Memorandum — San Jose City Council, June 21, 2022

TO: HONORABLE MAYOR FROM: Jennifer Schembri

AND CITY COUNCIL

SUBJECT: SEE BELOW DATE: June 2, 2022

Approved Date
6/10/2022

SUBJECT: TERMS OF TENTATIVE AGREEMENTS BETWEEN THE CITY OF SAN JOSE AND EACH OF THE FOLLOWING BARGAINING UNITS:

THE ASSOCIATION OF ENGINEERS AND ARCHITECTS, IFPTE,
LOCAL 21 (AEA), THE ASSOCIATION OF LEGAL PROFESSIONALS
(ALP), THE ASSOCIATION OF MAINTENANCE SUPERVISORY
PERSONNEL, IFPTE, LOCAL 21 (AMSP), THE CITY ASSOCIATION OF MANAGEMENT PERSONNEL, IFPTE, LOCAL 21 (CAMP), THE
MUNICIPAL EMPLOYEES’ FEDERATION, AFSCME LOCAL 101
(MEF), AND THE INTERNATIONAL UNION OF OPERATING
ENGINEERS, LOCAL NO. 3 (OE#3); CHANGES TO COMPENSATION

FOR CLASSIFICATIONS ASSIGNED TO SAN JOSE POLICE
DISPATCHER ASSOCIATION (SJPDA); AND CHANGES TO

COMPENSATION FOR EXECUTIVE MANAGEMENT AND
PROFESSIONAL EMPLOYEES IN UNIT 99 AND OTHER
UNREPRESENTED EMPLOYEES (UNITS 81/82) FOR FISCAL YEAR
2022-2023

RECOMMENDATION

Adopt a resolution to:

A. Approve the terms of an Agreement with the Association of Engineers and Architects, IFPTE, Local 21 (AEA) to provide the following effective June 26, 2022:

1. All salary ranges for employees holding positions assigned to AEA with an additional pensionable general wage increase of 1.50% based on the rates of pay in the City’s Pay Plan as of June 25, 2022, for a total general wage increase of approximately 4.50% consistent with the Agreement that has been signed by all parties. This will result in both the top and bottom step of the pay range being increased by approximately 4.50%.

B. Approve the terms of an Agreement with the Association of Legal Professionals (ALP) to provide the following effective June 26, 2022:

COUNCIL AGENDA: 6/21/22
FILE:

ITEM:
22-966

3.5 HONORABLE MAYOR AND CITY COUNCIL
June 2, 2022
Subject: Approval of the terms of a Side Letter Agreement with AEA, ALP, AMSP, CAMP, MEF, OE#3; and changes for SJPDA and Executive Management and Professional Employees in Unit 99 and other Unrepresented Employees (Units 81/82) for Fiscal Year 2022-2023

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1. All salary ranges for employees holding positions assigned to ALP with an additional pensionable general wage increase of 1.50% based on the rates of pay in the City’s Pay Plan as of June 25, 2022, for a total general wage increase of approximately 4.50% consistent with the Agreement that has been signed by all parties. This will result in both the top and bottom step of the pay range being increased by approximately 4.50%.

C. Approve the terms of an Agreement with the Association of Maintenance Supervisory Personnel, IFPTE, Local 21 (AMSP) to provide the following effective June 26, 2022:

1. All salary ranges for employees holding positions assigned to AMSP with an additional pensionable general wage increase of 1.50% based on the rates of pay in the City’s Pay Plan as of June 25, 2022, for a total general wage increase of approximately 4.50% consistent with the Agreement that has been signed by all parties. This will result in both the top and bottom step of the pay range being increased by approximately 4.50%.

D. Approve the terms of an Agreement with the City Association of Management Personnel, IFPTE, Local 21 (CAMP) to provide the following effective June 26, 2022:

1. All salary ranges for employees holding positions assigned to CAMP with an additional pensionable general wage increase of 1.50% based on the rates of pay in the City’s Pay Plan as of June 25, 2022, for a total general wage increase of approximately 4.50% consistent with the Agreement that has been signed by all parties. This will result in both the top and bottom step of the pay range being increased by approximately 4.50%.

E. Approve the terms of an Agreement with the Municipal Employees’ Federation, AFSCME, Local 101 (MEF) to provide the following effective June 26, 2022:

1. All salary ranges for employees holding positions assigned to MEF with an additional pensionable general wage increase of 1.50% based on the rates of pay in the City’s Pay Plan as of June 25, 2022, for a total general wage increase of approximately 4.50% consistent with the Agreement that has been signed by all parties. This will result in both the top and bottom step of the pay range being increased by approximately 4.50%.

