None we are adjourned.

Time is 711.

All right.

We are going to reconvene into work session.

Are we going to do this in the community room?

Yes.

All right.

In the community room.

Five minutes.

Oh, okay.

Is personnel overview the same?

Is this one?

No, that's not the same.

Oh, okay.

It's it's the last one.

It's the personnel policy amendments.

And I apologize.

Is it like in the back?

It's in the back.

It's in your packet.

It's at the very end.

I apologize.

I did not print this one.

Oh, we're only in the packet.

I'm sorry.

I apologize for that.

The other one there, but this one's not.

Um okay.

So there's only five uh uh person policies that we're recommending um some adjustments to.

The first one is section three uh three point zero two compensation establishment.

So currently promotions and lateral transfers require a six-month introductory period where the employee is evaluated every 90 days.

The only uh adjustment that we're recommending adding, same thing, but just making it clear that once that employee reaches their one year mark, um, they are required to have an annual eval, where at that point they'll be eligible for a merit increase, of course, depending on budget availability.

So, why that change?

So, this is our current practice anyway, it just wasn't written in policy, so we just want to make it clear in policy so that way um there's clarity for our employees and our supervisors, and of course, consistent application.

Any questions on that?

Change.

Okay.

Okay, so the next one, the the biggest one here is overtime work section 3.11.

So currently that would adopted about a year and a half ago.

Um currently holiday leave, vacation, bereavement, military, and jury duty all counts as hours worked for the purposes of calculating overtime.

So you may have you may remember us making that change um a little over a year ago.

Um so because uh there's a few reasons why we are recommending to revert back to the original policy where only overtime was uh calculated based on actual hours worked.

The reasons for that is because um we've kind of noticed that since we've adopted this policy over time, overtime costs have exceeded what we've projected.

Um and so if we keep we realize that if we keep going in that direction, then it will cause a significant financial impact to the city.

As you can imagine with this new policy, it has um resulted in difficulty um having being able to clearly um and accurately forecast and control overtime.

Um and then for those who don't know, there is a federal mandate that went out that allows a tax deduction for overtime earnings, but only for worked hours only.

So because currently we allow overtime um to be reflected on worked and non-worked, it puts an administrative burden on the finance department to have to split that out to split to manually split out worked and non-worked.

Um so those are those are the primary the reasons why we want to make that change.

Any questions on that one?

So what is typically done with like industry-wide?

It's all across the board.

You have some cities that do that do allow um leave hours to count towards hours worked, um, and then you have some that only allow overtime uh to be calculated based on I'm sorry, yeah, overtime to be calculated based on hours, just hours worked only, no leave accrual.

So I would say it's almost 50-50.

So and you do have some, they might pull out just holiday leave, right?

We've right as an organization, we've kind of gone back and forth on that too, where we've had counted everything, uh nothing but holiday leave as counting towards your overtime.

So Chelsea hit hit on it.

Um the financial impact is much more significant than I anticipated.

Looking at the numbers um back in FY23 when this change wasn't in place.

We uh our overtime budget came in at about 482,000 that year.

Fast forward to FY25 when this policy had been in place for a full year, overtime came in at 799,000.