HomeMy WebLinkAbout08/19/1997, C-2 - TUITION REIMBURSEMENT PROGRAM counci L
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C I T Y O F SAN LUIS O B I S P O
FROM: Ann Slate,Personnel Director
Prepared By: Jill Sylvain,Personnel Analyst
SUBJECT: TUITION REIMBURSEMENT PROGRAM
CAO RECOMMENDATION
Adopt a resolution approving the City's Tuition Reimbursement Program
DISCUSSION
For several years the City's Affirmative Action Committee has been recommending the
implementation of a Tuition Reimbursement Program to encourage excellence of performance,
employee development, and the ability to promote at all levels by sharing the costs of educational
programs. The Personnel Board echoed this request when they recommended Council adopt an
educational assistance program in their 1997-98 goals. During the 1997-99 budget process Council
approved $13,900 in the Personnel Department budget to fund the program in the current fiscal
year and the same amount for the 1998-99 fiscal year. A survey of other cities that have similar
programs indicated that probably no more than 5% of the City's work force would participate; the
$13,900 funding should accommodate this number.
To participate in this program a person must be a regular employee who has passed probation,
completed the application form, and received approval from both their department head and the
Personnel Director prior to enrolling in the class. When either the department head or the Personnel
Director do not approve the course for reimbursement, an appeal may be made to the City
Administrative Officer for a final decision. For a class to be eligible there are strict requirements
as outlined in Exhibit A, attached. In addition courses must be taken for credit (audited courses are
not reimbursable) and the employee must receive a grade of "C"or better.
Upon completion of the class(es) the employee submits a reimbursement form to the Personnel
Department with the required documentation and receipts prior to being reimbursed for registration,
tuition, lab fees and books. There is a cap of$850 per year per employee.
An employee must continue in a regular position in the City service for one year from the date of
completion of the course. If the employee resigns or is discharged within a year they have agreed
to reimburse the City for any moneys received through this program in the prior twelve months.
The maximum forfeiture amount is $500. Since an employee has devoted considerable personal
time and unreimbursed expenses toward course completion, it is appropriate to limit the amount
forfeited.
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Council Agenda Report-Tuition Reimbursement Program
Page 2
It is the intent of this program to provide incentives to employees who seek higher education to
prepare them for promotional opportunities in the City as well as enhance skill levels and
productivity. Projections of the labor market statewide and nationally indicate that there will be a
shortage of highly qualified job applicants for technical and highly skilled positions in the future.
The City has already been experiencing that trend. This program should assist us in "succession
planning" or assisting employees by enhancing their opportunities to grow within the City
organization. The City will be able to capitalize on the benefits of promoting from within. These
benefits include knowing the value of employees with a proven City track record, not dealing with
the transitional issues associated with the relocation of new employees (spousal employment and
housing costs) and increased employee productivity,morale and sense of team.
CONCURRENCES
The Affirmative Action Committee, the Personnel Board and department heads have reviewed and
approved the program.
FISCAL IMPACT
Funds are available as allocated in the 1997-99 Financial Plan.
ALTERNATIVES
• Do not approve the Tuition Reimbursement Program. This would be counter to the
Council's previous commitment during the 1997-98 Council Goals Workshop (February 1 and
4, 1997) to implement some form of a tuition reimbursement program. In addition on June 17,
1997 Council adopted the budget which included two years of funding for this program.
• Scale back the current allocation and fund at a lower level. Because the program is
designed on a first come, first serve basis it is possible that some employees would not receive
the benefit they anticipated.
ATTACHMENTS
Resolution approving the City's Tuition Reimbursement Program
EXHIBITS
A. Proposed Tuition Reimbursement Program
B. 1997-99 Significant Operating Program Change
RESOLUTION NO. (1997 Series)
A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO
ESTABLISHING A TUITION REIMBURSEMENT PROGRAM
WHEREAS, THE City wants to encourage excellence of performance, employee
development, and the ability to promote at all levels by sharing the cost of educational programs ;
and
WHEREAS, the Council desires to demonstrate the importance the City places on
continued education to tap our employee's commitment and capacity to learn at all levels of our
organization.
NOW THEREFORE, BE IT RESOLVED by the Council of the City of San Luis Obispo
that the Tuition Reimbursement Program provided in Exhibit A and attached hereto is hereby
adopted.
On motion of seconded by
and on the following roll call vote:
AYES:
NOES:
ABSENT:
the foregoing Resolution was passed and adopted this day of 11997.
ATTEST:
City Clerk
Mayor Allen Settle
APPROVED AS TO FORM:
City Attorney
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Mai crty of san lues oB sN
TUITION REIMBURSEMENT PROGRAM
PURPOSE
To establish guidelines and procedures for the approval and processing of tuition
reimbursement requests. The Tuition Reimbursement Program is designed in part to
enhance the City's equal employment opportunities.
POLICY
It is the policy of the City of San Luis Obispo to encourage excellence of performance,
employee development, and the ability to promote at all levels by sharing the cost of
educational programs. The City will reimburse educational costs which are directly
related to the employee's occupational field with the City or are related to and part of a
planned course of study being actively pursued for promotion within the City service.
For this purpose, the City shall reimburse up to $850 annually for the costs of tuition,
registration, books and lab fees. Travel and parking are not covered expenses.
There shall be no obligation to the City to reschedule the normal work hours of eligible
employees to facilitate their participation in the Tuition Reimbursement Program.
