AGENDA Ad-Hoc Committee on Human Resources Tuesday, June 14 th, 2011 9:15 AM County Board Room 1. Call to Order 2. Roll Call 3. Public Comment (limited to three minutes per person) 4. Approval of Minutes May 17 th, 2011 May 24 th, 2011 5. Chairman s Remarks 6. Presentation of Employee Advisory Group s Report 7. Old Business 8. New Business 9. Adjournment
MINUTES Ad-Hoc Committee on Human Resources May 17 th, 2011 JTK Administration Building 421 N. County Farm Road Wheaton, IL 60187 Committee Members Present: Paul Fichtner Bob Larsen Deb Olson Jeff Redick John Zediker Committee Members Absent: John Curran County Board Members: Dirk Enger Rita Gonzalez Staff Present: Paul Bruckner State s Attorney Office Jerome Siegen Circuit Court Clerk Susan Shimer Human Resources Katy Yee Human Resources Chris Clevenger Human Resources Jeff York Public Defender James Kruse Sheriff s Office Don Carlsen Information Technology Lynn Wood Finance Stephanie Glowienke Finance Fred Backfield Finance Lisa Herpel Circuit Court Norm Sturm Office of Homeland Security and Emergency Management David Bunge - Office of Homeland Security and Emergency Management Christine Kliebhan Convalescent Center Shenita Branch Convalescent Center Raul Chevez Convalescent Center
Bob Bendinelli Information Technology Sean Reese Public Works Heather Hudson Human Resources Christine Clevenger Human Resources Agnes Dolan Division of Transportation Robert Kolar Division of Transportation Sue Muszynsky Division of Transportation Mark Thomas Facilities Management Kevin Hennessy State s Attorney Office John Kos Division of Transportation Jen Boyer Economic Development Planning Chris Kachiroubas Clerk of the Circuit Court Gwen Henry Treasurer s Office Tim Trotter County Board Office Bob Grogan Auditor s Office Tony Manzullo Recorder s Office Tom Cuculich County Board Office Alex Bauman Public Works Sheryl Markay County Board Office Peter Balgemann Auditor s Office Mary Keating Community Services Deb Hanson Information Technology Greg Phillips Public Works John Lapinski Circuit Court Clerk Bob Kolar Division of Transportation Other: Ralph Slalise - Constituent Call to Order: Chairman Redick called the meeting to order at 1:03 PM Public Comment: Approval of Minutes: Member Larsen motioned to approve the May 10th minutes, seconded by Member Zediker. All ayes, motion passed. Chairman s Remarks:
Employee Advisory Group Update: Chairman Redick informed to the Committee that Member Curran was unable to attend the EAG meeting, therefore he attended. Chairman Redick updated explained that the Employee Advisory Group is diligently looking over the information they requested from the Finance department. Chairman Redick mentioned to the Committee that one of the ideas he really liked was to come up with a professional replacement plan when employees leave the County. Presentations and Discussion: Chairman Redick introduced Ms. Shimer from Human Resources went over the IMRF handouts see attached. Ms. Shimer gave an in depth analysis about the difference between Tier 1 and Tier 2 employees. Ms. Shimer pointed out the major changes: early retirement age from 55 to 60, vesting eligibility from 8 to 10 years, retirement age from 62 to 67, and final rate of earnings from 48 months to 96, cap on reportable wages to $106,600, annual pension increase, surviving spouse benefit. Ms. Shimer then went over the SLEP gave an overview of the changes see attached handout. Ms. Shimer mentioned the following changes: vesting eligibility, pension age from 50 to 55; final rate of earnings from 80% to 75%; overtime will not to be reported to IMRF, to count towards final rate of earnings, retirement age, final rate of earnings, capped income amounts. A question and answer session ensued, Member Olson asked Ms. Shimer if under the SLEP plan once there was a reduction in pension occurred it would be permanent, Ms. Shimer said yes, that the reduction would be off the original amount and be permanent. Chairman Redick asked if an employee with accrued IMRF credit left the County and then came back would they still be considered Tier 1 or would there have to be a buy back. Ms. Shimer explained that if an employee did not withdrawal from the IMRF once they left the County and came back they would still be under the Tier 1 plan. Member Enger asked for a report to see the impact in the next 5 years, Ms. Shimer mentioned that it would be dependent on the turnover rate. Member Enger requested a payout summary for people leaving in 2011. Member Zediker commented that historically the County has used a 7% turnover rate, Mr. Backfield clarified that will be between 6-10% for the next couple of years due to the high number of retirees. Ms. Shimer added that this year has been unusually high for turnover rate because of the IMRF