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CC Resolution 2014-031 LQCEA MOURESOLUTION NO. 2014 - 031 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, APPROVING AND ADOPTING A MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF LA QUINTA AND THE LA QUINTA CITY EMPLOYEES' ASSOCIATION (LQCEA) COMMENCING ON JULY 1, 2014, AND TERMINATING JUNE 30, 2015 WHEREAS, the City of La Quinta, hereinafter referred to as "City" and the La Quinta City Employees' Association, the recognized organization representing its members, hereinafter referred to as "Association," have met and conferred over wages, hours, terms, and conditions of employment pursuant to Government Code 3500, as amended; and WHEREAS, the City and the Association have negotiated a Memorandum of Understanding for the period commencing on July 1, 2014, and terminating June 30, 2015; and WHEREAS, the Association ratified the Memorandum of_ Understanding on June 25, 2014. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of La'Quinta, California, as follows: SECTION 1. The City does hereby ratify and approve, ratify and authorize implementation of each economic and non -economic benefit and right set forth in the Memorandum of Understanding between the City and the Association, attached and incorporated herein as Exhibit "A" and said to the extent the City may legally do so in accordance with the time constraints of said Memorandum of Understanding. PASSED, APPROVED, and ADOPTED at a regular meeting of the La Quinta City Council held on this 1" day of July, 2014, by the following vote: AYES: Council Members Evans, Franklin, Henderson, Osborne, Mayor Adolph NOES: None ABSENT: None ABSTAIN: None Resolution No. 2014-031 Adoption of 2014-15 LOCEA NIOU Adopted: July 1, 2014 Page 2 of 2 Ao-v--w bUrl A H, ayor City of La Quint , California ATTEST: sue, SUSAN MAYSELS, CWV Clerk City of La Quinta, California (City Seal) APPROVED AS TO FORM: Id. et?��M. KATHERINE JENSONty Attorney City of La Quinta, California EXHIBIT A MEMORANDUM 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, at 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, 2014, and shall remain in effect for one (1) year through and including June 30, 2015. SECTION 2: SALARY A. Fiscal Year 2014-1S. The 2014/2015 Schedule of Salary Ranges ('Salary Ranges", and Classification Schedule ("Authorized Positions -Salary Ratings") reflect the Pay for Performance Classification and Compensation System agreed upon by the City and Association. Both documents attached hereto as Exhibits 1 and 2, respectively, and by this reference made a part hereof, shall become 2014-11 FINAL MOU - ".14 -1- effective on July 1, 2014, and shall remain in effect during the full term (July 1, 2014 through June 30, 2015) of this'MOU. 1. One -Time Adjustment to.Base Salary: One-time adjustments to base salary will be made to bring those positions that are below the Job Rate in the new Salary Ranges to the salary closest to, but not lower than, the current salary for each member. These adjustments shall be retroactive to July 1, 2014. 2. Lump Sum Recognition Payments: Lump Sum Recognition Payments in the amount of $1,500 per person shall be awarded to all members hired prior to January 1, 2014 ("Lump Sum Recipients"). Each Lump Sum Recipient shall receive the lump sum recognition payment of $1,500 in recognition of their efforts and concessions during the term of the previous MOU. The Lump Sum Recognition Payment is a one-time payment and will be paid out on or about August 15, 2014. The Lump Sum Recognition Payment is compensation earned that is in addition to and separate from base pay, and will not be considered earned wages for purposes of PERS contributions. SECTION 3: PAY FOR PERFORMANCE CLASSIFICATION AND COMPENSATION SYSTEM The City and Association agree to implement the Classification Schedule and Schedule of Salary Ranges as outlined in Section 2 as the first step toward instituting the Pay For Performance Classification and Compensation System recommended by Fox Lawson Consultants. City and 2014 IS FINAL MOO-6-25-I4 -2- Association will be refining, revising, and training all employees on a new 3 Performance Evaluation Model during the term of this MOU. The intention of the parties is to conduct practice