HomeMy WebLinkAbout01/04/1996, C-4 - MEMORANDUM OF AGREEMENT WITH MID-MANAGEMENT EMPLOYEES' ASSOCIATIONi)�H� ►�HI�IIIII��P °�����1 city of San Luis OBISPO
am COUNCIL AGENDA REPORT
FROM: I Ann Slate, Personnel Di
MEETING DATE:
01 -04 -96
ITEM tW2ER
SUBJECT: Memorandum of Agreement with Mid - Management
Employees' Association
CAO RECOMMENDATION:
Adopt resolution approving the Memorandum of Agreement
between the City of San Luis Obispo and the Mid -
Management Employees' Association for the period
1/1/96 - 12/31/96.
DISCUSSION:
The Memorandum of Agreement (MOA) between the City of San Luis Obispo and the
San Luis Obispo's Mid - Management /Confidential Employees' Association
(SLOMM /CEA) expired on December 31, 1995 after a two year term. As provided for
in that agreement, the City entered into negotiations with SLOMM /CEA in November
1995 to develop a successor agreement. The City Council in closed session was
briefed on November 7, 1995 on the various issues of mutual concern and economic
considerations. The City's chief negotiator, Personnel Director Ann Slate and ACAO
Ken Hampian, the City's negotiating team, then met with the Association's
negotiating team led by Dave Smith, Buildings Maintenance Supervisor.
The agreement (Attachment B) was ratified by a majority of the Association members
on December 14, 1995. The recommended salary adjustment follows a three year
period of 0 %, 1 %, and 1.5% salary increases respectively. The agreement reflects
and strengthens the continued cooperation between the Association and the City to
address issues of mutual concern in a productive manner. Following is a summary of
the significant changes and cost items included in the agreement. Attachment B, the
Memorandum of Agreement, more fully describes the provisions as negotiated and is
within the economic guidelines previously discussed with Council.
The Significant Issues
■ TERM - One year
■ SALARY - An across the board adjustment of 3Y2 %
■ CLASSIFICATION STUDY
The City agrees to conduct a classification study of the positions in the mid -
management group to be completed by July 1, 1996.
6 41-
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Page 2
■ PAY- FOR - PERFORMANCE PLAN
The City and the Mid - Management Association agree to reopen in June to
consider the adoption of the pay- for - performance plan that will be developed
for Department Heads and Appointed Officials in Spring of 1996. If agreement
is reached as to the conditions of the pay- for - performance plan, mid -
management employees will become eligible for the same long term disability
(LTD) plan in which the Department Heads participate.
■ CONFIDENTIAL EMPLOYEES
The Confidential Employees shall receive a 3 %z % salary increase in January plus
an equity adjustment to restore the appropriate differential between their
salaries and those of their counterparts in the General Unit. (approximately 2 %)
The Confidential Employees will be disassociated from SLOMM /CEA and will
become unrepresented, with salary and benefit adjustments handled through
City resolutions annually.
FISCAL IMPACT:
The cost of this agreement is estimated to be $100,400 total compensation plus the
costs associated with a pay- for - performance plan should one be adopted for this
group. Specific costs of a pay- for - performance plan are unknown at this time, but will
be reviewed by the City Council at such time when a pay plan is developed for
Department Heads, prior to April of 1996. If the LTD insurance plan is augmented in
accordance with the provisions of the agreement, $16,000 additional costs will be
incurred in FY 96 -97. Funding is available in the current financial plan due to
budgeting for anticipated MOA adjustments.
ALTERNATIVES:
(1) Do not approve the resolution and direct staff to negotiate a different successor
agreement. This is not recommended as the agreement as presented is
consistent with the Council's previous direction and the City's -employer -
employee relations policies.
AS:slt
Attachment: (A) Resolution
(B) Memorandum of Agreement
o:� -ass -�
1.4—
RESOLUTION NO
ATTACHMENT A
0996 SERIES)
A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO ADOPTING
AND RATIFYING THE MEMORANDUM OF AGREEMENT BETWEEN THE CITY OF SAN
LUIS OBISPO AND THE SAN LUIS OBISPO MID - MANAGEMENT EMPLOYEES'
ASSOCIATION FOR THE PERIOD OF JANUARY 1, 1996 - DECEMBER 31, 1996.
