DATE: September 25, 2018
TO: Board of Supervisors
SUBMITTED BY: Paul Nerland, Director of Human Resources
SUBJECT: Memorandum of Understanding for Representation Unit 43
RECOMMENDED ACTION(S):
TITLE
1. Approve the Memorandum of Understanding for Representation Unit 43 - Computer Employees, represented by Stationary Engineers - Local 39, effective September 24, 2018, through September 20, 2020.
2. Approve the related Salary Resolution Amendments (including confidential classifications covered by Footnote “y”) as reflected on Appendix “B”.
REPORT
Approval of the recommended actions would effectuate the tentatively agreed upon terms and conditions as delineated herein regarding Unit 43’s successor Memorandum of Understanding (MOU), effective September 24, 2018, through September 20, 2020. The estimated cost for FY 2018-19 ($484,642) includes $63,349 in Net County Cost (NCC), which is included in the impacted departments’ FY 2018-19 recommended budgets and subsequent annual budget requests. This item is countywide.
ALTERNATIVE ACTION(S):
If your Board were not to approve the recommended actions, the existing terms and conditions would remain in effect and contract negotiations would continue.
FISCAL IMPACT:
The total estimated cost of the negotiated terms and conditions for FY 2018-19 is approximately $484,642; $63,349 in NCC, which includes related retirement costs. The estimated year-over-year cost increase for FYs 2019-20 and 2020-21 is approximately $639,187 ($83,550 in NCC) and $166,321 ($21,740 in NCC), respectively. Sufficient appropriations will be included in the impacted departments’ FY 2018-19 recommended budgets and subsequent annual budget requests.
DISCUSSION:
Your Board’s representatives have met and conferred with Unit 43 representatives regarding a successor MOU (previous MOU expired July 1, 2018). A tentative agreement was signed on August 22, 2018, and was subsequently ratified by the Union, which currently represents 135 employees.
The significant components of the MOU, effective September 24, 2018, unless otherwise noted, include the following:
Ø MOU Term:
o September 24, 2018, through September 20, 2020
Ø Salary Adjustments: (Including confidential classifications covered by Footnote “y”)
o 2% increase effective September 24, 2018, for all classifications
o 2% increase effective September 23, 2019, for all classifications
Ø Salary Steps: (Includes confidential classifications covered by Footnote “y”)
o Effective January 14, 2019
§ Increase intervals between steps from 3.125% to 5%
§ Adjust salary ranges from 9-steps to 5-steps (9th step becomes new 5th step)
Ø Health Insurance: (*Up to indicates that the contribution will not exceed the cost of employee’s health plan selection)
o Effective December 17, 2018
§ Increase County contribution for Employee Only up to $318 (increase of up to $25 per pay period)
o Effective December 16, 2019
§ Increase County contribution for Employee Only up to $343 (increase of up to $25 per pay period)
Ø Step Conversion Payment: (Includes confidential classifications covered by Footnote “y”)
o Effective March 25, 2019
o $1,000 one-time, non-pensionable, lump sum payment for employees who have satisfactorily completed at least 26 consecutive pay periods, at step 9, in peak level classifications (by March 24, 2019)
Ø Miscellaneous:
o Addition, update, or deletion of MOU language and/or obsolete addenda
REFERENCE MATERIAL:
BAI #32, September 27, 2016 - MOUs for BUs 13 and 43
ATTACHMENTS INCLUDED AND/OR ON FILE:
MOU - Representation Unit 43
Salary Resolution Amendment - Appendix “B”
CAO ANALYST:
Juan Lopez