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Annually as part of the budget process, the City Manager recommends to council an <br />amount to be appropriated for this program for the ensuing fiscal year. This amount <br />may be based upon experience and may be expanded or reduced in accordance with <br />the City's financial prospects and the City Manager's /City Council's satisfaction with the <br />program. <br />III. TIME OFF <br />a. Vacation accruals will be set by the City Manager based on years of service with <br />City and total public sector years or years in the industry. <br />Vacation leave shall not be accumulated in excess of two (2) years accrued <br />vacation leave computed to the 31s of December, except upon written <br />authorization of the Human Resources Director. <br />• Illness During Vacation - An employee who commences a scheduled <br />vacation period and subsequently becomes ill before his or her vacation <br />period has been completed shall be placed on sick leave. <br />When the employee's vacation leave is converted to sick leave, the appropriate <br />vacation credit shall be restored to the employee's earned vacation balance, and <br />a reasonable opportunity to utilize this vacation credit shall be provided within <br />the City's existing practices in order to avoid loss of vacation credit. <br />b. In -Lieu Hours - In -Lieu Hours are established to recognize the inherent and <br />distinctive terms and conditions of employment of Executive Management <br />classifications. These positions are distinguished from all other merit system <br />positions in that they serve solely at the pleasure of the City Manager or <br />appointing authority in an exempt at will capacity, they may be removed without <br />cause, and they are expected to work on call numerous hours beyond the regular <br />work week without any additional form of compensation. <br />In partial recognition of the extra work hours expected of these positions, in -lieu <br />hours are established. Executive Management is eligible to receive one hundred <br />sixty (160) hours per calendar year of in -lieu hours. This leave may be taken as <br />time off or paid in cash for any portion of this leave remaining as of December <br />31 of the calendar year. Newly appointed Executive Management employees who <br />have served less than one full calendar year may receive a prorated portion of <br />this leave at the discretion of the City Manager. <br />3 <br />14403 <br />