HAMMOND - The City Council plans to vote June 21 on adopting its proposed $34 million budget for the 2011-12 fiscal year, a spending plan that includes a new round of pay raises for city employees.

Under an agreement worked out between Mayor Mayson Foster and the council, raises would be given according to the following formula:

• Employees with service from one to 20 years will get a 2 percent raise.

• Employees with 21 to 30 years of service would receive a 1 percent pay increase.

• Employees with more than 30 years on the job and those earning more than $75,000 a year would also get a 1 percent pay raise.

This schedule of raises is similar to the raises given city workers last year.

Other business the council dealt with Tuesday included:

CEMETERY FEES: The council agreed to set for public hearing an ordinance that would amend the city’s cemetery fees.

If approved on June 21, fees in Holly Gardens and Greenlawn cemeteries will be increased on a sliding scale.

Depending on locations within the cemeteries, lot prices would be increased by $50, $75 or $125. Prices for entombment in the mausoleums will also be upped on a scale determined by the mausoleum used.

NEW CONTRACTS: The council voted unanimously to award two contracts to Lawson-Bonnet Construction for capital improvements.

A $753,946 contract will fund construction of a road extension on Hammond Area Economic Industrial Development District Drive, also known as HAEIDD Drive, that will connect the Hammond Area Recreational Department’s new park with Airport Road.

A $72,800 contract would pay for relocation of a sewer force main on J.W. Davis Drive where a new concrete bridge will replace a wooden structure.

HOLIDAY SCHEDULE: Non-civil service city employees will be given 12 paid holidays during the coming fiscal year which starts July 1.

City worker holidays will be off on Independence Day, Labor Day, Veterans Day, Thanksgiving and the day after Thanksgiving, Christmas Eve and Christmas Day, New Year’s Eve and New Year’s Day, Martin Luther King Jr. Day, Good Friday and Memorial Day.

Foster said civil service employees have a slightly different holiday schedule and that he is working on a plan that would award holidays to both groups of employees on the same dates.