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HomeMy WebLinkAboutC27290 - MOU - PDEO Carney, Lori From: Wimbish, Lori Sent: Tuesday, February 12, 2008 12:43 PM Subject: FW: Results of PDEO General Membership vote on proposed MOU and Retiree Service Stipend Program Resolution To the PDEO Membership, The PDEO held two (2) General Membership meetings on Friday, February 8, 2008 to go over and solicit comments on the proposed MOU and Retiree Service Stipend Program Resolution. Members were provided copies of the proposed MOU and Retiree Service Stipend Program Resolution via email prior to those meetings. The PDEO General Membership, consisting of ninety-eight(98) represented members conducted its voting on the proposed MOU from Friday, February 8 until Noon on Tuesday, February 12, 2008. The PDEO Ballot Box was opened at approximately 12:05 today(Tuesday, February 12). The ballots were authenticated with the PDEO membership list and then counted by two (2) Board members and one person from HR present to oversee the ballot counting. The results of that vote are as follows: • Forty-eight(48) authenticated ballots were received • Forty-seven (47) ballots were marked "YES" • One (1) ballot was marked "NO" • Six (6)additional ballots were received but could not be authenticated for lack of name/signatu�e on outside envelope According to the PDEO Bylaws, Article X-Voting: "Written ballots will be used for Board elections, Bylaw amendments, the final MOU, and the final approval on any matter that affects policy." "Twenty percent(20%)of the membership must submit ballots to constitute a valid vote on an issue. Two- thirds (2/3rds)of the ballots cast are necessary for an issue to be approved. Board elections will be determined by a majority vote." Therefore the proposed MOU and Retiiee Service Stipend Proqram Reso/ution has been approved bv the PDEO Membership. PDEO Board of Directors: Bob Riches Lori Wimbish Terry Cechin Ray Santos Deborah LeBlanc 1 MEMORANDUM OF UNDERSTANDING Pursuant to the Myers-Milias Brown Act (MMBA), Chapter 10 (Section 3504 et. -�� seq.) of the Government Code, the California Law governing collective bargaining, and the Employer-Employee Relations Ordinance (EERO) of the City of Palm Desert, the matters within the scope of representation that are set forth in this Memorandum of Understanding (MOU) have been discussed by the representatives of the Palm Desert Employees Organization (PDEO) and representatives of the City of Palm Desert (City). The matters within the scope of representation that are set forth in this MOU have been discussed in good faith and agreed to by the City and the PDEO as constituting an equitable adjustment to present wages, hours and other terms and conditions of employment as evidenced by the srgnatures of the duly authorized representatives of the City and the PDEO. This MOU shall not be binding upon the parties, in whole or in part, unless and until said City Council formally approves this MOU. The City's Personnel Ordinance and Standard Operating Procedures shall govern during the term of this Memorandum of Understanding, unless otherwise indicated herein. PDE rd City —�-t� Z� � CG� _ Date Bob Riches Date rl�s � a � PD o Member � Ci a, ge v� - 2 z i Date Ray a os Date Sheila Gilligan � . ) P Board Member � ' Asst ity Mgr ��bS � - ate L ri Wimbish Date Lori Car �— PD�O Boar M�,mbe� ���� na c?- I-o8 /� �! �� Date Deborah LeBlanc Date aul Gibson PDEO Board Member Dir of Finance Signatures still in the process of being Date Ter Cechin o a ne at the Date Dave Erwin ry posting of the PDEO Board Member agenda. City Attorney ATTEST: Date City Clerk City of Palm Desert TABLE OF CONTENTS ARTICLE 1 - TERMS OF AGREEMENT....................................................................3 ARTICLE 2 - AMENDMENTS AND MODIFICATIONS............................................3 ARTICLE3 - REPRESENTATION ...............................................................................4 ARTICLE4 - COMPENSATION....................................................................................4 ARTICLE5 - BENEFITS................................................................................................ 