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TABLE OF CONTENTS Article Page # 1.0 PURPOSE... 1 2.0 RECOGNITION OF EXCLUSIVE REPRESENTIVE... 1 2.1 Recognition 2.2 Appropriate Unit 3.0 DEFINITIONS... 1 3.1 Terms and Conditions of Employment 3.2 School District 3.3 Administrators 3.4 Days 3.5 Part-Time 3.6 Other Terms 4.0 SCHOOL DISTRICT RIGHTS... 2 4.1 Inherent Managerial Rights 4.2 Management Responsibilities 4.3 Effect of Laws, Rules, and Regulations 4.4 Reservation of Managerial Rights 5.0 ADMINISTRATORS' RIGHTS... 4 5.1 Administrator's Files 5.2 Vacancies 5.3 Meet and Confer 6.0 DUTY YEAR... 4 6.1 Intent 6.2 Duty Day 6.3 Duty Year 6.4 Compensation Leave 6.5 Request Restrictions 6.6 Carry Over Vacation 6.7 Payment Upon Termination Vacation 6.8 Carry Over Other Paid Leaves 6.9 School Closings 6.10 Flexible and/or Split Shift School Year 6.11 Strike or Work Stoppage 6.12 Contracts i

7.0 LEAVES OF ABSENCE... 7 7.1 Insurance Provision 7.2 Sick Leave 7.3 Bereavement Leave 7.4 Personal Leave 7.5 Leaves of Absence that are Not Deducted from Sick Leave 7.6 Jury Duty 7.7 Long-Term Leave 7.8 Military Leave 7.9 Child Care Leave 7.10 Professional Office Leave 7.11 Public Office Leave 7.12 Sick Leave Bank 7.13 Requests 7.14 Proration 7.15 Sabbatical Leave 7.16 Continued Benefits 8.0 GROUP INSURANCE... 17 8.1 Hospitalization Medical Insurance 8.2 Life Insurance 8.3 Long-Term Disability 8.4 Worker s Compensation 8.5 Dental Insurance 8.6 Payment in Event Termination or Leaves of Absence 8.7 Liability and Property 8.8 Tax-Sheltered Annuities 9.0 HOLIDAYS...20 9.1 Number of Days 9.2 Holidays Defined 9.3 Christmas Day and New Year s Day Exceptions 9.4 President's Day Exception 9.5 Floating Holiday Exception 9.6 Holiday Occurring During Vacation 10.0 GRIEVANCE PROCEDURE... 22 10.1 Definition 10.2 Representative 10.3 Definitions and Interpretations 10.4 Time Limitation and Waiver 10.5 Resolution of Grievance 10.6 School Board Review 10.7 Denial of Grievance ii

10.8 Arbitration Procedures 11.0 ECONOMIC BENEFITS... 25 11.1 Status of Salary Schedule 11.2 Automobile Allowance and Mileage 11.3 Professional Dues 11.4 Administrative Pay Scale 11.5 Administrative Improvement Plan 11.6 Deferred Compensation Pay/Supplemental Pension Pay 11.7 Section 105 Plan 11.8 Minnesota State Retirement System Health Care Savings Plan 11.9 Compensation for Unused Sick Leave 11.10 Construction and/or Remodeling Project Compensation 11.11 Performance Pay 11.12 Exceptional Service Pay 11.13 Additional Administrative Duties and Responsibility Pay 12.0 UNREQUESTED LEAVE OF ABSENCE... 36 12.1 Seniority 13.0 DURATION... 37 13.1 Terms and Reopening Negotiations 13.2 Effect 13.3 Finality 13.4 Severability 13.5 Contract APPENDIX A... 39 Administrator Salary Schedule iii

ARTICLE 1: PURPOSE This Agreement is entered into between Independent School District No. 728, Elk River, Minnesota, hereinafter referred to as the School District, and the District 728 School Administrators, hereinafter referred to as exclusive representative, pursuant to and in compliance with the Public Employment Labor Relations Act (PELRA) of 1971, as amended, hereinafter referred to as the PELRA, and other state statutes and regulations and federal laws and regulations to provide the terms and conditions of employment for Administrators during the duration of this Agreement. 2.1 Recognition ARTICLE 2: RECOGNITION OF EXCLUSIVE REPRESENTATIVE In accordance with the PELRA as amended, the School District recognizes District 728 School Administrators (hereinafter referred to as Administrators) as the exclusive representative of Principals, Assistant Principals, and Administrator of District Activities and Athletics, employed by the School District. The exclusive representative shall have those rights and duties as prescribed by the PELRA, as amended, and as described in this Agreement. All new administrators must hold or be eligible for licensure through the Minnesota Department of Education. Effective July 1, 2012, the School District recognizes District 728 School Administrators (hereinafter referred to as Administrators) as the exclusive representative of Principals, and Assistant Principals employed by the School District. The exclusive representative shall have those rights and duties as prescribed by the PELRA, as amended, and as described in this Agreement. All Administrators must hold a current valid principal license through the State of Minnesota. 2.2 Appropriate Unit The exclusive representative shall represent all the Principals, Assistant Principals, and Administrator of District Activities and Athletics, of the School District as defined in this Agreement and in the PELRA as amended. 3.1 Terms and Conditions of Employment ARTICLE 3: DEFINITIONS The term "terms and conditions of employment" means the hours of employment, the compensation therefore, including fringe benefits (except retirement contributions or benefits), and the employer's personnel policies affecting the working conditions of the employees. In the case of professional employees the term does not mean educational policies of a School District. The terms in both cases are subject to the provisions of M.S. 179A.07 regarding the rights of public employers and the scope of negotiations. - 1 -

