HomeMy WebLinkAboutItem 06.o
Date: Item No.
Resolution Amending Compensatory Time Policy
Proposed Action
Staff recommends adoption of the following motion: Move to approve the amendment to the
Compensatory Time Policy 6.40.
Overview
Non-union employees are eligible for overtime compensation in accordance with the Fair Labor
Standards Act. The current compensatory time policy requires that overtime to be accumulated as
compensatory time is approved in advance. The compensatory time policy allows employees to
choose to carry over up to 40 hours of compensatory time annually. When employees can choose to
cash out or choose to carry over leave time, the policy is not in compliance with federal regulations.
Staff is proposing the following amendments to the compensation time policy:
• Changing the approval process through the employee’s department online time off
calendar.
• adding restrictions for employees to cash-out compensatory leave.
The proposed amendment was also reviewed by legal counsel.
Primary Issues to Consider
• Amending the compensatory time policy would comply with federal regulations.
Supporting Information
• Resolution Amending Compensatory Time Policy 6.40
• Amended Compensatory Time Policy 6.40
Financial Impact: $ Budgeted: Y☐ N☐ Source:
Related Documents: (CIP, ERP, etc.):
Envision Lakeville Community Values: Good Value for Public Services
Report Completed by: Tammy Schutta, Human Resources Manager
November 16, 2020
CITY OF LAKEVILLE
RESOLUTION NO. ____
RESOLUTION AMENDING THE COMPENSATION TIME POLICY
WHEREAS, the City of Lakeville Compensation Policy 6.40 allows employees to choose to carry
over up to 40 hours of compensation time annually; and
WHEREAS, the policy amendment sets limitations and restrictions to cash-out compensation
time; and
WHEREAS, the policy amendment includes changing the approval process through the
employee’s department online time off calendar; and
WHEREAS, amending the paid time off policy will bring the policy into compliance with federal
regulations.
NOW, THEREFORE, BE IT RESOLVED that the City Council approves the amendments to
Compensation Time policy.
ADOPTED by the Lakeville City Council this 16th day of November 2020
______________________________
Douglas P. Anderson, Mayor
_________________________________
Charlene Friedges, City Clerk
COMPENSATORY TIME
Policy 6.40
1) POLICY
a) Exempt employees, as designated by the City Council under the Fair Labor
Standards Act, are not eligible for overtime compensation.
b) Employees holding positions not designated by the City Council as exempt will be
considered nonexempt employees who are subject to the provisions of the Fair
Labor Standards Act. Such nonexempt employees will be eligible for overtime
compensation in accordance with the Act, subject to the following conditions:
i) Overtime to be accumulated as compensatory time must be approved in advance
by the department director on the overtime/compensatory form.
ii) The maximum number of hours of accumulated compensatory time will be 240.
iii) Compensatory time off must be claimed through the employee’s department
online time off calendar on a form provided by the city and the request must be
made to the employee’s department supervisor a minimum of one week in
advance and approved by the department supervisor.
iv) If an employee advances to a new grade level any compensatory time earned at
the previous rate will be paid out at the previous rate.
v) All compensatory time over 40 hours will be paid in cash on the last pay period
of the year at the current regular hourly rate. The employee may choose to
carry over up to 40 hours of compensatory time from one year to the next. All
hours of compensatory time not carried over shall be used by December 31 of
each year or the city will pay employees for any hours of compensatory time
not taken. Payment of the compensatory time to an employee will be paid in
December at the current regular hourly rate.
Amended 11-07-16
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