PROJECT LABOR AGREEMENT
FOR THE CITY OF MERCED
This Project Labor Agreement ("Agreement") is entered into this day of 2024, by and between the City of Merced ("City"), the Valley Building and Construction Trades Council ("Trades Council"), and the Unions that are signatory to this Agreement. This Agreement also is binding upon the City's contractors and subcontractors of all tiers ("Contractors"), which shall execute the Assent Letter set forth in the attached Addendum A.
INTRODUCTION/FINDINGS
A. The purpose of this Agreement is to promote the efficiency of public works economical completion of the Projects (defined in Section 1.13) covered by this Agreement.
The timely and successful completion of the Projects is of the utmost importance to meet the needs of the City and avoid increased costs resulting from delays in construction.
C. Large numbers of workers of various skills will be required in the performance of construction work on the Projects, and will be represented by the Unions and employed by the Contractors.
D. The use of skilled labor on construction work increases the safety of construction projects as well as the quality of completed work.
It is recognized that on public works of the magnitude of the Projects, with multiple employers and bargaining units on the job site at the same time over an extended period of time, the potential for work disruption may be substantial without an overriding commitment to maintain continuity of work.
The interests of the general public, the City, the Unions, and the Contractors will be best served if the construction work proceeds in an orderly manner without disruption because of strikes, sympathy strikes, work stoppages, picketing, lockouts, slowdowns or other interferences with work.
G. The Contractors and the Unions desire to mutually establish and stabilize wages, hours and working conditions for the workers employed on the Projects and to encourage close. cooperation among the Contractors and the Unions so that a satisfactory, continuous and harmonious relationship will exist.
One of the primary purposes of this Agreement is to avoid the tensions that might arise on the Projects if organized and non-organized workers of different employers were to work side by side; potentially leading to labor disputes that could delay completion of the Projects.
I. This Agreement is not intended to replace, interfere with, abrogate, diminish or Project Labor Agreement
for the City of Merced
2999718.5
1 modify existing local or national collective bargaining agreements in effect during the duration of the Projects, insofar as a legally binding agreement exists between the Contractors and the Unions, except to the extent that the provisions of this Agreement are inconsistent with such collective bargaining agreements, in which event the provisions of this Agreenient shall prevail.
The City places high priority upon the development of comprehensive programs for the recruitment, training and employment of local area residents and military veterans, and recognizes the ability of local pre-apprenticeship and apprenticeship programs to provide meaningful and sustainable career pathways in the construction industry.
K. The contracts for construction work on the Projects will be awarded in accordance with the Public Contract Code and other applicable laws. satisfactory comperian is ple rog their fill good faith and trust to work toward the mutually This Agreement includes the taxpayer protection provisions required by Public Contract Code Section 2500.
NOW, THEREFORE, IT IS AGREED BETWEEN AND AMONG THE PARTIES AS FOLLOWS:
ARTICLE I
DEFINITIONS
Unless otherwise indicated or apparent from the context, the definitions set forth in this Article shall apply regardless of whether the defined term is capitalized.
1.1 "Agreement" means this Project Labor Agreement.
1.2 "Alternate Arbitrator" means Barry Winograd.
1.3 "Assent Letter" means the letter, attached hereto as Addendum A, that shall be executed by each Contractor as a condition of working on a Project.
Employmen. "Center" means the Center for Military Recruitment, Assessment and Veterans
1.5 "City" means the City of Merced and its governing board, officers, agents and employees, including managerial personnel.
1.6 "Completion" means that point at which there is Final Acceptance by the City of a Construction Contract.
"Construction Contract" means the Public Works contract(s) (including design-bid, design-build, lease-leaseback or other contracts under which construction of a Project is done) awarded by the City as necessary to complete a Proiect.
Project Labor Agreement
for the City of Merced
2999718.5
2 "Contractor" means any individual, firm, partnership or corporation (including the prime contractor, general contractor, construction manager, project manager, design-build entity, lease-leaseback entity or equivalent entity), or combination thereof including joint ventures and their successors and assigns) that is an independent business enterprise and enters into a contract with the City with respect to the construction of any part of a Project, and all subcontractors of any tier.
1.9 "Final Acceptance" means that point in time at which all of the following has occurred: the City has determined upon final inspection that the work has been conipleted in all respects; all required contract documents, contract drawings, warranties, certificates, manuals and data have been submitted; training has been completed in accordance with the contract documents; and the City has filed a Notice of Completion.
1.10 "Master Agreement" or "Schedule A" means the Master Collective Bargaining Agreements) of each craft Union.
1.11 "Permanent Arbitrator" means Robert Hirsch.
1.12 "Plan" means the Plan for the Settlement of the Jurisdictional Disputes in the Construction Industry.