evaluations during the summer/fall of 2014, and to move all employees to an annual evaluation schedule beginning July 2015. The salary adjustments and one-time recognition payments referenced in this MOU are to be the only adjustments of this kind made during the term of this MOU. An Implementation Schedule is provided as Exhibit 3, and may be revised from time to time during the term of this MOU upon mutual agreement of the parties. SECTION 4: MEDICAL, DENTAL, VISION AND LIFE INSURANCE COVERAGE. Effective July 1, 2014, the parties agree to the maximum contribution by the City of $1,312.00 per month. The parties further agree the healthcare cap will not be the subject of a future meet and confer or "reopener" negotiations during the term of this MOU. A. 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. B. Flexible Spending Plan. The City has implemented a Flexible Spending Plan through Total Administrative Services Corporation (TASC) for interested employees. The 2014-15 FINAL MOU -6.25-14 -3- City has paid the initial one-time enrollment fee of $350.00 and will pay the 015.00 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. SECTION 5: 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 $25,OOO during the term of this MOU at a maximum of $2,5O0 (or 1 O%) per employee. SECTION 6: 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 2014-13 FINAL MOU-67S14 -4 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 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. City retains the right to reopen negotiations during the term of this MOU for the purpose of meeting and conferring on implementation of furlough days. ;ill}. I. FIN ALM,jp_y:!s. 14 I SECTION 7: 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 S: HOURS. Employee hours of work shall be as stated in the City's Personnel Policies unless superseded as provided in Section 13 herein. SECTION 9: HOLIDAYS. Holidays shall be recognized as provided in the City's Personnel Policy, to include the addition of the following: Four (4) additional hours paid holiday on Christmas Eve, when that day falls on a weekday; and Four (4) additional hours paid holiday on New Years' Eve when that day falls on a weekday. SECTION 10: VACATION. 9.1 Accrual. Vacation accrual shall be as provided in the City's Personnel Policies unless superseded as provided herein. 2014-15 FINAL JAM - 6.28 14 -6- 9.2 Buy-back. Vacation buy-back shall be as provided in the City's Personnel Policies unless superseded as provided herein. SECTION 11: SICK LEAVE. Sick leave shall be accrued as provided in the City's Personnel Policies unless superseded as provided herein. SECTION 12: Ca1PERS RETIREMENT A. Racal Year 2014-16. For purposes of the City's election to pay to the California Public Employees' Retirement System lCalPERS), effective July 1, 2013, the City shall pay to CalPERS on behalf of each full-time, regular employee, the required employer contribution, and an amount equal to 0% of the required member contribution to CalPERS. Effective July 1, 2013, each full-time, regular employee shall pay an amount equal to 100% of the required member contribution to CalPERS, not to exceed eight percent (S%►. B. Public Employees' Retirement System IPERS) Retirement Formulas for New Hires. Any employee hired on or after January 1, 2013 shall be subject to the following retirement formulas with the retiree's annuity based on the average of the employee's three (3) highest paid consecutive years, in accordance with the City's contract with PERS and the Public Employees' Pension Reform Act of 2013 (PEPRA): 2014-15 FINAL MOU-&25-14 -%- Classic Employees (current PERS members) hired on or after January 1, 2013: 2% @ 60 New Employees (new PERS members) hired on or after January 1, 2013: 2% @ 62 C. Unused Sick Leave Election. 