DATE: December 12, 2023
TO: Board of Supervisors
SUBMITTED BY: Hollis Magill, Director of Human Resources
SUBJECT: Memorandum of Understanding for Representation Unit 43
RECOMMENDED ACTION(S):
TITLE
1. Approve the successor Memorandum of Understanding for Representation Unit 43, represented by the Stationary Engineers - Local 39, effective December 11th, 2023; and
2. Approve the related Salary Resolution Amendment as reflected on Appendix “B”.
REPORT
Approval of the recommended actions would effectuate the tentatively agreed upon terms and conditions as delineated herein regarding a successor Memorandum of Understanding (MOU) for Representation Unit 43, effective December 11, 2023, through December 07, 2025. The estimated cost for FY 2023-24 is $677,542; $92,057 of which is NCC. The estimated cost of FY 2024-25 is $1,179,503; $156,031 of which is NCC. Impacted department appropriations will be monitored and adjustments will be brought to your Board if needed.
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 for the negotiated terms of FY 23-24 is $677,542 including related retirement costs; $92,057 of which is NCC. Impacted department appropriations will be monitored and adjustments will be brought to your Board if needed.
The estimated cost for FY 2024-25 is $1,179,503 including related retirement costs; $156,031 of which is NCC. Sufficient appropriations will be included in the impacted department’s FY 2024-25 budget request.
DISCUSSION:
Your Board’s representatives met and conferred with Unit 43’s representatives regarding a successor MOU (latest MOU expired December 10, 2023). A tentative agreement was signed on November 2, 2023, and was subsequently ratified by Stationary Engineers Local 39 - Unit 43 employees.
Ø MOU Term:
o December 11, 2023, through December 7, 2025.
Ø Salary Adjustments:
o 5% increase effective December 11, 2023
o 3% increase effective December 9, 2024
Ø Addition of one additional Step (Step 6) Effective July 8, 2024
o Add one additional salary step (Step 6) for all classifications.
o Effective no sooner than July 8, 2024, modify Salary Resolution Section 411.2 (Advance from Step 1 to Step 2) from 13 pay periods to 26 pay periods.
§ A subsequent item will be brought to the Board at a future date to effectuate the changes to the Salary Resolution.
o Salary Adjustment Step 6 shall also include Confidential employees in this unit pursuant to Footnote “y” of Section 100 of the Salary Resolution.
Ø Health Insurance for Plan Year 2024:
o Increase total County Contributions for Employee Only up to $433 (up to $25 increase per pay period) effective December 11, 2023.
o Increase total County Contributions for Employee plus Child(ren) up to $668 (up to $150 increase per pay period) effective December 11, 2023.
o Increase total County Contributions for Employee plus Spouse up to $668 (up to $150 increase per pay period) effective December 11, 2023.
o Increase total County Contributions for Employee plus Family up to $853 (up to $150 increase per pay period) effective December 11, 2023.
Ø Health Insurance MOU reopener no later than September 1, 2024, for Plan Year 2025.
Ø Supplemental Retirement Plan Match for Members in Retirement Tiers IV and V:
o Increase the Deferred Compensation Plan contribution match from $25 per pay period, to $50 per pay period match for employees enrolled in Retirement Tiers IV or V.
o Employees not contributing to the Deferred Compensation Plan will not be eligible to receive this match.
o The duration of this Deferred Compensation Plan contribution match will be at the Board of Supervisors’ discretion and may be eliminated at any time.
o This provision will not be placed in the MOU but was part of the ratified Tentative Agreement.
Ø Holidays:
o Add Juneteenth (June 19) as an official County holiday beginning in 2024.
Ø Miscellaneous:
o Addition, update, or deletion of MOU language and/or addenda.
REFERENCE MATERIAL:
BAI #44, December 14, 2021
ATTACHMENTS INCLUDED AND/OR ON FILE:
Unit 43 MOU
Salary Resolution Amendment - Appendix “B”
CAO ANALYST:
Paige Benavides