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2010-11 LQ City Employees's Association MOUMEMORANDUM OF UNDERSTANDING This Memorandum of Understanding ("MOU") is made and entered into by and between the CITY OF LA QUINTA ("City") and the LA QUINTA CITY EMPLOYEES' ASSOCIATION ("Association"). WHEREAS, the City and the Association have met and conferred in good faith with respect to the wages, hours, and terms and conditions of employment of City employees and all other subjects within the scope of bargaining under the Meyers-Milias-Brown Act (Government Code Section 3500, et seq.), and have reached an agreement that they wish to set forth in writing in the form of this MOU; NOW, THEREFORE, the City and the Association agree as follows: SECTION 1: TERM. This MOU shall take effect on July 1, 2010, and shall remain in effect through and including June 30, 2011. SECTION 2: SALARY The Schedule of Salary Ranges (Schedule), which is attached hereto as Exhibit 1 and by this reference made a part hereof, shall remain in effect during the term (July 1, 2010 through June 30, 2011) of this MOU. Exhibit 1 reflects a zero percent (0%) COLA over the schedule in effect on June 30, 2010. 2010-I l MOU -Final June 2010 -1- SECTION 3: MEDICAL, DENTAL, VISION AND LIFE INSURANCE COVERAGE. A. Fiscal Year 2010-11. The parties agree to reopen negotiations in September 2010 in order to meet and confer on the amounts paid by the City and employees for insurance coverage for the next calendar year. The process to be utilized for determining increases in coverage is set forth in the Health Benefits Reopener Process Methodology (Health Benefits Methodology), which is attached hereto as Exhibit 2 and by this reference made a part hereof. B. Contributions. The employee contribution for insurance coverage shall be paid by payroll deduction as a condition of enrollment and continuous insurance coverage. The benefits, terms and conditions of coverage shall be governed by the formal plan documents. C. Flexible Spending Plan. The City has implemented a Flexible Spending Plan through Total Administrative Services Corporation (TASC) for interested employees. The City has paid the initial one-time enrollment fee of $350.00 and will pay the $15.00 per employee enrollment fee for new employees who elect to join, and those employees who participate will pay the monthly administration fee and optional medical reimbursement debit card fee through payroll deduction. 2010-11 MOU — Final Jme 2010 -2- SECTION 4: EDUCATIONAL INCENTIVE PROGRAM. All employees are eligible for tuition reimbursement pursuant to Section 15.25 of the City's Personnel Policies. The total of such reimbursement for all employees shall not exceed $17,250 during the term of this MOU at a maximum of $1,035 per employee. SECTION 5: MANAGEMENT RIGHTS. Except as limited by the terms of this MOU, the City retains sole and exclusive right to manage its operations and direct its work force using any or all of the powers and authority previously exercised or possessed by the City or traditionally reserved to management, including but not limited to the right to determine its organization and the kinds and levels of services to be provided; to direct the work of its employees; to assign work from one classification of employees to another, including work currently performed by employees in the classifications covered by this MOU; to establish work standards and levels of required performance; to utilize part-time or temporary employees; to pay wages and benefits in excess of those required by this MOU; to select, modify, alter, abandon, or modernize methods of conducting its operations; to build, move, modify, close, or modernize facilities, machinery, processes, and equipment; to establish budgetary procedures and allocations; to determine methods of raising revenues; to sublet and subcontract work except work currently performed by City employees; to take all necessary action in the event of an emergency; to establish and amend rules of conduct and to impose discipline and discharge; to establish 2010-11 MOU— Final Jane 2010 -3- and amend rules for safety and health; to select, hire, classify, reclassify, assign, evaluate, transfer, promote, demote, upgrade, downgrade, reprimand, discipline, suspend, discharge, lay off, and rehire employees; to determine job content and to create, combine or modify job classifications and rates or classes of pay; and to exercise all other customary powers and authority of management, regardless