1.13 "Project" means:
1.13.1 A City-contracted Public Works where either the engineer's estimate of the. total cost or the cumulative bid amounts) submitted by the Contractors) awarded the Construction Contracts) exceeds $1,000,000.
1.13.2 A non-City-contracted Public Works where the City contributes funding in an amount exceeding $1,000,000; provided, however, if the City only contributes funding for a portion, the "Project" is limited to that portion for which the City has contributed funding.
1.13.3 All Construction Contracts required to complete an integrated Project shall. be considered in determining whether the above thresholds are met. The City and the Trades Council may mutually agree in writing to add additional projects or components to be covered by this Agreement, or to modify the dollar thresholds set forth herein.
1.14 "Project Manager" means the person(s) or entity(ies) designated by the City to oversee all phases of construction on a Project and the implementation of this Agreement.
1.15 "Public Works" shall have the meaning set forth in Labor Code Section 1720(a)(1).
1.16 "Trades Council" means the Valley Building and Construction Trades Council.
1.17 "Union" means the Trades Council and any Union identified on the attached Union Signatures page that becomes signatory to this Agreement, acting on its own behalf and on behalf of its respective affiliates and member organizations whose names are subscribed hereto and who has through its officers executed this Agreement.
Project Labor Agreement
2999718.5 for the City of Merced
3 ARTICLE I
SCOPE OF AGREEMENT
2.1 Parties: This Agreement applies to and is limited to all Contractors (including subcontractors at any tier) performing Construction Contracts on a Project, and their successors and assigns, the City, the Trades Council, and the Unions signatory to this Agreement.
2.2 Applicability: This Agreement governs all Construction Contracts awarded on a Project. For purposes of this Agreement, Construction Contracts shall be considered Completed as set forth in Section 1.6 except when the City directs a Contractor to engage in repairs, warranty work, modifications, or punch list work under a Construction Contract or when a Contractor performs work under a change order for a Construction Contract.
2.3 Covered Work:
2.3.1. Without limitation, this Agreement covers all site preparation, surveying, construction, alteration, demolition, installation, improvement, remediation, retrofit, painting or repair of buildings, structures and other works, and related activities that are within the craft jurisdiction of one of the Unions and that are directly or indirectly part of a Project. Covered Work includes, without limitation to the following examples, geotechnical and exploratory drilling, soils and materials testing and inspection, temporary HVAC, landscaping and temporary fencing, pipelines (including those in linear corridors built to serve a Project), pumps, pump stations, start- up, modular furniture installation, and final clean-up. Covered Work also includes work done for a Project in temporary yards, dedicated sites, or areas adjacent to a Project, and at any on-site or off-site batch plant constructed to supply materials to a Project.
2.3.2 This Agreement applies to any start-up, calibration, commissioning, performance testing, repair, maintenance, and operational revisions to systems and/or subsystems for a Project performed after Completion, unless performed by City employees.
2.3.3 This Agreement covers all on-site fabrication work over which the City or Contractors possess the right of control (including work done for a Project in any temporary yard or area established for a Project). This Agreement also covers any off-site work, including fabrication, that is traditionally performed by the Unions and is directly or indirectly part of a Project, provided such work is covered by a Master Agreement or local addenda to a national agreement of the applicable Union(s).
2.3.4 Except for the delivery of supplies, equipment or materials that are stockpiled for later use, this Agreement covers all construction trucking work, including the hauling and delivery of ready-mix, asphalt, aggregate, sand, soil or other fill or similar material that is directly incorporated into the construction process as well as the off-hauling of soil, sand, gravel, rocks, concrete, asphalt, excavation materials, construction debris and excess fill, material and/or mud.
2.3.5 Work covered by this Agreement within the following craft jurisdictions shall be performed under the terms of their National Agreements as follows: the National Transient Lodge Articles of Agreement, the National Stack/Chimney Agreement, the National Cooling Project Labor Agreement
for the City of Merced
2999718.5
4 Tower Agreement, the National Agreement of Elevator Constructors, and any instrument calibration work and loop checking shall be performed under the terms of the UA/IBEW Joint National Agreement for Instrument and Control Systems Technicians, with the exception that Articles TV, XII and XIII of this Agreement shall apply to such work.
2.4 Exclusions: The following shall be excluded from the scope of this Agreement.
2.4.1 This Agreement shall not apply to work performed by the City's own employees as permitted by the Public Contract Code.
2.4.2 This Agreement shall not apply to a Contractor's non-construction craft executives, managerial employees, administrative personnel, and supervisors above the level of general foreman (unless covered by a Master Agreement).
