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Resolution No. 2022-312023-XX
AGREEMENT
BETWEEN THE CITY OF FULLERTON AND THE
FULLERTON MANAGEMENT ASSOCIATION,
FOR THE PERIOD JULY 1, 2021 2023 TO THROUGH JUNE 30, 2023 2027
ARTICLE 1: INTRODUCTION
This Agreement is made and entered into by the City of Fullerton (hereinafter referred to as the “City”), and the Fullerton Management Association (hereinafter referred to as the "Association" “FMA”). The AssociationFMA is the recognized majo rity representative of the non-sworn management bargaini ng unit (i.e., persons employed in classifications listed in Appendix A, hereinafter collectively referred to as “affected employees”).
Pursuant to City Council Resolution 5145 (which pertains to employer-employee relations) and California Government Code §3500, et seq., authorized representatives of the City and the Association have met and conferred in good faith concerning compensation, hours and other terms and cond itions of employment of affected employees, and have reached an Agreement that shall be submitted to the City Council for approval. Following approval, this Agreem ent shall be implemented by action of the Council or City Manager by appropriate ordinances, resolutions, or other directives.
Therefore, the City and the AssociationFMA agree that upon approval by the City Council, the compensation, hours and ot her terms and conditions of employment for affected employees shall be as follows:
ARTICLE 2: TERM - EFFECTIVE DATES
The term of this Agreement shall be from July 1, 2021 2023 through June 30, 2023 2027.
The effective date of each Article is July 1, 2021 2023 unless otherwise stated.
ARTICLE 3: SUCCESSOR AGREEMENT
Either party may initiate negotiations for a successor agreement by serving a written request to bargain on the other party no sooner than six-months preceding the expiration of this agreement. The parties may waive or extend this timeframe by mutual agreement.
The parties agree to meet withi n the thirty days after receipt of an initial proposal to bargain.
ARTICLE 4: MAINTENANCE OF EXISTING BENEFITS
Except as provided herein, all compensati on, hours and other terms and conditions of employment within the lawful scope of representation of the AssociationFMA presently Fullerton Management Association Page 2
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enjoyed by affected employees shall remain in full force and effect during the term of this Agreement.
ARTICLE 5: SEPARABILITY
If any part or provision of th is Agreement is rendered or declared invalid by any existing or subsequently enacted state or federal legislation or by any decree of any court of competent jurisdiction, the remaining portions shall continue in full force and effect.
ARTICLE 6: CITY REVENUES
The AssociationFMA will, without obligation, encourage its members to shop in Fullerton.
ARTICLE 7: SALARY
The schedule of base salary rates and the allocation of classes to salary ranges shall be as contained in Appendix A.
Effective the first pay period after ratification and approval of this Agreement:
A. The City will add a Step 6 fo r all FMA-represented classifications that currently only have five steps. The newly added Step 6 shall be set at 5% above Step 5. On the effective date, all employees that hav e been topped at Step 5 shall be moved to Step 6. On the effective date, all other employees shall be advanced to their next Step. The step advancement s provided under this Sect ion shall not impact an employee’s step increase review date. All employees that are not topped at Step 6 shall remain eligible fo r consideration to move to the next subsequent step at their step increase review date in accordance with Resolution 8485.
B. Any employee that is already in an FM A-represented classification that has six steps and is at Step 6 at the time of ratification and approval of the MOU, shall receive a one-time lump sum equivalent to 2.5% of the employee’s annual base salary.
Base salary rates shall be adjusted by ac ross-the-board increases according to the following schedule:
Eight percent (8%) base salary increase e ffective the first full pay period after July 18, 2023.
Four percent (4%) base salary increase e ffective the first full pay period after July 1, 2024.
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Four percent (4%) base salary increase e ffective the first full pay period after July 1, 2025.
Three percent (3%) base salary increase e ffective the first full pay period after July 1, 2026.
ARTICLE 8: INCREMENT PAY
A. Shift Differential Pay
An eligible Library employee shall re ceive, in addition to regular pay, Shift Differential Pay equal to 5% of his/her base hourly rate for any hours worked after 5:00 p.m., except that no one shall receive shift differential solely because he/she is on an alternate work schedule and works after 5:00 p.m. Eligible employees are only those regularly appointed to any Library position e ffective on or before June 28, 1985 as well as those regularly appointed to any full-time Library position after that date.
B. Emergency Duty Pay
A person regularly employed in a classification listed below (or any other as ordered by the City Council) shall be co mpensated at his/her base hourly rate when required to return to work for emergencies and/or to be held over for emergencies, as determined by the department head:
Building & Facilities Supe rvisor Sewer Supervisor
Equipment Supervisor Street Supervisor
Jail Supervisor Wate r Distribution Supervisor
Landscape Supervis or I/II Water Prod uction Supervisor A bargaining unit employee shall be co mpensated at his/her base hourly rate when required to perform em ergency duties. For purp oses of this section, “emergency” and “emergency duty” shall be defined as follows:
Emergency: An unforeseen situation that calls for immediate action, or an urgent need for assistance or relief, in order to provide or maintain the continuity of essential services to the public.
Emergency Duty: Duty by an employee required to report or return to duty, or required to be held over beyond t he employee’s normal end of shift, in order to meet an emergency at a ti me that the em ployee would not ordinarily have been on duty.
Emergency Duty status and eligibility for Emergency Duty Pay shall be determined by the employee’s Department Head or designee, and shall be reported monthly to the City Manager.
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Examples of circumstances which may qualify for Emergency Duty Pay include after-hours call-backs or hold-overs beyond the employee’s normal end of shift for reasons such as:
Assessment of conditions of privat e and/or public property damage which may pose a danger to the public;
Cleanup and repair of dangerous condition s, such as water/sewer main breaks, street sinkholes, downed tree limbs, and other damaged City infrastructure;
Lack of backup or subordinate staff to continue essential operations;
Required service as an Emergency Service Worker;
Attending to critical administrative f unctions which could impact service to the public or the City’s obligations to its employees (e.g., emergency procurement, or attending to time-sensitive payroll and personnel matters);
Required to respond to a notification to secure a City facility or property, such as responding to a security alarm call.