of whether the City has exercised such power previously. Nothing in this provision shall be construed to restrict grievances concerning any part of this MOU. In the event of an emergency, the City may amend, modify or rescind any provision of the MOU. Such amendment, modification or rescission shall remain in force only for the period of the emergency. The City shall have the sole and complete discretion to declare that an emergency exists for the purposes of this Section. SECTION 6: NON-DISCRIMINATION. All personnel decisions and actions, including but not limited to appointments, promotions, demotions, transfers, layoffs, and discharges, shall be made without regard to race, color, creed, sex, marital status, age, national origin or ancestry, physical or mental disability, medical condition, sexual orientation, or any other unlawful consideration. Further, the City shall not discriminate against any employee based upon his/her activity on behalf of his/her membership in any employee association or group. SECTION 7: HOURS. Employee hours of work shall be as stated in the City's Personnel Policies unless superseded as provided in Section 13 herein. 2010-11 MOU - Final June 2010 -4- SECTION 8: HOLIDAYS. Holidays shall be recognized as provided in the City's Personnel Policy unless superseded as provided herein. SECTION 9: VACATION. 9.1 Accrual. Vacation accrual shall be as provided in the City's Personnel Policies unless superseded as provided herein. 9.2 Buy-back. Section 14.15.4 of the City's Personnel Policies shall be amended as follows: 14.15.4 Vacation Buy -Back: A. Mandatory Buy -Back Vacation hours may be accumulated and carried over to succeeding calendar years up to a maximum accrual of 320 hours. Accrued vacation hours which exceed 320 hours as of the last pay period of November of each year shall be paid at the employee's regular rate of pay as time worked and shall be issued as a separate check in December. B. Optional In addition to the above, employees with a minimum of 80 hours of accrued vacation time as of the last pay period in November in any calendar year, may receive pay at the employee's regular rate of pay, for a portion or the entire amount over 80 hours, provided that the employee has taken at least 40 hours of vacation in the prior year between December 1 and November 30. Any employee desiring to exercise this option must make a written request to the Finance Director no later than November 15 in the calendar year for which vacation buy back is sought. The buy-back pay will be issued as a separate check in December. C. Regular Part -Time Employees Regular Part -Time employees with a minimum of 60 hours of accrued vacation time as of the last pay period in November in any calendar year, may receive pay at the employee's regular rate of pay, for a 2010-11 MOU — Final June 2010 -5- portion or the entire amount over 60 hours, provided that the employee has taken at least 30 hours of vacation time in the prior year between December 1 and November 30. Regular, part-time employees wishing to exercise this option must make a written request to the Finance Director no later than November 15 in the calendar year for which vacation buy-back is sought. The buy-back pay will be issued as a separate check in December. SECTION 10: SICK LEAVE. 10.1 Accrual. Sick leave shall be accrued as provided in the City's Personnel Policies. unless superseded as provided herein. 10.2 Buy-back. Section 14.20.4 of the City's Personnel Policies shall be amended as follows: 14.20.4 Sick Leave Pay Back: A. City agrees to provide Sick Leave pay back upon employee's termination, as follows: 2 through 4 years service 25% 5 through 9 years service 50% 10 years service and up 75% B. A maximum Sick Leave accrual of four hundred eighty (480) hours shall be established. If the maximum accrual of Sick Leave has been reached as of November 30 in any calendar year, employee shall be reimbursed for the number of Sick Leave hours accrued and unused above the maximum, according to the formula used for Sick Leave pay back upon employee termination, as above. Employees have the option to be reimbursed for accrued and unused sick leave above 240 hours up to 480 hours once every year. The sick leave pay back will be issued as a separate check in December. 