Title
(CONTINUED FROM DEC. 1, 2021) - Amendment to Pay Ordinance S-47689 to Authorize Premium Pay Under the American Rescue Plan Act of 2021 to Eligible City Employees (Ordinance S-48170)
Description
Request City Council approval of amendments to Pay Ordinance S-47689 to authorize payment under the American Rescue Plan Act of 2021 (ARPA) of five hundred dollars ($500) in premium pay to eligible full-time employees and two hundred fifty dollars ($250) in premium pay to eligible non-seasonal part-time employees in Units 1, 2, 3, 4, 5, 6, 7, and 8, and authorize payment under ARPA of one thousand five hundred dollars ($1,500) to eligible full-time employees and seven hundred fifty ($750) to eligible non-seasonal part-time employees in Units 1, 2, 3, 4, 5, 6, 7, and 8, who are fully vaccinated for COVID-19 by January 18, 2022 (Attachment A).
Report
Summary
The City was awarded approximately $396 million in ARPA funds. The City received its first payment ($198 million) in May 2021. The City is currently scheduled to receive approximately $198 million in additional ARPA funds for Fiscal Year 2022-23.
The City is permitted to use ARPA funds to pay additional compensation, or “premium pay,” to eligible workers performing essential work during the COVID-19 public health emergency. Premium pay is intended for the workers who have been and continue to be relied on to maintain continuity of operations of essential critical infrastructure sectors, including those who are critical to protecting the health and wellbeing of their communities.
Under the Interim Final Rule, “essential work” is work that is not performed by teleworking from a residence that involves regular in-person interactions with the public or co-workers of the individual who is performing the work or regular physical handling of items that were handled by or are to be handled by the public or the individual’s co-workers.
The proposed change to Section 11 [Assignment Pay, Differential, Standby and Other Additional Compensation] of the current Pay Ordinance (S-47689) would permit the payment of five hundred dollars ($500) in “premium pay” under ARPA to eligible full-time City employees in Units 1, 2, 3, 4, 5, 6, 7, 8 and the payment of two hundred fifty ($250) in “premium pay” under ARPA to eligible non-seasonal part-time City employees in Units 1, 2, 3, 4, 5, 6, 7, and 8. This proposed change would also permit the payment of one thousand five hundred dollars ($1,500) in “premium pay” under ARPA to eligible full-time City employees in Units 1, 2, 3, 4, 5, 6, 7, 8 and permit the payment of seven hundred fifty dollars ($750) in “premium pay” under ARPA to eligible non-seasonal part-time City employees in Units 1, 2, 3, 4, 5, 6, 7, 8, if the employee is fully vaccinated for COVID-19 by January 18, 2021.
These payments are expected to total approximately $25 million to $29 million.
Financial Impact
The cost of all actions taken related to this ordinance would be paid for from ARPA funds allocated to the City.
Concurrence/Previous Council Action
The Pay Ordinance (S-47689) was approved by Council on June 16, 2021.
Department
Responsible Department
This item is submitted by Assistant City Manager Lori Bays and the Human Resources Department.