HomeMy WebLinkAbout09. Adopt Resolution No. 2024-008 outlining the employment and salary benefits of the Unrepresented At-Will Employees' Group and rescind Resolution No.2023-050Item 9.
BOARD OF DI RECTORS
POSIT ION PA PER
M E E T ING D AT E:A P R I L 4, 2024
S UB J E C T: A D O P T R E S O L UT I O N NO. 2024-008 O UT L I NI NG T HE E MP L O YME NT
S A L A RY A ND B E NE F I T S O F T HE UNR E P R E S E NT E D AT-W I L L
E MP L O YE E S' G R O UP A ND R E S C I ND R E S O L UT I O N NO. 2023-050
S UB M I T T E D B Y:
T E J I O'MA L L E Y, HUMA N R E S O UR C E S A ND
O R G A NI Z AT I O NA L D E V E L O P ME NT
MA NA G E R
I NI T I AT I NG D E PART M E NT:
O F F I C E O F T HE G E NE R A L MA NA G E R -
HUMA N R E S O UR C E S
R oger S . B ailey
General Manager
IS S UE
Board of Directors' approval is required to adopt a new, revised resolution which rescinds and replaces an
active resolution.
B AC K G RO UND
C urrently, S ection A - General and Merit I ncreases of the resolution that outlines the salary and benefits for
the unrepresented employees states the f ollowing:
Effective April 18, 2022, A pril 18, 2023, April 18, 2024, A pril 18, 2025, and April 18, 2026, employees'
wages shall be adjusted by the change in the C onsumer Price I ndex (C P I ) for all Urban Consumers (S an
F rancisco/Oakland/San J ose) during the most recently completed F ebruary to F ebruary time period prior
to the applicable April. E f f ective A pril 18, 2022, the adjustment shall be a minimum of 2.0% and a
maximum of 5.0%. Effective April 18, 2023, A pril 18, 2024, April 18, 2025, and A pril 18, 2026, the
minimum shall be 2.0% with a maximum 3.75%.
In 2023, the applicable CP I was 5.30%, and therefore, in accordance with the abovementioned M OU language,
the general increase granted to all employees was 3.75%. In 2024, the applicable CP I is 2.40%, and therefore,
based on the M OU language, the general increase should be 2.40% effective April 18, 2024.
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However, in early 2023, two of the District's bargaining units (Local #1 and M S/C G) requested the Board
reconsider the general increases in light of the high inflation in 2023. T he Board has considered the requests
and given that the Consumer Price Index (C PI) last year was 5.30% (beyond the ceiling of 3.75% by 1.55%)
and the C PI this year is 2.40%, the District will agree to offer an incremental increase of 1.35% in addition to the
2.40% wage increase which is to be effective April 18, 2024. T his action will grant a one-time wage increase of
3.75% effective April 18, 2024.
T his change will only apply to the general increase effective April 18, 2024. All future general increases will be
granted in accordance with the current language in Section A – General and Merit Increases.
ALT E RNAT I V E S /C O NS I D E RAT IO NS
D o not rescind and replace Resolution No. 2023-050 to update the salary and benefits of the
unrepresented, at-will classifications. I f this action is not approved, unrepresented employees will receive a
cost of living adjustment of 2.4% pursuant to the current language in the resolution.
F I NANC IAL I M PAC T S
T he incremental 1.35% being added to the scheduled general wage increase of 2.40% will result in a
approximate annual cost of $30,000 f or the employees covered under the Unrepresented Resolution.
C O M M I T T E E RE C O M M E ND AT IO N
T his item did not go to a committee as it was discussed in closed session on March 21, 2024.
RE C O M M E ND E D B O ARD AC T I O N
Adopt the proposed Resolution No. 2024-008 outlining the salary and benefits for the unrepresented at-
will positions, and rescind Resolution No. 2023-050.
Strategic Plan Tie-I n
G O A L TH R EE: Workforce Diversity and D evelopment
Strategy 2 - Engage employees and conduct labor relations in a transparent, effective and collaborative
environment, Strategy 3 - Retain skilled workers by investing in resources and opportunities for all employees to grow
and thrive
AT TAC HM E NT S :
D escription
1. P roposed Resolution with A mendments
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RESOLUTION NO. 2024-008
A RESOLUTION OF THE CENTRAL CONTRA COSTA SANITARY DISTRICT
OUTLINING THE EMPLOYMENT SALARY AND BENEFITS FOR
UNREPRESENTED, AT-WILL POSITIONS
AND RESCINDING RESOLUTION NO. 2023-50
WHEREAS, the salary and benefits of unrepresented, at-will positions should be
memorialized.
