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11.2 Vacation Accruals Each eligible employee shall accrue vacation as follows: Years of Continuous Service Accrual Rate Per Month First through fourth 6.667 Fifth through ninth 10.000 Tenth through fourteenth 13.334 Fifteenth 14.000 Sixteenth 14.667 Seventeenth 15.334 Eighteenth 16.000 Nineteenth and above 16.667 The maximum monthly accrual rate shall be 16.667 hours. An employee, except a probationary employee, may be allowed to incur a forty(40) hour deficit beyond his/her accrued vacation. 11.3 Vacation Accumulation An employee will be allowed to have an accumulation of no more than two (2) year's vacation accrual to his/her credit at any one time. 11.4 New Vacation Cap and Implementation A. New Vacation Cap Effective January 1, 2013,the vacation cap shall change to four hundred (400)hours. Thereafter, at any time an employee reaches four hundred(400)hours,the employee will cease accruing vacation until such time as the balance falls below the cap. After January 1, 2013, no employee will be allowed to accrue vacation hours above the cap. However, in the event an employee has requested to take vacation but been denied or there were other circumstances that prevented the employee from taking vacation,the employee may submit a written request to the City Manager, or designated Assistant City Manager, for special consideration to carry over vacation balances beyond four hundred(400)hours. B. Implementation Effective February 1, 2012, any vacation hours in excess of three hundred (300) will be placed in a separate vacation bank. 11.5 Separate Vacation Bank Effective February 1, 2012, any accrued vacation in excess of three hundred (300) hours will be placed in a separate Vacation Bank for each affected employee. Employees shall be entitled to use or sell the hours in the Bank for vacation or for extended leave in the same manner as regular vacation hours. The hours shall be paid out at the pay rate of the employee when utilized. 9