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HomeMy WebLinkAboutAgenda - 02-05-2002 - 8cI ORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: February 5, 2002 Action Agenda Item No. 1-G SUBJECT' Personnel Ordinance Revision- Retirement System Sick Leave Cap Removal DEPARTMENT: Personnel PUBLIC HEARING: (YIN) ATTACHMENT(S): INFORMATION CONTACT: Draft Personnel Ordinance Revision Elaine Holmes, Personnel Director, Employee Benefts - Sick Leave Extension 2552 (Article IV Section 6.15) TELEPHONE NUMBERS: Hillsborough 7324181 Chapel Hill 968-0501 Durham 688.7331 Mebane 336-22]-2031 PURPOSE: To consider a revision to the Orange County Personnel Ordinance to reflecta legislative change in the Local Governmental Employees' Retirement System the removes the cap on the amount of sick leave for which retirement service may be granted at retirement. BACKGROUND: Permanent Orange County employees are members of the North Carolina Local Government Employees' Retirement System. The Retirement System provides that unused sick leave a retirement is counted in calculating the employee's years of retirement service in addition to actual years worked. The Retirement System allows one month of service credit for each 20 days of unused sick leave at retirement. For employees retiring prior to January 1, 2002, the Retirement System gave retirement service credit for sick leave to a maximum of 12 sick leave days per year of retirement system membership service. During the 2001A isleive session, the North Carolina General Assembly eded legislation to remove the cap on the number of sick leave days creditable at retirement. This applies to employees retiring on and after January 1,2002. With the removal of the sick leave cap, the retirement system gives a rearing employee retirement service crack for all accumulated sick leave days so long as the sick leave is earned under a duty adopted policy. The attached Personnel Ordinance revision simply updates the County's Ordinance M reflect the decision made by Mle legislature to remove the cap on the amount of sick leave for which retirement service court is granted In terms of the employee and County impact of the legislative change, staff would note the following'. Most County employees have sick leave balances under the % hours of earned sick leave per year of service due to the need to use sick leave during their cassava so the removal of the cap will not have an impact. A few employees will be able to benefit from this sick leave cap removal by being able to retire severel months earlier that they otherwise would have been able to retire. Those most likely to benefit are those who because of workload demands and scheduling restrictions have converted significant amounts of unused! vacation leave to sick leave. This change assures that these employees are able to receive credit for such time. FINANCIAL IMPACT: None. Retirement contribulons paid by the County and the employee are unchanged. RECOMMENDATION(S): The Manager recommends that the Board adopt the attached Personnel Ordinance revision affective January 1, 2D02 to reflect the Local Govemment Employees Retirement System sick leave procedures. I I Attachment Draft Orange County Personnel Ordinance Revision Article IV, Section 6.0 Sick Leave, hem 6.3.5 for Earning Sick Leave (Changes Shown in Bold Primp 6.3.5 In addition to Sick Leave earned, any accumulated Vacatlon Leave in excess of 260 hours as of January 31 of each year is convened to Sick Leave. This convened Sick Leave is used In the same manner as earned Sick Leave. As with other Sick Leave, any unused converted Sick Leave Maybe is counted toward creditable sei at natirement up to a may mum & - - - - - - - -- as authorizes by the N.C. Local Government ment E Employees Retirement System. ??