5 City/PDEO Memorandum of Understanding Page 2 of 6 Printed 2/21/2008 ARTICLE 1 — TERMS OF AGREEMENT This Memorandum of Understanding (MOU) shall be binding on the City and the PDEO when approved by the PDEO general membership and the City Council. Except as otherwise provided herein, this MOU shall be in full force and effect for three (3) years from the date of signing of this MOU Any employment policies, practices and/or benefits that were in effect as of the date of signing of this MOU shall be deemed incorporated into this MOU, unless otherwise stated herein. The parties agree that the disciplinary and grievance procedures set forth and in the City's Personnel Ordinance shall govern during the term of this Memorandum of Understanding. In the event of a conflict between the MOU and an existing policy and/or practice, this MOU provision shall govern. The City and the PDEO agree that this MOU contains all of the covenants, stipulations, and agreements of the parties. The City shal! meet and confer in good faith with the PDEO on all matters related to the salaries, benefits and other terms and conditions of employment, in accordance with the Myers-Milias-Brown Act. ARTICLE 2 — AMENDMENTS AND MODIFICATIONS 2.1 - Modification The City and the PDEO agree, understand and reserve the right, to meet and confer in good faith, at any time, with respect to any subject or matter covered in this MOU in order to amend or make modifications to this MOU. Any changes to this MOU must be approved by the PDEO general membership and City Council. 2.2 — Severance Clause In the event that a court finds any provision(s) of this MOU to be invalid, unenforceable, or contrary to law, such provision shall be severed from this MOU and will not be applicable, performed, or enforced, except to the extent permitted by law. The parties agree that all the other provisions of this MOU shall remain in effect. City/PDEO Memorandum of lJnderstanding Page 3 of 6 Printed 2/21/2008 The parties further agree to meet and confer in good faith for purposes of negotiating an alternative to any severed provision. ARTICLE 3 - REPRESENTATION In accordance with the MMBA and the EERO, the City of Palm Desert recognizes the PDEO as the exclusive representative of all employees in the full-time non- management employees unit as listed in Appendix A of this agreement. The PDEO recognizes the City Manager as the exclusive representative for the City for purposes of entering into this MOU. ARTICLE 4 - COMPENSATION 4.1 -Waqes The Grade Step and Wage Rates Schedule for employees covered by this Agreement are set forth in Resolution adopted by the City Council. On July 1, 2008, July 1, 2009, and July 1, 2010 pursuant to the Annual Salary Resolution adopted by the Council, the Council shall adjust salaries by the change in the Consumer Price Index (CPI), published by the U.S. Department of Labor, Bureau of Labor Statistics, for the Los Angeles-Anaheim-Riverside area, for all urban consumers. Said change in CPI shall be computed as the percentage difference between the March Index of the current year and the March Index of the previous year. These adjustments shall not be less than two (2) percent nor greater than five (5) percent. 4.2 — Night Differential Pay Employees who are assigned to perform their duties between the hours of 6:00 p.m. and 6:00 a.m. for a special project (and for whom the majority of hours fall after 6:00 p.m.) are eligible for night differential pay at the rate of $2.50 per hour. This does not apply to employees assigned to standby duty and receiving standby pay. Night differential pay will be subject to the following regulations: • Night Differential schedules must be pre-approved by the Department Head; • Night Differential amount paid will be $2.50 per hour; City/PDEO Memorandum of Understanding Page 4 of 6 Printed 2/21/2008 • Employees on "stand-by" and receiving stand-by pay who are called back to work are not eligible for Night Differential, because they have already been compensated through the `stand-by' and `call-back' provisions; • In order to qualify, the majority (greater than fifty percent) of the work must be performed between the hours of 6:00 p.m. and 6:00 a.m. 4.3 Working on Holidays Non-exempt employees may be paid at the overtime rate when required to work on a scheduled holiday. In order to receive the overtime rate for holiday work the following conditions must be met: • The employee must work at least forty hours in the same workweek the holiday falls in, (Holiday hours count as hours worked when computing the total for the workweek); • The employee cannot have been scheduled an alternate day off in the same workweek; • If the employee takes sick or vacation time off during the same workweek such time shall not be counted as hours worked for the computation of overtime. ARTICLE 5 — BENEFITS The City's Personnel Ordinance shall govern the extent to which benefits are given and maintained. The City agrees to meet and confer with the PDEO prior to any final decision by the City to change any current benefits during the term of this MOU over the effects of such change. 