2.4.3 This Agreement shall not apply to any non-Project work that is performed on or near or leading to the site of work covered by this Agreement and that is undertaken by public agencies (other than the City) or their contractors. Work performed by public or private utilities involving electrical utility, voice-data-video, and security installation work ahead of and up to the electrical service entry connection or the main point of entry into the building shall be excluded. All electrical utility, voice-data-video, and security installation work performed after the electrical utility service entrance or the main point of entry shall be Covered Work. Additionally, all contracted work performed ahead of the service entrance connection and main point of entry that is inside the property line and provides for access to the building via a conduit or series of conduits shall be Covered Work.
2.4.4 This Agreement shall not apply to the off-site maintenance of leased equipment and on-site supervision of such work.
2.4.5 This Agreement shall not apply to work substantially funded by any public agency that prohibits the use of project labor agreements on projects receiving its funding, or the funding of projects on which such agreements are used. With respect to such work, the City agrees to make a reasonable effort to defend the application of this Agreement, including by making a written request to the funding source. Notwithstanding the foregoing, should only a specific provision of this Agreement be prohibited by the funding source, then, upon mutual agreement with the Trades Council, the requirements of this Agreement shall be modified accordingly, to allow this Agreement to remain in place and to advance its purposes to the maximum extent feasible.
2.5 Award of Contracts: It is understood and agreed that the City has the right to select any qualified bidder for the award of Construction Contracts without regard to whether they are otherwise parties to collective bargaining agreements. The bidder need only be willing, ready and able to execute and comply with this Agreement. It is further agreed that this Agreement shall be included in all invitations to bid or solicitations for proposals for work on a Project. A copy of all invitations to bid shall be provided to the Trades Council at the time of issuance.
Project Labor Agreement
for the City of Merced
2999718.5
5 ARTICLE III
EFFECT OF AGREEMENT
3.1 By executing this Agreement, the Trades Council, the Unions and the City agree to be bound by each and all of its provisions.
3.2 By accepting the award of work under a Construction Contract for a Project, whether as a prime contractor or subcontractor thereunder, all Contractors agree to be bound by each and every provision of this Agreement and agree to evidence their acceptance prior to the commencement of work by executing the Assent Letter.
3.3 At the time that any Contractor enters into a subcontract with any ubcontractor providing for the performance of work under a Construction Contract, the Contracto hall provide a copy of this Agreement to such subcontractor and shall require the subcontractor as a condition of accepting the award of a subcontract, to agree in writing, by executing the Assent Letter, to be bound by each and every provision of this Agreement prior to the commencement of work. The obligations of a Contractor may not be evaded by subcontracting. If the subcontractor refuses to execute the Assent Letter, then such subcontractor shall not be awarded a Construction Contract on a Project.
3.4 This Agreement shall only be binding on the signatory parties and their successors and assigns, and shall not apply to the parents, affiliates, subsidiaries, or other ventures of any such party. Each Contractor shall alone be liable and responsible for its own individual acts and conduct and for any breach or alleged breach of this Agreement, except as otherwise provided by law or the applicable Master Agreement. Any dispute between a Union and a Contractor with respect to compliance with this Agreement shall not affect the rights, liabilities, obligations and duties between other Unions and other Contractors:
3.5 Any liability by a Union shall be several and not joint. Any alleged breach of this Agreement by a Union shall not affect the rights, liabilities, obligations and duties between the Contractors and the other Unions.
3.6 The provisions of this Agreement, including each Schedule A incorporated herein by reterence, shall apply to the Covered Work notwithstanding the provisions of any other local, area and/or national agreements which may conflict with or differ from the terms of this Agreement. To the extent a provision of this Agreement conflicts with a Schedule A, the provision of this Agreement shall prevail. Where a provision of a Schedule A does not conflict with this Agreement, the provision of the Schedule A shall apply.
ARTICLE IV
WORK STOPPAGES, STRIKES, SYMPATHY STRIKES AND LOCKOUTS
4.1. The Unions, the City, and the Contractors working on a particular Project covered by this Agreement agree that for the duration of such Project:
4.1.1 There shall be no strikes, sympathy strikes, work stoppages, picketing, handbilling or otherwise advising the public that a labor dispute exists, or slowdowns of any kind, Project Labor Agreement
for the City of Merced
2999718.5
6 for any reason, by the Unions or employees employed on the Project, at the job site of the Project or any other facility of the City because of a dispute on the Project. Disputes arising between the Unions and Contractors on other City projects are not covered by this Agreement.
4.1.2 There shall be no lockout by a Contractor of workers employed on the Project.
4.1.3 If a Master Agreement expires before the Contractor completes the performance of work under a Construction Contract and the Union or the Contractor gives notice of a demand for a new or modified Master Agreement, the Union agrees that it will not strike on work covered by this Agreement and the Union and the Contractor agree that the expired Master Agreement will continue in full force and effect for work covered under this Agreement until a new or modified Master Agreement is reached. If the new or modified Master Agreement provides that any terms of the Master Agreement shall be retroactive, the Contractor agrees to comply with any retroactive terms of the new or modified Master Agreement that are applicable to any employee(s) on the Project during the interim, with retroactive payment due within seven days of the effective date of the new or modified Master Agreement.