NOW, THEREFORE, BE IT RESOLVED by the Board of Directors of the Central Contra
Costa Sanitary District as follows:
THAT Section A. GENERAL AND MERIT INCREASES shall be changed as per the
attached EXHHIBIT A.
THAT the unrepresented, at-will employees may discuss their salary, benefits, and
conditions of employment with the General Manager at any time.
THAT, as of the effective date of this resolution, the existing Central San Resolution No.
2023-50 is rescinded.
PASSED AND ADOPTED this 4th day of April 2024, by the Board of Directors of the
Central Contra Costa Sanitary District by the following vote:
AYES: Members:
NOES: Members:
ABSENT: Members:
Mariah N. Lauritzen
President of the Board of Directors
Central Contra Costa Sanitary District
County of Contra Costa, State of California
COUNTERSIGNED:
Eileen Hansen
Secretary Pro Tem
Central Contra Costa Sanitary District
County of Contra Costa, State of California
Approved as to form:
J.Leah Castella, Esq.
Counsel for the District
Attachment 1
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EXHIBIT A
SALARY AND BENEFITS FOR
UNREPRESENTED AND AT-WILL EMPLOYEES
A. GENERAL AND MERIT INCREASES - Effective April 18, 2022, April 18, 2023,
April 18, 202 April 18, 2025, and April 18, 2026, employees' wages shall be
adjusted by the change in the Consumer Price Index for all Urban Consumers
(San Francisco/Oakland/San Jose) during the most recently completed February-
to-February time period prior to the applicable April. Effective April 18, 2022, the
adjustment shall be a minimum of 2.00 percent and a maximum of 5.00 percent.
Effective April 18, 2023, April 18, 2024April 18, 2025, and April 18, 2026, the
adjustment shall be a minimum of 2.00 percent and a maximum of 3.75 percent.
Effective April 18, 2024, employee wages will be adjusted by 3.75%. Employees
will normally receive a salary step increase every 12 months until they reach the
top of their range.
B. VACATION
Years Employed Annual Accrual Maximum Accrual
0 - 3 Years 10 Days 20 Days
3 - 5 15 30
5 - 10 16 32
10 - 15 17 34
15 - 20 20 40
20 - 25 25 50
25+ 30 60
The extra days accrued due to service of over five years are credited to each
employee's account on his/her anniversary date.
If an employee leaves Central Contra Costa Sanitary District (District), they will
be paid for any earned vacation time not used. Payment of accumulated vacation
time above the maximum annual accrual shall occur automatically on the
anniversary date on which the time would be lost.
An employee may request a payment of the cash equivalent of vacation accruals
subject to the following:
1. Employee must make an irrevocable election before the end of each calendar
year to either (a) receive payment in the following calendar year of the cash
equivalent of all or a portion of the vacation hours that will accrue during the
following calendar year, or (b) to take those vacation hours as paid vacation
during the following calendar year. Elections must be made every year and
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will not carry over from one calendar year to the next. If an employee fails to
make an election, the employee will be deemed to have irrevocably elected to
take all of the vacation hours that will accrue in the following calendar year as
paid time off.
2. The election must designate the number of vacation hours being requested
for payment. The payment cannot exceed the value of the maximum vacation
accruals based on the employee’s years of service in the year of payment up
to a maximum of one hundred sixty (160) hours. An employee may request
cash payment of the value of vacation hours the employee elected to convert
to cash compensation before the end of the previous calendar year at any
time during the current calendar year provided that no cash payment for the
value of vacation hours will be made unless and until the vacation hours have
been earned and accrued as detailed in the above accrual schedule.
3. Vacation hours an employee elects to convert to cash compensation in the
following calendar year as described above will be converted to cash
compensation based on the employee's hourly rate of pay in effect at the time
of the payment request.
C. SICK LEAVE - Twelve (12) days of sick leave per year. Sick leave may be used
up to 10 days annually to attend to the health needs of an immediate family
member. Also, in the event of a death in the employee's immediate family, the
employee may charge a maximum of 10 days to their sick leave account.
