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HomeMy WebLinkAbout09 - Tentative Agreement with Newport Beach Police Management Association (NBPMA)TO: FROM: CITY OF NEWPORT BEACH City Council Staff Report January 22, 2019 Agenda Item No. 9 HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL Grace K. Leung, City Manager, 949-644-3001, gleunq�newportbeachca.gov Barbara J. Salvini, Human Resources Director, 949-644-3259, bsalvini newportbeachca.gov PREPARED BY: Barbara J. Salvini, Human Resources Director PHONE: 949-644-3259 TITLE: Tentative Agreement with Newport Beach Police Management Association (NBPMA) ABSTRACT: The Memorandum of Understanding (MOU) between the City and the Newport Beach Police Management Association (NBPMA or Association) expired June 30, 2018. The parties began negotiating the terms and conditions of a successor agreement on June 28, 2018. After multiple meetings, a Tentative Agreement (Agreement) was reached in late November 2018. The Agreement addresses wages, benefits, and other terms and conditions of employment for employees represented by NBPMA and was negotiated as required under the Meyers-Milias-Brown Act, California Government Code §3500. To promote greater transparency in the negotiations process, including the costs associated with the labor contract, the Agreement with the NBPMA is being presented at this time for public review and comment. The costing information and proposed revisions to the MOU will be posted for public review on the City's website. The complete Agreement, which spans the time period from March 30, 2019 through June 30, 2022 will be presented for City Council consideration at the February 12, 2019 regular meeting. RECOMMENDATION: a) Determine that the action is exempt from the California Environmental Quality Act (CEQA) pursuant to §§15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because it will not result in a physical change to the environment, directly or indirectly; and b) Receive and consider the Tentative Agreement between the City of Newport Beach and the Newport Beach Police Management Association. 9-1 Tentative Agreement Between the City of Newport Beach and the Newport Beach Police Management Association January 22, 2019 Page 2 FUNDING REQUIREMENTS: The NBPMA MOU and resolution will be presented to the Council for consideration at the February 12, 2019 City Council regular meeting, along with a budget amendment appropriating the first three -months' cost, $69,469 from the General Fund unappropriated fund balance. The estimated cost of the contract with the Association is provided in Attachment B. DISCUSSION: The NBPMA is an exclusively recognized bargaining unit and represents 33 safety employees in the classifications of Police Sergeant and Police Lieutenant. Topics discussed during negotiations included wage adjustments, leave, overtime, the grievance procedure, other non -economic matters and clarifying language. Additionally, language was added to the proposed Agreement to clarify terms associated with various CalPERS provisions. Salient provisions of the Agreement between the City and the NBPMA include: • Term of 3 years and 3 months, from March 30, 2019 through June 30, 2022 • Wage adjustments o April 1, 2019 — 2.0% o April 1, 2020 — 2.0% o April 1, 2021 — 2.0% • City contributions to individual employee deferred compensation accounts o April 1, 2019 — 1.0% o April 1, 2020 — an additional .5% for a total of 1.5% o April 1, 2021 — an additional .5% for a total of 2.0% • Non -accruing Leave in the amount of thirty-three (33) hours each year (for the first year of the agreement this amount is prorated to 41.25 hours to account for the first three months of the agreement) • Creation of a statute of limitations period for Association grievances • Incorporation into the MOU of an existing side letter agreement relating to Motor Officer Compensation • Restructuring of contract overtime • Revisions to leave cash outs A proposed draft version of the Agreement between the City and Association is included in Attachment A (revisions noted in this staff report are in this redlined version) with costing information included in Attachment B. The total cost of the Agreement is estimated to be $1,452,400. On December 4, 2018, the City was notified that in accordance with NBPMA ratification procedures, the majority of members met and voted to approve the Agreement (Attachment A). The Agreement will not become effective, per Government Code §3505.1, until the governing body, i.e., City Council, takes action to adopt it. If the City Council approves adoption of the MOU with NBPMA, Human Resources staff will work to implement the provisions as soon as practicable. 9-2 Tentative Agreement Between the City of Newport Beach and the Newport Beach Police Management Association January 22, 2019 Page 3 Following City Council review of the Agreement and proposed MOU with NBPMA, a final version of the successor MOU will be presented at the February 12, 2019 City Council regular meeting. ENVIRONMENTAL REVIEW: Staff recommends the City Council find this action is not subject to the California Environmental Quality Act ("CEQA") pursuant to §15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and §15060(c)(3) (the activity is not a project as defined in §15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly. NOTICING: The agenda item has been noticed according to the Brown Act (72 hours in advance of the meeting at which the City Council considers the item). ATTACHMENTS: Attachment A —Tentative Agreement and proposed MOU between the City and the NBPMA (Redline) with Signature of NBPMA President Attachment B — Estimated Cost of Contract with NBPMA 9-3 Tentative Agreement MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY OF NEWPORT BEACH AND ATTACHMENT A NEWPORT BEACH POLICE MANAGEMENT ASSOCIATION This MEMORANDUM OF UNDERSTANDING (hereinafter referred to as "MOU") is entered into with reference to the following: PREAMBLE The Newport Beach Police Management Association ("NBPMA" or "Association"), a recognized employee organization, and the City of Newport Beach ("City"), a municipal corporation and charter city, have been meeting and conferring, in good faith, with respect to wages, hours, fringe benefits and other terms and conditions of employment. 3. This MOU, upon approval by NBPMA and the Newport Beach City Council, represents the total and complete understanding and agreement between the parties regarding all matters set forth herein. SECTION 1. — General Provisions A. Recognition In accordance with the provisions of the Charter of the City of Newport Beach, the Meyers-Milias-Brown Act of the State of California and the provisions of the Employer's/Employee Labor Relations Resolution No. 2001-50, the City acknowledges that NBPMA is the majority representative for the purpose of meeting and conferring regarding wages, hours and other terms and conditions of employment for all employees in theese classifications of Police Sergeant and Police Lieutenant specified :._ r._1_:1_:1 11AII -"' -- -'-'___._'":-1- L- --- --1:r:_J :-- -----1----- ._.:1L LL_ ■KU Except as specifically provided otherwise, any ordinance, resolution or action of the City Council necessary to implement this MOU shall be considered effective as of March 30, 2019 . This MOU shall remain in full force and effect until June 30, 2022, and the provisions of this MOU shall continue after the date of expiration of this MOU in the event the parties are meeting and conferring on a successor MOU. C. Release Time 1. NBPMA members shall be allowed to participate in the following activities during scheduled working hours without loss of pay ("Release Time") - a. Attendance at meetings, conferences, seminars or workshops related to matters within the scope of representation; b. To prepare for, travel to, and attend scheduled meetings between the City and NBPMA during the meet and confer process. C. To travel to and attend scheduled grievance and disciplinary hearings. d. To meet, for up to one (1) hour, with their representative prior to a hearing described in (c) above. 