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R 4101RESOLUTION NO. 4101 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE APPROVING A SIDE LETTER OF AGREEMENT TO THE SERVICE EMPLOYEES INTERNATIONAL UNION LOCAL 620 MEMORANDUM OF UNDERSTANDING WHEREAS, the City Council of the City of Arroyo Grande ("City") deems it in the best interest of the City to approve a side letter of agreement extending the Service Employees International Union Local 620 current Memorandum of Understanding for one additional year, and which also includes modifications to salaries and benefits, as hereinafter provided. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Arroyo Grande that: An amendment to the Memorandum of Understanding ("MOU") with the Service Employees International Union Local 620 ("SEIU") is hereby approved, a copy of said amendment entitled "Side Letter of Agreement, Modification to Memorandum of Understanding" is attached hereto, marked Exhibit "A", and incorporated herein by this reference. 2. This Resolution shall become effective July 1, 2008. On motion of Council Member Costello, seconded by Council Member Guthrie, and on the following roll call vote, to wit: AYES: Council Members Costello, Guthrie, Arnold, Fellows, and Mayor Ferrara NOES: None ABSENT: None the foregoing Resolution was passed and adopted this 24~h day of June 2008. RESOLUTION NO. ~Il~l PAGE 2 TONY R AYOR ATTEST: KELLY V1~TMORE. CITY CLERK APPROVED AS TO CONTENT: S~E'I~EN ADAMS, CITY MANAGER APPROVED AS TO FORM: TIIIffOTHY J. CA L, CITY ATTORNEY Exhibit "A" SIDE LETTER OF AGREEMENT MODIFICATION TO MEMORANDUM OF UNDERSTANDING For valuable consideration, the receipt and sufFciency of which is hereby acknowledged, the City of Arroyo Grande ("City") and the Service Employees International Union Local 620 Arroyo Grande Chapter ("Union") do hereby agree to modify the current Memorandum of Understanding ("MOU") between the City and the Union as follows: ARTICLE 1. TERM OF MEMORANDUM OF UNDERSTANDING The term of Memorandum of Understanding shall be extended to June 30, 2010, and thereafter shall continue from year to year. Either party may request modification by March 15, 2010, in which event, meeting and conferring shall begin no later than April 15, 2010. ARTICLE 7. WAGES/INCREASES F. FISCAL YEAR 2008-09 Exhibit "F" to the MOU shall be modified to eliminate the 4.0% increase effective July 1, 2008 and instead include a 2.5% "Cost of Living Adjustment", for all represented classifications, effective June 27, 2008 as shown in Attachment 1. Attachment 1 shall be further modified to include a 1.5% "Cost of Living Adjustment", for all represented classifications, effective December 26, 2008 as shown in Attachment 2. If any other City of Arroyo Grande labor group receives a salary adjustment that exceeds 2.5% in Fiscal Year 2008-09 prior to December 26, 2008, the modifications set forth in this section (Article 7, Section F) shall be null and void and the original terms of the MOU regarding the "Cost of Living Adjustment" in FY 2008-09 will remain in effect. H. FISCAL YEAR 2009-10 Attachment 2 shall be modified to include a 5% "Cost of Living Adjustment", for all represented classifications, effective December 25, 2009 as shown in Attachment 3. I. OTHER ADJUSTMENTS If pay increases are provided to any other City of Arroyo Grande labor groups in Fiscal