D-4. Approve Amended Public Purpose Expenditure Policy, Purchasing Policy, and City Personnel Policy0
CITY OF
CHANAASSEN
7700 Market Boulevard
PO Box 147
Chanhassen, MN 55317
Administration
Phone: 952.227.1100
Fax: 952.227.1110
Building Inspections
Phone: 952.227.1180
Fax: 952.227.1190
Engineering
Phone: 952.227.1160
Fax: 952.227.1170
Finance
Phone: 952.227.1140
Fax: 952.227.1110
Park & Recreation
Phone: 952.227.1120
Fax 952.2271110
Recreation Center
2310 Coulter Boulevard
Phone: 952.227.1400
Fax: 952.227.1404
Planning &
Natural Resources
Phone: 952.227.1130
Fax: 952.2271110
MEMORANDUM
TO: Todd Gerhardt, City Manager
FROM: Chelsea Petersen, Assistant City Manager
Greg Sticha, Finance Director
DATE: October 10, 2016 19VP '
SUBJ: Approve Amended Public Purpose Expenditure Policy, Purchasing
Policy, and City Personnel Policy.
PROPOSED MOTION
The City Council adopts the amended Public Purpose Expenditure Policy,
Purchasing Policy, and City Personnel Policy, dated October 10, 2016.
Approval requires a majority vote of the City Council.
BACKGROUND
There are several policies that city employees are subject to, and it has been some
time since all policies were updated. Staff has reviewed each of the policies and is
recommending some changes. Most are just to update the information for style and
consistency, a few are to bring policies into compliance with state or federal
guidelines, and the remaining changes are those that have been common practice for
many years but may not have been formally documented. The changes are outlined
below, by policy:
Personnel Policy:
Many of the changes to the Personnel Policy are stylistic and format related:
Public Works `Appointing Authority' was changed to `City Manager' throughout, as that position is
7901 Park Place the appointing authority except when specifically noted; language regarding accrual
Phone: 952.227.1300
Fax: 952.2271310 p of sick and vacation time was simplified to make it easier to understand; units were
changed to be consistent (days instead of hours); and the Health Care Savings Plan
Senior Center was referenced as a number of different terms and they were all changed to reflect the
Phone: 952.227.1125
Fax: 952227.1110 actual name. In addition, specific State Statute numbers were removed as some of the
numbers were no longer correct because of legislative changes, but the content is still
Website consistent with State Statute. Removing the statute numbers will result in less updates
www.d.charrhassennn.us n.us
in the future.
Chanhassen is a Community for Life - Providing for Today and Planning for Tomorrow
Mr. Todd Gerhardt
October 10, 2016
Page 2
There are also several specific changes to the Personnel Policy. They include:
1) The firefighter probationary period was changed to two years instead of the
six months that is standard for other city employees. This change was made to
reflect the Firefighter Handbook. (Definition of `Probationary Period', and
Section 4.2)
2) Per State Statute, Veterans are now subject to probationary periods like all
other employees. Previously they were exempt from that practices so our
policy has been updated to reflect state law. (Section 4.2)
3) The sick leave donation policy has been updated to reflect common practice.
Previously, employees were able to `loan' up to two days of sick time to
others in need. Those `loans' have been treated as donations in that they are
generally never repaid. The section pertaining to this has been updated with
language consistent with that practice. (Section 7AQ
4) Tuition reimbursement has been modified to include language stating that
classes must be approved in advance and directly pertain to an employee's
current position or a reasonable promotional opportunity. Previously there
were no specific guidelines on applicable classes, but this change reflects past
practice. (Section 8.1)
5) Employee travel and training compensation has been updated to be in line
with FLSA standards. Previously, employees were not generally compensated
for travel time that was outside of their normal working hours. That will now
be permissible on a case-by-case basis. (Section 8.2).
6) Now that prescription cannabis is legal in Minnesota the policies on drugs and
alcohol must be updated to reflect that allowance. This is listed as an
exception with the same language from State Statute. (Section 10.4)
7) Time off to vote was not specifically outlined in the previous version of the
policy. This has now been outlined and is consistent with past practice.
(Section 7.6.E)
8) The cell phone policy added is not new — it was previously included in the
Public Expenditure Policy and is being moved to the Personnel Policy.
Employees have always been subject to this policy but it is being moved to the
Personnel Policy where the content more closely matches its audience and
purpose. (Section 7.6.L)
\\cfs5\cfs5\Shared_Data\Admin\CP\Personnel\Personnet Policy and Related\Policy Changes
Staff Report 10-16.doc
Mr. Todd Gerhardt
October 10, 2016
Page 3
Public Purpose Expenditure Policy
The changes staff made to the public purpose expenditure policy were in all cases
language changes and additions that are practices in place but not included in the
current policy. Including language about no reimbursement for non -detailed receipts
for meals purchased
by employees when traveling and when membership dues are allowed to be
reimbursed for. In addition, a section on clothing allowances was added to reflect the
current practice on employees making purchases for allowed clothing needed for
safety purposes. All items changed or added have been highlighted in yellow in the
attached policy.
Purchasing Policy
The suggested changes to the city's purchasing policy as well are either cosmetic
language changes or additions for recommended best practices that staff has already
in place. It includes revised language for on-line purchases to meet current industry
language and best practices.
The one significant addition to the purchasing policy is in regards to procurement
practices when receiving or using Federal Funding. The Office of Management &
Budget (OMB), recently passed new regulations that require policies and practices in
place when using federal dollars. The city rarely receives federal funding, but in the
event funding was received staff added language to cover the additional requirements.
All changes to the purchasing policy are also highlighted in yellow in the attached
document similar to the public purpose expenditure policy.
RECOMMENDATION
Staff recommends adoption of the amended Public Purpose Expenditure Policy,
Purchasing Policy, and City Personnel Policy.
ATTACHMENTS
1. Personnel Policy
2. Public Purpose Expenditure Policy
3. Purchasing Policy
\\cfs5\cfs5\Shared_Data\Admin\CP\Personnel\Personnel Policy and Related\Policy Changes
Staff Report 10-16.doc
CITY OF CHANHASSEN
2016
PERSONNEL POLICY
CITY OF CHANHASSEN
SECTION 1. PURPOSE AND DISCLAIMER ......................
1. Definitions............................................................
SECTION 2. POSITIONS COVERED..
SECTION 3.
APPOINTMENTS ......................................
1.
Appointment .................................................
2.
Appointment Procedure ...............................
3.
Veterans Preference .....................................
4.
Examinations ................................................
5.
Relationship to Other City Personnel............
6.
Provisional Appointments .............................
7.
Transfers, Promotions ...................................
8.
Promotions from Within ...............................
SECTION 4. PROBATIONARY PERIOD...
1.
Purpose ........................................
2.
Duration ......................................
3.
Performance Evaluation ..............
4.
Termination .................................
5.
Probationary Period Extension....
6.
Benefits .......................................
SECTION 5. COMPENSATION ...........................................
1. Classification Plan ..............................................
2. Compensation Plan .............................................
3. Temporary and Seasonal Employees ..................
4. Transfers, Promotions, Demotions .....................
SECTION 6.
HOURS OF WORK ......................
1.
Work Hours and Schedules .............
2.
Compensatory Time --Nonexempt...
3.
Compensatory Time --Exempt.........
4.
Overtime .........................................
SECTION 7.
EMPLOYEE BENEFITS.........
1.
Holidays ......................................
2.
Vacation Leave ...........................
3.
Sick Leave ...................................
4.
Special Leaves With Pay .............
5.
Special Leaves Without Pay........
6.
Group Insurance ..........................
........... 3
3
5
5
5
5
5
5
6
6
7
7
8
9
9
9
10
7. Wellness....................................................................................20
8. Health Care Savings Plan ..............................................................20
9. Service Awards................................................................................................21
10. Cellular Phone Use............................................................ .......... 21
11. Accommodations for Parents......................................................................... 22
SECTION 8. EMPLOYEE TRAINING AND DEVELOPMENT...................................23
1. Tuition Reimbursement.................................................................................. 23
2. Conferences.....................................................................................................23
SECTION 9. CONFLICT OF INTEREST........................................................................ 23
SECTION 10. DRUG-FREE WORKPLACE .................................................................. 24
1. Statement.........................................................................................................24
2. Policy..............................................................................................................24
3. Acknowledgement..........................................................................................25
4. Exception........................................................................................................25
SECTION 11. TOBACCO AND WEAPONS.....................................................26
1. Tobacco........................................................................................................26
2. Weapons..........................................................................................................26
SECTION 12. SEXUAL HARASSMENT......................................................................... 26
1. Policy Statement............................................................................................. 26
2. Definition........................................................................................................26
3. Types of harassment........................................................................................ 27
SECTION 13. TERMINATION AND LAYOFF
1.
Termination........................................................
2.
Resignation........................................................
3.
Penalties............................................................
4.
Layoffs...............................................................
5.
Termination Pay .................................................
SECTION 14. GENERAL DRIVING SAFETY ..........................
1. Parking.....................................................................
2. Equipment.................................................................
3. Operation...................................................................
ATTACHMENTA..........................................................................
2
.... 28
.... 28
.... 28
.... 28
.... 28
.... 29
vm=
.................. 29
.................. 30
.................. 30
.......... 31
PERSONNEL POLICY
CITY OF CHANHASSEN
SECTION 1. PURPOSE AND DISCLAIMER.
This policy contains the city's personnel policies and procedures on employee relations. These
policies and procedures are guidelines only and are not to be construed as contractual terms of
employment. The city and its employees who are governed by these policies and procedures have an
employment relationship known as employment -at -will. This means that either the city or an
employee may terminate the employment relationship at any time for any reason or for no reason at
all. Any aspect of these polices and procedures may be changed at any time at the sole discretion of
the city without prior notice. These policies and procedures will be known as the "Personnel Policy"
and will be referred to in the following sections as "this policy."
DEFINITIONS:
"Part-time employment" shall mean employment regularly engaged in a work schedule less
than a full-time basis.
"Full-time employment" shall mean employment regularly engaged in a work schedule on a
thirty-two to forty hour (32-40) per week basis.
"Casual employment" shall mean employment, which is incidental to the main functions of
the municipal government, normally for short duration, and compensated for on an hourly
basis.
"Seasonal employment" shall mean employment regularly engaged in on a scheduled, full-
time workweek for less than twelve (12) months in any one calendar year.
"Benefits" means privileges granted to an employee in the form of vacation leave, sick
leave, overtime allowances, holidays, military leave, military induction pay, or pay received
in lieu of accrued leave upon termination of employment, and other privileges in addition to
wages or salaries granted to employees.
"Budget time" means that period during which budget requirements for the following fiscal
year are estimated, considered and adopted according to law.
"Fiscal year" shall be January 1 to December 31, inclusive or as otherwise provided by law.
"HCSP" means the Health Care Savings Plan (HCSP) administered by Minnesota State
Retirement System (MSRS). The HCSP is an employer-sponsored program that allows
employees to invest in a tax-free medical savings account while employed by a Minnesota
public employer. Once an employee ends employment, he or she can access the HCSP
account balance for reimbursement of eligible health care expenses incurred by the employee,
spouse, legal tax dependents, and adult children up to their 26th birthday.
"Regular Employee" means any employee hired for a position designated as continuing on
a regular basis, but which may be eliminated at the discretion of the City Manager, who has
successfully completed the probationary period.
