DATE:
May 17, 2022
TO:
Mayor and Council Members
Chair and Board Members, Hesperia Water District
FROM:
Nils Bentsen, City Manager
BY:
Rachel Molina, Assistant City Manager
Casey Brooksher, Director of Administrative Services
Rita Perez, Deputy Director of Human Resources
SUBJECT:
Memorandum of Understanding between City of Hesperia and Teamsters Local 1932 for the period of February 1, 2022 through January 21, 2024
RECOMMENDED ACTION
It is recommended that the City Council adopt Resolution No. 2022-35 and the Board of Directors of the Hesperia Water District adopt Resolution No. 2022-05, approving the Memorandum of Understanding with Teamsters Local 1932 (Teamsters).
BACKGROUND
The current Memorandum of Understanding (MOU) between City of Hesperia and Teamsters was effective February 1, 2020 through January 31, 2022, and remained in effect until a successor MOU was negotiated.
On February 23, 2022, City and Teamsters began the meet and confer process to negotiate a successor MOU. In April 2022, the parties reached a tentative agreement on a successor MOU to cover a two-year period beginning February 1, 2022 through January 31, 2024.
ISSUES/ANALYSIS
The changes to the MOU agreed to by City and Teamsters are as follows:
Article 4: Duration, Implementation and Reopeners
The term of the Teamsters MOU shall be for the duration of February 1, 2022 through January 31, 2024.
Article 13: Salary Ranges
Effective the first full pay period of Fiscal Year 2022-23, all salary ranges reflect in base salary a COLA increase based on the Consumer Price Index (CPI) – All Urban Consumers (Area: Riverside-San Bernardino – Ontario) measured by the annualized CPI from January 2021 to January 2022 no less than 3.0% and no more than 4.5%.
Effective the first full pay period of Fiscal Year 2023-24, all salary ranges reflect in base salary a COLA increase based on the Consumer Price Index (CPI) – All Urban Consumers (Area: Riverside-San Bernardino – Ontario) measured by the annualized CPI from January 2022 to January 2023 no less than 2.0% and no more than 4.5%.
As an employee retention mechanism, for all bargaining unit members as of the time of ratification (April 18, 2022), the City shall pay the sum of $3,000 to be included in the June, 23, 2022 paycheck. Bargaining unit members must also be employed by the City as of June 23, 2022.
Article 20: Health Insurance
Effective July 1, 2022, for the August 2022 insurance premiums, the City shall pay up to $1,450 per month, with no difference received as cash; the employee shall be responsible for paying the difference, or the amount greater than $1,450 through payroll deduction.
Effective July 1, 2023, for the August 2023 insurance premiums, the City shall pay up to $1,550 per month, with no difference received as cash; the employee shall be responsible for paying the difference, or the amount greater than $1,550 through payroll deduction.
Other Changes:
A Performance Evaluation Report shall be required annually.
Employees will have a maximum of 399 hours carry-over of vacation hours per fiscal year. The vacation buyback program shall be subject to a pre-designation provision whereby employees have the ability to designate annually in October up to 240 hours of leave for the next calendar year.
FISCAL IMPACT
The total projected cost of implementing the Teamsters Union MOU changes in compensation is $872,488. The following table details the anticipated costs for each of the two years.
ALTERNATIVE(S)
Provide alternative direction to staff
ATTACHMENT(S)
Memorandum of Understanding
Resolution No. 2022-35
HWD Resolution No. 2022-05
City of Hesperia STAFF REPORT City of Hesperia STAFF REPORT City of Hesperia
STAFF REPORT
City of Hesperia
STAFF REPORT
Staff Report to the City Council, Chair and Board of Hesperia Water District MOU between City and Teamsters Local 1932 for the period February 1, 2022 to January 31, 2024 May 17, 2022