2. City grants NBPMA one hundred (100) hours of Release Time per calendar year to engage in the activities described in subsection 1(a). NBPMA may accumulate up to three hundred (300) hours of City -provided Release Time. 3. City grants NBPMA members the right to engage in the activities described in subsections 1(b), (c), and (d) at any time without reduction to the Release Time granted in subsection 2 4. NBPMA shall designate certain members as those members entitled to Release Time. In no event shall any one designate be entitled to use more than one hundred (100) hours of Release Time (exclusive of actual time spent meeting with City representatives on matters relating to the scope of representation), within any calendar year. Designates must give reasonable advance notice to, and obtain permission from, their supervisor prior to use of Release - 2 - NBPMA MOU 20195-20224-8 9-5 Time, or, prior to adjusting work hours per subsection 4(a). Requests for Release Time shall be granted by the supervisor unless there are specific circumstances that require the designate to remain on duty. Designates shall, to the maximum extent feasible, receive shift assignments compatible with participation in the meet and confer process. a. Any NBPMA negotiating team member may request and shall (subject to the approval process above) be granted flex work hours on any scheduled work day during which the negotiating team member is to attend a meet and confer session. Employees may flex start/finish time up to two (2) hours. D. Scope 1. The terms and conditions of this MOU shall prevail over conflicting provisions of the Newport Beach City Charter, the ordinances, resolutions, and policies of the City of Newport Beach, and federal and state statutes, rules and regulations which either specifically provide that agreements such as this prevail, confer rights which may be waived by any collective bargaining agreement, or are, pursuant to decisional or statutory law, superseded by the provisions of an agreement similar to this MOU. 2. All present written rules and current established practices and employees' rights, privileges and benefits that are within the scope of representation shall remain in full force and effect during the term of this MOU unless specifically amended by the provisions of this MOU. 3. Pursuant to this MOU, the City reserves and retains all of its inherent exclusive and non—exclusive managerial rights, powers, functions and authorities ("Management Rights") as set forth in Resolution No. 2001-50. Management Rights include, but are not limited to, the following: a. The determination of the purposes and functions of the Police Department; b. The establishment of standards of service; C. To assign work to employees as deemed appropriate; d. The direction and supervision of its employees; _ 3 _ NBPMA MOU 2019-2022-4-9 e. The discipline of employees; f. The power to relieve employees from duty for lack of work or other legitimate reasons; g. To maintain the efficiency of operations; h. To determine the methods, means and personnel by which Police Department operations are to be conducted; The right to take all necessary actions to fulfill the Police Department's responsibilities in the event of an emergency; The exercise of complete control and discretion over the manner of organization, and the appropriate technology, best suited to the performance of departmental functions. The practical consequences of a Management Rights decision on wages, hours, and other terms and conditions of employment shall be subject to the grievance procedures. E. Conclusiveness This MOU contains all of the covenants, stipulations, and provisions agreed upon by the parties. Therefore, for the termfife of this MOU, neither party shall be compelled, and each party expressly waives its rights to request the other to meet and confer concerning any issue relating primarily to matters within the scope of representation except as expressly provided herein or by mutual agreement of the parties. No representative of either party has the authority to make, and none of the parties shall be bound by, any statement, representation or agreement reached prior to the execution of this MOU and not set forth herein. F. Modifications Any agreement, alteration, understanding, variation, or waiver or modification of any of the terms or provisions of this MOU shall not be binding upon the parties unless contained in a written document executed by authorized representatives of the parties. G. Bulletin Boards Space shall be provided on bulletin boards within the Police Department at their present location for the posting of notices and bulletins relating to NBPMA business, meetings, or events. All materials posted on bulletins boards by the NBPMA shall indicate that the NBPMA posted ii+"e „-..,,o of - 4 - NBPMA MOU 20195-20224-9 9-7 the ganization Fespensible. Material posted shall not contain personal attacks on any City official or employee, any material which constitutes harassment, discrimination or retaliation on the basis of any protected class under the law ,e-9eRde�ethRiGity, rel+ i^^ or other statutorily or constitutionally impermissible basis, or any pornographic or obscene material. H. No Strike The parties recognize their mutual responsibility to provide the citizens of Newport Beach with uninterrupted municipal services and, therefore, for the term of this MOU, the parties agree not to conduct concerted strike, work slowdown, sick out, withholding of services, or lockout activities. I. Savings If any provision of this MOU shall be held invalid by any court of competent jurisdiction, or if compliance with or enforcement of any provision shall be restrained by court action, or other established governmental administrative tribunal, the remainder of this MOU shall not be affected, and the parties shall enter into negotiations for the sole purpose of arriving at a mutually satisfactory replacement for such provision or provisions. J. Impasse In the event of an impasse (the failure to agree on a new MOU after the express term of the existing MOU has expired), the parties may agree on mediation pursuant to the procedure outlined in Section 16 of Resolution No. 2001-50 or a successor resolution. SECTION 2. — Compensation A. Salary Adjustments — this MOU Period Base salary increases for all NBPMA represented classifications shall be as follows and as specified in Exhibit A: _ 5 _ NBPMA MOU 2019&20224-9 .; Effective March 30, 2019the pay peFidd inGluding januaFy 1, 201 base salaries will be increased by 2_044%. Effective the pay period including &rilary 1, 20204-6, base salaries will be increased by L03,0%. Effective the pay period including Aprils 1, 20214, base salaries will be increased by 2_02-5%. Code Seven/Duty Incentive Time Emplovees in the Unit receive a paid meal period (aka "Code Seven" C. Overtime All €employees in both classifications in the unit shall earn overtime. For Lieutenants, overtime is earned per this MOU. For Sergeants who qualify for FLSA overtime they shall receive both FLSA (as specifically provided by the FLSA) and MOU overtime. The overtime compensation provided to all employees in the unit shall be entitled to at the rate of time and one half (1.5) the regular rate of pay for hours worked in excess of their regularly scheduled shift. Paid time off shall be considered time worked for overtime calculation purposes. No individual rights under the FLSA are waived by this provision. The rate at which Contract (i.e., MOU) Overtime is calculated shall not include the City's Cafeteria Plan Allowance, the opt -out Cafeteria Plan Allowance, or any cash back an employee may receive from the Cafeteria Plan Allowance as set forth in Section 4. _ g _ NBPMA MOU 20195-20221 •• by choosing benefits which cost less than the Allowance. 2. Overtime compensation shall be in the form of compensatory time off or pay at the election of the employee. Maximum compensatory time accrual shall be one hundred twenty (120) hours. All overtime worked for employees at the CTO maximum shall be paid. The a s reasenable and shall Gentinue for the term of this agreement. An employee wishing to use his/her accrued compensatory time off shall provide the City with reasonable notice. Reasonable notice is defined as at least two (2) weeks. If reasonable notice is provided, the employee's request maV not be denied unless it is unduly disruptive to the department to grant the request. A request to use compensatory time off without reasonable notice may still be granted within the discretion of the supervisor or manager responsible for considering the request. 3. Overtime Compensation - Court a. Compensation - Employees shall receive either compensatory time (subject to the maximum accrual of 120 hours addressed in subsection C2 above) or paid time at their discretion. b. On -Call - Off-duty employees on call for court who have not been cancelled prior to the scheduled standby time shall, whether extended or not, be compensated at a rate equal to the actual standby time, with a minimum of one (1) hour paid at time and one-half (1.5) the employee's regular rate of pay. c. Appearance - Off-duty employees who are required to appear in court shall be compensated for the actual time involved with a minimum of four (4) hours paid at time and one-half the employee's regular rate of pay. This minimum four (4) hour payment assumes that the time the employee who is required to appear in court is outside his/her re_gular work hours. If the time the employee is in court overlaps any part of the employee's regular work hours, the employee will receive his/her regular pay plus any additional overtime compensation (at time and one halt) for hours which fell outside regular work hours. Employees appearing in court after being on call the same day shall be compensated from the time listed on the subpoena until released by the court. Compensation for hours worked begins when the employee starts driving to court. However, when the employee is called - 7 - NBPMA MOU 2019&20224-8 9-10 on the same day and directed to leave his/her location to come to court, compensation for hours worked begins when the employee receives the call. Compensation for hours worked ends when the employee has completed the time in court. d. Cancellation — Off-duty employees whose court appearance is cancelled with less than twelve (12) hours notice shall