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 4) 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 13: 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 If, 1/d5 (JN41. MOI:-"- his/her loan in full may participate again if there is money available after those employees who have not previously participated have been funded. SECTION 14: ALTERNATE WORK WEEK SCHEDULE. The City and Association agree to continue the Alternate Work Week Schedule ("AWWS"), utilizing a 9180 schedule, whereby employees may elect to participate in the AWWS by working eight 9-hour days and one 8- hour day, with every other 8-hour day off. The AWWS will continue for the term of this MOU, or until cancelled by Management, whichever occurs sooner, SECTION 15: 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. A red -lined version of the changes to the Personnel Policies shall be presented to the Association for review and final approval no later than August 1, 2014. The sections containing modifications areas follows: a) Section 1.65 Drug and Alcohol Free Workplace b) Section 1.80 Equal Opportunity Employment Policy & Sexual Harassment c) Section 1.98 Cell Phone Use Policy d) Section 2.0 Classification and Salary Plan e) Section 3.55 Layoffs/Reduction-in-Force/Recall f) Section 7.25 Family and Medical Leave 2034-I3 FINAL MOU - 6JJ-N -9- g) Section 14.30 Administrative Leave h) Revisions, as needed, to other sections of the Personnel Policies, which are necessitated as a result of the implementation of the Pay for Performance Classification and Compensation System SECTION 16: EMPLOYEE FITNESS MEMBERSHIP SUBSIDY AT DESERT RECREATION DISTRICT FITNESS CENTER. The City agrees to subsidize the cost of membership at the Desert Recreation District's Fitness Center, which will be housed in La Quinta at the La Quinta Community Park on Avenida Montezuma. City employees may submit their paid receipt for Desert Recreation District membership to the City's Finance Department for reimbursement of $40.00 toward their $50.00 annual membership fee. SECTION 17: 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, 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 specifically included herein shall be incorporated herein by this reference. The City reserves the right to add to, modify or delete 2014-I5 FINAL MOU - 6-25-14 -10- from its Personnel Policies, subject to its obligations under the Meyers-Miliss- Brown Act. SECTION 18. 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. CITY OF LA QUINTA DATED: 2014 By: Don Adolph, Mayor LA QUINTA CITY EMPLOYEES' ASSOCIATION By:_ By:, DATED: 2014 2014.IS FINAL MOU -bdS-14 -11- AUTHORIZED POSITIONS - SAUILRY RATINGS EFFECTIVE JULY 1, 2014 AUTHORIZED POSITION TITLE RATING AUTHORIZED POSITION TITLE RATtNt Account Technician 822 Informational Services Analyst C41 Accounting Manager D61 Maintenance Foreman B24 Animal Control/Code Compliance Officer B23 Maintenance Manager D61 Animal Control/Code Compliance Supervisor B32 Maintenance Worker I All Assistant Civil Engineer C42 Maintenance Worker II Al2 Assistant to the City Manager D81 Management Analyst C42 Associate Planner C42 Office Assistant A11 Building Official/Emergency Manager D62 Permit Operations Supervisor B32 Building Inspector II B23 Permit Technician B22 Business Analyst C42 Planning Manager D61 City Clerk DS1 Plans ExaminerAnspection Supervisor B32 City Manager F101 Principal Engineer D62 Community Development Director E81 Principal Planner C44 Community Services Director E81 Public Works Director/City Engineer E82 Deputy City Clerk 824 Public Works Inspector 1 923 Executive Assistant 822 Public Works Inspection Supervisor C43 Executive Office Assistant All Reaeation AatiVd'res Coordinator B21 Facilities Maintenance Coordinator B23 Recreation Supervisor B24 Facilities Maintenance Worker All Secretary 821 Finance Director/Treasurer E82 Senior Account Clerk 821 Financial Services Assistant C41 Senior Secretary B21 Golf and Park/Landscape Manager D61 Traffic Signal Maintenance Supervisor B24 Housing Coordinator B24 Traffic Signal Technician B21 Human Resources/Gen. Svcs. Manager 1361 City Manager salary is determined by City Council contract m x S rn 1 J �.t4r 1, mu ANNUAL SALARY RANGES MIN- mep 1 slep 2 Step 3 836,729.54 $38,598.02 840.402.30 S4g41029 $42.430.81 $44.451.32 $44,001.04 846.295.59 $48.500.14 S47,782.84 63Q171.98 $52,561.13 $51,463.59 854,038.77 35609.95 833,144.34 $57.901.55 $60,858.77 $59.75156 $B2,74124 865,728.92 $65,28021 868,54422 871,80823 359,753.56 $52.74124 855,728.92 S85,260.21 $68.544.22 $71,00823 JOB RATE - Stop 4 S3ep5 $42,238.98 844,07445 346,471.54 $48,49135 850,704.70 352,90925 S54,95027 757.339A1 S39,/83.13 $61,756.31 $83,115.99 88Q17320 SM.716.60 S71,70C27 875.07224 $78,335.25 858,716.60 $71.704.27 $75,072.24 $76.336.25 CRY Of U Olerae SMeeule olStleq RBOpn HeatYmr2014/2015 MIN - 408 RATE step 1 Seep 2 step 3 Step 4 step 5 sbp 6 Step 7 $67,093.86 $69,8110M $72,685.46 773,451.25 678,277.00 S81,089.51 583,867.32 s70,627.38 873.570.42 870,513A6 $79,456.50 $82,399.55 385,339.06 SS8,784.22 874,160.89 S77,251AS 880.341.46 883,431.75 868,52203 S89,808.61 SK701.12 578,585.75 681,86M42 S85,135A9 888.409.76 591,184A2 $94,956.16 390,232.12 $83,891.33 $87.387.09 S9o,002.84 694,378.59 SB7,874.34 $101.30.90 5104,864.17 $0,316.19 891,996.32 $95,676.46 699.396.60 3103,M13 8108.7/2.45 8110,395.24 $92,732A0 896,5%.14 3100,46028 f104,324.43 8100,188.57 3112.048.07 $115,9150C $97,308.80 $101,428.95 $105,463.30 $109,540.53 V13,596.00 S1117,650.46 8121,710.7E $102,237.03 $106.49725 $110.767.46 $115,017.68 $119.277.90 $123,533.00 8127,796.25 8107,348.88 $111,822.11 $116205.34 3120,768.55 $125,241.79 $129,709.65 8134,186.1C $112,716.32 $117,41321 $122.110.10 $125,808.99 $131,503.88 6138,195.13 S140.895AC E116,352.14 $123259.87 $120.215.61 $133,147.34 5138,079.07 6143,004.09 6747,940.1E e1'YM " 9/2944697 3134.8 M 3139.60471 5144.98303 8150.15BA4 8135.3 Af MONTHLY SALARY RANGES MIN- seepl Stop step3 SYp4 $3,060.80 $3,213.64 33,366.87 $3,519.01 $3.367.52 $3.535.90 33,704.28 83,872.65 $3,67425 $3,857.97 84.041.68 $4.225.30 $3,981.00 $4,181.00 $4.380.09 $4,579.19 $4,258.63 $4.503.06 54,717.50 $4.031.93 $4.595.35 $4.525.13 85,054.90 $5.204.67 $4,979.48 85,228.44 $5,477A $5.729.38 $3.440.02 $5,712.02 $5.954.02 $6,256.02 $4,979.40 35,228.44 85,477.41 $5,726.38 85,440.02 S5,71202 S5,984.02 S8,255.02 MIN - s14p1 Stop stop sbp4 $5,591.15 35,824.14 $5,057.12 36290.11 85,885.01 66,130.67 $9.378.12 $5.621.39 $6,180.07 38,437.60 $0,695.12 68,952.85 $6,548.81 S8,821.70 57,094.59 S7,367A6 S6,990.94 $7,282.W 37573.57 $7,854.68 $7,359.68 $7,98626 $7.973.04 58,Z79.72 E7,7Z7.67 $5,049.68 S0,371.69 $8,693.70 $3,114.05 $8.452.16 SB,79027 $9,129.39 $8.519.75 56,674.77 89229.79 $9.584.81 SB,945.74 $9,310.51 89.69128 310.064.05 $9,393.03 S9,784.43 $10,175.84 310,58725 $9,852.68 $10.273.66 510.064.113 $11,095.61 $10.355,81 310,787.34 811,218.87 $11.050.39 JOB RATE- 8"s $3,672.95 $4.041.03 $4,409.10 K778.28 $5.146.30 $5,514.43 $5,975.36 $6,528.02 86.979.38 $6,628.02 steps S"s $5,5=9 S6,755.TO E0.856.63 $7.1111.59 57.210.17 $7,407.38 $7.640.37 S7,912.93 3415620 $0,447.15 $8,50.39 S8,89270 $9,015.71 $9,337.34 39.406.50 $0,804,21 $9.939.92 $10294.42 $10,136-32 $10,809.14 $10.958.66 $11,34W% $11.506.59 $11.917.97 JOB Implementation Schedule - Pay for Performance Performance Evaluation Model Rollout SCHEDULE FOR PRACTICE PERFORMANCE EVALUATION MODEL ROLLOUT FOR 2014 July/Aug 2014 Train Evaluators and Employees on new Performance Review model, Self Evaluation and Career Development Plan components Aug/Sep 2014 All employees practice Self Evaluation portion of Performance Review Sep/Oct 2014 Supervisors practice writing up all Performance Reviews Oct/Nov 2014 Executive Team practice assessment of Exceptional Performance Reviews Dec/Jan 2014/15 Make modifications and deliver Performance Reviews to all employees July 2015 Employees complete Self Evaluations and discuss with Supervisors August 2015 Supervisors write up all Performance Reviews September 2015 Executive Team assesses Exceptional Performance Reviews Supervisors deliver Performance Reviews to all employees October 2M Performance Awards and step increases take effect TRANSITION FROM EXISTING PERFORMANCE EVALUATIONS TO NEW MODEL: Oct 2014 -Jan 2015 Everyone training on and using New Model - no $ attached Next formal evaluations begin July 2015 Jan 201S-July 2015 No formal evaluations will be given during this time July - Oct 2015 Everyone using New Model Annual Evaluation Period for all employees becomes July 1- June 30 Council allocates $ during budget process for FY 2015/16 performance pool October 2015 Performance Awards and step increases take effect aev6-MU EXHIBIT 3 EXHIBIT 4 UNUSED SICK LEAVE ELECTION FORM Government Code Section 209e5 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, NHRMRRHRf •RRRf tRRMRRHMftflf frtfRMRKf RRRRHAHRAff ifRRRNtARtARMRMMRHrtlNRfbRRfAARRAAR Employee Signature Date Received By: Date WORMS AND LETTERWorm-02Wnused Sick Leave EWIon Form