10.3 Part-time accrual and buy-back. Section 14.20.8 of the City's Personnel Policies shall be amended as follows: 2010-11 MOO —Final June 2010 . -6- 14.20.8 Regular Part -Time Employees who work at least thirty (30) hours per week shall accrue paid sick leave, pro -rated calculated by the number of hours worked as a percentage of a forty (40) hour workweek. Employees in this category may accrue up to three hundred sixty (360) hours of sick leave. Sick leave pay back shall be calculated pursuant to Section 14.20.4. SECTION 11: Ca1PERS RETIREMENT Government Code Section 20965 and the City's contract for retirement benefits with CalPERS permits conversion of unused sick leave to service credit, pursuant to certain restrictions. Upon retirement, employees are required to complete the "Unused Sick Leave Election Form" (Exhibit 3) prior to receiving their final paycheck. Upon retirement, employees will have the option of selecting one of the following: (1) receiving payout for the full amount of unused sick leave (pursuant to the payout schedule contained in Personnel Policy Section 14.20.4, as amended by this MOU); (2) receiving payout for a set amount of unused sick leave, and requesting conversion to service credit of the remainder; or (3) converting the entire amount of unused sick leave to service credit, waiving their right to a payout for unused sick leave. SECTION 12: COMPUTER PURCHASE PROGRAM. The City agrees to continue the Computer Purchase Program (Program) as set forth in the previous MOU, and to fund the Program in the amount of $17,500 for the term of this MOU at a maximum of $1,750 per employee. Any employee who has participated in the Program and has paid his/her loan in full may 2010-11 MOU— Final Jane 2010 -7- participate again if there is money available after those employees who have not previously participated have been funded. SECTION 13: ALTERNATE WORK WEEK SCHEDULE. The City and Association agree to continue the Alternate Work Week Schedule ("AWWS") as set forth in the previous MOU, utilizing a 9/80 schedule, whereby employees may elect to participate in the AWWS by working eight 9-hour days and one 8-hour day, with every other Friday off. The AWWS will continue for the term of this MOU, or until cancelled by Management, whichever occurs sooner. SECTION 14: PERSONNEL POLICY ADDITIONS AND AMENDMENTS. The City and Association have agreed to modify City Personnel Policies where appropriate to clarify the intent of those policies affected by implementation of the AWWS, as provided in Section 13 herein. SECTION 15: EMPLOYEE MEMBERSHIP AT CITY FITNESS CENTER. The City and Association agree to continue to waive the membership fee for all City employees to the City's Fitness Center at the President Gerald R. Ford Boys & Girls Club. City employees may obtain a City -issued identification card for access to the City's Fitness Center during regular hours of public operation. SECTION 16: SOLE AND ENTIRE AGREEMENT. It is the intent of the parties hereto that the provisions of this MOU shall supersede all prior agreements, memoranda of agreement or memoranda of understanding, or contrary salary and/or personnel rules and regulations, 2010-11 MOU —Final Jane 2010 -8- administrative codes, provisions of the City (other than the Municipal Code), whether oral or written, expressed or implied, between the parties, and shall govern the entire relationship and be the sole source of any and all rights which may be asserted hereunder. This MOU is not intended to conflict with federal or state law. The Association and the City agree that all personnel rules not ITspecifically included herein shall be incorporated herein by this reference. The City reserves the right to add to, modify or delete from its Personnel Rules, subject to its obligations under the Meyers-Milias-Brown Act. SECTION 17. WAIVER OF BARGAINING DURING TERM OF THIS AGREEMENT. During the term of this MOU, the Association agrees that it will not seek to negotiate or bargain with respect to wages, hours and terms and conditions of employment, whether or not covered by this MOU or in the negotiations preceding execution of this MOU, except as required by specific provisions of this MOU. Despite the terms of this waiver, the parties may, by mutual agreement, agree in writing to meet and confer concerning any matter during the term of this MOU. This MOU is hereby executed by the parties hereto as set forth below. DATED. 