receive a payment for one (1) hour at the employee's regular rate of pay. 4. With the approval of the Division Commander, NBPMA members assigned to non -shift assignments may work certain holidays if they occur on regularly -scheduled work days. 5. Employees in the unit must affirmatively account for their time by specifically accounting for each days' work with the specific number of hours worked, including the use of appropriate payroll codes for leave, overtime and other purposes. D. Uniform Allowance As permissible by law and subject to the provisions and limitations under the Public Employees Retirement Law, including restrictions on reporting uniform allowance as pensionable compensation for "non classic" members hired after January 1, 2013, the City shall report the value of provided uniforms at One Thousand Three Hundred Fifty Dollars ($1,350) per year, in accordance with PERS requirements. The parties agree the reported value of uniforms is intended to reflect clothing such as pants, shirts, jackets, and related attire and excludes health and safety related equipment. PERS Reportinq of Uniform Allewapse--Allowance - To the extent permitted by law, the City shall report to the California Public Employees, Retirement System (CaIPERS) the uniform allowance for each classification as special compensation in accordance with Title 2, - g - NBPMA MOU 20195-20224-8 9-11 California Code of Regulation, Section 571(a)(5). Notwithstanding the previous sentence, for "new members" as defined by the Public Employees' Pension Reform Act of 2013, the uniform allowance will not be reported as pensionable compensation to CaIPERS. E. Scholastic Achievement Pay Sworn NBPMA members are entitled to additional compensation contingent upon scholastic achievement ("Scholastic Achievement Pay"). Sworn NBPMA members may apply for increases pursuant to this Section when eligible and scholastic achievement pay shall be included in the member's paycheck for the pay period immediately after approval by the Chief of Police. It is the responsibility of the NBPMA member to apply for Scholastic Achievement Pay. Approval of the member's application shall not be unreasonably withheld or delayed, and the member shall not be entitled to receive Scholastic Achievement Pay prior to the date the application is approved even though the member may have been eligible prior to approval. Scholastic Achievement Pay is contingent the number of units and/or degrees received by the employee. Effete ii ve-th n^« ger. l r beginning Ianani 20, 2007 (prespeGtively)i - eligible emnlgvee� shll be for SG ola tiG AGhieveF ent Pay basedGR tRei{total fell time swom law enforGernent' r iRGIuding up to a maximum of civ (6) months' aGadem)�.--The Scholastic Achievement Pay schedule is as follows, and is regardless of years of service: 60 Units 90 Units BA/BS MA/MS/JD ... Any unit members hired by the City on and after September 12, 2012 shall be ineligible for any Scholastic Achievement Pay based upon having obtained units only. Police Sergeants hired by the City before September 12. 2012 can aualifv for the Dav above for havina obtained either 60 or 90 units. Police Lieutenants hired by the City before September 12, 2012 can qualify for the pay above for having obtained 90 units (but not 60 units). _ 9 _ NBPMA MOU 2019&20224-8 9-12 Special Leadership Compensation Individuals who have completed the California Post Supervisory Leadership Institute ("SLI"), Post Command College, or the FBI National Academy will receive an additional one percent (1%) of base pay. - • , , . - ODMA—A-01 - - . _ ..el.-ME.M.—M.....■_ MOM ft— .. ,. . . G. Longevity Pay NBPMA members shall earn lonaevity Dav based on the areater of their total continuous years of full-time service with the City of Newport Beach, or their total full-time employment as a sworn law enforcement officer, including up to a maximum of six (6) months time employed as a police recruit or similar classification in a police training academy as follows: At least 12 years of service but less than 16 years of service — 0.75% At least 16 nears of service but less than 20 years of service — 1.50% At least 20 years of service but less than 25 years of service — 2.25% At least 25 years of service and more —3.00% NBPMA MOU 20195-20224-9 9-13 ODMA—A-01 G. Longevity Pay NBPMA members shall earn lonaevity Dav based on the areater of their total continuous years of full-time service with the City of Newport Beach, or their total full-time employment as a sworn law enforcement officer, including up to a maximum of six (6) months time employed as a police recruit or similar classification in a police training academy as follows: At least 12 years of service but less than 16 years of service — 0.75% At least 16 nears of service but less than 20 years of service — 1.50% At least 20 years of service but less than 25 years of service — 2.25% At least 25 years of service and more —3.00% NBPMA MOU 20195-20224-9 9-13 f -H_ July 4m The Police Department has the discretion to schedule any of its employees to work a regular work day on July 4th, regardless of the day of the week or job assignment_ This may include modifying work schedules and/or days off according to deployment needs. All Unit members who actually work July 4th will be compensatediGR at their regular hourly rate, plus premium pay equal to half (Y2) of the hours actually worked on that day. Employees will be provided their regular number of days off for the month of July (unless otherwise scheduled on an overtime basis), which will be selected/assigned according to the normal practices of their particular work unit. Therefore, if an employee is required to work on July 4 and it is not his/her regular workday, the employee will be scheduled to be off on another day within the work period. Bilingual Pay Employees certified as bilingual (Spanish) shall be eligible to receive Two Hundred Dollars ($200) per month (paid each pay period)in bilingual pay. The existing certification process will confirm that employees are fluent at the street conversational level in speaking, reading and writing Spanish. Employees certified shall receive bilingual pay the first full pay period following certification. Additional languages may be certified for compensation pursuant to this section by the Chief of Police. The parties agree that to the extent permitted by law, the Bilingual pay in this section is special compensation and shall be reported to CaIPERS as such pursuant to Title 2 CCR, Section 571(a)(4) Bilingual Premium. K. Motorcycle Assignment 1. Employees assigned to work as motor officers are entitled to compensation for the off duty maintenance and servicing of their motorcycles. The Parties acknowledge that the Fair Labor Standards Act (FLSA), which governs the entitlement to compensation for off-duty motorcycle duties, entitles the Parties to agree to a reasonable number of hours per month for such duties. The FLSA also allows the Parties to agree on appropriate compensation for the performance of such off- duty motorcycle duties. It is the intent of the Parties through this Subsection (K) to fully comply with the requirements of the FLSA and that such provisions do comply with the FLSA. 2. The Chief of Police at his or her sole discretion shall determine the number of unit positions assigned to motor officer duties. At any time - 11 - NBPMA MOU 2019&202249 9-14 this number may decrease or increase depending on the decision of the Chief of Police. 3. Employees assigned as motor officers shall receive an additional six (6) hours of straight time compensation per month, paid at one and one-half 0.5) times their regular hourly rate of pay. This pay is compensation for the off-duty maintenance and servicing of the motorcycle. The Parties agree the additional compensation is for the performance of off-duty work and does not meet the definition of compensation earnable under Government Code Section 20636, and will therefore not be reported to PERS. SECTION 3. -Leaves A. lam --Flex Leave 1. yes ,"o the first pay peded-after juty 1, 2042-,--NBPMA members shall accrue (prospectively) flex leave and ro^eive longevity pay based on the greater of their total continuous years of full-time service with the City of Newport Beach, or their total full-time employment as a sworn law enforcement officer, including up to a maximum of six (6) months time employed as a police recruit or similar classification in a police training academy as follows:. MOLL,EffeGfive upon adoption of this 2045 48 rates= Yrs of Service Accrual Per Maximum LGnqeMiY Pay Period Accrual Rp Less than 5 5.69 443.82 0.00% 5 but less than 9 6.31 492.18 0.00% 9 but less than 12 6.92 539.76 0.00% 12 but less than I 84-6 636.48 0.75% 16 but less than 2 B4.6 636.48 1.50% 0 but loos than 7ti B4-6 636.48 2 1225 or more 8.16 636.48 8.00% -12- NBPMA MOU 20195-20224-9 9-15 The Flex leave program shall be administered as follows: ab. NBPMA members shall accrue three (3) months i.e. 36.99 hours of flex leave (as provided in the chart in paragraph Al above) upon completion of three (3) months continuous employment with the Newport Beach Police Department, provided however, this amount shall be reduced by any flex leave time advanced during the first three (3) months of employment. bs_ Members employed by the City prior to initiation of the flex leave program have had then current accrued vacation time converted to flex leave on an hour for hour basis with then current sick leave placed in a bank to be used as provided in the City of Newport Beach Employee Policy Manual. Members entitled to use sick leave pursuant to the Employee Policy Manual must notify appropriate department personnel of their intention to access the sick leave bank and, in the absence of notification, absences will be charged to the member's flex leave account. Members who wish to convert an absence from flex leave to sick leave must submit a written request to the Chief of Police within twenty (20) days after the absence (20 days from the last absence in the event the member was continuously absent for more than one day) specifying the nature of the illness and the person notified of the intent to use sick leave, or the reasons for the failure to notify appropriate department personnel. The Chief of Police shall grant the request for conversion if the member submits a written statement signed by his or her attending physician confirming the illness and the Police Chief determines that the member's failure to notify -13- NBPMA MOU 2019&20224-6 9-16 appropriate departmental personnel was reasonable under the circumstances. annruul rate (Flex Leave AGGrual Threshold). NBPMA members first hired by the City prior to July 1, 1996, shall be paid for all flex leave that accrues in excess of the flex leave accrual threshold (Flex Leave Spillover Pay). Flex Leave Spillover Pay will be paid at the member's regular hourly rate of pay. Effective during the first pay period of January, 1998, NBPMA members who have not utilized at least eighty (80) hours of flex leave during the prior calendar year shall not accrue flex leave in excess of the Flex Leave Accrual Threshold and shall not be entitled to Flex Leave Spillover Pay. NBPMA members first hired, or rehired by the City subsequent to July 1, 1996, shall not be eligible for Flex Leave Spillover Pay and shall not be entitled to accrue flex leave in excess of the Flex Leave Accrual Threshold. e. All requests for scheduled flex leave shall be submitted to appropriate department personnel. Flex leave may be granted on an hourly basis. In no event shall a member take or request flex leave in excess of the amount accrued. f. Members shall be paid for all accrued flex leave at their then current hourly rate of pay upon termination of the employment relationship. B. Holidav Time NBPMA members shall accrue holiday in lieu time at the rate of ninety-six (96) hours per fiscal year (July 1 through June 30th), and at the rate of three point seven (3.7) hours per pay period. NBPMA MOU 20195-20224-9 9-17 Option 1 (Default): Unless otherwise irrevocably elected by the employee, holiday compensation shall be paid in cash along with the employee's regular bi-weekly check, and will be rested to PERS as speGial vrnTIpeRsatien in addition to the nleyee'o be weekly ba6e e The parties agree, to the extent permitted by law, the compensation in this section is special compensation for those employees who are normally required to work on an approved holiday because they work in positions that require scheduled staffing without regard to holidays and shall be reported as such pursuant to Title 2 CCR, Section 571(a)(5) Holiday Pad Option 2: Within sixty (60) days of NBPMA membership, NBPMA members may irrevocably elect to have all or any portion of the three point seven (3.7) hours of accrued holiday compensation added to the member's flex leave bank on a bi-weekly basis in lieu of a cash payment. Once holiday time is accrued to the member's flex leave bank, all rules and opportunities concerning the flex leave program (described elsewhere in this MOU and in the Employee Policy Manual) will apply (e.g. usage, maximum balance, spillover, periodic payout, etc.). Pay for any time taken from the flex leave bank, and any spillover pay or other payout for flex leave, will not be reported to PERS as special compensation. C. lam --.Bereavement Leave Bereavement Leave shall be defined as the necessary absence from duty by an employee h because of the death or terminal illness in his/her immediate family. NBPMA members shall be entitled to forty (40) hours of bereavement leave per incident (terminal illness followed by death is considered one (1) incident). Leave hours need not be used consecutively, but should occur in proximate time to the occurrence. Immediate family shall mean an employee's father, mother, stepfather, stepmother, brother, sister, spouse/domestic partner, child, stepchild or grandparent, and the employee's spouse/domestic partner's father, mother, brother, sister, child or grandparent. An employee requesting bereavement leave shall notify his/her supervisor as soon as possible of the need to take leave. D. Leave Sellback Employees shall have the option of converting accrued Flex Leave to cash on an hour for hour basis subject to the following: On or before the pay period which includes December 15 of each calendar year, an employee may make an irrevocable election to cash out accrued flex leave which will be earned in the following calendar year.The employee can elect to receive the cash out in the pay period which includes June 30 and/or the pay period which includes December 15 for those Flex Leave benefits that -15- NBPMA MOU 20196-20224-9 9-18 have been earned during that portion of the year. In no event shall the flex leave balance be reduced below one hundred and sixty (160) hours. On or before December 31, 2019, each employee shall have the one-time option of cashing out ail or a portion of Flex Leave benefits credited to his/her account as of that date. However, in no event shall the flex leave balance be reduced below one hundred and sixty (160) hours when the leave is cashed out. E. D -Scheduling of Medical Treatment for Industrial Injuries 1. Time spent by an employee receiving medical attention during the employee's normal working hours is considered hours worked and compensable, when the City or its representative schedules the appointment. 2. When an employee is temporarily totally disabled due to an industrial injury, and is unable to perform even limited duty in the workplace, all appointments, whether arranged by the City or the employees, shall be considered as occurring during normal working hours. The employee shall not be entitled to any additional compensation, regardless of the employee's regular work schedule or the type of compensation currently received, except as otherwise required by law. 3. When an employee has been released to either full or limited duty and has returned to the workplace, time spent receiving ongoing medical treatment, such as physical therapy or follow-up visits that are not scheduled by the City, is not considered hours worked and therefore, is not compensable. To avoid disruption in the workplace, an employee shall schedule such appointments to occur during off duty hours whenever possible. In the event such scheduling is not available, employee may be allowed to attend an appointment during their regularly scheduled duty shift with prior supervisory approval. Regular recurring appointments (i.e., weekly physical therapy) must be scheduled off duty. F. Non -Accruing Leave Bank Effective March 30, 2019, employees in the unit, shall receive a bank of forty-one and one quarter (41.25) hours of non -accruing leave to use between March 30, 2019 and June 30, 2020. Effective July 1, 2020, - 16 - NBPMA MOU 2019&2022- 9-19 Effective July 1, 2020, and on July 1 of each year thereafter, employees in the unit, shall receive a bank of thirty-three (33) hours of non -accruing leave to use within that fiscal year. The hours have no cash value and cannot be transferred to any other leave bank. Hours used are subject to supervisory approval and must be used within that fiscal year or be forfeited. Non -accruing leave cannot be carried into the next fiscal year. SECTION 4. —Fringe Benefits A. Health Insurance 1. Benefits Information Committee City has established a Benefits Information Committee ("BIC") composed of one representative from each employee association group and up to three City representatives. The BIC has been established to allow the City to present data regarding carrier and coverage options, the cost of those options, appropriate coverage levels and other health programs. The purpose of the BIC is to provide each employee associationgreup with information about health insurance/programs and to receive timely input from associations regarding preferred coverage options and levels of coverage. 