REPORT TO THE CITY COUNCIL
June 21, 2018
FROM: Jeff Cardell, Director
Personnel Services Department
SUBJECT
Title
***RESOLUTION - Adopt the Fiscal Year 2019 Salary Resolution. (Subject to Mayor’s veto)
Body
RECOMMENDATION
It is recommended that the City Council adopt the Fiscal Year 2019 Salary Resolution.
EXECUTIVE SUMMARY
The proposed Fiscal Year 2019 Salary Resolution reflects a number of changes such as reducing the amount of time employees in Exhibit 2 need to qualify for Acting pay; adding provisions on converting leave banks when moving to a different bargaining unit; modifying language on provisions for military service; adding sections on bereavement leave and benchmarking deleted classifications and, including salary adjustments which have been negotiated with respective bargaining units or are supported by the California minimum wage increase.
BACKGROUND
The Salary Resolution of the City of Fresno establishes rules for the application of City employee compensation rates and schedules and related requirements, as well as exhibiting the monthly compensation rates which have already been authorized by the City Council. Except where there is conflict with a Memorandum of Understanding or Terms and Conditions of Employment, the provisions contained in the Salary Resolution shall apply.
Each year the Salary Resolution is updated to reflect changes in law, minimum wage and other salary adjustments as well as modify language to ensure the respective provisions are clear.
The following summarizes the significant changes incorporated in the proposed Fiscal Year 2019 Salary Resolution:
Throughout: Gender neutrality throughout the document, gender specific references were changed to gender neutral in keeping with state legislation.
Section 1 and throughout: Since this section indicates that any items in the Salary Resolution are applicable unless modified by an applicable Memorandum of Understanding (MOU) or Terms and Conditions (T & C), all subsequent references to MOUs or T & C were removed as unnecessary.
Section 2:
• The second paragraph in subsection G was labeled as subsection H and all subsequent subsections in Section 2 were updated accordingly.
• Language on Y-rating was modified to refine and clarify when Y-rating ceases.
• New language clarifies the types of statutorily protected leave that are not counted when determining if leave without pay delays a step increase, consistent with the City’s past practice.
• The Acting Pay eligibility time period for employees in classes identified in Exhibit 2 was changed from 10 full working days to 40 hours. The change was made in recognition of different work shifts and is consistent with other bargaining units.
Section 4: Clean up language notes that the provision applies to employees who are exempt from the overtime provisions of the Fair Labor Standards Act (FLSA).
Section 6: The second sentence in the paragraph on flexible staffing was removed because it was not necessary.
Section 8:
• The title was revised for clarity.
• Language for non-exempt employees, who are in limited or provisional appointments in exempt positions, was changed in recognition of different management leave earnings in different bargaining units. The new language calls for proportional earning of management leave rather than a specific amount.
Section 9: The word “family” has been removed to reflect changes in the law which allow protected sick leave for an employee as well as family members.
Section 10:
• The provision on Annual Leave Pay Out was deleted because it is duplicated in Section 21.
• The provisions on Vacation Balances Unused and Sick Leave Balances Unused were moved to Section 21.
• Subsections were renumbered accordingly.
Section 11: The time period in which employees in Exhibit 2 are permitted to cash out holiday leave was changed to be consistent with cash out provisions for employees in Exhibit 14.
Section 12: The section was revised to provide consistency in the application of supplemental sick leave provisions for Exhibit 2 that mirrors bargaining units.
Section 17: A provision ceasing bilingual premium pay if an employee is absent from work for more than 30 days is removed. Bilingual premium pay will be discontinued when an employee is on leave without pay consist with past practice.
Section 18:
• Consistent with provisions for other bargaining units, this subsection provides that employees who move to positions in Exhibit 2 who are paying an additional 1.5% towards their pension, continue the contribution, and that employees moving to positions in Exhibit 2 who are not paying an additional 1.5% towards their pension will not start paying the additional contribution.
• Consistent with other bargaining units, added Bereavement Leave to the list of leaves which do not count towards the hours of sick leave used in the last two years before retirement in regard to eligibility for an HRA. Language on eligibility at the end of the subsection was edited for clarity.
Section 19:
• The language in this section was modified to expressly describe how the deferred compensation provision is implemented.
Section 20:
• The title of Section 20 was revised to more accurately reflect the Section contents.
