HomeMy WebLinkAbout05.D- City Manager 5.D
DOC ID: 4131 A
CITY OF SAN BERNARDINO — REQUEST FOR COUNCIL ACTION
Agreement/Contract
From: Allen Parker M/CC Meeting Date: 11/02/2015
Prepared by: Nita McKay,
Dept: City Manager Ward(s):
Subject:
Resolution of the Mayor and Common Council of the City of San Bernardino Amending
Resolution No. 2007-345. Regarding the Establishment of Management/Confidential
Employee Compensation and Benefits Plan Between the City and
Management/Confidential Employees
Current Business Registration Certificate:
Financial Impact:
The Resolution for the Management/Confidential Association (SBCMA) is consistent
with the fiscal plan included in the City's Bankruptcy Plan of Adjustment. The estimated
cost for Fiscal Year 2015-16 is $313,900, which is included in the Adopted Operating
Budget approved by the Mayor and Common Council.
Motion: Adopt the Resolution.
Synopsis of Previous Council Action:
August 22, 2007 - Resolution No. 2007-345 - Resolution of the City of San Bernardino
Establishing a Management and Confidential Employee Compensation and Benefits
Plan and Repealing Resolution No. 2005-242.
July 9, 2014 - Resolution No. 2014-249 - Resolution of the Mayor and Common Council
of the City of San Bernardino Approving Side Letter Agreements with the
Management/Confidential (SBCMA), Middle Management (SBPEA) and General (IUOE)
Bargaining Units.
Background:
The term of the Management/Confidential Association (SBCMA) Resolution expired on
June 30, 2015. The City's negotiating team has been meeting with representatives from
the Management Confidential Employees group since April 2015 to reach the agreed
upon terms and conditions of employment detailed in the attached Resolution.
Both resolutions listed above remain in effect with the exception of the changes detailed
in the attached Resolution. These changes are summarized below.
1. Two year extension to the existing Resolution - July 1, 2015 through June 30,
2017.
2. Cost of Living Adjustment of 2% effective July 1, 2015 and 2% effective July 1,
2016.
3. Insurance (Medical, Dental & Vision): $975.00 per month for Employee Only
($949.87 in current Resolution) and $1,100.00 per month for Employee Plus
One/More Dependents ($949.87 in current Resolution); $2,500.00 per year for
those employees declining health/life insurance coverage from the City
Updated: 10/29/2015 by Georgeann "Gigi" Hanna A I Packet Pg. 53
4131
($2,000.00 in current Resolution). Employees will receive full value of stipend to
be utilized for insurance and deferred compensation.
4. Life Insurance - City to pay for: One times annual salary for Executive
Management ($50,000 in current Resolution), $75,000 for other Management
employees ($50,000 in current Resolution), and $50,000 for Confidential
employees ($25,000 in current Resolution).
5. At January 1 of each year, employees who have not used more than twenty (20)
hours of sick leave in the prior twelve month period will automatically receive a
cash payment of$250.
6. Holidays - Employees working a 4/10 work schedule will receive 10 hours of paid
holiday for the 12 City recognized holidays (employees working an 8 hour day
and those working a 9/80 work schedule will still be compensated for 9 hours per
holiday for the 12 City recognized holidays).
7. Jury Duty - The City will pay for all working days in a calendar year for an
employee who is required to serve jury duty (15 working days per year in current
MOU).
8. Administrative Leave - Additional administrative leave may be granted, up to a
maximum of 20 hours, with request in writing, including justification,
recommended by the employee's department head, and approved by the City
Manager (or Elected Official in non-manager directed departments) each fiscal
year. At June 30 of each year, any unused Administrative Leave up to 20 hours
will be automatically carried over to the following fiscal year. Administrative
Leave has no cash value.
9. Pre-Petition Leave Balances - Management/Confidential employees with pre-
petition leave balances (prior to August 1, 2012) will be allowed to utilize their
pre-petition leave balances, provided they use their post-petition leave balances
in the same leave category first.
10.The Management/Confidential Association (SBCMA) members shall support
confirmation of the Plan of Adjustment that incorporates this agreement.
