HomeMy WebLinkAboutr10345compensationforunrepconfidentialemployeessupersedprevresoconflictRESOLUTION NO . 10345 (2012 Series)
A RESOLUTION OF THE CITY OF SAN LUIS OBISPO REGARDIN G
COMPENSATION FOR THE UNREPRESENTED CONFIDENTIAL EMPLOYEE S
AND SUPERSEDING PREVIOUS RESOLUTIONS IN CONFLIC T
WHEREAS,the unrepresented confidential employees (Administration Executiv e
Assistant, Human Resources Administrative Assistant, Legal Assistant/Paralegal, and Huma n
Resources Specialist) of the City of San Luis Obispo met to identify sustainable reductions in tota l
compensation costs to achieve Council's labor relations objectives to reduce total compensatio n
costs and implement sustainable pension cost containment and reductions ; and
WHEREAS,the unrepresented confidential employees acknowledge the fiscal challenge s
facing the City of San Luis Obispo and are committed to working with the City to help achiev e
long-term sustainable solutions ; and
WHEREAS,the unrepresented confidential employees have demonstrated sensitivity to th e
fiscal challenges facing the City by agreeing to no across the board salary increases (e .g . "cost of
living" increases) since December 2010 ; and
WHEREAS,the unrepresented confidential employees have also agreed to no increases i n
the City's contribution to health care for the past two calendar years, while medical premiums hav e
increased in that same timeframe and will increase again in 2012 ; and
WHEREAS,the unrepresented confidential employees remain committed to providin g
high quality service to the citizens of San Luis Obispo in an efficient and effective manner .
NOW, THEREFORE, BE IT RESOLVED,that the Council of the City of San Lui s
Obispo hereby revises unrepresented confidential employees compensation as follows :
SECTION 1 .Unrepresented confidential employees will begin paying three percent of th e
Member Contribution to Ca1PERS effective June 28, 2012, six percent effective January 24, 201 3
and the full eight percent effective June 27, 2013 . The City will continue to report the Membe r
Contribution paid by the City as additional compensation to Ca1PERS until June 27, 2013 .
SECTION 2 . There will be no across the board salary increases (e .g . "cost of living"
increases).
SECTION 3 .There will be no increase to the City's health contribution .
SECTION 4 . The City shall continue to provide employees certain fringe benefits as set
forth in Exhibit "A", fully incorporated by reference .
SECTION 5 .Unrepresented confidential employees acknowledge the City's need t o
achieve long-term financial sustainability and pension cost reductions through the establishmen t
of a second tier retirement formula for new employees . If the City amends the Ca1PER S
R 10345
Resolution No . 10345 (2012 Series)
Page 2
Miscellaneous contract to provide a second tier retirement formula, confidential employees wil l
participate as required by Ca1PERS .
SECTION 6 .All prior resolutions relating to unrepresented confidential employee s
compensation and benefits are hereby superseded to the extent inconsistent with this resolution .
SECTION 7 . This resolution shall be in effect from January 1, 2012 through Decembe r
31, 2013 .
SECTION 8 .The Director of Finance and Information Technology shall reduce th e
appropriate accounts to reflect the compensation changes .
Upon motion of Council Member Ashbaugh, seconded by Council Member Smith, and o n
the following vote :
AYES :
Council Members Ashbaugh, Carter and Smith, Vice Mayor Carpenter an d
Mayor Marx
NOES :
None
ABSENT : None
ATTEST :
APPROVED AS TO FORM :
The foregoing resolution was adopted this l 0`h day of April 2012 .
Sheryll S 'hroede r
Interim City Clerk
EXHIBIT A
CONFIDENTIAL EMPLOYEES FRINGE BENEFITS 201 2
Section A
Medical, Dental, Visio n
The City shall establish and maintain medical, dental and vision insurance plans for confidentia l
employees and their dependents . The City reserves the right to choose the method of insurin g
and plans to be offered .
The City has elected to participate in the PERS Health Benefit Program pursuant to the Publi c
Employees' Medical and Hospital Care Act (PEMHCA) with the "unequal contribution option "
at the PERS minimum contribution rates, $112 per month for active employees and $106 fo r
retirees as of January 1, 2012 . The City's contribution toward retirees shall be increased by 5 %
per year of the City's contribution for the active employees until such time as contributions fo r
employees and retirees are equal .
Employees with proof of medical insurance elsewhere are not required to participate in th e
medical insurance plan and may receive the unused portion of the City's contribution (afte r
dental and vision insurance is deducted) in cash in accordance with the City's cafeteria plan .
Those employees will be assessed $16 .00 per month to be placed in the Retiree Health Insuranc e
Account . This account will be used to fund the City's contribution toward retiree premiums an d
the City's costs for the Public Employees' Contingency Reserve Fund and Administrative Costs .
However, there is no requirement that these funds be used exclusively for this purpose, nor an y
guarantee that they will be sufficient to fund retiree health costs, although they will be used fo r
employee benefits .
Employees will be required to participate in the City's dental and vision plans at the employee -
only rate . Should they elect to cover dependents in the City's dental and vision plans, they ma y
do so, even if they do not have dependent coverage for medical insurance .
Employees shall participate in term life insurance of $4,000 through payroll deduction as a par t
of the cafeteria plan .
Section B
Cafeteria Plan Contributio n
The City's contribution to the Cafeteria Plan for regular, full-time employees will remain th e
same as the 2010 amounts .