Year 2009-10 earlier than December 25, 2009 or that are greater than 5% for management or I.A.F.F., 5.5% for AGPOA sworn, or 6.5% for AGPOA non-sworn, Fiscal Year 2009-10 increases for all employees represented by Union will be adjusted to be equal to the timing and/or greatest percentage amount of those increases. This provision shall not apply to inequity adjustments for individual classifications that are deemed necessary due to salary compaction issues with other classifications. Side Letter of Agreement Page 2 ARTICLE 10. MEDICAL INSURANCE 10.1 Medical Insurance Benefits A. For the period of July 1, 2008 through December 31, 2008, the City shall pay the monthly premium to a maximum of $426.26 with respect to an employee enrolled for self alone, $852.52 for an employee enrolled for self and one family member, and $1,108.26 for an employee enrolled for self and two or more family members. B. The base medical plan shall be defined as the Health Maintenance Organization (HMO) program available to the City. If availability of an HMO to the City is discontinued by the medical plan provider, the base plan will become the basic PPO plan available to the City by the existing medical plan provider. C. The City will maintain health benefits through CaIPERS for calendar year 2009. D. Employees who waive medical coverage because he/she provided the City with written proof that medical insurance coverage is in force through coverage provided by another source, consistent with any rules or restrictions on the City by the medical plan provider, can receive the dollar amount provided to employees enrolled for self alone in the base plan (taxable income), deposit it into their 457 plan, or use it to purchase voluntary products. 10.6 Cafeteria Plan A. Effective January 1, 2009, the City shall contribute an equal amount towards the cost of medical coverage under the Public Employee's Medical and Hospital Care Act (PEMHCA) for both active employees and retirees. The City's contribution toward coverage under PEMHCA shall be the minimum contribution amount established by CaIPERS on an annual basis. Effective January 1, 2009, the City's contribution under PEMHCA shall be $101.00. B. Effective January 1, 2009, employees participating in the City's full flex cafeteria plan shall receive a flex dollar allowance to purchase group health coverage under the City's Cafeteria Plan. For the period of January 1, 2009 through December 31, 2009, the flex dollar allowance shall be equal to the maximum amount paid by the City for medical, dental and vision insurance premiums for the period of July 1, 2008 through December 31, 2008, based on the employee's status of coverage for self alone, employee plus one, or family coverage, plus 75% of any increase to the medical premiums for the base plan and 100% of any increase to the dental and vision insurance premiums. Side Letter of Agreement Page 3 ARTICLE 10. MEDICAL INSURANCE (continued) C. For the period of January 1, 2010 through June 30, 2010, the flex dollar allowance shall be the amount in effect on December 31, 2009 plus 75% of any increase to the medical premiums for the base plan and 100% of any increase to the dental and vision insurance premiums. D. A portion of the flex dollar allowance ($101.00) is identified as the City's contribution towards PEMHCA. This amount will be adjusted on an