3.2 School District For purposes of administering this Agreement the term "School District" shall mean the School Board or its designated representative. 3.3 Administrators 3.4 Days The term "administrators" means all employees of Independent School District No. 728, Elk River, Minnesota, who are certificated by the State of Minnesota as Principals, Assistant Principals, and Administrator of District Activities and Athletics who are public employees within the meaning of Minnesota Statutes 179A.03, Subd. 12, and who devote more than fifty percent (50%) of their time to administrative or supervisory duties. Effective July 1, 2012, the term "administrators" means all employees of Independent School District No. 728, Elk River, Minnesota, who are certificated by the State of Minnesota as Principals and Assistant Principals who are public employees within the meaning of Minnesota Statutes 179A.03, Subd. 12, and devote more than fifty percent (50%) of their time to administrative or supervisory duties. Unless otherwise noted in the contract, "days" shall be defined as all calendar days on which the School District is authorized to conduct school. 3.5 Part-Time A "part-time" administrator shall mean any administrator who is contracted for services which do not exceed the lesser of fourteen (14) hours per week or thirty-five percent (35%) of the normal work week in the employees' bargaining unit, and employees who hold positions of a temporary or seasonal character for a period not in excess of sixty-seven (67) working days in any calendar year. 3.6 Other Terms Terms not defined in this Agreement shall have those meanings as defined by the PELRA as amended. 4.1 Inherent Managerial Rights ARTICLE 4: SCHOOL DISTRICT RIGHTS The exclusive representative recognizes that the School District is not required to meet and negotiate on matters of inherent managerial policy, which include, but are not limited - 2 -

to, such areas of discretion or policy as the functions and programs of the employer, its overall budget, utilization of technology, the organizational structure, and selection, direction and number of personnel. 4.2 Management Responsibilities The exclusive representative recognizes the right and obligation of the School Board to efficiently manage and conduct the operation of the School District within its legal limitations and with its primary obligation to provide educational opportunity for the students of the School District. 4.3 Effect of Laws, Rules and Regulations The exclusive representative recognizes that all employees covered by this Agreement shall perform the teaching and non-teaching services prescribed by the School District and shall be governed by the laws of the State of Minnesota, and by School District rules, regulations, directives and orders, issued by properly designated officials of the School District. The exclusive representative also recognizes the right, obligation, and duty of the School District and its duly designated officials to promulgate rules, regulations, directives, and orders from time to time as deemed necessary by the School District insofar as such rules, regulations, directives, and orders are not inconsistent with the terms of this Agreement. The exclusive representative also recognizes that the School District, all employees covered by this Agreement, and all provisions of this Agreement are subject to the laws of the State of Minnesota, federal laws, rules and regulations of the Minnesota Department of Education, and valid rules, regulations and orders of state and federal governmental agencies. Any provisions of this Agreement found to be in violation of any such laws, rules, regulations, directives, or orders shall be null and void and without force and effect. 4.4 Reservation of Managerial Rights The foregoing enumeration of rights and duties shall not be deemed to exclude other inherent management rights and management functions not expressly reserved herein, and all management rights and management functions not expressly delegated in this Agreement are reserved to the School District. - 3 -

ARTICLE 5: ADMINISTRATORS' RIGHTS It is recognized that administrators have all rights as set forth in PELRA as amended and other rights as established by state and federal laws and regulations. 5.1 Administrator's File No in-school evaluation material may be placed in the administrator's file without allowing the administrator the opportunity to file a response thereto, and said response shall become a part of said file. 5.2 Vacancies When a vacancy occurs in an administrative position in the School District, all School District administrators shall be notified and given the opportunity to apply for the position. 5.3 Meet and Confer It is contemplated that matters not specifically covered by these general provisions, but which apply to rates of pay, wages, hours of employment and other conditions of employment, shall be subject to meet and confer procedures between them from time to time during the period of these general provisions upon request by either party to the other. The District #728 School Administrators shall schedule a meeting at least once per year. The parties agree to cooperate in arranging meetings, selecting representatives for such discussions, furnishing necessary information, and otherwise constructively consider resolving any such matters. ARTICLE 6: DUTY YEAR The specific duty days for the calendar period July 1 to June 30 each year shall be established by each administrator subject to the approval of the Superintendent of Schools, including those legal holidays on which the School District is authorized to conduct school, and pursuant to such authority as determined to conduct school. 6.1 Intent It is the intent of the District #728 School Administrators and the School Board to acknowledge the Duty Day and Duty Year that administrators must work in order to fulfill contractual requirements. It is also the intent of both parties to acknowledge the additional time required by administrators in order to properly perform their assigned job responsibilities. As acknowledgment for the additional time that administrators work beyond their normal Duty Day and/or Duty Year, administrators will be provided - 4 -

