HomeMy WebLinkAbout2007 05 29 Regular 607 Cell Phone Policy
COMMISSION AGENDA
ITEM 607
Informational
Consent
Public Hearing
Regular X
May 29.2007
Regular Meeting
JQ{ d\1
Mgr. / ~Pt.
Authorization
REQUEST:
Information Services requests Commission review and
consider for approval the City's new Cell Phone Policy; if
approved, authorize supplemental appropriation in the
amount of $4,091 for equipment stipend; and authorize
City Manager to make any future revisions as necessary to
the policy.
PURPOSE:
To have Commission consider the City's new Cell Phone Policy and if
approved, authorize supplemental appropriation to cover equipment
stipend; and to gain authorization for City Manager to make any
future revisions as necessary to the policy.
CONSIDERATIONS: .
The City currently has no Cellular Telephone Policy in place. The City
currently issues cellular devices to those employees when the duties and
responsibilities of the employee deem it necessary to be accessible at all
times, and where the employee having a cellular telephone would help to
facilitate efficient communication with the employee. The City currently
has 62 City-issued telephones. They include devices with the following
servIces:
o Cellular service only
o Nextel Direct Connect (radio) only
o Cellular service with Nextel Direct Connect (radio)
I:\Admin _ Docs\Agenda Items\FY 2007\2007-05 (May)\05-29-07 _ COMM_Regular _607_ Cell_Phone _ Policy.doc
CITY OF WINTER SPRINGS
CITY COMMISSION
REGULAR MEETING - MAY 29, 2007
REGULAR AGENDA ITEM "607"
PAGE 2 OF4
o Cellular service with dataJemail
o Cellular service with dataJemail/Nextel Direct Connect (radio)
Cell Phone Invoice Management
The Information Services Department manages the City's cellular
telephones/devices. and reviews their corresponding invoices. The
individual City departments are also required to review/audit the invoices
each month to ensure proper use as well as monitor for any personal use
and to ensure proper and prompt payment to the City for any personal use.
This is a very lengthy and time consuming process when done properly.
Options
After extensive discussion amongst staff, it was determined to be in the
best interest of the City to offer the following three options:
1. Option 1 Stipend (City-preferred option) A stipend is a fixed sum of
money paid to an employee each month to help supplement or defray
the employee's expense for maintaining a personal cellular telephone
approved for use related to official City business. Stipends paid to
employees are taxable to the employee pursuant to IRS regulations.
Stipends do not constitute an increase to base pay and will not be
. included in the calculation of percentage increases to base pay due to
annual raises, job upgrades, etc. The tiered stipend rates are as
follows:
City Minutes ReQuired Stipend Amount
500 minutes required $40.00
1000 minutes required $50.00 (City Mgr. approval required)
Blackberry Service $40.00 (City Mgr. approval required)
Messaging Services $ 5.00 (Public Safety)
In' addition to the monthly stipend above, qualified employees may receive
a one-time equipment stipend not to exceed $75 toward the purchase of (1)
cellular telephone or not to exceed $125 toward the purchase of one (1)
Blackberry.
2. Option 2 City-issued cellular telephones - very limited basis
3. Option 3 Reimbursement for business use of personal cellular
telephone - for those who occasionally use their personal cellular
. telephone for City business. (for those employees who do not qualify
for option 1 or 2)
Why the Stipend Option?
Much interest and discussion has been generated, especially from Police
and Fire, with regard to the stipend option. Some of the reasons for this
are:
CITY OF WINTER SPRINGS
CITY COMMISSION
REGULAR MEETING - MAY 29, 2007
REGULAR AGENDA ITEM "607"
PAGE 3 OF 4
o Reduction in the number of phones/devices an employee must carry.
o Reduction in the administrative overhead of monthly invoice review
and administration. When the invoice is received by the City, it is
reviewed by the Projects Clerk for any abnormalities; forwarded to the
Information Services Director for review; copied by the Projects Clerk
for distribution to the departments; distributed to the departments for
their review; the departments receive their respective parts of the
invoice for review and are required to review for any personal calls.
This includes review by supervisors and department heads for
appropriate use. The invoices are then signed by the department
directors and returned to Finance with any money owed for personal
calls. The Projects Clerk is responsible for making sure that all
departments return their respective signed copies of the invoice. As
. you can see, this is an accountability issue and is very time consuming.