5.1 — Emqloyee Flexible Benefits The City shall provide its employees with health plan benefits through an IRS Section 125 Flexible Benefits Plan. This plan is referred to as the "Cafeteria Plan" because it offers a "menu" of benefits choices. The plan will provide premium coverage (with no employee contribution) for employees and their dependents that choose the PersChoice, or a less expensive, plan. Employees who chose a plan with a higher premium will be responsible for paying the difference in premium through a pre-tax payrol! deduction. City/PDEO Memorandum of Understanding Page 5 of 6 Printed 2/21/2008 The City will provide a flat $50.00 / month as a flex plan credit component to the cafeteria plan which can be used toward the purchase of benefits, placed in Flexible Spending Account or received as taxable cash via payroll. Those employees who `opt ouY of the City provided health plans shall receive a flat $150.00 / month additional flex plan credit in lieu of coverage. 5.2 — Dental and Vision The City shall provide its employees with Dental and Vision Benefits. The basic Dental benefit shall provide a maximum dollar limit of $2,000 per year along with additional orthodontia and implant coverage ($1,000 lifetime benefit at a 50% co-pay). This benefit is extended to all covered employees and their covered dependents. The basic Vision benefit shall provide yearly exams. The benefit will also provide single vision lenses annually and frames, up to $120.00, every 24 months. The benefit will include an option for contact lenses. Additional Dental Benefits are available and voluntary. Employees who elect an enhanced benefit plan shall have the increased premium amount paid as a deduction from the Flexible Benefits Plan. 5.3 - Retiree Health Stipend Program The City offers a Retiree Health Stipend Program to assist long-term employees in obtaining adequate health insurance in retirement. The program's provisions are dependent on hire date and are set forth in a Resolution adopted by City Council and included here as Appendix B. Fundinq for the Retiree Health Stipend Program: The City will place the amount currently set aside for funding the Retiree Health Stipend Program in a financial instrument solely for the purpose of providing a secure funding source for the Retiree Health Stipend Program. Future contributions to the fund will be subject to Council approval during the yearly budget process. City/PDEO Memorandum of Understanding Page 6 of 6 Printed 2/21/2008 5.4 — Short Term Disability Insurance The City agrees to offer a voluntary program of Short Term Disability Insurance which interested employees may purchase through payroll deduction. This plan is not intended to take the place of accrued sick leave. It is provided as a "safety net" for those employees who choose to purchase it. City/PDEO Memorandum of Understanding Page 7 of 7 Printed 2/21/2008 PALM DESERT EMPLOYEES ORGANIZATION M.O.U. EXHIBIT"A" REPRESENTED CLASSIFICATIONS JANUARY 2008 SALARY POSITION CLASSIFICATION GRADE 30034 Custodian I 100 30035 Office Assistant I � 100 30036 Maintenance Worker I � 101 . - � 30031 Custodian II ! 104 _ . _ __ � 30030 Office Assistant II _ ___ � 104 , i 30028 Mechanic I 105 30029 Maintenance Worker II 106 30027 _ Accounting Assistant II 106 30051 Receptionist 106 30026 Senior Office Assistant 107 _ 30052 i Equipment Operator I 109 30023 ___ Building Permit Specialist 111 30053 Equipment Operator II 111 30021 Senior Maintenance Worker 111 30019 Accounting Technician I 113 30072 Business License Technician 113 ; 30074 Housing Programs Technician i 113 _...-- - , . 