The Steelville Board of Aldermen on June 16 approved adding a 3 percent cost of living (cola) adjustment for city employees to the 2026-27 fiscal year payscale and adjusting vacation days.

Treasurer Regina Slovensky brought into discussion that Mayor Duanne DeRennaux asked for a 2 percent and 3 percent cola adjustment.

Slovensky agreed to move forward with the 3 percent cola adjustment and asked the board for approval. The city did not approve a cola adjustment last year.

Alderman Curtis Crouch said approving a 3 percent cola adjustment would be doable because revenue was stronger than he anticipated.

“If we do a 3 percent cola we’ll be at 29.9 percent of our budget. Which is slightly under the 30 percent limit that I personally hold onto,” said Crouch.

Crouch said he anticipates next year’s revenue to not be as strong as it was for this year.

Alderman Jason Ward said he was in favor of approving the cola increase because approving the payables brings the city under 30 percent of their budget.

The budget goes toward employee salaries, social security and the Missouri Local Government Employees Retirement System (LAGERS). LAGERS provides retirement services for municipal government employees across the state.

Crouch said employee uniforms are not included in the budget.

“If we’re looking at this right, we’re talking about two-thousandths of a percent increase from 2 to 3 percent?” asked Ward.

“Right,” said Crouch. “It’s more beneficial to go ahead and have that.”

Crouch said it gives city employees more buying power adjusted for inflation.

Ward made a motion to approve the 3 percent cost of living adjustment. The board approved his motion with a 4-0 vote.

DeRennaux revisited the payscale discussion about adjusting vacation days for city employees.

“Vacation is currently years of continued service,” said Slovensky.

Employees that have worked for six years have two weeks and one day off. Employees that work for seven years have two weeks and two days off. Service for eight years is three added vacation days along with two weeks. Employees that work between 10 to 19 years have three weeks of vacation. To obtain four weeks of vacation an employee must have 20 years of service.

Before an employee is eligible for one week of vacation they must work for a full year.

Slovensky introduced changes to employees’ vacation time.

“It has been proposed that in one year you have one week. Which is of course after the probationary period is over. Then two years is two weeks, five years three weeks and 10 years four weeks,” said Slovensky.

DeRennaux said vacation should top out at four weeks.

“The department heads (Chief of Police) Mike Sherman and (Public Works Director) Jason Evans would regulate their manpower,” said DeRennaux.

He said Sherman and Evans would make sure their employees are not taking off the same dates.

Alderman Bill Bennett asked if enacting the vacation policy could be in an ordinance.

Slovensky said approving the vacation time changes in the meeting, along with the payscale adjustments, would help them create an ordinance in the future.

Crouch made a motion to enact the new vacation policy along with the payscale adjustments. Bennett seconded the motion. It passed with a 4-0 vote.

The new vacation policy will go into effect on July 1 and pertains to time already occurred.

In other news, Doug Carr, the administrative vice president of Missouri Solar Applications was approved for a business license to place solar panels at the Perkins Lumber Company location in Steelville.

The next board meeting will be at 6 p.m. on Tuesday, July 7, at City Hall.