"Probationary Employee" means any employee hired for or promoted to a regular
employee position who is serving the required probationary period.
"Paid on Call" or "Volunteer Firefighter" means any member of the Chanhassen Fire
Department.
"Probationary Period" means the first six (6) months of continuous employment, or other
time period required by the City Manager, during which a newly hired or promoted regular
employee must demonstrate fitness for the duties of the assigned position. Probationary
Period for firefighters means the first two (2) years of continuous employment.
"Provisional Appointment" means a temporary appointment to a regular position.
"Immediate Family" means children, stepchildren, parents, siblings, grandparents, parents-
in-law, children -in-law, grandparents -in-law, or such other persons as the City Manager
deems appropriate.
"Overtime" means the number of hours a nonexempt employee works over eight (8) hours
in a day, which is accumulated at one and one-half times the employee's rate of pay.
"Exempt Employee" means employees who are exempt from receiving overtime pay under
the Fair Labor Standards Act.
"Nonexempt Employee" means employees who are entitled to receive overtime under the
Fair Labor Standards Act.
"City" shall mean the City of Chanhassen.
"Compensatory Time" means the number of hours worked over 40 hours in a scheduled
work week, typically defined as Sunday — Monday.
@l
SECTION 2. POSITIONS COVERED.
All offices and positions in the municipal employ, now existing or hereafter created, shall be subject
to the provisions of this policy, except that the following offices and positions shall be totally exempt
from the provisions of this policy:
- Elected officials;
- Members of boards, commissions and committees;
- Volunteer personnel;
- Consultants and others rendering services under contract with the city.
Employee contracts will supersede to the extent allowed by law the provisions within this policy.
SECTION 3. APPOINTMENTS.
Appointment. Appointment to city service shall be based on merit and fitness, free of
personal, political, religious, gender, age, racial, color, creed, national origin, marital status,
sexual preference, disability and public welfare assistance consideration. Physical or mental
disabilities shall not be used to disqualify an applicant unless the City Manager determines
that the disability makes the applicant unqualified to perform the essential functions of the
intended position.
2. Appointment Procedure. The City Manager will make all appointments to positions of city
employment. Each appointment will be based on merit and qualifications for the position in
accordance with criteria to be established by the City Manager. The criteria established must
be capable of being reduced to a 100 -point rating system. A 100 -point rating system must be
applied to all positions of city employment, except for those positions specifically exempted
from the Veterans Preference Act and State Statutes.
Veterans Preference. In accordance with Minnesota State Statutes, a credit of ten (10) points
will be added to a qualifying veteran's rating at the election of the veteran, so long as the city
position being sought is not exempted from veterans preference by State Statute. The receipt
of credit is conditional on the veteran meeting the minimum qualifications for the position
and providing proof of veteran status. Similarly, a credit of fifteen (15) points will be added
to a disabled veteran's rating at the election of the disabled veteran so long as the city position
being sought is not exempted from veterans preference by State Statute. The receipt of the
credit is conditional on the disabled veteran meeting the minimum qualifications for the
position and providing proof of veteran status.
4. Examinations. The City Manager may require appropriate written, oral,
management/leadership profiles, and other examinations to measure an applicant's job-related
abilities. All prospective regular employees within the Public Works, Fire, and Building
Department must submit to a physical examination to determine their capability to perform
available employment. Such an examination will not be required until an offer of
employment has been made. Such an offer may be made conditional on the prospective
employee meeting the physical or mental requirements of the job. The examination will test
only essential job-related abilities. Instead of a physical examination, all prospective seasonal
employees may, at the option of the City Manager, submit a statement from a medical doctor
of their own choice indicating that they are in good health and able to perform the expected
duties. Physical and mental examinations shall be conducted by a qualified person chosen by
the City Manager. The city shall pay all costs of any required examination, except for the
seasonal employee option provided above. All examination reports shall be the city's
property.
Relationship to Other City Personnel.
A. Except for seasonal employees, no person shall be appointed as a regular or temporary
employee who is a member of the immediate family, or someone who lives in the
employee's household; or is the aunt, uncle, niece or nephew of any elected official,
any city employee, or any appointed official if the employment relates to the subject
matter of the official's or employee's responsibilities.
B. No seasonal employee shall be appointed as a regular or temporary employee if a
relative has the authority to appoint, supervise, evaluate or discipline the position or if
the position is classified as confidential. Except in the case of returning employees, all
seasonal employees' positions will be advertised on the city's website.
C. No spouse of an elected or appointed official or employee shall be appointed as a
regular, temporary, or seasonal employee if the employment relates to the subject
matter of the official's or employee's responsibility and a conflict of interest as defined
by this policy results (see also: Section 9).
6. Provisional Appointments.
A. The City Manager, in its sole discretion, may make a provisional appointment without
examination to a position normally subject to examinations when necessary to
continue public business or avoid substantial public inconvenience.
B. A provisional appointment shall terminate by:
i. Action of the City Manager; or
ii. Expiration of any limitation period required by regulation or any other law; or
iii. Regular appointment of a person to the position.
C. No benefits shall accrue to a person appointed under this subdivision unless the
person is already a regular city employee.
D. No person shall receive more than one provisional appointment in any one calendar
year.
Transfers, Promotions. The City Manager, in its sole discretion, shall have the inherent
managerial right to transfer and promote employees from one position to another.
Compensation shall be established, and transfers in the nature of demotions be accomplished,
in accordance with this policy.
8. Promotions from Within. Employment vacancies shall be filled by promotion of existing
employees to the extent practicable.
SECTION 4. PROBATIONARY PERIOD.
Purpose. The probationary period shall be an extension of the examination process and be
used for closely observing an employee's work and rejecting any employee whose
performance does not meet expected standards.
2. Duration. Every person appointed, promoted, or transferred to a regular position, including
veterans, shall be required to successfully complete a probationary period of at least six (6)
months. The period for Firefighters shall be a minimum of two (2) years. The employee shall,
however, remain an "at will" employee at the conclusion of the probationary period.
3. Performance Evaluation. The employee's supervisor shall prepare performance evaluation
reports three (3) months after the employee's starting date and two (2) weeks prior to
completion of the probationary period. Each report shall be reviewed with the employee. Any
failure to undertake the requirements of this paragraph shall not invalidate the probationary
period or otherwise be used adversely against the City Manager.
4. Termination. The City Manager may terminate a probationary employee any time in its sole
discretion. The employee shall not have the right of administrative appeal. For promotions or
lateral transfers, a regular employee terminated during the probationary period shall be
reinstated to the prior position or one similar to it, unless discharged or unless the prior or a
similar position is not available.
5. Probationary Period Extension. The City Manager may extend the probationary period.
Before completion of the first probationary term of employment, the City Manager shall
notify the employee in writing of the extension and the reasons for it. The employee shall not
have any right of administrative appeal from this decision. If the City Manager does not give
the notice within the time indicated, the probationary employee shall become a regular
employee.
6. Benefits. Except for employees promoted or transferred to a regular position, no probationary
employee shall be entitled to use vacation leave unless approved by the City Manager,
although this leave shall accrue during the probationary period. Sick leave may be used to the
extent accrued.
SECTION 5. COMPENSATION.
1. Classification Plan. The City Manager shall prepare and maintain a classification plan for all
regular city positions according to accepted personnel standards. This plan shall be submitted
to and approved by the City Council as part of the annual budget process. The City Manager
shall annually review the job classifications in each department with the department director
to ensure their accuracy and appropriateness. Additionally, the City Manager may at any time
make adjustments as appropriate.
2. Compensation Plan. The City Manager shall establish a compensation plan for all positions
subject to this policy. This plan shall be approved by the City Council as part of the annual
budget process. The City Manager shall annually review the plan and recommend any
changes to the City Council. The Council shall act upon these recommendations within a
reasonable time. Additionally, the City Manager may make adjustments to the plan at any
time as appropriate. The City Manager, in its sole discretion, may compensate an employee
for assuming responsibility in addition to that of the employee's regular assignment.
Temporary and Seasonal Employees. Temporary and seasonal employees shall be paid at
an hourly rate determined by the City Manager. Except as otherwise specifically provided in
writing by the City Manager or provided by law, these employees shall not be entitled to any
benefits.
4. Transfers, Promotions, Demotions. Except for temporary assignments, an employee's rate
of pay upon transfer, promotion, or demotion shall be determined as follows:
A. For promotion to a regular position, the rate of pay shall be increased to at least the
minimum rate of that position or its class.
B. For demotion to a regular position, the rate of pay shall be at the rate of pay of the
new position.
C. For transfer from one position to another in the same salary grade, not in the same
nature of a promotion or demotion, the rate of pay shall remain the same.
SECTION 6. HOURS OF WORK.
Work Hours and Schedules. Unless otherwise directed by the employee's immediate
supervisor, department director, or the City Manager, employees shall comply with the
following work hours and schedules.
A. The regular work week shall be forty (40) hours, Monday through Friday, and the
regular work day shall be eight (8) working hours. Office hours are from 8:00 a.m. to
4:30 p.m. Public Works hours are from 7:00 a.m. to 3:00 p.m. Requests for special
work schedules must be made in writing and approved by the City Manager or
designee.
0
B. Full-time employees shall work at least forty (40) hours each week, including two
paid rest periods per day of fifteen (15) minutes each. Their work schedules shall be
set by the appropriate department director, subject to approval by the City Manager,
and shall include the number of work hours plus one non -paid meal period of thirty
(30) minutes per day. An employee may choose to combine the meal and rest periods,
if permitted by the department director.
C. Part-time employees shall work the number of hours per week designated for their
positions. These hours shall include one paid rest period of fifteen (15) minutes for
each four-hour period worked in one day. Their work schedules shall be set by the
appropriate department director, subject to approval by the City Manager, and shall
include their scheduled number of work hours plus one meal period of thirty (30)
minutes per day which is not paid if more than four hours are worked in one day. An
employee may choose to combine the meal and rest periods, if permitted by the
department director.
D. Paid on Call Firefighters shall maintain a call response percentage of 25% per quarter
and a training attendance percentage of 60% per quarter in order to be considered in
good standing for both employment and pension purposes.
2. Compensatory Time --Nonexempt. Nonexempt employees under the Fair Labor Standards
Act shall be eligible for compensatory time in accordance with that act, subject to the
following conditions:
A. No nonexempt employee shall be permitted to carry more than forty (40) hours
accumulated compensatory time past December 1 of each year. All accumulated
compensatory time over forty hours will be paid to the employee no later than the last
pay period before December 1 of each year.
B. The scheduling of compensatory time shall be at the discretion of the department
director.
C. Cash payment for accumulated compensatory time may be taken at the employee's
option, with approval of the department director.
D. During slow periods in departmental operations, the City Manager may require
employees to use compensatory time.
3. Compensatory Time --Exempt. Exempt employees shall not accrue compensatory time, but
may be allowed time off at the discretion of the City Manager.
4. Overtime. Employees may be required by their immediate supervisor, department director, or
the City Manager to work time beyond their normal work hours. Compensation for overtime
shall be in compliance with federal and state law. Overtime means the number of hours a
nonexempt employee works over eight (8) hours on a normally scheduled workday, which is
accumulated at one and one-half times the employee rate of pay. Leave time may not be used
on the same day that overtime is accrued; however, it may be used in the same pay period.
Leave time includes sick, vacation, or comp time.
