Finance of the Whole Committee — Agenda Packet

CITY OF MAYVILLE FINANCE COMMITTEE MEETING OF THE WHOLE AGENDA SEPTEMBER 14, 2026 5:45 PM 15 S SCHOOL ST 1. CALL TO ORDER AND ROLL CALL 2. PLEDGE OF ALLEGIANCE 3. CITIZEN COMMENTS Citizen Comments are to be kept to a maximum of five minutes per speaker unless the chairperson allows an extension of time. Each citizen is to make comments at the podium after stating name and address. Each citizen may comment only one time per public hearing / meeting. 4. DISCUSS WITH POSSIBLE ACTION 4.1. Discuss, with Possible Recommendation, Resolution 6088-2026, "A Resolution Authorizing Participation in the Wisconsin Department of Employee Trust Funds Income Continuation Insurance Program and Terminating the City's Current Income Continuation Insurance Coverage Through Metlife" 4.2. Discuss, with Possible Recommendation, Quotes for Driveway Approach and Sidewalk Repairs at Police Department Garage Funding Source: 2026 Road Reconstruction Funds 5. ADJOURNMENT Ald. Bob Smith, Presiding Officer NOTE: Persons with disabilities requiring special accommodations for attendance at the meeting should contact City Hall at least one (1) business day prior to the meeting. Page 1 of 11 15 South School Street, PO Box 273, Mayville WI 53050 Phone: 920.387.7900 Fax: 920.387.7919 www.mayvillecity.com STAFF MEMO Meeting Date: September 14, 2026 To: Finance Committee of the Whole From: Clerk/Executive Assistant Anastasia Gonstead & Comptroller/Treasurer Darlene Smith Subject: Proposed Transition from MetLife Income Continuation Insurance to Wisconsin ETF Income Continuation Insurance Background: The purpose of this memorandum is to provide the Finance Committee with information regarding a proposed change to the City's employee income continuation insurance benefit from the City's current MetLife coverage to the Wisconsin Department of Employee Trust Funds (ETF) Income Continuation Insurance (ICI) Program. The proposed change would allow the City to continue offering employees income continuation/disability coverage that is comparable to the City's current MetLife benefit while reducing the City's insurance costs. Current Coverage: The City currently provides Income Continuation Insurance through MetLife as an employee benefit. The City's current annual cost for this coverage is more than $7,000 per year. The coverage provides employees with income protection in the event they are unable to work due to a qualifying illness or injury. Following review of the current MetLife coverage and the Wisconsin ETF ICI Program, staff believes the benefits provided through ETF are comparable to the City's existing coverage. As a result, the proposed transition would allow the City to maintain this important employee benefit without a significant reduction in the level of protection provided to employees. Wisconsin ETF Income Continuation Insurance: The Wisconsin Public Employers Income Continuation Insurance Program is administered by the Wisconsin Department of Employee Trust Funds and is available to local government employers participating in the Wisconsin Retirement System. ICI provides continued income for employees who are on an extended leave of absence because of an illness or injury. The program provides income replacement benefits for qualifying disabilities, subject to the program's eligibility requirements, elimination period, benefit provisions and applicable offsets. Page 2 of 11 15 South School Street, PO Box 273, Mayville WI 53050 Phone: 920.387.7900 Fax: 920.387.7919 www.mayvillecity.com The program allows participants to select an elimination period of 30, 60, 90, 120 or 180 calendar days. Benefits can provide up to 75% of average monthly earnings, subject to the terms and limitations of the program. Current ETF Premium Holiday: One of the significant financial advantages of the ETF program at this time is the premium holiday for local ICI coverage. This is not a newly established temporary promotion. The local ICI program has been under a premium holiday for more than 14 years. ETF's 2012 Comprehensive Annual Financial Report states that local governments went on a premium holiday beginning in March 2012. ETF continued to report the local ICI program as being on a premium holiday in subsequent years. In 2017, ETF reported that the local program had been on a premium holiday since 2012 and attributed the holiday to the program's strong financial position. The premium holiday has continued through 2026. ETF's current 2026 information states that the Group Insurance Board has extended the local ICI premium holiday through March 31, 2027, based on the strong financial position of the local ICI