F. Approve the terms of an Agreement with the International Union of Operating Engineers, Local No. 3 (OE#3) to provide the following effective June 26, 2022:

1. All salary ranges for employees holding positions assigned to OE#3 with an additional pensionable general wage increase of 1.50% based on the rates of pay in the City’s Pay Plan as of June 25, 2022, for a total general wage increase of approximately 4.50% consistent with the Agreement that has been signed by all parties. This will result in both the top and bottom step of the pay range being increased by approximately 4.50%.

HONORABLE MAYOR AND CITY COUNCIL
June 2, 2022
Subject: Approval of the terms of a Side Letter Agreement with AEA, ALP, AMSP, CAMP, MEF, OE#3; and changes for SJPDA and Executive Management and Professional Employees in Unit 99 and other Unrepresented Employees (Units 81/82) for Fiscal Year 2022-2023

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G. Approve compensation changes for employees assigned to the San José Police Dispatchers’ Association (SJPDA) for Fiscal Year 2022-2023 to provide the following effective June 26, 2022:

1. All salary ranges for employees holding positions assigned to SJPDA with an additional pensionable general wage increase of 1.50% based on the rates of pay in the City’s Pay Plan as of June 25, 2022, for a total general wage increase of approximately 4.50%.This will result in both the top and bottom of the pay range being increased by approximately 4.50%.

H. Approve compensation changes for executive management and professional employees in Unit 99 and other unrepresented employees (Units 81/82) for Fiscal Year 2022-2023 to provide the following effective June 26, 2022:

1. Executive management and professional employees in Unit 99 and other unrepresented employees (Units 81/82) will receive an additional pensionable general wage increase of 1.50% based on the rates of pay in the City’s Pay Plan as of June 25, 2022, for a total general wage increase of approximately 4.50%. This will result in both the top and bottom of the pay range being increased by approximately 4.50%.

OUTCOME

Adoption of the resolution would result in employees in classifications assigned to AEA, ALP, AMSP, CAMP, MEF, OE#3, SJPDA, Unit 99, and Units 81/82 receiving an additional pensionable general wage increase of 1.50% based on the rates of pay in the City’s Pay Plan as of June 25, 2022, for a total general wage increase of approximately 4.50% in Fiscal Year 2022- 2023, which will become effective June 26, 2022.

BACKGROUND

In 2021, as part of overall agreements on the terms of successor Memoranda of Agreements with AEA, ALP, AMSP, MEF and OE#3, the City agreed to the following:

In the event that the City’s most recent budget forecast of ongoing revenues and expenditures used for the development of the Base Budget for 2022-2023 shows that the City will have a total cumulative General Fund surplus for Fiscal Year 2022-2023, upon request by the union, this Agreement shall reopen on the subject of wages only, and the parties will meet and confer on the topic of wages for Fiscal Year 2022-2023, only.

The City’s Five-Year Forecast for 2023-2027 was released in February 2022, and indicated that there would be a total cumulative General Fund surplus for Fiscal Year 2022-2023. On March 21, 2022, AEA, AMSP, CAMP and MEF requested to commence the meet and confer process on the topic of wages for Fiscal Year 2022-2023. On May 17, 2022, the City also began similar

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discussions with ALP and OE#3. On the dates, below, the City reached Agreements on the topic of wages for Fiscal Year 2022-2023 (Attachment), thus concluding the meet and confer process as agreed to with AEA, ALP, AMSP, CAMP, MEF, and OE#3.

Union Date of Agreement Attachment #
AEA May 26, 2022 Attachment A
ALP May 25, 2022 Attachment B
AMSP May 26, 2022 Attachment C
CAMP May 26, 2022 Attachment D
MEF May 26, 2022 Attachment E
OE#3 May 27, 2022 Attachment F

These agreements consist of the following:

Effective the first pay period in Fiscal Year 2022-2023, following union ratification and Council approval in open session, all salary ranges for employees holding positions in classifications assigned to [the union] shall be increased by an additional approximate 1.50% based on the rate of pay as of June 25, 2022, for a total pensionable increase of approximately 4.50% in Fiscal Year 2022- 2023.