Any other emergency as determined by the employee’s Department Head, City Manager, or City Council.
Emergency Duty Pay is not intended to compensate represented employees for routine overtime for which the employee is already exempt under the FLSA.
C. Bilingual Pay
An employee shall be eligible to rece ive an additional $60 per pay period if the following conditions are met:
1. The employee is required, as part of his/her regular public contact duties, to speak and/or translate by reading/ writing one or more languages other than English.
2. The employee must pass a language ski lls test approved or administered by the City.
D. Overtime Pay
All represented classifications are exempt from the overtime provisions of the Fair Labor Standards Act (FLSA).
E. Deputy Director Assignment Pay
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An employee shall receive, in addition to regular pay, Deputy Director Assignment Pay equal to 10% of his/her base hourly rate for any pay pe riod during which he/she is assigned to deputy director dut ies and responsibilities in addition to duties and responsibilities of his/her regular classification subject to the following:
1. City has the unilateral right to assign an employee to the duties of a deputy director and to remove him/her from t hat position without cause or right of appeal.
2. Determination of an employee’s eligibility for a deputy director assignment shall be at the discreti on of the Department H ead and shall be based on employee performance, demonstrated readiness, and workload.
3. Deputy director assignments may be ro tated among similarly eligible employees within a department at the discretion of the Department Head.
4. Any and all deputy director assignment s must be approved in advance by the City Manager.
5. Only one employee per department may be assigned as a deputy director at any one time, except that, at t he recommendation of the Department Head and approval by the City Manager , up to two employees may be assigned as a deputy director if two departments are consolidated to one.
6. City reserves the right to make no deputy director assignments within a department.
7. City reserves the right to make no deputy director assignments within the City.
8. An employee receiving deputy director assignment pay shall not be eligible for Acting Pay provided for in City Personnel Rules, Resolution 8485, Section 8 (B)(3).
F. Compensation for City-Sponsored Events
An employee with responsibilities for the production of the specified City- sponsored events set forth below, or required to work on the days of such specified events managing City facilities rented for private events, shall be entitled to receive their regular compensation at time and one- half rate for any hours worked on the days of the events which are in excess of the employee’s regularly scheduled 40- hour work week.
This compensation is limited to only the following specified events:
Fourth of July
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First Night, Arbor Day
Veteran’s Day
ARTICLE 8.1: RETENTION PAY BONUS
Effective October 1, 2023 and through the remai nder of the term of this MOA, the City shall provide retention bonus in the form of a one-time gross lump sum payment when an employee achieves any of the following milestones of completed full-time regular service with the City:
10 years: $2,500
15 years: $3,000
20 years: $4,000
Effective October 1, 2023, eligible employ ees will receive the gross lump sum payment for the milestone that they most recently passed.
Subsequent to the October 1, 2023 retention pay bonus paym ents, employees shall be responsible for submitting a notification form to Human Resources prior to the date they become eligible to receive any future retention pay bonuses. Subsequent retention pay bonus payments shall be made on the second pay date following receipt of notification to Human Resources.
This provision shall automatically expire at the end of the term of this MOA. The City shall no longer have an obligation to make retention bonuses unless negotiated in a successor MOA.
ARTICLE 9: ACTING PAY
The pay provisions of the Cit y’s Acting Pay program (contained in Resolution 8485) are modified to provide that an employee: 1) s hall receive Acting Pay beginning at the start of the first full shift following 80 consecutive hours actually worked (not paid leave) of an Acting assignment; and 2) shall be paid for all time served in a subsequent Acting position if the employee has received Acting Pay for the same temporary classification within the preceding 12 months, and t here are at least 40 consecutiv e hours actually worked (not paid leave) in the second Acting assignment.
ARTICLE 10: EXCEPTIONAL PERFORMANCE PAY
Affected employees shall be eligible for the Exceptional Performance Pay Program.
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ARTICLE 11: TUITION REIMBURSEMENT
A. Objective
The tuition reimbursement program is designed to encourage employees to continue their career development by enrolling in approved classroom courses which will:
1. Educate them in new concepts and me thods in their occupational field and prepare them to meet the changing demands of their job.
2. Help prepare them fo r advancement to positions of greater responsibility with the City.
B. General Guidelines
1. The Director of Human Resources or his/her appointed representative shall:
a. Review written applications su bmitted by employees through their department heads.
b. Grant approval by either certif ying the acceptability of majors, courses and expenditures, or suggesting those courses which will qualify the employee for tuition reimbursement.
c. Consult with department heads and school authorities on the development and establishment of criteria and standards.
d. Render a decision on pre-enro llment approval and/or tuition reimbursement forms within 60 days of receipt by Human Resources.
2. If approval is denied, the employee may submit a written appeal within 30 days to an education review committe e consisting of three members appointed by the City Manager. The decision of the committee shall be final and binding on all parties, subject to thei r right to seek judicial review, and the decision shall not be subject to the grievance procedure.
C. Eligibility
1. All regularly appointed employees w ho have passed their initial probation period are eligible to receive tuit ion reimbursement. Courses must:
commence after passing the initial pr obation period; be in excess of the educational standards for the classification (as noted in the class specification); and not be taken to acquire skills, knowledge and abilities which the employee was deemed to have when appointed to the Fullerton Management Association Page 8
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classification. An example of this would be college or university courses when the specification for the classification calls for high school graduation.
2. Courses must be (except where not ed below in paragraph 5) approved by one of the regional accreditation associations recognized by the Council for Higher Education Accreditation ( CHEA). Credits for non-classroom assignments such as life experienc e and military training are not reimbursable.
