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HomeMy WebLinkAbout2019-O-22 - Employee Incentive Pay Plan ORDINANCE NO. 2019-0-22 AN ORDINANCE OF THE CITY OF STEPHENVILLE,TEXAS, ESTABLISHING AN INCENTIVE PAY PLAN FOR EMPLOYEES OF THE CITY OF STEPHENVILLE,TEXAS. WHEREAS,the City Council of the City of Stephenville wishes to encourage City employees to perform at their optimum level of performance throughout the year; and WHEREAS, the City Council of the City of Stephenville wishes to recognize City employees' optimal performance during the year; and WHEREAS, the City Council wishes to incentivize employees to perform at their optimum levels throughout the year by offering an annual one-time performance incentive to each employee meeting or exceeding guidelines for receipt of the incentive the Council wishes to offer; and WHEREAS, the City Council believes that this incentive compensation will motivate employees to continue to perform from year to year at their highest levels of capability; and WHEREAS, the purpose of establishing in advance the eligibility requirements for City employees to receive an incentive payment on or about the last payday in November of each year is to fully comply with all provisions of the Texas Constitution, including but not limited to, Article 3, Section 52 of the Texas Constitution. NOW, THEREFORE BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF STEPHENVILLE, TEXAS, THAT: SECTION 1. FINDINGS a. That the City Council, after discussion of the proposal to provide a one-time annual incentive compensation for all employees of the City of Stephenville in advance of the employees performing their work,which will be reviewed to determine each employee's eligibility to receive the annual incentive pay for meeting or exceeding performance standards, hereby finds that such incentive compensation payments are in the best interest of the City's residents and taxpayers. b. That the City Council further finds that establishing and funding an annual incentive compensation program for employees of the City of Stephenville will further the efforts of the City employees to provide exceptional service to all City residents and taxpayers. SECTION 2. CRITERIA FOR RECEIPT OF ONE-TIME ANNUAL INCENTIVE COMPENSATION. City employees' eligibility for receipt of the annual one-time compensation incentive payment shall meet the criteria listed in this Section: a. Employee must have a"meet standards"or better evaluation on his/her most recent Performance Evaluation, which cannot be more than one year old. b. Employee must not have received any discipline of demotion or suspension without pay during the previous twelve-month period. c. Employee must be approved by the Department Director and City Manager to receive the annual one-time compensation incentive payment. Ordinance No.2019-0-22 Employee Incentives Page 1 of 3 d. Employee must be an employee of the City of Stephenville on the last payday in November,when the annual one-time compensation incentive payment is made. e. Employees who have been terminated for cause, or who have resigned to accept employment elsewhere or retired prior to the date of eligibility for the annual one-time compensation incentive payment shall not be eligible to receive such payment. SECTION 3. ESTABLISHMENT OF TOTAL AMOUNT OF INCENTIVE TO BE DISTRIBUTED ANNUALLY. For the first year of the one-time annual incentive payment, the Council hereby allocates an amount in equivalent to one percent (1%) of the total amount allocated in that year's budget for base salary payments to eligible employees, less required deductions. New employees, who have worked less than one full year for the City as of the last payday in November, may receive one percent (1%) of the total compensation received from date of hire through the last payday in November, less required deductions. No later than October 1 of each year following the first year of the incentive program, the City Council shall establish the total amount in dollars in the one-time annual incentive payment to which eligible employees may be entitled. SECTION 4. SEVERABILITY CLAUSE. Should any section subsection, sentence, clause or phrase of this Ordinance be declared unconstitutional or invalid by a court of competent jurisdiction, it is expressly provided that any and all remaining portions of this Ordinance shall remain in full force and effect. The City hereby declares that it would have passed this Ordinance, and each section, subsection, clause or phrase thereof, irrespective of the fact that any one or more sections,subsections,sentences,clauses and phrases be declared unconstitutional or invalid. SECTION 5. OPEN MEETINGS. It is hereby found, determined, and declared that sufficient written notice of the date, hour, place and subject of the meeting of the City Council at which this Ordinance was adopted was posted at a place convenient and readily accessible at all times to the general public at the City Hall or the City for the time required by law preceding its meetings, as required by Chapter 552 of the Texas Government Code, and that this meeting has been open to the public as required by law at all time during which this Ordinance and the subject matter hereof has been discussed, considered and formally acted upon. The City Council further ratifies, approves and confirms such written notice and the contents and posting thereof. SECTION 6. EFFECTIVE DATE. This Ordinance shall take effect immediately upon its adoption and publication in accordance with and as provided by law and the City Charter. PASSED AND APPROVED ON this 25th day of July, 2019. . k, f • Doug Svien M.yor ATTEST: / .• S ZIGu �. C Staci L. King, City Secreta ,R,P R,O P ,,,• ' Ordinance No.2019-0-22 Employee Incentives Page 2 of 3 lo,71 4, Reviewed by Allen L arnes, City Manager C‹ a.,--, Approved as to form and legality by Randy Thomas, City Attorney Ordinance No.2019-0-22 Employee Incentives Page 3 of 3