City Council Memorandum
TO: HONORABLE MAYOR AND CITY COUNCIL DATE: JUNE 24, 2025 FROM: HUMAN RESOURCES DEPARTMENT WARDS: ALL
SUBJECT: ADOPT A NEW MEMORANDUM OF UNDERSTANDING WITH THE INTERNATIONAL BROTHERHOOD OF ELECTRICAL WORKERS (IBEW) LOCAL 47 – WASTEWATER UNIT; AND RELATED REVISIONS TO THE FRINGE BENEFIT AND SALARY PLAN – SUPPLEMENTAL APPROPRIATION ISSUE:
Approve a new Memorandum of Understanding with the International Brotherhood of Electrical Workers (IBEW) Local 47 – Wastewater Unit.
RECOMMENDATION:
That the City Council:
Approve the attached Memorandum of Understanding (MOU) with the IBEW Local 47 Wastewater unit effective July 1, 2025, through June 30, 2028, which incorporate the negotiated salaries, benefits and other working conditions, and authorize the City Manager, or designee, to execute the Memorandum of Understanding on behalf of the City; Adopt the attached Resolution amending the Master Fringe Benefits and Salary Plan to reflect the new MOU provisions for IBEW-Wastewater employees as outlined in Exhibit A and Exhibit B attached thereto; and With at least five affirmative votes, authorize the Chief Financial Officer or designee to record supplemental appropriations in the approximate amounts of $267,222 in fiscal year 2025/26, $438,263 in fiscal year 2026/27 and $610,354 in fiscal year 2027/28 in the applicable accounts.
BACKGROUND:
The IBEW Local 47 Union submitted a petition to represent an unrepresented group of employees at the Wastewater Plant back in December 2022. The process of creating a new recognized bargaining unit through the Public Employment Relations Board (PERB) was completed in 2023. Once this step was completed, the City and the Union began negotiations in 2024 over a new MOU, with negotiations continuing through February 2025 until a mutual agreement was reached.
DISCUSSION:
IBEW – wastewater unit SUMMARY OF TERMS
The City entered into, and has successfully concluded, labor negotiations with the IBEW Local 47, Wastewater Unit. The tentative agreement reached between the City and the Union is herein presented for the City Council’s approval:
Labor Contract Period: July 1, 2025, through June 30, 2028.
Salaries:
Date
Salary Increase
Year 1: Effective the first pay period following July 1, 2025, the City will adjust the salary range for the following classifications in accordance with Attachment A in the MOU to create a 10.25% salary compaction between classifications in a family series: Senior Wastewater Plant & Electrical Technician (5240), Wastewater Electrical & Instrument Supervisor (4470), Senior Wastewater Maintenance Mechanic (5500), Senior Wastewater Collections Systems Technician (3174) and Senior Wastewater Plant Operator (4130).
Refer to Attachment A of MOU
Year 1: Effective the first pay period following July 1, 2025
4.5% increase to base salary
Year 2: Effective the first pay period following July 1, 2026 4% increase to base salary
Year 3: Effective the first pay period following July 1, 2027 4% increase to base salary
Health Insurance: City contribution amounts towards health insurance will be as noted in the table below as of the approval of the MOU. Furthermore, effective in December of each year for the subsequent January premiums, any increase in health insurance premiums will be divided equally between the City and employees.
Coverage Level
Kaiser 15
Kaiser 30
Blue Shield PPO
Blue Shield 15
Blue Shield 20
Blue Shield 20 Trio
Employee Only Coverage
$995
$988
$1,013
$923
$922
$921
Employee + One
$1,341
$1,327
$1,374
$1,197
$1,194
$1,192
Employee + Family
$1,734
$1,715
$1,751
$1,542
$1,538
$1,535
Dental Insurance: The City contribution will be $45 per month for employees enrolled in the City’s dental plan.
