HomeMy WebLinkAbout22-Human Resources ORIGINAL
CITY OF SAN BERNARDINO — REQUEST FOR COUNCIL ACTION
From: Linn Livingston Subject: RESOLUTION ADOPTING
THE TERMS AND CONDITIONS OF
Dept: Human Resources EMPLOYMENT FOR THE FIRE
SAFETY EMPLOYEES
Date: February 15, 2011
M/CC Meeting Date: Feb. 22, 2011
Synopsis of Previous Council Action:
On February 7, 2011, the Mayor and Common Council held an impasse procedure and
imposed the City's Last, Best, and Final offer on the Fire Safety Employees.
Recommended Motion:
Adopt Resolution.
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Signatu
Contact person: Phone:
Supporting data attached: Ward:
FUNDING REQUIREMENTS: Amount: $1,700,000 savings
Source: (Acct. No.)
(Acct. Description)
Finance:
Council Notes: �rzso
Agenda Item No.
6,2'
CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION
Staff Report
Subiect•
Resolution adopting the terms and conditions of employment for the Fire Safety Employees.
Background:
After several months of negotiating in good faith, the City has been unable to reach agreement
with the Fire Safety Employees. At the direction of the Mayor and Common Council, and in
compliance with Resolution No. 10584, an impasse procedure was held on February 7, 2011 in a
last effort to reach an agreement. After listening to both sides, and considering the City's
continued budget deficit, the Mayor and Common Council made a motion to impose the City's
Last, Best, and Final offer. Per the direction of the Mayor and Common Council, attached are the
final documents to impose the City's Last, Best, and Final offer on the Fire Safety Employees
through June 30, 2011.
Financial Impact:
Anticipated budget savings of$1,700,000 for FY 2010-11.
Recommendation:
Adopt Resolution.
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RESOLUTION NO.
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RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE F . 2Q �v
BERNARDINO ADOPTING THE TERMS AND CONDITIONS OF EMPLOYMENT
FOR THE FIRE SAFETY EMPLOYEES.
1
2 WHEREAS, in meeting its commitments to the citizens of the City of San
3 Bernardino to maintain a safe and secure community while providing access to
4 cultural, recreation and governmental activities and institutions to all citizens, the
5 City has employed a workforce; and
6 WHEREAS, most City employees are entitled to collectively bargain with
7 the City regarding terms and conditions of employment; and
8 WHEREAS, eighty percent of the City's general fund expenditures are
9 related to salaries and benefits for its employees; and
10 WHEREAS, despite cost savings measures previously taken by the City,
11 its general fund revenues have been extensively depleted by the ongoing
12 recession; and
13 WHEREAS, revenues are projected to continue to decline significantly for
14 the 2010111 fiscal year; and
15 WHEREAS, in an effort to further reduce costs, the City proposed a ten
16 (10) percent salary and benefit concession for all represented employees and
17 implementation of a new lower tier of retirement benefits for new employees; and
18 WHEREAS, the City negotiated in good faith with the represented
19 bargaining units for a period of six months over the terms and conditions under
20 which this salary concession and new tier of retirement benefits would be
21 implemented; and
22 WHEREAS, the City has reached agreement or furloughed all the
23 bargaining units except one; and
24 WHEREAS, the City was unable to reach agreement with the Fire Safety
25 Employee Unit notwithstanding having met on seven separate occasions; and
26
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RESOLUTION NO.
RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN
BERNARDINO ADOPTING THE TERMS AND CONDITIONS OF EMPLOYMENT
FOR THE FIRE SAFETY EMPLOYEES.
1
2 WHEREAS, the City made a last, best, and final offer on November 20,
3 2010, which included a salary concession of $806 per month subject to
4 retroactive adjustments to November 1, 2010; two-tier retirement formula;
5 employee pick-up of Employer Paid Member Contributions (EPMC) over a 15
6 year period; continuation of MOU articles B, D, F, and G of side letter 2009-140;
7 employer health insurance contribution freeze; sick leave cap; and new overtime
8 language; and
9 WHEREAS, having met with the Fire Safety Employees on January 24,
10 2011 and participated in an Impasse Resolution meeting and having not reached
11 agreement, the parties have completed the impasse procedures contained in the
12 City of San Bernardino Resolution No. 10584; and
13 WHEREAS, having completed the negotiation process including impasse
14 procedures, the City may implement its last, best and final offer pursuant to
15 Government Code Section 3505.4.
16 NOW THEREFORE, THE MAYOR AND COMMON COUNCIL OF THE CITY
OF SAN BERNARDINO HEREBY RESOLVES AS FOLLOWS:
17
18 SECTION 1. The following terms and conditions of employment for
19 bargaining unit members represented by Local 891 of the International
20 Association of Firefighters, AFL-CIO are approved and adopted for
21 implementation effective November 1, 2010:
22 1. For the period commencing the payday of February 28, 2011 and
23 continuing through June 30, 2011, the City will implement a salary
24 concession of $1432.88 per month. This amount is adjusted from the
25 City's Last, Best, and Final offer to reflect that the retroactive amount
26 due is deducted on a pro-rata basis over the remaining pay periods
27 between implementation and June 30, 2011;
28
RESOLUTION NO.
RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN
BERNARDINO ADOPTING THE TERMS AND CONDITIONS OF EMPLOYMENT
FOR THE FIRE SAFETY EMPLOYEES.
1
2 2. Individuals hired on or after February 22, 2011 shall pick-up 9% of the
3 EPMC cost. After one year of full time employment the City will pay
4 1%; after five years the City will pay 2%; after ten years the City will
5 pay 3%; after fifteen years the City shall pay 6%.
6 3. Effective February 22, 2011 the City of San Bernardino will amend the
7 current PERS contract to provide a two-tier retirement benefit of 3% @
8 55 for all employees hired on or after the contract amendment approval
9 date.
10 4. Effective February 22, 2011, the City will adopt articles B, D, F, G of
11 Side Letter 2009-140 attached hereto as Exhibit "A", with changes, as
12 follows:
13 D. "Employees will sell back a minimum of 48 hours of vacation
14 leave on or before June 30, 2011. All sell back forms will be submitted
15 to the Finance Department by May 31, 2011."
16 5. Employees hired on or before June 30, 2010, will accrue sick leave at
17 the rate of 4.0 hours per semi-monthly pay period for employees
18 scheduled to work 40 hours per week, or 6.0 hours per semi-monthly
19 pay period for shift employees, with no limit as to the number of
20 days/shifts that may accrue. Employees hired after July 1, 2010 shall
21 have a sick leave maximum accumulation of 480 hours.
22 6. Beginning health plan year 2011, effective January 1, 2011 the City
23 shall contribute a flat rate of$571.66 for employee only and $992.56
24 for employee +1/family per month for each employee to be used to
25 purchase City medical, dental, vision, and life insurance. The City
26 contribution amount is based on the employee's medical selection.
27 Any City contribution not used by the employee shall revert to the City.
28
RESOLUTION NO.
RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN
BERNARDINO ADOPTING THE TERMS AND CONDITIONS OF EMPLOYMENT
FOR THE FIRE SAFETY EMPLOYEES.
1
2 7. Definition: Overtime is defined as all hours worked in excess of the
3 established 7 (k) work period. All overtime shall be reported
4 increments of six (6) minutes and is non-accumulative and non-
5 payable when incurred in units of less than six (6) minutes. Overtime
6 will be paid in accordance with FLSA standards.
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RESOLUTION NO.
RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN
BERNARDINO ADOPTING THE TERMS AND CONDITIONS OF EMPLOYMENT
FOR THE FIRE SAFETY EMPLOYEES.
1
2 1 HEREBY CERTIFY that the foregoing Resolution was duly adopted by
3 the Mayor and the Common Council of the City of San Bernardino at a joint
4 regular meeting thereof, held on day of , 2011,
5 by the following vote, to wit:
6
7 COUNCILMEMBERS: AYES NAYES ABSTAIN ABSENT
8 MARQUEZ
9 VACANT
10 BRINKER
11 SHORETT
12 KELLEY
13 JOHNSON
14 MCCAMMACK
15
16
Rachel G. Clark, City Clerk
17
18 The foregoing resolution is hereby approved this day
19 of , 2011.
20
21
22 Patrick J. Morris, Mayor
City of San Bernardino
23 Approved as to form:
JAMES F. PENMAN,
24 City Attorney
25
26
27 G� ``'
28
2009-140 Exhibit A
SIDE LETTER AMENDMENT/AGREEMENT TO RESOLUTION 2006-66
FIRE SAFETY EMPLOYEES
This Side Letter amends the current language in Resolution 2006-66 for full-time, Fire Safety
Employees, amending the current language in Article III, Compensation: Section 1, Salaries,
Subsection(A); Article IV, Fringe Benefits: Section 1,Health/Related Insurance, Subsection(C);
Article IV, Fringe Benefits: Section 4, Deferred Compensation; Article IV, Fringe Benefits:
Section 7, Vacation and Holiday Sell-Back; Article IV, Fringe Benefits: Section 8, Welfare
Benefit Trust; Article V, Leave Provisions: Section 1, Vacation, Subsection (E); adding Article
IV, Fringe Benefits: Section 9, Post Employment Health Plan Programs; Article V, Leave
Provisions: Section 7, Budget Concession Leave; and Article VII, General Provisions, Section 2,
Term, by adding the following language to the referenced articles, sections and subsections:
A. ARTICLE III, COMPENSATION: SECTION 1, SALARIES, SUBSECTION(A)
"For the temporary period commencing with the payroll period beginning June 1, 2009
and continuing through June 30, 2010, employees agree to participate in an 8.7%
`Negotiated Concession' to the City. The negotiated concession is a line item deduction
on each employee's paycheck based on their current base salary."