It should be noted that the stipend option will also eliminate the issue
of personal call accountability/reimbursement as the City currently
mayor may not be getting accurately and fully reimbursed for personal
phone calls being made on City-issued cell phones. There is no way for
the City to fully gauge this or identify all personal calls on the bill.
o IRS Regulations - A fringe benefit is an employment benefit (such as a
. uniform, vehicle or a cell phone) provided by an employer that has a
monetary value but does not affect basic wage rates. The Internal
Revenue Service (IRS) rules and guidelines dictate that any fringe
benefit is taxable and must be included in the recipient's pay unless a
specific exclusion applies. The IRS considers cellular telephones to be
"listed property". While business use of "listed property" is excluded
from the wages of the employee, personal use of these devices is
taxable and is to be included in the wages ofthe employee.
The IRS requires that adequate records be kept, according to IRS
Regulation 1.274-~T(c), including written documentary evidence
(account book, diary, log, expense report, billing statement, etc)
sufficient to establish each element of business use. To the extent that
the IRS substantiation rules are satisfied, the exclusion for a working
condition fringe benefit protects the employee from taxable income. If
. substantiation requirements are not met. all use of the device is taxable
and are to be included in the wages of the employee.
o Public Records - All cellular telephone bills received by the City are
subject to Chapter 119, Florida Statutes, related to Public Records.
Public records become less of an issue for the City since the City no
longer receives or maintains monthly cellular telephone bills; the only
CITY OF WINTER SPRINGS
CITY COMMISSION
REGULAR MEETING - MAY 29, 2007
REGULAR AGENDA ITEM "607"
PAGE 4 OF 4
exception to this is if/when the City requests a copy of the employee's
cellular telephone bill for verification of service and plan minutes for
substantiation of the stipend received each month.
Costs:
Current monthly charges: approximately $3,065 per month
Stipend plan: approximately $3,222 per month
Note: The stipend plan is an increase of approximately $157 per month or
$1,884 per year; however, the benefits of the stipend plan far out-weight
the additional cost to the City as outlined above.
One- Time Costs for Equipment Stipend: $4091
FUNDING:
$243
$161
$242
$3,445
$4,091
Funds will be placed in the appropriate departmental telephone line codes.
Supplemental appropriation for stipends in the amount of$4,091 from the
following funds as follows:
Enterprise Water Sewer (WS)
Enterprise Storm Water (SW)
Enterprise Development Services (OS)
General Fund
Monthly costs can be covered by current telephone budget.
RECOMMENDATIONS:
Recommend that Commission consider new Cellular Telephone Policy
and approve policy if it deems appropriate; and approve supplemental
appropriation in the amount of$4,091 to cover equipment stipend. Also
authorize City Manager to make any further revisions to this Cellular
Telephone Policy.
ATTACHMENTS: City of Winter Springs Cellular Telephone Policy
COMMISSION ACTION:
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CELLULAR TELEPHONE POLICY
The purpose of this Cellular Telephone Policy ("Policy") is to discourage the proliferation of
City cellular phones while maximizing the efficiency of all City departments. Certain City
operations require the use of cellular telephones and Blackberries to facilitate communications
between the City's office staff, field personnel, and the general public. When the duties and
responsibilities of a City employee deem it necessary for said employee to be accessible at all
times, and where the employee having a cellular telephone would help to facilitate efficient
communication with the employee, two (2) primary options are available in order to ensure that a
cellular telephone is avmlable. Further, a third, limited option is available where on a case-by-
case basis, the City may reimburse employees for the use of the employee's personal cellular
telephone when used for official City business.
Option 1:
Stipend Toward Use of Personal Cellular Telephone
(City-Preferred Option)
Under this option, City employees shall receive a fixed stipend for the use of their personal
cellular telephone when such use is approved for the performance of official City business. A
stipend is a fixed sum of money paid to an employee each month to help supplement or defray
the employee's expense for maintaining a personal cellular telephone approved for use related to
official City business. Stipends paid to employees are taxable to the employee pursuant to IRS
regulations. Stipends do not constitute an increase to base pay, and will not be included in the
calculation of percentage increases to base pay due to annual raises, job upgrades, etc. Further,
cellular telephone stipends shall not constitute an employee benefit.
This Policy expressly sets forth by job title those City employees qualifying for a cellular
telephone stipend and such qualification is directly related to the City employee's job duties.