plan. During the premium holiday, neither the employer nor employees pay premiums for ICI coverage. Therefore, the history is important when evaluating the potential savings: • March 2012: Local ICI premium holiday begins. • 2012–2025: Premium holiday continues. • 2026: Premium holiday continues. • March 31, 2027: Current extension runs through this date. • Future: The Group Insurance Board may continue to extend the holiday; however, future extensions cannot be guaranteed. While the City should not assume that the program will remain free indefinitely, the fact that the premium holiday has remained in place continuously for more than 14 years demonstrates that this has been a long-standing feature of the local ICI program rather than a short-term cost reduction. Financial Impact to the City: The City currently spends more than $7,000 annually for MetLife income continuation coverage. By transitioning to ETF ICI, the City would eliminate its current MetLife premium expense while continuing to provide employees with comparable income continuation coverage. Page 3 of 11 15 South School Street, PO Box 273, Mayville WI 53050 Phone: 920.387.7900 Fax: 920.387.7919 www.mayvillecity.com At the current ETF premium holiday rate, the City's premium cost for ICI coverage would be $0. Accordingly, the immediate anticipated savings to the City would be more than $7,000 annually, while employees would continue to receive income continuation insurance as part of their employee benefits. The savings could be used to reduce the City's overall employee benefit costs and/or provide additional flexibility within the City's operating budget. Consideration of Future Costs: The Finance Committee should be aware that the current $0 premium is dependent upon the ETF premium holiday. If the premium holiday ends in the future, the City would become responsible for the required employer contribution under the ETF program. ETF currently provides that employers must pay at least the premium associated with the 180-day elimination period, although an employer may elect to contribute more toward the premium. The actual future cost would depend on the applicable rates and employee earnings at that time. However, the City would still have the opportunity to evaluate the cost of the ETF program against other available insurance options if the premium holiday were to end. Staff recommends that the City transition from its current MetLife Income Continuation Insurance coverage to the Wisconsin ETF Income Continuation Insurance Program, effective January 1, 2027. The proposed transition would: 1. Maintain an important employee benefit providing income protection in the event of qualifying illness or injury; 2. Provide coverage comparable to the City's current MetLife benefit; 3. Eliminate more than $7,000 in annual insurance premiums while the ETF premium holiday remains in effect; 4. Take advantage of a program that has maintained a premium holiday for local governments since 2012; 5. Provide the City with the opportunity to reassess the financial impact if ETF's premium holiday eventually ends; and 6. Continue to provide employees access to a statewide public-sector income continuation insurance program administered through ETF. Conclusion: The proposed change represents an opportunity for the City to reduce its employee benefit expenses by more than $7,000 annually while continuing to provide employees with a comparable income continuation insurance benefit. Page 4 of 11 15 South School Street, PO Box 273, Mayville WI 53050 Phone: 920.387.7900 Fax: 920.387.7919 www.mayvillecity.com Given the long-standing nature of the ETF premium holiday—dating back to March 2012—and the current extension through March 31, 2027, staff believes the ETF program provides a financially responsible alternative to the City's current MetLife coverage. Page 5 of 11 1 Resolution #6088-2026 RESOLUTION 6088-2026 A RESOLUTION AUTHORIZING PARTICIPATION IN THE WISCONSIN DEPARTMENT OF EMPLOYEE TRUST FUNDS INCOME CONTINUATION INSURANCE PROGRAM AND TERMINATING THE CITY’S CURRENT INCOME CONTINUATION INSURANCE COVERAGE THROUGH METLIFE WHEREAS, the City of Mayville currently provides Income Continuation Insurance coverage to eligible City employees through MetLife; and WHEREAS, the Common Council has determined that participation in the Wisconsin Department of Employee Trust Funds ("ETF") Income Continuation Insurance Program provides a comparable income continuation insurance benefit for eligible City employees while providing the City with an opportunity to reduce employee benefit costs; and WHEREAS, Wisconsin Statute § 40.61 authorizes the Wisconsin Department of Employee Trust