ECONOMY COATING SYSTEMS, INC.
POLICY FOR A DRUG FREE WORKPLACE


THIS POLICY SHOULD NOT BE CONSTRUED AS A CONTRACT OF EMPLOYMENT. The company reserves the right to change, terminate or to deviate from this policy at any time. Nothing in this policy is intended, nor should it be construed, as requiring "cause" for termination or otherwise altering the at-will nature of the employment relationship. Employment of a company employee may be terminated at any time with or without cause.

I. STATEMENT OF PURPOSE


It is the intention of Economy Coating Systems, Inc. (hereinafter "Company") to ensure a drug free workplace. This substance abuse policy is adopted pursuant to Iowa Code Section 730.5 as amended by H.F. 299 and S.F. 2391 of the Iowa legislature. This policy does not apply to employees required to be tested pursuant to federal statutes, federal regulation, or a decision issued pursuant to federal law.
Our intention is to prevent use of illegal drugs and to encourage those who use illegal drugs to seek help in overcoming their problem.

II. PRE-EMPLOYMENT DRUG TESTING


A. Drug Testing As A Condition of Employment. The Company will conduct a drug test of prospective employees after a conditional offer of employment has been made. The purpose of the test has been designed to prevent hiring individuals who use illegal drugs or who abuse illegal drugs.
B. Drug Testing Procedures. The prospective employee may provide any information which may be relevant to the drug test. Such information may include identification of prescription or non-prescription drugs currently or recently used or any other relevant medical information. To the extent feasible, all precautions will be taken to ensure that the testing only measures and the records concerning the test only make use of information regarding drugs in the body. The following is a list of drugs for which testing will be conducted:

C. Qualification for Employment. All offers of employment are conditioned on the prospective employee receiving a "negative" report on the drug screen. If that qualification is not met, the prospective employee will be deemed "not qualified," and the conditional offer of employment that has been extended will be withdrawn. If a prospective employee refuses to provide a testing sample, the conditional offer of employment will be withdrawn.
D. Drug testing of a Prospective Employee whom is a Minor. If a prospective employee is a minor the Company shall provide a copy of this written policy to a parent of the prospective employee and the Company shall obtain a receipt of acknowledgment from the parent that a copy of the policy has been received. Providing a copy of the written policy to a parent of a minor by certified mail, return receipt requested, shall satisfy the requirement of notice under this Policy. If a confirmed positive drug test for an employee who is a minor is reported to the Company by the medical review officer, the Company shall notify both the employee and the designated parent of the employee by certified mail, return receipt requested. In notifying a parent the Company shall rely on information regarding the identity of a parent as provided by the minor employee. For purposes of this policy a minor means an individual who is under 18 years of age and is not considered by law to be an adult, and "parent" "means one biological or adoptive parent, a step-parent, or a legal guardian or custodian of the minor."

III. WORK RULES


A. Legal Drugs. An employee may bring to work and take a prescription drug during work hours only if the drug has been prescribed for the employee by a physician or other authorized prescriber, and only if the drug is taken in accordance with the prescriber's directions. All prescription drugs must be kept in the container in which they were received from the pharmacy or other dispenser.
B. Over-The-Counter-Drugs. An employee may bring to work and take an over-the-counter drug during work hours only if the drug is used for its intended purposes and in accordance with package directions and any supplemental directions of the employee's physician.
C. Notification. An employee must notify the general manager of the Company whenever he or she is using a prescription or over the counter drug which potentially may affect safety or work performance. The employee should rely on the warnings or cautions that are received with the particular lawful drug. The Company does not seek information on all drugs that an individual may be taking, but only those where there is an indication that the drug may effect performance or that there is a caution that one should not engage in certain activities which are part of that employee's job duties while taking that drug. The Company reserves the right to take appropriate action if the use of the drug is impairing or is deemed likely to impair the employee's faculties or work performance.
D. Abuse. Abuse of legal drugs will not be tolerated and will be dealt with in the same manner as the use of a controlled substance.
E. Illegal Drug Possession, Use, or Transfer. Except as otherwise provided in paragraph A above concerning use of legal drugs, an employee bringing or attempting to bring onto the Company's premises or property, or to any Company work site, having possession of, using, consuming, selling, transferring, or attempting to sell or transfer, any prescription drug or form of controlled substance, or any "look alike" substance, while on Company business or at anytime during the hours between the beginning and ending of the employee's work day, whether or not on duty or whether or not on Company business or property, is guilty of misconduct and is subject to discipline including discharge or suspension without pay, even for the first offense.

IV. EMPLOYEE DRUG TESTING


A. Testing for Reasonable Suspicion. An active employee will be required to submit to a drug test when there is "reasonable suspicion" that an employee is using or has used drugs in violation of this policy. This evidence must be drawn from specific objective and articulable facts and reasonable inferences drawn from those facts in light of experience. For purposes of this policy, facts and inferences may be based upon, but not limited to, any of the following.
  1. Observable phenomena while at work such as direct observation of drug use or abuse or of the physical symptoms or manifestations of being impaired due to drug use.
  2. Abnormal conduct or erratic behavior while at work or a significant deterioration in work performance.
  3. A report of drug use provided by a reliable and credible source.
  4. Evidence that an individual has tampered with any drug test during the individual's employment with the Company.
  5. Evidence that an employee has caused an accident while at work which resulted in an injury, if suffered by an employee, a record or report could be required under Chapter 88 of the Code of Iowa (OSHA reporting), or resulted in damage to property including to equipment, in an amount reasonably estimated at the time of the accident to exceed $1,000.00.
  6. Evidence that an employee has manufactured, sold, distributed, solicited, possessed, used, or transferred drugs while working on the Company's premises or while operating the Company's vehicle, machinery, or equipment.

