Committee Minutes

MINUTES/FINANCE COMMITTEE
Tuesday, December 29, 1998 - 3:55 p.m.

Members present: Babinchak, Brooks, Carpenter, Hamerlik.

1. Matter of review of policy re. reimbursement of private
vehicles.
Mr. Schmisek reported that policy was origninally adopted for calendar year 1996 and has been renewed annually, flat rate policy for those who use their personal vehicles plus mileage rate allowed in federal statute through IRS regulations. He stated they have done this on an annual basis and seems to be good comfort level among employees in fairness of this, and suggested that the renewal and approval of this policy - would like to recommend to adopt this as an on-going policy and not bring back annually, and if change or request from employees, that would come back to committee. He stated that the new IRS mileage rate for 1999 will be 31/cents which is down from 32.5/cents from 1998.

Hamerlik asked if there were any restrictions for out of state private vehicles, more than one to vehicle, or different variances, etc. Mr. Schmisek stated only information is that they ask departments to use proper judgment in this, there is no difference in rate between out of state and in state. He stated all mileage sheets are turned into finance office and do request that multiple people travel when going to Bismarck for Legis-lature, etc. and not take individual vehicles; that they try to watch that within our office, but no specific guidelines at this point, but don’t see any abuses of it. There was a question re. employee driving long distance for conf/mtg. and Mr. Schmisek stated that when they review what is cheaper between air fare and mileage. Mayor Owens stated that was mayor’s policy, if go to conference and non-city spouse, approved by mayor and is allowed but weigh when come through. Hamerlik stated he wasn’t concerned re. spouse riding with them, but taking three cars so that each one could go, and that seems to be under control. Hamerlik asked if this could be in form of an ordinance; Mr. Schmisek stated it could be but more just the adoption of expenditure policy. It was noted this would be permanent unless otherwise changed.

Moved by Carpenter and Brooks to approve and adopt as an on-going flat rate policy for City employees using their personal vehicles plus mileage rate allowed in federal statutes through IRS regulations. Motion carried.


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December 29, 1998 - Page 2

2. Matter of time off and bonus hours for attendance at
meetings.
Hamerlik stated this has nothing to do with attendance at meetings, request is to see policy that was adopted some years ago and was on committee that discussed some portion of it. He stated his main question was centered around the bonus hours given at the time that a person who is on the regular work hours and attendance at meeting, whether voluntary or mandatory, not for extra work or hours because that is covered, but specifi-cally when on company time. He stated it could be the health Department or any other meetings where give bonus hours when it’s on regular work schedule hours. Mayor Owens stated that the only one for bonus hours is noon luncheon workshops by the Health Department and also Wellness Program, passed in 1993 (ordinance); Mr. Gordon could tell why this was done and what saves City. Hamerlik asked about the day long health fair, and if employees get bonus hours for that too. It was noted that if employees go to Wellness Fair they get credit for hours.

Mr. Gordon stated if talking about programs for Wellness through the Health Department, that 1993 is when started with the safety program, hired occupational health nurse, etc. and those were efforts along with this program to get the Workers Comp. premium down and have reduced that premium by about $300,000; these were little incentives that started back then to get that premium down and it’s been very successful. He stated they had over 300 employees go to Wellnes Fair this year, many received flu shots, and people who participate in two-hour workshops have anywhere from 25 to 35 people, and is understood with all department heads that is voluntary, they are not required to go and use their own time, that they don’t go to Wellness Program and then take an hour lunch, and if there are employees abusing that situation, he is not aware of it and they want this to continue.

Babinchak stated they received tabulation from Wellness Prgram, that blood pressure and cholosteral screening was lot higher than typical national average, and it’s good procedure for the City to get some employees alerted if they do have health prob-lem, because it benefits the City if alerted and go to the doctor and take care of it, etc. and two hours to attend Well-ness Fair or four hours vacation time, thinks well worth City’s investment. Information only.

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December 29, 1998 - Page 3

3. Matter of pledged securities.
Mr. Schmisek reported this is for semi-annual review and need committee member to do that review; Brooks will review securities and item will be placed on council agenda.

4. Matter of claim for property damage at 8 ½ S. 3rd Street
as result of police officers conducting search for suspect.
Mr. Schmisek reported this came up late in the week; that Mr. Silverman brought in copy of damages, a copy of letter from insurance company turning down claim based on an exclusion in the insurance agreement, and letter requesting committee to review that.

Mr. Silverman stated that the police were chasing a suspect who had come across the river and car he was in turned down the alley in back of the apartment building at 8 ½ S. 3rd Street, he got out of car and ran up the stairway and down the hall, police came up looking for him, that door was slightly ajar and had been secured by a 2x4 because it had previously been vandalized slightly and hadn’t got around to get carpenter to fix it; that police thought suspect was hiding behind door and in process of trying to get in broke the door so could not be fixed or repaired in any way - cost of door $249.58. (It was noted that police did find supsect upstairs but was hiding behind an air conditioner).

Committee asked why this is an exclusion as stated in paragraph in letter from insurance company: “…..there is no coverage for personal injury or property damage expected or intended from the standpoint of a covered party.” Mr. Schmisek stated he was not sure and as Mr. Swanson was not at the meeting, perhaps if this is an item they would like Mr. Swanson to review. Committee suggested possibly meeting prior to council meeting on Monday.

Sgt. Phelps of the police department stated that officers of department were assisting East Grand Forks police officers with regard to a terrorizing complaint and individuals fleeing
police officers from the East Side, and our officers did kick the door in. He stated this is something that happens - unique
occasion. Committee stated they don’t see these in other instances; Sgt. Phelps stated he couldn’t recall when something like this happened previously.




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December 29, 1998 - Page 4

Committee asked Mr. Silverman if his insurance would cover this; Mr. Silverman stated his vandalism insurance has $250 deduc-tible.

Committee scheduled meeting for Monday, January 4, at 7:15 p.m. so can get interpretation from city attorney on what this paragraph means, didn’t feel comfortable making a decision until get some interpretation from him. Mr. Schmisek stated he would also ask Dale Sand from insurance company to be present.
Held until Monday at 7:15 p.m.

Moved by Hamerlik and Carpenter to adjourn; meeting adjourned at 4:15 p.m.

Alice Fontaine
City Clerk

Dated: 12/29/98.