5.2. ERMUSR 07-12-2005Elk River
Municipal
13069 Orono Parkway
Elk River, MN 55330
July 5, 2005
To: Elk River Municipal Utilities Commission
Jerry Takle
.Tim Tralle
John Dietz
From: Bryan Adams
Subject: Public Expenditure Policy
phone: 763.441.2020
Fax: 763.441.8099
Attached is a marked up Public Purpose Expenditure Policy that the City Council
recently adopted. In an effort to make this policy appropriate for Elk River Municipal
Utilities, staff is suggesting the deletions that are underlined and additions in bold print.
ities
Staff recommends adoption of this policy.
CITY OF ELK RIVER ELK RIVER MUNICIPAL UTILITIES
PUBLI PURPOSE EXPENDITURE POLICY
POLICY
Pursuant to the statutes and laws of the State of Minnesota which regulate the expenditure of
public funds for public purposes, the Elk River City Council Elk River Municipal Utilities
believes it is necessary and appropriate to provide assistance and guidance to the officials,
employees, and representatives of Elk River to aid in the determination of when public
funds may be spent for a public purpose.
To provide that assistance and guidance, the Elk River City Council Elk River Municipal
Utilities adopted these public purpose guidelines for the establishment of operating policies
and procedures and the appropriate expenditures of public funds. Based on these guidelines,
the City Council Utility Commission authorizes the City Administrator General Manager,
elected appointed officials and appointed department heads to establish administrative
policies and procedures that are consistent with these guidelines and the adopted City Utility
policies which implement these guidelines.
De anition: A public purpose expenditure is one which relates to the purpose for which the
City of Elk River Elk River Municipal Utilities exists and the duties and responsibilities of
Elk River, its elected and appointed officials, employees, and other representatives.
PUBLIC PURPOSE GUIDELINES
1. Training and development programs for Elk River Elk River Municipal Utilities
employees serve a public purpose when those training and development programs are
directly related to the performance of the employees' job-related duties and are directly
related to the programs/services for which the City Utility is responsible.
2. Payment of employee work-related expenses, including travel, lodging and meal
expenses, serves a public purpose when those expenses are necessarily incurred by Elk
River Elk River Municipal Utilities employees in connection with their actual work
assignments or official duties and those expenses are directly related to the performance of
the governmental functions for which Elk River has responsibility.
3. Appropriate safety and health programs for Elk River Elk River Municipal Utilities
employees serve a public purpose because they result in healthier and more productive
employees and reduce certain costs to the City and the taxpayers rate payers of Elk River,
including various costs associated with workers compensation and disability benefit claims,
insurance premiums, and lost time from employee absences.
4. Public expenditures for appropriate Elk River Elk River Municipal Utilities employee
and volunteer recognition programs serve a public purpose because formally recognizing
employees and volunteers who make significant contributions and demonstrate their
commitment during the performance of their duties results in higher morale and productivity
among all Elk River Elk River Municipal Utilities employees and volunteers, and therefore
helps the City Utility to fulfill its responsibilities efficiently and more cost effectively.
5. Public expenditures for food and refreshments associated with official Elk River Elk
River Municipal Utilities functions serve a public purpose when the provision of food or
refreshments is an integral part of an official Elk River Elk River Municipal Utilities
function and the provision of food or refreshment is necessary to ensure meaningful
participation by the participants.
6. Public expenditures for appropriate community and customer outreach and similar
activities serve a public purpose when those expenditures are necessary for Elk River Elk
River Municipal Utilities to ensure the efficient operation of its programs/services,
promote the availability and use of City Utility resources, and promote coordinated,
cooperative planning activities among and between the public and the private sectors.
SPECIFIC PROGRAMS AND EXPENDITURES
Every City of Elk River Elk River Municipal Utilities expenditure, must be valid based
upon the public purpose for which it is expended. These line-items are approved
annually by the City Council Utility Commission as a part of the overall budget approval
process. which includes a public hearing on the proposed budget
The following items are deemed to meet the Council Utility Commission definition of
public purpose expenditures.
