Title
Resolution Authorizing Conversion of Unused Sick Leave to Retirement Service Credit for Retirees
Summary
Description of Topic: (who, what, where, when, why and how much)
This resolution would authorize the City to elect coverage under §36-26-36.1 of the Code of Alabama 1975, which permits eligible retirees who are members of the Employees’ Retirement System of Alabama (ERS) to convert unused, accumulated sick leave into retirement service credit up to 960 hours. By adopting this provision, the City agrees to assume the cost associated with providing this benefit. This is determined later through an actuarial valuation by the ERS which calculates the cost to the City based on its employees’ converted sick leave. Please note once the City adopts the sick leave conversion the act is irrevocable.
Budgetary Impact: N/A
Non-Capital Item:
____ Budgeted under account #_______________ (discussion item)
____ Not budgeted, requesting transfer of $__________ from Account #______________ to Account #_____________.**Request to Transfer Departmental Budget Dollars form must be attached**
____ Not budgeted requiring increase to account #___________ in the amount of $____________.**Request to Increase Departmental Budget Dollars form must be attached**
Capital - Departmental **Capital Purchase Worksheet form must be attached**
____ Budgeted under account #______________ for $_________ and described in budget as ________________________. Additional amount needed, if any: Increase in budget of $_________ OR, transfer of $________ from Account #____________ to Account #_____________**Request to Increase OR Request toTransfer Departmental Budget Dollars form must be attached**
____ Not Budgeted - account #____________ requires budget increase of $_____________.**Request to Increase Departmental Budget Dollars form must be attached**
Capital Project - **If requesting to start a project, a Capital Project Worksheet form must be attached**
In current year Capital Projects Plan:
_____ Yes, described as __________________________, planned amount $___________, requesting $_________ as total project estimate, including contingencies, under account #_________________
_____ No, requesting $___________ as total project estimate, including contingencies, under account #____________________.
_____ Yes, requesting an increase of $___________ to an already approved project titled ________________________ that is being tracked under Account No. ___________________.
_____ No, requesting an increase of $__________ to an already approved project titled _______________________ that is being tracked under Account No. _________________.
Body
NOW THEREFORE BE IT RESOLVED that the City Council of the City of Foley, Alabama, as follows:
SECTION 1: The City of Foley elects to come under the provisions of §36-26-36.1, Code of Alabama 1975, authorizing conversion of unused sick leave to retirement service credit up to a maximum of 960 hours/120 days/6 months.
SECTION 2: Be it further resolved that by electing to come under the provisions of §36-26-36.1, the City of Foley agrees to assume the cost of benefits provided by said Act with regards to its retirees who are members of the Employees' Retirement System of Alabama.
SECTION 3: This provision applies to all future retiree applicants after the adoption of this Resolution.
SECTION 4: This Resolution amends the City's Personnel System Policy Section 4.5 Benefits Upon Retirement.
SECTION 5: This Resolution shall become effective immediately upon its adoption as required by law.