Employee Recognition and Public Purpose Expenditures 02-11-08C 'I"
SHOREWOOD
5755 COUNTRY CLUB ROAD •SHOREWOOD, MINNESOTA 55331-8927 • (952) 474-3236
FAX (952) 474-0128 • www.ci.shorewood.mn.us • cityhall@ci.shorewood.mn.us
EMPLOYEE RECOGNITION
and PUBLIC PURPOSE EXPENDITURES
Purpose regarding Employee Recognition:
By an Act of the Legislature in 2007, cities are expressly granted the authority to establish and make
expenditures for activities recognizing their employees. As codified in Minnesota Statute § 15.46,
"... A county or a statutory or home rule charter city may establish and operate a program of
preventive health and employee recognition services for its employees and may provide
necessary staff, equipment, and facilities and may expend funds as necessary to achieve the
objectives of the program."
The following is intended to provide guidelines regarding which personnel expenditures are for
public purposes. Examples are not meant to be all-inclusive. These permitted expenditures are
intended to serve the public purpose of recruitment and retention of the City's largest asset, its
personnel. These practices are meant to ensure high employee productivity and morale and reduce
expenses from low productivity and high turnover (e.g., recruitment, training, inexperience, and lack
of knowledge). Personnel is meant to have a broad definition, and to include members of the City
Council, staff, members of advisory boards and commissions and committees, and volunteers.
1. EMPLOYEE RECOGNITION -MEALS AND REFRESHMENTS
A. Permitted Expenditures:
Use of City funds in reasonable amounts for meals and/or refreshments for elected and appointed
City officials and employees are permitted in the following circumstances:
• City-sponsored events of a community-wide interest where staff are required to be present.
• City Council, boards and commissions and committees meetings held during or adjacent to a
meal hour.
• Professional association meetings.
• Meetings related to City business in which the .attendees are predominantly non-city
representatives (e.g., city/school district meetings, Chamber of Commerce meetings).
• Meetings, training or conferences held outside the seven-county metropolitan area.
• Conferences and training when meals are included as part of the registration or program fee,
or when meals are not included but a necessary expense due to travel.
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• Annual employee recognition events to which all employees are invited (e.g., City Council's
annual appreciation event, which also applies to guests).
• Annual recognition events for non-benefited employees (e.g., City Council's annual
appreciation event, which applies to members of board and commissions and committees, and
their guests; SLMPD Reserve Officer appreciation event).
• City-sponsored training or work-related meetings where employees are required to participate
or be available during break periods.
• Work activities requiring continuous service when it is not possible to break for meals (e.g.,
election days, watermain breaks).
• Refreshments (e.g., coffee or water services) made available for City employees and guests,
visitors, and others conducting business with the City for productivity and hospitality.
• Events recognizing participants in aCity-sponsored wellness program).
• Retirement or leaving-employment recognition (light refreshments only).
• Events recognizing completion of a significant work-related project.
B. Prohibited Expenditures:
Use of City funds for meals and/or refreshments for elected and appointed City officials and
employees are prohibited in the following circumstances:
• Purchase of alcoholic beverages for City-sponsored events.
• Purchase of alcoholic beverages as part of an otherwise authorized meal expense.
• Employee-sponsored fundraising events (e.g., charitable giving campaign)
• Employee functions or celebrations that are solely social in nature (e.g., birthdays, holiday
luncheon)
• Fundraisers for non-City related events.
• Meetings, training or conferences held inside the seven-county metropolitan area.
• Conferences and training when meals are not included as part of the registration or program
fee, unless meals are a necessary expense due to travel.
• Meetings between staff members not in accordance with "l.A. Permitted Expenditures for
Meals and Refreshments" (above).
2. EMPLOYEE RECOGNITION -OTHER EXPENDITURES
A. Other Permitted Expenditures:
Use of City funds in reasonable amounts are permitted in the following circumstances:
• For a funeral flower arrangement upon death of an employee or elected official, or one of
their immediate family members.
• Prizes of moderate value awarded randomly at employee recognition events.
• Awards of limited value to all attendees at employee recognition events..
• Awards of limited value for participants in aCity-sponsored wellness program.
• Meals, refreshments, or other items of limited value for people who volunteer for the City.
• Enhancing or ensuring the safety of the public and City employees while using public
facilities (e.g., centralized hot water for coffee, tea).
B. Other Prohibited Expenditures:
Use of City funds are prohibited in the following circumstance(s):
• Participation in recreational activities unless included as part of an overall conference
registration fee.
3. OTHER PUBLIC PURPOSE EXPENDITURES
Purpose: This section is intended to provide guidelines regarding some miscellaneous expenditures
that are for public purposes. Examples are not meant to be all-inclusive. These expenditures are
intended to serve the public purpose of fostering community relations, cooperative associations, and
positive relationships with residents and the business and nonprofit communities.
A. Permitted Expenditures:
Use of City funds in reasonable amounts are permitted in the following circumstances:
• Memberships and dues in organizations when the primary purpose of the membership is for
public benefit and not personal interest or gain.
• Refreshments or items of limited value available to attendees at City-sponsored events to
which members of the public have been invited (e.g., City cultural events, neighborhood
information meetings).
• Meals or refreshments for afee-for-service of volunteer consultant attending aCity-sponsored
meeting in which employees qualify under Section 1.A. (above), and when that individual
plays a major role in the meeting (e.g., a trainer/instructor, manager of a City project).
B. Prohibited Expenditures:
Use of City funds are prohibited in the following circumstances:
Gifts to private individuals or organizations.
Donations to non-City related events.
January 2008
ADOPTED BY THE CITY COUNCIL OF THE CITY OF SHOREWOOD this 11th day
of February, 2008.
ATTEST:
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Christine Lizee, Mayor
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C arC ig V4.'T)~ vso~n, City Administrator/Clerk