005828.00027
38781409.1
THE CITY OF
MEMORANDUM OF UNDERSTANDING
BETWEEN
THE CITY OF BARSTOW
AND
THE BARSTOW MANAGEMENT EMPLOYEES’ASSOCIATION
UNIT 6
JULY 1, 201822 -- JUNE 30, 20252
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BARSTOW MANAGEMENT EMPLOYEES’ ASSOCIATION
UNIT 6
MEMORANDUM OF UNDERSTANDING
SECTION 1 - GENERAL PROVISIONS
ARTICLE 1 - PREAMBLE
This Memorandum of Understanding (Agreement) is made and entered into by and between the City of Barstow (City) and the Barstow Management Employees’ Association (Association), pursuant to the Meyers-Milias-Brown Act of the State of California, the Barstow Municipal Code, and the Personnel Policies and Procedures of the City of Barstow.
It is the intent and purpose of this Agreement to set forth the understanding reached between the Association and the City as a result of meeting and conferring in good faith regarding, but not limited to, matters relating to the wages, hours, and terms and conditions of employment between employees represented by the Association and representatives of the City. The parties affirm their mutual commitment to the goals of respecting and valuing people, effective and efficient public service, sound and responsible management, and amicable employer-employee relations.
ARTICLE 2 - RECOGNITION AND SCOPE OF REPRESENTATION
During the term of this Agreement, the City recognizes that the following positions shall be represented by the Association:
Accountant
Administrative Analyst
Administrative Services Manager
Assistant Finance Director
Assistant to the City Manager
Building Official
Chief Wastewater Treatment Plant Operator
City Clerk Services Manager
City Engineer
City Planner
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Code Compliance Supervisor
Economic Development Administrator
Economic Development Manager
Economic Development & Planning Manager
Economic Development Specialist
Engineering Services Administrator
Environmental Services Administrator
Executive Assistant
Facility Maintenance Supervisor
Field Services Supervisor
Fleet Maintenance Supervisor
Human Resources Manager
Industrial Pretreatment Superintendent
IT Manager
IT Superintendent
Parks & Open Space Supervisor
Parks & Recreation Superintendent
Personnel Services Coordinator
Planning & Environmental Services Administrator
Police Services Supervisor
Project Coordinator- Field Inspection
Project Coordinator- Industrial Pretreatment
Project Coordinator- Office
Public Information Officer
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Public Services Administrator
Public Works Manager
Recreation Activity Coordinator
Recreation Program Supervisor
Senior Accountant
Senior Administrative Analyst
Transportation Services Administrator
Wastewater Treatment Plant Supervisor
The Association’s scope of representation shall include all matters pertaining to wages, hours, and other terms and conditions of employment.
ARTICLE 3 - MANAGEMENT RIGHTS
During the term of this Agreement, the Association recognizes that the City has and will continue to retain (whether exercised or not) the exclusive right to operate, administer, and manage its municipal services and work force performing those services in all respects subject to this agreement. The City Manager has (and will continue to retain) exclusive decision-making authority on matters not officially and expressly modified by specific provisions of this Agreement. Said decision-making shall not (in any way directly or indirectly) be subject to the City’s grievance procedure.
The exclusive rights of the City shall include, but are not limited to: determine the organization of City government and the purpose I mission of its constituent divisions I departments; set standards of service to be offered to the public and to exercise control and discretion over its organization and operations; establish and effect administrative regulations and employment rules I regulations consistent with law; direct its employees; take disciplinary action for just cause; relieve its employees from duty because of lack of work or for other legitimate reasons; determine the procedures and standards of selection for employment and promotion; determine the content of job classifications; determine the methods, means, and personnel by which the City’s services are to be provided; maintain the efficiency of governmental operations; and to otherwise act in the interest of efficient service to the community. The inclusion of such rights in a list of City rights, and the right of the City to act on such rights shall not be subject to grievance. However, such rights shall not abridge the right of an employee to file grievance on the implementation of said rights.
ARTICLE 4 - ADMINISTRATIVE AUTHORITY
During the term of this Agreement, the City Council shall deal with the administrative services of the City only through the City Manager, except for the purpose of inquiry. Neither the City 005828.00027 Page 4
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Council, nor any members thereof, shall be allowed to give orders to any subordinates of the City Manager.
ARTICLE 5 - RULES GOVERNING REDUCTIONS
During the term of this Agreement, no employee represented by the Association shall suffer a reduction in wages, hours, or other terms and conditions of employment, unless such reduction is proportional to that generally suffered by the other employees of the City as part of a general cost reduction program. However, this Article shall not apply to disciplinary actions or reclassifications taken pursuant to the Barstow Municipal Code and the Personnel Rules and Regulations of the City.
ARTICLE 6 - CONDITIONS OF EMPLOYMENT
Except as otherwise noted herein, the terms and conditions of employment for members of the Association shall be those prescribed in the existing Personnel Rules and Regulations manual of the City unless otherwise agreed to by the Association.
ARTICLE 7 - HOURS OF WORK
The average regular work week for full-time Association members shall be forty (40) hours. For all employees with an average regular work week of forty (40) hours, the monthly rate shall be the hourly rate times 2,080 divided by 12.
Some Association members work what is commonly referred to as a 9/80 schedule. Those employees not assigned to a 9/80 schedule adhere to a schedule determined by their supervisors.
However, with regards to those Association members who do work a 9/80 schedule, that schedule shall be defined as follows:
For 9/80 employees only, basic scheduled work hours shall be:
Monday through Thursday from 7:30 a.m. to 5:30 p.m.
Alternate Fridays from 7:30 a.m. to 4:30 p.m. on designated days of work.
These basic scheduled work hours may be altered at the discretion of the City Manager based on employee requests and I or legitimate operational needs.
ARTICLE 8 - CITY VEHICLES
Use of City Vehicles by Association members shall be governed by the City’s existing Personnel Policies and Procedures Manual.