Meetings: Food/Meals/Re. freslzments
The City Council Elk River Municipal Utilities recognizes that situations in which City
Utility business needs to be discussed can and do occur during meal hours (i.e. luncheon
meetings). In addition, there are public and employee meetings and events in which
reasonable refreshments may add to the success of the meeting and/or event and create a
more productive workforce. Meals are allowed at training or meetings only when they are
part of a meeting or training involving official c~ utility business and when it is the only
practical time to meet.
The following items are deemed to meet the Council's Utility Commission definition of
public purpose expenditures in regards to food/meals/refreshments.
a. Allowed at City Utility meetings and events that have the purpose of discussing
City Utility issues. These meetings would normally have apre-planned agenda and
would involve predominately non-cam utility employees.
b. Allowed when they are part of the structured agenda for an offsite conference,
workshop, seminar, training session, or meeting in which the City Administrator
General Manager or a department head has authorized the employee to attend for
training and development purposes. This does not include routine staff meetings.
c. Allowed when they are part of a breakfast/lunch/dinner meeting for official c
utility business when it is the only practical time to meet and when it involves non-
c~ utility employee participants (i.e. business developers or business
representatives). Payment for fees relating to a special event, such as a Chamber of
Commerce event, may also be allowed when approved by the City Administrator
2
General Manager and when attendance is deemed to meet the public purpose
guidelines for community or customer outreach and marketing of the City Utility.
d. Allowed during non-routine, official meetings of the City Council Utility Commission,
council utility committees, advisory boards/commissions, and taskforces.
e. Allowed where employees or volunteers are participating in a City Council
Utility Commission sponsored or authorized special event or in an outside
event as an official representative of the City Utility.
f. Allowed for department sponsored meetings, conferences or workshops where
the majority of invited participants are not c~ utility employees.
g. Cookies and coffee allowed for City Utility employees' monthly safety
meetings sponsored by the Safety Committee.
h. Annual safety training lunch where lunch is provided at a minimal cost while
safety training is being held.
i. A dinner meal to be allowed for staff during performance of election related
duties on Election Day.
j. Coffee is provided by the c~ utility for employees and guests at c~ utility
buildings.
Alcoholic Beverages
The City of Elk River Elk River Municipal Utilities will not purchase or reimburse
any employee, Councilmember Commission Member, volunteer, or agent for the
purchase of alcoholic beverages.
Employee Recognition Program
The City of Elk River City Council Elk River Municipal Utilities Commission
recognizes the hard work and service performed by the employees of the City of Elk
River Elk River Municipal Utilities through a formal Employee Recognition Program.
The City Council Utility Commission believes the benefits of attracting, retaining and
motivating employees through an Employee Recognition Program support employee job
satisfaction, which in turn impacts cooperation and productivity. The result is to provide
excellent public and customer service to better serve the interests of the citizens of the
community.
No provisions of this policy, or its administration, shall be subject to review under the
grievance or arbitration provisions of any collective bargaining agreement.
The Program will include:
1. Annual Employee Recognition Celebration. Annually the City Utility will sponsor an
Employee Recognition Celebration for City Utility employees. Refreshments will be
provided at a modest expense with prior City Administrator General Manager approval.
2. Recognition Plaques. The City Utility supports recognition plaques in recognition of
retirement. The employee shall receive a plaque thanking them for their dedicated years of
service to the community.
Volunteer Recognition Program/Events
The City of Elk River City Council Elk River Municipal Utilities recognizes the hard work
and service performed by the volunteers of the City of Elk River Elk River Municipal
Utilities through a formal Volunteer Recognition Program. This Program promotes
teamwork and coordination amongst the City Council Utility Commission, staff,
Board/Commission members, Police Reserves, CERT and Parks and Recreation volunteers.
The Program will include:
1. Volunteer Recognition Program for Board/Commission Members. Annually, the City
Utility will sponsor a dinner (which may also include minimal entertaimnent) for invited
participants and their guests. This dinner and a token gift for the volunteers will serve as
de minimus compensation for the service provided by the volunteers. Employees working
directly or indirectly with the volunteer groups being recognized shall be invited along
with their guest to the event and have the cost of their meals paid for by the City Utility.
No token gift will be given to employees.
2. Police Reserves/CERT/Parks and Recreation Volunteers. Annually, the City Utility
will sponsor an event or picnic for invited participants and their guests.
