAL HOURLY PAY RATE WILL BE AS FOLLOWS: .
HOLIDAYS WILL BE'PAID AT A DOUBLE TIME RATE. THIS ONLY APPLIES TO
THE HOURLY PAY THAT THE FIRE FIGHTER RECEIVES AND NOT THE
BENEFIT PAY RATE. THESE HOLIDAYS ARE TO BE NEW YEARS DAY,
MEMORIAL DAY, 4th OF JULY, LABOR DAY, THANKSGIVING DAY,
CHRISTMAS EVE AND CHRISTMAS DAY.
NIGHT CALLS WOULD HAVE A 2 HOUR MINIMUM PAY BETWEEN THE HOURS OF
10:00 PM AND 6:00 AM.
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JAN-16-95 MON 13:27 ELK RIVER MACH
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HOURLY PAY WOULD HAVE A BASE RATE WITH THIS RATE CHANGING AS
FOLLOWS: PROBATIONARY FIRE FIGHTER BASE RATE LESS $l.OO/hr
AP~ARATUS OFFICER BASE RATE PLUS $1.00/hr
CAPTAINS BASE RATE PLUS $1.00/hr
ASSIS~~NTCHIEFS BASE RATE PLUS $2.00/~r
THE INDIVIDUAL FI~E FIGHTER COULD INCREASE THEIR OWN BASE RATE BY
GETTING ADDITIONAL TRAINING. THE RATE WOULD CHANGE BY $0.50/hr
AFTER THE FIRST 60 HOURS OF FORz,,1AL TRAINING. FOR EACH ADDITIONAL 75
HOURS THE RA~E WOULD INCREASE BY $0.25/hr. THE MINIMUM
PROBATIONARY TRAINING HOURS WOULD NOT COUNT TOWARDS THIS INDIVIDUAL
RATE CHANGE. ""
THE FIRE FIGHTERS WOULD GET THE SAME RAISE PERCENT AS THE REST OF
THE CITY EMPLOYEES GET. THIS WOULD BE APPLIED TO THE HOURLY RATE,
THE BE~EFIT RATE. AND THE TRAINING HOURLY PAY INCREASE. '
THE PENSION PAY "RATE WOULD BE THE TOTAL BENEFIT RATE LESS THE BASE
HOURLY RATE. AN INCREASE IN AN INDIVIDUAL'S PAY RATE WOULD NOT
EFFECT (LESSEN) ,THE PENSION PAY RATE.