ARTICLE 9 - ARBITRATION OF DISPUTES
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The parties contemplate that there will be no disputes in enforcing the prov1s1ons of this Agreement, however, if there are any such disputes, they shall be resolved by arbitration. The City and the Association shall each appoint an arbitrator upon receipt of ten days’ notice by the other party advising the nature of the dispute, the name of their arbitrator, and demanding the appointment of an arbitrator by the adverse party. The two arbitrators so selected shall appoint a third arbitrator. A majority decision of the three arbitrators shall be conclusive and binding upon the parties. The arbitrators shall follow the rules of the American Arbitration Association concerning procedure and evidence unless they unanimously agree on some alternate procedure or rule for the admission of evidence. Each party shall bear one-half of the third arbitrator’s costs, in addition to their own expenses and costs in connection with the arbitration.
ARTICLE 10 - ARTICLE 10-GRIEVANCE PROCEDURES
The following guidelines govern the City’s grievance procedures.
Definition.
A grievance is an written allegation by an employee claiming violation of a specific express provision of this Agreement, the City’s Personnel Rules and Regulations, or written City policy, unless another specific method of review is provided (e.g., discipline or discrimination).
Procedure.
a. Informal Grievance Procedure
The grievant and the City’s representative shall make every effort to resolve the grievance at the lowest level of supervision. Thus, the grievant shall attempt to discuss the grievance with the immediate supervisor before resorting to the Formal Grievance Procedure, below. However, if the grievant is unable to resolve the grievance informally before the time period for filing a Formal Grievance expires (15 days from the date the grievance allegedly occurred), the grievant may proceed to the Formal Grievance Procedure in accordance with the time limits therein. b. Formal Grievance Procedure
i. First Level of Review.
The grievant shall present the formal grievance in writing either to his/her supervisor or to the immediate supervisor of the employee who is the subject of the grievance being filed. The formal written grievance must be presented within fifteen (15) days from the alleged occurrence of the violation. The written grievance shall contain the following information:
1) Name of grievant and job title;
2) Department/Division;
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3) Clear and concise statement of the nature of the grievance including the circumstances and dates involved;
4) The specific provision(s) of this Agreement, the City’s Personnel Rules, or City policy alleged to have been violated;
5) Requested remedy;
6) Name of the grievant’ s representative, if any;
7) Date and signature of the grievant.
The supervisor shall render a decision and comments in writing and return them to the grievant within fifteen (15) days after receiving the written grievance. If the grievant does not agree with his/her supervisor’s decision or if no answer has been received within the specified time period, the grievant shall present the grievance in writing to the Department Head or the Department Head’s designee within fifteen (15) days of the date the supervisor’s decision is rendered or should have been rendered pursuant to the specified time period.
ii. Second Level - Department Review.
The Department Head or his/her designee shall discuss, upon request, the grievance with the grievant, the grievant’ s representative, if any, and with other appropriate persons. The Department Head or designee shall render his/her decision and comments in writing and return them to the grievant within fifteen (15) days after receiving the formal written grievance or after the meeting with the grievant, whichever is later. If the grievant does not agree with the decision reached or if no answer has been received within the specified time period, the grievant may appeal the formal grievance to the next level of the grievance procedure. In order to do so, the grievant must submit the grievance to the Personnel Officer, along with a written request that the grievance be considered at the Third Level, within fifteen (15) days of the date the Department Head’s decision is rendered, or should have been rendered, pursuant to the specified time period.
iii. Third Level - Advisory Arbitration.
To activate advisory arbitration, the grievant must, within time period specified above, present the grievance in writing to the Personnel Officer for further processing. Failure of the grievant to take this action will constitute a waiver and bar to further processing of the grievance. 1) The scope of advisory arbitration of grievances shall be limited to discharges, demotions, or reduction in pay, or suspensions of three (3) days or more without pay. The grievant may waive the right to go to advisory arbitration and instead go directly to the Fourth Level 005828.00027 Page 7
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(City Manager). All other grievances shall bypass the third level of the grievance procedures and advance to the Fourth Level. 2) The Personnel Officer and the grievant shall request a list of five arbitrators from the California State Mediation and Conciliation Service.
a) By mutual agreement of the grievant and the City, advisory arbitration may be waived. In such case, the grievance shall be reviewed by City Manager in accordance with the
procedures outlined in Level4.
3) An arbitrator shall be selected by the following procedure:
a) The grievant and I or a representative of the grievant, along with the City’s representative, shall select the arbitrator from the California State Conciliation Service list by eliminating names until one name remains. The one remaining name
shall be the arbitrator. All grievances reaching the arbitration level shall be numbered consecutively tor the current fiscal year. The odd-numbered grievances will give the grievant first elimination; the even-numbered grievances will give the City first elimination.
b) Once the arbitrator has been selected, hearings shall commence at the convenience of the arbitrator. The technical rules of evidence shall not apply during the arbitration hearing.
c) The arbitrator shall be strictly bound by the time limits set forth in the grievance procedure and shall not entertain any grievance in which the grievant has not adhered to such time limits.
d) Employees called as witnesses shall be scheduled to be released from duty to testify at the hearings. The parties recognize that due to the essential nature of the services performed by the employees, scheduling of time for each employee to testify at arbitration shall be in such a manner so that normal operations are not disrupted.
e) The jurisdiction of the arbitrator shall be confined to a determination of the facts and the interpretation of the provisions of the Memorandum of Understanding and I or
the Personnel Rules and Regulations. The arbitrator will have no power to add to, subtract from, or modify the terms of any Agreement or the written policies, rules, regulations and procedures of the employer.
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f) Within thirty (30) days after the conclusion of the hearing, the arbitrator shall render an advisory decision in writing to the parties (including the City Manager).
g) The arbitrator’s fees and expenses shall be paid by the City.
