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HomeMy WebLinkAboutOrder 027 - Retirement Incentive - Solid Waste1yrESQ G w 2� Deschutes County Board of Commissioners 1300 NW Wall St., Suite 200, Bend, OR 97701-1960 (541) 388-6570 - Fax (541) 385-3202 - www.deschutes.og AGENDA REQUEST & STAFF REPORT For Board Business Meeting of April 14, 2010 Please see directions for completing this document on the next page. DATE: April 7, 2010 FROM: Timm Schimke Solid Waste Phone #: 317-3177 TITLE OF AGENDA ITEM: Consideration of Signature of Order No. 2010-027, Creating a Retirement Incentive for Department of Solid Waste employees. PUBLIC HEARING ON THIS DATE? No. BACKGROUND AND POLICY IMPLICATIONS: The Department of Solid Waste has experienced significant and consistent reductions in waste ant: the accompanying revenues received each year since 2006. We are projecting a 45% reduction over the 2006-2010 time frame. In order to reduce operational expenses to stay within projected revenues, the Department is planning for reductions in services for the 2010-2011 fiscal year. These reductions will result in the loss of four full-time employee positions. We have been operating with two positionE empty, so only two existing employees will be affected. We would like to offer a retirement incentive to eligible employees as part of our implementation to possibly avoid layoffs and potentially realize additional savings in personnel costs. The proposed incentive would be modeled after the incentive offered to Community Development Department Employees in 2008. The retirement incentive would provide one week of incentive pay for each year of County service. Currently five Solid Waste Department employees are eligible to retire and would be qualfied for this incentive. FISCAL IMPLICATIONS: The maximum cost of the retirement incentive along with leave payout is estimated at $80,000. T riffs cost is based on all eligible employees choosing the retirement incentive, which is not expected. —he cost for the retirement incentive would be funded by Solid Waste contingency funds. There curre fitly are adequate contingency funds to cover the cost of this incentive. RECOMMENDATION & ACTION REQUESTED: Establish a Board Order creating a retirement incentive for Department of Solid Waste Employee;. ATTENDANCE: Timm Schimke. DISTRIBUTION OF DOCUMENTS: Copy of signed order to Timm Schimke. REVIEWED LEGAL COUNSEL For Recording Stamp Only BEFORE THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY, OREGON An Order Establishing a Retirement Incentive for Department of Solid Waste employees * ORDER NO. 2010-027 * WHEREAS, this matter having come before the Deschutes County Board of Commissioners at a regularly scheduled public meeting on April 14, 2010 to consider establishing a Retirement Incentive for Department of Solid Waste employees; and WHEREAS, pursuant to the authority granted to the Board of County Commissioners, the Board, after having given due consideration to the issue of establishing a Retirement Incentive; now, therefore, THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY, OREGON, HEREBY ORDERS as follows: Section 1. Deschutes County hereby establishes a Retirement Incentive as set forth in Exhibit .A, attached hereto, and by this reference is made a part thereof. Section 2. The Board of Commissioners further orders that the application period for participation in the Retirement Incentive is from 12:01 a.m. on April 15, 2010 to 5:00 p.m. on May 31, 2010; a period of mere than 45 days. Section 3. The Board of Commissioners reserves the right to establish another open Retirement Incentive period, but makes no legal or political commitments or guarantees to do so. Dated this of , 2010 BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY, OREGON DENNIS R. LUKE, Chair ALAN UNGER, Commissioner ATTEST: Recording Secretary TAMMY BANEY, Commissioner EXHIBIT A MEMORANDUM DATE: April 14, 2010 TO: Retirement Eligible Solid Waste Employees FROM: Dave Kanner, County Administrator SUBJECT: RETIREMENT INCENTIVE The Board of Commissioners recently approved a Retirement Incentive to PERS retirement eligible employees in the Department of Solid Waste (DSW) due to the economic slow down. DSW has held vacant two positions to help offset the Toss in revenue. However, projected revenues indicate that additional measures will be required to balance next year's budget, including the Toss of FTEs. The retirement incentive is an opportunity for retirement eligible employees to depart voluntarily which will create additional vacancies and flexibility to balance the department's budget. The decision to offer this incentive was not taken lightly. The County and DSW stands to lose a tremendous amount of institutional knowledge and expertise if employees voluntarily accept the incentive. Employees who are interested in the program and who need PERS information should call PERS at 1-888-320-7377. Employees interested in learning more about the retirement incentive can meet with Debbie Legg, Personnel Manager. To schedule a meeting with Debbie, please call 385- 3208. 1