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HomeMy WebLinkAbout13.E.1. Engineering Division Staff Reduction CITY OF SHAKOPEE Memorandum /3, C, 1_ TO: Mayor and City Council Mark McNeill, City Administrator FROM: Kris Wilson, Assistant City Administrato:Jll~ SUBJECT: Engineering Division Staff Reductions DATE: October 12,2007 Introduction The City Council is asked to authorize a staff reduction in the Engineering Division of the Public Works Department. Background Recent trends in the economy and housing market have resulted in a significantly reduced level of development activity within the City. This has, in turn, resulted in reduction in the workload of the City's Engineering Division and a tightening of the City's budget. During the Council's review of the proposed 2008 operating budget, Public Works Director Bruce Loney presented a plan for realigning staffing levels in the Engineenng Division to more closely reflect both the current workload arid budgetary situations. Mr. Loney's proposal impacted three full-time positions and included the following: 1. The temporary transfer of one Engineering Technician IV to the Public Works Division. 2. The elimination of one Engineering Technician III position, which is currently vacant. 3. The elimination of the only Engineering Technician II position, which will result in the lay-off of staff member Bonnie Homer. Due to the fact that the workload of the Department has already slowed and will be further impacted by the arrival of winter, Mr. Loney has recommended that the City proceed with this lay-off now rather than waiting until the first of the year. Ms. Horner has been an employee in good standing since June of2001 and is therefore eligible for Involuntary Separation Pay, per Chapter IV, Section I of the City's Personnel Handbook. This policy provides for one week of pay for each year of service, to a maximum of twelve weeks of pay, and outplacement assistance up to a maximum of $2,000 per employee. The receipt of outplacement assistance is dependent upon the e~ployee signing a separation agreement. In this case it is recommended that Council grant the City Administrator the authority to approve up to the full $2,000 in outplacement assistance, in the form of reimbursement for education or training expenses, contingent upon Ms. Horner signing a separation agreement. W ~ note that in addition to the Engineering position reductions listed above, there have been the following personnel changes as a result of the draft FY 2008 budget: 1. Reduction of 1.0 Executive Secretary in Administration, replaced with 0.5 Office Service Worker (OSW). 2. Reduction of 1.0 OSW position in Building Division (transferred to new OSW position created in Fire). The Council will have the opportunity to examine further staff position changes for next year's budget in November. Relationship to Visioning Goals: This supports Goal E-"Financially Strong" Requested Action The Council is asked to authorize the elimination of the Engineering Technician II position, and the lay-off of City employee Bonnie Horner, effective October 31, 2007. The Council is further asked to authorize the payment of six weeks of severance pay and up.to $2,000 reimbursement for education expenses, conditioned on the signing of a separation agreement.