2. Medical Insurance - City Contribution The City has implemented an IRS qualified Cafeteria Plan. In addition to the amounts listed below, the City shall contribute the minimum CalPERS participating employer's contribution towards medical insurance. Employees shall have the option of allocating Cafeteria Plan cnntrihutinns towards the Citv's existinn medical dental and vision insurance/programs. The City and the Newpo# additOE)Ral OptiORal benefits to be available through the Cafeteria Any unused Cafeteria Plan funds shall be payable to the employee as taxable cash back. Employees shall be allowed to change coverages in accordance with plan rules and during regular open enrollment periods. - 17 - NBPMA MOU 20195-20224-8 9-20 gmw 2=27-1=W - 17 - NBPMA MOU 20195-20224-8 9-20 T- A -BOOM• . • • . • • • • - 1 A 11 • • The City's monthly contribution towards the Cafeteria Plan is will inGmase by $10 to --$1,524.00 (plus the minimum Ca1PERS participating employer contribution as outlined in Government Code §22892.) A_t the request of either party, the parties shall meet and confer in good faith to discuss possible changes to the medical benefit program, contribution levels, or other elements of healthcare services as a result of the Affordable Healthcare Act (ACA) or changes in law, provided, however, that any changes to the MOU only may occur by mutual agreement of the parties. NBPMA members who do not want to enroll in any medical plan offered by the City must provide evidence of group medical insurance coverage, and execute an opt -out agreement releasing the City from any responsibility or liability to provide medical insurance coverage on an annual basis. Emolovees electina to opt out of medical coveraae offered by the City because they have provided proof of minimum essential coverage ("MEC") through another source (other than coverage in the individual market, whether or not obtained through Covered California) will receive a maximum cafeteria allowance of $1.000.00 per month. .. .. ' II1 3. Dental Insurance The existing or comparable dental plans shall be maintained as part of the City's health plan offerings as agreed upon by the BIC. 4. Vision Insurance The existing or a comparable vision plan shall be maintained as part of the City's health plan offerings as agreed upon by the BIC. - 1 g - NBPMA MOU 20195-2022-M 9-21 B. AdditionalInsurance/Programs IRS Section 125 Flexible Saendina Account Section 125 of the Internal Revenue Code authorizes an employee to reduce taxable income for payment of allowable expenses such as child care and medical expenses. The City shall maintain a "reimbursable account program" in accordance with the provisions of Section 125 of the Internal Revenue Code, pursuant to which an Association member may request that medical, child care and other eligible expenses be paid or reimbursed by the City out of the employee's account. The base salary of the employee will be reduced by the amount designated by the employee for reimbursable expenses. The City's obligation to establish a reimbursable account program is contingent upon the City incurring no cost or potential liability relative to the plan or its administration. City shall cooperate to the fullest extent of the law, provided, however, City may require the plan to contain provisions that authorize the administrator to pay allowable expenses only upon submittal of a demand from the City. Any "reduction" in salary pursuant to this Section and/or the Section 125 Plan established by the City, shall not affect any other provision of this MOU. 2. Disability Insurance The City shall provide Short-term (STD) and Long-term (LTD) disability insurance to all regular full time employees with the following provisions: Weekly Benefit Maximum Benefit Minimum Benefit Waiting Period 66.67% gross weekly wages $10,000/month $15 (STD) and $100 (LTD) 30 Calendar Days (STD) 180 Calendar Days (LTD) Employees shall pay one percent 0%) of base salary as a post -tax deduction for this benefit. Employees shall not be required to exhaust accrued paid leaves prior to receiving benefits under the disability insurance program. _ g _ NBPMA MOU 20195-20224-9 9-22 Employees may not supplement the disability benefit with paid leave once the waiting period has been exhausted. ON" - - 0, M, I 11 M MAN. 1. Am. =__ 3. Life Insurance The City shall provide life insurance for all regular full-time employees in $1,000 increments equal to one times the employee's annual salary up to a maximum of $50,000. At age 70 the City -paid life insurance is reduced by 50% of the pre -70 amount. This amount remains in effect until the employee retires from City employment. C. Employee Assistance Program City shall provide an Employee Assistance Program ("EAP") through a properly licensed provider. NBPMA members and their family members may access the EAP at no cost subject to provider guidelines. D. Retirement Benefits 1. Retirement Formula The City contracts with the California Public Employees Retirement System ("CalPERS" or "PERS") to provide retirement benefits for its employees. Pursuant to prior agreements and state mandated reform, the City has implemented first, second and third tier retirement benefits as follows.- Tier ollows: Tier 1 ("Legacy'): For employees hired by the City on or before November 23, 2012, the retirement formula for safety members shall be 3%@50, calculated on the basis of the highest consecutive 12 month period. Tier 11 ("Classic"): For employees first hired by the City between November 24 and December 31, 2012, or hired on or after January 1, 2013 and who are current members of the retirement system or a reciprocal retirement system, as defined in Public Employees Pension Reform Act (PEPRA), the retirement formula for safety members shall be 3%@55, calculated on the basis of the highest consecutive 36 month period. -20- NBPMA MOU 2019�5-20224-8 9-23 Tier 111 ("PEPRA"): For employees first hired by the City on or after January 1, 2013, and who do not meet the Tier 11 criteria, the safety retirement formula shall be 2.7%@57, calculated on the basis of the highest consecutive 36 month period. 2. Other Contract Provisions The City's contract with PERS shall also provide for: a. The military buy-back provisions pursuant to Section 20930.3 of the California Government Code and the highest year benefit pursuant to California Government Code Section 20042. b. The Level 4 1959 Survivors Benefits. C. The PERS pre -retirement option settlement 2 death benefit (Section 21548) for miscellaneous and safety members. 3. Employee Contributions Unit members shall contribute additional amounts toward the PERS retirement benefit, to the extent permissible by law, as set forth below. Employee retirement contributions that are in addition to the normal PERS Member Contribution shall be calculated on base pay, special pays, and other pays normally reported as pensionable compensation, and will be made on a pre-tax basis through payroll deduction provided under 414(h)(2). Tiers 1 and ll: the and 11 safety t4bufion, pay members eiEfblal per4od to that inGludes. --M. Tier 1 wX contribute the full Stat.-t0inyz Member 9% of Go an pensionable Pensation, plus NBPMA Tier 1 and 11 safety members will contribute the full statutory member contribution, equal to 9% of pensionable compensation, plus an additional 5.6% of pensionable compensation toward retirement costs as permitted under Government Code §20516(1), for a total contribution of 14.6%. - 21 - NBPMA MOU 20195-20224-8 9-24 Thar 111 ,. am- Mr .. .. . , ... NO A /marry 4, 201-6,—Ln addition to the statutorily required 50% contribution of total normal costs ("member contribution rate" which in FYI 8-19 is 10.5% of pensionable compensation), ° member Gentribution. In addition—,Tier III members shall contribute 4.103.35% of pensionable compensation toward retirement costs pursuant to Government Code § 20516(1), for a total contribution of 14.6%. If in future fiscal years In -the event the member contribution rate for employees in Tier III shall become greater or less than 10.5425%, the additional contribution made by the employee under 20516(1) will be increased or decreased accordingly so that the total employee contribution is the same percentage contribution made by Tier I and 11 members. a total contribution of 14.6%. E. Retiree Medical Benefit 1. Background In 2005, the City and all Employee Associations agreed to replace the previous "defined benefit" retiree medical program with a new "defined contribution" program. The process of fully converting to the new program will be ongoing for an extended period. During the transition, employees and (then) existing retirees have been administratively classified into one of four categories. The benefit is structured differently for each of the categories. The categories are as follows: a. Category 1 - Employees newly hired after January 1, 2005. -22- NBPMA MOU 20195-20224-8 9-25 b. Category 2 - Active employees hired prior to January 1, 2005, whose age plus years of service as of January 1, 2005 was less than 50 (46 for public safety employees). C. Category 3 - Active employees hired prior to January 1, 2005, whose age plus years of service was fifty (50) or greater (forty-six (46) for public safety employees) as of January 1, 2005. d. Category 4 - Employees who had already retired from the City prior to January 1, 2005, and were participating in the previous retiree medical program. 