2010 CITY OF LA QUINTA &R 11 0. I 4 0 �a R,• 2010-11 MOU - Fival J= 2010 -9- LA QUINTA CITY EMPLOYEES' I_U'jYsT e • . DATED: ju-,� z; ' 2010 BY 0 In I 2010-11 MOU- Final J= 2010 -10- CITY OF LA QUINTA SCHEDULE OF SALARY RANGES FY 10/11 MONTHLY BASE STEP STEP STEP STEP STEP RANGE A B C D E 30 2,454.52 2,577.25 2,706.11 2,841.41 2,983.48 31 2,515.88 2,641.68 2,773.76 2,912.45 3,058.07 32 2,577.25 2,706.11 2,841.41 2,983.48 3,132.66 33 2,641.68 2,773.76 2,912.45 3,058.07 3,210.98 34 2,706.11 2,841.41 2,983.48 3,132.66 3,289.29 35 2,773.76 2,912.45 3,058.07 3,210.98 3,371.52 36 2,841.41 2,983.48 3,132.66 3,289.29 3,453.76 37 2,912.45 3,058.07 3,210.98 3,371.52 3,540.10 38 2,983.48 3,132.66 3,289.29 3,453.76 3,626.44 39 3,058.07 3,210.98 3,371.52 3,540.10 3,717.11 40 3,132.66 3,289.29 3,453.76 3,626.44 3,807.77 41 3,210.98 3,371.52 3,540.10 3,717.11 3,902.96 42 3,289.29 3,453.76 3,626.44 3,807.77 3,998.15 43 3,371.52 3,540.10 3,717.11 3,902.96 4,098.11 44 3,453.76 3,626.44 3,807.77 3,998.15 4,198.06 45 3.540.10 3,717.11 3.902.96 4,098.11 4,303.01 46 3,626.44 3,807.77 3,998.15 4,198.06 4,407.97 47 3,717.11 3,902.96 4,098.11 4,303.01 4,518.16 48 3,807.77 3,998.15 4,198.06 4,407.97 4,628.36 49 3,902.96 4,098.11 4,303.01 4,518.16 4,744.07 50 3,998.15 4,198.06 4,407.97 4,628.36 4,859.78 51 4,098.11. 4,303.01 4,518.16 4,744.07 4,981.28 52 4,198.06 4,407.97 4,628.36 4,859.78 5,102.77 53 4,303.01 4,518.16 4,744.07 4,981.28 5,230.34 54 4.407.97 4,628.36 4,859.78 5,102.77 5,357.91 55 4,518.16 4,744.07 4,981.28 5,230.34 5,491.86 56 4,628.36 4,859.78 5,102.77 5,357.91 5,625.80 57 1 4,744.07 4,981.28 5,230.34 5,491.86 5,766.45 58 4,859.78 5,102,77 5,357.91 5,625.80 5,907.10 59 4,981.28 5,230.34 5,491.86 5,766.45 6,054.77 60 5,102.77 5,357.91 5,625.80 5,907.10 6,202.45 EXHIBIT 1 CITY OF LA QUINTA SCHEDULE OF SALARY RANGES FY 10/11 MONTHLY BASE STEP STEP STEP STEP STEP RANGE A B C D E 61 5,230.34 5,491.86 5.766.45 6,054.77 ' 6,357.51 62 5,357.91 5,625.80 5,907.10 6,202.45 6,512.57 63 5,491.86 5,766.45 6,054.77 6,357.51 6,675.39 64 5,625.80 5,907.10 6,202.45 6,612.57 6,838.20 65 5,766.45 6,054.77 6,357.51 6,675.39 7,009.16 66 5,907.10 6,202.45 6,512.57 6,838.20 7,180.11 67 6,054.77 6,357.51 6,675.39 7,009.16 7,359.61 68 6,202.45 6,512.57 6,838.20 7,180.11 7,539.12 69 6,357.51 6,675.39 7,009.16 7,359.61 7,727.59 70 6,512.57 6,838.20 7,180.11 7,539.12 7,916.07 71 6,675.39 7,009.16 7,359.61 7,727.59 8,113.97 72 6,838.20 7,180.11 . 7,539.12 7,916.01 8,311.88 73 7,009.16 7,359.61 7,727.59 8,113.97 8,519.67 74 7,180.11 7,539.12 7,916.07 8,311.88 8,727.47 75 7,359.61 7,727.59 8,113.97 8,519.67 8,945.66 76 7,539.12 7,916.07 8,311.88 8,727.47 9,163.84 77 7,727.59 8,113.97 8,519.67 8,945.66 9,392.94 78 7,916.07 8,311.88 8,727.47 9,163.84 9,622.04 79 8,113.97 8,519.67 8,945.66 9,392.94 9,862.59 80 8,311.88 8,727.47 9,163.84 9,622.04 10,103.14 81 8,519.67 8,945.66 9,392.94 9,862.59 10,355.72 82 8,727.47 9.163.84 9,622.04 10,103.14 10,608.29 83 8,945.66 9,392.94 9,862,59 10,355.72 10,873.50 84 9,163.84 9,622.04 10,103.14 10,608.29 11,138.71 85 9,392.94 9,862.59 10,355.72 10,873.50 11,417.18 86 9.622.04 10,103.14 10,608.29 11,138.71 11,695.64 87 9,862.59 10,355.72 10,873.50 11,417.18 11,988.04 88 10,103.14 10,608.29 11,138.71 11,695.64 12,280.43 89 10, 355.72 10, 873.50 11, 417.18 11, 988.04 12, 587.44 90 10,608.29 11,138.71 11, 695.64 12,280.43 12, 894.45 91 10, 873.50 11, 417.18 11, 988.04 12, 587.44 13, 216.81 92 11,138.71 11,695.64 12,280.43 12, 894.45 13, 539.17 93 11, 417.18 11, 988.04 12, 587.44 1321681 13, 877.65 94 11,695.64 12,280.43 12, 894.45 13, 539.17 14,216.13 95 11, 988.04 12, 587.44 13.216.81 13, 877.65 14, 571.53 Exhibit 2 Health Benefits Reopener Methodology 1. When calculating the "average" increase in total monthly costs, all health plans available to City employees at the time of the reopener shall be included, regardless of whether any City employees participate in such plans at the time of the reopener (since there is the potential for an employee to choose any of the plans during open enrollment, so all should be included). 2. Add together all increases and subtract all decreases and divide by the total number of health plans available to City employees at the time of the reopener to obtain an overall average percentage increase or decrease. 