4.1.4 In the case of nonpayment of wages or trust fund contributions on the Project, the Union shall give the City and the Contractor notice, three business days in advance when nonpayment of trust fund contributions has occurred and one business day in advance when nonpayment of wages has occurred or when paychecks being tendered to a financial institution normally recognized to honor such paychecks will not honor such paycheck, of the intent to withhold labor from the Contractor's workforce, during whịch time the Contractor may correct the default. In this instance, a Union's withholding of labor (but not picketing) from a Contractor that has failed to pay its fringe benefit contributions or failed to meet its weekly payroll shall not be considered a violation of this Article.
4.1.5 Notification: If the City or any Contractor contends that any Union has violated this Article, it will so notify in writing the Senior Executive of the Trades Council and the Senior Executive of the Union, setting forth the facts alleged to violate the Article, prior to instituting the expedited arbitration procedure set forth below. The Trades Council will immediately use its best efforts to cause the cessation of any violation of this Article. The leadership of the Union will immediately inform the workers of their obligations under this Article.
A Union complying with this obligation shall not be held responsible for the unauthorized acts of employees it represents.
Expedited Arbitration: Any party to this Agreement shall institute the following procedure, prior to initiating any other action at law or equity, when a breach of this Article is alleged to have occurred.
4.2.1 A party invoking this procedure shall notify Robert Hirsch, as the Permanent Arbitrator, or Barry Winograd, as the Alternate Arbitrator, under this procedure. In the vent the Permanent Arbitrator is unavailable at any time, the Alternate Arbitrator will be contacted. If neither is available, the parties shall select the arbitrator from the list in Section 12.4.
Notice to the arbitrator shall be by the most expeditious means available, with notice by email and Project Labor Agreement
for the City of Merced
2999718.5
telephone to the City, the involved Contractor, and the party alleged to be in violation, and to the Trades Council and involved Union if a Union is alleged to be in violation.
4.2.2 Upon receipt of such notice, the City will contact the Permanent Arbitrator, or the Alternate Arbitrator if the Permanent Arbitrator is not available, who will attempt to convene a hearing within 24 hours if it is contended that the violation still exists.
4.2.3 The arbitrator shall notify the parties by email and telephone of the place and time for the hearing. Such hearing shall be completed in one session, which, with appropriate recesses at the arbitrator's discretion, shall not exceed 24 hours unless otherwise agreed upon by all parties. A failure of any party to attend such hearing shall not delay the proceeding or the issuance of a decision by the arbitrator.
4.2.4 The sole issue at the hearing shall be whether or not a violation of Section
4.1 has occurred. The arbitrator shall have no authority to consider any matter of justification, explanation or mitigation of such violation or to award damages, which issue is reserved for court proceedings, if any. The arbitrator's decision shall be issued within three hours after the close of the hearing, and may be issued without a written opinion. If any party desires a written opinion, one shall be issued within 15 days, but the parties shall not delay compliance with or enforcement of the decision due to the issuance of a written opinion. The arbitrator may order cessation of the violation, and the arbitrator's decision shall be served on all parties by hand or registered mail upon issuance. Should a party found in violation fail to comply with the arbitrator's decision ordering the party to cease the violation, the party in violation shall pay to the affected party as liquidated damages the sum of $10,000 per shift for which it failed to comply, or portion thereof, until such violation is ceased. The arbitrator shall retain jurisdiction to resolve any disputes regarding the liquidated damages claimed under this section.
4.2.5 The arbitrator's decision may be enforced by any court of competent jurisdiction upon the filing of this Agreement and all other relevant documents. The party filing such enforcement proceedings shall give written notice to the other party. In a proceeding to obtain a temporary order enforcing the arbitrator's decision, all parties waive the right to a hearing and agree that such proceeding may be ex parte. However, such agreement does not waive any party's right to seek or participate in a hearing for a final order of enforcement. Any court order enforcing the arbitrator's decision shall be served on all parties by hand or delivered by certified mail.
4.2.6 Any rights created by statute or law governing arbitration proceedings inconsistent with the above procedure, or which interfere with compliance with the above procedure, are waived by the parties.
4.2.7 The fees and expenses of the arbitrator shall be divided equally between the party instituting the arbitration proceeding and the party alleged to be in breach of its obligation under Section 4.1.
4.2.8 Should either the Permanent Arbitrator or the Alternate Arbitrator no longer work as a labor arbitrator, the City and the Trades Council shall mutually agree to a replacement.
