City Council
Report
City Council Meeting: July 26, 2022
Agenda Item: 5.F
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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 agreement and authorizing the City Manager to negotiate and execute Memoranda of Understanding with the California Teamsters Local 911
Recommended Action
Staff recommends that the City Council:
1. Adopt the proposed Resolution (Attachment A) accepting the tentative agreement and authorizing the City Manager to negotiate and execute a Memorandum of Understanding with the California Teamsters Local 911;
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 California Teamsters Local 911 (Teamsters) have resulted in a tentative agreement (TA) regarding a successor Memorandum of Understanding (MOU). Staff seeks Council authorization to enter into this agreement with this bargaining unit.
Teamsters finalized the ratification voting process, approving the terms of their TA. City staff recommend that the Council approve the ratified TA to establish a successor agreement between the City and Teamsters. Staff have ongoing negotiations with two remaining bargaining units.
Discussion
The MOU between the City and Teamsters establishes wages, hours, and other terms and conditions of employment. Under the Meyers-Milias-Brown Act (MMBA) in 2 of 4
California, local public agencies negotiate with exclusively recognized employee organizations on wages, hours, and working conditions. The City currently is still in negotiations with two of these employee organizations (often referred to as bargaining groups or unions) whose collective bargaining agreements 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 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 agreement bring the City closer in alignment with our eleven (11) 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 the TA with Teamsters is outlined below:
California Teamsters Local 911
The California Teamsters Local 911 (Teamsters) represents 414 members comprised of skilled trades and maintenance classifications.
• Term of Agreement: July 1, 2022, through June 30, 2025. • July 3, 2022 = 4.5% salary increase effective July 3, 2022. • July 1, 2022 = $5,000 Trades and Maintenance Signing Bonus. • July 1, 2023 = 3% salary increase and a $3,500 Trades and Maintenance Signing Bonus.
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• July 1, 2024 = 2% salary increase and a $3,500 Trades and Maintenance Signing Bonus.
• Add Cesar Chavez and Juneteenth as paid holidays.
• Increase to Temporary Upgrade Pay; employees currently receive $1.25 per hour while serving in a higher-level classification. This change will provide a minimum 5% salary increase, which will align them with the temporary upgrade pay provided for in other bargaining units’ MOUs.
• Re-openers regarding: health, safety and mental awareness; compensation studies; staffing needs; service recognition; and the manner in which holidays are compensated for employees who end up working on the actual holiday. • Water Division bonuses:
o $75 bi-weekly, $125 bi-weekly or $175 bi-weekly bonus for Water Treatment, Wastewater Collection, Water Distribution Certification bonuses, depending on the level of the certification.
• 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 estimated cost of the negotiated changes contained in the tentative agreement presented in this report is $3,512,507 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.
Fund
# Fund Name Total
01 General Fund $1,185,038
11 Beach Recreation Fund 235,660
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50 Water Fund 311,397
51 Wastewater Fund 154,699
53 Pier Fund 36,867
54 Resource Recovery & Recycling Fund 663,370
57 Airport Fund 52,058
59 Cemetery Fund 27,771
60 Big Blue Bus Fund 694,662
70 Vehicle Management Fund 150,985
Total all funds $3,512,507
Prepared By: Ericka Reinke, Senior HR Analyst
Approved Forwarded to Council
Attachments:
A. COLA FY22-23 Step IBT Salary Grades 4.5%
B. Teamsters TA RESO 7.26.22