Compensation Leave for a portion of the additional time administrator s work. Providing Compensation Leave is intended to recognize the additional time administrators work beyond the normal Duty Day and/or Duty Year and may not equal the actual amount of additional time administrators actually work. 6.2 Duty Day Administrators may be required to work more than the traditional eight (8) hours per day in order to properly perform their assigned job responsibilities. Additional time worked beyond the administrator's regular work day will be compensated to the administrator as Compensation Leave (see Section 6.4: Compensation Leave). 6.3 Duty Year The duty year for all full time administrators shall be a minimum of two hundred sixty (260) days in a normal work year and a minimum of two hundred sixty-one (261) days in a work year occurring in a leap year, of which thirty (30) days are vacation days and eleven (11) days are holidays. The duty year begins July 1 st and ends on June 30 th. Administrators are required to work on all duty days unless on an approved leave of absence. Administrators may be required to work more than their regularly scheduled work days in order to properly perform their assigned job responsibilities. Additional days worked beyond the administrator s regular work schedule will be compensated to the administrator as Compensation Leave (see Section 6.4: Compensation Leave). 6.4 Compensation Leave Administrators will be granted five (5) days Compensation Leave, each fiscal year, for all additional hours and/or days worked beyond their normal work schedule, regardless of the number of additional hours and/or days the administrator worked beyond their normal work schedule. Compensation Leave is to be considered full and complete payment for all additional hours and/or days worked beyond the administrator s normal work schedule. 6.5 Request Restrictions Administrators must make written requests for all leaves, in accordance with School District procedures, to receive prior approval from their supervisor and director and the Superintendent of Schools or their designee. Requests must be made at least three (3) work days in advance, if possible, for Vacation, Undesignated Holidays, Personal Leave and Compensation Leave. Vacation, Undesignated Holidays, Personal Leave, and Compensation Leave will be granted based upon the best needs for the operation of the administrator s building or department and the School District. - 5 -

6.6 Carry Over Vacation Vacation may be carried over from one fiscal year to the next fiscal year that it was provided. Any unused vacation that is carried over must be used by June 30 th of the following fiscal year or it will be forfeited by the administrator. There will be no direct payment for vacation that is not used, with the exception of payment for unused vacation upon termination up to the maximum allowed. Vacation will be prorated for part-time and newly employed administrators starting employment after July 1 st in a fiscal year. 6.7 Payment Upon Termination Vacation If an administrator provides notice to terminate employment prior to March 1 s, the administrator shall be entitled to payment for all unused accumulated vacation days earned up to the date of termination subject to the provisions of section 6.6. If an administrator provides notice to terminate employment on or after March 1 st, the administrator shall be entitled to payment for only the unused accumulated vacation up to a maximum of 30 days. However, in either situation, any days used in excess of earned days as of the date of termination will be deducted from the administrator s final paycheck. 6.8 Carry Over Other Paid Leaves All remaining Undesignated Holidays and Compensation Leave must be used during the fiscal year that it was provided and cannot be carried-over from one fiscal year to the next fiscal year. Any unused Undesignated Holidays and Compensation Leave not used by June 30 th in a fiscal year will be forfeited by the administrator. All Holidays, Personal Leave and Compensation Leave will be pro rated for part-time and newly employed administrators starting employment after July 1 st in a fiscal year. 6.9 School Closings In the event a duty day is lost for any reason, the administrator shall perform duties on such other day in lieu thereof as the School District or its designated representative shall determine. 6.10 Flexible and/or Split Shift School Year In the event the School District changes to a flexible and/or split shift school year schedule, this Agreement shall be reopened to negotiations. 6.11 Strike or Work Stoppage The administrators covered by this contract, in the event of a strike or work stoppage by other groups of School District employees, will consider themselves to be on duty for the - 6 -

purpose of carrying out School District policy and insuring the safety of personnel and property. In no event will the compensation for administrators be halted or suspended due to strikes or work stoppages of other School District employees. 6.12 Contracts No administrator shall be employed for more than one (1) calendar month without a written individual contract. An administrator wishing to be released from a contract during the contract year shall submit, in writing, a request for release to the School District through the Superintendent of Schools. Such request shall state the reason for the release. The School District shall review the request at its earliest convenience. Release from a contract will be granted only after a satisfactory replacement has been assured. 7.1 Insurance Provision ARTICLE 7: LEAVES OF ABSENCE All references in this section to the administrators' right to maintain insurance coverage while on leave are subject to the mutually agreed upon provisions and specifications of the insurance plans, some of which may require waivers. 7.2 Sick Leave 7.2.1 Benefit Each administrator shall earn fourteen (14) days of sick leave per school year. The fourteen (14) days of sick leave shall be credited on July 1 of each school year. The unused portion of sick leave shall accumulate to a maximum of two hundred sixty (260) days. Once an administrator attains the maximum of two hundred sixty (260) days, any additional sick leave days will be forfeited. An administrator s sick leave account will be credited for any days forfeited during that school year if the administrator s account falls below two hundred sixty (260) days of sick leave. Forfeited days of sick leave cannot be carried over and credited from one (1) school year to the next school year. The School District shall furnish a written statement, to each administrator, at the beginning of each school year indicating the total accumulation of sick leave days credited to the administrator s personal account. 7.2.2 Physician s Statement A doctor's statement may be required at the discretion of the Superintendent of Schools when: a. absences exceed ten (10) consecutive days, or - 7 -

