Item Coversheet
ALAMOSA CITY COUNCIL
COUNCIL COMMUNICATION


Subject/Title:
Public Hearing and Motion to decline employer participation in the Colorado Family and Medical Leave Insurance (FAMLI).
Recommended Action:
Staff recommends that Council hold a public hearing and unless information is provided to the contrary, vote to not participate in the Colorado Paid Family and Medical Leave Insurance Program.   

Background:

Colorado voters approved Proposition 118 in November of 2020, paving the way for a state-run Paid Family and Medical Leave Insurance (FAMLI) program. The FAMLI program will ensure all Colorado workers have access to paid leave in order to take care of themselves or their family during life circumstances that pull them away from their jobs — like growing their family or taking care of a loved one with a serious health condition. FAMLI will start providing benefits to employees beginning January 1, 2024. 

Eligible, participating employees will receive up to twelve weeks of leave. Those who experience pregnancy or childbirth complications will receive an additional four weeks

 

The City allows its employees to accrue sick leave and to carry unused sick leave over from one year to the next, to a maximum of 480 hours. The City also pays for a short term disability policy for its full-time employees. The City pays sick leave to its employees at 100% of the employee’s wage, versus the partial reimbursement provided under the Colorado Paid Family and Medical Leave Insurance Program (FAMLI); and if an employee shall need to use short term disability, the policy pays at 60% of the employee's wage.

 

Although staff is recommending to not participate in the program, individual employees may still opt into FAMLI and pay their premium share of .45%.  The premium would be a payroll deduction by the City and be remitted to the State on a quarterly basis.  Council's vote will be good with the State for eight (8) years and then Council will have to vote on the matter again and provide its decision to the State.

Issue Before the Council:
Does Council wish for the City to opt-out of participation of FAMLI?

Alternatives:
If Council does not wish to opt-out, staff recommends a survey to employees to gauge the interest of participate. 


Fiscal Impact:
Participation in FAMLI would cost the City approximately $32,000 a year that is currently not budgeted.   

Legal Opinion:
The City Attorney will be present for questions.

Conclusion:
Employees will still have the opportunity to participate in FAMLI with no reduction in benefits if the City opts out of FAMLI.