HomeMy WebLinkAbout08/01/2006, C5 - MEMORANDUM OF AGREEMENT BETWEEN THE CITY OF SAN LUIS OBISPO AND SAN LUIS OBISPO FIRE BATTALION CHIE council °°° F 6Ct
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CITY OF SAN LUIS OBISPO
FROM: Monica Irons, Director of Human Resources
Prepared by: Rachael Hendricks, Human Resources Analyst
SUBJECT: MEMORANDUM OF AGREEMENT BETWEEN THE CITY OF SAN LUIS
OBISPO AND SAN LUIS OBISPO FIRE BATTALION CHIEFS'
ASSOCIATION FOR THE PERIOD OF JANUARY 1, 2006 — DECEMBER 31,
2010.
CAO RECOMMENDATION
Adopt a resolution approving the Memorandum of Agreement for a five-year contract between
the City of San Luis Obispo and the San Luis Obispo Fire Battalion Chiefs' Association.
DISCUSSION
The Memorandum of Agreement (MOA) between the City and the San Luis Obispo Fire
Battalion Chiefs' Association (BCA) expired on December 31, 2005, at the end of an eighteen-
month contract term. The Battalion Chiefs submitted a proposal to the City on May 12, 2006.
Negotiations to develop a successor MOA commenced on May 17, 2006. The City's bargaining
team of Monica Irons and Rachael Hendricks met formally with the Battalion Chiefs, Warren
Stephenson, Tom Zeulner, and Robert Rutledge, on three occasions. The City Council was
briefed in a June 6, 2006 closed session on the BCA initial proposal and staff was provided
economic parameters for negotiations.
The MOA proposed is within the economic guidelines provided by Council, including slight
equity adjustments for Battalion Chiefs in the first three years of the contract. Equity
adjustments are necessary to bring the Battalion Chiefs' wages to the market average when
compared with nine comparable cities. The adjustments also achieve a difference of 15%
between the Battalion Chiefs' salaries and their immediate subordinates, the Fire Captains. The
equity adjustments, in conjunction with salary increases, provide the competitive wages
necessary to attract and retain Battalion Chiefs during the five-year contract. This is critical for
the City as all three Battalion Chiefs are eligible to retire during this contract term.
The proposed contract term of five years, is one year longer than the Firefighter's contract. This
longer term contract increases the probability of Firefighter negotiations being completed prior to
the Battalion Chiefs' contract expiring. This would allow for the City to analyze salary
differences between Battalion Chiefs and Fire Captains. The following is a summary of the key
changes included in the MOA:
Term: January 1, 2006 through December 31, 2010
Salary Increases: January 2006 3% salary increase
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Council Agenda Report—Fire Battalion Chiefs' MOA Page 2
July 2006 2% salary increase
July 2007 4% salary increase
July 2008 5% salary increase
July 2009 5% salary increase
July 2010 5% salary increase
Equity Adjustments: July 2006 2%equity adjustment
January 2007 2%equity adjustment
April 2008 1% equity adjustment
Cafeteria Contribution: The City will continue the existing cost-sharing formula. This
annually modifies the cafeteria contribution by an amount equal to one-half of the average
percentage change for family coverage in the PERS health plans available in San Luis Obispo
County.
FISCAL VYWACT
The Fire Battalion Chiefs' Association represents three employees with a current annual total
compensation cost of $526,746. The total cost for this five-year compensation package is
approximately $101,447, for an average annual cost of about $20,000 per year. Adequate funding
is available in the MOA adjustment account for the current fiscal year and increases for subsequent
years will be included in the Financial Plan.
ALTERNATIVE
The MOA complies with previous Council direction and demonstrates the City's and Battalion
Chiefs' willingness and ability to craft a mutually satisfactory MOA in a timely and collaborative
manner; therefore, no alternative is suggested for Council consideration.
ATTACHMENT
Resolution to adopt and ratify the Memorandum of Agreement between the City of San Luis
Obispo and the San Luis Obispo Fire Battalion Chiefs' Association for the period of January 1,
2006 through December 31,2006..
G:\agenda reports\2006\BC Fire July 2006.doc s— z
ATTACHMENT 1
RESOLUTION NO. (2006 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
FIRE BATTALION CHIEFS' ASSOCIATION FOR THE PERIOD OF
JANUARY 1, 2006—DECEMBER 31, 2010
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 Fire Battalion Chiefs' Association, attached hereto as exhibit"A" and
incorporated herein by this reference, is hereby adopted and ratified.
SECTION 2. The Finance Director shall adjust 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: Warren Stephenson, San Luis Obispo
Fire Battalion Chief Officers' Association President and Monica Irons, Director of Human
Resources.
Upon motion of , seconded by ,
and on the following roll call vote:
AYES:
NOES:
ABSENT:
The foregoing resolution was adopted this 1 st day of August, 2006.
Mayor David F. Romero
ATTEST:
Audrey Hooper, City Clerk
Resolution No. (2006 Series)
Page 2
APPROVE AS TO FORM:
J aij an P. Lowell, City Attorney
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EXHIBIT A
A copy of the MOA is in the Council Reading File
and available for public review. At the time of
this report deadline, appropriate signatures were
being obtained.
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