Supporting Documents:
Management Confidential Employee Compensation and Benefits Resolution (DOC)
Updated: 10/29/2015 by Georgeann "Gigi" Hanna A Packet Pg. 54
N
1 RESOLUTION NO.2015- w
d
a�
2 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO
0
AMENDING RESOLUTION NO. 2007-345, REGARDING THE ESTABLISHMENT OF
3 MANAGEMENT/CONFIDENTIAL EMPLOYEE COMPENSATION AND BENEFITS PLAN BETWEEN E
THE CITY AND MANAGEMENT/CONFIDENTIAL EMPLOYEES
4 c
m
WHEREAS, it is necessary to codify the changes to compensation and benefits granted to management 'a
4
5 c
and confidential employees; U
6 NOW THEREFORE,BE IT RESOLVED THAT:
m
E
m
7 SECTION 1. The Mayor and Common Council hereby establish changes to Management and c
8 Confidential Employee Compensation and Benefits Plan detailed in Resolution No. 2007-345 to make the
following changes:
M
9 1. The term of this Resolution begins on July 1,2015 and extends through June 30,2017.If negotiations
10 regarding a Resolution establishing a compensation and benefits plan for the p
Management/Confidential Employees have not concluded by the time this Resolution expires, the o
0
11 terms of this Resolution shall remain in effect until a new Resolution is adopted by the Mayor and
12 Common Council. N
2. Compensation/Salaries—Effective July 1,2015,all Management/Confidential Employees will receive =
13 0
a Cost of Living Adjustment of 2% to their current salary ranges/steps. Effective July 1, 2016, all m
14 Management/Confidential Employees will receive an additional Cost of Living Adjustment of 2% to
c
their salary ranges/steps. o
15 *'
3. Insurance (Medical, Dental & Vision) — Effective January 1, 2016, the City will contribute: a) Cn
16 $975.00 per month towards the purchase of health care premiums for "Employee with No E
Dependents." and b) $1,100.00 per month towards the purchase of health care premiums for 0
17 U
"Employee Plus One or More Dependents." Any employee who chooses not to enroll in any health 4)
18 care plan offered by the City, must provide evidence of group health care insurance coverage and 0
a
execute a Waiver of Benefits and Release Agreement, releasing the City from any responsibility or W
19 _
liability to provide health care insurance coverage on an annual basis.Employees who do not enroll in t6
w
c
20 a City health care plan during open enrollment and execute the forms above,shall receive a stipend of a
21 $2,500.00 on December 15 of each year covered by this Resolution. Employees participating in this o
option are required to waive all medical, dental and vision coverage provided by the City. r
c
22 Management/Confidential Employees will be entitled to utilize the entire stipend detailed above in 3. E
m
23 a)and b). If employees in this group choose insurance coverage below the stipend amount,they may
c
choose to contribute the remaining amount towards additional life insurance or a City-provided cc
24 deferred compensation plan.
a�
25 4. Life and Accidental Death & Dismemberment (AD&D) Insurance — Effective January 1, 2016, the E
City shall provide Term Life and Accidental Death & Dismemberment Insurance of one times the @
Q
1 Management/Confidential
Packef:Pg 55
a
1 employee's annual salary for Executive Management, Seventy-five thousand dollars ($75,000)for all N
other Management employees,and fifty thousand dollars($50,000)for Confidential employees.
2 0
5. At January 1 of each year,Management/Confidential employees who have not used more than twenty a
3 (20)hours of sick leave in the prior twelve month period will automatically receive a cash payment of w
two hundred and fifty dollars($250). 0
4 =
6. Holidays—Effective July 1,2015,all full-time employees within the Management/Confidential group a
5 shall be entitled to twelve (12) City-designated holidays, the equivalent of one hundred eight(108) cc
U
6 holiday hours each year for those employees on a regular work schedule (8 hours per day Monday
d
through Friday) or a 9/80 work schedule and one hundred twenty (120) holiday hours each year for E
d
7 those employees on a 4/10 work schedule.
c
8
7. Jury Duty—The City will pay for all working days in a calendar year of a covered employee who is
required to serve jury duty.
M
9 8. Administrative Leave—Additional administrative leave may be granted,up to a maximum of twenty
10 (20) hours, with request in writing, including justification, recommended by the employee's o
department head,and approved by the City Manager(or the Elected Official in non-manager directed _3
11 0
departments)each fiscal year.At June 30 of each year,any unused Administrative Leave up to twenty
12 (20)hours will be automatically carried over to the following fiscal year. Administrative Leave has no N
cash value and shall not be paid out at any time. c
13 9. Pre-Petition Leave Balances — This section affects those Management/Confidential employees m
-o
14 employed by the City on the approval date of this Resolution who had existing leave accruals for
vacation leave,sick leave and holiday leave on August 1,2012. 0
15 r
• All vacation leave balances, sick leave balances and holiday leave balances that all w
c
16 employees in this bargaining group had accrued as of August 1, 2012 ("pre-petition leave") a
E
will be separated from post August 1, 2012 leave accruals ("post-petition leave") in each of U
17
these leave categories. m
m
18 0 Pre-petition leave balances, including vacation leave, sick leave and holiday leave, may be 0
0.
utilized by employees in this bargaining group. However, employees are required to utilize E
19 W
all post-petition leave accruals in each category before they utilize any pre-petition leave
20 accruals in the same leave category.
•21 Upon separation from employment with the City, employees will receive payment for any o
post-petition leave balances according to the terms and conditions outlined in their existing V
c
22 Resolution and the final paragraph of this section. £
0
23 • Upon separation from employment with the City, employees will not receive payment for 0
c
any pre-petition leave balances. The monetary value of all pre-petition leave bank accruals
24
will be placed in the unsecured creditors' pool and be the subject of distribution as part of
25 the bankruptcy unsecured creditors' pool. Upon final approval of the City's Plan of E
t
Adjustment by the Bankruptcy Court, any remaining pre-petition leave balances, although mu
Q
2 Management/Confidential
Packet,Pci.56
1 available for use by current employees, will have no cash value to current employees upon
N
separation from employment with the City.