SECTION 7. EMPLOYEE BENEFITS.
1. Holidays.
A. The following official holidays shall be paid holidays for regular part-time and full-
time city employees:
- New Years Day, January 1
- Martin Luther King's Birthday, the third Monday in January
- President's Day, the third Monday in February
- Memorial Day, the last Monday in May
- Independence Day, July 4
- Labor Day, the first Monday in September
- Columbus Day, which will be observed on the fourth Friday in November
- Veterans Day, November 11
- Thanksgiving Day, the fourth Thursday in November
- Christmas Day, December 25
- For employees whose normal work schedule is Monday through Friday, the
holidays which fall on a Saturday will be observed the preceding Friday.
Those which fall on a Sunday will be observed the following Monday.
B. Regular full-time employees shall be paid at their regular rate of pay for each of the
official holidays. Regular part-time employees working twenty-four (24) hours per
week will receive five (5) hours pay per holiday. Regular part-time employees
working thirty-two (32) hours per week will receive six (6) hours pay per holiday.
C. To be eligible for compensation on an official holiday, employees must not be absent
from work the workday before or after the holiday, unless permission from their
supervisor has been given in advance or unless the employee has notified their
supervisor of the reason for their absence within one (1) hour after the start of the
workday or within a different time period established by the department director.
Employees who do not have advance permission may be required to provide a
doctor's statement or other verification of the reason for the absence.
3. Vacation Leave.
A. Vacation leave may be used only to the extent that it is earned. The amount of
vacation leave available to regular full-time employees shall be earned according to
the following schedule for employees hired prior to December 31, 2011:
go]
Years of Service
Annual Accrual (Dan)
1-5
12
6-10
17
11-15
19
16-20
22
21+
27
For regular full-time employees hired after January 1, 2012, vacation shall be earned
according to the following schedule:
Years of Service
Annual Accrual (Days)
1-5
12
6-10
15
11-15
17
16-20
19
21+
22
B. Employees may request to use earned vacation leave any time after completion of
their probationary period. These requests shall require department director or City
Manager approval. Paid holidays that occur during vacation leave shall not be counted
as days of vacation leave. Employees who are absent because of reported illness the
workday before or after scheduled vacation days may be requested to submit a
doctor's statement verifying the illness.
C. Employees cannot elect to waive vacation leave and receive a cash payment instead.
D. Employees terminating city employment in good standing will be compensated for
unused vacation leave accrued to the date of termination via payment to their HCSP.
E. Part-time employees who work at least twenty-four (24) hours per week on a regular
basis will accrue vacation leave on a prorated bases of the full-time employee
schedule.
F. Maximum accrual of vacation leave shall not exceed two (2) times the employee's
earned vacation for the year.
4. Sick Leave.
A. Regular full-time employees shall earn twelve (12) days of sick leave per year.
Regular part-time employee working a regular schedule of twenty-four (24) hours or
more per week shall earn a prorated amount of sick time based on their actual hours
worked. Sick leave may be used only to the extent that it is earned. Sick leave is not a
privilege or vested right which an employee may use at the employee's discretion, but
is a type of insurance, which shall be allowed in case of necessity of actual illness in
accordance with the policy. Accrual of sick time is capped at 600 hours. All
11
employees that have over 600 hours of accumulated sick tome will have one-half of
those hours (over 600) deposited tax-free into their HCSP. (See also: page 25)
B. Sick leave maybe used for an employee's own illness, illness or injury of their
children, physical examination, dental care, injury, maternity care, childbirth,
adoption, pregnancy disability, outpatient or inpatient treatment for mental illness,
alcoholism, or drug abuse. Employees may also request using sick leave for death,
serious illness, or other health care of members in their immediate family, which may
be granted at the discretion of the City Manager.
C. Employees shall notify their immediate supervisors on the first day of sick leave of
the reason for their absence within one (1) hour after their scheduled starting time,
unless a different time period has been established by the department director.
Employees must keep their department directors informed of their condition if absent
for more than one day. When possible, sick leave shall be requested in advance. The
department director or City Manager may require a doctor's statement specifying the
nature and duration of the illness before the employee is paid for sick leave. Each
employee may donate up to two (2) days of accrued sick leave per year to other
employees in accordance with administrative policy. Employees who are ill on
scheduled vacation or holidays shall be paid as vacation or holiday time and shall not
be entitled to use sick leave, except for illnesses verified by a doctor's statement at the
discretion of the City Manager.
5. Special Leaves With Pay.
A. Funerals. A maximum of three (3) days of sick leave may be taken in the event of
death of the employee's spouse or death in the employee's immediate family. An
additional seven (7) days of sick leave may be taken upon written approval of the City
Manager.
B. Military Leave for Training Purposes. Employees, who are members of any reserve
component of the military forces of the United States or National Guard, shall be
granted leave of absence not exceeding fifteen (15) working days in each calendar
year when ordered for training, in accordance with State Statute.
C. Court Duty. Employees subpoenaed as witnesses or called for jury duty shall be
granted leave of absence for the time necessary to complete those duties. All fees
received as a witness or juror, except mileage fees for use of the employee's private
vehicle, shall be paid to the city. The employee will be paid at their normal rate of pay
while performing court duty.
D. Injured on Duty Leave. All employees certified by their physicians as unable to work
because of a work related injury shall be entitled to injured on duty leave up to a
maximum of the "waiting period" as defined under the city's long term disability
insurance program. An "injured on duty leave" is a non -compensable privilege. If an
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employee on injured on duty leave has accumulated sick leave or vacation or both, the
City Manager may provide for the payment of additional benefits to the employee.
Such payment may not exceed the amount of the total sick leave and vacation
accumulated and shall not result in the payment of a total weekly rate of
compensation that exceeds the weekly wage of the employee. Such payment shall be
charged against the sick leave and vacation accumulated by the employee. The
payment is conditional upon the employee submitting to the City Manager written
proof of entitlement to workers' compensation. The payment will further only be
made pursuant to a written schedule signed by the employee and approved by the City
Manager. The schedule will evidence the employee's weekly wage, the employee's
weekly entitlement to workers' compensation, and the payment of additional benefits
made calculated on a weekly rate. Injured on duty leave shall not be provided to
employees who fail to comply with procedures required by the City Manager for
reporting work-related injuries.
E. Bone Marrow Donation Leave. Employees who are donating bone marrow shall be
granted a paid leave of absence not exceeding forty (40) work hours.
F. Employees using paid leave time shall be considered to be working for the purpose of
accruing benefits.
6. Special Leaves Without Pay.
A. Military Leave for Extended Service. Any employee who:
- Engages in active service in time of war or other emergency declared by
proper authority in any of the military or naval forces of the state or of the
United States for which leave is not otherwise allowed by law; or
During convalescence for an injury or disease incurred during active service,
as documented by a line -of -duty determination form signed by proper military
authority, and any other documentation as reasonably requested by the
employer is entitled to leave of absence from employment without pay during
such service, with right of reinstatement as provided in state statute. Such
leave of absence without pay, whether heretofore or hereafter, shall not extend
beyond four years plus such additional time in each case as such an officer or
employee may be required to serve pursuant to law.
B. Family And Medical Leave Act (FMLA).
Family and Medical leave provides up to twelve (12) weeks of unpaid leave to
eligible employees for certain family and medical reasons. Employees are
eligible if they have been employed for a minimum of twelve (12) months, and
have worked at least 1,250 hours over those twelve (12) months.
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ii. An employee may take a maximum of twelve (12) work weeks of FMLA leave
per twelve (12) month period measured forward from the date an employee's
first FMLA leave begins.
iii. FMLA leave may be granted for the following reasons:
a. To care for an employee's child after birth or placement for adoption or
foster care;
b. To care for the employee's spouse, son or daughter, or parent, who has
a serious health condition; or
C. For a serious health condition that makes the employee unable to
perform the employee's job.
d. Any period of absence to receive multiple treatments by a health care
provider.
C. Substance abuse may qualify as a serious health condition if one of the
foregoing clauses is satisfied. However, only for treatment of
substance abuse by a health care provider or a provider of health care
services on referral by a health care provider. Absence caused by
substance use is not covered by this policy.
iv. When practical, the employee must give the city at least thirty (30) days
advance notice. A "Request for Family Medical Leave" form should be
completed by the employee and returned to the immediate supervisor. In
unexpected or unforeseeable situations, the employee should give as much
notice as is practical, usually verbal notice within one or two business days of
when the need for the leave becomes known followed by a completed
"Request for Family/Medical Leave" form.
For leaves taken because of the employee's or a covered family member's
serious health condition, the employer may require that a "Physician or
Practitioner Certification" form be completed. In addition, the employer may
require periodic reports on the employee's status and intent to return to work,
and fitness -for -duty report to return to work.
V. A serious health condition is an illness or injury that involves:
a. An overnight stay in a hospital, hospice, or residential medical care
facility;
b. Any period of incapacity that involves continuing treatment or
supervision by a health care provider and that requires absence from
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work, school, or other regular daily activities for more than three (3)
days;
C. Continuing treatment or supervision by a health care provider for
chronic or long-term health condition that is incurable or so serious
that, if not treated, would likely result in a period of incapacity of more
than three (3) days; or
d. Any period of incapacity due to pregnancy, or for prenatal care, or
prior to an adoption to help complete the adoption process.
vi. A regular employee may choose to use accrued vacation, compensatory time,
or sick leave while on FMLA leave as long as the provisions within those
written policies apply.
vii. The employee will not accrue benefits such as sick leave or vacation while on
unpaid FMLA leave.
viii. Leave may be taken intermittently or on a reduced schedule when it is
medically necessary. If an employee requests intermittent leave or leave on a
reduced schedule that is foreseeable due to medical treatment, the employee
may be temporarily transferred to another position if the position has
equivalent pay and benefits and better accommodates the recurring periods of
leave. Any such transfer is subject to a collective bargaining agreement.
ix. Eligibility for leave after birth, placement for adoption or foster care expires
twelve (12) months after the birth, placement or adoption. If the child must
remain in the hospital longer than the mother, the leave may in the alternative
begin at any time up to six (6) weeks after the child leaves the hospital.
X. The employees may choose to continue existing health care benefits and life
insurance while on FMLA leave. The employer will continue to pay the same
portion of the cost of the coverage as paid prior to the leave.
Employee contributions will be required either through payroll deduction or
by direct payment to the city. The employee will be advised in writing at the
beginning of the leave period as to the amount and the method of payment. If
an employee's contribution is more than (30) days late, the city may terminate
the employee's insurance coverage.
If an employee fails to return from leave, the city can recover the insurance
premium that has been paid on behalf of the employee.
xi. Upon return from FMLA leave, employees will be restored to their original or
equivalent position with equivalent pay, benefits, and other employment
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terms. If, during FMLA leave, the city experiences a layoff and an employee
would have lost a position had the employee not been on leave, pursuant to the
good faith operation of bona fide layoff and recall system, including a system
under collective bargaining agreement, the employee is not entitled to
reinstatement in the former comparable position. hi such circumstances, the
employer retains all the rights under the layoff and recall system, as if the
employee had not taken the FMLA leave.
xii. Employees are required to use FMLA leave when the employee misses work
due to an injury obtained while on duty unless the employee is using sick
leave or vacation leave. The FMLA leave and the injury on duty leave shall
run concurrently.