Employee Only
$469 monthl y
Employee + 1
$928 monthl y
Employee + Family
$1255 monthl y
Employees with proof of medical insurance elsewhere may elect to opt out of the City's medica l
plan and receive a $200 cafeteria contribution . Employees who opted out of the City's medica l
insurance coverage and were hired prior to August 31, 2008 were "grandfathered" in at the $79 0
per month contribution level, until that time when they elected to be covered under the tiere d
contribution structure . An employee elects to be covered under the tiered contribution structure
EXHIBIT A
when he or she enrolls as an employee only or with dependents (employee plus one or family).
At that time the employee would no longer be grandfathered in at the $790 per mont h
contribution, but would receive the tiered contribution amount .
Employees hired prior to August 31, 2008 that had employee only medical insurance coverag e
were "grandfathered" in at the $790 per month contribution level, until such time when the y
added dependents or opted out . At that time the employee would no longer be grandfathered i n
at the $790 per month contribution, but would receive the tiered contribution amount .
Less than full-time employees shall receive a prorated share of the City's contribution .
The City agrees to continue its contribution to the cafeteria plan for two (2) pay periods in th e
event that an employee has exhausted all paid time off due to an employee's catastrophic illness .
Section C
Life and Disability Insuranc e
The City shall provide the following special insurance benefits :
1.
Long-term disability insurance providing 66 2/3% of gross salary (maximum benefi t
$5, 000 per month) to age 65 for any sickness or accident, subject to the exclusions i n
the long-term disability policy, after a 30-day waiting period .
2.
In addition to $4,000 term life insurance purchased by the employee through th e
cafeteria plan $25,000 term life insurance, including accidental death an d
dismemberment .
Section D
Retiremen t
The City shall provide the California Public Employees' Retirement System's (Ca1PERS) 2 .7 %
at 55 plan to all eligible employees including the amendments permitting conversion of unuse d
sick leave to additional retirement credit, the 1959 survivor's benefit (Level Four), one year fina l
compensation, and pre-retirement Option 2 death benefit .
The City shall no longer report as salary all Employer-Paid Member Contributions (EPMC) t o
Ca1PERS for the purposes of retirement credit in accordance with Government Code Sectio n
20636 (c) (4) effective June 27, 2013 .
Section E
Vacatio n
Vacation leave is governed by section 2 .36 .440 of the Municipal Code, except that it may b e
taken after the completion of the sixth calendar month of service since the benefit date . Vacation
leave shall be accrued as earned each payroll period provided that not more than twice the annua l
rate may be carried over to a new calendar year .
Vacation schedules for confidential employees shall be based upon the needs of the City an d
then, insofar as possible, upon the wishes of the employee . A department head may not deny a
EXHIBIT A
confidential employee's vacation request if such denial will result in the loss of vacation accrua l
by the employee, except that, a department head may approve a two-month extension o f
maximum vacation accrual . However, in no event shall more than one such extension be granted
in any calendar year .
Confidential employees are eligible, once annually in December, to request payment for up to 4 0
hours of unused vacation provided that an employee's overall performance and attendanc e
practices are satisfactory .
Section F
Administrative Leav e
Confidential employees shall be granted 12 hours of administrative leave per calendar year.
SectionG
Holiday s
Confidential employees shall receive 11 fixed plus 2 floating holidays per year . The floating
holidays shall be accrued on a semi-monthly basis and added to the vacation accrual .
Section H
Sick Leav e
Sick leave is governed by section 2 .36 .420 of the Municipal Code . An employee may take up to
16 hours per year of sick leave if required to be away from the job to personally care for a
member of his/her immediate family as defined in Section 2 .36 .420 . This may be extended to 4 0
hours per year if the family member is part of the employee's household and to 56 hours if a
household family member is hospitalized and the employee submits written verification of suc h
hospitalization . If the family member is a child, parent or spouse, an employee may use up to 4 8
hours annually to attend to the illness of the child, parent or spouse, instead of the lesse r
maximums above, in accordance with Labor Code Section 233 .
In conjunction with existing leave benefits, confidential employees with one year of City servic e
who have worked at least 1,250 hours in the previous year may be eligible for up to 12 weeks o f
Family/Medical Leave in accordance with the federal Family and Medical Leave Act and th e
California Family Rights Act.
Sick leave may be used to be absent from duty due to the death of a member of the employee's
immediate family as defined in Section 2 .36 .420, provided such leave shall not exceed fort y
working hours for each incident . The employee may be required to submit proof of relative's
death before being granted sick leave pay . False information concerning the death o r
relationship shall be cause for discharge .
Upon termination of employment by death or retirement, a percentage of the dollar value of th e
employee's accumulated sick leave will be paid to the employee, or the designated beneficiary o r
beneficiaries according to the following schedule :
(A)Death – 25 %
(B)Retirement and actual commencement of Ca1PERS benefits :
EXHIBIT A
After ten years of continuous employment — 10 %
After twenty years of continuous employment — 15 %
After twenty-five years of continuous employment — 20 %
After thirty years of continuous employment — 25 %
Section I
Workers' Compensation Leave
An employee who is absent from duty because of an on-the-job injury in accordance with Stat e
workers' compensation law and is not eligible for disability payments under Labor Code Sectio n
4850 shall be paid the difference between his/her base salary and the amount provided b y
workers' compensation law during the first ninety (90) business days of such temporar y
disability absence . Eligibility for workers' compensation leave requires an open workers '
compensation claim .