b. when an administrator has had a pattern of repeated absences. In the case of repeated absences, the administrator shall be notified in writing, prior to the next absence, that a statement is required. 7.2.3 Payment for Physician s Statement The School District will absorb one-half (½) the cost of an acquisition of a statement to a maximum of fifty and 00/100 dollars ($50.00). 7.2.4 Deduction for Unearned Sick Leave In the event that an administrator terminated employment prior to the end of the school year, deductions shall be made from the final payment for unearned sick leave on a pro-rata basis. 7.2.5 Benefit Associated with Immediate Family Members A leave of absence without loss of pay shall be granted for absences due to an illness of or injury to the employee s child, adult child, sibling, parent, grandparent or stepparent for reasonable periods of time as the employee s attendance may be necessary as required by Minnesota law. Serious illness shall be such that require the attention of a doctor. In order to qualify for this leave the administrator may certify that a phone call or office contact was made with an appropriate medical authority. 7.2.6 Maximum Benefit A total of sick leave pay and payments paid in lieu of wages allowed under other sections of this Agreement where the employer pays all or part of the contribution or premium shall not exceed the normal total daily wage for the employee. Sick leave days may be divided into one (1) hour units to approximate the total daily wage. 7.2.7 Sick Leave Deduction All leaves of absence in Section 7.2 are to be deducted from sick leave. 7.3 Bereavement Leave 7.3.1 Benefit Defined A leave of absence without loss of pay for the death of immediate family members shall be granted. The immediate family members shall include wife, husband, child, parent, brother, sister, grandparent, and grandchild. 7.3.2 Travel Days A leave of absence without loss of pay may be used up to three (3) days depending on the distance to travel, for the death of the employee's or employee's - 8 -

spouse's grandparent-in-law, sister-in-law, brother-in-law, aunt, uncle, niece, nephew, first cousin, mother-in-law, and father-in-law. If the distance to travel is greater than five hundred (500) miles one way, a fourth day will be granted. A fourth day may also be granted if the Superintendent of Schools deems the circumstances merit. 7.3.3 Close Friend One (1) day of bereavement leave per year shall be granted in the event of the death of a close friend. 7.3.4 Sick Leave Deduction Approved bereavement leave shall be deducted from the accrued sick leave days earned by the employee. 7.4 Personal Leave A full-time administrator shall be granted three (3) Personal Leave days per year. A part-time administrator shall be granted Personal Leave on a pro-rata basis. Personal Leave may accumulate to ten (10) days. Any unused Personal Leave in excess of ten (10) days will be forfeited by the administrator. Personal Leave must be taken in half day or full day increments. 7.5 Leaves Of Absence That Are Not Deducted From Sick Leave Leaves of absence to participate in meetings, conventions, workshops, classroom visitations, school observations, etc. will be granted without loss of pay provided such attendance is in the general interest of the School District. Such leaves shall have the prior approval of the Superintendent of Schools, and shall be reimbursed for travel and lodging in accordance with the current School District 728 Travel Policy per diem. 7.6 Jury Duty A leave of absence for jury duty shall be granted to administrators who are summoned to serve in such capacity. This leave shall not be deducted from sick leave. Administrators serving on jury duty shall be paid for their full salary less the amount received for jury duty for each day they would normally be on their job at school. 7.7 Long-Term Leave Upon the recommendation of the Superintendent of Schools, the School District may grant a leave of absence, for advanced study, pursuit of an alternative career, or other related reasons as may warrant such leave. Such leaves shall be without pay or other fringe benefits. - 9 -