annual basis as the PEMHCA minimum contribution increases. Remaining flex dollars must be used by employees to participate in the City's health plans. Employees who waive medical coverage under the Cafeteria Plan because he/she provided the City with written proof that medical insurance coverage is in force through coverage provided by another source consistent with any rules or restrictions on the City by the medical plan provider, can take flex dollars for the amount provided to employees enrolled for self alone (taxable income), deposit it into their 457 plan, or use it to purchase voluntary products. No remaining flex dollars may be redeemed. ARTICLE 16. RETIREMENT 16.3 Retiree Medical A. Employees who retire from City service will be allowed to purchase medical insurance coverage through the City. B. For the period of July 1, 2008 through December 31, 2008, the City shall participate in the PERS unequal contribution option. C. GC Section 22892. Effective January 1, 2009, the City's contribution shall be an equal amount for both employees and annuitants, which shall be the minimum contribution amount established by CaIPERS on an annual basis. During calendar year 2009, that amount shall be $101 per month. Commencing January 1, 2010, the City's contribution shall be adjusted annually by the CaIPERS Board to reflect any change in the medical care component of the Consumer Price Index, provided that the City is participating in the CaIPERS Health Plan. D. Effective January 1, 2009, the City shall provide a supplemental contribution to employees that are: 1) employed on a full-time basis as of June 30, 2008 and who have been employed with the City on a full-time basis for five (5) years or more at the time of retirement; or 2) employed on a full-time basis after June 30, 2008 and who have been employed by the City on a full-time basis for ten (10) years or more at the time of retirement. Side Letter of Agreement Page 4 ARTICLE 16. RETIREMENT (continued) The supplemental contribution shall be equal to the difference between the minimum contribution amount established by CaIPERS as set forth above in Article 16.3, Section C and the following amounts: For single annuitant coverage: $170.51 For annuitant + 1 dependent: $301.17 For annuitant + 2 or more dependents: $365.24 If employee retirement medical benefits based on a different methodology that arrive at amounts greater than those in effect on July 1, 2008 are provided to management or any other City employee bargaining unit during the term of this MOU, then the City and Union shall reopen negotiations to meet and confer on providing employee retiree medical benefit amounts consistent with the methodology used to calculate the retiree medical benefit amounts for management or the bargaining unit receiving the greater amount of retiree medical benefits. For City of Arroyo Grande Date For Local 620, Service Employees International Union, Arroyo Grande Chapter Date Attachment 1 CITY OF ARROYO GRANDE SCHEDULE OF SALARY RANGES-SEIU 6/27/2008 2.50% 2.50% 2.50% 2.50% 2.50% RANGE A B C D E 11 2309 2425 2547 2672 2807 New 2367 2486 2611 2739 2877 12 2365 2485 2609 2740 2875 New 2424 2547 2674 2809 2947 13 2426 2548 2674 2808 2949 New 2487 2612 2741 2878 3023 14 2486 2610 2741 2877 3021 New 2548 2675 2810 2949 3097 Office Assistant I 15 2550 2676 2810 2951 3098 Account Clerk I