currently in Legislation in Springfield and the committee. With no other questions for Ms. Shimer, Chairman Redick asked Ms. Yee to please go over her analysis. Ms. Yee did an extensive analysis comparing which Elected Officials followed County Policy and which did not. Ms. Yee pointed out that most elected official employees followed the new County Policies with a few exceptions see attached handout. With no questions for Ms. Yee, Chairman Redick asked Mr. Carlsen to discuss the Planned Time Off discussion that ensued at Senior Staff. Mr. Carlsen reported to the committee regarding the Senior Staff discussion regarding the PTO idea that ensued at the last Committee meeting. Mr. Carlsen mentioned that it while in the meeting many department heads where wondering why the need for change, what was the driver. Member Zediker explained that it was for cost savings and the possibly offer a 401A plan to deposit unused sick time instead of carrying over time for long periods of time and having an increase cost of payouts when employees retire. Chairman Redick mentioned that the focus of the PTO plan would be for long term financial health for the County and its employees. Mr. Carlsen gave on a overview on what the Senior staff discussed, flexibility, enhanced work life, taking more time off, burden of adding another policy. Ms. Keating brought it to the Committee s attention her concern, if there would be work rules set for the new PTO plan, because in her eyes sick time is a management tool. The amount of times a
person calls in can be controlled; another issue that would arise is coverage. Mr. Carlsen explained that in Naperville each department had their own set of regulations to best fit the department needs within the guidelines of the PTO policy. Mr. Carlsen commented to the committee, that the PTO plan would have to be further communicated amongst the department heads but that in his opinion it could be used as a recruitment tool since it is a progressive idea that is currently being used in the private sector. With no further discussion regarding the PTO plan, Chairman Redick asked Ms. Markay to please give the Committee a Legislative Update. Ms. Markay commented to the committee that there are still items in the system that may change. Ms. Markay talked about HB 3253 passing and how it will be impacting Counties in Illinois. Ms. Markay discussed HB 3076 which is now also known as HB 3474 the 6% IMRF bill. Ms. Markay notified the committee that it had moved until lately and that its original intent was to avoid pension spiking costs. Ms. Markay explained that if an employee receives more than a 12% raise, the County must fill out a pension impact statement that will be posted on the web. Ms. Markay also mentioned that the Legislative Session will be ending next week. Old Business: New Business: Chairman Redick mentioned to Committee that he wants the travel policy to be re-visited. Chairman Redick pointed out that travel costs could be decreased by taking advantage of the technology resources available. Chairman Redick mentioned to the Committee that Travel Policy would be the first of many items that need to be changed in order to have long-term cost savings to the County. Adjournment: With no further business, Vice Chairman Zediker motioned to adjourn, seconded by Member Larsen. All ayes, motion passed. Respectfully Submitted, Edith Vazquez Committee Secretary
MINUTES Ad-Hoc Committee on Human Resources May 24 th, 2011 JTK Administration Building 421 N. County Farm Road Wheaton, IL 60187 Committee Members Present: John Curran Paul Fichtner Bob Larsen Deb Olson Jeff Redick John Zediker Staff Present: Paul Bruckner State s Attorney s Office Kevin Hennessy State s Attorney s Office Tony Manzzullo Recorder s Office Jeff York Public Defender Sandra Scheel Auditor s Office Jerome Siegan Circuit Court Clerk Lynn Wood Finance Tim Trotter County Board Office Lisa Herpel Circuit Court Debbie Hansen Information Technology Katy Yee Human Resources James Kruse Sheriff s Office Maureen Williams Public Works Lillian Miller Economic Development and Planning Sean Reese Public Works Jennifer Boyer Economic Development and Planning Raul Chavez Convalescent Center Christine Kliebhan Convalescent Center Shenita Branch Convalescent Center Christine Clevenger Human Resources Robert Bendinelli Information Technology Mark Thomas Facilities Management