• Language was added in conformance with AB 1522, the Healthy Families, Healthy Workplaces Act of 2014 regarding the restoration of sick leave for individuals who return to City employment within one year of separation.
• The title of subsection C was revised for clarity.
Section 21:
• The Section was expanded to include procedures for converting or transferring leave banks whenever an employee moves from one unit to another unit. The title was revised to accurately describe the expanded Section.
• Where leave types match, e.g. Vacation to Vacation, Sick Leave to Sick Leave, existing leave balances are maintained. The same applies to Management and Administrative Leave. This reflects current practice.
• Formerly subsection A language was updated to reflect the current practice.
• Employees with Sick Leave who move to a unit with Annual Leave will have the Sick Leave transferred to Frozen Sick Leave. This reflects current practice.
• Employees who have Supplemental Sick leave balances and move to a unit with no Supplemental Sick Leave can either cash out the balance or maintain the leave balances. If the leave is maintained it can be used after all Sick Leave is exhausted or will be cashed out when the employee leaves City service.
• Employees with Supplemental Management/Administrative Leave balances who move to a unit with no such leave must use the leave before the end of the fiscal year or the leave is forfeited.
• Employees who have Employee Incentive Time Off (EITO) balances and move to a Unit with no EITO will have all EITO accrued time cashed out at the rate of pay of the former class.
• Employees with Compensatory Time Off (CTO) balances who move to a unit with no CTO will have all CTO balances cashed out at the rate of pay of the former class. If the employee moves to a unit with CTO, balances will be transferred subject to any restrictions in the new unit. If the balances exceed a cap on CTO earnings in the new unit, any balances over the cap will be cashed out at the rate of pay of the former class.
• Formerly subsection B. The first paragraph has language cleanup for consistency and clarity. New paragraphs were added in regard to leave caps for Sick Leave, Holiday Leave and Special Holiday Leave.
Section 22: Language was modified to eliminate reference to Middle Eastern conflicts in particular, in order to provide equal treatment to active military deployments of more than 31 days.
Section 23: This is a new section. The previous Section 23, Unusual Circumstances, becomes Section 26. Section 23 allows employees who use sick leave for bereavement to use it for the same family members defined under sick leave usage.
Section 25: This is a new section referring to benchmarked classes which will coincide with new Exhibit 16. FMC Section 3-205 calls for deleted classes to be benchmarked by Council for use by Retirement when employees have qualifying service in those deleted classes.
Renumbered Sections:
• Section 23 becomes Section 26.
• Section 25 becomes Section 27.
• New Section 28 previously Section 26.
Exhibits 1, 4, 7, 9, 10, 11, 14, and 15: Modifies pay ranges pursuant to negotiated increases previously approved by Council with their respective successor MOU adoptions.
Exhibit 2: The minimum and the maximum of the respective salary ranges have been increased generally by 2.5%. In addition, it is recommended that the Salary Range assignment be increased for the Retirement Administrator, City Clerk, Independent Reviewer, Budget Analyst, Internal Auditor and Management Analyst.
Exhibit 8: Adjusts pay ranges effective January 1, 2019, consistent with an increase to the California minimum wage for classes of: Cashier Clerk, Lifeguard, Senior Lifeguard, Pool Supervisor, Police Cadet I, Police Cadet II, Services Aide, Sports Official and Student Aide II. Clarifies the tenure period for Police Cadet I and II in the Police Cadet program.
The City provided notice to the bargaining units regarding the benchmarking in Exhibit 16 and has concluded its notice and meet and confer obligations. The City Attorney’s Office has approved the FY 2019 Salary Resolution as to form.
ENVIRONMENTAL FINDINGS
By the definition provided in the California Environmental Quality Act Guidelines Section 15378 this item does not qualify as a “project” and is therefore exempt from the California Environmental Quality Act requirements.
LOCAL PREFERENCE
Local preference is not implicated because this item does not involve public contracting or bidding with the City of Fresno
FISCAL IMPACT
Adoption of the Salary Resolution will result in increased salary and benefit expenses in the General Fund of approximately $18,564 over the current fiscal year. These increases have been included in the Mayor’s Proposed Budget.
Attachments:
Final Version of FY 2019 Salary Resolution
Redlined Version of FY 2019 Salary Resolution