All other costs shall be borne by the party incurring such expenses.
iv. Fourth Level- City Manager.
If the grievance is submitted to the City Manager for review and settlement, the Personnel Officer, in non-arbitrable cases, may elect the methods he I she considers appropriate for the study of the issues and shall render a written decision to the parties within fifteen (15) days. Notwithstanding the above, upon the grievant’s request, the matter shall be submitted to mediation prior to the Personnel Officer’s determination. 1) For all cases involving advisory arbitration recommendations, the Personnel Officer shall review the entire matter within fifteen (15) days after receipt of arbitrator’s recommendations and render a decision.
2) The City Manager may amend, modify, or revoke the
recommendation of the arbitrator. This includes, but is not limited to, the City Manager’s right to reduce or increase the degree and type of discipline imposed. In all cases, the decision of the City Manager shall be final and binding.
c. General Provisions
i. The grievant is entitled to representation of his/her choice at any point in the grievance procedure.
ii. Failure by the grievant to meet any of the specified time lines shall constitute a withdrawal and waiver of the grievance. Failure by the City to meet any of the specified time lines shall entitle the grievant to appeal to the next level of review.
iii. Since it is important that grievances be processed as rapidly as possible, the number of days indicated at each level shall be considered as maximum, and every effort should be made to expedite the process. If the last day of the specified time period falls on the weekend or a City observed holiday, it shall be moved to the next working day. Otherwise, the time specified may be extended only by mutual written consent.
iv. Probationary employees may not grieve a rejection from probation. 005828.00027 Page 9
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v. Employees shall be assured freedom from reprisal for using the grievance procedures.
vi. The Personnel Office shall act as a central repository for all grievance records.
vii. Any decision or finding involving an unbudgeted expenditure must be submitted to the City Council for ratification before that decision can become final and binding.
viii. Failure on the part of an employee or his/her representative to appear in any case before an arbitrator without good cause shall result in forfeiture of the case and responsibility for payment for all associated costs by the employee.
ARTICLE 11 - FULLAGREEMENT
The City and the Association concur that this Agreement constitutes the entire contract between them governing wages, hours and conditions of employment of those employees in the bargaining unit during the term thereof and settles all demands and issues on all matter subject to the meet and confer process.
Accordingly, both the City and the Association do hereby waive the right during the term of this Agreement to demand negotiation upon any subject matter, whether or not such subject matter has or has not been raised or discussed by either party during negotiations leading to the execution of this Agreement, except for the following provisions:
Any item, provision, or subject that both the City and Association jointly agree to reopen for discussion.
ARTICLE 12 - SEVERABILITY
It is agreed that in the event a court order renders any Article of this Agreement null and void, said ruling shall negate only the applicable Article and the balance of the Agreement shall stand as written and remain in full force and effect for the duration of its term.
ARTICLE 13 - AGREEMENT EFFECTIVE UPON APPROVAL BY BOTH PARTIES This Agreement shall be effective once approved by the Barstow City Council and upon ratification and approval by a majority of the employees represented by the Association who are present at a meeting convened for the specific purpose of ratifying this Agreement.
ARTICLE 14 - TERM OF AGREEMENT
This Agreement shall take effect on July 1, 202218 and shall remain in full force and effect until June 30, 20252.
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SECTION 2 - SALARIES AND OTHER PAY
ARTICLE 15 - GENERAL WAGES
Effective the first full pay period beginning in July for each of the respective years, all members of the Association shall receive the wage adjustments described below.
Year 1 of this MOU (202218-202319)
All unit members shall receive pay consistent with the salary schedule currently in place without further adjustmentsan 8.0% (eight percent) base salary increase beginning July 1, 2022.
Year 2 of this MOU (202319-20240)
All unit members shall receive a 6.0% (six percent) base salary increase beginning Julyne 301, 202319. the wage adjustments described below:
Year 3 of this MOU (20240-20251)
All unit members shall receive a 2.0% (two percent) base salary increase beginning July 1, 2024 pay consistent with the schedules in place as of Julyne 130, 2020, until June 27, 2021, when the schedule will be increased by two percent (2.0%).
Year 4 of this MOU (2021-2022)
This Article will be reopened for negotiations if there is at least a ten percent (10.0%) increase in combined total Property Tax, Sales Tax (excluding Measure Q tax revenues), and Transient Occupancy Tax revenues collected for fiscal year 2020-2021 over 2018-2019 as stated in the City’s Year Ending Comprehensive Annual Financial Report (CAFR).
ARTICLE 16 - PERFORMANCE BONUS
Association members who reach the top-step of their salary range or are y-rated will be eligible annually to receive a 2% performance bonus. To qualify for the performance bonus, the employee must receive a performance evaluation rating of satisfactory or better. Association members who meet that qualification will receive the 2% performance bonus. The performance bonus will be calculated by multiplying 2% by the employee’s base wage rate. The performance bonus will be distributed as a one-time bonus payment subject to all applicable state and federal tax rates and will not increase the employee’s base wage rate. In the event that the employee’s performance evaluation is not completed within 45 days of the employee’s performance evaluation date, the employee shall automatically receive the 2% performance bonus. Each employee can receive the performance bonus on a payday of their choosing. However, the performance bonus must be paid out by the last complete payroll period of the fiscal year in which the performance bonus was awarded.
ARTICLE 17 - UNIFORM ALLOWANCE
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Tier I
All Association members hired by the City on or before December 31, 2012 or who are defined as CalPERS Classic Employees shall be provided with the following uniform allowance benefit:
At the start of each fiscal year, all Association members, except for those identified as Classification 1, Classification 2, and Classification 3 as outlined further below, will be provided with five (5) City shirts. Such employees will be responsible for maintaining the uniform.