Unused sick leave accumulates from one year to the next. There is no maximum
limit. The District shall augment the sick leave policy with an incentive benefit
using the following schedule:
Years of Service Pay-Off Credit at
Termination
Pay-Off Credit at
Retirement
0-5 0% 0%
5-10 25 25 10-25 25 35
25+ 25 40
Employees hired or promoted into one of the classifications in the unrepresented
at-will group, effective on or after December 18, 2017, will be subject to the
following provision:
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 the Contra Costa County Employees' Retirement Association as retirement
service credit.
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D. ADMINISTRATIVE LEAVE - Eighty (80) hours per year. These administrative
leave hours will be credited to each employee's account on April 18th of each
year.
E. HOLIDAYS – Fourteen (14) paid holidays per year.
F. MEDICAL INSURANCE - Employees with dual health insurance coverage may
waive District medical coverage and in lieu receive a District contribution to the
Section 401(a) plan in the amount of $400 per month. Employees shall be
provided with health care options through CalPERS.
“Core Plans” – Effective upon the implementation of CalPERS, the District
agrees to pay the full monthly premium cost of the Kaiser Permanente or Anthem
Blue Cross Traditional HMO plan (the “Core Plans”) for active employees and
qualified eligible dependents.
The District will pay the CalPERS minimum required contribution amount toward
the employee's health care coverage directly to CalPERS in accordance with
CalPERS requirements. The District will make a contribution for the remaining
amount (that portion of the District's contribution that exceeds the CalPERS
minimum required contribution) to the District's Section 125 cafeteria plan for
employees to allocate toward the cost of their health care benefits. If an
employee selects any other plan that is offered by CalPERS that exceeds the
cost of either of the Core Plans, the employee must pay the difference in
premiums between the highest cost Core Plan and the plan he or she selects. If
the selected plan is less than either of the core plans, employees shall not be
reimbursed the difference.
If CalPERS no longer offers the Core Plans that the District has designated
above, the parties agree to meet to determine which plans will be designated as
Core Plans.
Vision Coverage: Fully paid by the District for employee and qualified eligible
dependents.
G. DENTAL PLAN - Fully paid by the District for employee and qualified eligible
dependents.
H. RETIREMENT PROGRAM - The District shall provide a retirement program for
all employees administered by the Contra Costa County Employees Retirement
Association (CCCERA). Employees are responsible for paying the full share of
the normal costs associated with the employee share as calculated by CCCERA.
a. 401(A) PLAN - District's contribution in an amount equal to that which normally
would have been contributed to Social Security. In addition, each employee
eligible to participate in the District’s qualified money purchase pension plan
(401(a) Plan) who is described in one of the categories described below will,
effective April 18, 2022, automatically contribute to the 401(a) Plan by
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mandatory pretax salary reduction the amount specified below for the category.
Category (Based on Attributes on Resolution Date) Amount
Annual compensation exceeding $200,000, but not
exceeding $250,000
8% of base
pay each
pay period.
Annual compensation exceeding $250,000 12.5% of
base pay
each pay
period.
Annual compensation of less than $200,000 2% of base
pay each
pay period.
Each contribution will be deducted ratably from the employee’s compensation
each payroll period during the Plan Year (or the remainder of the Plan Year in
which this resolution is adopted).
The District designates all mandatory employee salary reduction contributions
to the 401(a) Plan as pick-up contributions and will pick up those contributions
in accordance with section 414(h)(2) of the Internal Revenue Code (Code) and
all guidance issued thereunder as follows:
1. This resolution applies to all contributions that are required to be made
by any employees of the District as members of the 401(a) Plan, on a
regular payroll deduction basis and that are reported to the 401(a) Plan
and credited to employee accounts.
2. Although designated as employee contributions, and deducted from
employees' compensation, the contributions shall, for tax purposes, be
characterized as "picked up" by the District in accordance with Code
section 414(h)(2), and shall be treated as paid by the District in lieu of
contributions by the employee.
3. Employees shall not have the option of choosing, directly or indirectly, to
receive the contributions instead of having them made to the 401(a) Plan.
4. The District shall pay the contributions designated as employee
contributions from the same source of funds as used in paying salary.
5. Employee contributions that are picked up in accordance with this
resolution shall result in the tax deferral of these contributions to the extent
provided under the Code, Treasury regulations and other guidance issued
thereunder.
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6. This resolution establishes and adopts the District's pick-up practices in
accordance with Revenue Ruling 2006-43.
7. The District shall comply with all reporting, contribution, and other
administrative requirements established by the 401(a) Plan with
respect to all employees whose contributions are picked up in
accordance with this resolution.
