Onalaska council reserves $100,000 for one-time employee retention payments; staff to return with resolution in March

The Onalaska Common Council unanimously voted Feb. 11 to reserve $100,000 to fund a one-time employee retention payment, with staff instructed to draft a resolution for final approval at the March council meeting.

Why it matters: the one-time reserve is intended to improve employee morale and retention; the council emphasized the reservation is not an automatic ongoing commitment and that next month’s resolution will finalize eligibility, payment amounts and fund accounting.

Details from the meeting - Finance Director Sabrina Steger told the council that preliminary estimates put the total cost for all affected funds at about $89,000. The council reserved $100,000 to provide a margin for qualifying events and turnover between now and implementation. - The payments are planned to cover the period June through December of this year, mirroring the structure used in the prior year, and will include regular-time employees and adjusted payment levels for part-time staff as needed. - Ald. Diane Wolf asked whether staff would return with a formal resolution; Sabrina Steger confirmed staff will prepare a resolution with the memo and bring it back at the March meeting. Councilors asked that the reserve be treated as a one-time allocation; future councils could choose to renew it. - Ald. Mike Milkey asked about funding. City staff said the money will come from excess interest income and higher-than-expected building permit revenue in 2024.

Next steps Staff will draft and present a resolution at the March council meeting detailing eligibility, payment calculations and the precise funding ledger entries. The council emphasized the reserve alone does not authorize payment until it approves the forthcoming resolution.

Provenance: discussion recorded under item 8 g at the Feb. 11 Onalaska Common Council meeting.