Classification 1
For those Association members hired prior to July 1, 2011 and serving in either the “Code Compliance Supervisor,” “Police Services Supervisor,” or “Building Official” job classification, said employees shall receive $63 per month in recognition of their job classification requirement to wear a specific uniform as a condition of employment. The $63 per month shall be reported to CalPERS as pensionable compensation. The $63 per month uniform allowance may also be provided to other Association members who have a legitimate operational need at the discretion of the City Manager.
Classification 2
Any Association member who as a condition of employment is required to obtain and wear a specific uniform shall be reimbursed for the actual cost of acquiring the uniform in an amount not to exceed $756 per year. The reimbursed amount shall be reported to CalPERS as pensionable compensation at time of reimbursement. The $756 uniform reimbursement may also be provided to those Association members who have a legitimate operational need at the discretion of the City Manager.
Classification 3
For employees assigned to the Wastewater Treatment Plant, the City shall maintain the laundered service for eleven (11) sets of uniforms. The Wastewater Treatment Plant Uniform shall consist of button up work shirts and work pants. The actual average cost per employee for maintain the laundered uniform service shall be considered pensionable compensation, and will be reported to CalPERS by the first payroll in December of each year.
Furthermore, any pensionable compensation amounts for uniforms shall also be reported to CalPERS retroactively for the period July 1, 2010 through June 30, 2014.
Tier II
All Association members hired by the City after December 31, 2012, or who are defined as CalPERS PEPRA Employees, shall be provided with the following uniform allowance benefit:
At the start of each fiscal year, all Association members, except for those identified as Classification 1, Classification 2, and Classification 3 as outlined further below, will be provided with five (5) City shirts. Such employees will be responsible for maintaining the uniform. 005828.00027 Page 13
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Classification 1
For any Association members hired after July 1, 2011 and serving in either the “Code Compliance Supervisor,” “Police Services Supervisor,” or “Building Official” job classification, said employees shall receive $63 per month in recognition of their job classification requirement to wear a specific uniform as a condition of employment. The $63 per month uniform allowance may also be provided to other Association members who have a legitimate operational need at the discretion of the City Manager.
Classification 2
Any Association member who as a condition of employment is required to obtain and wear a specific uniform shall be reimbursed for the actual cost of acquiring the uniform in an amount not to exceed $756 per year. The $756 uniform reimbursement may also be provided to those Association members who have a legitimate operational need at the discretion of the City Manager.
Classification 3
For employees assigned to the Wastewater Treatment Plant, the City shall maintain the laundered service for eleven (11) sets of uniforms. The Wastewater Treatment Plant Uniform shall consist of button up work shirts and work pants.
ARTICLE 18 - SAFETY BOOT REIMBURSEMENT
Beginning July 1, 2022, Association members authorized by the City Manager shall be reimbursed for the actual cost of acquiring safety boots in an amount not to exceed $300225 per fiscal year.
ARTICLE 19 - BILINGUAL SERVICES PAY
Association members hired prior to July 1, 2011 are eligible to receive a 5% increase over their base wage rate as bilingual services pay. To qualify for bilingual services pay, Association members must be proficient in the use of Spanish, sign language, or other language approved by the Personnel Officer. Association members shall be deemed proficient in Spanish, sign language, or other language approved by the Personnel Officer through a testing process established by the City.
Association members hired on or after July 1, 2011 will be eligible to receive $60 per month as bilingual services pay. To qualify for bilingual services pay, Association members must be proficient in the use of Spanish, sign language, or other language approved by the Personnel Officer. Association members shall be deemed proficient in Spanish, sign language, or other language approved by the Personnel Officer through a testing process established by the City.
ARTICLE 20 - DEFERRED COMPENSATION PLAN
The City will set-up a deferred compensation account for all Association members and contribute one percent (1%) of each employee’s base wage rate into that deferred compensation account. In 005828.00027 Page 14
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addition, the City commits to providing employees with access to both a 401(a) deferred compensation program and a 457 deferred compensation program.
ARTICLE 21 - TUITION REIMBURSEMENT
Association members will be eligible for tuition reimbursement of up to $1,000 per fiscal year.
Reimbursable expenses will include items such as registration, tuition, textbooks, and parking.
ARTICLE 22 - RECLASSIFICATION
During the term of this Agreement, should any employee represented by the Association be reclassified to a position having a lower salary range, the employee shall continue at their same salary and with the same merit salary increase eligibility date, provided such action does not result in a salary exceeding the maximum step of the salary range in which the new position is classified.
Should the employee’s current salary exceed the maximum step of the salary range in which the position is classified, the salary of such employee shall be designated as “Y-rated” and shall not be increased through either general increase or merit increase until the maximum step of the salary range in which the position is classified exceeds the employee’s actual salary.
ARTICLE 23 - SEVERANCE PROVISION IF SERVICES ARE CONTRACTED OUT During the term of this Agreement, should the position of an employee represented by the Association be eliminated as an economy measure due to the City exercising its management right to contract for services presently performed by a member of the Association (or for other reasons), the incumbent employee shall have the option to terminate employment with the City and receive one month worth of severance pay for each full year of service with the City. Such severance pay will be capped at a maximum of six months’ worth of severance pay. Any affected employee shall also receive the cash equivalent of all of his/her accrued vacation, holiday leave, and management leave, based upon his/her base wage rate at the date of termination.
ARTICLE 24 - PARITY CLAUSE PROVISION
Members of the Association shall be provided with the same compensation increases, if any, provided by City Council action to any members of any recognized non-safety employee bargaining group, subject to the following mandatory criteria:
The compensation increase which activates this parity clause shall be an increase which is available to all members of any non-safety unit. For example, an across-the-board base salary increase applicable to all classifications in any non-safety unit shall be applicable to all Association members. Similarly, if any non-safety unit classifications are in receipt of increases in City-funded medical insurance premiums, said premium increases would be available to all Association members because all members of any particular non-safety unit are eligible to receive the medical insurance premium increase (at either individual employee, employee plus one, or full family coverage). On the other hand, if less than all non-safety unit classifications receive a bilingual allowance increase which was available to only a specified portion of non-safety unit 005828.00027 Page 15
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classifications, the value of that increase would not be made available to Association members.
