ABSTRACT: Memorandum of Understanding between The City of Carmel-by-the-Sea and City of Carmel-by-the-Sea Management Employees Unit, an Affiliated Unit of LIUNA/UPEC Local 270 (January 1, 2017 – June 30, 2019) document copy, unsigned, is embedded. HIGHLIGHTS,
including ARTICLE 1: Preamble, ARTICLE 2: Recognition, ARTICLE 3: Term of
Contract, ARTICLE 4: Compensation, ARTICLE 7: Cal-PERS Retirement Plan,
ARTICLE 8, ARTICLE 31: Effect of Agreement and ARTICLE 32: Signatures.
NOTE: CITY
COUNCIL MINUTES
REGULAR MEETING
CARMEL-BY-THE-SEA
Tuesday, June 06, 2017
Item 19: SR 2017-088 Consideration of a Resolution of the City Council of the City of Carmel-by—the-Sea adopting the Memorandum of Understanding (MOU) between the City of Carmel-by- the Sea General employees union – an affiliate of the Laborers’ International Union of North America, United Public Employees of California, LIUNA/UPEC, Local 792, AFL-CIO; and the City of Carmel-by-the-Sea Management Employees Union - an affiliate of the Laborers’ International Union of North America, United Public Employees of California, LIUNA/UPEC, Local 792, AFLCIO. Adopted Resolution 2017-061, 5:0
January 1, 2017 – June 30, 2019
HIGHLIGHTS:
ARTICLE 1: Preamble
This Memorandum
of Understanding (MOU) is made and entered into between the City of
Carmel-by-the-Sea, hereinafter referred to as "CITY," and the City of
Cannel- by-the-Sea Management Employees UNION, an Affiliated Unit of Laborers'
International Union of North America, United Public Employees of California,
LIUNA/UPEC, Local 792, hereinafter referred to as "UNION," pursuant
to California Government Code Section 3500 et seq. The purpose of this MOU is
the establishment of rates of compensation hours of work and other terms and
conditions of employment. Existing practices and/or benefits which are not
referenced in this MOU and which are subject to the meet and confer process
shall continue without change unless modified subject to the meet and confer
process.
ARTICLE 2: Recognition
The City of Carmel-by-the-Sea recognizes the UNION as the exclusive
representative for employees in the following classifications:
City Forester
Associate Planner
Senior Planner
Public Works Superintendent
Facility
Maintenance Supervisor
ARTICLE 3: Term of Contract
3.1 The term of
this MOU shall be from January 1, 2017 through June 30, 2019.
ARTICLE 4: Compensation
Wages:
The hourly
rate salary steps for all classes in this representation unit shall be increased
by two percent (2%), effective January 1, 2017.
The hourly rate
salary steps for all classes in this representation unit shall be increased by
an additional two percent (2%), effective January 1, 2018.
The hourly rate
salary steps for all classes in this representation unit shall be increased by
an additional two percent (2%), effective January 1, 2019.
ARTICLE
7: Cal-PERS Retirement Plan
7.1 Tier I: Bargaining unit members hired on or before November 1, 2011
7.1.1 The
"2% at 55" retirement formula shall be available to bargaining unit
members hired on or before November 1, 2011.
7.1.2 Final
Compensation Based on 12-Month Period
For the purposes of determining a
retirement benefit, fi al compensation for bargaining unit members covered by
this Section mean t e highest consecutive twelve (12) month period.
7.1.3 Required
Member Contributions
Bargaining unit members covered by this
section shall co tinue to pay, through payroll deduction, the 7.0% member
contribution.
7.1.4 Pension
Cost Sharing
Effective November 1, 2015, or when the
PERS contract amendment is processed whichever is sooner, in addition to paying
the 7.0% member contribution, bargaining unit members covered by this Section
shall pay, through payroll deduction, an additional 1.5% of PERSable
compensation towards the City's costs, for a total contribution of 8.5% toward
the normal cost of pension benefits as permitted by Cal. Gov. Code Section
20516.
Effective July 1, 2016, in addition to
paying the 7.0% member contribution, in addition to 1.5% of the employer
contribution, bargaining unit members covered by this Section shall pay,
thorough payroll deduction, an additional 1.5% of PERSable compensation towards
the City's costs, for a total contribution of 10% toward the normal cost of
pension benefits, as permitted by Cal. Gov. Code Section 20516.