2. Program Structure This is an Integral Part Trust (IPT) Retirement Health Savings Plan (RHS) (formerly the Medical Expense Reimbursement Program Plan MERP). a. For employees in Cateqory 1, the program is structured as fn I I nws Each employee will have an individual RHS account for bookkeeping purposes, called his or her "Employee Account." This account will accumulate contributions to be used for health care expenses after separation. All contributions to the plan are either mandatory employee contributions or City paid employer contributions, so they are not taxable to employees at the time of deposit. Earnings from investment of funds in the account are not taxable when posted to the account. Benefit payments are not taxable when withdrawn, because the plan requires that all distributions be spent for specified health care purposes. Contributions will be in three parts. Part A contributions (mandatory employee contributions): one percent (1%) of Salary. Part B contributions (employer contributions): Two9ee Dollars and Fifty Cents ($24.50) per month for each year of service plus year of aae (updated every January 1St based on status as of December 31 st of the prior year). Part C contributions (leave Association): settlement as determined by -23- NBPMA MOU 20195-20224-8 9-26 The Association will determine the level of contribution for all employees it represents, subject to the following constraints. All employees within the Association must participate at the same level. The participation level should be specified as a percentage of the leave balance on hand in each employee's leave bank at the time of separation from the City. For example, if the Association wishes to specify fifty percent (50%) of the leave balance as the participation level, then each member leaving the City, or cashing out leave at any other time, would have the cash equivalent of fifty percent (50%) of the amount that is cashed out added to the RHS, on a pre-tax basis. The remaining fifty percent (50%) would be paid in cash as taxable income. Individual employees would not have the option to deviate from this breakout. The Assnnintinn has decided to nartininatP in Part contrihiitinns by not contributing any at—the level of zerpeFceRt(n0��o%) fGr FIexA/aEatiGR Leave ° Leave. Thisarneunt may be changed, on a going forward basis, as part of a future meet and confer process. However, the participation level must be the same for all employees within the Association. Additionally, the purpose and focus of these changes should be toward long-term, trend type adjustments. Due to IRS restrictions regarding "constructive receipt," the City will impose restrictions against frequent spikes or drops that appear to be tailored toward satisfying the desires of a group of imminent retirees. Spillover pay and Compensatory Time are not eligible for Part C contributions. Nothing in this section restricts taking leave for time off purposes. -24- NBPMA MOU 20195-20224-8 9-27 Part A contributions may be included in PERS compensation. Part B and Part C contributions will not be included in PERS compensation. Part A contributions begin upon enrollment in the program and are credited to each RHS Employee Account each pay period. Eligibility for Part B contributions is set at five (5) years of vested City employment. At that time, the City will credit the first five (5) years' worth of Part B contributions into the Employee Account (interest does not accrue during that period). Thereafter, contributions are made bi-weekly. Part C deposits, if any, will be made at the time of employment separation. Each Employee has a right to reimbursement of medical expenses (as defined below) from the Plan until the Employee Account balance is zero (0). This right is triggered upon separation. If an employee leaves the City prior to five (5) years employment, only the Part A contributions and Part C leave settlement contributions, if any, will be in the RHS Employee Account. Such an employee will not be entitled to any Part B contributions. The exception to this is a full-time employee, participating in the program, who leaves the City due to industrial disability during the first five (5) years of employment. In such cases, the employee will receive exactly five (5) years' worth of Part B contributions, using the employee's age and compensation at the time of separation for calculation purposes. This amount will be deposited into the employee's RHS account at the time of separation. Distributions from RHS Employee Accounts are restricted to use for health insurance and medical care expenses after separation, as defined by the Internal Revenue Code Section 213(d) (as explained in IRS Publication 502), and specified in the Plan Document. In accordance with current IRS regulations and practices, this generally includes premiums for medical insurance, dental insurance, vision insurance, supplemental medical insurance, long term care insurance, and miscellaneous medical expenses not covered by insurance for the employee and his or her spouse and legal dependents — again only as permitted by IRS Publication 502. Qualification for dependency status will be determined by guidelines in IRC 152. If used for these purposes, distributions from the RHS accounts will not be taxable. Cash withdrawal for any other purpose is prohibited. Under recent IRS Revenue Ruling 2005-24, any balance remaining in the Employee Account after the -25- NBPMA MOU 20195-20224-8 9-28 death of the employee and his or her spouse and/or other authorized dependents (if any) must be forfeited. That particular RHS Employee Account will be closed, and any remaining funds will become general assets of the plan. The parties agree that the City's Part B contributions during active employment constitute the minimum CalPERS participating employer's contribution (i.e., the CalPERS statutory minimum amount) owards medical insurance after retirement. The parties also agree that, for retirees selecting a CalPERS medical plan, or any other plan with a similar employer contribution requirement, the required City contribution will be withdrawn from the retiree's RHS account. b. For employees in Category 2, the program is the same as for those in Category 1, with the following exception: In addition to the new plan contributions listed above, current employees who fully convert to the new plan will also receive a one-time City contribution to their individual RHS accounts that equates to One Hundred Dollars ($100) per month for every month they contributed to the previous "defined benefit" plan, to a maximum of fifteen (15) years (one hundred eighty (180) months). This contribution will be made only if the employee retires from the City and at the time of retirement. No interest will be earned in the interim. Employees in Category 2 who had less than five (5) years' service with the City prior to implementation of the new program will only receive Part B contributions back to January 1, 2006 when they reach five (5) years total service. C. For employees in Category 3, the program is the same as for those in Category 2, with the following exception: For employees in this category, the City will make no Part B contributions while the employees are still in the active work force. Instead, the City will contribute Four Hundred Dollars ($400) per month into each of their RHS accounts after they retire from the City, to continue as long as the employee or spouse is still living. Each employee will contribute a flat One Hundred Dollars ($100) per month to the plan for the duration of their employment to partially offset part of this expense to the City. The maximum benefit provided by the City after retirement is Four Thousand Eight Hundred Dollars ($4,800) per year, accruing at the rate of Four -26- NBPMA MOU 20195-20224-9 9-29 Hundred Dollars ($400) per month. There is no cash out option for these funds, and they may not be spent in advance of receipt. Employees in this category will also receive an additional one-time City contribution of Seventy -Five Dollars ($75) per month for every month they contributed to the previous plan prior to January 1, 2006, up to a maximum of fifteen (15) years (one hundred eighty (180) months). This contribution will be made to the RHS account at the time of retirement, and only if the employee retires from the City. No interest will be earned in the interim. d. For employees (retirees) in Category 4, the structure is very similar to the previous retiree medical program, except that there is nn cost share requirement, and the Four Hundred and Fifty Dollar ($45000) City contribution after retirement can be used for any IRS authorized purpose, not just City insurance premiums. Effes, i e duly 12�06—QAn RHS account has been and will be opened for each retiree in this categnrv, and th - City will contribute Four Hundred and Fifty Dollars ($4500) per month to each account as long as the retiree or spouse remains living. For each retiree in this category, the NBPMA shall reimburse the City $25 per month. Each quarter the City will provide an invoice to the NBPMA for each retiree for the previous three months for seventy-five dollars ($75.00). . ■■��. 