3. A course must be: 1) related to the employee's cu rrent classification; 2) related to a City classification to which the employee may reasonably expect promotion within five years of completi on of his/her educat ional objective; or 3) required for the completion of the pre-approved job-related major. An example of the third requirement w ould be general education or elective requirements for the major as stated in the school catalog.
4. Courses shall not duplicate training which the employee has already had or which is to be provided in-house unl ess approval has been granted by the department head and the Human Resources Department.
5. Job-related seminars, courses or conferences for which an academic grade or units of academic credit are not given are eligible with pre-approval from the department head and the Human Resources Department.
6. Courses related to the use of employee-purchased City-approved computer equipment may be authorized under the tuition reim bursement program if pre-approval is granted before commencement of a non-accredited class.
7. Courses cannot be taken on City time. The employee must certify that all courses submitted for approval were taken on his/her off-duty time.
8. To certify eligibility, a fully comp leted preapproval form shall be submitted to the department head and to Human Resources before the course begins.
D. Reimbursement
1. A tuition reimbursement request fo rm must be submitted within three months of the completion of the approved course(s). A minimum final grade of “C” or its equivalent is required for reimbursement. A pass in a pass/fail course will be considered equivalent to a “C” for reimbursement purposes only. No reimbursement shall be made for audited or incomplete courses.
2. Employees shall be reimbursed fo r tuition and any fees and reading materials required by the academic instit ution for the eligible course(s).
Expenses for parking, travel, lodging, meals, transcript fees, materials and any other costs are not reimbursable.
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3. Employees shall be reimbursed up to the dollar amount charged for the same number of units per term by California State University, Fullerton, with a maximum of $2,500 per fiscal year. The difference between the City's maximum obligation during any fiscal y ear and the amount of any actual reimbursement received by the employ ee during that fiscal year shall not be carried over or be available for use by the employee in any subsequent fiscal year.
4. Employees must submit a bona fide cert ification of major from the attendant institution, fees paid and grade ac hieved to have their request for reimbursement considered. Thes e documents must accompany the reimbursement request form.
5. Upon separation from employment, em ployees shall reimburse the City for any funds received under this program for courses completed during the last 12 months of employment. Th is payback provision does not apply to employees who receive a service or di sability retirement (as defined in Article 17(B)(4)), who are laid off by the City or who separate as a result of a City/departmental reorganization.
ARTICLE 12: UNIFORMS
A. Field maintenance employees shall be eligib le to receive up to six uniforms from the City for wear on the job and to/from the job.
B. For Police employees required to w ear and maintain uniforms, the City shall determine and provide the “first issue” of uniforms upon initial appointment, as well as a biweekly allowance of $17.32.
ARTICLE 13: SURVEYS
In determining what is adequate compensation, the parties s hall use as a guideline the compensation provided to comparable employ ees in the following jurisdictions or any other jurisdictions deemed appropriate: A naheim, Buena Park, Costa Mesa, Garden Grove, Huntington Beach, Newport Beach, Ontario, Orange, and Santa Ana.
ARTICLE 14:
CALIFORNIA PUBLIC EMPLOYEES' RETIREMENT SYSTEM (CalPERS)
A. The City’s contract with CalPERS fo r affected employees shall include the following options:
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1. One-Year Highest Co mpensation (Cal. Gov. Code §20042) for employees hired by the City on or before December 22, 2012.
2. Employees hired on or after De cember 23, 2012 who are not “new members” as defined under the Public Employees’ Pension Reform Act of 2013 (Cal. Gov. Code §7522 – 7522.74), hereinafter PEPRA, will have their final compensation calculated based on the provisions of California Government Code §20037. Final compensation shall be calculated based on the average of the highest three consecutive years.
3. Employees hired on or after Januar y 1, 2013 who are “new members” as defined under PEPRA will have their final compensation calculated based on the provisions of California Government Code §7522.32 (highest average pensionable compensation for 36 consecutive months.)
4. Post-Retirement Survivor Allowa nce (Cal. Gov. Code §§21624, 21626).
5. Fourth Level of 1959 Survivor B enefits (Cal. Gov. Code § 21574).
6. Military Service Credit as Public Service (Cal. Gov. Code §21024), in which the employee pays the entire cost.
7. 2% @ 55 – Full Formula (Cal. Gov. Code §21354) for employees who are not “new members” as defined by PEPRA.
8. 2% at 62 formula (Cal. Gov. C ode §7522.20) for employees who are “new members” as defined by PEPRA.
9. Pre-Retirement Optional Settlement 2 Death Benefit (Cal. Gov. Code §21548).
10. Credit for Unused Sick Leave (Cal. Gov. Code §20965). An employee who is not eligible for benefits under Ar ticle 29(F) Payment for Unused Sick Leave upon Separation shall receive ad ditional service credit for his/her unused sick leave upon retirement from the City, converted per the terms of the CalPERS contract.
B. Employer-Paid Member Contributions (EPMC) – Employees Who Are Not “New Members”
For employees who are not “new members” as defined by PEPRA, the City shall pay the CalPERS normal member contribut ion [as defined in §20677(a)(2) of the California Government Code] into each employee's account with CalPERS, pursuant to §20691 of the California Govern ment Code. This payment will be included within the employee’s compen sation earnable that is reported to CalPERS, pursuant to §20636(c)(4) of the California Government Code.
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1. Effective the first full pay period that includes July 1, 2024 the City’s EPMC contribution shall be reduced by one percent (1.0%), with one percent (1.0%) of the normal member contribution paid by the employee.
2. Effective the first full pay period that includes July 1, 2025 the City’s EPMC contribution shall be reduced by an additional one percent (1.0%), with two percent (2.0%) of the normal member contribution paid by the employee.