7.7.1 Application A written request for the leave, including the desired commencement and return date, must reach the Superintendent of Schools no less than sixty (60) days in advance of the desired commencement of the leave. "Days" are all calendar days except Saturday, Sunday, and legal holidays. Such requests shall be in writing and shall state: a. reason for such request. b. explanation of how employee intends to spend the time on leave. c. the date administrator will resume their duties. d. whether administrators wish to maintain their insurance programs. 7.7.2 Negotiation of Dates The effective beginning date of such leave and its duration shall be negotiated by the administrator and the School District or its representative. 7.7.3 Notice of Intent to Return By March l each year, the School District shall inform by certified mail (return receipt requested) administrators on long term leave that they must, within twenty (20) days, notify the School District of their intent to return to employment upon the expiration of their leave. Failure of the administrator to return such notice, postmarked within twenty (20) days after receipt of the notice from the School District, shall constitute a resignation, and all rights to continued employment be forfeited. The administrator shall notify the Superintendent of Schools of their current address and any changes in the address. Notification sent by certified mail (return receipt requested) to the last current address supplied by the administrator shall constitute the notification required under this section. This provision shall not apply to any leave of absence forty-five (45) days or shorter in duration. 7.7.4 Insurance Administrators on long-term leave are eligible to participate in group insurance programs if permitted under the insurance policy provisions, some of which may require a waiver. If the administrator is on leave for the full contract year, they shall pay the entire premium for such programs as they wish to retain. If on leave for less than the full contract year, insurance premium credit which may have been earned on pro-rata basis, but not fully applied prior to the commencement of the leave, shall be applied toward the premiums for such programs as the administrator elects to retain. The right to continue participation in such group insurance programs will terminate if the administrator does not return to the School District pursuant to this article. In the event that no programs are retained they shall be reimbursed - 10 -

for the premium credit accumulated. 7.7.5 A suitable replacement must be found before a long-term leave will be granted. 7.7.6 A long-term leave shall be limited to two (2) years. 7.8 Military Leave 7.8.1 Purpose Leaves of absence shall be granted to all individuals if they enter active duty in any branch of the Armed Forces of the United States, for such time as it may be required to do pursuant to applicable federal and state law. Such individual shall be re-employed upon honorable discharge or release from active duty with the Armed Forces. The administrator shall progress on the salary schedule and shall retain or gain such other privileges as may have occurred had they been in continuous employment, and be restored to their former position or its equivalent status. 7.8.2 Notice of Intent to Return An administrator on military leave shall notify the School District Office, in writing, of their intention to return or not to return within thirty (30) days of the administrator s required return date. 7.9 Child Care Leave The School District shall grant a leave of absence to an administrator for maternity, adoption, and parental care of a child, or children, of the administrator as provided for in this section. 7.9.1 Application A written request for the leave including the desired commencement and return date must reach the Superintendent of Schools no less than sixty (60) days in advance of the desired commencement of the leave. Appropriate documentation shall be provided as follows: a. pregnancy - a physician's statement b. adoption - a letter from the adoption agency c. child care - a birth certificate 7.9.2 Commencement and Duration Date The effective beginning date of such leave and its duration shall be negotiated with the Superintendent of Schools and the School Board or its representative. - 11 -

7.9.3 School Board Rights In making a determination of dates concerning the commencement and duration of child care leave, the School Board shall not be required to, but may: a. grant any leave for more than twelve (12) months in duration, and b. permit the administrator to return to employment prior to the date negotiated. The School District shall not be required to, but may, waive the application timelines in the event of unusual circumstances. The School District shall not be required to grant child care leave for purposes of parental care to an administrator within five (5) years of the conclusion of a previous parental care leave. The School District shall not be required to grant a parental care leave for an administrator whose child is five (5) years of age or older on the previous September 1. 7.9.4 Notification of School Board Action and Return The School District shall notify the administrator in writing of its actions. The School District shall, on or about March 1, inform by certified mail (return receipt requested) administrators on leave, that they must within twenty (20) days notify the School District of their intent to return to employment upon the expiration of their leave. Failure of the administrator to return such notice postmarked within twenty (20) days after receipt of the notice from the School District shall constitute a resignation, and all rights to continued employment be forfeited. The administrator shall notify the Superintendent of Schools of the current address and any changes in the address. Notification sent by certified mail (return receipt requested) to the last current address supplied by the administrator shall constitute the notification required under this section. This provision shall not apply to any leave of absence forty-five (45) days or shorter in duration. 7.9.5 Probationary Period The parties agree that the applicable periods of probation for administrators set forth in Minnesota Statutes are intended to be periods of actual service enabling the School District to have the opportunity to evaluate an administrator's performance. The periods of time for which the administrator is on child care leave shall not be counted in determining the completion of the probationary period. 7.9.6 Benefits Administrators returning from child care leave within the provisions of this section shall retain all previous experience credit and unused sick leave. The administrator shall accrue experience credit in accordance with the section entitled Experience Credit/Salaries. The administrator is eligible to participate in - 12 -