The employee shall report the injury as provided in the Injury On Duty Leave
and provide adequate information to establish the basis for the leave. The
employer shall provide employee written notification within five (5) working
days specifying that any absence will be counted against the employee's
remaining FMLA time and that the FMLA leave shall run concurrently with
the injury on duty leave.
C. FMLA Related to Servicemembers
Leave to Care for a Covered Servicemember with a Serious Injury or Illness:
An employee who has worked a minimum of 1250 hours within the previous
twelve-month period and who is the spouse, son, daughter, parent, or next of
kin of a "covered servicemember", may be absent from work up to twenty-six
(26) workweeks of leave during a twelve (12) month period to care for the
servicemember who has suffered a serious injury or illness while on active
duty ("Servicemember Family Leave"). This leave is only available during a
single twelve (12) month period. During the single twelve (12) month period,
an eligible employee is entitled to a combined total of no more than twenty-six
(26) workweeks of leave for both the Family Active Duty Leave and the
Servicemember Family Leave.
a. The term "covered servicemember" means a member of the Armed
Forces, including a member of the National Guard or Reserves, who is
undergoing medical treatment, recuperation, or therapy, is otherwise in
outpatient status, or is otherwise on the temporary disability retired list,
for a serious injury or illness.
b. The employee will receive regular pay for the first five days of FMLA
related to a servicemember in each twelve (12) month period.
C. The term "serious injury or illness" in the case of a member of the
Armed Forces (including the National Guard or Reserves) means an
M
injury or illness incurred by the member in the line of duty while on
active duty in the Armed Forces that may render the member medically
unfit to perform the duties of the member's office, grade, rank, or
rating.
d. The term "next of kin" means the nearest blood relative other than a
spouse, parent, son or daughter, with priority given to blood relatives
who have been granted legal custody, followed by brothers and sisters,
grandparents, aunts and uncles, and first cousins. The next of kin can
also be designated in advance by a servicemember.
ii. FMLA and Military Related Leaves: An eligible employee is entitled to a
combined twenty-six (26) workweeks of leave for any FMLA qualifying
reason during the single twelve (12) month period that begins when an
employee first takes leave to care for a covered servicemember. However,
leave is still limited to twelve (12) workweeks for all other FMLA qualifying
reasons.
When leave qualifies as both military caregiver leave and leave to care for a
family member with a serious health condition during a single twelve (12)
month period, the city will designate the leave as military caregiver leave, not
as a leave to care for a family member with a serious health condition.
iii. Employee Responsibilities for Military Related Leaves: When the necessity
for Family Active Duty Leave is foreseeable, whether because the spouse, son,
daughter, or parent, of the employee is on active duty, or because of
notification of an impending call or order to active duty in support of a
contingency operation, the employee must provide such notice to the employer
as is reasonable and practicable.
iv. The city may require that a request for Family Active Duty Leave be supported
by a certification issued at such time and in such manner as the Secretary of
Labor may by regulation prescribe. If the Secretary issues a regulation
requiring such certification, the employee must provide, in a timely manner, a
copy of such certification to the employer.
V. The city may require that a request for Servicemember Family Leave be
supported by a certification issued by the health care provider of the
servicemember being cared for by the employee.
D. Political Activity Leave. City employees shall take an unpaid leave of absence from
city employment upon:
Assuming an elected federal or state public office which in the opinion of the
City Manager conflicts with their regular city employment; or
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ii. Assuming an elected or appointed public office other than specified in
paragraph (i), which, in the opinion of the City Manager conflicts with their
regular city employment; or
iii. Becoming a candidate, or during the course of candidacy, for any elected
public office, if in the opinion of the City Manager the candidacy conflicts
with their regular city employment.
E. Elections and Voting. An employee selected to serve as an election judge pursuant to
Minnesota law, will be allowed time off without pay for purposes of serving as an
election judge, provided that the employee gives the city at least ten (10) days written
notice.
All employees eligible to vote at a State general election, at an election to fill a
vacancy in the office of United States Senator or Representative, or in a Presidential
primary, will be allowed time off with pay to vote on the election day. Employees
wanting to take advantage of such leave are required to work with their supervisors to
avoid coverage issues.
F. Discretionary Leave. All regular full-time and part-time employees who have
successfully completed the probationary period may be absent from work up to six (6)
months upon the discretion and approval of the City Manager. Written requests for
this leave shall be submitted six (6) months prior to the expected commencement date
of the discretionary leave.
G. School Activity Leave. A regular or full-time employee will be granted up to a total of
sixteen (16) hours during any school year to attend school conferences or classroom
activities related to the employee's child, subject to the following requirements:
The employee must have been employed for a minimum of twelve (12)
months.
ii. The employee must work an average of twenty (20) or more hours per week.
The conference or classroom activity cannot be scheduled during non -work
hours.
For the purpose of such leave, a "child" means an individual under eighteen (18) years
of age or an individual under age twenty (20) who is still attending secondary school.
When such leave cannot be scheduled during non -work hours and the need for the
leave is foreseeable, the employee must provide reasonable effort to the city and make
reasonable effort to schedule the leave so as to not disrupt unduly the operations of
the city. Such leave may be either unpaid or an employee may substitute any accrued
paid vacation leave or other appropriate paid leave for any part of such leave.
"1
H. Group Insurance. Benefit plans are provided through selected carriers, administered in
compliance with their terms and applied in a uniform manner. Complete information
can be found in the summary plan descriptions. The important benefits you have
while employed as a regular full-time employee of the city are described below:
i. Disability Insurance. If you become permanently and totally disabled while
insured, and if you otherwise qualify, long-term disability benefits are payable
at 60% of monthly salary (to a maximum of $5,000 per month) after ninety
(90) consecutive days of disability. These payments may continue as long as
you continue to be disabled, up to age 65.
ii. The city pays the entire premium for these benefits, for which the employee
will be taxed.
iii. Basic Life/AD & D Insurance. Eligible employees receive a Life Insurance
benefit equal to 100% of annual salary, rounded to the next even $1,000.
Accidental Death and Dismemberment benefits will be paid to you or your
designated beneficiary in varying amounts for certain injuries or loss of life.
iv. The city pays the entire premium for these benefits.
V. Optional Life Insurance. Eligible employees can purchase optional life
insurance in varying amounts up to 300% of annual salary. Employees pay the
cost of this coverage based on their age and amount of insurance elected.
vi. Medical Insurance. Eligible employees and their eligible dependents can be
covered for medically necessary care. Eligible expenses include charges for
hospitalization, physician care, surgery, prescription drugs, and other
medically necessary treatment. You must use member providers to receive the
highest reimbursement for medical expenses. Details on this and other
requirements can be found in your summary plan description booklet for the
medical plan.
vii. The city pays the entire cost of employee coverage and 70% of the cost of
family coverage.
viii. Flexible Spending Accounts. Eligible employees can set aside up to $5,000
per year for Dependent Care and up to $2,500 per year for Vision and Dental
expenses. These funds are contributed on a pre-tax basis.
ix. In addition, employees purchasing dependent medical coverage pay for their
share of that coverage on a pre-tax basis.
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Wellness
Regular and part-time employees and firefighters may receive up to ten, thirty punch
cards per year to Chan Rec Center free of charge. Seasonal employees may receive
up to two, thirty punch cards for every three months of work. The value of the punch
card shall be added to the employee's paycheck and taxed as required. Punch cards
are for personal use by the employee only. Punch cards will be clearly marked with
the employees name and ID will be required for redemption.
Health Care Savings Plan
All full time employees will participate in a Health Care Savings Plan. For the purpose of
these accounts, employees are divided into two groups. Employees in the Administration
department, Parks & Recreation Administration, Community Development, Public Safety,
Engineering and Finance are in Group One. Group Two is comprised of employees in the
Park & Rec Maintenance division, Street Maintenance division, Utility Division, and the
Equipment Maintenance Division. Participation in the HCSP is as outlined below:
GROUP ONE:
Employee % of Pam
Employees with 0-10 years of PERA service will contribute .5% of pay.
Employees with 11-20 years of PERA service will contribute 1 % of pay.
Employees with 21-24 years of PERA service will contribute 2% of pay.
Employees with 25+ years of PERA service will contribute 5% of pay.
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Employees with 0-10 years of PERA service contribute 1% of pay.
Employees with 11-20 years of PERA service contribute 2% of pay.
Employees with 21-24 years of PERA service contribute 3 % of pay.
Employees with 25+ years of PERA service contribute 7 % of pay.
Sick Hour Conversions
All employees that have over 600 hours of accumulated sick time will have 1/2 (one-half) of
those hours (over 600) converted into cash tax-free, only if it is deposited in their HCSP at
the end of each calendar year. This conversion will take place with the first paycheck of each
calendar year.
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Severance/Wellness Pay Outs
All eligible employees who have worked for the city for at least 5 years and have
accumulated sick time at the time they leave the city's employment will have 1/2 (one-half) of
those hours converted into cash and deposited into their HCSP.
Vacation Hours Conversion
All employees that have accumulated vacation hours at the time they leave the city's
employment will have 100% of those hours converted into cash and deposited in their HCSP.
K. Service Awards. A service recognition award shall be given to all regular and full
time employees who have completed continuous years of service. In addition to a
Service Award certificate, the following monetary awards have been established.
Years of Service
Service Award
5
$25
10
$50
15
$75
20
$100
25
$150
30
$200
35
$250
40
$500
45
$750
L. Cellular Telephones.
i. City Provided Cellular Phones: Employees may be issued a city cellular phone
if there is a business necessity to make and receive calls while outside of city
buildings or for employee safety. Employees may have reasonable personal
use of the phone in exchange for being accessible 24/7 via the phone. If
personal use results in an additional cost to the city, the employee shall
reimburse the city. In the event the phone is lost or stolen, the employee will
notify their immediate supervisor and the IT Manager as soon as practical, but
always within 24 hours. All devices remain city property of and shall be
returned to the city upon termination of employment. Cellular phones are city
equipment and are to be used by authorized employees to conduct business in
a professional manner. Employees are responsible for the proper care and
handling of all city equipment in the possession.
ii. Reimbursement for Use of Personal Cellular Phone for City Business:
Employees have the option of utilizing their personal cellular phone to
perform their duties rather than being issued a city -provided cellular phone.
Employees who participate in reimbursement for the use of their personal
21
cellular telephone phone for city business agree to respond to city -related calls
received on their personal cellular phone during work hours and reasonable
non -work hours. Employees will provide their personal cell phone number to
the city. The reimbursement rate shall be $30/month. The employee is solely
responsible for the payment on all charges incurred for their personal cellular
phone. The city is not responsible for repair or replacement to the personal
device, even if said damage occurs during working hours.
iii. City Information or Communications on Cellular Phones: City information,
data, or communications on a city owned or reimbursed phone is subject to the
Minnesota Government Data Practices Act. Employees shall have no
expectation of privacy in those communications. In the event that a data
request is received, the city shall have access to the phone to obtain any city
data. City IT staff shall be given access to phone as needed to ensure data
security.
iv. Employees should be cognizant that cellular telephone communications are
not a secure form of communication. Sensitive information should be
conveyed through a more secure form of communication.