BE IT RESOLVED by the Council of the City of San Luis Obispo as follows:
Section 1. The Memorandum of Agreement between the City of San Luis Obispo and the San
Luis Obispo Mid - Management Employees' Association, attached hereto as Exhibit "A" and incorporated
herein by this reference, is hereby adopted and ratified.
Section 2. The Finance Director shall increase the Personnel Services appropriation accounts
to reflect the negotiated compensation changes.
Section 3. The City Clerk shall furnish a copy of this resolution and a copy of the executed
Memorandum of Agreement approved by it to: Dave Smith, President SLOMM /EA; Ann Slate,
Personnel Director; William Statler, Finance Director.
On motion of
and on the following roll call vote:
AYES:
NOES:
ABSENT:
,seconded by
the foregoing Resolution was passed and adopted this day of January, 1996.
ATTEST:
Kim Condon, Acting Clerk
"MIA-M95RESOLUTION
Mayor Allen Settle
APPROVED AS TO FORM:
Jeffrey G. Jorgensen
City Attorney
C -,/- 3
EXHIBIT "A"
SUPPLEMENTAL
MEMORANDUM OF AGREEMENT
BETWEEN
THE CITY OF SAN LUIS OBISPO
AND THE
MID - MANAGEMENT EMPLOYEES' ASSOCIATION
This supplemental agreement is made and entered into this day of January,
1996, by and between the City of San Luis Obispo, hereinafter referred to as the
"City" and the San Luis Obispo Mid - Management Employees' Association, hereinafter
referred to as the "Association ", amends the Memorandum of Agreement dated
January 1, 1994 between the City and the Association as follows:
1. TERM
The term of the agreement shall be one year, January 1 through December 31,
1996.
2. SALARY INCREASE
There shall be a 3.5% salary increase effective the first full pay period of
January 1996.
3. CLASSIFICATION STUDY
The City agrees to conduct a classification study of the positions in the mid -
management group to be completed by July 1, 1996. Although the results of
the study may indicate that certain positions be reallocated to salary ranges
either higher or lower than their current range, it is understood that no
individual salaries will be changed due to this study.
4. PAY -FOR- PERFORMANCE PLAN
The City and the Association agree to reopen in June 1996 to consider the
adoption of a pay- for - performance plan effective July 1, 1996, that will be
available to a newly formed, unrepresented Management group comprised of
management and department head employees. The plan will be developed by
a committee comprised of department heads and mid - managers and will be
designed to accomplish a number of goals:
a. The plan will provide for salary increases based solely on performance.
b. The plan will enable employees to move through their salary ranges.
C. The plan will ensure that all employees are held to similar standards and
the application of performance increases will be consistent throughout
the departments.
d. The plan will be simple, easily understood and administered.
c-y y
Page 2
5. LONG TERM DISABILITY (LTD)
Should a new group be formed, then all management employees will be eligible
for participation in the Executive LTD plan: 66 2/3% of the first $8250 of
monthly earnings, with a maximum monthly benefit of $5500, 30 day waiting
period, payable to age 65.
6. CONFIDENTIAL EMPLOYEES
The Confidential Employees shall receive a 3.5% salary increase in January
1996 plus an equity adjustment to restore the appropriate differential between
their salaries and those of their counterparts in the General Unit. (approximately
2 %)
Effective January 1, 1996, the. Confidential Employees will be disassociated
from SLOMM /CEA and will become unrepresented, with salary and benefit
adjustments handled through City resolutions annually.
7. All other terms and conditions provided in the Memorandum of Agreement
between the City and the Association, January 1, 1994 through December 30,
1995, shall continue in full force and effect through midnight, December 31,
1996 or unless otherwise modified by mutual agreement prior to that date.
CITY OF SAN LUIS OBISPO
Ann Slate, Personnel Director
9=r C:SLOMMA
SAN LUIS OBISPO MID - MANAGEMENT
e- V- s-