group insurance programs if permitted under the insurance provisions, some of which may require a waiver. If the administrator is on leave for the full contract year, they shall pay the entire premium for such programs as they wish to retain. If the administrator is on leave for less than the full contract year, insurance premium credit, which may have been earned on pro-rata basis, but not fully applied prior to the commencement of the leave, shall be applied toward the premiums for such programs as the administrator elects to retain. The right to continue participation in such group insurance programs will terminate if the administrator does not return to the School District pursuant to this article. In the event that no programs are retained, the administrator shall be reimbursed for the premium credit accumulated. 7.9.7 Compensation Any child care leave of absence granted under this section shall be without pay. In the event the administrator is absent from work the day prior to and on the first day of an approved maternity leave due to illness or temporary disability, the first day of the maternity leave shall begin on the first day following the last day for which sick leave is claimed or the expiration of accumulated sick leave whichever occurs first. An administrator shall not be eligible for sick leave during a period of time when the administrator is on leave. 7.10 Professional Office Leave A leave of absence of up to two (2) years shall be granted to administrators upon application for the purpose of serving as an officer in a professional organization of educational administrators. Upon return from such leave the administrator shall be placed at the same position on the salary schedule and shall maintain the same benefits, compensation, and other advantages, as they would have received or accrued had they taught in the system during such period. An administrator on professional office leave is not eligible to receive insurance contributions or other fringe benefits from the School District, but may elect to participate in group insurance programs by paying the full premium for such programs as they may elect in advance each month. 7.11 Public Office Leave A leave of absence not to exceed six (6) years shall be granted to any administrator, upon application, for the purpose of campaigning for and serving in an elected public office. An administrator on public office leave is not eligible to receive insurance contributions or other fringe benefits from the School District, but may elect to participate in group insurance programs by paying the full premium for such programs as they may elect in advance each month. - 13 -

7.12 Sick Leave Bank 7.12.1 Procedures and Administration The sick leave bank shall be jointly administered by two (2) representatives of the School Board and two (2) representatives of the District #728 School Administrators group. 7.12.2 Membership To qualify for this leave the administrator must have used all accumulated sick leave, vacation leave and personal leave, be a member of the bank, and receive the approval of the committee established to administer the bank. The bank will contribute only the amount of days needed for the administrator to qualify for long term disability benefits. Administrators wishing to join the bank must contribute eight (8) hours of their sick leave within thirty (30) days of employment. The maximum withdrawal per employee is thirty (30) days per occurrence. 7.12.3 Additional Assessment Members of the bank will be assessed additional days of sick leave at such time as the bank is reduced to sixty (60) days, unless they choose not to participate further in the bank. Members who have no sick leave to contribute at the time of assessment will be assessed this day on July 1 of the following year. Administrators on a leave of absence will be allowed to join upon their return. 7.12.4 Withdrawal Upon Termination Upon termination of employment or withdrawal of membership from the bank, a participating employee will not be permitted to withdraw his or her contributed hours. 7.13 Requests Administrators must make a written request on the appropriate School District form before or after the following leaves: Vacation, Undesignated Holidays, Personal Leave, and Compensation Leave. Whenever possible, the direct supervisor will be notified in advance. 7.14 Proration All Holidays, Personal Leave, and Compensation Leave will be prorated for part-time and newly employed administrators starting employment after July 1 st in a fiscal year. - 14 -

7.15 Sabbatical Leave 7.15.1 Definition A sabbatical leave may be granted to administrators in the School District for the purpose of professional improvement, pursuant to M.S. 122A.49. 7.15.2 Eligibility An individual must have been continuously employed as a full-time administrator in Independent School District 728 and as a member of the District #728 School Administrators for a minimum of five (5) complete school years to be eligible for sabbatical leave. 7.15.3 Application Application for sabbatical leave shall be submitted, in writing, to the Superintendent of Schools or designee no later than five (5) calendar months prior to the anticipated start of the sabbatical leave. The application for sabbatical leave shall contain a detailed description and plan of intended activities and the expected benefit to the School District. Examples of sabbaticals may include furthering one s education that assists one in their job as a leader or a travel experience that is directly related to a leadership responsibility. The proposed program must be approved in advance by the Superintendent of Schools or designee and the School Board. Applicants shall receive written notification within thirty (30) calendar days of application for sabbatical leave. No more than one (1) District #728 School Administrator will be allowed to use sabbatical leave during the course of any one (1) school year. 7.15.4 Sabbatical Plan The plan must include an acceptable procedure whereby the Superintendent of Schools or designee may determine that the objectives of the plan are being satisfactorily achieved, such procedure to include a systematic method of evaluation by the Superintendent of Schools or designee at agreed upon intervals of time. 7.15.6 Compensation The allowance granted to an administrator on sabbatical leave shall be one-half (1/2) of the basic contract salary of the individual for the school year in which the application for sabbatical leave is made. An administrator on sabbatical leave shall retain sick leave, vacation leave, and personal leave the administrator accrued prior to the beginning of the sabbatical leave. An administrator shall not earn additional sick leave, vacation leave, or personal leave time while they are on sabbatical leave. 7.15.7 Insurance Program An administrator is eligible to continue receiving the insurance provisions based - 15 -