The foregoing are non-inclusive exemplars of how this section shall be implemented. 005828.00027 Page 16
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SECTION 3 - RETIREMENT
ARTICLE 25 - RETIREMENT BENEFIT
All Association members hired by the City on or before December 31, 2012 will be enrolled in the City’s retirement program through California Public Employees Retirement System (CalPERS).
For those Association members hired on or before December 31, 2012, the City shall provide those employees with the CalPERS 2.7%@55 retirement plan, along with the following optional benefits:
One-year final compensation.
Credit for unused sick leave.
Fourth Level of 1959 survivor benefit.
Military service credit as public service.
Employer paid member contributions converted to pay rate during the final compensation period.
For all Association members hired by the City prior to July 1, 2010, the City shall assume the 2% of the employees portion of the retirement contribution to CalPERS in the first year of the contract, 1% of the employees portion of the retirement contribution to CalPERS in the second year of the contract, and 0% of the employees portion of the retirement contribution to CalPERS in the third year of the contract, provided that the employee contribution rate does not exceed a total of 8% percent of regular compensation.
For all Association members hired by the City on or after July 1, 2010, the City shall not assume any of the cost of the employee portion of the retirement contribution to CalPERS. Association members who fall into this category will be responsible for paying the full share of the employee contribution rate. However, in no event shall the contribution cost exceed eight percent.
For all Association members hired by the City after December 31,2012, the following retirement benefit will be provided:
CalPERS 2% @ 62 retirement plan.
Three-year average compensation.
Credit for unused sick leave.
Fourth Level of 1959 survivor benefit.
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Military service credit as public service.
Furthermore, for all Association members hired by the City after December 31, 2012, those Association members will be required to pay for at least fifty percent (50%) of the total annual normal contribution cost for the pension benefit.
However, in no event shall the contribution cost exceed eight percent.
ARTICLE 26 - RETIREE MEDICAL BENEFIT
The following describes the retiree medical insurance benefit that will be provided by the City.
Retiree Medical Benefits Required by PEMHCA
The City shall offer participation in a medical insurance plan. Furthermore, all retirees vested in CalPERS shall be entitled to the benefits described in the Public Employees’ Medical and Hospital Care Act (PEMHCA) resolution that is in effect. Eligibility for these benefits shall follow the rules prescribed by PEMHCA. The PEMHCA contribution, paid directly to the California Public Employees’ System (CalPERS) by the City, shall be considered part of- not in addition to -any other City benefit (i.e., Cafeteria Plan), contribution or reimbursement offered under this MOU.
Furthermore, should the City discontinue providing medical coverage through CalPERS, the PEMHCA required benefits will automatically be discontinued,
TIER I RETIREMENT HEALTH INSURANCE PROGRAM
Those Association members who have processed a bona fide retirement from the City on or before November 5, 2012, and who currently receive a City-funded retirement health insurance benefit amount, will continue to be eligible to participate in the City-funded Tier I Retirement Health Insurance Program (Tier 1). Retirees who are eligible under the Tier I program and elect to not be covered under one of the CalPERS sponsored health insurance programs shall not be eligible for any type of contribution or reimbursement from the City.
Effective January 1, 2015 the tables below demonstrate the maximum contribution amount that the City will contribute (which includes the adopted Public Employee’s Medical and Hospital Care Act (PEMHCA) minimum) toward retiree health insurance premiums for those Association members who qualify for the Tier I Program and who are enrolled in either a CalPERS Basic Plan or CalPERS Supplemental / Managed Medicare Plan.
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TIER I RETIREE MEDICAL PROGRAM
PLAN NAME
(Includes Basic Plans & Supplement /
Managed Medicare Plans)
MAXIMUM
MONTHLY
CONTRIBUTION
PAID BY THE CITY*
MONTHLY PEMHCA
MINIMUM
CONTRIBUTION PAID
DIRECTLY TO
CALPERS
MAXIMUM
REIMBURSEMENT
AMOUNT PAID
DIRECTLY TO
RETIREE
PERS·Care (PC) PPO 90/10 Plan $514.00
To be determined based
on the updated
CalPERS PEMHCA
Minimum Employer
Rate as published by
CalPERS.
Difference between the
Monthly Maximum
Contribution Paid by the
City less the Monthly
PEMHCA Minimum
Contribution.
PERS-Choice (PCh) PPO 80/20
Plan
$499.00
To be determined based
on the updated
CalPERS PEMHCA
Minimum Employer
Rate as published by
CalPERS.
Difference between the
Monthly Maximum
Contribution Paid by the
City less the Monthly
PEMHCA Minimum
Contribution.
PERS-Select PPO $454.10
To be determined based
on the updated
CalPERS PEMHCA
Minimum Employer
Rate as published by
CalPERS.
Difference between the
Monthly Maximum
Contribution Paid by the
City less the Monthly
PEMHCA Minimum
Contribution.
PORAC PPO $429.27
To be determined based
on the updated
CalPERS PEMHCA
Minimum Employer
Rate as published by
CalPERS.
Difference between the
Monthly Maximum
Contribution Paid by the
City less the Monthly
PEMHCA Minimum
Contribution.
Blue Shield HMO $409.00
To be determined based
on the updated
CalPERS PEMHCA
Minimum Employer
Rate as published by
CalPERS.
Difference between the
Monthly Maximum
Contribution Paid by the
City less the Monthly
PEMHCA Minimum
Contribution.
Blue Shield Net Value HMO $419.52
To be determined based
on the updated
CalPERS PEMHCA
Minimum Employer
Rate as published by
CalPERS.
Difference between the
Monthly Maximum
Contribution Paid by the
City less the Monthly
PEMHCA Minimum
Contribution.