Funds to administer an Income Continuation Insurance Program for participating public employers and employees; and WHEREAS, the City of Mayville is eligible to participate in the ETF Income Continuation Insurance Program; and WHEREAS, the City desires to terminate its current Income Continuation Insurance coverage through MetLife and participate in the ETF Income Continuation Insurance Program effective January 1, 2027, subject to the requirements and approval of ETF; and WHEREAS, the Common Council acknowledges that, as the employer, the City of Mayville is required to make a minimum employer contribution toward the cost of Income Continuation Insurance coverage, which contribution is equal to the gross premium applicable to the 180-day elimination period for covered employees, pursuant to the provisions governing the ETF Income Continuation Insurance Program; and WHEREAS, the City may elect to contribute additional amounts toward the cost of coverage associated with shorter elimination periods in accordance with the provisions of the ETF Income Continuation Insurance Program; and WHEREAS, the Common Council desires to authorize City staff to take all necessary administrative and procedural steps to terminate the City's MetLife Income Continuation Insurance coverage and establish the City's participation in the ETF Income Continuation Insurance Program without interruption of employee coverage. Page 6 of 11 2 Resolution #6088-2026 NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of Mayville, Dodge County, Wisconsin, as follows: Section 1. Termination of MetLife Coverage The City of Mayville's current Income Continuation Insurance coverage through MetLife is hereby authorized to be terminated in accordance with the terms and conditions of the City's existing agreement and applicable notice requirements, with the intent that such coverage terminate in connection with the City's transition to the Wisconsin ETF Income Continuation Insurance Program. Section 2. Participation in ETF Income Continuation Insurance The City of Mayville is hereby authorized to participate in the Wisconsin Department of Employee Trust Funds Income Continuation Insurance Program pursuant to Wisconsin Statute § 40.61 and all applicable rules, regulations, policies, procedures and requirements established by ETF. Section 3. Effective Date The City shall take all necessary steps to establish participation in the ETF Income Continuation Insurance Program with an intended effective date of January 1, 2027, subject to ETF approval and completion of all required enrollment, documentation and administrative requirements. Section 4. Employer Contribution The Common Council hereby acknowledges and accepts the City's obligation, as the employer, to pay the required minimum employer contribution toward Income Continuation Insurance coverage. The minimum employer contribution shall be an amount equal to the gross premium for the 180-day elimination period for covered employees, as established by ETF and pursuant to the provisions governing the Income Continuation Insurance Program. Any additional employer contribution toward coverage associated with a shorter elimination period shall be subject to further authorization by the City in accordance with applicable ETF requirements. Section 5. Authorization of City Staff The City Clerk/Executive Assistant, Comptroller/Treasurer, Mayor, and other appropriate City staff are hereby authorized and directed to take all necessary steps to implement this Resolution, including, but not limited to: 1. Providing notice to MetLife and taking the necessary steps to terminate the City's existing Income Continuation Insurance coverage; 2. Completing and submitting all applications, resolutions, agreements, forms and other documentation required by ETF; 3. Coordinating with ETF to establish the City's participation effective January 1, 2027; 4. Providing employees with information regarding the transition and any required enrollment materials; 5. Establishing appropriate payroll and administrative procedures necessary to implement the ETF program; and 6. Taking any other administrative action reasonably necessary to effectuate the City's transition from MetLife to the ETF Income Continuation Insurance Program. Page 7 of 11 3 Resolution #6088-2026 Section 6. No Interruption in Coverage City staff shall make reasonable efforts to coordinate the termination of MetLife coverage and commencement of ETF coverage so that eligible employees experience no unintended gap in Income Continuation Insurance coverage. Section 7. Severability If any section, subsection, paragraph, sentence, clause or phrase of this Resolution is for