Project Labor Agreement
for the City of Merced
2999718.5
8 ARTICLE V
PRE-JOB CONFERENCES
Timing: The Project Manager shall convene and conduct, at a location and time agreeable to the Trades Council, a pre-job conference with the Unions and the representatives of all involved Contractors, which shall be prepared to announce craft assignments and discuss in detail the scope of work and the other issues set forth below, at least 14 days prior to:
(a) The commencement of any Project work.
(b). The commencement of Project work on any subsequently awarded Construction Contract.
Contractor and each affected Union, and the Trades Councit and the City may attend at their The pre-job conference shall be attended by a representative of each participating
5.3 The pre-job conference shall include the following subjects:
(a) A listing of each Contractor's scope of work.
(b) The craft assignments.
(c) The estimated number of craft workers required to perform the work. (d) Transportation arrangements.
(e) The estimated start and completion dates of the work. (f) Discussion of pre-fabricated materials.
5.4 Review Meetings: The City and the Trades Council shall have the right to call a meeting of the appropriate parties to ensure the terms of this Agreement are being fulfilled.
ARTICLE VI
NO DISCRIMINATION
ARTICLE VII
UNION REPRESENTATION AND REFERRAL
7.1 The Contractors recognize the Unions as the sole bargaining representative of all craft employees performing Covered Work, and all such employees must be represented by a Union for the duration of their employment on the Project.
Project Labor Agreement
for the City of Merced
2999718.5
9 7.2 The Contractors shall make and transmit all deductions for Union dues, fees, and assessments that have been authorized by employees in writing in accordance with the applicable Master Agreement. This Agreement does not require any employee of a non-Union Contractor to join a Union or to pay dues or fees to a Union as a condition of working on the Project; however, nothing in this Article is intended to supersede the requirements of the applicable Master Agreements as to Contractors signatory to such Master Agreements and as to employees of those Contractors who are performing Covered Work.
Authorized representatives of the Unions shall have access to a Project whenever Covered Work is being, has been, or will be performed on the Project.
7.4 The Contractors performing construction work on a Project shall, in filling craft job requirements, utilize and be bound by the registration facilities and referral systems established or authorized by the Unions. The Contractors shall have the right to reject any applicant referred by the Unions, in accordance with the applicable Master Agreement.
7.5 The Contractors shall have the unqualified right to select and hire directly all supervisors above the level of general foreman they consider necessary and desirable, without such persons being referred by the Unions, unless such craft construction employee is covered by a Master Agreement.
7.6 In the event that referral facilities maintained by the Unions are unable to fill the requisition of a Contractor for employees within a 48-hour period (Saturdays, Sundays and holidays excluded) after such requisition is made, the Contractor shall be free to obtain the workers from any source. A Contractor that hires workers pursuant to this section shall immediately provide the appropriate Union with the name and address of such workers and shall immediately direct such workers to the appropriate hiring hall to be referred for work on the Project.
7.7 Local Hire: It is in the interest of the parties to facilitate employment of City residents and Merced County residents. Therefore, to the extent allowed by law, and consistent with the Unions' hiring hall provisions, and as long as they possess the requisite skills and qualifications, City residents and Merced County residents (including journeypersons and apprentices) shall be referred for Covered Work.
7.8 Apprenticeship Readiness: It is in the interest of the parties to prepare local residents to become apprentices in the construction trades and to provide opportunities for employment on the Projects. As such, the Contractors shall endeavor to employ a minimum of two graduates from a Multi-Craft Core Curriculum apprenticeship readiness program, including the program offered by the Merced County Office of Education, who otherwise meet Union requirements for admittance into a state-approved Joint Apprenticeship Training Program.
ARTICLE VIII
WAGES AND BENEFITS
8.1 The Contractors agree to pay all benefit contributions required by the applicable Master Agreements), including vacation, pension and/or other deferred compensation, apprenticeship, worker protection and assistance, health benefit, and any other funds established Project Labor Agreement
for the City of Merced
2999718.5
10 by the applicable Master Agreements) for each hour worked on a Project, in the amounts designated in the applicable Master Agreements).
8.2 By executing the Assent Letter, the Contractors adopt and agree to be bound by the written terms of the legally established Trust Agreements for the benefit funds described in Section 8.1, which may from time to time be amended, specifying the detailed basis upon which payments are to be made into, and benefits paid out of, such Trust Funds. The Contractors authorize the parties to such Trust Agreements to appoint trustees and successor trustees to administer the Trust Funds and hereby ratify and accept the trustees so appointed as if they were appointed by the Contractors. The Contractors agree to execute a separate subscription agreement when the Trust Funds requires such a document.