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PLAN NAME
(Includes Basic Plans & Supplement /
Managed Medicare Plans)
MAXIMUM
MONTHLY
CONTRIBUTION
PAID BY THE CITY*
MONTHLY PEMHCA
MINIMUM
CONTRIBUTION PAID
DIRECTLY TO
CALPERS
MAXIMUM
REIMBURSEMENT
AMOUNT PAID
DIRECTLY TO
RETIREE
Kaiser HMO $428.57
To be determined based
on the updated
CalPERS PEMHCA
Minimum Employer
Rate as published by
CalPERS.
Difference between the
Monthly Maximum
Contribution Paid by the
City less the Monthly
PEMHCA Minimum
Contribution.
Anthem Select HMO $394.96
To be determined based
on the updated
CalPERS PEMHCA
Minimum Employer
Rate as published by
CalPERS.
Difference between the
Monthly Maximum
Contribution Paid by the
City less the Monthly
PEMHCA Minimum
Contribution.
Anthem Traditional HMO $456.30
To be determined based
on the updated
CalPERS PEMHCA
Minimum Employer
Rate as published by
CalPERS.
Difference between the
Monthly Maximum
Contribution Paid by the
City less the Monthly
PEMHCA Minimum
Contribution.
Health Net Smart Care $450.45
To be determined based
on the updated
CalPERS PEMHCA
Minimum Employer
Rate as published by
CalPERS.
Difference between the
Monthly Maximum
Contribution Paid by the
City less the Monthly
PEMHCA Minimum
Contribution.
Health Net Salud y Más $353.12
To be determined based
on the updated
CalPERS PEMHCA
Minimum Employer
Rate as published by
CalPERS.
Difference between the
Monthly Maximum
Contribution Paid by the
City less the Monthly
PEMHCA Minimum
Contribution.
United Health Care $404.84
To be determined based
on the updated
CalPERS PEMHCA
Minimum Employer
Rate as published by
CalPERS.
Difference between the
Monthly Maximum
Contribution Paid by the
City less the Monthly
PEMHCA Minimum
Contribution.
*The maximum monthly contribution paid by the City shall be the based upon the plan each retiree is enrolled in. Should the monthly insurance premium of the selected plan be less than the maximum monthly contribution (as shown in the preceding table), the maximum monthly contribution that will be paid by the City will be the lesser of the two amounts. Furthermore, should future health insurance plans be added to the list of available plans, the maximum monthly City contribution amount towards those plans will be 83% of the monthly premium of the Basic Plan Employee Only coverage calculated in the plan’s inaugural year, or the actual premium amount, whichever is the lesser of the two amounts.
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38781409.1
For Tier I eligible Association members, reimbursement amounts will be determined based on the records available from CalPERS to verify retiree enrollment in health insurance and to ascertain the amount the City owes each retiree. Should the City be unable to obtain sufficient information from CalPERS to determine the enrollment and premium amounts, it may require retirees to provide appropriate proof of enrollment and premium payments.
For Tier I eligible Association members, commencing January 1, 2014, any reimbursement paid directly to the retiree will occur on the 1st of each month or the business day prior should the P1 of the month fall on a weekend or holiday. It will be the retiree’s responsibility to fund any premium costs in excess of the maximum contribution amount provided by the City:
TIER II RETIREMENT HEALTH INSURANCE PROGRAM
Any association member employed by the City on or before December 31, 2012 will be eligible to participate in the City-funded Tier II Retirement Health Insurance Program (Tier II), provided that the following provisions are met:
Completion of at least 10 years of employment with the City (whether or not the years of employment were in consecutive order).
Process a bona fide retirement from the City.
Be at least of retirement age for the employee’s pension plan.
Effective January 1, 2014, the tables below demonstrates the maximum contribution amount that the City will contribute (which includes the adopted Public Employee’s Medical and Hospital Care Act (PEMHCA) minimum) to those Association members who meet the above listed Tier II eligibility requirements.
TIER II RETIREE MEDICAL PROGRAM
ELIGIBILITY STATUS
MAXIMUM
MONTHLY
CONTRIBUTION
PAID BY THE
CITY*
MONTHLY
PEMHCA
MINIMUM
CONTRIBUTION
PAID DIRECTLY
TO CALPERS
MAXIMUM
REIMBURSEMENT
AMOUNT PAID
DIRECTLY TO
RETIREE
Prior to eligibility for Supplemental /
Managed Medicare Health Insurance $600.00
To be determined
based or the updated
CalPERS PEMHCA
Minimum Employer
Rate as published by
CalPERS.
Difference between the
Monthly Maximum
Contribution Paid by the
City less the Monthly
PEMHCA Minimum
Contribution.
After eligibility for Supplemental /
Managed Medicare Health Insurance
$550.00
To be determined
based on the updated
CalPERS PEMHCA
Minimum Employer
Rate as published by
CalPERS.
Difference between the
Monthly Maximum
Contribution Paid by the
City less the Monthly
PEMHCA Minimum
Contribution.
005828.00027 Page 21
38781409.1
ELIGIBILITY STATUS
MAXIMUM
MONTHLY
CONTRIBUTION
PAID BY THE
CITY*
MONTHLY
PEMHCA
MINIMUM
CONTRIBUTION
PAID DIRECTLY
TO CALPERS
MAXIMUM
REIMBURSEMENT
AMOUNT PAID
DIRECTLY TO
RETIREE
• Should the monthly premium of the selected insurance program cost less than the maximum monthly contribution (as shown in the preceding table), the maximum monthly contribution paid by the City will be the lesser of the two amounts.
For Tier II eligible Association members, reimbursement amounts will be based on the records available from CalPERS to verify retiree enrollment in health insurance and to ascertain the amount it owes to each retiree. Should the City be unable to obtain sufficient information from CalPERS to determine the enrollment and premium amounts, it may require retirees to provide appropriate proof of enrollment and premium payments.
