 The measure is anticipated to help improve finances for the city, in
that the city normally pays the full amount for health insurance for
employees and pays only half the premium for retirees. Also, health
insurance coverage for younger employees is less than that of the
older employees.The package targets qualifying employees who
currently are covered with insurance through the city and are ages
50 to 55. Currently this would affect up to 11 employees who are in
the police department, fire department and the streets department.
Police Chief Stuart Erlenbush and Fire Chief James Davis both
thought that there could be up to five employees in each of their
departments who qualify and might take advantage of the offer.
Streets Superintendent Tracy Jackson said that he had one qualifying
employee, but he didn't think that person would be interested in
exercising his option. There are no qualifying employees in the city
clerk's office.
Any employee qualified to retire under the applicable retirement
plan (requirements vary between departments) who will be 50 years of
age on or before Jan. 31, 2008, is eligible to participate in the
early retirement incentive plan offered by the city.
Eligible employees at least 50 years of age but not yet 55 by
Dec. 31 can accept the incentive, but they must actually retire on
or before Dec. 31, 2007.
The package is extended to include qualifying employees who turn
50 on or before Jan. 31, 2008. They must retire by Jan. 31, 2008.
To participate in the package, employees must declare their
intention to retire in writing on or before Oct. 1.
The city will cover half of the individual's insurance premium
that is offered through the city from age 50 up to 55. At age 55 the
agreement is that which has been determined by the department's
union collective bargaining at that time.
City attorney Bill Bates said he had verbal consent from the
unions to develop an offering and that he would draw up a letter
explaining the package for the collective bargaining agents.
Last week the chiefs discussed that it would take some time to
train new officers and firemen.
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It takes six months before a police officer is ready to go to work.
There is one officer applicant who is already trained and would
begin soon after hiring. Erlenbush would like to have the next new
officer in the September police training institute and a third in
the October class.
Erlenbush requested to have it put on the agenda next week to
hire new officers. Then the hirings can begin as retirement
commitments come in.
The council approved the package 7-1. Alderman Benny Huskins
voted no. Aldermen Verl Prather and Dave Armbrust were absent.
During the work session meeting that followed, Huskins observed
that the stated intent in offering the incentive package was to help
improve cash flow and address budgetary restraints that have not
allowed the departments to rehire employees after cutbacks were made
some years ago.
He did not approve of the city supplying officers and street
sweeping for the county fair. "The city is strapped for money," he
said. He asked if there was overtime for officers to be out at the
fair.
Erlenbush said, "Our officers were paid overtime to work the
fair."
Huskins observed, just as he has in the past, that the city uses
city equipment and labor to clean the streets at the fair. This is
not right, he contends, as the grounds are private property, not
city property. It isn't fair to the taxpayers.
Mayor Beth Davis agreed, saying, "I do think we are getting to
the point where we have to deny courtesies when we can't take care
of some of our own things, while taking care of all of the others.
This does get into a monetary value." This should maybe be looked at
more seriously in light of current city finances, she offered.
[Jan
Youngquist]
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