ELIGIBILITY REQUIREMENTS
To be eligible for the program the employee must be a regular employee who has
passed his or her initial probation with the City of San Luis Obispo. A pro-rated amount
will be calculated for regular part-time employees (i.e., a regular half-time employee
could receive up to $425 annually).
The employee must have completed the reimbursement form and received approval
from his or her department head and the Personnel Director prior to enrolling in the
course. When either the department head or the Personnel Director do not agree that
the course qualifies for tuition reimbursement, a final decision will be made by the City
Administrative Officer.
Courses must be taken for credit; audited courses will not be reimbursed. Additionally,
the employee must satisfactorily complete the course and receive a grade of "C" or
better or a "pass" in a pass/fail grading.
ELIGIBLE COURSES
I. Eligible courses must have a reasonable potential to offer substantial benefit to the
City.
2. Eligible courses must be directly related to the employee's occupational field with
the City, or directly related to and part of a planned course of study being actively
pursued for promotion and career development with the City.
Page 1 of 2 n
3. Eligible courses must be presented by an accredited high school, college,
university or other accredited institutions.
INELIGIBLE COURSES
1. Courses taken to bring unsatisfactory job performance up to an acceptable level.
2. Courses that duplicate in-service training or other training the employee has
already received.
3. Courses an employee is required, by the department head, to attend will be
considered training and will not be reimbursed through the tuition reimbursement
program.
4. Courses for which the employee receives reimbursement from any other sources.
CONTINUED SERVICE REQUIREMENT
An employee must continue in a regular position in the City service for one (1) year
from the date of completion of the course. Failure to continue in the City service,
through resignation or discharge, will result in the forfeiture of any tuition reimbursement
payments received up to one (1) year prior to separation. The maximum forfeiture
amount would be $500. In such situations, the employee agrees that the Finance
Department is authorized to make a deduction from the employee's final payroll check
for the appropriate amount of tuition reimbursement to be forfeited.
PROCEDURES
The employee shall submit a completed Tuition Reimbursement Application form to
his/her Department Head for approval at least three (3) weeks prior to the first class
session. The Department Head will forward the form indicating approval or disapproval
within five (5) working days to the Personnel Director. The completed form indicating
approval or disapproval from the Personnel Director will be returned to the employee
within another five (5)working days.
When either the department head or the Personnel Director do not approve the course,
an appeal may be made to the City Administrative Officer for a final decision.
Upon completion of the course, the employee shall submit a completed Tuition
Reimbursement Request form to the Personnel Department with the required
documents in the form of a transcript or a grade card signed and dated by the instructor
and receipts for registration, tuition, lab fees and books.
A copy of the request will be forwarded to the Finance Department. They will issue a
check in the proper amount. A copy of the approved request and proof of completion
will be filed in the employee's personnel file.
Page 2 of 2
1997-99 Financial Plan
SIGNIFICANT OPERATING PROGRAM CHANGE
PROGRAM: Personnel Administration
REQUEST TITLE: Tuition Reimbursement Policy
Request Summary
This request is to provide funding for the newly developed Tuition Reimbursement Policy (the proposed policy is
attached; it is anticipated that Council will approve the Policy in June of 1997). It is difficult to estimate how many
employees will use the program and the amount employees will use per year (there is an $850.00 cap per
employee).A survey conducted of several other organizations with similar programs suggest the usage could be as
low as 1% and as high as 8%. Personnel believes no more than 5% of the employees will participate during the
first year. This equates into a funding request of$13,900. The initial reimbursement process will be on a first
come,first serve basis, so no further monies will be requested for the 1997-98 fiscal year. After analyzing usage of
the program for several years we will have more concrete data of employee participation and be in a better position
to predict what the average usage will be.
Key Objectives
IN To comply with the City's Affirmative Action Plan.
■ To encourage excellence of performance, employee development, and the ability to promote at all levels by
sharing the cost of educational programs.
■ To demonstrate the importance the City places on continued education to tap our employee's commitment
and capacity to learn at all levels of our organization
Factors Driving the Request for Change
m A request from the City's Personnel Board for Council to adopt an educational assistance program in their
1997-98 goals.
e A commitment from the Council during the Council Goals Workshop (February 1 and 4, 1997) to
implement some form of a tuition reimbursement program for City employees.
IN A recognition that providing opportunities for employees to gain further education and/or training is a
direct benefit to the City.
Alternatives
■ Do not fund the Tuition Reimbursement Policy.
■ Partially fund the current request and review employee usage at the end of the 1997-98 fiscal year for
future funding. Because the program is designed on a first come, first serve basis it is possible that some
employees would not receive the benefit they anticipated..
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Tuition Reimbursement Policy �.:ontinued)
Cost Summary
Operating Costs Current Costs Cost Change: ECosthange:,1997-98 98-99 .
Funded Amount 0 $13,900
$13,900
TOTAL . 1 0 S13,900 $13,900
Implementation
The proposed policy was developed by the Affirmative Action Committee and has been reviewed by Personnel,
Finance,and Administration Departments. It is ready for implementation.
With approval of this request all regular City employees will receive a copy of the Tuition Reimbursement Policy.
On a first come, first served basis, monies will be reimbursed to employees that properly comply'with the
requirements of the Policy.
Attachment
Proposed Tuition Reimbursement Policy