3. Effective the first full pay period that includes July 1, 2026 the City’s EPMC contribution shall be re duced by an additional two and one-half percent (2.5%), with four and one-half perc ent (4.5%) of th e normal member contribution paid by the employee.
4. Effective the first full pay period that includes January 1, 2027 the City’s EPMC contribution shall be re duced by an additional two and one-half percent (2.5%), with seven percent (7.0%) of the normal member contribution paid by the employee.
This employer-paid member contribution EPMC shall not be considered base salary, and is not taxable income, pursuant to §414(h)(2) of the Internal Revenue Code. However, should any state or f ederal agency alter the current income tax treatment of such payment , the consequences of such action shall be the sole responsibility of the affected employees and shall in no way alter any obligation of the City toward such employees. “New members” as defined by PEPRA are not eligible for this benefit.
Employee Cost-Sharing of Employer Contribution Rate – Employees Who Are Not “New Members”
Effective December 10, 2011, employees who are not “new members” as defined by PEPRA shall contribute seven percent (7%) of their compensation earnable (as defined in Government Code §20636) toward the employer contribution rate (“cost- sharing”). Effective December 23, 2012, the City amended its contract with CalPERS to implement the provisions of California Government Code 20516(a) to provide that a portion of the seven percent ( 7%) contribution shall be made pursuant to Government Code Secti on §20516(a), with t he balance of the seven percent (7%) contribution made pursuant to Government Code Section §20516(f).
In the event of a change in the law or legal determinat ion that any portion of the seven percent ( 7%) employee contribution toward the employer rate is not allowable as agreed, the employer-paid member contributions EPMC shall be reduced by whatever portion is not allowable and the parties shall meet and confer to determine the appropriate modifications of benefits to offset this change.
1. Effective the first full pay period that includes July 1, 2024, the Employee cost-sharing contribution shall be reduced by one percent (1.0%).
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2. Effective the first full pay period that includes July 1, 2025, the Employee cost-sharing contribution shall be reduced by an additional one percent (1.0%), for a total of two percent (2.0%).
3. Effective the first full pay period that includes July 1, 2026, the Employee cost-sharing contribution shall be reduced by an additional two and one-half percent (2.5%), for a total of four and one-half percent (4.5%).
4. Effective the first full pay peri od that includes January 1, 2027, the Employee cost-sharing cont ribution shall be reduc ed by an additional two and one-half percent (2.5%), for a total of seven percent (7.0%).
It is further provided that should legi slation be enacted that requires employees pay any portion of the required member contribution, then the City shall take whatever action is necessary to reduce the amount of the employee pick-up of the employer contribution by the amount of the required payment by the employee of the member contribution.
C. The City shall pay the 1959 Survivor Benefits premium for affected employees.
ARTICLE 15: SOCIAL SECURITY
In the event the City and its em ployees are required to partici pate in the Federal Social Security program, the City and the Association shall meet-and-confer on this subject prior to implementation.
ARTICLE 16: MEDICARE
Employees hired by the City on or after April 1, 1986 s hall be required to pay the designated employee contribution to participat e in the MediCare Program and the City shall be under no obligation to pay or “pick up” any such contributions.
ARTICLE 17: HEALTH INSURANCE
A. Contributions - Employees
1. The employee monthly contribution to medical insurance shall be the difference between the employee’s selected plan and tier of coverage and the following monthly City contributions:
Single $ 450
Two-Party $ 925
Family $1,300
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2. Any increases to these City monthly contributions shall be subject to future negotiations.
3 If at any time during the term of this agreement, it is determined that the City’s contribution toward medical in surance is less than required for minimum affordable coverage under the Affordable Care Act, the City shall, at its own discretion, increase any contribution by the amount necessary to meet the affordability requirements.
B. Contributions – Retirees
1. For each person regularly employed for 20 cumulative years or more who retires subsequent to September 30, 1995 the City shall pay the same contribution provided to active em ployees for employee-only coverage under the City health plan chosen by t he retiree, provided, however, for persons hired by the City on or after January 1, 2012, the maximum monthly contribution paid under this paragr aph shall be Two Hundred Dollars ($200.00). With respect to an employee who retired between June 28, 1986 and September 30, 1995 the City sha ll pay 100% of the employee-only premium.
1.2. For each person who 1) was hired before January 1, 2012, 2) has been regularly employed for 20 cumulative years or more, and 3) who retires from the date this MOA is approved by t he City Council through December 31, 2024 only, the City shall pr ovide a monthly medical contribution of $550.
Any such retiree shall not be eligible for any other retiree medical benefits provided under Article 17(B).
2.3. For each person regularly employed for t en or more cumulative years, but less than 20, and who retires subsequent to September 30, 1995 the City shall pay 50% of the c ontribution provided to active employees for employee-only coverage under the City he alth plan chosen by the retiree, provided, however, for persons hired by the City on or after January 1, 2012, the maximum monthly contribution paid under this paragraph shall be One Hundred Dollars ($100.00). With re spect to an employee who retired between June 28, 1986 and September 30, 1995 the City shall pay 50% of the employee-only premium.
4. For each person regularly employed for fi ve or more cumulative years, but less than 10, and who retires subsequent to December 31, 2002 the City shall pay 25% of the c ontribution provided to active employees for employee-only coverage under the City heal th plan chosen by the retiree.
Persons hired by the City on or after January 1, 2012 shall not be eligible for this benefit.
3.5. For any employee that retires during the term of this MOA, the City will reimburse such retirees who live outside of the City’s Medical Network for the Fullerton Management Association Page 14
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actual cost of procuring comparable health insurance in an amount not to exceed what the City would otherwise be obligated to pay on behalf of the retiree pursuant to Article 17(B) of the MOA. This obligation shall continue until the retiree reaches age 65 or becomes eligible to enroll, automatically or voluntarily, in Medi-Cal or Medicare, whichever occurs first. Reimbursement is subject to the retiree submitting proof of payment to the City for coverage in a health plan that is co mparable to the City’s health plan and meets the affordability requirements of the Affordable Care Act.