Deferred Compensation: Effective the first pay period following July 1, 2025, the City will contribute $125 per month toward the employee’s 401A deferred compensation plan provided the employee contributes a minimum of $25 per month. Effective with pay period following July 1, 2026, the City will contribute $150 per month toward the employee’s 401A deferred compensation plan provided the employee contributes a minimum of $25 per month.
Basic Life Insurance: The City will provide and pay for term life insurance with accidental death and dismemberment equal to two times the annual salary rounded to the next highest $1,000 (up to $700k).
Long Term Disability Insurance: The City shall provide a Long-Term Disability (LTD) plan with a 60-day waiting period. The City shall contribute a monthly premium of $25.60 towards the LTD premium cost, with the employee paying the remainder of the premium to cover the total monthly premium cost; such premium shall be deducted from the employees’ wages.
Shift Differential: Employees who are regularly scheduled to work swing and graveyard shifts shall receive the following shift differential: swing shift $2.00/hour and graveyard shift $2.50/hour.
Safety Footwear: The City shall provide three hundred and fifty dollars ($350) per fiscal year for employees required by City Safety regulations (reference V-0001) to wear safety footwear to work in each year the employee, in fact, purchases such footwear and utilizes them at work.
Other terms and conditions: Additional terms and conditions have been agreed to for non-economic terms throughout the contract, as reflected in the attached MOU.
STRATEGIC PLAN ALIGNMENT:
This council item contributes to the High Performing Government Strategic Priority, Goal 5.1. Attract, develop, engage and retain a diverse and highly skilled workforce across the entire City organization and aligns with each of the City’s Strategic Cross-Cutting Threads.
Community Trust – Fairly negotiated salary and benefits provide the City the ability to retain and attract skilled employees that can provide high quality of public service and increase community trust and engagement. The salary and benefits package is published and presented in this City Council Agenda to ensure all elements are visible and transparent.
Equity – The Union negotiation process ensures that employees receive fair wages, competitive benefits and good working conditions resulting in a workforce that, in turn, also serves the community in a fair and equitable way.
Fiscal Responsibility – To ensure responsible management of the City’s financial resources all fiscal impacts were carefully assessed by the City’s Finance and City Manager’s Departments.
Innovation – The City and Union engaged in creative discussions and sought solutions that would allow both parties to benefit from the updated/new provisions in the contract. Creative ideas from both parties were shared that allowed for a successful agreement.
Sustainability & Resiliency – The City of Riverside is committed to meeting the needs of its changing workforce while also implementing contracts that are sustainable to the City.
FISCAL IMPACT:
The total fiscal impact of the IBEW MOU for the term of July 1, 2025, through June 30, 2028, is approximately $1,315,839 to the Sewer Fund. The estimated total cost includes $1.06 million associated with the MOU and $253,755 in compaction costs for select positions across the three-year contract period. Sufficient funds are available in Sewer fund reserves for the requested supplemental appropriation.
Wastewater MOU Fiscal Impact:
Fund
Cost Item
FY 2025/26
FY 2026/27
FY 2027/28
3-Year MOU Fiscal Impact
Sewer
MOU Cost
$ 185,730
$ 353,715
$ 522,639
$ 1,062,084
Sewer
Compaction Cost
$ 81,492
$ 84,548
$ 87,716
$ 253,755
Total Cost
$ 267,222
$ 438,263
$ 610,354
$ 1,315,839
Prepared by: Rene Goldman, Human Resources Director
Certified as to availability
of funds: Kristie Thomas, Finance Director/Assistant Chief Financial Officer Approved by: Edward Enriquez, Assistant City Manager/Chief Financial Officer Approved as to form: Rebecca McKee-Reimbold, Interim City Attorney Attachments:
Comprehensive Memorandum of Understanding for IBEW Wastewater Unit Resolution Amending the Fringe Benefits and Salary Plan Exhibit A –Job Code Table
Exhibit B – Amended Fringe Benefits and Salary Plan
IBEW_wastewater_MOU– Page 2