3. Multiply the overall average percentage increase or decrease by the existing monthly cap to obtain the recommended increase or decrease to the monthly cap. 4. Recommendation is subject to Council approval. EXHIBIT 3 OF �F o� UNUSED SICK LEAVE ELECTION FORM Government Code Section 20965 and the City's contract for retirement benefits with CalPERS provides that unused accumulated sick leave at time of retirement may be converted to additional service credit at the rate of 0.004 year of service credit for each day of unused sick leave (i.e., 250 days of sick leave equals one additional year of service credit). You will be required to have your available unused sick leave time certified by the City, should you elect to convert it to service credit upon retirement. I am requesting disposal of my unused sick leave as set forth below Name of Employee: Retirement date: Last day of physical presence at City Hall: (Choose only, one option below) Please pay me for all unused sick leave hours as of the retirement date indicated above. Please pay me for hours of unused sick leave, and certify the remainder for conversion to service credit. Please certify all of my unused sick leave hours for conversion to service credit. xxxxxxxxxxxxxxxxxxxxixxrxxxxxxxxxwxxxxxxxxxxxxxxxixxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx Employee Signature Date Received By: Date YVORMS AND LETTERSWonn"28-Unused Sick Leave Election Form FIRST AMENDMENT TO MEMORANDUM OF UNDERSTANDING This FIRST AMENDMENT TO MEMORANDUM OF UNDERSTANDING (First Amendment) is entered into by and between the CITY OF LA QUINTA (City) and the LA QUINTA CITY EMPLOYEES' ASSOCIATION (Association) as of September 21, 2010. RECITALS WHEREAS, City and Association entered into a Memorandum of Understanding (MOU) concerning labor relations and terms and conditions of employment for the period of July 1, 2010 through June 30, 2011; and WHEREAS, Section 3(A) of the MOU requires City and Association to reopen negotiations in September 2010 to meet and confer on the amount paid by City for insurance coverage after CaIPERS announces its rate increase or decrease for the upcoming calendar year; and WHEREAS, City and Association have met and conferred in good faith as required and have reached tentative agreement on an increase to the City's contribution to insurance coverage subject to ratification by the Association membership and approval of the City Council. NOW THEREFORE, it is agreed by and between the parties as follows: 1. Section 3(A) is hereby amended effective January 1, 2011 so that the amount of the City contribution towards insurance coverage will increase from up to $1,315 per month to up to $1,412 per month for calendar year 2011 . 2. Except as specifically amended by this First Amendment, the MOU remains in full force and effect. CITY OF LA QUINTA By:�� I�L Don A Iph, dayor LA QUINTA CITY EMPLOYEES' K&!WsleffAffilz By: By: 'ex ;tc q„s:�.� WOO =Y kts W BrningsSpwnlpTl lSeningATemWa Iuem Fllta LMBV3)10 MOU 1uaiMnndx< LQCEA Represented Positions Account Clerk Account Clerk, Senior Account Technician Account Technician, Senior Animal Control /Code Comp. Officer I Animal Control Officer II Assistant Engineer I Assistant Engineer II Associate Engineer Building Inspector I Building Inspector II Building Inspector, Senior Code Compliance Officer I Code Compliance Officer II Code Compliance Officer, Senior Counter Technician Deputy City Clerk Facilities Maintenance Coordinator Facilities Maintenance Worker Financial Services Assistant Maintenance Foreman Maintenance Worker I Maintenance Worker II Office Assistant Office Assistant — Senior Center Planner, Assistant Planner, Associate Plans Examiner, Senior Public Works Inspector I Public Works Inspector 11 Recreation Activities Coordinator Recreation Supervisor Secretary Secretary, Executive Secretary, Senior Special Projects Assistant Traffic Signal Technician Management/Contract Management/Confidential Positions: Accounting Manager Assistant City Manager — Development Svc Assistant City Manager — Management Svc Building & Safety Director Building & Safety Manager City Clerk City Manager Community Safety Manager Community Services Director Economic Development Project Manager Emergency Services Coordinator Executive Assistant — City Manager Dept. Executive Office Assistant — City Manager Dept. Finance Director Golf/Park Landscape Manager Human Resources/Risk Manager Information Services Analyst Maintenance Manager Management Analyst Management Assistant Planning Director Planning Manager Principal Engineer Principal Planner Public Works Director Public Works Inspection Supervisor Last revision 11-18-2010 by Asst. CM/HR Mgr and LQCEA President By signing below, both parties agree this list is conclusive and correct, to the best of their knowledge. La Quinta City Employees' Association By:�� ✓2 Date: 1 0 City of La Quinta By: ArteInly'v-n& Date: f 1—Z3 -1a Last revision 11-18-10 Y:\LQCEA\LQCEA - Management - Confidential Positions.doc