4.6. A “retiree” as used in this Article shall mean only those former employees who receive a CalPERS retirement allowance that has been in effect since the day after official separation from City of Fullerton employment.
5.7. This obligation to pay health insurance premiums shall end at such time as the retiree reaches age 65 or becomes e ligible to enroll, automatically or voluntarily, in MediCal or MediCare, whichever occurs first.
6.8. A retiree desiring to have health in surance coverage for dependents shall remit to the City a check for the amount of dependent coverage no later than the 15th of the month, preceding the effective month of coverage.
C. Opt-Out
1. An employee may “ opt-out” of the City’s medical plan under these conditions:
a. The employee must sign a document stating his/her desire to waive medical insurance.
b. The employee must provide proof of other group health insurance coverage that is compliant with the Affordable Care Act, which shall be confirmed by the City each year prior to open enrollment.
c. The employee may only re-enr oll during 1) annual open enrollment, or 2) upon loss of coverage in accordance with the underwriting guidelines for each of the City’s health plans.
2. The employee will then receive a cash payment equal to $50 per pay period.
D. “Flex Credit” Contribution
The City will implement a “flex credit” credit contribution in the amount of $50 per month paid in $25 increments for the first two pay periods of each month beginning January 2021. These “flex credits” shall be paid through a revised Section 125 Plan. The City and the Association will meet and agree regarding the scope of the Section 125 Plan options for employee use of the “flex credits.”
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For those employees enrolled in the City’s medical program, the City will implement a “flex credit” contribution in the amount of $50 per month paid in $25 increments for the first two pay periods of each month. These “flex credits” shall be paid through a revised Section 125 Plan.
Effective January 1, 2024 (implemented on the seco nd pay date in the prior December), the City will increase the flex benefit contribution for those employees enrolled in the City’s medical program by an additional $300 (a total of $350 per month) paid in $175 increments for the first two pay periods of each month.
Further, effective January 1, 2025, the “flex credits” for those enrolled in the City’s medical program shall be provided in three tiers based on their particular enrollment:
Employee, Employee + 1, or Family. The “flex credits” will be adjusted annually in the amount of 50% of the pr emium increase for each applicable tier in the Kaiser HMO plan. If the premium goes down, there shall be no adjustment to the flex credits for that year.
Flex credits may be applie d to the City’s health in surance, dental, and vision premiums. Flex credits shal l be applied in th e following order: health insurance (first); dental insurance (second), and vision insurance (third). Any remaining flex credits after application to the City’s health, dental, and vision premiums shall be forfeited.
For those employees who are not enrolled in City’s medical plan, they shall receive a contribution to a Flexible Spending Account (“FSA”) in the amount of $50 per month paid in $25 increments for the first two pay periods of each month (see Article 18).
The flex credits afforded under Article 17(D) shall in no way impact the City’s separate obligation to provide a medical contribution to retirees under Article 17(B). The provision of flex credits to active employees under Article 17(D) does not constitute a “contribution” owed to retirees under Article 17(B).
If the City transitions to obtaining medical benefits through CalPERS during the term of this MOA, the parties will reopen Ar ticle 17 to meet and confer over flex credits and City medical contributions.
E. Voluntary Benefits Plan
Effective April 1, 2020, or as soon thereafter as practical, the The City will has implemented a voluntary benefits plan through The Standard Insurance Company.
Employees may opt in to plans provid ing supplemental benefits for Accident, Hospital and Critical Illness covered incidents. Premiums for employee selections shall be deducted from the employee’s pay on a post-tax basis.
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ARTICLE 18: REIMBURSEMENT FLEXIBLE SPENDING ACCOUNT
PROGRAM
The City’s Reimbursement Flexible Spending Account (FSA) Program shall be made available to affected employees.
Pursuant to said program, an employee may request that eligible expenses be paid or reimbursed by the City out of his/her account, with the employee’s base salary being reduced by the amount of any such payments or reimbursements.
Each employee with a payroll deduction for medical and dental insurance premiums shall have his/her salary reduced by the amount of those deductions, on a before-tax basis.
ARTICLE 19: LONG-TERM DISABILITY INSURANCE
A. The City shall pay 100% of the premium for a Cit y-owned Long-Term Disability insurance policy affording coverage to each active employee.
B. The policy shall have an elimination per iod of 55 calendar days of continuous disability. Anytime after the expiration of the elimination period, the employee may apply for Long-Term Disability insurance or may continue to use accrued leave pursuant to the City’s policy thereon.
C. The maximum benefit shall be 60% of t he eligible employee’s pre-disability earnings as defined in the policy document , or $6,000 per mont h, whichever is less. This maximum benefit shall be calculated in accordance with policy definitions.
ARTICLE 20: LIFE INSURANCE
The City shall provide group term life insurance equal to annual base salary for all affected employees. In compliance with the City's curr ent life insurance contract, employees at age 70 shall have benefits reduced by 35%, and employees at age 75 shall have benefits reduced by 50%. Each employee may purchase additional City group term life insurance.
ARTICLE 21: VISION INSURANCE
The City shall provide vision care insurance to employees and their dependents enrolled in a City sponsored medical The City shall contribute toward coverage under this plan the lesser of the premium for such coverage or $24.88 per month.
ARTICLE 22: DENTAL INSURANCE
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The City shall pay up to an amount equal to the family premium rate for the prepaid dental plan for employee and dependent coverage under any group dental insurance plan administered or approved by the City.
A retiree, as defined in Article 17(B)(4), and his/her eligible dependents may subscribe to a City dental plan by paying the full premium for the coverage chosen.