I. RETIREE MEDICAL, VISION AND DENTAL COVERAGE
Retiree Benefits: Employees are eligible for retiree medical benefits through
CalPERS provided that they retire from the District within 120 days of separation
from the District and begin receiving a retirement allowance from the Contra
Costa County Employees’ Retirement Association.
For employees who do not meet the eligibility requirements as outlined in
Medical Tiers II and Ill, the District will only pay the minimum employer
contribution that CalPERS requires toward medical coverage upon retirement
from the District. The District will pay the CalPERS minimum required
contribution amount toward a retiree's health care coverage directly to CalPERS
in accordance with CalPERS requirements.
For those employees that are eligible for Medical Tiers II or Ill benefits, the
District will pay the CalPERS minimum required contribution amount toward the
employee's health care coverage directly to CalPERS in accordance with
CalPERS requirements. The District will contribute any amount that exceeds the
CalPERS minimum required contribution, in accordance with the employees' tier,
to a retiree-only Health Reimbursement Account.
MEDICAL TIER II: Employees hired after May 1, 1985, will be covered by
medical, dental, vision and reduced life insurance plans ($10,000). The District
will pay more than the minimum employer contribution that CalPERS requires, if
the employee meets the “Rule of 65.” For employees hired after May 1, 1985 but
before April 19, 2003, the “Rule of 65” requires that an employee's age plus
years of service with the District at the time of retirement total 65 with a minimum
age of 50 and a minimum of 10 years of continuous service. For employees hired
between April 19, 2003, and June 30, 2009, the “Rule of 65” requires a minimum
age of 55 years old and a minimum of 10 years of continuous service. If an
employee meets the “Rule of 65,” effective upon the ratification of the
Memorandum of Understanding and the implementation of CalPERS, the District
shall pay the full monthly premium cost of the Kaiser Permanente or Health Net
SmartCare plan (the Core Plans for active employees).
At age 65, the District will pay 50 percent of the retiree’s chosen Core Plan
premium or the minimum employer contribution that CalPERS requires,
whichever is greater. The District will also pay 50 percent of the cost of the
retiree's dental and vision coverage. Eligible employees' qualified dependents (as
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defined by the plan provider) who were covered as dependents at the time of
retirement also shall be covered by medical, vision, and dental plans with the
exception that the District will only pay for the full cost of an eligible dependent's
medical, vision, and dental plan premiums until the eligible dependent's 55th
birthday.
At age 65, the District will pay 50 percent of a retiree’s eligible dependent's core
medical, dental, and vision plan premiums.
MEDICAL TIER Ill: Employees hired after June 30, 2009, will be covered by
medical, dental, and vision plans. The District will pay more than the minimum
employer contribution that CalPERS requires toward the cost of the retiree’s
coverage, if the employee meets the “Rule of 70.” The “Rule of 70” requires that
an employee’s age plus years of service with the District at the time of retirement
total 70 with a minimum age of 55 and minimum of 10 years of continuous
service. If an employee meets the “Rule of 70,” the District will pay 50 percent of
the monthly premium cost of the retiree’s chosen Core Plan or the minimum
employer contribution that CalPERS requires, whichever is greater. The District
will also pay 50 percent of the core medical plan premium and vision premium for
the retiree's spouse or domestic partner. The District will not pay for any
coverage for other dependents of the retiree.
The District will pay 100 percent of the premium cost for dental for the retiree and
spouse or domestic partner until they each reach the age of 65. At age 65, the
District will pay 50 percent of the cost for dental coverage for the retiree and the
spouse or domestic partner. For Medical Tier Ill employees hired on or after April
18, 2013, the District will pay 50 percent of the premium cost for dental coverage
for the retiree and spouse or domestic partner upon retirement.
Core Plan for those retirees under the age of 65 are Kaiser Permanente and
Anthem Blue Cross Traditional HMO . For those retirees age 65 and older, the
Core Plans are Kaiser Senior Advantage and United Healthcare. If a retiree
selects any other plan that is offered by CalPERS that exceeds the cost of either
of the Core Plans, the employee must pay, in addition to their share of the
monthly premium, the difference in premiums between the highest cost Core
Plan and the plan he or she selects. If the selected plan is less than either of the
core plans, retirees shall not be reimbursed the difference.