on Article VII of the District #728 School Administrators Agreement, including benefits of School District contributions, if permitted by the appropriate insurance carriers. Section 7.15.7 is subject to the provisions of the insurance policies and as permitted by the appropriate insurance carriers. 7.15.8 Commitment to Return An administrator receiving a sabbatical leave of absence must agree, in writing, to return to the School District for at least two (2) complete school years of service after completion of the sabbatical leave. An administrator who has received a sabbatical leave and fails to complete two (2) complete school years of service with the School District, for any reasons other than individual s incapacity to perform duties or for termination due to a reduction in workforce, shall refund those funds received from the School District for sabbatical leave and said funds shall be due and payable to the School District forthwith upon the cessation of employment in the School District. 7.16 Continued Benefits Upon satisfactory completion of a sabbatical leave, the individual shall be assigned to a position commensurate to that occupied prior to the leave or such other position as agreed to between the District #728 School Administrators and the School District. An administrator returning from sabbatical leave shall be compensated in the year of return as if the administrator had been on duty during the sabbatical leave. 7.16.1 Employees who request and are granted a leave of absence from the collective bargaining agreement will retain any accrued and unused benefits in accordance with the leave provisions of the collective bargaining agreement. Should such employee move to another collective bargaining agreement, individual contract or Benefits and Compensation Handbook, the provisions of that document will determine the eligibility and/or application of the use of previously accrued and not used benefits during the term of the leave. 7.16.2 At the time of resignation from the collective bargaining agreement, any accrued and unused benefits (i.e. vacation, sick leave, compensation time) will be administered as if the employee had resigned employment from the School District. The effective date of such action will be the date in which the employee designates as the resignation date. - 16 -

ARTICLE 8: GROUP INSURANCES All provisions of this section are subject to the negotiated provisions and specifications of the existing insurance plans. All provisions of this section to the administrators' right to maintain insurance coverage while on leave are subject to the mutually agreed upon provisions and specifications of the insurance plans, some of which may require waivers. In order to qualify for any insurance coverage, the employee must meet the requirements and qualifications established by the insurance carrier. For all insurance programs, it is understood that the School District s only obligation is to purchase an insurance policy and pay such amounts as agreed to herein and no claim shall be made against the School District as a result of a denial of insurance benefits by an insurance carrier. An employee is eligible for School District contribution as provided herein as long as the employee is employed and on paid status by the School District. Upon termination of employment, all School District contribution shall cease. 8.1 Hospitalization - Medical Insurance 8.1.1 Group Benefits - Single Policy The School District shall pay the full premium for single plan hospitalization and medical insurance for administrators who qualify for and are enrolled in any School District group health and hospital plan. The School District shall contribute a pro-rata amount for part-time administrators. Effective July 1, 2012, the School District s contribution towards single coverage for hospitalization and medical insurance for administrators who qualify and enroll in any School District group health and hospital plan shall be up to, but not exceed six hundred ten and 00/100 dollars ($610.00) per month. Any additional cost of the premium shall be borne by the administrator and paid by payroll deduction. 8.1.2 Group Benefits - Dependent Policy The School District shall pay ninety-four percent (94%) toward the premium for dependent coverage for all full-time administrators who qualify for and are enrolled in any of the School District's group health and hospitalization plans and who qualify for dependent coverage. The School District shall contribute a pro-rata amount for part-time administrators. Any additional cost of the premium shall be borne by the administrator and paid by payroll deduction. When a husband and wife are both employed by the School District and elect to be covered by one (1) dependent policy, the maximum contribution by the School District shall not exceed the contribution for one (1) single policy and one (1) dependent policy. 8.1.3 Health Care - Retirees Administrators who retire at age fifty-five (55) or later and who have had a - 17 -

minimum of ten (10) consecutive years of service with School District 728 immediately preceding retirement, shall be allowed to participate in the School District health insurance program upon paying the School District the full policy premium thirty (30) days in advance of monthly pay periods or period of coverage. 8.1.4 Medicare This article is subject to the insurance policy provision requiring those eligible to maintain Medicare coverage with the School District health insurance policy becoming supplementary thereto. 8.1.5 Survivor's Right to Purchase Hospital-Medical Insurance Beginning July 1, 1986, in the event of death of an administrator who had completed a minimum of ten (10) consecutive years of service with School District 728 immediately preceding death, if coverage was in effect for eligible dependents at the time of the employee's death, eligible dependents may continue to participate in the group contract until age sixty-five (65), or until qualified for Medicare, whichever occurs first, subject to the approval of the carrier, and by paying the full premiums for such coverage thirty (30) days in advance of the period of coverage. 8.1.6 High Deductible Medical Plan As an alternative to the group health and hospitalization insurance plan options described in sections 8.1.1 and 8.1.2, administrators may elect a high deductible medical plan tied to a Health Savings Account ( HSA ). 8.1.6.1 Single Policy For the administrators who qualify and enroll in the high deductible single medical plan, the School District will contribute a monthly amount equal to the amount the School District contributes to the Open Access Choice $25 Copay Plan (or its equivalent) described in section 8.1.1. The contribution will first be applied toward the insurance premium and any additional amount will be deposited into the administrator s HSA, not to exceed the annual plan deductible, subject to statutory and regulatory limits and requirements. 8.1.6.1 Dependent Policy For the administrators who qualify and enroll in the high deductible dependent medical plan, the School District will contribute a monthly amount equal to the amount the School District contributes to the Open Access Choice $25 Copay Plan (or its equivalent) described in section 8.1.2. The contribution will first be applied toward the insurance premium and any additional amount will be deposited into the administrator s HSA, not to exceed the annual plan deductible, subject to statutory and regulatory limits and requirements. - 18 -

