RESOLUTION NO. XX-XX
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COMMERCE, CALIFORNIA, APPROVING A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COMMERCE, CALIFORNIA APPROVING COMPENSATION AND FRINGE BENEFITS FOR THE UNREPRESENTED, AND CONFIDENTIAL FULL-TIME UNITS WHEREAS, the parties have tentatively agreed to a new term of three years covering fiscal year July 1, 2023 to June 30, 2026. Various economic and non-economic items have been tentatively agreed as part of the City’s collective bargaining process; and those agreed items are:
WHEREAS, The City and the CCEA recently concluded negotiations for a new three-year Memorandum of Understanding for the Confidential Full-Time and Part-Time Employees Unit. This Unrepresented and Confidential Unit shall receive all salary and fringe benefits and other related employment terms as identified in the MOU for the CCEA Full-Time Unit. The Unrepresented Unit shall also receive the same salary and fringe benefits and other related employment terms as identified in the MOU for the CCEA Full-Time Unit; and WHEREAS, if the following key provisions of the tentative agreements for Full-Time and represented units are approve by the City Council, these provisions would also apply to the unrepresented and confidential units. Those provisions are:
.
Economic Items:
Wages: Effective July 10, 2023, a 4% salary increase; Effective July 8, 2024, a 4% salary increase; Effective July 7, 2025, a 4% salary increase. These general wage increases will be an additional increase above the established 75th percentile schedules that are attached hereto.
Signing/Ratification Bonus: On the July 27, 2023, payroll date, all employees shall receive a one-time ad hoc, off-salary schedule, non-PERS-able, lump sum payment equivalent to eight percent (8%) of the employee’s straight time earnings that the employee worked and earned (excluding overtime) during the period starting on July 1, 2022, and ending on June 30, 2023. This one-time payment shall be an off-salary schedule payment issued as a separate check from the regular payroll payment and shall not be reflected on the City’s pay or salary schedules and shall not be the basis upon which future salary increases will be calculated.
Implementation of the Classification and Compensation Studies: On August 17, 2021, the City Council approved the Citywide Classification Plan and Job Specifications and decided to implement these updated job specifications and classification changes based on final approval of the Citywide compensation study.
On December 13, 2022, the City Council received and filed the final results of the Citywide compensation and benefits study of all full-time and part-time position classifications, which was conducted by Koff & Associates.
It is agreed that, effective July 10, 2023, the City will implement the attached salary schedules based on recommendations from the Compensation Study conducted by Koff & Associates for full-time and part-time employees, and will revise the City’s full-time salary schedule to the seventy-fifth (75th) percentile.
The baseline salary schedules are attached hereto for review and approval. Any future general wage increases will be in addition to the baseline salary schedules.
Safety Footwear Allowance: Effective July 1, 2023, the City will increase the safety footwear allowance to Two Hundred and Fifteen Dollars ($215.00) per fiscal year for eligible classifications in accordance with City policy.
Computer Purchase Program: Effective July 1, 2023, the Employee Computer Purchase Assistance Program, that is seldom used, shall be eliminated for all employees.
Holiday Closure: The City will establish a two-week closure of City Hall and designated City facilities during the Christmas and New Year Holidays based on the current LOA between the CCEA and City. The dates of the closure period will be determined based on the time of occurrence of the holidays in each calendar year. The current LOA indicates that full-time employees working the 4/10 shift schedule will be granted 20 hours of administrative time during the two-week closure and those full-time employees working the 5/40 schedule would be granted 16 hours of administrative time for use during the holiday closure period only. Part-time employees will be given an opportunity to make up hours missed as a result of the holiday closures. The Holiday Closure program may be revoked at any time by the City. Holiday schedules for operations will continue to be set by Council action.
Employee Incentives Budget: Effective July 1, 2023, and beginning with fiscal year 2023-2024, the City will invest $200,000 per fiscal year for employee incentives based on the City’s needs and areas where the City deems there is a recruitment and retention need, including, but not limited to, adjustments related to Education Assistance (anything over budget), Retention of High Performance and a Signing Bonus Budget of up to $50,000 total for all employees per fiscal year, Employee Recognition Leave, Mechanic Tool Allowance (the cost difference between the prior allowance and current allowance); Safety Footwear Allowance (the cost difference between the prior allowance and current allowance); and the Part-Time Deferred Compensation benefit (cost difference between 3% and 5% deferred compensation match).
