REPORT TO THE CITY COUNCIL
October 13, 2016
FROM: JEFF CARDELL, Director
Personnel Services Department
BY: KEN PHILLIPS, Labor Relations Manager
Personnel Services Department
SUBJECT
Title
Actions pertaining to the City of Fresno and the International Association of Fire Fighters (IAFF), Local 753 for Unit 10
1. ***Adopt a successor Memorandum of Understanding between the City of Fresno and the International Association of Fire Fighters (IAFF), Local 753 for Unit 10 - Fire Management, effective October 17, 2016
2. ***RESOLUTION - 8th amendment to FY 2017 Salary Resolution No. 2016-120, amending salaries in Exhibit 10, Unit 10, Fire Management, as required by adoption of the successor Memorandum of Understanding between the City of Fresno and the International Association of Fire Fighters (IAFF), Local 753 for Unit 10
Body
RECOMMENDATIONS
It is recommended Council: (1) approve the attached Memorandum of Understanding (MOU) to implement wages, hours and other terms and conditions of employment for City employees in Unit 10, Fire Management, represented by IAFF Local 753; and, (2) adopt the Eighth Amendment to Salary Resolution No. 2016-120 amending salaries in Exhibit 10.
EXECUTIVE SUMMARY
The City and IAFF, Local 753 have reached tentative agreement on a successor MOU. The Unit has ratified the tentative agreement. The term of the MOU is from October 17, 2016 through June 30, 2018, and it includes a number of changes in terms and conditions of employment including wage increases and increased payments to the pension plan by new employees. Council is also asked to approve the Eighth Amendment to FY 2017 Salary Resolution No. 2016-120, amending Exhibit 10 to implement salaries as stated in the MOU.
BACKGROUND
The City and the Unit started meeting on July 6, 2016 to work towards reaching agreement on a successor MOU. The parties reached a tentative agreement on August 29, 2016. Members of the Unit ratified the tentative agreement on September 6, 2016.
Major points of the attached MOU are summarized below.
• Term: October 17, 2016 through June 30, 2018
• Wages:
o 2% wage increase effective October 17, 2016
o 3% wage increase effective January 1, 2018
• Pension:
o Employees hired on or after July 14, 2014, will pay 3% of the City’s pension costs for a total of 12%
o The City and the Unit will work towards changes to FMC to allow employee payments of City share of pension to become employee payments
• Health and Welfare: Incorporate a Side Letter of Agreement into the MOU
• Working Additional Shifts:
o The City and the Unit agree to a reopener on Department policy on Mandatory Shifts
o When a Mandatory Shifts policy goes into effect, or six months after approval of the MOU, whichever comes first, the basis of payment for working additional shifts will increase from Captain F Step, to C Step of the employee’s rank
• Mutual Aid Agreements/Overhead Replacement Pay: Members temporarily assigned to another agency through an agreement shall receive overhead replacement pay consistent with Premium Pay Section F 1.
• Holiday Leave: Increase accrual from 12 hours per month to 13 hours per month
• Sick Leave Benefit at time of DROP or at Retirement:
o Extend the existing additional benefit for employees in DROP of including 50% of the employee’s unused sick leave balance to the pension contribution amount to those who retire but do not enter DROP
o For new employees hired after October 17, 2016, limit use of sick leave for the Health Reimbursement Arrangement (HRA) to no more than the amount used for the Sick Leave Benefit
• HRA: Count all sick leave hours at 50% instead of 40% after discarding the first 240 hours
• The parties agree to discussions on possible changes to Personnel and Civil Service provisions of the Fresno Municipal Code.
The attached Eighth Amendment to the Salary Resolution implements the wage increases identified in the agreement by amending Exhibit 10.
The City Attorney’s Office has approved the new MOU and Salary Resolution Amendment 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
Approval of the MOU and Salary Resolution Amendment will result in additional costs of approximately $70,467 to all funds and approximately $48,233 to the General Fund in Fiscal Year 2017, approximately $197,972 to all funds and approximately $159,539 to the General Fund in Fiscal Year 2018.
Attachments:
City of Fresno - IAFF Local 753 Management Unit MOU - Redline
City of Fresno - IAFF Local 753 Management Unit MOU
8th Amendment to FY 2017 Salary Resolution No. 2016-120
Costing for Proposed MOU