City Council
Report
City Council Meeting: July 12, 2022
Agenda Item: 5.I
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To: Mayor and City Council
From: Lori Gentles, Chief People Officer, Human Resources Department Subject: Adoption of a Resolution accepting the tentative agreements and authorizing the City Manager to negotiate and execute Memoranda of Understanding with the Municipal Employees Association, Santa Monica Firefighters Local 1109 (1109), Santa Monica Police Officers Association and the Supervisory Team Association and a Side Letter Agreement between the City and 1109 Recommended Action
Staff recommends that the City Council:
1. Adopt the proposed Resolution (Attachment A) accepting the tentative agreements and authorizing the City Manager to negotiate and execute Memoranda of Understanding with the Municipal Employees Association (MEA), Santa Monica Firefighters Local 1109 IAFF (1109), Santa Monica Police Officers Association (POA) and the Supervisory Team Association (STA) and a Side Letter Agreement with the Santa Monica Firefighters Local 1109 IAFF;
2. Adopt the salary schedule (Attachment B); and
3. Authorize budget changes as outlined in the Financial Impacts & Budget Actions section of this report.
Summary
In accordance with the Meyers-Milias-Brown Act (MMBA), negotiations between the City and the Municipal Employees Association (MEA), Santa Monica Firefighters Local 1109 (1109), Santa Monica Police Officers Association (POA) and the Supervisory Team Association (STA) have resulted in a Tentative Agreement (TA) regarding a successor Memorandum of Understanding (MOU) with each bargaining unit and a Side Letter Agreement with 1109. Staff seeks Council authorization to enter into these agreements with these bargaining units. All groups finalized the ratification voting process, approving the terms of their respective TA. City staff recommend that the Council 2 of 7
approve the ratified TAs to establish successor agreements between the City and these bargaining units.
Discussion
The MOU between the City and each bargaining unit establishes wages, hours, and other terms and conditions of employment. Under the Meyers-Milias-Brown Act (MMBA) in California, local public agencies negotiate with exclusively recognized employee organizations on wages, hours, and working conditions. The City currently has approved TAs with two bargaining units and is still in negotiations with three of these employee organizations (often referred to as bargaining groups or unions) whose contracts with the City expired on June 30, 2022.
The overall policy of the City has been to maintain competitive benefits and working conditions in a high-cost geographic labor market in order to retain and attract a highquality workforce to serve our community across a wide range of specialized services.
Since most, though not all, City jobs are most comparable to those in other (competing) municipal organizations, the City has traditionally looked to full-service cities in our region of similar size and financial strength for labor market comparisons. The terms of the tentative agreements bring the City closer in alignment with our ten comparable peer cities while simultaneously preserving a level of benefits that will keep the City of Santa Monica competitive in a tight labor market. Peer cities include Anaheim, Beverly Hills, Burbank, Culver City, El Segundo, Glendale, Inglewood, Pasadena, Redondo Beach, Santa Barbara, and Torrance. The City of Los Angeles and County of Los Angeles may also be included as a comparable agency depending on the classifications being surveyed.
The substantive changes for each TA are outlined below:
Municipal Employees Association
The Municipal Employees Association (MEA) represents 409 non-exempt general employees, including clerical staff, technical staff, and paraprofessionals. • Term of Agreement: July 1, 2022 through June 30, 2025. 3 of 7
• July 3, 2022 = 4.5% salary increase plus a one-time signing bonus of $2,000, effective July 1, 2022, or the first pay period following Council approval of the MOU, whichever is later.
• July 1, 2023 = 3% salary increase.
• July 1, 2024 = 2% salary increase and a $3,000 lump sum bonus. • Add Cesar Chavez and Juneteenth as paid holidays.
• Restoration of Sick Leave Buyback Program.
• Increase to Temporary Upgrade Pay, employees currently receive $1.25 per hour while serving in a higher-level classification. This change will align them with other MOU’s which allow for an employee to receive the salary of the higher-level classification, providing a minimum 5% increase.
• Reopener regarding the manner in which holidays are compensated for employees who end up working on the actual holiday and a reopener regarding classification and compensation studies.
• Vacation Cash Out: Increase in the number of hours employees can cash out two times per year:
o Increase from 30 to 48 hours for 0-5 years of service. o No change for 5-10 years of service.
o Increase from 60 to 72 hours for 10-15 years of service. o Increase from 60 to 84 hours for 15+ years of service. • MEA employees who are assigned and respond to a mutual aid team shall be compensated for “portal to portal” at the straight-time rate.
Santa Monica Police Officers Association (POA)
The Santa Monica Police Officers Association (POA) has 220 exempt & non-exempt public safety employees in the Police Department, excluding the Police Chief. • Term of Agreement; July 1, 2022, through June 30, 2025. 4 of 7
• July 3, 2022 = 4.5% salary increase, effective July 1, 2022, or the first pay period following Council approval of the MOU, whichever is later. • January 1, 2024 = 1% salary increase.
• January 1, 2025 = decrease CalPERS pension cost-sharing from 8.5% to 6%. • June 30, 2025 = decrease CalPERS pension cost-sharing from 6% to 4%. • Suspension of the Equity Study for one year effective, January 2024. • Restoration of Sick Leave Buyback Program.