Stephanie Glowienke Finance Agnes Dolan Division of Transportation Fred Backfield Finance Norm Strum Office of Homeland Security Mary Keating Community Services Tom Cuculich County Board Office Beth Welch Convalescent Center Chris Kachiroubas Circuit Court Clerk Call to Order: Chairman Redick called the meeting to order at 3:05 PM Public Comment: Approval of Minutes: Chairman s Remarks: Chairman Redick stated to the committee members there would not be a meeting on May 31 st, but that the next meeting would be June 7 th. Chairman Redick mentioned to the Committee that he was presenting a draft of the preliminary report document. Chairman Redick introduced a draft of the preliminary report document regarding compensation of accruing employee benefits. Chairman Redick will officially present it to the committee at the June 7 th meeting with any amendment suggestions and then present it to Finance and County Board on June 14 th. Employee Advisory Group Update: Chairman Redick asked Member Curran for an EAG update; Member Curran said that up until now the EAG group has been focused on gathering information. Member Curran also mentioned that on June 2 nd the EAG group will be meeting and having a longer meeting to discuss topics at length to try and wrap up their findings. Member Curran said he was impressed with all of the work and effort the members of EAG have put into this process, and the he is very thankful for all of their input and suggestions. Presentations and Discussion: Chairman Redick opened up the floor for discussion to collect the thoughts of the committee members regarding the draft of the Compensation of Accruing Employee Benefits document (See attached). Member Larsen said he liked the proposal but wanted to make sure it was constitutionally possible to charge back. Chairman Redick said that it was necessary to have all departments have an equal share of the cost savings and that it will be considered for the 2012 budget process. Member Curran clarified that it was the County s obligation to fund them for their daily operations. Chairman Redick reiterated that he wanted the language under the Financial and Budget policy to set the benefit of cost savings for the benefit of the people and staff of DuPage. Chairman Redick summarized the proposal saying it s purpose is to engage in the process to save
costs and if a department chooses to not abide then they will have find their own funds. Member Olson asked if the Committee was recommending salary increases or is that only the responsibility of the Human Resources department, Chairman Redick clarified that salary recommendations would be Human Resources not the responsibility of the Committee. Member Zediker asked the committee to explore the 401a option as a forecast savings tool for the future. Chairman Redick added that it would have to be on a go forward basis for new employees but would like to provide the option for current employees to participate. Member Larsen brought up the PTO idea; he had not heard any feedback from senior staff regarding their thoughts. Ms. Clevenger said that there had been discussions amongst the senior staff and they would want a policy write up so there would not be an impact on coverage and department services. Chairman Redick clarified that with the PTO idea there is no financial benefit, what is important is the accrual of sick and vacation time and the pay out. Member Curran stated that PTO could be a real positive in the overall employee benefit package; he also mentioned that the item is on the agenda for next week s EAG meeting. Member Olson said that if the PTO option is put into effect there would have to be some built in controls in order to not disrupt services offered to the people of DuPage. Member Zediker said the incentive for PTO was to be at work not to take the time off, just to take the time off. Member Curran stated that he would not encourage employees to come into work if they are sick because that would cause another issue, infecting other employees and possibly causing an outbreak; he suggested getting some feedback from entities. Member Larsen asked Ms. Welch to talk about the housekeeper and food worker issue that she is encountering at the Convalescent Center. Ms. Welch stated that she would like the two tiers collapsed between the housekeeper and food service to have more equitable pay level. Ms. Welch mentioned that many people who were working in housekeeping would leave to become a food service worker because the pay is better and the job duties are similar, she would like to keep the Convalescent Center running efficiently with out having the high turnover within the departments. Ms. Yee mentioned that it is a policy that is being looked and that she and Ms. Ulmer are working on the final stages. Chairman Redick brought up the Travel Policy for out state travel, he would like to make it clear that traveling out of state should be on an as needed basis to save money and cut costs. Old Business: New Business: Adjournment: With no further business, Vice Chairman Zediker motioned to adjourn, seconded by Member Olson. All ayes, motion passed. Respectfully Submitted, Edith Vazquez Committee Secretary