30018 Human Resources Technician � 113 30025 Mechanic II i 113 . _ 30077 Public Arts Technician � 113 30059 RDA Finance Technician � 113 . . - --- -- . ._. - ----.._.._7 30088 _ Recycling Technician 113 30085 Building and Safety Technician 113 30083 Ca ital Im rovement Pro'ects Techni� 113 Page 1 of 4 PALM DESERT EMPLOYEES ORGANIZATION M.O.U. EXHIBIT"A" REPRESENTED CLASSIFICATIONS JANUARY 2008 SALARY POSITION CLASSIFICATION GRADE 30048 Records Technician 113 I __._ . _ . � 30064 Code Compliiance Technician_ 113 30005 Engineering Technician I 113 30093 ; Parks Inspecto _ 113 30020 _ Administrative Secretary � 113 ! . i 30091 Energy Project Technician 114 � 30015 Building Inspector I _ 114 _ __ 30047 Economic Develo�ment Technician I : 114 30014 Code Compliance Officer I 114 � 30084 GIS Technician - Entry Level 114 � I 30056 Information Systems Technician � 114 I 30045 ' Landscapelnspectorl 114 -- � . __. �-- -- : � � 20072 ! Building Maintenance Supervisor , 114 20044 Secretary to the City Council , 116 20024 Secretary to the City Manager_ 116 20045 � Secretary to the Executive Dir. 116 ' 30068 Business License Tech II 116 _ 30006 Public_Works Inspector I 118 30011 Accountant I 118 30080 Accounting Technician II 118 30016 Engineering Technician II ; 118 � 30008 Building Inspector II , 118 , 30009 Building Permit Specialist II 118 30086 Economic Develo ment Technician II: 118 ; Page 2 of 4 PALM DESERT EMPLOYEES ORGANIZATION M.O.U. EXHIBIT "A" REPRESENTED CLASSIFICATIONS JANUARY 2008 SALARY POSITION CLASSIFICATION GRADE � 30012 � Code Compliance Officer II i 118 ' . . _ _. � � 30041 GIS Technician � 118 30073 Information Systems Analyst 118 30075 Landscape Inspector il 118 � . . � 3008_1 Traffic Signal Technician II 118 30010 __ 'Planning Technician � 118_ i 30071 Public Art Coordinator 118 I -- �. 30044 ; Sr. Human Resources Technician__ ; 118 � � � 30084 __ Deputy City Clerk 118 20058 ; * Management Analyst I 120 � ' , ; 3007 i Public Works Inspector II i 120 � 30013 � Sr. Engineering Technician 120 . - ----- , . ! 30092 ! G.I.S. Coordinator � 121 30001 Senior Building Inspector 121 � � � � 30063 ; Senior Code Com liance Officer 121 I ---- -------,--- ---- p _._._. _. _ ._, i 30046 Senior Public Works Inspector � 121 : . _. . . .. ------ -� 30090 Senior Landscape Inspector 121 i . _. . � 30082 Traffic Signal Specialist 121 ; . . 30002 Accountant II 121 30087 Project Coordinator 121 30061 Landscape Specialist ' 121 i 30004 Plans Examiner 121 ' 20020 * Management Analyst II � 123 20021 * Assistant Planner ' 123 Page 3 of 4 PALM DESERT EMPLOYEES ORGANIZATION M.O.U. EXHIBIT "A" REPRESENTED CLASSIFICATIONS JANUARY 2008 SALARY POSITION CLASSIFICATION GRADE i � 20073 . _ Senior Plans Examiner � 1_23__ � 20018 * Assistant Engineer 125 20013 * Senior Management Analyst 127 ! 20015 * Associate Planner 127 20055 * Associate Transportation Planner 127 20036 * Project Administrator � 127 20008 * Senior Engineer 129 _ __20056 _ *:Senior Engineer/City Surveyor � 129 � � �. . _ _ _ ; � * Employees in this class may opt-in to PDEO membership but are not automatically considered members. Page 4 of 4 ffiIBIT "B" TO M.O.II. RESOLUTION NO. 08- 2 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM -`- DESERT, CALIFORNIA, RESCINDING RESOLUTION NO. 99-65 AND ADOPTING REVISED GUIDELINES FOR THE RETIREE SERVICE STIPEND PROGRAM FOR EMPLOYEES AND MEMBERS OF THE CITY COUNCIL. WHEREAS, The City's Labor Negotiator has met and conferred with the Palm Desert Employees Organization on the terms of a Memorandum of Understanding; WHEREAS, the parties reached agreement in the matter of revising the retiree health stipend program established in Resolution 99-65; and WHEREAS, this agreement changes the terms of the program adopted by Resolution 99-65 for employees and Members of the City Council who begin their service after January 1, 2008, NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Palm Desert, California, as follows: SECTION I: Statement of Puraose The purpose of the City offering a retiree service stipend is to reimburse eligible retired Palm Desert City employees a portion of their benefit premiums. This stipend is not meant to fully cover the cost of benefits. This program rewards long term employees, via the reimbursement stipend, who have given diligent employment service to the City of Palm Desert. In response to concerns over the rising costs of post retirement health benefits and the implementation of accounting standard GASB 45 the City has set up a two-tier program with different benefit levels based upon employment start date. SECTION II: Eli ibili All full-time or part-time employees of the City of Palm Desert are eligible to participate