HomeMy WebLinkAbout5.E.3. Temporary Reduction to Tuition Reimbursement Benefit
6. E. 3~
CITY OF SHAKOPEE
Memorandum
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TO: Mayor and City Council
Pamela Punt, Councilor-Elect
Mark McNeill, City Administrator
FROM: Kris Wilson, Assistant City Administrato~0
SUBJECT: Temporary Reduction to Tuition Reimbursement Benefit
DATE: November 23,2009
Introduction
The Council is asked to consider a temporary, cost-saving modification to the Tuition
Reimbursement Benefit.
Background
One of the employee benefits provided for in the City's Personnel Handbook is a Tuition
Reimbursement policy (see attached).
In order to balance the need to save money with the desire to continue at least some support for
employees wanting to further their education, staff is recommending that the maximum benefit
amount be temporarily reduced from $3,000 to $1,500 per person per calendar year for 2010.
(On average only 5 - 10 employees utilize the tuition reimbursement benefit at anyone time.)
The benefit level and ability to continue funding this program will then be re-evaluated during
preparation for the 2011 budget.
The one exception to this would be for the 5 supervisory employees that currently have written
agreements with the City requiring them to obtain a specified degree within in a certain time
frame of their recent promotion. Employees entered into these agreements with the
understanding that the City's Tuition Reimbursement policy would be available to them.
Therefore, the recommendation is that those employees should still be eligible for up to $3,000
in reimbursement in calendar year 2010 for coursework necessary to obtain the specified degree.
Relationship to Vision
This item is one small step toward Goal E - Financially Strong.
Requested Action
If the Council concurs, it should offer a motion to temporarily reduce the maximum tuition
reimbursement benefit for eligible employees from $3,000 to $1,500 per person per calendar
year, beginning January 1, 2010, and to exclude those employees currently obligated to obtain a
degree in connection with their position from this reduction.
G. Continuing Education/Tuition Reimbursement.
1. Eligibility. All full-time employees and benefits-eligible part-time employees may
apply for continuing education benefits under this section.
2. Employee Tuition Policy. The City may reimburse an employee for tuition expenses
and course fees under certain circumstances. There shall be no reimbursement for
mileage/parking expense. Required books, student activity fees, and material costs
will not be reimbursed. Tuition reimbursement is available for a course occurring in
non-continuous classes over a period of time.
3. Pre-Approval. Prior to starting a class or classes, the employee must obtain approval
from the employee's department head and the City Administrator that the class,
certificate, degree or overall achievement is job related and that the request is worthy
and would fill a need within the City or Department. The department head should
verify that the department budget could cover this expense. Approval of enrollment in
a multiple-year course of study is no guarantee that funding will be available in
subsequent years.
4. Satisfactory Completion. The employee shall provide the department head with
proof of satisfactory completion (i.e., a grade of C or above in technical school or
undergraduate college; a grade of B or above in graduate school) of any course
requested for reimbursement, prior to reimbursement
5. Time Off. If classes are during the regular workday, a non-exempt employee must
take that time as compensatory time, vacation time, or leave of absence without pay,
or the employee can seek a flexible scheduling arrangement approved by the
department head. Police officers also have the option of utilizing holiday time in
cases where classes require time away from work. Classes or course work taken by
the employee must not disrupt or interfere with normal departmental operations.
6. Continued Employment. The employee must remain with the City of Shakopee for
two years following completion of the course, or reimburse the City for the expense.
7. Funding Procedure. The City may reimburse an employee 100 percent for the first
$1,000 of the cost of tuition per calendar year. After that, the reimbursement may be
50 percent. Total reimbursement may not exceed $3,000 per person per calendar
year. The scope, terms and conditions of this reimbursement shall be defined and
interpreted by the City Administrator. Employees must submit valid receipts in order
to be eligible for reimbursement. Reimbursement is limited based on availability of
budgeted funds.