New 2614 2743 2880 3025 3175 Facility Coordinator 16 2611 2742 2879 3023 3175 New 2676 2811 2951 3099 3254 Maintenance Worker I 17 2678 2811 2952 3099 3255 New 2745 2881 3026 3176 3336 18 2743 2880 3024 3177 3335 New 2812 2952 3100 3256 3418 Office Assistant II 19 2812 2953 3100 3256 3419 New 2882 3027 3178 3337 3504 20 2883 3026 3179 3338 3503 Maintenance Worker II New 2955 3102 3258 3421 3591 Child Care Coordinator 21 2954 3102 3259 3421 3593 Account Clerk II New 3028 3180 3340 3507 3683 22 3028 3181 3341 3506 3683 New 3104 3261 3425 3594 3775 23 3104 3261 3424 3596 3775 New 3182 3343 3510 3686 3869 Attachment 1 CITY OF ARROYO GRANDE SCHEDULE OF SALARY RANGES-SEIU 6/27/2008 2.50% 2.50% 2.50% 2.50% 2.50% RANGE A B C D E 24 3183 3343 3510 3685 3870 Bldg. Permit Tech. New 3263 3427 3598 3777 3967 Senior Accounting Clerk 25 3262 3425 3597 3780 3966 Admin. Secretary New 3344 3511 3687 3875 4065 Maint. Worker III Sports Facilities Coord. 26 3344 3512 3686 3871 4065 New 3428 3600 3778 3968 4167 Engineering Tech. 27 3428 3600 3782 3968 4166 New 3514 3690 3877 4067 4270 water Services Worker 28 3514 3689 3873 4067 4271 New 3602 3781 3970 4169 4378 29 3602 3784 3971 4168 4376 Engineering Asst. New 3692 3879 4070 4272 4485 30 3691 3876 4070 4273 4486 PW 8 Parks Lead Person New 3783 3973 4172 4380 4598 Fleet Maint. Coordinator 31 3785 3972 4172 4381 4597 New 3880 4071 4276 4491 4712 32 3878 4072 4275 4489 4715 New 3975 4174 4382 4601 4833 33 3974 4174 4383 4604 4833 New 4073 4278 4493 4719 4954 Building Inspector 34 4074 4277 4492 4718 4953 Recreation Supervisor New 4176 4384 4604 4836 5077 Public Works Inspector 35 4176 4386 4606 4835 5077 New 4280 4496 4721 4956 5204 36 4280 4494 4720 4956 5203 PW & Parks Supervisor New 4387 4606 4838 5080 5333 Assistant Engineer Attachment 1 CITY OF ARROYO GRANDE SCHEDULE OF SALARY RANGES-SEIU 6/27/2008 2.50% 2.50% 2.50% 2.50% 2.50% RANGE A B C D E 37 4388 4608 4837 5081 5335 New 4498 4723 4958 5208 5468 38 4497 4724 4958 5205 5467 New 4609 4842 5082 5335 5604 39 4610 4839 5084 5337 5604 New 4725 4960 5211 5470 5744 40 4725 4960 5208 5469 5744 New 4843 5084 5338 5606 5888 41 4842 5086 5340 5607 5887 New 4963 5213 5474 5747 6034 42 4963 5211 5472 5747 6032 New 5087 5341 5609 5891 6183 43 5089 5345 5610 5891 6184 Associate Engineer New 5216 5479 5750 6038 6339 44 5216 5477 5752 6037 6340 New 5346 5614 5896 6188 6499 45 5349 5616 5897 6189 6498 New 5483 5756 6044 6344 6660 46 5481 5757 6042 6344 6664 New 5618 5901 6193 6503 6831 Senior Engineer 47 5618 5899 6195 6504 6829 New 5758 6046 6350 6667 7000 48 5761 6049 6351 6669 7002 New 5905 6200 6510 6836 7177 49 5902 6201 6509 6833 7175 New 6050 6356 6672 7004 7354 Attachment 1 CITY OF ARROYO GRANDE SCHEDULE OF SALARY RANGES-SEIU 6/27/2008 2.50% 2.50% 2.50% RANGE A B C 50 6052 6355 6673 New 6203 6514 6840 2.50% 2.50% D E 7005 7354 7180 7538 Y25 New Y30 New 4019 MW III 4119 4535 P.W. Leadperson (Y rated) 4648 Attachment 2 CITY OF ARROYO GRANDE SCHEDULE OF SALARY RANGES-SEIU 12/26/2008 1.50% 1.50% 1.50% 1.50% 1.50% RANGE A B C D E 11 2367 2486 2611 2739 2877 New 2403 2523 2650 2780 2920 12 2424 2547 2674 2809 2947 New 2460 2585 2714 2851 2991 13 2487 2612 2741 2878 3023 New 2524 2651 2782 2921 3068 14 2548 2675 2810 2949 3097 New 2586 2715 2852 2993 3143 Office Assistant I 15 2614 2743 2880 3025 3175 Account Clerk I New 2653 2784 2923 3070 3223 