M. Accommodations for Parents
In accordance with law and upon request of an employee, the city will provide
reasonable accommodations for health conditions related to pregnancy or
childbirth.
ii. The city will provide reasonable unpaid break time, as well as a suitable
location, for an employee who needs to express breast milk for her infant
child.
iii. Employees, male and female, can take up to 12 weeks unpaid leave related to
pregnancy or the birth or adoption of a child. The city allows but does not
require the employee to use accrued pay leave during the leave. All leave runs
concurrent with FMLA and must begin within 12 months of the birth or
adoption; except that, in the case where the child must remain in the hospital
longer than the mother, the leave must begin within 12 months after the child
leaves the hospital.
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SECTION H. EMPLOYEE TRAINING AND DEVELOPMENT.
Tuition Reimbursement. The City Manager may authorize the reimbursement to an
employee for tuition towards graduate/under graduate classes. However, if the employee
voluntarily resigns or is terminated for cause from city service within two years of the date of
the last class, the employee must reimburse the city on a pro -rated basis for all classes paid by
the city within the two-year period. Classes or programs must be approved in advance and
must meet the following criteria:
- Courses or programs must be directly related to the employee's present position; OR
- Courses or programs must be directly related to a reasonable promotional opportunity
in the same field of work as present position.
2. Conferences. The City Manager or its designers may authorize employees to attend, at city
expense, conferences or workshops that are job-related. Attendance at such conferences shall
be considered as time on duty for purposes of pay and benefits. Time spent outside of the
employee's work schedule for travel to and from conferences and workshops may, depending
upon the circumstances, be considered as time on duty for purposes of pay and benefits.
Reporting standards may be established by the City Manager as to the knowledge gained
and/or assurances of attendance. The city will reimburse employees for expenses incurred
during the conference including travel, meals and registration fees. All conferences or
training must be approved by a supervisor prior to registration.
3. Mileage Reimbursement: The city will reimburse employees for mileage incurred while
using an employee's own vehicle while performing job-related work items. Reimbursement
per mile shall be calculated based on allocations allowed under federal tax regulations. The
city will not reimburse employees for mileage incurred while attending graduate or under
graduate classes. When practical, employees should use city vehicles rather than their own
vehicle.
SECTION 9. CONFLICT OF INTEREST.
An employee has a conflict of interest when the employee's private financial interests or
personal relationships create a conflict with the employee's public duties, whether or not
those personal interests in fact influence the exercise of the public duties. In determining
whether a conflict of interest exists, the City Manager shall consider the extent to which the
personal interest appears to compromise the employee's ability to objectively and fairly
perform city duties. Examples of conflicts of interest are:
a. Use of city time, facilities, equipment and supplies, or the badge, uniform, prestige
and influence of city employment for private gain.
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b. Use of photos of the employee in uniform or use of rank or title in social media
profiles is prohibited. Employees should take care to clarify that statements made are
personal opinion and not the official position of the city when using social media.
c. Use of non-public data obtained as a result of city employment for private gain.
d. Receipt or acceptance of any money, honoraria, or other benefit from anyone other
than the city for the performance of an act which is part of the employee's assigned
duties or expected activities.
e. Action taken as part of the employee's duties which affects or gives a special benefit
to the employee, the employee's spouse, or the employee's immediate family in their
private capacities, such as an employee's inspection of self -completed construction or
in their public capacities, such as where both spouses are employees or officials of the
city and their martial interests conflict with the city's interest.
2. All employees are annually required to complete a disclosure statement setting forth all
activities in which they engage or intend to engage outside the city employment for financial
gain and to be submitted during your annual review (Attachment A). Employees need not
disclose passive financial investments requiring no ongoing activity by the employee, unless
those investments are in an entity which the employee knows:
a. has a contract with the city;
b. will be bidding for a contract with the city in the following year; or
C. has pending or will submit in the following year an application for any kind of city
approval.
3. Employees shall obtain prior approval from the City Manager before engaging in any other
employment, activity, or enterprise for private gain which might constitute a conflict of
interest. The City Manager shall not permit outside employment or activities for private gain
which constitute a conflict of interest with public duty or are inconsistent or incompatible
with public employment.
SECTION 10. DRUG-FREE WORK PLACE.
Statement. Illegal drugs in the work place are dangerous to all. They impair safety and
health, promote crime, lower productivity and quality, and undermine public confidence in
our work. The City of Chanhassen will not tolerate the illegal use of drugs on public property.
Under the federal Drug -Free Workplace Act, in order for this city to be considered a
"responsible source" for the reward of federal dollars, the following policy has been
developed.
2. Policy. Effective immediately, any location at which city business is conducted, whether at
this or any other site, is declared to be a Drug -Free Work place. This means:
24
a. All employees are absolutely prohibited from unlawfully manufacturing, distributing,
dispensing, possessing, or using controlled substances in the work place. The
following is a partial list of controlled substances. Personnel can provide a complete
listing and explanation of controlled substances.
- Narcotics (heroin, morphine, etc.)
- Cannabis (marijuana, hashish)
- Stimulants (cocaine, etc.)
- Hallucinogens (PCP, LSD, "designer drugs",etc.)
b. Any employee violating the above policy is subject to discipline, up to and including
termination, for the first offense.
Employees have the right to know the dangers of drug abuse in the work place, the
city's policy about them, and what help is available to combat drug problems. This
document spells out the city's policy. The city will institute an education program for
all employees on the dangers of drug abuse in the work place. To assist employees in
overcoming drug abuse problems, the city may offer rehabilitative help.
hi addition, the City of Chanhassen will provide supervisory training to assist in
identifying and addressing illegal drug use by employees.
Any employee convicted of violating a criminal drug statute in this work place must
inform the city of such conviction (includes pleas of guilty and nolo contendere)
within five days of the conviction occurring. Failure to so inform the city, subjects the
employee to disciplinary action, up to and including termination for the first offense.
By law, the city will notify the federal contracting officer within ten (10) days of
receiving such notice from an employee or otherwise receiving notice of such
conviction.
The city reserves the right to offer employees convicted of violating a criminal drug
statute in the work place participation in an approved rehabilitation or drug abuse
assistance program as an alternative to discipline. If such program is offered and
accepted by the employee, then the employee must satisfactorily participate in the
program as a condition of continued employment.
3. Acknowledgement. All employees are asked to acknowledge that they have read the policy
and agree to abide by it in all respects. By law, this acknowledgement and agreement are
required to be acknowledged as a condition of employment.
4. Exception: Medical Cannabis. To obtain medical cannabis, a person must have a qualifying
condition and have a health care practitioner enroll them on the state's Medical Cannabis
Registry. After a person is enrolled, he or she may only obtain medical cannabis at a licensed
Medical Cannabis Patient Center. All use of medical cannabis must occur during non -
25
working hours and in such a manner that it does not result in impairment at a future time on
thejob.
SECTION 11. TOBACCO AND FIREARMS
All use of tobacco is prohibited in city buildings and vehicles. This includes but is not
limited to smoking, chewing tobacco, and e -cigarettes. City employees should use tobacco
only on their breaks, in designated outdoor areas.
2. Possession or use of dangerous firearms by city employees is prohibited on city property and
in city vehicles and apparatus; or any time while working in an official capacity, unless
approved in writing by the City Manager.
a. Employees may possess firearms in city -owned parking areas if the employee holds a
valid permit (provided one is required) and the firearm in concealed and locked
within a personal vehicle.
b. This policy does not apply to sworn law enforcement offices, either on or off duty, or
other employees who are in possession of a weapon or firearm as part of their official
duties.
SECTION 12. SEXUAL HARASSMENT.
Policy Statement. The city absolutely prohibits sexual harassment by all employees at all
levels. It is the policy of the city to maintain a work environment free of sexual harassment, a
form of sex discrimination in employment prohibited by Section 703 of Title VII of the Civil
Rights Act of 1964 and by the Minnesota State Statutes Chapter 363, Minnesota Human
Rights Act.
The sexual harassment of any employee of the city by another employee is demeaning to both
the victim of the harassment and to the city. Harassment can result in high turnover,
absenteeism, low morale, and an uncomfortable work environment. The city will not tolerate
the sexual harassment of any of its employees, and will take immediate, positive steps to stop
it when it occurs.
2. Delmition. Unwelcome sexual advances, request for sexual favors, sexually motivated
physical contact or communication of a sexual nature constitute sexual harassment when:
a. Submission to such conduct or communication is made either explicitly or implicitly a
term or condition of employment.
b. Submission to or rejection of such conduct or communication by an individual is used
as the basis for employment decisions affecting such individuals.
C. Such conduct or communication has the purpose or effect of substantially interfering
with an individual's employment or creating an intimidating, hostile, or offensive
working environment.
Types of harassment.
a. Verbal Harassment:
* Sex orientated verbal kidding or abuse.
* Use of offensive or demeaning terms which have sexual connotations.
* Whistling, catcalling or leering.
* Unwelcome vulgar or obscene jokes or language.
* Commenting on the appearance of an individual in a sexual way.
* Recounting one's sexual exploits for the people in the office or work place.
* Starting or spreading untrue rumors about the sex life of an employee.
* Subtle or overt pressure for sexual activity.
*Sending or forwarding emails or websites with content described above
b. Physical Harassment
* Soliciting or pressuring someone to sit on your knee, hug you, kiss you, or be
overly friendly.
* Objectionable physical proximity or physical contact.
* Physical contact such as patting, pinching, or brushing against another's body.
* Unwelcome touching gestures.
* Impeding or blocking movement or any physical interference with normal work or
movement.
* Grabbing or tearing someone's clothing.
* Physically forcing sexual activity on someone (assault).
C. Visual Harassment
* Displaying offensive sexually -oriented jokes and pictures, which may include
pinups and posters.
* Revealing parts of your body in violation of common decency.
* Offensive or intimate personal gestures or touching.
* Displaying offensive sexually -oriented letters, poems, graffiti, cartoons, or
drawings.
4. The city will not tolerate sexual harassment of its employees by anyone, including
supervisors, other employees, elected or appointed officials, and members of the public.
5. An employee being sexually harassed by a supervisor, co-worker, elected or appointed
official or citizen, or who knows of activities which constitute sexual harassment should
report such harassment or activity to the City Manager or to the Mayor if the City Manager is
the alleged harasser. The City Manager or Mayor will investigate the report and take
appropriate action.
27
6. The city will not tolerate retaliation against an employee who reports activities constituting
sexual harassment. The city will discipline any employee who retaliates against another
employee who reports alleged sexual harassment or who testifies, assists or participates in
any manner in any investigation into a report alleging sexual harassment. Such retaliation
includes, but is not limited to, any form of intimidation, reprisal or harassment.
SECTION 13. TERMINATION AND LAYOFF.
Termination. Employees of the city may be terminated from the city's service because of
retirement, resignation, dismissal, reduction or change of work, lack of funds, or other
reasons.
2. Resignation.
a. An employee who wishes to resign from the city's service in good standing because of
retirement or other reasons shall give the City Manager at least fourteen (14) calendar
days' notice prior to the date of termination. Department directors shall give thirty
(30) calendar days' notice. The notice should be in a form prescribed by the City
Manager. The City Manager may agree to a shorter period of notice in unusual
circumstances. Any vacation or other leave time used after the notice must be
approved by the City Manager.
b. An employee who does not submit such a notice shall be considered as having
terminated not in good standing. Other terminations may be classified as not in good
standing in the discretion of the City Manager. Written notice of the decision that the
termination is not in good standing shall be submitted to the employee within five (5)
working days after the decision.