The City employee is generally not required to retain or provide to the City records of City-
related calls made on personal cellular telephones in order for the employee to receive the
stipend; however, the City may request, from time to time, that employees provide cellular
telephone records and/or bills to the City so that the City may verify the need for and the amount
of the stipend as set forth herein. If such records and/or bills are required for submission to the
City, the same shall be subject to Chapter 119, Florida Statutes, related to Public Records.
This option requires that the City employee purchase and adequately maintain a personal cellular
telephone and cellular telephone service. The employee may purchase and maintain cellular
telephone service with any cellular provider. Such service shall include sufficient plan minutes
for both personal and City-related calls. The employee's supervisors and managers shall
routinely assess whether such employee is maintaining active and sufficient cellular telephone
service. Employees shall be solely responsible for payment of their personal cellular telephone
bills and the City shall not be liable to any employee for unpaid cellular telephone bills, taxes or
late fees associated with same. If receiving the stipend under this option, the employee's cellular
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telephone number will be published and made available as needed to perform his or her official
duties.
Employees receiving a cellular telephone stipend shall immediately notify the City's Information
Services Department ("ISO") upon termination of employee's personal cellular telephone
service. Any charges or fees related to termination of the employee's cellular telephone service
shall be borne solely by the employee. Employees shall be responsible for reimbursing the City
for the total amount of any stipend paid to employee following termination of employee's
personal cellular telephone service.
Stipends shall be provided to qualified employees based upon the number of minutes required for
said employee's day-to-day job duties ("City minutes"), as determined by the employee's
department director. .A three-month past-history of usage may be used in making this
determination. City Manager approval shall be required prior to issuing any stipend for 1,000 or
more City minutes or Blackberry usage to anyone (1) employee. The stipend will be reported as
income to the employee, which will-result in the employee being taxed on the amount of the
stipend. The tiered stipend rates are as follows:
City Minutes Reauired:
Stioend Amount
500 City Minutes Requi.red:
$ 40.00
1000 City Minutes Required:
$ 50.00
(City Manager approval required)
Blackberry Service:
$ 40.00
(City Manager approval required)
Messaging Services:
$ 5.00
(Public Safety)
In addition to the monthly stipend above, qualified employees may receive a one-time equipment
stipend not to exceed $75.00 toward the purchase of one (1) cellular telephone or not to exceed
$125.00 toward the purchase of one (1) Blackberry. Such stipend toward the purchase of
equipment shall not include any amount due to said employee through any available rebate offer
associated with the purchase of the equipment. Qualified employees seeking said stipend shall
provide valid proof of purchase to the ISD.
Employees may request their stipend be adjusted and in making such request shall demonstrate
the need for the adjustment. Such adjustment shall be at the sole discretion of the City Manager
or the City Manager's designee.
Upon termination of employment with the City, employees shall no longer receive a cellular
telephone stipend.
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Option 2:
City-Issued Cellular Telephone
This Policy expressly sets forth by job title those City employees qualified to receive a City-
issued cellular telephone. City-issued cellular telephones shall be property of the City and shall
be part of the City's cellular telephone service plan. City-issued cellular telephones are intended
to be used by the employee to whom they are assigned; however, in some instances, cellular
telephones are issued not to an individual employee, but rather to a department or division to be
used as a shared resource. Use of City-issued cellular telephones shall be limited to necessary
calls when the use of a landline is not reasonably available and/or when the urgency of the matter
requires the use of a cellular telephone.
City-issued cellular telephones shall be used for official City business only. Personal use of
City-issued cellular telC?phones is strictly prohibited, except in cases of bonafide emergencies.
Any personal use of a City-issued cellular telephone shall be closely scrutinized and evaluated by
the employee's department director and the City Manager, who shall determine whether said
personal use constitutes abuse of a City-issued cellular telephone. Abuse of an employee's City-
issued cellular telephone, including, but not limited to, excessive or inappropriate use for
personal reasons or improper handling or care of the City-issued cellular telephone, may dictate
disciplinary action according to the City's personnel manual.
Employees are required to reimburse the City for personal calls made or received on City-issued
cellular telephones using the calculation method set forth below. Employees shall reimburse the
City within one (1) week of receiving notification of such required reimbursement. Any
reimbursement due to the City shall include any applicable charges associated with the personal
telephone calls including, but not limited to, long distance, roaming or directory assistance
charges, taxes or any other additional cost assessed to the City directly related to the employee's
personal use of the City-issued cellular telephone.