Effective May 1, 2022, the SJPDA was officially recognized by the City as its own bargaining unit. Classifications and employees assigned to SJPDA were historically part of MEF. Upon formation of SJPDA, it was agreed to by the parties that the terms and conditions of the City’s Memorandum of Agreement with MEF would apply to SJPDA through the expiration of the current Memorandum of Agreement. As such, the City is recommending that the SJPDA receive an additional 1.50% general wage increase consistent with the general wage increase that has been agreed to with MEF.

The recommended compensation changes for Executive Management (Unit 99) and unrepresented employees (Units 81/82) contained in this memorandum are consistent with the agreements reached, above.

ANALYSIS

The following is a summary of the key provisions contained in this memorandum:

Pensionable
General Wage
Increase
(AEA)
Effective June 26, 2022, provide classifications assigned to AEA with an additional pensionable general wage increase of 1.50% based on the rates of pay in the City’s Pay Plan as of June 25, 2022, for a total general wage increase of approximately 4.50%. This will result in both the top and bottom step of the pay range being increased by approximately 4.50%.

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Pensionable
General Wage
Increase
(ALP)
Effective June 26, 2022, provide classifications assigned to ALP with an additional pensionable general wage increase of 1.50% based on the rates of pay in the City’s Pay Plan as of June 25, 2022, for a total general wage increase of approximately 4.50%. This will result in both the top and bottom step of the pay range being increased by approximately 4.50%.

Pensionable
General Wage
Increase
(AMSP)
Effective June 26, 2022, provide classifications assigned to AMSP with an additional pensionable general wage increase of 1.50% based on the rates of pay in the City’s Pay Plan as of June 25, 2022, for a total general wage increase of approximately 4.50%. This will result in both the top and bottom step of the pay range being increased by approximately 4.50%.

Pensionable
General Wage
Increase
(CAMP)
Effective June 26, 2022, provide classifications assigned to CAMP with an additional pensionable general wage increase of 1.50% based on the rates of pay in the City’s Pay Plan as of June 25, 2022, for a total general wage increase of approximately 4.50%. This will result in both the top and bottom step of the pay range being increased by approximately 4.50%.

Pensionable
General Wage
Increase
(MEF)
Effective June 26, 2022, provide classifications assigned to MEF with an additional pensionable general wage increase of 1.50% based on the rates of pay in the City’s Pay Plan as of June 25, 2022, for a total general wage increase of approximately 4.50%. This will result in both the top and bottom step of the pay range being increased by approximately 4.50%.

Pensionable
General Wage
Increase
(OE#3)
Effective June 26, 2022, provide classifications assigned to OE#3 with an additional pensionable general wage increase of 1.50% based on the rates of pay in the City’s Pay Plan as of June 25, 2022, for a total general wage increase of approximately 4.50%. This will result in both the top and bottom step of the pay range being increased by approximately 4.50%.

Pensionable
General Wage
Increase
(SJPDA)
Effective June 26, 2022, provide classifications assigned to SJPDA with an additional pensionable general wage increase of 1.50% based on the rates of pay in the City’s Pay Plan as of June 25, 2022, for a total general wage increase of approximately 4.50%. This will result in both the top and bottom step of the pay range being increased by approximately 4.50%.

Pensionable
General Wage
Increase
(Unit 99 & Units
81/82)
Effective June 26, 2022, provide classifications assigned to Unit 99 and Units 81/82 with an additional pensionable general wage increase of 1.50% based on the rates of pay in the City’s Pay Plan as of June 25, 2022, for a total general wage increase of approximately 4.50%. This will result in both the top and bottom step of the pay range being increased by approximately

4.50%.

CONCLUSION

It is recommended that City Council adopt the resolution that would, effective June 26, 2022, provide classifications assigned to AEA, ALP, AMSP, CAMP, MEF, OE#3, SJPDA, Unit 99, and Units 81/82 with an additional pensionable general wage increase of 1.50% based on the rates of pay in the City’s Pay Plan as of June 25, 2022, for a total general wage increase of approximately 4.50% in Fiscal Year 2022-2023.

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EVALUATION AND FOLLOW-UP

No additional follow up action with the City Council is expected at this time. .

CLIMATE SMART SAN JOSE

The recommendation in this memorandum has no effect on Climate Smart San José energy, water, or mobility goals.

PUBLIC OUTREACH

This memorandum will be posted on the City’s website in advance of the June 21, 2022, City Council meeting.

COORDINATION

This memorandum was coordinated with the City Attorney’s Office and the City Manager’s Budget Office.

COMMISSION RECOMMENDATION/INPUT

This agreement was not coordinated with any board or commission.