Facility Coordinator 16 2676 2811 2951 3099 3254 New 2716 2853 2995 3145 3303 Maintenance Worker I 17 2745 2881 3026 3176 3336 New 2786 2924 3071 3224 3386 18 2812 2952 3100 3256 3418 New 2854 2996 3147 3305 3469 Office Assistant II 19 2882 3027 3178 3337 3504 New 2925 3072 3226 3387 3557 20 2955 3102 3258 3421 3591 Maintenance Worker II New 2999 3149 3307 3472 3645 Child Care Coordinator 21 3028 3180 3340 3507 3683 Account Clerk II New 3073 3228 3390 3560 3738 22 3104 3261 3425 3594 3775 New 3151 3310 3476 3648 3832 23 3182 3343 3510 3686 3869 New 3230 3393 3563 3741 3927 Attachment 2 CITY OF ARROYO GRANDE SCHEDULE OF SALARY RANGES-SEIU 12/26/2008 1.50% 1.50% 1.50% 1.50% 1.50% RANGE A B C D E 24 3263 3427 3598 3777 3967 Bldg. Permit Tech. New 3312 3478 3652 3834 4027 Senior Accounting Clerk 25 3344 3511 3687 3875 4065 Admin. Secretary New 3394 3564 3742 3933 4126 Maint. Worker III Sports Facilities Coord. 26 3428 3600 3778 3968 4167 New 3479 3654 3835 4028 4230 Engineering Tech. 27 3514 3690 3877 4067 4270 New 3567 3745 3935 4128 4334 Water Services Worker 28 3602 3781 3970 4169 4378 New 3656 3838 4030 4232 4444 29 3692 3879 4070 4272 4485 Engineering Asst. New 3747 3937 4131 4336 4552 30 3783 3973 4172 4380 4598 PW & Parks Lead Person New 3840 4033 4235 4446 4667 Fleet Maint. Coordinator 31 3880 4071 4276 4491 4712 New 3938 4132 4340 4558 4783 32 3975 4174 4382 4601 4833 New 4035 4237 4448 4670 4905 33 4073 4278 4493 4719 4954 New 4134 4342 4560 4790 5028 Building Inspector 34 4176 4384 4604 4836 5077 Recreation Supervisor New 4239 4450 4673 4909 5153 Public Works Inspector 35 4280 4496 4721 4956 5204 New 4344 4563 4792 5030 5282 36 4387 4606 4838 5080 5333 PW & Parks Supervisor New 4453 4675 4911 5156 5413 Assistant Engineer Attachment 2 CITY OF ARROYO GRANDE SCHEDULE OF SALARY RANGES-SEIU 12/26/2008 1.50% 1.50% 1.50% 1.50% 1.50% RANGE A B C D E 37 4498 4723 4958 5208 5468 New 4565 4794 5032 5286 5550 38 4609 4842 5082 5335 5604 New 4678 4915 5158 5415 5688 39 4725 4960 5211 5470 5744 New 4796 5034 5289 5552 5830 40 4843 5084 5338 5606 5888 New 4916 5160 5418 5690 5976 41 4963 5213 5474 5747 6034 New 5037 5291 5556 5833 6125 42 5087 5341 5609 5891 6183 New 5163 5421 5693 5979 6276 43 5216 5479 5750 6038 6339 Associate Engineer New 5294 5561 5836 6129 6434 44 5346 5614 5896 6188 6499 New 5426 5698 5984 6281 6596 45 5483 5756 6044 6344 6660 New 5565 5842 6135 6439 6760 46 5618 5901 6193 6503 6831 New 5702 5990 6286 6601 6933 Senior Engineer 47 5758 6046 6350 6667 7000 New 5844 6137 6445 6767 7105 48 5905 6200 6510 6836 7177 New 5994 6293 6608 6939 7285 49 6050 6356 6672 7004 7354 New 6141 6451 6772 7109 7464 Attachment 2 CITY OF ARROYO GRANDE SCHEDULE OF SALARY RANGES-SEIU 12/26/2008 1.50% 1.50% 1.50% 1.50% 1.50% RANGE A B C D E 50 6203 6514 6840 7180 7538 New 6296 6612 6943 7288 7651 Y25 4119 MW III New 4181 Y30 4648 P.W. Leadperson (Y rated) New 4718 Attachment 3 CITY OF ARROYO GRANDE SCHEDULE OF SALARY RANGES-SEIU 12/25/2009 5.00% 5.00% 5.00% 5.00% 5.00% RANGE A B C D E 11 2403 2523 2650 2780 2920 New 2523 2649 2783 2919 3066 12 2460 2585 2714 2851 2991 New 2583 2714 2850 2994 3141 13 2524 2651 2782 2921 3068 New 2650 2784 2921 3067 3221 14 2586 2715 2852 2993 3143 New 2715 2851 2995 3143 3300 Office Assistant I 15 2653 2784 2923 3070 3223 Account Clerk I New 2786 2923 3069 3224 3384 Facility Coordinator 16 2716 