Retirees who are eligible under the Tier II program and elect to not be covered under one of the CalPERS sponsored health insurance programs shall not be eligible for any type of contribution or reimbursement from the City.
For Tier II eligible Association members, commencing January 1, 2014, any reimbursement paid directly to the retiree will occur on the 1st of each month or the business day prior should the 151 of the month fall on a weekend or holiday. It will be the retiree’s responsibility to fund any premium costs in excess of the maximum contribution amount provided by the City.
TIER Ill RETIREMENT HEALTH INSURANCE PROGRAM
Any association member employed by the City on or after January 1, 2013 will be eligible to participate in the City-funded Tier Ill Retirement Health Insurance Program (Tier Ill), provided that the following provisions are met:
Completion of at least 10 years of employment with the City (whether or not the years of employment were in consecutive order).
Process a bona fide retirement from the City.
Be at least of retirement age for the employee’s pension plan.
Effective January 1, 2014, the table below demonstrates the maximum contribution amount that the City will contribute (which includes the adopted Public Employee’s Medical and Hospital Care Act (PEMHCA) minimum) to those Association members who meet the above listed Tier Ill eligibility requirements.
005828.00027 Page 22
38781409.1
TIER Ill RETIREE MEDICAL PROGRAM
ELIGIBILITY STATUS
MAXIMUM
MONTHLY
CONTRIBUTION
PAID BY THE
CITY*
MONTHLY PEMHCA
MINIMUM
CONTRIBUTION PAID
DIRECTLY TO
CALPERS
MAXIMUM
REIMBURSEMENT
AMOUNT PAID
DIRECTLY TO
RETIREE
Prior to eligibility for Supplemental /
Managed Medicare Health Insurance $300.00
To be determined based on
the updated CalPERS
PEMHCA Minimum
Employer Rate as
published by CalPERS.
Difference between the
Monthly Maximum
Contribution Paid by the
City less the Monthly
PEMHCA Minimum
Contribution.
After eligibility for Supplemental/
Managed Medicare Health Insurance
$0.00
To be determined based on
the updated CalPERS
PEMHCA Minimum
Employer Rate as
published by CalPERS.
$0.00
* Should the monthly premium of the selected insurance program cost less than the maximum monthly contribution (as shown in the preceding table), the maximum monthly contribution paid by the City will be the lesser of the two amounts.
For Tier Ill eligible Association members, reimbursement amounts will be based on the records available from CalPERS to verify retiree enrollment in health insurance and to ascertain the amount it owes to each retiree. Should the City be unable to obtain sufficient information from CalPERS to determine the enrollment and premium amounts, it may require retirees to provide appropriate proof of enrollment and premium payments.
Retirees who are eligible under the Tier Ill program and elect to not be covered under one of the CalPERS sponsored health insurance programs shall not be eligible for any type of contribution or reimbursement from the City.
For Tier Ill eligible Association members, commencing January 1, 2014, any reimbursement paid directly to the retiree will occur on the 1st of each month or the business day prior should the 1st of the month fall on a weekend or holiday. It will be the retiree’s responsibility to fund any premium costs in excess of the maximum contribution amount provided by the City. 005828.00027 Page 23
38781409.1
SECTION 4 - TIME-OFF PROVISIONS
ARTICLE 27 - HOLIDAYS
During the term of this agreement, the City will create a Holiday Leave Bank for each Association member. On July 1st of each year, every employee’s Holiday Leave Bank will be credited with 135126 hours of holiday leave time. The 135126 hours will be provided in recognition of the fourteen (14) fifteen (15) paid holidays that the City recognizes annually, with each of those holidays being observed at the rate of nine (9) hours per day. Any time not taken by the employee at the end of each fiscal year will be paid out in cash during the last complete payroll period of June. The fourteen (14) fifteen (15) holidays recognized by the City are as follows:
Holiday Day
New Year’s Day January 1st
Martin Luther King Day 3rd Monday in January
Washington’s Birthday 3rd Monday in February
Memorial Day Last Monday in May
Juneteenth June 19th
Independence Day July 4th
Labor Day 1st Monday in September
Veteran’s Day As noted in the Government Code
Thanksgiving Day 4th Thursday in November
Day after Thanksgiving Day after Thanksgiving
Christmas Eve December 24th
Christmas Day December 25th
New Year’s Eve Day December 31st
Floating Holiday As approved / scheduled
Employee’s Birthday As approved / scheduled
Any unused/undistributed holiday hours remaining as of June 30’h of each year shall be distributed to the employee in cash on the first payroll period with a pay date in July.
Holidays occurring on Saturday shall be observed on the Friday immediately preceding the holiday. Holidays occurring on Sunday shall be observed on the following Monday. 005828.00027 Page 24
38781409.1
In any instance where Friday or Monday observance of a Saturday or Sunday holiday results in two holidays being observed on the same date, the impacted employee’s holiday shall be observed on the scheduled work day immediately preceding a Friday holiday observation or the scheduled work day immediately following a Monday holiday observation.
In the event an Association member is required to work a holiday, the member shall accrue compensatory holiday time at the rate of one hour for each hour worked. The Association member must take the compensatory holiday time off by the last day of the fiscal year in which it was earned or the compensatory holiday time will be forfeited.
ARTICLE 28 - VACATION
During the term of this Agreement, Association members shall accrue vacation leave according to the following schedule:
Years of Service Hours Accrued
Per Pay Period
Number of
Pay Periods
Hours
Accrued Per
Year
1 through 4 4.70 26 122.2
5 through 9 5.30 26 137.8
10 through 14 6.20 26 161.2
15 through 19 6.80 26 176.8
20+ 8.00 26 208
The maximum number of vacation hours that can be accumulated and maintained in any individual employee’s vacation account shall be two (2) years’ worth of accrual.
