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Staff Report PREPARED BY: LISA VELASCO Human Resources Director Reviewed by: Town Manager, Assistant Town Manager, Town Attorney, and Finance Director 110 E. Main Street Los Gatos, CA 95030 ● 406-354-6832 www.losgatosca.gov TOWN OF LOS GATOS COUNCIL AGENDA REPORT MEETING DATE: 05/07/2019 ITEM NO: 3 DATE: APRIL 30, 2019 TO: MAYOR AND TOWN COUNCIL FROM: LAUREL PREVETTI, TOWN MANAGER SUBJECT: ADOPT A RESOLUTION AUTHORIZING THE PROVISION OF A SUPPLEMENTAL MILITARY LEAVE BENEFIT FOR TOWN EMPLOYEES ORDERED TO ACTIVE MILITARY DUTY RECOMMENDATION: Adopt a Resolution (Attachment 1) Authorizing the Provision of a Supplemental Military Leave Benefit for Town Employees Ordered to Active Military Duty. BACKGROUND: The Uniformed Services Employment and Reemployment Rights Act (USERRA) of 1994 protects the job rights and benefits for employees who voluntarily or involuntarily leave employment for military training or active duty. To be eligible for coverage, an employee must be a member of the “uniformed services,” such as: United States Army, Navy, Air Force, Marines, Coast Guard, National Guard, Reserves, or any other category of persons designated by the President in time of war or emergency. Under the provisions of USERRA, employees are allowed up to thirty (30) days of employer paid leave during a twelve (12) month period to either attend required military training or to report to active military duty. The California Military and Veterans Code also protects employee job rights up to 180 calendar days when ordered to military duty, including travel time, for purposes of active military training, encampment, naval cruises, special exercises or like activity as a member of the reserve corps or force of the armed forces of the United States, or the National Guard, or the Naval Militia. PAGE 2 OF 3 SUBJECT: ADOPT A RESOLUTION AUTHORIZING THE PROVISION OF A SUPPLEMENTAL MILITARY LEAVE BENEFIT FOR TOWN EMPLOYEES ORDERED TO ACTIVE MILITARY DUTY APRIL 30, 2019 S:\COUNCIL REPORTS\2019\05-07-19\Military Leave Resolution\Staff Report.docx 5/2/2019 3:23 PM LV BACKGROUND (continued): On January 7, 2002, the Town Council adopted a resolution (Attachment 2) authorizing a supplemental military leave benefit effective through December 31, 2002 for employees called to active duty resulting from the September 11, 2001 terrorist attacks. DISCUSSION: Following September 11, 2001, many public agency employers adopted resolutions , similar to the Town’s January 7, 2002 resolution, to provide supplemental military leave and continue to offer the benefit today. The proposed reinstatement of the supplemental military leave benefit would begin after the thirty (30) days of USERRA required leave time has been used and would pay the employee the difference between verified military pay received and Town salary during the period when called to active duty for up to a maximum of twelve (12) months. Town employees that have not completed the initial new hire probation will not be eligible for the supplemental benefit. In addition, employees that receive the benefit must return to Town employment from military leave and remain in employment for at least the following six months. CONCLUSION: Given the high cost of living and housing in the Bay Area and to maintain a competitive benefits package that will continue to attract prospective applicants and retain employees, staff recommends adoption of a resolution to reinstate a supplemental military leave benefit for Town employees that are called to active military duty. FISCAL IMPACT: There is no additional fiscal cost associated with this supplemental benefit because employee benefits and salary expenses are already included in the approved budget. The potential impact is salary savings that would occur during an employee’s unpaid leave of absence while on active military duty beyond thirty (30) days, because the Town would only pay the difference between the verified military pay received and Town salary during the period of military service. There would be additional salary savings if the Town Council voted not to adopt the proposed resolution and the supplemental benefit was not offered. ENVIRONMENTAL ASSESSMENT: This is not a project defined under CEQA, and no further action is required. PAGE 3 OF 3 SUBJECT: ADOPT A RESOLUTION AUTHORIZING THE PROVISION OF A SUPPLEMENTAL MILITARY LEAVE BENEFIT FOR TOWN EMPLOYEES ORDERED TO ACTIVE MILITARY DUTY APRIL 30, 2019 S:\COUNCIL REPORTS\2019\05-07-19\Military Leave Resolution\Staff Report.docx 5/2/2019 3:23 PM LV Attachments: 1. Draft Resolution authorizing a supplemental military leave benefit for Town employees ordered to active military duty 2. Expired Resolution 2002-3 that authorized the provisions of a supplemental military leave benefit for Town employees called to active duty due to Operation Enduring Freedom