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HomeMy WebLinkAbout01. Consider approval of tentative agreement with MSCG and provide direction on modifying MOU Page 1 of 5 Item 1. CENTRAL SAN CENTRAL SAN BOARD OF DIRECTORS POSITION PAPER MEETING DATE: SEPTEMBER 13, 2018 SUBJECT: CONSIDER APPROVAL OF A TENTATIVE AGREEMENT WITH THE MANAGEMENT SUPPORT/CONFIDENTIALGROUPAND PROVIDE DIRECTION ON MODIFICATION OF THE MEMORANDUM OF UNDERSTANDING (MOU) TO BE RETURNED FOR BOARD APPROVAL SUBMITTED BY: INITIATING DEPARTMENT: TEJI O'MALLEY, HUMAN RESOURCES SECRETARYOF THE DISTRICT MANAGER ANN SASAKI, DEPUTY GENERAL MANAGER ISSUE The Management Support/Confidential Group ratified the terms for a successor Memorandum of Understanding (MOU)with the District and formal adoption of the terms by the Board of Directors is required. BACKGROUND Representatives of the Board and the Management Support/Confidential Group have met numerous times since April 2017 in negotiations for a successor MOU to the existing MOU that expired on December 17, 2017. Unfortunately, an agreement could not be reached, and an impasse was declared on June 8, 2018. Following impasse, the parties engaged the services of the State Mediation and Conciliation Service. Mediation was held on July 16th and August 7th, 2018. As a result of that mediation, the Mediator presented a proposed Mediator's Settlement that he believed balanced the needs of the District and the employees, and thereafter the parties reached a tentative agreement on the terms listed in Attachment 1. These terms along with all tentative agreements signed to date, listed in Attachment 2 will form the basis of a new successor MOU. The first wage increase shall be effective retroactively to August 18, 2018. The final language, incorporating these changes into the successor MOU will be brought to the Board at a future date for final adoption. ALTERNATIVES/CONSIDERATIONS None. September 13, 2018 Special Board Meeting Agenda Packet- Page 3 of 11 Page 2 of 5 FINANCIAL IMPACTS Taking into consideration the projected savings from switching to CalPERS Healthcare, the proposed net cost impact overthe proposed term of the contract (if CPI reaches the maximum cap of 3.75%) is approximately$1.36 million. COMMITTEE RECOMMENDATION This was not reviewed by a Committee. RECOMMENDED BOARD ACTION Approve the tentative agreement with the Management Support/Confidential Group and provide direction on modification of the Memorandum of Understanding (MOU)to be returned to the Board at a future date for final approval and adoption. ATTACHMENTS: 1. Proposed Tentative Agreement 2. List of signed Tentative Agreements September 13, 2018 Special Board Meeting Agenda Packet- Page 4 of 11 Page 3 of 5 ATTACHMENT 1 Central Contra Costa Sanitary District and MS/CG Negotiations 2018 Proposed Tentative Agreement September 5, 2018 1. Term of Contract: The term of the Memorandum of Understanding shall be four years, December 18, 2017 to April 17, 2022. 2. Health Care: A. District will contract with CaIPERS to provide employee health care. The premium costs of the core plans, as defined in this MOU, shall be borne by the District. B. Tiers shall remain as stated in the existing MOU. C. District will adopt the PEMCHA minimum vesting schedule for active and retiree healthcare. D. Upon the implementation of CalPERS Healthcare, the District shall contribute 1 .5% of base salary to a Healthcare Reimbursement Account (HRA) for Tier III bargaining unit members. 3. Wage Increase: Effective August 18, 2018 and upon ratification of the MOU by MS/CG and upon adoption by the Board, employees' wages shall be increased by 3.75%. On April 18, 2019, April 18, 2020 and April 18, 2021 employees' wages shall be adjusted by the change in the Consumer Price Index (CPI) for all Urban Consumers (San Francisco/Oakland/San Jose) during the most recently completed February to February time period prior to the applicable April. If the applicable CPI is less than 2%, than the salary increase will be 2%. If the applicable CPI is greater than 3.75%, than the salary increase will be 3.75%. 4. Beginning on April 18, 2022, any cash out of sick leave accruals shall be deducted from an employee's sick leave accrual bank at time of retirement. Any remaining balance shall be reported to CCCERA as retirement service credit. 5. Boot Allowance: Two Hundred Thirty Dollars ($230) September 13, 2018 Special Board Meeting Agenda Packet- Page 5 of 11 Page 4 of 5 ATTACHMENT 1 As part of this package proposal, MS/CG agrees to accept following District proposals: #1 — Longevity as proposed on May 26, 2017 #10 — Pregnancy leave as proposed on May 26, 2017 #19 — Recruitment, rule of list as proposed on May 26, 2017 #22 — Side letters as proposed on May 26, 2017 District will withdraw: #4 — Out of class as proposed on May 26, 2017 #6 — Registration pay #20 — Disciplinary procedures, as modified on October 3, 2017 #21 — Employee grievance #23 — Reopener as proposed on May 26, 2017 As part of this package proposal, MS/CG agrees to withdraw the following MS/CG proposals: #2 — Administrative leave #3 — Life Insurance #4 — Continuation of benefits #6 — Vacation accrual #8 —Vacation cash out #9 — Sick leave cash out #10 — Long term disability #11 — Longevity pay #12 — Deferred compensation plan #13 — Dental benefits, orthodontia #14 — Bereavement leave All tentative agreements reached and signed as of this date shall be included in this Proposed Settlement September 13, 2018 Special Board Meeting Agenda Packet- Page 6 of 11 Page 5 of 5 ATTACHMENT 2 Signed Tentative Agreements between Central Contra Costa Sanitary District and the Management Support/Confidential Group Added clarifying language that travel time is included in call-out pay and not additionally compensated Added language that clarifies that the meal period starts "at or"four hours and not more than four hours. Deleted language that was contradictory to District past practice that stated employees had up to two years to obtain required licensure. District past practice has been employees are only hired or promoted if they meet the minimum qualifications of the job description. Added language that codifies the Relief Differential applies only to employees who are regularly scheduled to work the position of Relief Operator(Shift Supervisor). Codify the payment of holiday compensation when holidays fall on the weekend. Clarified that jury duty is compensable only if an employee reports to jury duty and is not on "stand-by". Added language that clarified that the release time for Workers' Compensation appointments is up to 3 hours and is inclusive of drive time to and from appointment. Deleted language that required that employees must have been here longer than six months before they could use their accumulated vacation time and deleted language that referred to employees in a "temporary status" since MSCG does not represent temporary employees. Deleted reference to temporary employees as it relates to tuition reimbursement since they are not eligible. Codify language that states all employees are responsible for paying 100%of their share of the pension. September 13, 2018 Special Board Meeting Agenda Packet- Page 7 of 11