ARTICLE 23: SELF-INSURANCE/OTHER
The City shall have the right to provide all or any portion of the benefits presently available under any existing health, long-term disabili ty, dental, or vision plan through a self- insurance program or, in the case of vision insurance, via a contract with a direct provider; however, the election of such option shall not cause affected employees to suffer any loss of benefits or coverage.
A medical advisory committee, to include representatives of the four major employee organizations shall be establis hed. The committee shall m eet with City representatives at least four times per year. This committ ee's functions shall include analysis of plan coverage and cost containment opportunities, the review of alternative approaches to medical insurance, and communications to and from employees, for the purpose of providing reasonably priced medical care. Committee recommendations shall be developed with a view toward including them in this Agreement.
ARTICLE 24: CONSOLIDATED OMNIBUS BUDGET RECONCILIATION
Employees who are allowed to remain on a City health or dental insurance plan following separation from employment pursuant to the Consolidated Omnibus Budget Reconciliation Act of 1985 (COBRA) may be charged the maximum rate permissible by law for such coverage (presently 102% of the premium for an active employee).
ARTICLE 25: DISCRETIONARY PERSONAL LEAVE
Discretionary personal leave accumulated and not used prior to the term of this Agreement will be available for employee use until such time as the employee separates from the City. This discretionary personal leave will have no cash value and its use must be approved by the Department Head and not require overtime backfill. Employees on discretionary personal leave will be on paid status. No additional Discretionary Personal Leave will be provided during the term of this Agreement. This leave is separate and distinct from Discretionary Holiday Leave referenced in Article 26.
ARTICLE 26: HOLIDAY LEAVE PROGRAM
A. The following days shall be recognized Holidays for employees of this unit:
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1. January 1, New Year’s Day
2. The third Monday in February, Presidents’ Day
3. The last Monday in May, Memorial Day
4. July 4, Independence Day
5. The first Monday in September, Labor Day
6. November 11, Veteran’s Day
7. Thanksgiving Day
8. The Friday following Thanksgiving Day
9. December 24, Christmas Eve
10. December 25, Christmas Day
11. December 31, New Year’s Eve
B. No other day shall be such a holiday unl ess it is a non-recurring holiday designated specifically by the President of the United States and/or the Governor of California and approved by the City Council.
If any other bargaining unit receives Martin Luther King, Jr. Day as a holiday during the term of this MOA, FMA members shall also receive the holiday.
C. An employee who works wit h regard to holidays will receive holiday leave time in the amount of 9 hours or the length of the employee’s work shift, whichever is less, to be used when a designated City holiday occurs and employee works in a location, facility or program that is cl osed on the holiday, and the holiday falls on the employee’s regular workday, and the employee is not requir ed to work. The hours will be paid on t he day the holiday occurs exc ept as provided in Article 26(C)(1) and (2) below. There shall be no additional cash value for holiday leave hours.
1. An employee who is required to work on a holiday will rece ive in addition to his/her normal pay for the day, holiday discretionary paid leave time in the amount of 9 hours or the length of the employee’s work shift, whichever is less, to be used at a later time in accordance with rules set forth herein.
2. An employee will receive holiday discr etionary paid leave time in the amount of 9 hours or the length of the employee’s work shift, whichever is less, when a City designated holiday falls on a day t hat is not a regular workday for the Fullerton Management Association Page 19
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employee. These hours may be used at a later time in accordance with rules set forth herein.
3. Holiday discretionary leave time rece ived under this Article must be used during the fiscal year in which it is received. Hours not used will expire. There will be no cash value associated with the holiday discretionary leave hours received under this provision.
ARTICLE 27: VACATION
A. Accrual
1. Each employee shall accrue vacation credit with pay in accordance with the following table:
N u m b e r o f H o u r s
Amount of Current Serv ice Annually Biweekly
<10 Years 120 4.62
≥10 Years 128 4.93
≥11 Years 136 5.24
≥12 Years 144 5.54
≥13 Years 152 5.85
≥14 Years 160 6.16
≥20 Years 168 6.46
≥25 Years 176 6.77
The City Manager may authorize a new em ployee to earn vacation credit at any of the rates described above, up to 160 hours annually.
2. Vacation credit shall accrue each pay period in which the employee has worked or used paid leave except sick leave for at least one full regular work shift. An employee absent on sick leave or unpaid leave of absence for an entire pay period shall not receive vacation credit for that pay period.
B. Usage
1. First Vacation: A new employee’s first vacation may not be taken until he/she has worked for 13 pay periods. Absences such as sick leave or unpaid leave for an entire pay period shall not be considered time worked for this purpose.
2. Department Head Approval: No vacation absence with pay may be taken without approval by the department head or designee. The department head shall schedule and approve vacation for his/her employees as requested or at such other time as will achieve the most efficient functioning Fullerton Management Association Page 20
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of the department and to avoid any loss of vacation by reason of the accumulation limit provided herein.
C. Accumulation Limit
An employee may accumulate vacation credits , with the right to take or be paid for if not taken, up to twice his/her annual vacation allowance. Vacation credit earned beyond the maximum is forfeited, with the following exception:
When any written request by an employee to take vacation is refused or not acted upon by the department head and the employee is not allowed other vacation time off to prevent a loss of vacation credits, the employee shall be paid at the straight time salary rate then in effect not only for the time worked, but also for the vacation time that would have been credited to him/ her for working were it not for said accumulation limit. This payment shall c ontinue until such time as the employee is permitted to take a vacation.
D. Annual Conversion
1. At the end of each payroll year, an e ligible employee may convert up to 80 hours of unused vacation time into cash, payable at the base salary rate in effect at the time of conversion. Such conversions shall be made concurrently with the annual conversion of sick leave.
2. To be eligible, an employee must hav e completed his/her initial probation period and must have at least 80 hour s of vacation remaining after such conversion.