any reason held to be invalid or unconstitutional, such decision shall not affect the validity of the remaining portions of this Resolution. Section 8. Effective Date This Resolution shall take effect immediately upon its adoption by the Common Council. Introduced by: ________________________ Seconded by: ________________________ Vote: ____ Ayes ____ Nays Passed and approved: _________________ Joint Review Board Chairperson Attest: Anastasia Gonstead – Clerk/Executive Assistant Page 8 of 11 15 South School Street, PO Box 273, Mayville WI 53050 Phone: 920.387.7900 Fax: 920.387.7919 www.mayvillecity.com STAFF MEMO Meeting Date: September 14, 2026 To: Finance Committee and Common Council From: Anastasia Gonstead, Clerk/Executive Assistant Subject: Police Department Garage Driveway Approach and Sidewalk Repairs Background: The driveway approach and sidewalk along the Police Department garage are currently in disrepair and are in need of replacement. Given the condition of the area and the opportunity to address the work within the City's existing 2026 capital project budget, staff recommends consideration of completing these repairs at this time. The 2026 road reconstruction project is currently approximately $18,000 under budget, providing an opportunity to utilize a portion of the remaining project funds for the Police Department garage driveway approach and sidewalk repairs. Please note that the final pay request for the 2026 road reconstruction project remains pending, and the final project balance will not be confirmed until that request has been processed. Kunkel Engineering was able to obtain two quotes for the proposed work: • Hechimovich Masonry Construction, Inc.: $15,168.00 • Kopplin & Kinas Co., Inc.: $16,748.00 The quotes from both contractors will accompany this memorandum and provide the specific scope of work included in each proposal. Based on the available project budget and the condition of the existing driveway approach and sidewalk, the Common Council is asked to consider whether to proceed with the repairs and, if so, authorize the work with the selected contractor. Any authorization would remain subject to confirmation that sufficient funds remain available following payment of the final 2026 road reconstruction project pay request. Page 9 of 11 Kunkel Engineering Group 107 Parallel Street Beaver Dam WI 53916 920-210-6335 07/14/2026 Mayville Police Station Budget Numbers Take out and replace Sidewalk 5' x 76' x 6" Approach 7'-6" x 76' x 6" $15,168.00 Concrete, expansion, rebar, removal, sealed, gravel Page 10 of 11 KOPPLIN & KINAS CO., INC. W1266 Lawson Dr. Green Lake, WI 54941 (920) 294-6451 Fax (920) 294-6489 TO Phone Date Kunkel Engineering 7/15/2026 Fax Bid Date Job Name/Location Police Department Driveway - Mayville Attn Engineer Don Neitzel We here by submit specifications and estimates for: • Remove existing concrete approach & sidewalk • Supply & place 6” of CABC under approach • Repour with 6” of non-reinforced concrete 1 - LS = $16,748.00 Does not include • Gapping of approach for access • Excavation below subgrade due to unsuitable soils • Valve box repairs or adjustments **Kopplin & Kinas Co., Inc. reserves the right to withdraw this proposal at any date or time. ** We propose hereby to furnish material and labor – complete in accordance with the above specifications, for the sum of: ** See Above ** Payment to be made as follows: Please provide us with verification of method of payment. If payment in full is not received within thirty (30) days from the date of completed work, Kopplin & Kinas Co., Inc. intends to file a claim for lien on your property. All material is guaranteed to be as specified. All work to be completed Authorized In a workmanlike manner according to standard practices. Any alteration Signature Mike Myers / Mike Myers Or deviation from above specifications involving extra costs will be executed only upon written orders, and will become an extra charge over Note: This proposal may be and above the estimate. All agreements contingent upon strikes, withdrawn by us if not accepted within 30 Days accidents or delays beyond our control. Owner to carry fire, tornado and other necessary insurance. Our workers are fully covered by Workmen’s Compensation Insurance. Acceptance of Proposal – The above prices, specifications and conditions are Signature: ________________________________________ Satisfactory and are hereby accepted. You are authorized to do the work As specified. Payment will be made as outlined above. Date of Acceptance: _________________________________________ Signature: ________________________________________ AN EQUAL OPPORTUNITY EMPLOYER Page 11 of 11