Retention and Recruitment Bonus Program: Effective July 1, 2023, the Part-Time and Full-Time MOUs will be revised to include a sign-on and retention bonus program with a set yearly fiscal budget up to $50,000, which will be included in the Employee Incentives Budget. Upon approval by the City Manager and Director of HR, this budget will be utilized for hard-to-fill positions and retention of high performing full-time and part-time employees. Pay for Retention and High-Performance Language: The City Manager (or designee), along with the Director of Human Resources, may authorize a retention bonus for employees who have been employed with the City for at least 12 consecutive months, who are a retention risk and have received at least a “satisfactory” performance rating in the prior rating period. Employees who receive a retention bonus will be required to remain employed with the City for at least 12 months following receipt of the bonus.
Employee Recognition Leave: Effective July 1, 2023, the City will implement an Employee Recognition Leave program to recognize full-time or part-time employees who have demonstrably contributed toward department operational or customer service goals and set an example as a public service employee. A Department Director may grant a selected employee up to twenty-four hours of such leave per fiscal year. The leave may be used at a time mutually agreeable to the employee and the employee’s director. The leave must be used within one year from the date it was awarded. An employee must receive a satisfactory or above performance review in the prior rating period in order to be eligible for Recognition Leave.
Recognition Budget: Effective July 1, 2023, the City shall provide each department a budget of Five Dollars ($5.00) per unit employee per fiscal year for employee recognition purchases such as coffee, pizza, lunch and learns, etc. subject to funding availability in the Employee Incentives Budget.
Administrative Time: Full-time employees hired on or after July 9, 2023, will not be eligible to receive paid administrative time and will be required to take unpaid lunch time. Part-time employees hired prior to July 1, 2023, but appointed to a full-time position on or after July 9, 2023, will not be eligible for the City’s paid administrative time. All full-time employees not eligible for the City’s paid administrative time are scheduled to work forty (40) hours per week and are required to take unpaid time off for their meal period. Please refer to City of Commerce Personnel Policies and Procedures, Paid Administrative Time for Full-Time Employees, for specific terms and policy.
Lincoln’s Holiday: On or around December 31, 2023, the Lincoln Holiday for the subsequent calendar year will be converted to flex leave. If an employee is hired on or after the second Monday of February of each year, the employee will not be granted with the flex leave in lieu of the Lincoln Holiday for that calendar year.
Flex Leave Allowance: Effective July 1, 2023, the flex leave allowance cap will increase from 40 hours to 60 hours per calendar year.
Education Assistance: Effective July 1, 2023, beginning with fiscal year 2023-2024, the City shall budget $40,000 for full-time employees’ education assistance. The policy and procedure on eligibility requirements shall be included in the updated City Human Resources Policy IV-2 and will be agreed to through the JLM/Policies Subcommittee.
Payout Dates of the economic items listed herein may vary, but are intended to occur no later than September 21, 2023, primarily due to the workload involved with implementing new salary schedules in the City’s HRIS/payroll systems, testing phase and documentation. If the City is able to implement the changes sooner than the September 21, 2023, staff will communicate the same to the CCEA and all affected employees.
Non-Economic Items:
Joint Labor Management Meeting: Effective July 1, 2023, Joint Labor Management (“JLM”) meetings shall occur bi-monthly unless the parties mutually agree otherwise; communication can continue in between meetings.
Predictive Scheduling: Upon ratification of the MOUs, the City shall provide all affected employees with a minimum of five (5) calendar days’ notice of schedule changes, unless due to emergencies related to public safety, health, or welfare. The City will communicate and/or post schedule changes with a Monday effective date to all employees by 10:00 a.m. (PST) on the Wednesday prior to the Monday effective date and will include at least one full workweek schedule.
Contracting Out Language: The language in the Full-Time and Part-Time MOUs will be revised to indicate that contracting or subcontracting of work may result in a reassignment of duties with the City, but shall not result in the layoff or reduction in salary of any employee covered by the MOU.
Safety: The City is committed to implementing biohazard clean-up kits and sharps disposal container programs throughout City facilities. This program will be discussed and implemented through the Safety Committee.