8.2 Life Insurance If an employee submits evidence of a hardship, the School District will make the remainder of the annual contribution to the Health Savings Account at that time and stop all monthly contributions for the remainder of the year. The School District shall provide each administrator with term life insurance coverage equal to two (2) times the administrator's salary, up to a maximum benefit of two hundred fifty thousand and 00/100 dollars ($250,000.00) with the opportunity for the administrator to purchase at the group rate, additional coverage up to an amount equal to the limit set by the insurance carrier. Premiums for additional insurance may be paid through payroll deduction. All insurance is subject to approval of the insurance carriers. 8.3 Long-Term Disability Insurance The School District long-term disability insurance policy shall be offered to each administrator subject to the insurance carrier's provisions. The School District shall pay the full premium for such policy for each administrator and pro-rate a contribution for any part-time administrator. The amount of benefit is two-thirds (2/3) of the administrator's gross salary, to a maximum annual gross salary limit of one hundred fifteen thousand and 00/100 dollars ($115,000.00) and a maximum monthly benefit payable of six thousand three hundred eighty-nine and 00/100 dollars ($6,389.00). 8.4 Worker's Compensation All professional employees are covered by the provisions of the Worker's Compensation Act and as such entitled to its benefits. It is the responsibility of the administrator to report to the Director of Business and Operations or Superintendent of Schools within twenty-four (24) hours, or as soon as possible, of any accident or injury in which such administrator may have been involved and which accident occurred during the performance of their duties. Such accident or injury shall be reported by the Director of Business and Operations or the insurance agent. An administrator collecting Worker's Compensation Insurance may use their sick leave on a pro-rata basis to make up the difference between the insurance payment and their normal salary. 8.5 Dental Insurance The School District shall offer group dental insurance and contribute the cost of the single premium for all full-time administrators and a pro-rata portion for all part-time - 19 -

administrators, who qualify for and enroll in the School District group dental insurance plan. Administrators may elect to purchase group family dental insurance coverage, through the School District s plan, providing such coverage is available and the Administrator and family qualify for coverage. The School District will contribute forty and 00/100 dollars ($40.00) per month, in addition to the cost of the single premium, towards the cost for family coverage. The total School District contribution will be pro-rata for part-time Administrators. The difference between the School District contribution and the premium shall be paid by the Administrator through payroll deduction. 8.6 Payment in the Event of Termination or Leaves of Absence Payments of premiums for hospitalization insurance, life insurance, long-term disability insurance, and dental insurance shall terminate with the last pay period except in the case of a leave of absence. In the case of the leave of absence the coverage may continue during the leave upon payment of the full premium by the employee, prior to the date the premium is due for payment. This provision shall be applicable if acceptable by the carrier of the coverage. 8.7 Liability and Property The School District shall provide each administrator with comprehensive public liability, property damage, and errors and omissions insurance in an amount equal to that provided School Board members and the Superintendent of Schools. Such coverage shall protect administrators involved in special assignments and duties carried on directly and indirectly under the auspices of the School District or its representatives to the extent permissible under the provisions of the existing policy. 8.8 Tax-Sheltered Annuities Administrators may request the School District to contribute a part of their salaries, not to exceed the legal limit, to an insurance company on a tax-sheltered annuity program. A list of eligible companies for tax-sheltered annuity programs will be provided by the School District office. 9.1 Number of Days ARTICLE 9: HOLIDAYS Administrators shall be granted eleven (11) holidays per year, with pay, coinciding with the school calendar as adopted by the School Board and which fall during the work year of such administrators. - 20 -

9.2 Holidays Defined Those holidays shall be: New Years Day Good Friday Memorial Day Independence Day Labor Day Thanksgiving Day Day after Thanksgiving Day Day before Christmas Day Christmas Day One (1) other day to be selected by the School Board traditionally President s Day. One (1) Floating Holiday 9.3 Christmas Day and New Year s Day Exceptions If any holiday falls on a weekend day, the Superintendent of Schools will designate another holiday. 9.4 President s Day Exception President s Day is traditionally designated, by the School Board, as one (1) holiday. President s Day is also traditionally designated as a snow make-up day. If the School Board designates the President s Day holiday as a snow make-up day, the President s Day holiday will then be replaced by one (1) floating holiday. The floating holiday that would be granted to replace the President s Day holiday will only be granted to the administrator after the snow-make up day has occurred. If an administrator is regularly scheduled to work on President s Day, the administrator will be granted one (1) floating holiday to replace the President s Day holiday. The floating holiday that would be granted to replace the President s Day holiday will only be granted to the administrator after the President s Day holiday has occurred. 9.5 Floating Holiday Exception Administrators will be allowed to select the day on which they can use their floating holiday if the leave does not conflict with the needs of the School District. Administrators must use their floating holiday during the school year that it is provided. Floating holidays cannot be carried over from one school year to the next school year. 9.6 Holiday Occurring During Vacation Any legal holiday that falls within an employee s vacation period shall not count as a day of vacation. - 21 -