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A. The Council shall, by ordinance, provide for the establishment of a merit system through the adoption of personnel policies for the purpose of regulating and controlling the appointments of officers and employees of the City. Such ordinance shall define those employees that shall be covered by the merit system and those which shall be excluded and serve on an "at-will" employment status with the City. Elected officials, City Manager, City Attorney, and presiding judge shall not be included in the merit system.

B. The City Council shall have the right, by ordinance, to govern the process of setting employee wages, hours, benefits and working conditions with employees, employee groups or their representatives.