Wages, Hours, Terms and Conditions of Employment: The wages, hours and other terms and conditions of employment on the Projects shall be governed by the Master Agreement of the respective craft, to the extent such Master Agreement is not inconsistent with this Agreement. Where a subject is covered by the Master Agreement and not covered by this Agreement, the Master Agreement will prevail. When a subject is covered by both the Master Agreement and this Agreement, to the extent there is any inconsistency, this Agreement will prevail.
8.4 Holidays: Holidays shall be as set forth in the applicable Master Agreement.
ARTICLE IX
APPRENTICES
9.1 Recognizing the need to develop adequate numbers of competent workers in the construction industry, including on public works, the Contractors shall employ apprentices from a California state-approved Joint Apprenticeship Training Program in their respective crafts, to perform such work as is within their capabilities and that is customarily performed by the craft in which they are indentured.
9.2 Apprentice ratios will be in compliance with the provisions of the Labor Code and the applicable state prevailing wage determination.
9.3 Consistent with the Master Agreements, there shall be no restriction on the utilization of apprentices in performing the work of their craft provided they are properly indentured and supervised.
ARTICLE X
HELMETS TO HARDHATS
10.1 The Contractors and the Unions recognize a desire to facilitate the entry into the building and construction trades of veterans who are interested in careers in the building and construction industry. The Contractors and the Unions agree to utilize the services of the Center and its "Helmets to Hardhats" program to serve as a resource for preliminary orientation, assessment of construction aptitude, referral to apprenticeship programs or hiring halls, counseling Project Labor Agreement
for the City of Merced
2999718.5
11 and mentoring, support network, employment opportunities and other needs as identified by the parties.
10.2 The Unions and the Contractors agree to coordinate with the Center to participate in an integrated database of veterans interested in working on the Project and of apprenticeship and employment opportunities for the Project. To the extent permitted by law, the Unions will give credit to such veterans for bona fide, provable past experience.
ARTICLE XI
COMPLIANCE
11.1 It shall be the responsibility of the Contractors and the Unions to investigate and monitor compliance with the provisions of Article VIII. Nothing in this Agreement shall be construed to interfere with or supersede the usual and customary legal remedies available to the Unions and/or employee benefit Trust Funds to collect delinquent wages or Trust Fund contributions from Contractors on the Project.
11.2 Because each Project is a public work subject to the Labor Code, the City shall monitor and enforce the Contractors' compliance with state prevailing wage requirements as well as this Agreement. Contractors, including brokers, of persons providing construction trucking work shall provide certified payroll records to the City within 10 days of written request or as required by the bid specifications.
ARTICLE XII
GRIEVANCE ARBITRATION PROCEDURE
12.1 Project Labor Disputes: All disputes involving the application or interpretation of a Master Agreement to which a Contractor and a Union are parties shall be resolved pursuant to the resolution procedures of the Master Agreement. All disputes relating to the interpretation or application of this Agreement, other than disputes under Article IV and Article XIII, shall be subject to resolution by the grievance arbitration procedures set forth in this Article.
12.2 Employee Discipline: All disputes involving the discipline and/or discharge of an employee working on a Project shall be resolved through the grievance and arbitration provisions contained in the Master Agreement for the craft of the affected employee. No employee working on a Project shall be disciplined or discharged without just cause.
12.3 No grievance shall be recognized unless the grieving party provides notice in writing to the party with whom it has a dispute within 5 business days after becoming aware of the lispute but in no event more than 30 business days after it reasonably should have become aware of the event giving rise to the dispute.
12.4 Grievances shall be settled according to the following procedures:
Step 1: Within five business days after the receipt of the written notice of the grievance, the representative of the involved Union and the representative of the involved Contractor shall confer and attempt to resolve the grievance.
Project Labor Agreement
for the City of Merced
2999718.5
12 Step 2: If the grievance is not resolved at Step 1, within five business days of the Step 1 meeting or the conclusion of efforts to resolve the grievance at Step 1, the alleged grievance may be referred in writing by either party to the Business Managers) of the Union involved and the Labor Relations Manager of the Contractor involved (or to alternate designated representatives), for discussion and resolution. Regardless of which party has initiated the grievance, the Union shall notify its International Union representative prior to the Step 2 meeting, and the International Union representative shall advise if it intends to participate in the Step 2 meeting. The Project Manager and the Trades Council shall have the right to participate in any efforts to resolve the dispute at Step 2.
Step 3: If the grievance is not resolved at Step 2, either party may request the dıspute be submitted to arbitration within five business days of the Step 2 meeting or the conclusion of efforts to resolve the grievance at Step 2. Within five business days after referral of a dispute to arbitration, the representatives shall notify the Permanent Arbitrator, or if not available, the Alternate Arbitrator, for final and binding arbitration. If the Permanent Arbitrator or the Alternate Arbitrator is not available, an arbitrator shall be selected by the alternate striking method from the list of three below. The order of striking names from the list of arbitrators shall be determined by a coin toss, the winner of which shall decide whether they wish to strike first or second.