C. The City Manager may, in its own discretion, deem an employee to have voluntarily
resigned if the employee is absent from work for a period of three (3) working days or
more without notifying the immediate supervisor, department director, or City
Manager of the reasons for the absence and obtaining permission. The same shall
apply when an employee fails to return to work within three (3) days after an
authorized leave.
3. Penalties. Termination not in good standing shall be noted in the employee's personnel file.
hi that case, the employee may not be considered eligible for re-employment, and the
employee may also be denied severance benefits in the discretion of the City Manager.
4. Layoffs. Layoffs will be conducted in accordance with adopted administrative policy.
Layoffs shall occur by seniority within your area for full and part-time positions.
a. Non-exempt employees who are laid off shall receive their vacation balance, half
of their sick leave balance, plus one-week severance pay for each year of service.
"3
Termination Pay. Regular employees who die or otherwise leave the city after five years of
service shall receive:
a. Pay equal to the amount of accumulated, unused vacation leave deposited into the
HCSP;
b. Pay equal to one-half of the accumulated, unused sick leave deposited into the
HCSP;
c. Non-exempt employees shall receive pay equal to the amount of accumulated,
unused compensatory time;
d. Exempt employees who involuntarily leave the city's employment shall receive
four (4) months severance pay less any vacation leave and sick leave payments
employee may receive as termination benefits.
e. Termination pay of deceased employees shall be paid to the beneficiary designated
in the life insurance policy provided by the city.
SECTION 14. GENERAL DRIVING SAFETY.
All drivers of municipal vehicles and those using their personal vehicle in pursuit of municipal
business, will comply with all applicable laws of the state as well as any additional regulations of the
municipality. Emergency vehicles under pressing emergency situations are exempted from the usual
motor vehicle laws and rules but are required to exercise due caution and care in travel. Employees
who are cited for driving violations while driving a city vehicle are required to immediately report
the citation to their supervisor.
Parking.
a. Municipal vehicles are not to park in "NO PARKING" zones except in emergency
situations or in required performance of official duties. At those times a vehicle is
parked in a "NO PARKING" zone, emergency flashers will be turned on.
b. No municipal vehicle is to be left unattended with the ignition key left in the ignition
and the doors unlocked unless emergency circumstances prevail.
C. Employees who occupy a metered parking space will pay the meter for the duration of
the day. Cost will be reimbursed according to personnel policies.
d. Before initial use of any vehicle, each day, the driver will walk around and inspect the
vehicle for damage, inoperable lights, loose hardware, under- inflated tires, or any
other condition which may cause an unsafe situation. They will also make any other
equipment checks per their department's policy.
29
e. Any deficiency noted during the pre -inspection will be reported to a supervisor
immediately.
2. Equipment.
a. Safety belts will be worn at all times by drivers and passengers.
b. Drivers will follow Minnesota Driving laws and carry their state's drivers license.
C. Turn signals will be utilized by all drivers at all times to warn surrounding
vehicles in ample time.
d. Drivers will ensure that the windows, headlights, tail lights and windshield wipers
are clean and operational at all times.
e. In any case, the driver of the vehicle is responsible to see that all necessary
conditions are met on his/her vehicle before he/she operates it.
Operation.
a. Backing up vehicles without a clear view of the rear end will be done with the
assistance of a guide. If a second person is in the vehicle, he/she will get out and
direct the vehicle back using verbal and appropriate hand signals. If the driver is
alone, he/she will get out of the vehicle and inspect the area behind before
backing.
b. Suspension or loss of driving privileges will result in full-time drivers being
temporarily reclassified until such a time as their driving privileges are reinstated
or a temporary restricted permit is issued.
C. While operating city vehicles posted speed limits will be strictly adhered to.
Exception: Authorized emergency vehicles responding to emergencies will
operate with due regard to public safety in accordance with State Statute.
d. Drivers will direct their full attention to driving only. Inspections of streets, trees,
signs, etc. will be made by a second person other than the driver.
e. During periods of limited visibility or any time windshield wipers are in use, the
headlights will be turned on.
f. Consumption of alcoholic beverages, narcotics or drugs (other than prescribed
medication from a doctor that does not impair the driver and the safe operation of
the vehicle) are STRICTLY prohibited.
30
g. All items transported either in a truck or trailer, which may move around during
transportation will be secured.
h. Cell Phones: in accordance with State Statute employees are restricted from any
type of electronic messaging while operating a city vehicle. This includes, texting,
instant messaging, or utilizing key entry on web based services. Employees are
encouraged to minimize talking on a cell phone to only necessary, work related
conversations while in operation of a vehicle.
Adopted by the Chanhassen City Council on December 12, 1994.
Amended by the Chanhassen City Council on June 12, 1995.
Amended by the Chanhassen City Council on December 11, 1995.
Amended by the Chanhassen City Council on January 10, 2000.
Amended by the Chanhassen City Council on April 8, 2002.
Amended by the Chanhassen City Council on September 23, 2002.
Amended by the Chanhassen City Council on October 28, 2002.
Amended by the Chanhassen City Council on November 25, 2002.
Amended by the Chanhassen City Council on February 12, 2007.
Amended by the Chanhassen City Council on November 8, 2009.
Amended by the Chanhassen City Council on December 12, 2011.
Amended by the Chanhassen City Council on March 11, 2013.
Amended by the Chanhassen City Council on October 27, 2014.
Amended by the Chanhassen City Council on October 10, 2016.
31
ATTACHMENT A
STATEMENT OF REPRESENTATION
I have read Minnesota Statutes Section 471.87, 471.88, 471.881, 471.89 and 412.311. I
understand that the term "contract" includes the purchase of goods and services.
❑ I hereby certify that I have not voluntarily had a personal financial interest in the sale,
lease or contract of the city, nor have I personally benefited from any such transaction. I
will notify the City of Chanhassen promptly if there is a change in my current status.
Date:
❑ I hereby certify that I have (had) a personal financial interest in a sale, lease and/or
contract of the city and/or have personally benefited financially from such a transaction.
The circumstances and statutory exception (authority) for all such financial interest are
described below:
32
City of Chanhassen
Public Purpose Expenditure Policy
Every City of Chanhassen expenditure must be valid based upon the public purpose for which it
is purchased and the specific or implied authority found in State Law.
The following are deemed to meet the Council definition of public purpose expenditures:
MEETING FOOD/MEALS
The City Council recognizes that situations in which City 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 work force. The following items are deemed to meet
the Council definition of public purpose expenditures in regards to food and meals.
1. Meals and refreshments are allowed at City meetings and events that have a purpose of
discussing City issues. These meetings would normally have a pre -planned agenda and occur
during normal meal hours.
2. Meals and refreshments are allowed at employee meetings and events that have a purpose of
discussing City issues or are a part of an employee training. These meetings would also
normally have a pre -planned agenda. This does not include routine staff meetings.
3. Meals and refreshments are allowed when they are part of a breakfast/lunch/dinner meeting
for official city business when it is the only practical time to meet. Usually these meals
involve meeting with City councilmembers, committee/commission members, or local
business/fraternal organizations.
4. During official meetings of the City Council, council committees, advisory
boards/commissions, and taskforces.
5. Meals purchased by an employee, councilmember, or agent while at a conference or other
training event may be reimbursed by the City provided that an appropriate receipt is
provided. Such receipt must be itemized and include who the meal was purchased for, and
will specify what was included in the purchase. Any un -itemized receipts will not be
reimbursed by the city.
6. Reimbursable travel expenses for employees or councilmembers are outlined in the City of
Chanhassen Personnel Policy.
7. The City will not purchase or reimburse any employee, councilmember, or agent for the
purchase of intoxicating liquor or malt beverages.
The costs of these meals are included within individual department's budgets. These budgets are
approved annually by the City Council as a part of the overall budget approval process which
includes a public hearing on the proposed budget.
MEMBERSHIPS AND DUES
The City Council has determined that the City will fund memberships and dues in professional
organizations and City social and community organizations when the purpose is to promote,
advertise, improve or develop the City's resources. In addition, memberships and dues will be
allowed for employees, city council and commissions if the dues promote primarily educational
opportunities related to their fields or duties assigned and are not solely for personal interest or
gain.
The cost of these memberships and dues are included within individual department's budgets.
These budgets are approved annually by the City Council as a part of the overall budget approval
process which includes a public hearing on the proposed budget.
EMPLOYEE REGOGNITION PROGRAM
The City of Chanhassen City Council recognizes the hard work and service performed by the
employees of the City of Chanhassen through a formal Employee Recognition Program. The
City Council 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.
The Employee Recognition Program is considered "additional compensation" for work
performed by employees but is entirely dependent on receiving funding from year-to-year.
1. Service recognition awards shall be given to all regular and full-time employees who have
completed continuous years of service. The following awards have been established:
a. Five (5) years — certificate and $25 dollars
b. Ten (10) years — certificate and $50 dollars
c. Fifteen (15) years — certificate and $75 dollars
d. Twenty (20) years — certificate and $100 dollars
e. Twenty-five (25) years — certificate and $150 dollars
f Thirty (30) years — certificate and $200 dollars
g. Thirty-five (35) years — certificate and $250 dollars
h. Forty (40) years — certificate and $500 dollars
i. Forty-five (45) years — certificate and $750 dollars
2. The costs of these recognition awards are included within individual department's budgets.
These budgets are approved annually by the City Council as a part of the overall budget
approval process which includes a public hearing on the proposed budget.
3. The City supports events that are planned and paid for by employees. Examples of such
events include but are not limited to the summer picnic, potluck meals, and holiday parties.
The City Council understands that these events may occur during normal working hours, and
if approved by the City Manager or his/her designee, employees will not be required to use
vacation or compensatory time for such events.
4. The City Manager has the authority to approve other forms of recognition including issuance
of flex time or compensatory time as he or she sees appropriate.
CREDIT CARD USE
The use of credit cards by any employee otherwise authorized to make purchases on behalf of the
City is permitted, provided that purchases made by credit card must comply with all statutes,
rules, and/or Council policy applicable to City purchases. The use of City credit cards shall be
limited to purchases on behalf of the City and no other purpose. All purchases on City credit
cards are required to have detailed supporting receipts. In addition all credit card monthly
statements are to be reviewed by the employee's department head and signed for approval.
CELLULAR TELEPHONES (See City Personnel Policy)
CLOTHING ALLOWANCES
In those departments where clothing allowances are allowed for safety reasons, all purchases
need to be in compliance with the following guidelines:
1. All purchases need to be documented with original detailed receipts.
2. All employees who have required safety shoe duties at any point during their working
hours must purchase approved safety compliant steel toed shoes.
3. The city will only reimburse for pants, shirts, boots, jackets and other safety
equipment required or deemed necessary by the employee's department head. The
city will not reimburse for undergarments, socks, belts or other non-essential safety
clothing.
4. Any purchases made using city funds where the actual purchase garners a benefit or
comp for the purchasing individual, shall forward all benefits, cash rewards and store
credits to the finance department that will then be used for other city related
purchases only.
Adopted by the Chanhassen City Council on November 25, 2002.
Amended by the Chanhassen City Council on December 12, 2011.
Amended by the Chanhassen City Council on October 10, 2016.
Purchasing Policy
City of Chanhassen, Minnesota
Adopted on
February 10, 2003
Amended on
July 14, 2003
June 26, 2006
July 14, 2008
June 27, 2011
October 10, 2016
Section 1. Purchasing Guidelines
1.1 Goals and Objectives
This purchasing manual was created to:
• Clarify and reconcile the sometimes confusing requirements of state purchasing
law, departmental procedures, and the Finance Department processes.