3. Administration Vendors have been selected by the City to administer the program. The contract expense for program -wide administration by the vendor will be paid by the City. However, specific vendor charges for individual account transactions that vary according to the investment actions taken by each employee, such as fees or commissions for trades, will be paid by each employee. -27- NBPMA MOU 20195-20224-9 9-30 The City's Deferred Compensation Committee, or its successor committee, will have the authority to determine investment options that will be available through the plan. F. Deferred Compensation Each employee shall have a deferred compensation account set up by the City and subject to the rules of IRS Code section 457 to which s/he may make contributions, The City shall contribute to each employee's deferred compensation account each pay period as follows: 1. Effective March 30, 2019, the City shall contribute one percent (1%) of base salary to each employee's deferred compensation account. 2. Effective the first day of the pay period which includes April 1, 2020, the City shall contribute an additional one half of one percent (.5%) for a total of one and one half percent (1.5%) of base salary to each employee's deferred compensation account. 3. Effective the first day of the pay period which includes April 1, 2021 and each year thereafter in the pay period which includes April 1, the City shall contribute an additional one half of one percent (.5%) for a total of two percent (2%) of base salary to each employee's deferred compensation account. Under federal law, there is an annual maximum contribution which may be made to an employee's IRS Code section 457 account. Although the City will be making contributions to employees' accounts each pay period, it is the employees' responsibility to track their total contribution amount. If an employee's account contributions reach the annual 457 maximum, the City will stop making contributions for the remainder of the calendar vear and will not owe the employee any additional compensation related to this section. G. Tuition Reimbursement NBPMA members attending accredited community colleges, colleges, trade schools or universities may apply for reimbursement of one hundred percent (100%) of the actual cost of tuition, books, fees or other student expenses for approved job—related courses. The maximum tuition -28- NBPMA MOU 20195-20224-9 9-31 ._ RON F. Deferred Compensation Each employee shall have a deferred compensation account set up by the City and subject to the rules of IRS Code section 457 to which s/he may make contributions, The City shall contribute to each employee's deferred compensation account each pay period as follows: 1. Effective March 30, 2019, the City shall contribute one percent (1%) of base salary to each employee's deferred compensation account. 2. Effective the first day of the pay period which includes April 1, 2020, the City shall contribute an additional one half of one percent (.5%) for a total of one and one half percent (1.5%) of base salary to each employee's deferred compensation account. 3. Effective the first day of the pay period which includes April 1, 2021 and each year thereafter in the pay period which includes April 1, the City shall contribute an additional one half of one percent (.5%) for a total of two percent (2%) of base salary to each employee's deferred compensation account. Under federal law, there is an annual maximum contribution which may be made to an employee's IRS Code section 457 account. Although the City will be making contributions to employees' accounts each pay period, it is the employees' responsibility to track their total contribution amount. If an employee's account contributions reach the annual 457 maximum, the City will stop making contributions for the remainder of the calendar vear and will not owe the employee any additional compensation related to this section. G. Tuition Reimbursement NBPMA members attending accredited community colleges, colleges, trade schools or universities may apply for reimbursement of one hundred percent (100%) of the actual cost of tuition, books, fees or other student expenses for approved job—related courses. The maximum tuition -28- NBPMA MOU 20195-20224-9 9-31 reimbursement for all employees in the Unit shall be One Thousand Four Hundred Dollars ($1,400) per fiscal year. SECTION 5. — Miscellaneous Provisions A. Reductions in Force/Layoffs The provisions of this section shall apply when the City Manager determines that a reduction in the work force is warranted because of actual or anticipated reductions in revenue, reorganization of the work force, a reduction in municipal services, a reduction in the demand for service or other reasons unrelated to the performance of duties by any specific employee. Reductions in force are to be accomplished, to the extent feasible, on the basis of seniority within a particular Classification or Series and this Section should be interpreted accordingly. Definitions a. "Layoffs" or "Laid off' shall mean the non—disciplinary termination of employment. b. "Seniority" shall mean the time an employee has worked in a Classification or Series calculated from the date on which the employee was first granted rewr��rG status in their current Classification or any Classification within the Series, subject to the following: Credit shall be given only for continuous service (as described in the next paragraph) subsequent to the most recent appointment to regularp ernTt status in the Classification or Series; Seniority shall include time spent on industrial leave, military leave and leave of absence with pay, but shall not include time spent on any other authorized or unauthorized leave of absence. C. "Classification" shall mean one or more full time positions identical or similar in duties and embraced by a single job title authorized in the City budget and shall not include part—time, seasonal or temporary positions. Classifications within a Series shall be ranked according to pay (lowest ranking, lowest pay). d. In this bargaining unit, there is one "Series" made up of the two classifications represented by the Association — Police Sergeant, and Police Lieutenant shall'carrzWG ( tions -29- NBPMA MOU 20195-20224-3 9-32 e. "Bumping Rights", "Bumping" or "bump" shall mean the right of an employee, based upon seniority within a series, to displace a less senior employee in a lower Classification within the Series. N0 e�phall right Burne into a GlassJf Gat n.fof `whiGh � he employee deeS nn+ possess trhreminimi im lvi alifiGaatitien-s S inh as cnenialized ed Gatinn troininn nr exnerienGe r 2. Procedures In the event the City Manager determines to reduce the number of employees within a Classification, the following procedures are applicable: ab. Employees within a Classification shall be laid off in inverse order of seniority; be. An employee subject to layoff in one (1) Classification shall have the right to Bump a. less senior employee in a lower ranking Classification within thea Series within the bargaining unit. An employee who has Bumping Rights shall notify the Department Director within three (3) working days after notice of layoff of his/her intention to exercise Bumping Rights. cd. In the event two (2) or more employees in the same Classification are subject to layoff and have the same seniority, the employees shall be laid off in inverse order of their position on the eligibility list or lists from which they were appointed. In the event at least one (1) of the employees was not appointed from an eligibility list, the Department Director shall determine the employee(s) to be laid off. 3. Notice Employees subject to lay—off shall be given at least thirty (30) days advance notice of the layoff or thirty (30) days' pay in lieu of notice_ In addition, employees laid off will be paid for all accumulated paid leave and holiday leave (if any), and a^^6lFn !!ted sick leave to the extent permitter) by the Employee P016GY Manua -t. -30- NBPMA MOU 201,95-20224-8 9-33 4. Re -Employment Re ula:Pe;t and probationary employees who are laid off shall be placed on a Department re-employment list in reverse order of layoff. The re-employment list shall remain in effect until exhausted by removal of all names on the list. In the event a vacant position occurs in the Classification which the employee occupied at the time of layoff, or a lower ranking Classification within a Series, the employee at the top of the Department re-employment list shall have the right to appointment to the position, provided, he or she reports to work within seven (7) days of written notice of appointment. Notice shall be deemed given when personally delivered to the employee or deposited in the U.S. Mail, certified, return receipt requested, and addressed to the employee at his or her last known address. Any employee shall have the right to refuse to be placed on the re-employment list or the right to remove his or her name from the re-employment list by sending written confirmation to the Human Resources Director. 5. Severance Pa Re ula;pent employees who are laid off shall, as of the date of layoff, receive one (1) week severance pay for each year of continuous service with the City of Newport Beach, but in no case to exceed ten (10) weeks of severance compensation. B. Schedule Nothing contained herein is intended to abridge management's right to schedule work to meet the Police Department's needs of providing services in an efficient and safe manner. Management recognizes its obligationsQer t►e-"���� to meet and confer before making any substantive changes to work schedules that impact an employee's conditions of employment. 