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A - OE3 signed Tentative Agreement (Exhibit A)

Cupertino City Council
November 7, 2023

Document
A - OE3 signed Tentative Agreement (Exhibit A)
Meeting
November 7, 2023
Body
Cupertino City Council
Original file
785 KB
Text extracted from the city's file for reading and search. Open the original on legistar.granicus.com. That file is the official record.

CITY OF
Operating Engineers,
Local 3

CUPERTINO
NEGOTIATIONS 2023
Correspondence

FINAJL COMPREHENSIVE

TENT ATIVE AGREEMENT
DATE: October 26, 2023 TIME: 12:33 PM
The foflowing represerits a comprehensive terttative agreement between the City of Cupertirto ("City") and the Operatirtg Ertgirteers, Local3 ("OE3" or "union") as a result of the wage reopener language in Section 10Mc) of the current Memorartdum of Understartding (effective July 1, 2022 through June 30, 2025), MOU Section Tentative Agreement
Term
Same as under current MOU agreement: 3-Year term effective July 1, 2022 through June 30, 2025.

Section 10.1-
Salary Schedule /
Healthcare Reopener
Effective the first full pay period on or after July 1, 2023, a salary increase will be added to the salary range of each classification iti this bargaining unit.

There shall be no further salary increase for FY24/25.

The parties further agree that they have fully satisfied the healthcare reopener negotiations for FY23-24 and FY24-25 and that no further healthcare negotiations will be held for the remainder of the MOU term.

Section 12 - Health and
Welfare Benefits
Effective January 1, 2024, for each participating employee, the City shall contribute toward premium cost the following amount per month during the term of this agreement.

January 1,
2024
City Max
Health
Contribution
City Max
Dental
Contribution
City Total
Max
Contribution
Employee $1,021.41 $126.78 $1,148.19
Employee +
I
$2,042.82 $126.78 $2,169.6
Employee +
2 $2,655.67 $126.78 $2,7L'.45
Required contribution amounts exceeding the premium contribution of the City are the responsibility of the -1-
Exhibit A
Operating Engineers,
Local 3

CITY OF

CUPERTINO
NEGOTIATIONS 2023
Correspondence
I employee. The City will no longer pay medical insurance cash back (excess of the monthly premium less the cost of the medical coverage) for any employee.

With regards to any change in the monthly medical plan premium charged by CalPERS in the plan year 2025 compared to the plan year 2024, the City's maximum contributions shall be capped at no more than 6%. Any required contribution amounts exceeding the premium contribution of the City are the responsibility of the employee.

All other provisions of this Section are the same.

Section 14.1- Fixed
Holidays
Add Lunar New Year and C6sar CMvez Holiday to holiday schedule starting in 2024.

Floating Holiday for CY
2023
' For Calendar Year 2023, OE3 employees will receive one (1) floating holiday in lieu of Lunar New Year holiday. Said floating holiday is "use it or lose it" and must be used by December31,2023. Ifsaidfloatingholidayisnotusedby
the last full pay period in December 2023, it shall be automatically cashed out in the first full pay period in January 2024.

Wage Reopener
For the sole purpose of this wage reopener provision which applies for the current MOU term (effective July 1, 2022 through June 30, 2025), should the City's financial situation change, such that ongoing revenue loss beginning with FY24/25 would be mitigated, and such mitigation would result in the City's budget being balanced and provide a minimum of $3 million dollars in ongoing surpluses (as defined in the City's quarterly and annual budget reports) in all subsequent years of the 10 year forecast chart for the General Fund, the parties agree to reopen wage negotiations for FY24/25. This provision shall automatically sunset on June 30, 2025.

All outstanding proposals to which there is no Tentative Agreement or which are not addressed above are to be withdrawn or deemed denied. -2-

CITY OF
Operating Engineers,
Local 3

CUPERTINO
NEGOTIATIONS 2023
Correspondence
The City and OE3 jointly acknowledge that this comprehensive tentative agreement is expressly contingent upon: i) the City Council's approval; and, ii) ratification by OE3's membership by October 31, 2023. The parties agree to recommend positively this Final Comprehensive Tentative Agreement to their principals for ratification.

For the City For the Union
Nristina Date MichaelMoore Date
Director of Administrative Services Business Representative Vanessa Guerra Date Kevin Greene
,mlu,/=z- '>
Date
Human Resources Manager
Labor & Employment Counsel
-3-

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