At the time of an employee's retirement, all qualified dependents (as defined by
the plan provider) who already were dependents at the time of retirement shall
continue to be covered by the District's medical and dental plans in accordance
with the Medical Tiers I and II benefits as stated above. The District shall have no
obligation to pay for coverage for more than two-party (retiree plus one) coverage
for any new and different dependent added after the date of retirement.
Medicare: The medical coverage for retirees and their eligible dependents will be
integrated with Medicare (Medical Tiers II and III) at age 65. For Medical Tier II
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retirees, upon submission of evidence of payment to Medicare, the District will
reimburse the retiree and/or dependent for the cost of the Medicare (Part A
and/or B) premiums. However, the District will not be responsible for any
penalties or increased costs in the Medicare premium should the employee
and/or eligible dependent not enroll in Medicare during the enrollment period
surrounding his/her 55th birthday. For Medical Tier Ill, the District will not
reimburse any Medicare premiums.
The District will make a contribution to a Health Reimbursement Account equal to
the cost of the Medicare reimbursement based on the eligible tier.
Survivor Benefits: Qualified dependents of a deceased employee/retiree will be
eligible for the continuance of health and dental benefits at the same level as the
retiree unless the dependents are no longer eligible under District or CalPERS
rules, regulations, or policies.
Health Reimbursement Arrangement: All active Tier III employees will, effective
April 18, 2022, automatically contribute 7% of base salary by mandatory pretax
salary reduction each pay period to a health reimbursement arrangement (HRA)
to be used to reimburse post-employment health insurance premiums.
J. DISABILITY PLAN - Employees shall pay the premiums for the Long-Term
Disability Program.
K. LIFE INSURANCE - The District provides term life insurance and accidental
death and dismemberment coverage as follows:
The lesser of (a) an amount equal to two times the employee's annual earnings,
the result rounded to the next higher multiple of $1,000 if not an exact multiple
thereof, or (b) $250,000.
Dependents term life insurance equals $1,500 for employee's spouse and $100
for employee's children according to attained age of 14 days or over but less than
six months, and $1,000 for children six months or over until age nineteen, unless
a full-time student less than 23 years of age and dependent upon the employee
for support.
L. CAFETERIA PLAN - $425 per month.
M. PROFESSIONAL EXPENSE REIMBURSEMENT - $3,000 per fiscal year for use
in improving knowledge and skills. This allowance may be used for professional,
job-related training, class, or conference, subject to approval by the General
Manager. Travel is limited to the United States and Canada unless approved by
the General Manager and the District Board. The unused portion may carry over
two additional fiscal years, allowing for a maximum expenditure in any fiscal year
of $9,000.
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N. PROFESSIONAL REGISTRATION - The District shall pay the registration and
renewal fees for all professional registered engineers, licensed land surveyors,
Certified Public Accountants, and those employees who hold a current California
Wastewater Treatment Plant Operator's Certificate. The registration and/or
certificate must be a requirement of the employee’s classification.
O. LONGEVITY COMPENSATION - An additional 2.5 percent salary increase after
10 years or more of continuous employment with the District and an additional
2.5 percent salary increase (for a total of five percent) after 20 years of
continuous employment with the District.
P. SALARY CONTINUANCE - It is the general policy of the District to continue pay
to an employee under the Salary Continuance Plan when an employee incurs a
work-related injury or illness. This plan commences if the employee qualifies for
temporary disability payments from Worker's Compensation for the disability and,
if in the opinion of the District, the disability is work-related. If the injury or illness
is determined legitimate, all of the employee’s regular benefits will continue
during the time this plan is in effect.
The salary continuance will be equivalent to 70 percent of gross salary less any
Worker’s Compensation payments. The maximum period for which this plan
could be used by an employee will be six months or until a stable level of
disability is reached, whichever comes first.
The Salary Continuance Plan will commence on the fourth day after the disabled
employee leaves work as a result of the injury or illness after a three-day waiting
period. However, if the injury or illness causes disability of more than 21 days or
necessitates hospitalization, the Plan will become effective from the first day the
injured employee leaves work as a result of the injury or illness. The employee
may use vacation or sick leave accrual during this waiting period.
Q. EMPLOYEE ASSISTANCE PROGRAM (EAP) - Provided by the District to the
employee.
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APPENDIX A - CLASSIFICATIONS COVERED BY THIS RESOLUTION
Deputy General Manager
Director of Engineering and Technical Services
Director of Finance and Administration
Director of Operations
Human Resources and Organizational Development Manager
Internal Auditor
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