COST IMPLICATIONS

The increased cost of the additional 1.50% general wage increase based on the rates in the City’s Pay Plan on June 25, 2022, for a total of a 4.50% general wage increase for AEA, ALP, AMSP, CAMP, MEF, OE#3, SJPDA, Unit 99, and Units 81/82 over the previously agreed to 3.00% is approximately $7.3 million in all funds, of which $3.5 million is in the General Fund. These increased costs will be offset by a decrease in the Salaries and Benefits Reserve within the General Fund, from individual Unrestricted Ending Fund Balances or alternative reserve offsets within Special Funds, and/or included in various project expenditure appropriations budgeted within Capital Funds, as appropriate. The recommended budget actions will be brought forward for City Council approval as part of a future budget process. The ongoing increased costs will be factored into the annual development of the 2023-2024 Base Budget.

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CEQA

Not a Project, File No. PP17-010, City organizational and administrative activities resulting in no changes to the physical environment.

Jennifer Schembri
Director of Employee Relations
Director of Human Resources

The principal author of this memorandum was Bill Gold, Senior Executive Analyst, in the Office of Employee Relations. For questions, please contact Jennifer Schembri, Director of Employee Relations and Human Resources, at (408) 535-8150.

Attachment A – AEA Agreement
Attachment B – ALP Agreement
Attachment C – AMSP Agreement
Attachment D – CAMP Agreement
Attachment E – MEF Agreement
Attachment F – OE#3 Agreement

2022 AEA WAGE REOPENER NEGOTIATIONS
TENTATIVE AGREEMENT*
City of San Jose
May 25, 2022

Page 1 of 1 ends

WAGES
Fiscal Year 2022-2023
Effective th
e first pay period in Fiscal Year 2022-2023, f ollowing union ratification and Council approval in open session, all salary ranges for employees holding positions in classifications assigned to MEF shall be in creased by an additional approximate 1.50% based on the rate of pay as of June 25, 2022, for a total pensionable general wage increase of approximately 4.50% in Fiscal Year 2022-2023. * This agreement i
s considered tentative and shall not be considered final or binding until ratified by the membership and approved by the City Council. This document sets forth the full agreements of the parties reached during these negotiations. Anything not included in the document is not part of the Tentative Agreement.

FOR THE C
ITY: FOR THE UNION:
__________________________ __________________________
Burke
Dunphy Date Elizabeth Kamya Date
City Negotiator Business Representative
Sloan Sakai Yeung & Wong, LLP IFPTE, Local 21
__________________________ 5/26/22
__________________________
Elsa Cordova Date Florin LaPustea Date
As
sistant to the City Manager President
AEA, IFPTE, Local 21
5/26/22
__________________________
Cheryl Parkman Date
Assi
stant to the City Manager
05/26/2022
5/26/22

2022 ALP WAGE REOPENER NEGOTIATIONS
TENTATIVE AGREEMENT*
City of San Jose
May 25, 2022

Page 1 of 1 ends

WAGES
Fis
cal Year 2022-2023
Effec
tive the first pay period in Fiscal Year 2022-2023, f ollowing union ratification and Council approval in open session, all salary ranges for employees holding positions in classifications assigned to ALP shall be increased by an additional approximate 1.50% based on the rate of pay as of June 25, 2022, for a total pensionable general wage increase of approximately 4.50% in Fiscal Year 2022-2023. * This
agreement is considered tentative and shall not be considered final or binding until ratified by the membership and approved by the City Council. This document sets forth the full agreements of the parties reached during these negotiations. Anything not included in the document is not part of the Tentative Agreement.

FOR
THE CITY: FOR THE UNION:
__________________________ __________________________

Jennifer Schembri Date Terra Chaffee Date
Director of Human Resources President, ALP
Director of Employee Relations
__________________________
C
arolyn Gibson Date
Senior Executive Analyst
5/25/22
5/25/2022
5/25/2022
2022 AMSP WAGE REOPENER NEGOTIATIONS
TENTATIVE AGREEMENT*
WAGES
Fiscal Year 2022-2023
Effective the first pay period in Fiscal Year 2022-2023, following union ratification and Council approval in open session, all salary ranges for employees holding positions in classifications assigned to MEF shall be increased by an additional approximate 1.50% based on the rate of pay as of June 25, 2022, for a total pensionable general wage increase of approximately 4.50% in Fiscal Year 2022-2023. * This agreement is considered tentative and shall not be considered final or binding until ratified by the membership and approved by the City Council. This document sets forth the full agreements of the parties reached during these negotiations. Anything not included in the document is not part of the Tentative Agreement.