in the "Retiree Service Stipend Program" based upon the criteria outlined below: Employees and Members of the City Council who began their service rior to December 31, 2007: 1. The employee must have at least ten (10) continuous years of service with the City of Palm Desert; 2. The employee must retire from the City of Palm Desert and from the California Public Employees Retirement System, simultaneously; 3. The employee must be at least 50 years of age at the time of retirement; RESOLUTION NO. 08- 02 ffiIBIT "B" To M.o.v. 4. The employee and/or retiree must conform to the rules, regulations and requirements of the CaIPERS Health Benefits Service Division to receive the retiree service stipend; 5. Retirees of the City of Palm Desert may be eligible for CaIPERS Health Benefits but may not be eligible for the Retiree Service Stipend Program; 6. The retiree service stipend shall cover all retirees previously qualified under Resolution No. 92-96 (rescinded by Resolution 99-65); and 7. Retirees must be covered by CaIPERS Health Benefit Services at the time of retirement and must elect to participate in the retiree service stipend within thirty (30) days of their retirement date. Employees and Members of the City Council who began their service after January 1, 2008: 1. The employee or Councilmember must have at least fifteen (15) continuous years ot service with the City of Palm Desert; 2. The employee must retire from the City of Palm Desert and from the California Public Employees Retirement System, simultaneously; 3. The employee must be at least 50 years of age at the time of retirement; 4. The employee and/or retiree must conform to the rules, regulations and requirements of the CaIPERS Health Benefits Service Division to receive the retiree service stipend; 5. Retirees of the City of Palm Desert may be eligible for CaIPERS Health Benefits but may not be eligible for the Retiree Service Stipend Program; 6. Retirees must be covered by CaIPERS Health Benefit Services at the time of retirement and must elect to participate in the retiree service stipend within thirty (30) days of their retirement date. Page 2 of 6 RESOLUTION NO. 08- 02 ffiIBIT "s" To x.o.u. SECTION III: General Provisions The following provisions apply to all employees and Members of City Council, regardless of the date on which they began City service: 1. The City's Retiree Service Stipend Program will reimburse the employee for the premium contribution outlined in Section IV of this Resolution. CaIPERS will reduce the retirement contribution of the retired employee by the amount of the premium minus the amount set by CaIPERS in accordance with Government Code Section 22825 as the minimum employer contribution. The City will send the retiree a service stipend based upon the provisions of Section IV of this Resolution once per month. The service stipend will only be paid by the City to the City's retirees; however, CaIPERS Health Benefits may be available to the retiree's survivors without a service stipend reimbursement. 2. All retirees are required by CaIPERS and the City to enroll in Medicare when they become eligible. 3. If, for any reason, the City elects to change from CaIPERS Health Benefits to another form of health coverage in the future, retirees will also be placed under the new health plan. This will insure that there is no disparity in coverage between active and retired employees; and 4. Should a State of national health care program be established, the City and the Palm Desert Employee's Organization will, at that time, meet and confer as to the impacts on the retiree service stipend and make recommendations for amendments or adjustments as deemed necessary. The City reserves the right to change the benefits under the program and the payments of the benefits if this was to occur. SECTION IV: City Service Stipend Contributions The City has a two-tier system of calculating Service Stipend contributions based upon the date which an employee or Member of City Council begins their service with the City. Employees and Members of the City Council who began their service rior to December 31, 2007: Page 3 of 6 RESOLUTION NO. 08- 02 ffiIBIT "B" To H.o.u. 1. If the eligibility criteria outlined in Section II are met, an employee is eligible to receive a stipend as reimbursement for benefit premiums based on the following table: Years Served: Percentage of Premium 10 50% 11 55% 12 60% 13 65% 14 70% 15 75% a. All service must be continuous. Retired employees qualifying for the service stipend program are able to receive a maximum of Seventy-five (75%) percent of the benefit premium reimbursed by the City, regardless of the number of years of continuous service over fifteen (15) years. 