The parties acknowledge that CalPERS
mandates an election by unit members, separate from ratification of this MOU,
to provide for this cost sharing pursuant to Cal. Gov. Code Section 20516. As
soon as practicable after the effective date of this MOU, the City will
initiate the PERS contract amendment process. Upon approval and agreement from
the bargaining unit and completion of the City's amendment to the PERS
contract, unit member contributions will be made pursuant to Cal. Gov. Code
Section 20516. If the contract amendment is not complete before the effective
date of the cost sharing described in this Section, the cost sharing shall be
implemented outside of a PERS contract amendment as authorized by Cal. Gov.
Code Section 20516(f). The Union and the City will take all actions necessary
to implement the pension cost sharing agreement described in this Section.
7.2 Tier II: Bargaining Unit Members Hired After November 1, 2011 and Prior to January 1, 2013, and Unit Members Qualified for Reciprocity (Classic Members).
7.2.1 This Section 6.2
(including subsections) shall apply to bargaining unit members hired on or
after November 1, 2011 and prior to January 1, 2013. In addition, this Section
6.2 shall apply to bargaining unit members hired on or after January 1, 2013,
who are qualified for pension reciprocity as stated in Cal. Gov. Code Section
7522.02(c) and related CalPERS reciprocity (Classic Member) requirements.
7.2.2 The "2% at
60" retirement formula shall be available to bargaining unit members
covered by this Section.
7.2.3
Final Compensation Based on Three-Year Final Average Salary
For the purposes of determining a retirement benefit, final compensation for bargaining unit members covered by this Section shall be determined by the average of the final three years of the member's salary.
7.2.4 Required Member Contributions
For the purposes of determining a retirement benefit, final compensation for bargaining unit members covered by this Section shall be determined by the average of the final three years of the member's salary.
7.2.4 Required Member Contributions
Bargaining unit members covered by this
section shall continue to pay, through payroll deduction, the 7.0% member
contribution.
7.2.5 Pension Cost Sharing
7.2.5 Pension Cost Sharing
Effective November 1, 2015, in addition
to paying the 7.0% member contribution, in addition to 1.5% of the employer
contribution, bargaining unit members covered by this Section shall pay, through
payroll deduction, an additional 1.5% of PERSable compensation towards the
City's costs, for a total contribution of 8.5% toward the normal cost of
pension benefits as permitted by Cal. Gov. Code Section 20516.
Effective July 1, 2016, in addition to paying the 7.0% member contribution, bargaining unit members covered by this Section shall pay, thorough payroll deduction, an additional 1.5% of PERSable compensation towards the City's costs, for a total contribution of 10% toward the normal cost of pension benefits, as permitted by Cal. Gov. Code Section 20516.
Effective July 1, 2016, in addition to paying the 7.0% member contribution, bargaining unit members covered by this Section shall pay, thorough payroll deduction, an additional 1.5% of PERSable compensation towards the City's costs, for a total contribution of 10% toward the normal cost of pension benefits, as permitted by Cal. Gov. Code Section 20516.
The parties acknowledge that CalPERS
mandates an election by unit members, separate from ratification of this MOU,
to provide for this cost sharing pursuant to Cal. Gov. Code Section 20516. As
soon as practicable after the effective date of this MOU, the City will
initiate the PERS contract amendment process. Upon approval and agreement from
the bargaining unit and completion of the City's amendment to the PERS
contract, unit member contributions will be made pursuant to Cal. Gov. Code
Section 20516. If the contract amendment is not complete before the effective
date of the cost sharing described in this Section, the cost sharing shall be
implemented outside of a PERS contract amendment as authorized by Cal. Gov.
Code Section 20516(0. The Union and the City will take all actions necessary to
implement the pension cost sharing agreement described in this Section.
7.3 Tier III: PEPRA Retirement Tier Required for Bargaining Unit Members Hired On or After January 1, 2013 (Non-Classic Members)
7.3.1 This Section shall apply to bargaining unit members who were hired on or after January 1, 2013, and who do not qualify for pension reciprocity (non-Classic Members) as stated in Cal. Gov. Code Section 7522.02(c).
