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HomeMy WebLinkAboutStaff Report 3.A 09/18/2017DATE: September 18, 2017 Agenda Item #3.A TO: Honorable Mayor and Members of the City Council through City Manager FROM: Amy Reeve, Director of Human Resources SUBJECT: Resolution Ratifying the Tentative Agreement Reached by the Duly Authorized Representatives of the City of Petaluma and the Petaluma Public Safety Mid - Management Association, Unit 10, and Approving the Side Letter Agreement RECOMMENDATION It is recommended that the City Council adopt the attached Resolution Ratifying the Tentative Agreement Reached by the Duly Authorized Representatives of the City of Petaluma and the Petaluma Public Safety Mid - Management Association (Unit 10) and Approving the Side Letter Agreement. BACKGROUND The Petaluma Public Safety Mid - Management Association (PPSMMA) Memoranda of Understanding (MOU) is effective July 1, 2014 through June 30, 2018. Section 6.2 of the MOU provides for a wage reopener for the purpose of discussing a potential salary adjustment for fiscal year 2017 -2018. The City has met and conferred with PPSMMA representatives and the parties have reached a Tentative Agreement. The recommended action ratifies the Tentative Agreement reached by the patties and approves a Side Letter Agreement. The Tentative Agreement is attached as a Side Letter and labeled Exhibit A to the Resolution. DISCUSSION The City and PPSMMA have met and conferred and reached a Tentative Agreement to the wage reopener. The agreement includes an additional 3% PERS employee contribution in exchange for a 3% general wage adjustment and a one -time, non- PERSable bonus of 2% for all members of the bargaining unit and is memorialized in the Exhibit A Side Letter Agreement. FINANCIAL IMPACTS All costs are attributable to the General Fund. The estimated cost of the one -time bonus is $54,326, with no ongoing costs. One -time revenues received during the 2016/17 fiscal year have been identified to fund the cost. These revenues consist of non - recurring real property transfer tax receipts, along with large one -time permit fees. ATTACHMENTS Resolution with Exhibit A — Side Letter Agreement ATTACHMENT 1 Resolution No. 2017- N.C.S. of the City of Petaluma, California RESOLUTION RATIFYING THE TENTATIVE SIDE LETTER AGREEMENT REACHED BY THE DULY AUTHORIZED REPRESENTATIVES OF THE CITY OF PETALUMA AND THE PETALUMA PUBLIC SAFETY MID - MANAGEMENT ASSOCIATION, UNIT 10 AND APPROVING THE SIDE LETTER AGREEMENT WHEREAS, the City of Petaluma, through its duly authorized representatives, and the Petaluma Public Safety Mid - Management Association ( PPSMMA), Unit 10, through its duly authorized representatives, have concluded their mutual obligation to meet and confer in good faith with respect to the wage re- opener provided by Section 6.2 of the PPSMMA Memorandum of Understanding (MOU) effective July 1, 2014 - June 30, 2017, in accordance with the Meyers- Milias -Brown Act and the City's Employer- Employee Relations, Rules and Regulations (Resolution No. 55412 N.C.S.); and WHEREAS, the duly authorized representatives of the City and the PPSMMA have reached Tentative Agreement and executed this Side Letter Agreement and recommend its approval by the City Council; and WHEREAS, the City Manager, pursuant to Section 28 of the Charter of the City of Petaluma, and as the City's Municipal Employees' Relations Officer (Resolution No. 5375 N.C.S.), is required and empowered to make a recommendation to the City Council on matters related to employees' compensation; and WHEREAS, the City Manager has reviewed and concurs with said Side Letter Agreement for PPSMMA and does recommend that the City Council ratify said Side Letter Agreement. NOW, THEREFORE, BE IT RESOLVED that the Side Letter Agreement, being in the best interests of the City of Petaluma, is ratified and the terms and conditions of said Side Letter attached to and incorporated as Exhibit A, shall be effective on the first pay period following the ratification of the Side Letter Agreement. EXHIBIT A SIDE LETTER AGREEMENT BETWEEN THE CITY OF PETALUMA AND THE PETALUMA PUBLIC SAFETY MID - MANAGEMENT ASSOCIATION (PPSMMA), Unit 10 The representatives of the City of Petaluma and the Petaluma Public Safety Mid - Managers Association (PPSMMA), Unit 10 have met and conferred and reached agreement on this Side Letter of Agreement. The parties agree to the following: 1) Effective the first payroll following the adoption of a contract amendment with CalPERS, all employees shall pay an additional three percent (3 %) towards PERS retirement. Effective the first payroll following the adoption of a contract amendment with Ca1PERS, and concurrent with all members paying an additional three percent (3 %) towards PERS retirement, all unit members shall receive a 3% base wage increase. 2) Effective the first payroll following the ratification of the Side Letter Agreement, members of the unit will receive a one -time, non PERSable, 2% bonus, paid at the annual base pay rate. PETALUMA PUBLIC SAFETY MID - MANAGEMENT ASSOCIATION Jeff Holden, Unit 10 Representative Date Tim Lyons, Unit 10 Representative Date CITY OF PETALUMA John C. Brown, City Manager Date Amy M. Reeve, Human Resources Director Date