• Add Cesar Chavez and Juneteenth as paid holidays.
• $900/month special deployment pay for Deputy Police Chief, Police Captains, and Police Lieutenants.
• Addition of “Wellness” hour while on shift.
• Increase uniform allowance from $80/month to $100/month.
Santa Monica Firefighters Local 1109 (1109)
The Santa Monica Firefighters Local 1109 (1109) has 119 exempt & non-exempt public safety employees in the Fire Department, excluding the Fire Chief and Deputy Fire Chiefs.
• Term of Pay Plan: July 1, 2022, through June 30, 2025. • July 3, 2022 = 4.5% salary increase plus a one-time payment of $8,500 in recognition of the salary decreases during fiscal years 2020-2022, effective July 1, 2022, or the first pay period following Council approval of the MOU, whichever is later.
• July 1, 2023 = 3% salary increase.
• July 1, 2024 = 2% salary increase.
• Increase of EMT bonus from 6.75% of top step Firefighter to 9.25% of top step Firefighter effective July 1, 2022, or the first pay period following Council 5 of 7
approval of the MOU, whichever is later. Battalion Chiefs and the Fire Marshal will also simultaneously become eligible for an EMT bonus of 2.5% of top step Firefighter.
• Increase to deferred compensation employer contribution of 5% of base pay for employees who are designated as Public Employee Pension Reform Act (PEPRA) members for the purposes of retirement.
• Add Juneteenth as a paid holiday.
• Increase to Retiree Health Benefit Trust from $150.19 to $360/month. • Increase to Hazardous Materials (HazMat) and Urban Search and Rescues (USAR) team bonuses, from 4% of top step Firefighter to 6% of top step Firefighter if an employee is assigned to both teams.
• Remove the current caps for the amount of how many employees may be assigned to either team and therefore eligible for a HazMat or USAR bonus. • July 1, 2022 = decrease CalPERS pension cost-sharing from 6% to 1%, effective July 1, 2022, or the first pay period following Council approval of the MOU, whichever is later.
• Reopeners regarding the medical insurance provider and insurance for mental health and/or Post Traumatic Stress Disorder.
• Side Letter Agreement which will allow for employees to earn overtime at their own pay rate when working in a lower-level classification. This modification will expire December 31, 2022 and revert to the current practice where employees are paid at the rate for the lower-level classification.
Supervisory Team Association (STA)
The Supervisory Team Association (STA) has 98 non-exempt Supervisors. • Term of Agreement: July 1, 2022, through June 30, 2025. 6 of 7
• July 3, 2022 = 4.5% salary increase plus a one-time signing bonus of $1,550, effective July 1, 2022, or the first pay period following Council approval of the MOU, whichever is later.
• July 1, 2023 = 3% salary increase.
• July 1, 2024 = 2% salary increase.
• Add Cesar Chavez and Juneteenth as paid holidays.
• Restoration of Sick Leave Buyback Program.
• Water Division bonuses:
o $75/month, $125/month or $175/month bonus for Water Treatment, Wastewater Collection, Water Distribution Certification bonuses, depending on the level of the certification.
• City-paid State Disability Insurance effective fiscal year 2024-2025. • Add bonus of $30 biweekly for Mobile Command post certification. • Add bonus of $30 biweekly for Crime Scene certification. • The City will conduct classification and compensation studies for certain positions that have yet to be determined.
• STA employees who are assigned and respond to a mutual aid team shall be compensated for “portal to portal” at the straight-time rate.
Financial Impacts and Budget Actions
The total cost of the negotiated changes contained in the tentative agreements presented in this report is approximately $11,594,356 for FY 2022-23. The budget impact of these changes was included in the FY 2021-22 through FY 2027-28 Five-Year Financial Forecast for the General Fund. If the changes are approved, staff will appropriate the FY 2022-23 changes in Non-Departmental for the General Fund and all other funds as listed in the table below. The funds will be transferred to the relevant funds and department accounts along with the FY 2021-22 Year-end Budget changes being presented to Council on October 25, 2022.
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Prepared By: Ericka Reinke, Senior HR Analyst
Approved Forwarded to Council
Attachments:
A. Proposed Resolution
B. MEA FY22-23 Salary Schedule COLA 4.5%
C. FIRE FY22-23 Salary Schedule COLA 4.5%
D. POA FY22-23 Salary Schedule COLA 4.5%
E. STA FY22-23 Salary Schedule COLA 4.5%
Fund # Fund Name Total
01 General Fund $10,779,644
11 Beach Recreation Fund 37,569
12 Housing Authority Fund 48,750
50 Water Fund 60,189
51 Wastewater Fund 23,024
53 Pier Fund 84,758
54 Resource Recovery & Recycling Fund 83,091
55 Community Broadband Fund 6,668
57 Airport Fund 38,228
59 Cemetery Fund 14,195
60 Big Blue Bus Fund 361,481
70 Vehicle Management Fund 37,790
75 Risk Management Administration Fund 18,969
Total all funds $11,594,356