Calculation method: All personal calls shall be highlighted or marked on the City's cellular
telephone bill. The amount due to the City is determined by using the ratio of the total cost of
the employee's personal calls over the total statement amount. The employee is responsible for
reimbursing the City for the percentage constituting the employee's personal use. (Example:
For a 500 minute plan which costs $50.00 per month (including taxes), where 200 minutes are
used for personal calls -- 200 minutes is 40% of the 500 minute plan [200/500 = 0.40] -- the
employee is charged 40% of the $50.00 statement - employee owes the City $20.00).
Employees assigned a City-issued cellular telephone are responsible for the safekeeping,
maintenance and proper use of the cellular telephone and are required to take appropriate
precautions to prevent loss, theft, damage, and unauthorized access to said cellular telephones.
Employees shall be financially responsible for any loss, theft, or damage to a City-issued cellular
telephone, unless the theft or loss was caused by circumstances beyond the control of the
employee during the performance of his or her assigned duties. Financial responsibility may
include repair and/or replacement of the City-issued cellular telephone. Loss, theft, or damage of
a City-issued cellular telephone shall be immediately reported to the employee's supervisor and
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the ISO Help Desk via email at helpdesk@winterspringsfl.org. The email should include the
employee's name, department, and the cellular telephone number. If lost or stolen, the ISO on-
call person will contact the telephone carrier/service provider so that service to the cellular
telephone may be immediately suspended or deactivated in an effort to avoid abuse of the
service. In the case of loss or theft, the user must obtain a police report and the police report
must be submitted to the ISO within forty-eight (48) hours of the incident.
City-issued cellular telephones shall be used in a responsible and safe manner. Use of any
cellular telephone while operating a motor vehicle is strongly discouraged. Employees should
avoid cellular-to-cellular communications on City-issued cellular telephones unless operationally
necessary to avoid the City having to pay twice for the same call.
Records related to City-issued cellular telephones are generally open to inspection and copying
pursuant to Florida's public records law as set forth in Chapter 119, Florida Statutes.
Upon termination of an employee assigned a City-issued cellular telephone, said employee's
department manager shall be responsible for:
· Retrieving from the employee the cellular telephone and all related accessories including, but
not limited to, car charger, wall charger, and/or belt clip;
· Inspecting the cellular telephone for any damage and to ensure that it is in proper working
order;
· Ensuring that the final cellular telephone bill is reviewed for any personal use for which the
City would be due reimbursement by the employee pursuant to this Policy;
In the event an employee fails to return a City-issued cellular telephone upon termination of
employment with the City for whatever reason, the City may withhold funds from the
employee's final paycheck to the extent permitted by law in an amount appropriate to cover the
cost of the cellular telephone.
Department directors shall submit a written request to the City Manager seeking a City-issued
cellular telephone for use by one of his or her department employees. Such request shall:
· Demonstrate the need for the City-issued cellular telephone and show that it is more than.
just a convenience item; why a cellular telephone is essential to the mission of the
employee/department; must demonstrate the consequence of not having the cellular
telephone.
· Demonstrate operational efficiency that would result in issuance of a cellular telephone.
· Demonstrate that it is the lower cost choice of communication for the employee.
· List the type of telephone being requested.
· List the number. of estimated minutes to be used per month, necessary to perform job
duties.
· List employee name and position.
· List department number (example 1340, 1510, 2110, etc.) to which the telephone should
be charged.
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Note that it shall be the responsibility of the Department Director to ensure that sufficient funds
are budgeted for the purchase and monthly operational costs associated with such equipment
prior to its purchase.
Following the City Manager's receipt and review of the request for a City-issued cellular
telephone, the City Manager will then forward the request to the Information Services
Department indicating the City Manager's approval or denial. Ifapproved by the City Manager,
the ISD shall process therequest.
The ISD shall be responsible for recording the ESN number, model number, serial number and
telephone number of the City-issued cellular telephone into the telephone master database. The
ISD shall verify that the telephone number has been activated, and notify the requesting
department to pick up the telephone from the ISD.
If accessories are required for the use of a City-issued cellular telephone, the following
procedure shall apply to ordering such accessories:
With purchase order:
o Call preferred vendor, obtain pricing, create purchase order, and take purchase order with
you to the store to pick up your accessory.