The list of drugs set forth in paragraph B of Section II are the drugs that will be tested for.
B. Unannounced Random Testing of Current Employees. Employees are subject to drug testing to be conducted on a periodic basis, without advance notice of the test to employees subject to testing prior to the day of testing and without individualized suspicion.
  1. Employee Population to be tested. The entire employee population of Economy Coating Systems, Inc. is subject to unannounced drug testing.
  2. Manner of Testing. The selection of employees to be tested from the pool of employees subject to testing shall be done based on a natural and selective process by an entity independent from the Company and shall be made by a computer-based random number generator that is matched with the employees' social security numbers, payer identification numbers, or other comparable identification numbers in which each member of the employee population subject to testing has an equal chance of selection for initial testing, regardless of whether the employee has been selected or tested previously. The random selection process shall be conducted through a computer program that records each selection attempt by date, time, and employee number. Employees all have an equal chance of selection. At the time the sample is collected, an employee may provide any information which may be relevant to the drug test. Such information may include identification of prescription or non-prescription drugs currently or recently used or any other relevant medical information. To the extent feasible, all precautions will be taken to ensure that the testing only measures and the records concerning the testing only make use of information regarding drugs in the body. The list of drugs set forth above in paragraph B of section II are the drugs that will be tested for.
  3. Test Scheduling. Drug testing shall normally occur during, or immediately before or after a regular work period. The time required for testing, including travel is considered work time for purposes of compensation and benefits. The Company shall provide transportation or pay reasonable costs of transportation to employees if a drug sample collection is conducted at a laboratory other than the employee's normal work site.
  4. Cost of Testing. Except for a second test requested by an employee, the Company shall pay for the test of all drug testing of employees and prospective employees.
C. Testing of Employee's Who Are Minors. If any employee is a minor, the Company shall provide a copy of this written policy to a parent of the employee and shall obtain a receipt or acknowledgment from the parent that a copy of the policy has been received. Providing a copy of the written policy to a parent of a minor by certified mail, return receipt requested, shall satisfy the requirements of this notice under the policy. If a confirmed positive drug test for an employee who is a minor is reported to the Company by the medical review officer, the Company shall notify both the employee and a parent of the employee by certified mail, return receipt requested. In providing information or notice to a parent as required by this policy, the Company shall rely on the information regarding the identity of a parent as provided by the minor employee. For purposes of this policy a minor means an individual who is under 18 years of age and is not considered by law to be an adult, and "(means one biological or adoptive parent, a step-parent, or a legal guardian or custodian of the minor)."

V. DESIGNATION AND COLLECTION OF SAMPLES FOR ALL DRUG TESTING


A. Collection of Samples. The Company may designate the type of samples to be used for testing. The Company may require a presentation of reliable individual identification from the person being tested to the person collecting the samples. Collection of the sample shall be in conformance with the following paragraph.
B. Manner of Collection. The collection of samples shall be performed under sanitary conditions and with regard to the privacy of the individual from whom the specimen is being obtained and in a manner reasonably calculated to preclude contamination or substitution of the specimen. If the sample collected is urine, procedure shall be established to provide for individual privacy in the collection of the sample unless there is a reasonable suspicion that a particular individual subject to testing may alter or substitute the urine specimen to be provided or has previously altered or substituted a urine specimen provided pursuant to a drug or alcohol test. For purposes of this paragraph, "individual privacy" means a location at the collection site where urination can occur in private, which has been secured by visual inspection to insure that other persons are not present, which provides that undetected access to the location is not possible during urination, and which provides for the ability to effectively restrict access to the location during the time the specimen is provided. If an individual is providing a sample and collection of the sample is directly monitored or observed by another individual, the individual that is directly monitoring or observing the collection shall be of the same gender as the individual for whom the sample is being collected.

VI. EMPLOYEE DISCIPLINE IN CONNECTION WITH DRUG TEST


A. Refusal To Submit To A Drug Test. An employee's refusal to submit to a drug test when requested to do so will subject the employee to immediate discharge.
(1) Confirmed Positive Drug Test. If a confirmed positive drug test is reported to the Company by the medical review officer, the Company shall notify the employee in writing by certified mail, return receipt requested of the results of the test, of the employee's' right to request and obtain an confirmatory test of the second sample collected in accordance with Iowa law at an approved laboratory of the employee's choice, and the fee payable by the employee to the Company for reimbursement for expenses concerning the second test.
B. First Positive Drug Test Result. An employee's first confirmed positive drug test will result in the employee's immediate termination.

VII. NOTICE OF EMPLOYEE ASSISTANCE SERVICE PROVIDERS


A. The Company maintains a resource file of employee assistance service providers with respect to drug abuse programs certified by the Iowa Department of Public Health, mental health providers and other persons, entities and organizations available to assist employees with personal or behavioral problems. The resource file is available to all employees who seek information concerning substance abuse. A summary of the information contained in the resource file is available to every employee upon request.

VIII. DEFINITIONS


A. The definitions set forth in Iowa Code Section 730.5(1) are hereby adopted by reference.
.