B. ARTICLE IV FRINGE BENEFITS: SECTION 1 HEALTH/RELATED INSURANCE
SUBSECTION(C)
"On or before January 1, 2010, the City will establish a medical benefit cash-out
program for employees who opt out of the City's healthcare plans."
C. ARTICLE IV FRINGE BENEFITS: SECTION 4 DEFERRED COMPENSATION
"The City agrees to contact its healthcare vendors to determine if the City's current
contracts can be amended to allow for the transfer of deferred compensation deposits to
pay for medical premiums, up to a maximum of$3,000 annually. Annual program costs
shall not exceed $500 and will be paid by the City. The City agrees to update the Union
on a regular basis of issues and/or progress."
D. ARTICLE IV FRINGE BENEFITS: SECTION 7 VACATION AND HOLIDAY SELL-
BACK
"Effective June 1, 2009, employees will sell back a minimum of 48 hours of vacation
and/or holiday time on or before June 30, 2009. Beginning July 1, 2009, employees will
sell back an additional 48 hours of vacation and/or holiday time before June 30, 2010.
Employees who do not have a holiday/vacation balance of 48 hours on or before June 30,
2009 will sell back 96 hours of time in fiscal year 2009/2010. For fiscal year 2009/2010,
all sell back forms will be submitted to the Finance Department by May 31, 2010.
A minimum of 24 hours must be requested per sell back and employees will be allowed
to sell back holiday or vacation time anytime throughout the fiscal year.Beginning June
1, 2009, employees may sell back holiday and/or vacation time up to six (6) shifts of
holiday and ten(10) shifts of vacation on a fiscal-year basis at anytime throughout the
fiscal year as long as a minimum of 24 hours is requested per sell-back and does not
result in a negative vacation balance."
E. ARTICLE IV FRINGE BENEFITS: SECTION 8 WELFARE BENEFIT TRUST
"If the Firefighters Union can satisfy the City's liability concerns, the City will move
forward to process pre-tax Voluntary Employee Benefit Association (VEBA)
contributions (if applicable) through payroll deductions."
F. ARTICLE IV, FRINGE BENEFITS:
• "SECTION 9, POST EMPLOYMENT HEALTH PLAN(PEHP) PROGRAMS
The City will establish the following Post Employment Health Plan (PEHP) programs:
„. 1. 401 (a) Accumulated Benefit Conversion Program
2. Universal Reimbursement Account
3. Insurance Premium Reimbursement Account"
G. ARTICLE V LEAVE PROVISIONS: SECTION 1 VACATION, SUBSECTION (E)
"Effective June 1, 2009, vacation credits may accumulate an additional 15% as follows:
Cap with 15%
Current Cap Increase
240 276
360 414
480 552"
H. ARTICLE V, LEAVE PROVISIONS:
"SECTION 7: BUDGET CONCESSION LEAVE
Effective June 1, 2009, and continuing through June 30, 2010, employees will accrue
four (4) hours of paid leave time per week. The hours will be scheduled in accordance
with established departmental policy and will have no expiration date or cash value
except for Fire Safety employees who retire prior to June 30, 2010, who will be
compensated for 50% of the accumulated leave hours. Employees will not use leave time
prior to July 1, 2010."
I. ARTICLE VII, GENERAL PROVISIONS: SECTION 2, TERM
"Effective July 1, 2009, the term of this Memorandum of Understanding (MOU) extends
through June 30, 2010."
The City and members of the Fire Safety Employees agree that if the economy were to improve
prior to June 30, 2010, the following"trigger" language would be followed:
"The City agrees to restore the ten percent (10%) employee concession prior to
June 30, 2010, if the City receives a Federal or State bailout or other windfall that
can be applied to the General Fund with no limitations equal to or greater than
75% of the City's total projected deficit for that year."
DATE: ATTEST:
ity Clerk
FOR THE CITY: REPRESENTATIVES OF:
FIRE SAFETY EMPLOYEES
C HAKf f§`RCT,1fE , G anager San Bernardino City Professional Firefighters
City f San Bern lY
Local 891
u -
LIV §TON, J
rector of Human Resources WV
JAks F. Penman
y Attorney