• Provide a comprehensive resource book for staff to be effective and efficient
when making purchases.
• Standardize purchasing and payment methods to expedite the purchasing
process.
The standards in this manual are minimum standards to ensure fiscal responsibility.
Departments may set more restrictive procedures to meet their own budgetary
accountability.
1.2 ADA Compliance
The City of Chanhassen is subject to the provisions of the Americans with Disabilities
Act (ADA). The Chanhassen City Council adopted an ADA compliance plan which
outlines how the City complies with the Act. In general, the City will consider the needs
of people with disabilities as it purchases equipment and configures work and public
areas.
Section 1. Purchasing Guidelines
1.3 Quick Reference Guide
Value of Purchase
Quotations Needed
Payment Request
Approvals Needed Prior
Options
to Purchasing
Less than $100
None
Petty Cash
Department
Yes
Credit Card
Finance
No
Check Request
City Manager
No
City Council
No
$100-$4,999
Departmental Discretion
Credit Card
Department
Yes
Check Request
Finance
No
Purchase Order
City Manager
No
City Council
No
$5,000-$10,000
Two Written Quotes or
Credit Card
Department
Yes
RFP's
Check Request
Finance
No
Purchase Order
City Manager
No
City Council
No
$10,000-$19,999
Two Written Quotes or
Credit Card
Department
Yes
RFP's
Check Request
Finance
Yes
Purchase Order
City Manager
Yes
City Council
No
$20,000-$99,999
Two Written Quotes or
Check Request
Department
Yes
RFP's
Purchase Order
Finance
Yes
City Manager
Yes
City Council
Yes
Greater than
Sealed Bids
Check Request
Department
Yes
$100,000
Purchase Order
Finance
Yes
City Manager
Yes
City Council
Yes
Notes: If a cooperative purchasing agreement is in place, quotations are not needed.
All purchases must be approved as part of the annual budgeting process
or within the CIP.
RFP's are required for contracting services in excess of $25,000 on an annual
basis except from the consultant pool (see RFP section of this document).
The City Manager may delegate authority for approval of agreements less than
$20,000 (see Agreement Processing section of this document). Purchases
between $10,000 and $19,999 have to be approved by the City Manager and the
Finance Director.
The City Council has pre -approved payment for utility accounts and payroll
transfers that occur in the normal course of business even though they may
exceed $20,000. These are contractual accounts for services that are approved
as part of the budget process. The vendors that fall under this situation include
Centerpoint Energy, Xcel Energy, Metropolitan Council Environmental Services,
United States Treasury, State of Minnesota, PERA, and the City's insurance and
healthcare providers. Any payments to these vendors that are outside the
normal course of business will be presented to the City Council for individual
approval.
Unique professional service contracts are not required to be part of an RFP
process, as long as those professional services are specialized or based on
specific expertise or professional abilities.
Section 2. Purchasing Practices
2.1 Ethics / Relations with Vendors
The City of Chanhassen holds its employees to the highest ethical standards.
Purchases shall be conducted so they foster public confidence in the integrity of the
City's procurement system, and open and free competition among prospective
suppliers. In keeping with this value, employees should avoid the following practices
when making purchases on behalf of the City:
Circumventing competitive bidding requirements.
Examples of this include:
• Splitting purchases so that they can be made through several small purchases.
• Using the emergency procedure process when no true emergency exists.
• Using a 'sole source' exemption when competition is available.
Denying one or more vendors the opportunity to bid on a contract.
Examples of this include:
• Using unnecessarily restrictive specifications.
• Pre -qualifying bidders on a discriminatory basis.
• Removing companies from a bidders list without just cause.
• Requiring unnecessarily high bonding.
Giving favored vendors an unfair advantage.
Examples of this include:
• Providing vendors with information regarding their competition's offers in
advance of a bid opening.
• Making information available to favored vendors and not to others.
• Giving un -favored vendors inaccurate or misleading information.
Accepting gifts from vendors.
• Minnesota Statutes §471.895 prohibits government employees from receiving
gifts except where they are included as part of the cost of a product, good, or
service provided (such as a meal provided as part of a conference).
Section 2. Purchasing Practices
2.2 Recycled Content
Environmentally preferable products are goods and services that have a lesser or
reduced effect on human health and the environment when compared with other goods
and services that serve the same purpose. The following is an overview of items that
should be considered prior to making a purchase. Details relating to the items can be
found at the Solid Waste Management Coordinating Board web site at www.swmcb.org.
Office Products - General
• Erasable boards - alternative to paper flip charts
• Self -stick fax addressing labels - alternative to full-sized fax cover sheets
• Electronic software presentations - alternative to transparencies
• Solar -powered calculators and other devices - eliminates the need for batteries
• Refillable pens, pencils, and tape dispensers - eliminates waste
• Reuse file folders and binders - applying new labels extends their usefulness
• E-mail - alternative to paper memorandums
• Double -sided copies - reduces paper waste
• Reusable kitchen dishware - reduces waste
• Purchase products in reusable, refillable, or returnable containers - containers
may be sent back to the vendor for reuse
Copy Paper and Envelopes
• Recycled content - when possible, purchase 100% post -consumer paper
• Chlorine -free paper - buying chlorine -free paper reduces pollution. Choose paper
labeled as 'Processed Chlorine -Free" (PCF)
• White and pastel paper - fluorescent colors make copy paper harder to recycle
Purchase white and pastel -colored copy paper— dark colors, plastic windows,
and padding make envelopes harder to recycle
Printing Services
• Low volatile organic compounds - choose a printer that uses low-VOC water-
based or agri-based inks and press chemicals
• Inks - avoid inks containing heavy metals such as barium, copper, and zinc
Colors to avoid include fluorescent colors, warm red, and metallics
• Glue, coatings, and foil stamping - use glueless bindings and uncoated paper
when possible. Avoid foil stamping and heavy ink coverage
Office Machines
Copiers - save paper with copiers that feature automatic duplexing and multi -page
printing. Purchase remanufactured copiers and models that can use remanufactured
toner cartridges
• Computers and monitors - choose models that can be easily upgraded
• Printers - when possible, choose printers with duplex units to save paper. Look
for models that are certified as star compliant (can cut energy use by more than
65%)
• Printer toner cartridges - purchase remanufactured toner cartridges from
suppliers that will reuse spent cartridges
Vehicles
• Motor oil - purchase re -refined oil when possible
• Antifreeze - purchase extended life antifreeze that is designed to last five
years/150,000 miles or longer
• Fuel - the use of 85% ethanol blended fuels (E85) reduces carbon monoxide and
ozone -producing emissions
Plastic Lumber and Treated Wood
• Plastic lumber - alternative to chemically treated wood
• Treated wood - purchase only AGO treated wood
Office Cleaners
• Reusable, returnable packaging - purchase cleaners in concentrates
• Plastic waste bags - purchase bags that are made from recycled materials
Paint
Latex paint - purchase latex paint rather than oil-based paint. Paint should be
10% to 100% post -consumer content
Carpet
• Purchase recycled rubber -backed carpet tiles that can be replaced as they wear
Office Furniture and Panels
• Remanufactured furniture - Purchase remanufactured furniture when possible.
When purchasing new furniture, look for recycled content including metal, PVC
and other plastics, pressboard, and fabric
Section 3. Authorization
The City of Chanhassen has a decentralized purchasing program where individual
departments are responsible for making their own purchases. There are a few
exceptions including the supplies maintained in the office supply closet, paper and
stationery products, and modular furniture and chairs. The front desk receptionists will
assist staff members who need help with research or purchase of items in cases where
staff are not familiar with particular products.
Payment Authorization Process
Determine the need for commodities and services.
2. Research the cost of the purchase and determine proper purchasing alternative.
Determine the appropriate account coding and whether there is sufficient funds
available in that budget line item.
4. Forward request to department director or designee for approval. If purchase
exceeds $10,000 and is less than $20,000 approval is needed by City
Manager and the Finance Director.
Department director forwards request for payment with invoice to the Finance
Department for approval and input into financial accounting system.
Payment is made by the Finance Department.
Finance produces check register for approval by City Council.
Section 4. Purchasing Alternatives
4.1 Sealed Bids
A formal sealed bid procedure is required for all purchases in excess of $100,000
except professional services.
A published notice of bid is required in the official City newspaper at least seven
days in advance of bid opening. The published notice must state where the plans
and specifications can be obtained by bidders and specifically, where the bid
opening will be held. The notice may also be published on the City's official web
site; however, this publication is in addition to the official newspaper publication.
• All bid openings are to be administered by originating department.
• The preparation of all specifications are to be the responsibility of the originating
department.
• Required authorization for plans and specifications is the responsibility of the
originating department.
The City Council must formally approve the bid contract.
• The originating department then files the contract with the administration
department.
4.2 State, County and Other Cooperative Purchasing Contracts
State Cooperative Purchasing Contracts — The City of Chanhassen participates in the
State of Minnesota Cooperative Purchasing Venture (CPV). This enables participants to
buy goods and services at a reduced cost under the terms of contracts already
negotiated by the State of Minnesota. Participation in other purchasing cooperatives is
encouraged by all departments.
• The Finance Department has access to the releases and listings of
products/services that can be purchased on state contract.
• If it is determined that a product/service is on a state contract, vendors should be
told that the purchase will be made using that contract. When completing the
purchasing paperwork, note that the purchase is per state contract and indicate
the contract number.
4.3 Quotes
If a purchase is estimated to exceed $5,000 but not to exceed $99,999, the purchase
may be made either by sealed bids or by direct negotiation based upon quotations. If a
purchase is made in this range, staff members are required to obtain at least two written
quotes. These quotes should be in writing. If the quotes are not written, the requestor
who received the verbal quote must document the quote in writing. All such quotes must
be forwarded to the Finance Department with the purchasing documents.
4.4 Emergency
Emergency situations may arise where the normal purchasing process cannot be
followed for the procurement of goods and services. An emergency means an
unforeseen combination of circumstances that calls for immediate action to prevent a
disaster from developing or occurring.
Minnesota Statute §12.29 gives the Mayor the authority to declare a local emergency
for up to three days, which period may be extended by the City Council. During such an
emergency, if authorized by the City Council, the City is not required to use the typically
mandated procedures for purchasing and contracts. During that time, the governing
body may waive compliance with the prescribed purchasing guidelines including
compliance with M.S. 471.345, Uniform Municipal Contracting Law.
Whenever possible the current purchasing policies and procedures should be followed
even when an emergency is declared, but as described above if the emergency
requires speedy action essential to the health, safety, and welfare of the community and
if there has been an emergency declaration, the standard purchasing policies and
procedures can be waived in accordance with Minnesota Statute §12.37.
4.5 Request for Proposals (RFP)
RFPs may be used to solicit proposals for professional services. Typical information to
address in RFPs includes:
Background and scope of the project.
The project's budget to ensure that the proposals stay within that range.
Proposal requirements should include adequate information to allow for proper
review and evaluation including:
• Description of firm and qualifications, including any specialized experience
related to the project.
• A list of similar projects the firm has completed.
• Project timetables including: estimate of hours, breakdown of hours by
phase, and the City's expectation for a completion date.
• Designation of a firm principal who will be in charge of the project.