7.3.1 This Section shall apply to bargaining unit members who were hired on or after January 1, 2013, and who do not qualify for pension reciprocity (non-Classic Members) as stated in Cal. Gov. Code Section 7522.02(c).
7.3.2 2% at 62 Formula
The "2% at
62" retirement formula will be available to bargaining unit members
covered by this Section.
7.3.3 Final Compensation Based on Three-Year Final Average Salary
For the purposes of determining a
retirement benefit, final compensation for bargaining unit members covered by
this Section shall be determined by the average of the final three years of the
member's salary.
7.3.4 Required Member Contributions
As required by Cal. Gov. Code Section 7522.04(g),
effective January 1, 2013, bargaining unit members covered by this Section
shall pay, through payroll deduction, fifty percent (50%) of normal costs.
7.3.5 Pension Cost Sharing
Effective November 11, 2015, in addition
to paying 50% of normal costs as described above, bargaining unit members
covered by this Section shall pay, through payroll deduction, an additional
1.5% of PERSable compensation toward the City's cost of pension benefits, as
permitted by Cal. Gov. Code Section 20516.
Effective July 1, 2016, in addition to paying 50% of normal costs as described above, bargaining members covered by this Section shall pay, through payroll deduction, an additional 1.5% of PERSable compensation toward the City's normal cost of pension benefits as permitted by Cal Gov. Code Section 20516, for a total of 3.0% of PERSable compensation paid toward the City's costs.
Effective July 1, 2016, in addition to paying 50% of normal costs as described above, bargaining members covered by this Section shall pay, through payroll deduction, an additional 1.5% of PERSable compensation toward the City's normal cost of pension benefits as permitted by Cal Gov. Code Section 20516, for a total of 3.0% of PERSable compensation paid toward the City's costs.
The parties acknowledge that CalPERS
mandates an election of unit members, separate from ratification of this MOU,
to provide for this cost sharing pursuant to Government Code Section 20516. As
soon as practicable after the effective date of this MOU, the City will
initiate the contract amendment process. Upon approval and agreement from the
bargaining unit and completion of the City's amendment to the CalPERS contract,
unit member contributions will be made pursuant to Government Code Section
20516, Unit member Cost Sharing of Additional Benefits. If the contract
amendment is not complete before the effective date of the cost sharing
described in this Section 6.3, the cost sharing shall be implemented outside of
a CalPERS contract amendment as authorized by Government Code Section 20516(f).
The Union and the City will take all actions necessary to implement the pension
cost sharing agreement described in this Section 6.3.
As permitted by Internal Revenue Code Section 414(h)(2) and Government Code Section 20516, each unit member shall pay through payroll deductions the PERS contributions described in Section 6 with state and federal income tax on the PERS member contribution deferred to the extent permitted by law, including but not limited to, Internal Revenue Code, 26 USC Section 414(h)(2).
As permitted by Internal Revenue Code Section 414(h)(2) and Government Code Section 20516, each unit member shall pay through payroll deductions the PERS contributions described in Section 6 with state and federal income tax on the PERS member contribution deferred to the extent permitted by law, including but not limited to, Internal Revenue Code, 26 USC Section 414(h)(2).
7.3.6 The City
shall provide bargaining unit members with those optional benefits which it has elected to provide to bargaining unit members in its contract with CalPERS and
in accordance with the Public Employees Retirement Law.
ARTICLE
8:
8.1 Effective the first pay period after adoption by the City Council of this MOU, the City shall contribute $1 per hour worked, excluding overtime, to the Laborer’s International Union of North America, National (Industrial) Pension Fund, on behalf of each eligible employee who is: 1) represented by the Union, and 2) regularly scheduled to work twenty (20) hours or more per week.
ARTICLE 31: Effect of Agreement
ARTICLE 32:
Signatures
32.1 For the
City of Carmel-by-the-Sea:
Chip Rerig, City
Administrator Dated
32.2 32.1 For the Carmel-by-the-Sea General Employees Association:
Ryan Heron,
Chief Negotiator Dated
United Public Employees of California—Local 792
Margi
Perotti Dated
Unit
Member Negotiator
General
Chris
Darker, Business Manager Dated
United
Public Employees of California Local 792
General
Mike
Branson Dated
Unit
Member Negotiator
Management
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