2 0
• Upon separation from employment with the City, with the exception of post-petition a
3 vacation accruals,all post-petition leave accruals will be deferred pending the final approval w
4 and effective date of a Plan of Adjustment by the Bankruptcy Court.
10. The following Appendix is added:
4-
5 =
0
U
6 APPENDIX A to RESOLUTION c
0
E
7 Bankruptcy Provisions and Release of Claims:
c�
0
8
9 1. The changes to the resolution will become effective upon adoption by the Mayor and Common Council an
agreement by the Management/Confidential Association(SBCMA),provided however,that the Resolution
10 will become null and void and of no further effect if the City's Plan of Adjustment(Plan) is not approved o
by the Bankruptcy Court.
_0
11 0
N
d
2. The City will append the Resolution to its Plan of Adjustment, and the Plan and confirmation order shallN
12 provide for Court approval of the Resolution.
m
c
13 m
3. Under the Plan, all claims of the Management/Confidential Association (SBCMA) and its members with
14 respect to wages, pensions (including implementation of cost sharing and elimination of the EPMC 0
benefit), other benefits and other terms and conditions of employment that arose prior to the date of the 0
15 confirmation of the Plan, including, without limitations, all claims arising from the City's changes to the M
terms and conditions of employment (collectively the "Employment Related Claims"), shall be treated as d
16 general unsecured claims under the Plan, and the City and its officers shall be discharged from such a
Employment Related Claims upon confirmation of the Plan; provided, however, that any claims arising E
0
17 under the Resolution after it is executed by the City and the Management/Confidential Association U
(SBCMA),e.g. grievances,shall not be discharged as long as(a)the Management/Confidential Association
18 (SBCMA) complies with the terms of the Resolution, including this Appendix A, and (b) the Court p
confirms the Plan. a
E
19 W
R
20 4. The Management/Confidential Association (SBCMA) shall support confirmation of the Plan that d
incorporates the Resolution,including this Appendix A.
_
21 U
5. The City and the Management/Confidential Association(SBCMA) shall stipulate and agree on the amount 'r-
22 of the Employment Related Claims. The Management/Confidential Association (SBCMA) shall vote the E
full amount of the Employment Related Claims in favor of the Plan and shall indicate to the Court its Q
rn
23 support for confirmation of the Plan. m
_
�a
24 r
6. This Resolution, including this Appendix A, is not a solicitation by the City, and them
25 Management/Confidential Association (SBCMA's) commitment to vote the Employment Related Claims E
in favor of the Plan is not effective until the Court approves a Disclosure Statement that incorporates this U cc
Resolution. r
a
3 Management/Confidential
Packet Pg. 57
5D.a
1
N
0
0
2 SECTION 2.Resolution 2014-249,Section 1,Numbers 1 through 6 and Number 7,except that the excess c
sick leave banks are considered to be pre-petition leave and treated accordingly(refer to Number 9 above a
E
3 —Pre-Petition Leave Balances),Numbers 8 and 9,Section 2,and Section 3 remain in effect for the term of w
r
4 this Resolution. c
m
c
5 0
U
6
E
7
R
c
cg
4
4—
9 �-
10 0
Il 0
N
C.L
12 N
a.+
N
13 r�
14
c
0
15
16
E
0
17 U
0
0
18 0
a
E
19 w
�a
20
w
21 0
U
22
E
m
23
c
CU
24
c
25 E
U
Q
4 Management/Confidential
Packet Pg. 58
1
RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO
2 AMENDING RESOLUTION NO. 2007-345, REGARDING THE ESTABLISHMENT OF >,
MANAGEMENT/CONFIDENTIAL EMPLOYEE COMPENSATION AND BENEFITS PLAN BETWEEN a
3 THE CITY AND MANAGEMENT/CONFIDENTIAL EMPLOYEES E
i�
4 c
I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor an a
4=
5 r-
0
Common Council of the City of San Bernardino at a meeting thereof,
6 =
m
7 held on the day of , 2015,by the following vote, to wit:
�a
_
cu
8 Council Members: AYES NAYS ABSTAIN ABSENT
r
9 MARQUEZ
10 BARRIOS °
0
11 VALDIVIA d
12
SHORETT w=
0
13 d
NICKEL 0°
14
JOHNSON _
0
15 *�
MULVIHILL
_
16 Q.
E
0
17 U
m
m
18 Georgeann Hanna, City Clerk o
CL
E
19 w
The foregoing Resolution is hereby approved this day of , 2015.
20 a=i
4-
21 0
V
R. Carey Davis, Mayor
22 City of San Bernardino E
0
as
23 Approved as to form:
24 Gary D. Saenz, City Attorney
r
C
d
25 E
t
By:
0
a
5 Management/Confidential
Packe#:Pg.59