1. William Riker.
2. Carol Vendrillo.
3. Morris Davis.
12.5 The decision of the arbitrator shall be final and binding on all parties. The arbitrator shall have no authority to change, amend, add to or detract from any of the provisions of this.
Agreement. The expense of the arbitrator shall be borne equally by both parties. The arbitrator shall arrange for a hearing on the earliest available date from the date of his/her selection. A decision shall be given to the parties within five days after completion of the hearing. A written opinion may be requested by a party from the arbitrator.
12.6 The time limits specified at any step of the grievance procedure may be extended by mutual written agreement of the parties. However, failure to process a grievance, or failure to respond in writing within the time limits provided above, without an agreed upon extension of time, shall be deemed a waiver of such grievance without prejudice, or without precedent to the processing and/or resolution of like or similar grievances or disputes.
12.7 In order to encourage the resolution of disputes and grievances at Steps 1 and 2 of this grievance procedure, the parties agree that such settlements shall not be precedent setting.
12.8 At the time a grievance is submitted under this Agreement or any Master shall be retained by the City until such time as the underlying grievance giving rise to the retention Project Labor Agreement
for the City of Merced
2999718.5
13 is withdrawn, settled, or otherwise resolved, and the retained amount shall be paid to whomever the parties to the grievance shall decide, or to whomever an arbitrator shall so order.
12.9 Should any of the arbitrators listed in this Article or Article IV no longer work as a labor arbitrator, the City and the Trades Council shall mutually agree to a replacement.
ARTICLE XI
WORK ASSIGNMENTS AND JURISDICTIONAL DISPUTES
13.1 The assignment of Covered Work will be solely the responsibility of the Contractor erforming the work involved and such work assignments will be in accordance with the currer lan for the Settlement of Jurisdictional Disputes in the Construction Industry ("Plan") or an successor Plan.
13.2 All jurisdictional disputes on this Project between or among the Unions and the Contractors shall be settled and adjusted according to the present Plan established by the Building and Construction Trades Department or any other plan or method of procedure that may be adopted in the future by the Building and Construction Trades Department. Decisions rendered shall be final, binding and conclusive on the Unions and the Contractors.
13.3 If a dispute arising under this Article involyes the Northern California Carpenters Regional Council or any of its subordinate bodies, an arbitrator shall be chosen by the procedures specified in Article V, Section 5 of the Plan from a list composed of John Kagel, Andrea Dooley, Robert Hirsch and Thomas Pagan, and the arbitrator's hearing on the dispute shall be held at the offices of the California State Building and Construction Trades Council in Sacramento, California within 14 days of the selection of the arbitrator. All other procedures shall be as specified in the Plan.
13.4 All jurisdictional disputes shall be resolved without the occurrence of any strike, work stoppage, or slow-down of any nature, and the Contractor's assignment shall be adhered to until the dispute is resolved. Individual employees violating this section shall be subject to immediate discharge.
13.5 Each Contractor will conduct a pre-job conterence with the Trades Council prior to ommencing work. The City and the Project Manager will be advised in advance of all suc onferences and may participate if they wish. Pre-job conferences for different Contractors ma
ARTICLE XIV
MANAGEMENT RIGHTS
14.1 Consistent with the Schedule A agreements, the Contractors shall retain full and exclusive authority for the management of their operations, including the right to direct their work force in their sole discretion. No rules, customs or practices shall be permitted or observed which limit or restrict production, or limit or restrict the working efforts of employees, except that all lawful manning provisions in the Master Agreement shall be recognized.
Project Labor Agreement
for the City of Merced
2999718.5
14 DRUG ANDALCOROL TESTING
15.1 The use, sale, transfer, purchase and/or possession of a controlled substance, alcohol and/or firearms at any time during the work day is prohibited.
15.2 Drug and alcohol testing shall be conducted in accordance with the substance abuse prevention policies set forth in the applicable Schedule A.
ARTICLE XVI
SAVINGS CLAUSE
16.1 If any article, provision, clause, sentence or word of this Agreement is determined to be illegal or void as being in contravention of any applicable law, by a court of competent jurisdiction, the remainder of this Agreement shall remain in full force and effect. The parties Turther agree that if any article, provision, clause, sentence or word of this Agreement is determined to be illegal or void, by a court of competent jurisdiction, the parties shall substitute, by mutual agreement, in its place and stead, an article, provision, clause, sentence or word that will meet the objections to its validity and will be in accordance with its original intent.
16.2 In the event a decision of a court of competent jurisdiction materially alters the terms of this Agreement such that the intent of the parties is defeated, then the entire Agreement shall be null and void.