E. Separation From Employment
An employee who separates from employment by resignation, layoff, or otherwise, shall be paid the balance of his/her a ccumulated vacation credits, at the base salary rate in effect on the date of separation. In the case of the employee's death, the balance shall be paid to the employee’ s designee or, if no designee, to the employee's estate.
ARTICLE 28: SICK LEAVE
A. Each regular full-time employee ( 80 hours per pay period) shall earn and accumulate 3.69 hours of sick leave for each pay period in which the employee has worked at least one full regular wo rkday. An employee absent on vacation shall receive sick leave credit, but an employee absent on sick leave or an unpaid leave of absence for an entire pay period shall not receive sick leave credit for that period.
B. Sick Leave Usage
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An employee shall be allowed to use hi s/her accumulated sick leave as follows:
1. Absences relating to the health or welfare of the employee:
a. Personal illness or physical incapacity;
b. Medical or dent al appointments;
c. Forced quarantine in accordance with community health regulations.
d. For the purposes under Labor C ode sections 230 and 230.1 to make necessary arrangements for the safety and welfare of the employee in cases of domestic violence, sexual assault, or stalking.
2. Absences relating to the health of the employee’s family:
a. Health conditions of, or medi cal or dental appointments for, the employee’s family members as required by law in a total amount not to exceed 48 hours in a payroll year.
b. The care of an employee’s newbor n child/children or the placement with an employee of a son or daught er for adoption or foster care within the first 12 months after birth or placement, for up to 96 hours.
c. The serious health condition of a family member which qualifies under the Family and M edical Leave Act (FMLA), provided that the employee has submitted all necessary documentation to the Human Resources Department certifying the condition qualifies for FMLA.
In no event shall the total time taken pursuant to 2a, 2b and 2c exceed 480 hours in any 12-month period. This maximum limit of 480 hours shall be reduced by any time taken pursuant to the employee’s own FMLA qualifying condition(s) within such rolling 12 -month period exce pt as otherwise required by law.
C. Approval of Sick Leave
1. Sick leave may be taken only when an employee has sick leave credits. The first sick leave with pay may not be taken until the 90th day of City employment. No payment for sick leave shall be made without the approval of the department head or designee.
2. Prior to resuming work after taking three or more consecutive shifts of sick leave, an employee shall su bmit a physician's writte n certification of the medical necessity for his/her absence from work and a written release stating that he/she is able to perform his/ her normal or modified job duties.
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For example, an employee absent on Monday, Tuesday and Wednesday must provide this release before resuming work on Thursday.
If the absence of three or more cons ecutive shifts is for family illness (See B2 above), the employee shall submit certification from the family member’s attending physician of the medical c ondition during the length of absence for which paid leave is requested. The physician’s certification shall verify that the family member had an illness, injury or medical procedure during the period of time for which paid l eave is requested. However, the certification shall not be required to include a diagnosis or description of injury or treatment.
D. Bereavement Leave
The death of a member of the employee’s immediate family shall entitle the affected employee to be absent for three shifts (not to exceed 27 hours) and such absence shall not be charged to sick leave. An employee may also use two shifts (not to exceed 18 hours) of accumulated sick leave per incident for bereavement purposes, and the City Manager may authorize up to an additional five shifts (not to exceed 45 hours) of sick leave usage for bereavement purposes when appropriate.
The definition of “immediate family” fo r the purpose of ber eavement leave shall include the employee’s spouse, parents, children, stepchi ldren, brother, sister, mother-in-law, father-in-law, grandparen t, grandchild, stepparent, legal guardian and others as required by law.
E. Annual Optional Conversion of Sick Leave
Employees hired on or after June 29, 1996 are not eligible fo r this conversion program.
1. A person who has been r egularly employed by the City for the full preceding calendar year and has at least 24 hours of unused sick leave remaining from the preceding payroll year may convert a fixed percentage of the unused portion of those credits to either of the following:
a. Up to 50% to vacation credits; or
b. Up to 50% to cash to be paid at the employee’s base salary rate.
2. An eligible employee who does not use sick leave during the preceding payroll year may convert up to 60% to ca sh or vacation to be paid at the employee's base salary rate.
F. Payment for Unused Sick Leave Upon Separation
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Payment for unused sick leave upon separati on shall be paid to persons regularly appointed to any City classification on or before August 31, 1983 and employed continuously thereafter. All others are ineligible for this benefit.
1. If an eligible employee dies or re tires, 55% of the unused sick leave credits accumulated will be paid to the employee or, in the case of the employee’s death, to the employee’s designee or, if no designee, to the employee’s estate. Such payment will be at the base salary rate in effect at the time of such separation.
2. An eligible employee who separates after ten years of continuous service for any reason other than death or re tirement, shall be compensated for 55% of the unused balance of all accumulated sick leave credits in excess of 960 hours, to be paid at the base salary rate in effect at the time of such separation.
G. All sick leave credits not taken as sick leave or otherwise converted shall remain within the employee's accumulated sick leave credits.
H. The City Manager may authorize a new employee to have up to 440 hours of sick leave credit. Such credit shall be avai lable only for use as described in B above and shall not be available for any other use.
ARTICLE 29: MANAGEMENT LEAVE
A. Each employee shall be eligible for up to 32 hours (36 hours for employees on a synchronized 9/80 schedule) of management leave each fiscal year. Additional time may be granted at the discretion of the employee's department head.
B. Management leave shall not accrue pas t the maximum. Unused management leave shall be lost at the end of each fiscal year and shall not be converted to any other form of compensation.
C. An employee who separates prior to the end of a fiscal year shall have deducted from the final paycheck or vacation balance any management leave that would be considered advance payment.