2. The City may elect to add benefits for its retirees. If the City were to add benefits, over and above the currently contracted health benefits, the reimbursement percentage may not follow the aforementioned schedule. (10-15 plus years of service has a reimbursement between 50% and 75% of the premium.) A separate reimbursement schedule may be developed; and 3. The retiree service stipend may be modified in an amount proportionate to any change in the amount of benefit contributions to its active employees. Current retirees are subject to any and all modifications of the retiree service stipend and related benefits. Employees and Members of the City Council who began their service after January 1, 2008: Employees who retire from City service and who meet the eligibility criteria outlined in Section II are eligible for a reimbursement of retiree health premiums of up to fifty percent (50%) of the cost of the lowest cost plan available through the City's health benefits contract. Percentages available at specific age/years of service combinations are outlined in the following table: Page 4 of 6 RESOLUTION NO. 08- 02 F.%HIBIT "B" To M.o.u. Years of Service at Retirement Age: 15 16 17 18 19 20 21 22 23 24 25+ 50 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50% 51 10% 15% 20% 25% 30% 35% 40% 45% 50% 50% 52 20% 25% 30% 35% 40% 45% 50% 50% 53 30% 35% 40% 45% 50% 50% 54 40% 45% 50% 50% 55+ 50% 50% The following terms and conditions aiso apply to calculation of the service stipend: a) The employee must retire from City service and be receiving a CaiPERS pension. b) Reimbursements will be based on premiums for Retiree only or Retiree + spouse or domestic partner, not family coverage. c) Reimbursements will be calculated based on premiums for the lowest cost plan offered by CaIPERS (currently Kaiser HMO). If a retiree obtains another plan outside of the CaIPERS system, and provides documentation of that plan and its costs, they may be reimbursed for a percentage of that premium provided it is not greater than the lowest cost plan offered by CaIPERS. d) Retirees, who voluntarily drop their insurance coverage, and therefore the Stipend, will not be allowed to re-enroll in the stipend program. e) The Stipend will be discontinued when the retiree reaches Medicare age (typically 65 years of age) or is enrolled in Medicare, (whichever comes first). SECTION V: Annual Recertification Update 1. All retirees who avail themselves of this benefit may be required to provide the City with annual recertification information in December of each year. CaIPERS will provide the City with a list of retirees enrolled in CaIPERS Health Benefits and the type of coverage, the premium amount and the minimum required employer contribution. This information will be compared to the City's records. The City will have the following authority: Page 5 of 6 RESOLUTION NO. 08- 02 F.%�iIBIT "B" To x.o.u. 2. The City will have the sole authority to determine the relevant information needed to administer this program. Such information shall include, but not be limited to: a. Retired employee's current mailing address and phone number; b. Current dependant coverage status and their relation to the insured; c. Type of health insurance selected by retire from CaIPERS options; and d. Medicare app�ication and status of Medicare enrollment. 3. At the time of retirement, the retired employee must sign a statement that failure to supply this information or providing false information will result in the termination of the service stipend. SECTION VI: Effective Date The retire service stipend program contained in this resolution is effective January 1, 2008, for all employees and Members of the City Council. PASSED, APPROVED, QND ADOPTED this 14th day of Februarv, 2008, by the City Council of the City of Palm Desert, California, by the following vote, to wit: AYES: FERGUSON, FINERTY, KELLY, SPIEGEL, and BENSON NOES: NONE ABSENT: NONE ABSTAIN: NONE � ' .� ,/�'��1 •, _ J .N M BENSON., MAYOR , ATTEST: y RACH LLE D. KLASSEN, CITY CL RK CITY OF PALM DESERT, CALIFORNIA Page 6 of 6