16.3 If a court of competent jurisdiction determines that all or part of this Agreement is invalid and/or enjoins the City from complying with all or part of this Agreement's provisions, and the City accordingly determines that compliance with this Agreement will not be required in order to perform work under a Construction Contract, the Unions will no longer be bound by the provisions of Article IV.
ARTICLE XVII
TERM
17.1 This Agreement shall be included in all bid documents, requests for proposals, or other equivalent Project solicitations, which shall indicate that execution of the Assent Letter is a condition of the award of a Construction Contract for the Proiect.
17.2 This Agreement shall apply until the Completion of each Project in accordance with Sections 1.6 and 2.2.
17.3 This Agreement shall become effective on the day it is executed by the City and the Trades Council and shall expire six (6) years later. Six months prior to expiration, the City and the Trades Council shall meet to discuss the operation of this Agreement and whether it should be extended.
Project Labor Agreement
for the City of Merced
2999718.5
15 ARTICLE XVIII
MISCELLANEOUS PROVISIONS
The section headings contained in this Agreement are inserted for convenience only and shall not altect in any way the meaning or interpretation of this Agreement. Cross-references are to Articles and Sections of this Agreement unless otherwise indicated or apparent from the context: The following rules of interpretation shall apply unless otherwise indicated or apparent from the context: the singular includes the plural and vice versa; the term "shall" is mandatory and the term "may" is permissive; the term "day" means calendar day; the term "business day" means a non-holiday weekday; and the terms "include," "includes," and "including" are illustrative and non-exhaustive.
18.2 This Agreement may be executed in counterparts, such that original signatures may appear on separate pages and when bound together all necessary signatures shall constitute an riginal. Faxed or emailed signature pages transmitted to other parties to this Agreement shall b eemed the equivalent of original signature
18.3 Each of the persons signing this Agreement represents and warrants that such person has been duly authorized to sign this Agreement on behalf of the party indicated, and each of the parties signing this Agreement warrants and represents that such party is legally authorized and entitled to enter into this Agreement.
The parties acknowledge that this is a negotiated agreement, that they have had the opportunity to have this Agreement reviewed by their respective legal counsel, and that the terms and conditions of this Agreement are not to be construed against any party on the basis of such party's draftsmanship thereof.
[SIGNATURES TO FOLLOW]
Project Labor Agreement
for the City of Merced
2999718:5
16 VALLEY BUILDING AND CONSTRUCTION
TRADES COUNCIL
BY: DATE:
Corey Van Rys
Financial Secretary-Treasurer
CITY OF MERCED
A California Charter Municipal
Corporation
BY: DATE:
D. Scott McBride
City Manager
ATTEST:
D. SCOTT MOBRIDE, CITY CLERK
BY:
Assistant/Deputy City Clerk
APPROVED AS TO FORM:
CRAIG J. CORNWELL, CITY ATTORNEY
ACCOUNT DATA:
M. VENUS RODRIGUEZ, FINANCE OFFICER
BY erited by Finance Oficer
Project Labor Agreement
for the City of Merced
2999718.5
17 UNION SIGNATURES
[TRADES COUNCIL TO PROVIDE]
Project Labor Agreement
for the City of Merced
2999718.5
18 Addendum A
ASSENT LETTER
[Date]
[Addressee]
[Address]
Re: City of Merced Project Labor Agreement
Assent Letter
Dear
The undersigned confirms that it agrees to be a party to and bound by the City of Merced Project Labor Agreement ("Agreement") as such Agreement may, from time to time, be amended by the parties or interpreted pursuant to its terms.
By executing this Assent Letter, the undersigned subscribes to, adopts and agrees to be bound by the written terms of the legally established trust fund documents as set forth in Section 8.1 of the Agreement, as they may from time to time be amended, specifying the detailed basis upon which contributions are to be made into, and benefits made out of, such trust funds, and ratifies and accepts the trustees appointed by the parties to such trust funds. The undersigned agrees to execute a separate subscription agreements) for such trust funds when such trust fund(s) require(s) such documents).
The obligation to be a party to and bound by the Agreement shall extend to all work covered by the Agreement undertaken by the undersigned. The undersigned shall require all of its subcontractors, of whatever tier, to become similarly bound for all their work within the scope of the Agreement by signing an identical Assent Letter.
This letter shall constitute a subscription agreement, to the extent of the terms of the letter.
CONTRACTOR/SUBCONTRACTOR:
California Contractor State License No. or Motor Carrier (CA) Permit No.:
Name of Authorized Person (print):
Signature of Authorized Person:
Title of Authorized Person:
Telephone Number of Authorized Person:
Address of Authorized Person:
State Public Works Registration Number:
158494\1510792
Project Labor Agreement
for the City of Merced
2999718.5
19