• Resumes for all staff who will work on the project.
• Statement that either no subcontractors are allowed or that all
subcontractors will be identified and are subject to the City's approval.
Estimate of cost to provide the service, outline of fee schedule and
payment schedule.
• Description of City's selection process.
• City's evaluation criteria, which typically may include:
• Quality and thoroughness of the proposal.
• Similar past experience and/or expertise.
• References
• Cost estimate
• The following statement must be included: The City reserves the right to
reject any and all proposals, waive all technicalities and accept any
proposal deemed to be in the City's best interest.
• Submittal deadline: date, time, project name, and addressee.
• Statement: "Proposers are solely responsible for delivery of their
proposals to the City before the deadline. Any proposal received after the
deadline will not be considered and will be returned."
• Information about where questions should be directed.
Note: Staff should make sure that all proposers are given the same information.
Attach a copy of the agreement proposed to be used for the project, including the City's
insurance certificate. The agreement includes provisions to which the firm must agree,
so it is important that they see the agreement up front. It is suggested that the RFP be
submitted to the City attorney for review prior to distribution.
4.6 Leases/Purchases
All lease agreements need approval through the Finance Department and/or legal
counsel prior to initiating or modifying a lease.
4.7 On -Line Purchases
The following guidelines are recommended for purchasing products over the Internet:
• All addresses for secure purchasing sites will have an https:// prefix, make sure
to make all purchases from a secure site as described above.
• No purchase should be made from a city account while connected to any public
WiFi service.
• Whenever possible avoid from making credit card purchases or sharing of credit
card information over the telephone. The preference is always to purchase via a
secured internet portal or in person.
• City credit card account numbers should not be saved on any ecommerce site.
• Avoid online purchases from sites located outside the United States. There is
usually an alternative US distributor.
Section 5. Payment
The City of Chanhassen uses various processes in making payments for goods and
services.
5.1 Standard Purchase Orders
Purchase orders are used when required by the vendor to acknowledge the City's
request for goods and services. A copy of the purchase order will be sent to the vendor
when requested.
• The purchase order number used will be the employee's number.
Once invoice is received and purchase order complete, return completed
purchase order with invoice attached and authorization for payment to the
Finance Department.
5.2 Accounts Payable Payments
The Finance Department policy is for bills/invoices to be paid on one of the weekly
claims lists.
• All accounts payable payments will be issued weekly. All payments must be
submitted to the Finance Department prior to 3:00 p.m. on Wednesday.
• Checks will be issued, mailed, or returned to appropriate departments on
Thursdays. Payments to be processed electronically will be credited to the
vendors bank accounts on the following Monday.
5.3 Blanket Purchase Orders, Charge Accounts, and House Accounts
The City uses blanket purchase orders, charge accounts, and house accounts for
frequently used vendors. This process requires submission of receipt with an
account code and department approval. All new open accounts must be
authorized by the requesting department director and Finance Department.
5.4 Invoices
• Invoices must be attached to any accounts payable payment, purchase order, or
expense voucher along with proper authorization. Documentation must be
returned to the Finance Department to be processed on claims list.
5.5 Statements
• The Finance Department tracks all statements—reviewing for old invoices or
credits. For vendors where the City has open accounts, the Finance Department
only pays once a month after matching invoices to the statement.
5.6 Account Coding
All requests for payment including, purchase orders, or expense voucher must have an
eleven digit code to process payment. Refer to department budget for reference of line
item code.
Helpful hints for completing payment process:
• Eleven digit code — 101 (fund) 1120 (department or project) 4110 (office
supplies).
• Description - specific description of up to 30 characters.
• Vendor address line — limited to four lines.
• Invoice number— important to prevent duplicate payment.
• Computer generated material preferred. Handwritten is acceptable if legible.
• Open account slips — indicate eleven digit financial code.
5.7 Petty Cash
Used for reimbursement to employees for items $100 or less for expenditures
made on behalf of the City.
A receipt or invoice with proper departmental authorization must be obtained
prior to disbursement.
5.8 Guidelines for Payment Processing
Invoices, purchase orders, or expense voucher must be submitted for payments.
All accounts payable items are due by 3:00 p.m. on Wednesday in the Finance
Department, with checks issued the following day.
All accounts payable items must have an eleven digit code to process payment.
Refer to department budget line item codes for proper coding.
5.9 Credit Cards
The City will issue credit cards to certain individuals to allow for more efficient
purchasing and to make purchases at businesses that no longer allow open accounts
To assist the Finance Department in ensuring consistency, accuracy, and
thoroughness, the following are procedures to be followed for credit card use:
• Credit cards must be obtained from the Finance Department
• Cards will be distributed to those departments that can demonstrate a need, such
as efficiency or because vendors do not allow open accounts.
• The cards will be issued to departments with transaction and balance limits. No
cash advances are allowed on the credit cards.
• The responsible person will review the credit card statement each month and
code each expenditure, attach a detailed receipt and needs to be signed by the
department director, and forwarded to the Finance Department.
• Credit cards will only be issued to those employees that can demonstrate a need
and have department head approval. Several purchases per year for city
business are needed in order for a credit card to be issued.
5.10 Electronic Funds Transfer
Electronic Funds Transfer may be required in some cases to complete a business
transaction. The funds are transferred electronically from the party's bank accounts.
Some instances may include transactions with the State of Minnesota, a federal agency,
another local government, or a closing agent in the purchase or sale of real estate.
These transactions need to follow the same guidelines for payment processing in
Section 5.9.
5.11 Expense Reimbursement
A completed and properly authorized form is required for reimbursement to employees
for City -related expenses. All requests must contain proper account codes, department
approval, and receipts must be attached. Expenses will be reimbursed by check issued
on the next check run.
Section 6. Agreement Processing
Agreement Forms
Agreements need to be reviewed by the City attorney unless they follow a previously
used format such as Contracts for Private Redevelopment. However, if attachments to
the agreement modify the agreement or provide new terms, the agreement should be
reviewed by the City attorney. The City attorney's review must occur prior to submission
for a Council agenda and/or signatures.
• The City attorney must review an agreement if it is written on the other party's
form, or if a special agreement is being drafted.
• Please note: These provisions apply to ALL agreements, including maintenance
agreements, service contracts, etc.
Authorization Levels
• The City Manager is authorized to sign agreements up to $20,000 in value.
• Council authorization is required where a contract exceeds $20,000, and the
agreement must be signed by the Mayor and the City Manager.
• Where Council authorization is required, a copy of the agreement must be
included with the Council letter.
Transmittal Form/Signatures
• Once the agreement is approved, the other party should submit the original of the
agreement for signatures (as many original copies can be submitted as required,
but the City requires one original copy for the central agreement file). The
agreement packet must include the agreement, any required bonds, and the
certificate of insurance.
• A transmittal form—available from the administration department—(sample
agreement and transmittal form) must be completed and routed to the City
attorney with the agreement packet. After the City attorney approves the packet,
the agreement should be forwarded to the City Manager and the Mayor
(depending on the contract amount) for signatures. The originating department is
responsible for circulating the agreement for signatures.
• Be sure to note on the transmittal form the date the insurance expires, and any
special conditions, for instance, if the agreement calls for performance by a
specific date. The transmittal form should also note the termination date of the
agreement (either a specific date, when a condition is met, or that it is an ongoing
agreement).
Original to Administration
• The central agreement file is maintained by administration. Once the agreement
has been fully executed, the ORIGINAL must be submitted to the administration
department for placement in the central file. The originating department may
keep a copy of the agreement for the department file.
• The administration department assigns agreement numbers.
Section 7. Capital Outlay and Fixed Assets
7.1 Capitalization Threshold
Capital outlay purchases are for items costing more than $10,000, are a tangible asset,
and have a life expectancy of more than one year. These items must be included in
each department budget in expense account 4701-4762. It should be noted that
delivery charges and sales tax must be included as a cost of the item purchased when
determining if the purchase is a capital outlay item.
If the individual purchase is greater than $5,000 the item is a capital outlay purchase
and now should become a recorded capital asset. The amount to record for that capital
asset would be any charge "to place the asset in its intended location and condition for
use."
7.2 Acquisition
When a capital asset is purchased, a capital asset form needs to be filled out by the
department making the purchase. The forms are kept in the Finance Department. The
form should be completed when the entire cost of the asset can be supported by vendor
invoices. The total of these vendor invoices should be the amount recorded for that
asset. It should also be noted that all acquisitions should follow the City's capital
replacement schedule when applicable.
7.3 Tracking and Transfer
Once the asset is recorded on the City's financial accounting system, it is the
responsibility of the assigned department to notify the Finance Department of any
assets that have been transferred to a different department. This needs to be done by
filling out a capital asset form with the required information. In addition, at the end of the
year, a physical count of all capital assets will need to be done by each department's
assigned assets. This count will be done at or near the end of the calendar year. Each
department will be provided a list of assigned assets by the Finance Department. The
count will then be made by the department with any discrepancies noted on the list
provided.
7.5 Deletion or Disposal of Fixed Assets
When an asset is sold or disposed of the assigned department must complete a capital
asset form with the required information in order for the Finance Department to remove
the asset from the financial accounting system. This includes items that are disposed of
with no sale or trade value. Once again disposals should follow the capital replacement
policy of the City.
Section 8. Disposal of Surplus Property
8.1 Auction
The City disposes of surplus equipment through public sale in accordance with council
policy. Throughout the year the City collects items to be sold at public auction and
sends them to an auctioneer with a description and number of items to be sold, and
makes arrangements for those items to be transported.
The auction house will forward a tabulation of the bids received along with payment.
The information is reviewed by the equipment manager and then the payment is
forwarded to the Finance Department.
A capital asset removal form must be filled out when an item sold at auction was listed
on the capital asset system.
8.2 Computer Equipment
When a piece of computer equipment has reached the end of its useful life with the City,
it may be disposed of in one of the following ways:
• Sealed bids;
• Donation to non-profit or governmental agency (City Manager approval required);
• Sell through auction;
• Recycle through computer recycling vendor;
• Dispose of as waste (unless it contains hazardous material) if the disposal cost is
less than $100;
• There may be costs associated with recycling or disposal of certain computer
equipment such as CRTs in which case purchasing guidelines should be
followed.
Section 9. Procurement Policies when Using Federal Dollars/Grants
9.1 Purchasing Thresholds
All purchases by the city and its agents, when using federal funding and making
purchases in excess of $2,000 for construction dollars are subject to the Davis -Bacon
Act. In addition construction purchases in excess of $2,000 and purchases in excess of
$3,000 for all other purchases, must meet small purchase procurement practices and
obtain multiple price/rate quotes from qualified sources.
9.2 Affirmative Action Practices
The city and all its agents will take all necessary affirmative action steps to assure that
minority businesses, women's business enterprises, and labor surplus area firms are
used when possible as per "2 CFR 200.321 (b).
9.3 Sealed Bids for Federal Purchases
All purchases by the city and its agents will follow all "sealed bid" requirements as per "2
CFR 200.323 (a)". This includes but is not limited to documenting a cost or price
analysis in connection with every procurement action in excess of the "Simplified
Acquisition Threshold", including contract modifications.
9.4 Reviewing for Contractors under Suspension or Debarment
In all cases the city and its agents will review the excluded parties list
(https://www.sam.gov/), to ensure that no tentative parties, suspended and/or debarred
contractors are contracted with when using federal or city dollars.