Once an employee has accrued two (2) years’ worth of vacation hours in their account, that employee will be allowed to accrue a third (31d) years’ worth of vacation hours for use during the fiscal year. Any unused vacation hours accrued during the third (3 1d) year as of June 301h shall be distributed to the employee in cash during the last complete payroll period of the fiscal year.
For members of the Association, each individual employee shall also have the option of cashing out up to 50% of earned and accumulated vacation hours during the first payroll period with a pay date in December. In addition, each individual employee shall have the option of cashing out up to 50% of earned and accumulated vacation hours during the last complete payroll period of the fiscal year.
ARTICLE 29 - SICK LEAVE
Association members shall accrue sick leave at the rate of 4.0 hours per pay period. There shall be no accrual limit for sick leave.
005828.00027 Page 25
38781409.1
Upon bona fide retirement from the City through CalPERS, employees may receive payment of accrued sick leave, up to a maximum of 600 hours. Payment shall be made at employee’s rate of pay at the time of retirement. In addition, the City will offer employees the option of converting up to one year’s worth of unused sick leave (2,080 hours) for credit as service time for retirement purposes based on the program details as defined by CalPERS.
Outside of the provisions listed above, the City shall not provide any other type of annual payout for accrued sick leave. In addition, outside of the provisions listed above, the City shall not provide any other form of compensation for accrued sick leave to an employee who is separating employment with the City.
ARTICLE 30 - MANAGEMENT LEAVE
Effective July 1 of each year, all Association members shall be granted ten (10) management leave days with pay, or the cash equivalent thereof, which may be used at any time during the fiscal year.
The ten (10) management leave days will be calculated at the rate of nine (9) hours per day. On the last complete payroll period of each fiscal year, members shall be paid in cash for management leave days granted but not taken during the fiscal year. In no instance shall management leave days not taken in one fiscal year be carried over to the next fiscal year. During the term of this Agreement, if any Association member eligible for management leave days terminates employment, said member shall be entitled to receive a pro-rated payment for said leave days based on the number of months of the year for which the member has been employed less any leave days taken.
If any member eligible for management leave days terminates employment after taking such leave days (or the cash equivalent thereof in the amount equal to the number of days taken) said member shall have deducted from their termination check an amount equal to the number of leave days taken. This reimbursement is to be pro-rated based on the number of months of the year for which said member was employed less the special leave days earned.
ARTICLE 31 - BEREAVEMENT LEAVE
In the event of the death of a member of an employee’s immediate family (defined as a spouse, parent, stepparent, sibling, children, stepchildren, grandparent, father-in-law, mother-in-law, brother-in-law, sister-in-law, son-in-law, daughter-in-law, grandchild, domestic partner, child of a domestic partner or anyone who can be certified as having raised the employee as a child), Association members will be entitled to five (5) paid days for bereavement leave, per bereavement occurrence. Each bereavement leave day shall be calculated at the equivalent number of hours comprising the Association member’s regularly scheduled work day.
Employees may also take time off for bereavement situations for non-immediate family members by utilizing accrued sick leave or vacation leave for such circumstance with the approval of the employee’s immediate supervisor.
ARTICLE 32 - JURY LEAVE
005828.00027 Page 26
38781409.1
An employee required to serve on a jury shall be entitled to regular compensation provided the employee deposits fees for jury service with the Finance Department.
ARTICLE 33 - MILITARY LEAVE
Military Leave will be granted in accordance with the requirements of applicable state and federal law.
005828.00027 Page 27
38781409.1
SECTION 5 - INSURANCE
ARTICLE 34 - CAFETERIA PLAN
Those Association members who elect to receive medical coverage through the City will receive $1,000 per month which may be used to enroll in any of the offered medical, dental, and vision plans. Any unused remainder may be taken as cash, put in the employee’s deferred compensation account, or be used towards any additional City sponsored insurance programs.
Those Association members who can provide proof of medical insurance coverage through an alternative source shall be eligible to receive $750 per month which can be taken as cash, put in the employee’s deferred compensation account, or be used towards any additional City sponsored insurance programs.
ARTICLE 35 - MEDICAL INSURANCE
The City shall offer participation in a medical insurance plan. Furthermore, all Association members shall be entitled to the benefits described in the Public Employees’ Medical and Hospital Care Act (PEMHCA) resolution that is in effect. Eligibility for these benefits shall follow the rules prescribed by PEMHCA. The PEMHCA contribution, paid directly to the California Public Employee’s System (CalPERS) by the City, shall be considered part of -- not in addition to -- any other City benefit (i.e. Cafeteria Plan), contribution or reimbursement offered under this MOU.
ARTICLE 36 - DENTAL INSURANCE
The City shall offer participation in a dental insurance plan.
ARTICLE 37 - VISION INSURANCE
The City shall offer participation in a vision insurance plan.
ARTICLE 38 - ARTICLE 38 - LIFE INSURANCE
The City shall provide each Association member with a life insurance policy of $100,000.
Association members who were on the payroll beginning with the first payroll period in July 1996 (i.e., July 14, 1996 through July 28, 1996) shall be entitled to a life insurance settlement in the amount of $25,000 upon a bona fide CalPERS retirement from the City. This benefit shall apply only to those employees that were members of Association during the time period from July 14, 1996 through July 28, 1996.
005828.00027 Page 28
38781409.1
ARTICLE 39 - STATE DISABILITY INSURANCE
The City shall assume the actual cost of State Disability Insurance (SDI) monthly premiums for Association members.
ARTICLE 40 - LONG TERM DISABILITY
The City shall provide a long term disability program for Association members which include the following minimum benefit levels:
60% of base pay
Maximum benefit up to $6,000 per month
ARTICLE 41 - MEDICARE PARTICIPATION
During the term of this Agreement, should Federal Law require participation in Medicare or any similar program, the City agrees to assume the actual cost of such program(s) for Association members only.