Without purchase order: (normally used when a part or accessory is needed quickly)
o Email to helpdesk@winterspringsfl.org from the department director required, justifying
request.
o Request must include specific cellular telephone number to which this should be charged
as well as indicate whether the item is to be picked up from the local dealer/preferred
vendor or shipped to the City of Winter Springs. The local dealer/preferred vendor will
charge that specific telephone number on the City's account for this item.
o Once approved, the ISD will contact the vendor and will either have the accessory
shipped or will make arrangements for the person requesting the accessory to pick up the
accessory at the local dealer.
Please contact the ISD for current preferred vendor information related to obtaining accessories
or service on a City-issued cellular telephone.
Employees issued a City-issued cellular telephone shall be responsible for any and all calls made
to or from the cellular telephone while in his/her possession. Employees shall be responsible for
reimbursing the City for the total cost of any calls unrelated to official City business as set forth
herein, even if such calls do not exceed the City's rate plan. Each department will receive a copy
of the monthly cellular telephone bill for review by the department director, who shall determine
whether any unauthorized use of the City-issued cellular telephone has occurred and whether any
employee reimbursement to the City is required related to such unauthorized use.
All City-issued cellular telephones are covered under the City's cellular maintenance plan. If a
City-issued telephone is in need of service, the employee may take it to the "Approved Service
Center" to be tested and repaired, if necessary. If there is a fee, it will be charged to the City's
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cellular telephone service account under that specific telephone number. Check with the ISD for
the current Approved Service Center.
Option 3:
Reimbursement for Use of Personal Cellular Telephone
This option is available on a very limited basis and should be used on a case-by-case basis when
one of the other options set forth in this Policy is not practical and/or permitted.
Under this option, the City may reimburse legitimate and necessary cellular telephone calls made
by an employee in furtherance of official City business for those employees who do not receive a
stipend and do not have a City-issued cellular telephone. In seeking reimbursement under this
option, the employee shall:
1. Submit a copy of his or her cellular telephone billing statement, which shall have
marked or highlighted the calls for which the employee is seeking reimbursement;
2. Obtain and submit written approval of the employee's supervisor and department
director for reimbursement;
3. Be reimbursed only for the actual cost of the call(s).
The employee's department director shall forward the employee's request and all supporting
documentation to Finance Accounts Payable.
Transitioning Users
For employees desiring to receive a stipend and who currently have a City-issued cellular
telephone they wish to keep, that telephone will be issued to the employee according to the
following schedule:
Cellular Telephone
Purchased
Within 1 ear
Within.2 ears
The telephone number assigned to the cellular telephone may be transferred to the employee with
the purchase of a personal service term agreement from the employee's choice of service
provider. The City may be asked to work with the employee's cellular provider to release the
number and the employee can then ask their provider to port the number for them. This transfer
will be the employee's responsibility.
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Who qualifies for a stipend or a city-issued cellular telephone?
DepartmentIPosition
Stipend? City-Issued Telephone?
Y/N Y/N
Yes
Yes
Yes
Yes
Yes
Yes
Yes
No
No
No
No
No
No
No
No
No
Yes
Yes
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DepartmentIPosition
Stipend ?
YIN
Yes
No
No
No
No
No
Yes
Yes
Yes
Yes
Yes
Police Chie
Code Enforcement S ecialist
PO Oa Shift
PO Ni t Shift
Police Ca tain
Police Lieutenant
Police Officer III Co
Policy adopted by the City Commission on:
City-Issued Telephone?
YIN
No
Yes (radio onl )
Yes (radio onl )
Yes (radio onl )
Yes (radio onl )
Yes (radio onl )
No
No
No
No
No
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CELLULAR TELEPHONE.POLICY
I hereby certify that I have read the City of Winter Springs Cellular Telephone Policy
("Policy"). I fully understand the Policy and by signing this form, agree to abide by its terms and
conditions regarding cellular telephone use and reimbursement for same. I further understand
that any violation or abuse of this Policy is subject to disciplinary action, up to and including
termination as deemed appropriate by the City Manager or the City Manager's designee. In the
event I violate the terms of this Policy, I understand that certain privileges or reimbursement
related to cellular telephone use maybe suspended or revoked and I may face legal
consequences.
Further, in consideration of my employment with the City, I agree to indemnify and hold
harmless the City and its officers and employees from any damages or liability resulting from my
personal cellular telephone use.
Employee's Full Name (Please print)
Employee's Signature
Date
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