FOR THE CITY:

Burke Dunphy Date
City Negotiator
Sloan Sakai Yeung & Wong, LLP

Elsa Cordova Date
Assistant to the City Manager

Cheryl Parkman Date
Assistant to the City Manager
City of San Jose
May 25, 2022

Page 1 of 1 ends

FOR THE UNION:

Elizabeth Kamya Date
Business Representative
IFPTE, Local 21
Jesse Perez
President
AMSP, IFPTE, Local 21
5/26/22
5/26/2022
5/26/22
5/26/22
2022 CAMP WAGE REOPENER NEGOTIATIONS
TENTATIVE AGREEMENT*
City of San Jose
May 25, 2022

Page 1 of 1 ends

WAGES
Fiscal Year 2022-2023
Effective the first pay period in Fiscal Year 2022 -2023, f ollowing union ratification and Council approval in open session , all salary ranges for employees holding positions in classifications assigned to MEF shall be increased by an additional approximate 1.50% based on the rate of pay as of June 25, 2022 , for a total pensionable general wage increase of approximately 4.50% in Fiscal Year 2022-2023. * This agreement is considered tentative and shall not be considered final or binding until ratified by the membership and approved by the City Council. This doc ument sets forth the full agreements of the parties reached during these negotiations. Anything not included in the document is not part of the Tentative Agreement.

FOR THE CITY: FOR THE UNION:
__________________________ __________________________
Burke Dunphy Date Elizabeth Kamya Date
City Negotiator Business Representative
Sloan Sakai Yeung & Wong, LLP IFPTE, Local 21
__________________________ __________________________
Elsa Cordova Date Julie Jennings Date
Assistant to the City Manager President
CAMP, IFPTE, Local 21
__________________________
Cheryl Parkman Date
Assistant to the City Manager
5/26/2022
5/26/22
5/26/22
5/26/22

2022 MEF WAGE REOPENER NEGOTIATIONS
TENTATIVE AGREEMENT*
City of San Jose
May 25, 2022

Page 1 of 1 ends

WAGES
Fiscal Year 2022-2023
Effectiv
e the first pay period in Fiscal Year 2022-2023, f ollowing union ratification and Council approval in open session, all salary ranges for employees holding positions in classifications assigned to MEF shall be in creased by an additional approximate 1.50% based on the rate of pay as of June 25, 2022, for a total pensionable general wage increase of approximately 4.50% in Fiscal Year 2022-2023. * This agreem
ent is considered tentative and shall not be considered final or binding until ratified by the membership and approved by the City Council. This document sets forth the full agreements of the parties reached during these negotiations. Anything not included in the document is not part of the Tentative Agreement.

FOR THE
CITY: FOR THE UNION:
__________________________ __________________________
Burk
e Dunphy Date John Tucker Date
City Negotiator Business Agent
Sloan Sakai Yeung & Wong, LLP AFSCME, Local 101
__________________________ __________________________
E
lsa Cordova Date Cindy Harlin Date
Assistant to the City Manager President
MEF, AFSCME, Local 101
__________________________
Cher
yl Parkman Date
Assistant to the City Manager
5/26/20225/26/2022
5/26/2022
5/26/22
2022 OE#3 WAGE REOPENER NEGOTIATIONS
TENTATIVE AGREEMENT*
City of San Jose
May 26, 2022

Page 1 of 1 ends

WAGES
Fiscal Year 2022-2023
Effective the first pay period in Fiscal Year 2022 -2023, following union ratification and Council approval in open session , all salary ranges for employees holding positions in classifications assigned to OE#3 shall be increased by an additional approximate 1.50% based on t he rate of pay as of June 25, 2022 , for a total pensionable general wage increase of approximately 4.50% in Fiscal Year 2022-2023. * This agreement is considered tentative and shall not be considered final or binding until ratified by the membership and approved by the City Council. This document sets forth the full agreements of the parties reached during these negotiations . Anything not included in the document is not part of the Tentative Agreement.

FOR THE CITY: FOR THE UNION:

Jennifer Schembri Date Jeremy Cabaccang Date
Director of Employee Relations
Director of Human Resources
Business Agent, OE#3
Elsa Cordova Date
Assistant to the City Manager
Office of Employee Relations
5/27/2022
5/27/2022
5/27/2022

San Jose City CouncilJune 21, 2022

San Jose City Council
June 21, 2022