Educational Incentive: The MOUs shall include language related to the effective date on which an Education Incentive shall commence for an eligible employee. Effective July 1, 2023, the Education Incentive stipend will be issued within 30 days from the date Human Resources receives the approved documentation from an employee and verifies the employee’s eligibility for the stipend. An employee shall not be entitled to receive the Education Incentive stipend, or any portion thereof, for any period preceding submission of appropriate documentation to Human Resources, irrespective of the date on which the employee fulfilled the eligibility requirements for the stipend.
Unit Modification: Modifications to represented or unrepresented units proposed by the City or the CCEA will be in accordance with the approved resolution 97-40 Employer-Employee Organization Relations Resolution (EERR).
Class B License: Effective August 1, 2023, the City and CCEA agree that Senior Recreation Leaders and Recreation Leaders that bid to be regularly assigned to work at the Senior Center and/or Teen Center shall be required to obtain driver’s licenses to allow them to drive the “mini-bus”/Senior Center shuttle with no additional compensation and that drivers regularly assigned to work at the Senior Center and/or Teen Center will be enrolled in the City’s random alcohol and drug testing program for commercial drivers performing safety-sensitive functions.
Seniority: Add language to the Full-Time MOU documenting current practices in the Transportation Department indicating that full-time transportation employees’ schedule bidding will be based on seniority.
Bereavement Leave FT: The City will modify the Full-Time MOU language and policies on bereavement leave to provide employees with more flexibility to use this leave. Specifically, bereavement leave will no longer be required to be paid out over a maximum of seven (7) workdays and, instead, employees will be able to use the allotted forty (40) hours of leave in increments of at least half-day work days, which must be utilized within fifteen (15) days of the employee learning of the death, or of the date of foreseen imminent death, of an immediate family member, unless special circumstances require that the leave begin at a later date.
Policies Subcommittee: The Human Resources Department manages and maintains the City’s Personnel Policies and Procedures Manual. Due to changes in City standards, federal and state laws, as well as court decisions, there is a need to review personnel policies to ensure legal compliance and operational effectiveness.
The City and CCEA agree to establish a Policies Subcommittee, in order to update current policies and implement new policies as agreed upon during negotiations for the 2023-2026 Memoranda of Understanding for both part-time and full-time employees. The Policies Subcommittee will consist of up to eight (8) members. The City shall assign up to four (4) members to sit on the Subcommittee, at least one of whom shall be a representative from the Human Resources Department. CCEA shall select up to four (4) members to sit on the Subcommittee, which shall consist of up to two (2) full-time employees and two (2) part-time employees, provided that if CCEA appoints only two (2) members, one (1) must be a full-time employee and one (1) must be a part-time employee.
The following existing policies or new policies are scheduled to be reviewed or created by the Policies Subcommittee, upon mutual agreement by the City and the CCEA:
Requesting and Recruiting for Personnel Policy, I-1;
Testing, Cortication, and Eligibility Lists Policy, I-2; Nepotism Policy, I-6;
Driver’s License Requirements Policy, I-13;
Substance Abuse Policy for Commercial Drivers;
GPS/Cameras;
Standby Pay;
Disciplinary Procedures;
Fraternization;
Bilingual Pay;
Telecommuting Policy;
Safety;
Secondary Employment or Business Activity;
Educational Incentive Policy;
Marijuana Testing;
Part-Time Medical; and
Part-Time Sick and Vacation Accrual Rate.
Staff is recommending that, if there is no additional fiscal impact to the City beyond the fiscal impact of this agenda item, the policies and procedures listed above may be updated per mutual agreement between the CCEA, City Manager and Director of Human Resources.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF COMMERCE DOES HEREBY RESOLVE, DECLARE AND DETERMINE AS FOLLOWS:
Section 1. The City Council of the City of Commerce hereby finds and declares that the foregoing recitals are true and correct, and incorporates them herein as findings and as a substantive part of this Resolution.
Section 2. The modifications related to fringe benefits and compensation, is hereby approved.
Section 3. The Salary Schedules attached hereto as Exhibit “B” are hereby approved.
Section 4. Authorize the Mayor to execute the Resolution for and on behalf of the City of Commerce.
Section 5. The City Clerk shall certify to the adoption of this Resolution.
Section 6. This Resolution shall take full force and effect immediately upon adoption by the City Council.
PASSED, APPROVED AND ADOPTED this 18th day of July 2023 at Commerce, California.
Hugo Argumedo
Mayor
ATTEST:
_____________________________
Lena Shumway, City Clerk
Attachments:
1.. Salary Schedules