2853 2995 3145 3303 New 2852 2996 3145 3302 3468 Maintenance Worker I 17 2786 2924 3071 3224 3386 New 2925 3070 3225 3385 3555 18 2854 2996 3147 3305 3469 New 2997 3146 3304 3470 3642 Office Assistant II 19 2925 3072 3226 3387 3557 New 3071 3226 3387 3556 3735 20 2999 3149 3307 3472 3645 Maintenance worker II New 3149 3306 3472 3646 3827 Child Care Coordinator 21 3073 3228 3390 3560 3738 Account Clerk II New 3227 3389 3560 3738 3925 22 3151 3310 3476 3648 3832 New 3309 3476 3650 3830 4024 23 3230 3393 3563 3741 3927 New 3392 3563 3741 3928 4123 Attachment 3 CITY OF ARROYO GRANDE SCHEDULE OF SALARY RANGES-SEIU 12/25/2009 5.00% 5.00% 5.00% 5.00% 5.00% RANGE A B C D E 24 3312 3478 3652 3834 4027 Bldg. Permit Tech. New 3478 3652 3835 4026 4228 Senior Accounting Clerk 25 3394 3564 3742 3933 4126 Admin. Secretary New 3564 3742 3929 4130 4332 Maint. Worker III Sports Facilities Coord. 26 3479 3654 3835 4028 4230 New 3653 3837 4027 4229 4442 Engineering Tech. 27 3567 3745 3935 4128 4334 New 3745 3932 4132 4334 4551 water Services Worker 28 3656 3838 4030 4232 4444 New 3839 4030 4232 4444 4666 29 3747 3937 4131 4336 4552 Engineering Asst. New 3934 4134 4338 4553 4780 30 3840 4033 4235 4446 4667 PW & Parks Lead Person New 4032 4235 4447 4668 4900 Fleet Maint. Coordinator 31 3938 4132 4340 4558 4783 New 4135 4339 4557 4786 5022 32 4035 4237 4448 4670 4905 New 4237 4449 4670 4904 5150 33 4134 4342 4560 4790 5028 New 4341 4559 4788 5030 5279 Building Inspector 34 4239 4450 4673 4909 5153 Recreation Supervisor New 4451 4673 4907 5154 5411 Public Works Inspector 35 4344 4563 4792 5030 5282 New 4561 4791 5032 5282 5546 36 4453 4675 4911 5156 5413 PW 8 Parks Supervisor New 4676 4909 5157 5414 5684 Assistant Engineer Attachment 3 CITY OF ARROYO GRANDE SCHEDULE OF SALARY RANGES-SEIU 12/25/2009 5.00% 5.00% 5.00% 5.00% 5.00% RANGE A B C D E 37 4565 4794 5032 5286 5550 New 4793 5034 5284 5550 5828 38 4678 4915 5158 5415 5688 New 4912 5161 5416 5686 5972 39 4796 5034 5289 5552 5830 New 5036 5286 5553 5830 6122 40 4916 5160 5418 5690 5976 New 5162 5418 5689 5975 6275 41 5037 5291 5556 5833 6125 New 5289 5556 5834 6125 6431 42 5163 5421 5693 5979 6276 New 5421 5692 5978 6278 6590 43 5294 5561 5836 6129 6434 Associate Engineer New 5559 5839 6128 6435 6756 44 5426 5698 5984 6281 6596 New 5697 5983 6283 6595 6926 45 5565 5842 6135 6439 6760 New 5843 6134 6442 6761 7098 46 5702 5990 6286 6601 6933 New 5987 6290 6600 6931 7280 Senior Engineer 47 5844 6137 6445 6767 7105 New 6136 6444 6767 7105 7460 48 5994 6293 6608 6939 7285 New 6294 6608 6938 7286 7649 49 6141 6451 6772 7109 7464 New 6448 6774 7111 7464 7837 Attachment 3 CITY OF ARROYO GRANDE SCHEDULE OF SALARY RANGES-SEIU 12/25/2009 5.00% 5.00% 5.00% RANGE A B C 50 6296 6612 6943 New 6611 6943 7290 5.00% 5.00% D E 7288 7651 7652 8034 Y25 New Y30 New 4181 MW III 4390 4718 P.W. Leadperson (Y rated) 4954 OFFICIAL CERTIFICATION I, KELLY WETMORE, City Clerk of the City of Arroyo Grande, County of San Luis Obispo, State of California, do hereby certify under penalty of perjury, that the attached Resolution No. 4107 is a true, full, and correct. copy of said Resolution passed and adopted at a regular meeting of the City Council of the City of Arroyo Grande on the 24~h day of June 2008. WITNESS my hand and the Seal of the City of Arroyo Grande affixed this 25t" day of June 2008. KELLY ET RE, CITY CLERK