ARTICLE 30: WORKERS' COMPENSATION PROGRAM
A. Supplemental Pay
1. An employee absent due to illness or injury resulting from his/her City employment, for which the employee is eligible to receive temporary total disability payments under California Workers’ Compensation laws, shall be paid his/her full salary only for the fi rst 1,040 cumulative hours of absence Fullerton Management Association Page 24
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related to the illness or injury, includi ng absences for medical or therapy.
This salary payment period shall not extend beyond the date temporary total disability payments are terminated. Persons employed on a 3/4-time basis shall receive a cumulative total of 780 hours, and persons employed on a half-time basis shall receive a cumulative total of 520 hours.
2. A full-time employee who suffers a tem porary disability as a result of what is interpreted under state Workers’ Compensation laws as a separate illness or injury, regardless of whether the ill ness or injury is to the same or a different part of the body, shall be entitled to an additional 1,040 hours cumulative time of supplemental pay (pro rata time if a part-time employee) for each such separate illness or injury.
3. Once the employee has exhausted all of the benefits described in subparagraphs 1 and 2 above, the employ ee shall be entitled, at his/her request, to use any accumulated sick l eave credits to pay the difference between his/her full salary and any amounts paid him/her under said Workers’ Compensation laws until his/her accumulated sick leave credits are exhausted.
B. The anniversary date of any employee who is absent from work as a result of an illness or injury resulting from the performa nce of duties in the course of his/her employment, shall not be thereby affected as long as he/she is receiving an amount equal to his/her full pay. During such time, the employee shall continue to accrue vacation and sick leave benefits in the same manner as through he/she were not absent.
ARTICLE 31: JURY DUTY
When an employee is duly summoned to jury dut y, he/she shall receive her/his regular pay for any regularly scheduled working hour s spent in actual performance of such service. If the employee receives $50 or more for such service, the employee shall remit to the City all fees and allowances payable fo r such service, less reimbursements from the court for meals, travel or lodging.
Employees who have the option to request call-in juror status shall exercise that option.
ARTICLE 32: PAYROLL SYSTEM
A. The City shall utilize the biweekly pay system. Pay per iods shall begin at 12:01 A.M. every other Saturday , and end at midnight on the second Friday (i.e., 14 calendar days later) thereafter. Paydays shall occur on the Friday following the conclusion of each pay period. The one exception to this is when that Friday is a City holiday; the payday shall fall on the preceding business day.
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B. Each affected employee shall participat e in the City’s direct deposit payroll program.
ARTICLE 33: SUBSTANCE ABUSE
A. It is the responsibility of all affected employees to cooperate to protect the lives, personal safety and property of coworkers and fellow citizens. The parties hereto and all affected employees shall take a ll reasonable steps to accomplish these goals and to minimize potential dangers.
B. It is in the best interest of the City, the Association FMA, affected employees and the public to ensure that affected em ployees do not appear for work under the influence of drugs or alcohol, or possess illegal substances or alcohol while at work, because such conduct is likely to re sult in reduced productivity, an unsafe working environment, poor morale and incr eased potential liability to the City. “Under the influence of drugs” means the use of any illegal substance or misuse of a prescribed drug in a manner and to a degree that impairs the employee's work performance or ability to use City property or equipment safely.
C. The City pays for a counseling servic e for employees who have problems with drugs and/or alcohol. The City and the Association FMA agree that every effort shall be made by the City and the Association FMA to refer employees who have such problems to this counseling service for assistance.
D. The City may compel an employee who is unable to perform the duties of his/her position to submit to a medical examination on City time and at the City’s expense.
ARTICLE 34: USE OF TOBACCO
In addition to the policy set forth in City directives, affected employees shall not use tobacco products, including electronic cigarettes or vapor devices, in any form inside City buildings, structures, vehicles, and/or in plain view of the public while on duty.
The City shall reimburse (up to $500 per fiscal year) the out-of-pocket expenses of any affected employee who completes a smoking cessation program operated by one of the City’s health insurance providers, the em ployee assistance progr am, the American Cancer Society, the Americ an Lung Association, or any other bona fide program preapproved by the Director of Human Resources.
ARTICLE 35: LAYOFFS
If the City decides layoffs are necessary, t he parties shall meet- and-confer to discuss alternatives to layoffs.
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ARTICLE 36: NEW EMPLOYEE ORIENTATION
The City will provide the Association FMA with ten (10) calendar days advanced notice of all new employee orientations within the bargaining unit, unless it is unable to reasonably do so because of an unforeseeable urgent need critical to City operations. If such a case arises, the City will provide as much notice as possible to the Association FMA, or make other arrangements for the Association FMA members to meet with the new employee.
The AssociationFMA will select its representative(s) to attend the orientations. When selecting its representative(s), the Association FMA will make reasonable efforts to minimize disruption to the department operat ional needs. If, due to operational needs, no Association FMA representative is available, the Association FMA will arrange an alternative time for Association FMA to meet with the new employee.
Association FMA member(s) will be provided up to 15 minutes at the end of the orientation to present membership information regarding the Association FMA to onboarding employee(s). Human Resources st aff will not be present during the Association FMA portion of the onboarding. Releas e time will be provided to the Association FMA representative(s) for this meeting.
The City will provide the employee information it has on file in compliance with AB 119 (name, job, title, department, work location, work, home and personal cellular telephone numbers, personal email addresses on file with the City, and home addresses) for all new hires within the bargaining unit within 30 days of hire.
In addition, on a quarterly basis, the City will provide the Association FMA with a digital file containing the same information for all employees in Association FMA represented classifications.
Appendix A: Management Salary Schedule
DATE: March 9, 2022 July XX, 2023
FOR THE FULLERTON MANAGEMENT FOR THE CITY OF FULLERTON
ASSOCIATION
_____________________________
David Grantham Eddie Manfro
President Director of Human Resources
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_____________________________
Bill Roseberry Ellis Chang
Vice President Director of Administrative Services
_____________________________
Aaron Peardon
OCEA Senior Labor Relations Representative