Other Events
The Clty Utility supports other events that are planned and paid for by employees.
Examples of such events include holiday gatherings and monthly birthday recognition.
Refreshments and Food for Emergency Response Staff
Because emergency personnel are often called to perform for extended periods of time
where refreshments are important to duty performance, firefighters, police officers, and
other emergency response personnel may be provided refreshments or food when it is
deemed appropriate by the City Administrator General Manager or Department Head to
assure the delivery of quality emergency response service.
Employee Training
The Cit Council Utility Commission supports employee training and allows for
reasona le reimbursement of registration, tuition and travel expense for conferences,
seminars, workshops, and approved city employment-related course work in accordance
with the City of Elk River Elk River Municipal Utilities Personnel Policy.
The Personnel Policy also contains guidelines for an education reimbursement program.
Job related advanced education meets the public purpose guidelines of this policy.
Employee Wellness and Safety Programs
The City Council Utility Commission recognizes the importance of employee fitness and
health as it relates to the overall work and life satisfaction of the employee and the impact
on the City Utilities health insurance program. As such, the City Council Utility
Commission supports the Employee Wellness Program, which has been designed to
educate employees on fitness/health issues. Also, in an effort to promote wellness, the city
maintains a fitness room equipped with exercise equipment that is available to all staff
24/7.
The City Utility also supports programs that provide discounts to employees when
participating in Parks and Recreation wellness related activities.
The Employee Safety Program and programs created by the Safety Committee to promote
and retain a safe work environment are supported by the City of Elk River Elk River
Municipal Utilities. Refer to ~lleetings: Food~Meals/Refreshments
Membership and Dues
The City Council Utility Commission has determined that the City Utility will fund
memberships and dues for the City Utility, Council Members Commission Members, and
its employees in professional organizations and City Utility social and community
organizations when the primary purpose is to promote, advertise, improve or develop the
City's Utility's resources and advantages and not personal interest or gain. Said
memberships shall be approved by the Department Head and City Administrator General
Manager.
Membership in the Local Chamber of Commerce
The City Council Utility Commission has determined that it serves a public purpose for the
Economic Development Authorit, (~ EDAM Elk River Municipal Utilities to maintain
membership in the Elk River Chamber of Commerce as a means of promoting, advertising,
improving, and developing the economic resources and advantages of the City Utility.
Donations to Organizations
The City Council Utility Commission has determined that it serves a public purpose for the
City of Elk River Elk River Municipal Utilities to donate to the Elk River Area Chambers
of Commerce for the Annual 4~~' of July Celebration wherein the Chamber of Commerce
advertises and promotes the resources and advantages of the City Utility.
The City Council Utility Commission has determined that it serves a public purpose for the
City of Elk River Elk River Municipal Utilities to purchase candy for distribution during
the local high school homecoming and county fair parades.
Clothing and Other Sundry Items
Employees may receive T-shirts, and other sundry items of nominal value ($5.00) when
these items are made available to the general public or if these items are determined by the
City Administrator General Manager to be important to the successful involvement of
employees in special City Utility sponsored or City Utility supported events (i.e. National
Night Out, etc.). Employees may be supplied with uniforms, clothing, boots and other gear
necessary for the performance of their job.
Trinkets or Marketing Items
The City Council Utility Commission has determined that it serves a public purpose for the
City of Elk River Elk River Municipal Utilities to distribute items of a nominal nature for
the purpose of educating or promoting City Utility provided programs such as recycling, our
local Cable Channel ERtV, and educating children to call 9-1-1.
Sympathy Gifts
The cost of flowers or other similar items as a sign of sympathy shall not be paid for by
public funds.
Gifts for Employees, Consultants and Others
The C~ Utility shall not pay for gifts to employees, consultants, or similar persons working
with or for the City Utility.
CONCLUSION
The City Council Utility Commission reserves the right to not fund any item of expenditure
described in this policy. No provision of this policy, or its administration, shall be construed
as being a benefit or condition of employment by or for any employee of the City Utility,
nor is any provision of this resolution to be considered a provision of the City's Utility's
Personnel Policy.
The Elk River City Council Elk River Municipal Utilities has determined that the above
expenditures are valid expenditures and serve a public purpose.