1. Employees currently workeither the or 1 work schedules. • . The basiG work SGhedule shall Gensidered the • MO epeR as SpeGified 'R this subparagraph,•be the stan. SGhedyle for the term of this MQ9/81 SGhedule well be sti, allow fGF one hURdred .. • .. duriRg the Gal NBPMA members shall be entitled te eleven (11) days eff f • rightmembers shall FeGeive teR (10) days e The Chief of Police shall have the • alter the work schedule of i member • -• to any multi—agency or -• •force. -31 - NBPMA MOU 20196-20224-8 9-34 If the City wants to utilize a work schedule other than the 4/10 or 3/11.42 for this unit, it will notify the NBPMA andUpen-Aetise; the parties shall Promptly meet and confer, in good faith, regarding the appropriate work schedule(s) for NBPMA members. 2. The employees in the unit are subject to the G tall have -the rign�fs decinnate a f9uFteen (14) day--Gr-twenty-eight (28) day FLSA work period pursuant to Section 29 U.S.C. 2507(k) (7k K Exemption"), provided, however, the 7k Exemption shall not affect the City's obligation to pay overtime pursuant to provisions of this MOU. 3. Patrol Supervisor Pre-Briefinq Time: The parties agree that the following procedures are consistent with good police practices, provide each NBPMA member with ample time to perform all required duties, and comply with the Fair Labor Standards Act- a. All Patrol Supervisors are required to report to work fifteen (15) minutes early to prepare for briefing; b_c_ The fifteen (15) minutes per shift which is paid to prepare for briefina will be paid as comgensatory time off and credited to each employee's �'^leave, ompensa�,}t h ory time off bank, wn, the memo as flex leave,YaG ttion leave OF ciGk leave, but fOF WhiGh the membei: would Rot be paid at any time. The pre - briefing time worked shall be considered as hours worked for purposes of calculating FLSA overtime for Police Sergeants. For Police Lieutenants it is also considered hours worked. C. Grievance Procedure Definition The term "grievance" means a dispute between NBPMA or any member and the City regarding the interpretation or application of rules or regulations governing the terms and conditions of employment, any provision of the Employee Policy Manual, any provision of Resolution No. 2001-50, or this MOU. -32- NBPMA MOU 20195-202219 9-35 GOFnply with an erider this MOU; .. b_c_ The fifteen (15) minutes per shift which is paid to prepare for briefina will be paid as comgensatory time off and credited to each employee's �'^leave, ompensa�,}t h ory time off bank, wn, the memo as flex leave,YaG ttion leave OF ciGk leave, but fOF WhiGh the membei: would Rot be paid at any time. The pre - briefing time worked shall be considered as hours worked for purposes of calculating FLSA overtime for Police Sergeants. For Police Lieutenants it is also considered hours worked. C. Grievance Procedure Definition The term "grievance" means a dispute between NBPMA or any member and the City regarding the interpretation or application of rules or regulations governing the terms and conditions of employment, any provision of the Employee Policy Manual, any provision of Resolution No. 2001-50, or this MOU. -32- NBPMA MOU 20195-202219 9-35 2. Guidelines Any NBPMA member may file a grievance without fear of retaliation or any adverse impact on any term or condition of employment. a. A grievance shall not be filed to establish new rules or regulations, change prevailing ordinances or resolutions, nor circumvent existing avenues of relief where appeal procedures have been prescribed. b. An employee may be self—represented or represented by one (1) other person. C. An employee and any representative shall be given notice of the time and place of any grievance proceeding, the opportunity to be present at such proceedings, a copy of any written decision or communication to the employee concerning the proceedings, and any document directly relevant to the proceedings. d. All parties shall engage in good faith efforts to promptly resolve the grievance in an amicable manner. The time limit specified may be extended upon mutual agreement expressed in writing. e. The procedures in this MOU represent the sole and exclusive method of resolving grievances. 3. Procedure a. Steps Step 1 — An employee who files a grievance shall present it in writing to an Assistant Chief of Police within ten (10) working days after the employee knew, or in the exercise of reasonable diligence should have known, the act or events upon which the grievance is based. The written grievance must contain a complete statement of the matters at issue, the facts upon which the grievance is based, and the remedy requested by the employee. The Assistant Chief of Police will confer with the Human Resources Director regarding the grievance. The Assistant Chief of Police shall meet with the employee and any representative in an effort to resolve the grievance. The Assistant Chief of Police shall provide the employee with a written decision on the appeal within fifteen (15) calendar days after the meeting. Upon receipt of a decision from an Assistant Chief of Police Any employee not satisfied with the decision of his or her immediate supervisor may proceed to Step 2. -33- NBPMA MOU 2019&20224-8 9-36 Step 2 — Appeal to Chief of Police. Any employee dissatisfied with the decision of an Assistant Chief of Police may proceed to Step 2 by submitting a written appeal to the Chief of Police. The written appeal must be filed with the Chief of Police within seven (7) calendar days following receipt of the Assistant Chief of Police's decision. The written appeal must contain a complete statement of the matters at issue, the facts upon which a grievance is based, and the remedy requested by the employee. The Chief of Police shall meet with the employee and any representative in an effort to resolve the grievance. The meeting shall be informal and the discussion should focus on the issues raised by the grievance. The meeting shall be scheduled no more than fifteen (15) calendar days following receipt of the appeal unless deferred by the consent of both parties. The Chief of Police shall provide the employee with a written decision on the appeal within fifteen (15) calendar days after the meeting. Step 3 — Appeal to City Manager. In the event the employee is dissatisfied with the decision of the Chief of Police, the employee may proceed to Step 3 by submitting a written appeal of the decision to the City Manager. The written appeal must be filed within seven (7) calendar days following receipt of the Police Chiefs decision. The written appeal shall contain a complete statement of the matters at issue, the facts upon which the grievance is based, the decisions of the supervising captain and Chief of Police, and the remedy requested by the employee. The City Manager shall meet with the employee and his or her representative in an effort to resolve the grievance and to receive any additional information the employee or department may have relative to the matter. The meeting shall be scheduled no more than fifteen (15) calendar days followina receipt of the appeal unless deferred by the consent of both parties. The City Manager shall provide the employee with a written decision within fifteen (15) calendar days after the meeting. The decision of the City Manager shall be final. The City and the grievant may agree to extend any of the timelines in the grievance procedure. Absent a mutual agreement between the City and the grievant to extend the timelines, if the City representative does not respond within the time lines set forth for a response at Steps 1 and 2 of the above grievance procedure, the grievant can move the grievance to the next step. -34- NBPMA MOU 20195-20224-8 9-37 4. General Grievance A grievance affecting more than one (1) NBPMA member may be filed by NBPMA on behalf of the affected employees with the Chief of Police. The Association must present the grievance to the Chief of Police within ten (10) working days after an Association Board member knew, or in the exercise of reasonable diligence should have known, the act or events upon which the grievance is based. This provision is the sole and exclusive method by which the Association may challenge a provision of this MOU. The grievance shall contain a complete statement of the matters at issue, the facts upon which the grievance is based, and the remedy requested by NBPMA. The Chief of Police shall meet with NBPMA representatives within fifteen (15) calendar days following receipt of the grievance and provide a written decision on the grievance within fifteen (15) calendar days after the meeting. In the event NBPMA is dissatisfied with the decision of the Chief of Police, it may appeal to the City Manager by following the procedures outlined in Step 34 of the procedure applicable to individual employees set forth above. -35- NBPMA MOU 20195-20224-9 9-38 In the event NBPMA is dissatisfied with the decision of the City Manager, it may appeal the decision to the Civil Service Board by filing a written notice of appeal within fifteen (15) calendar days after receipt of the decision. D. Direct Deposit All Unit employees shall participate in the City's Direct Deposit Program. E. Contract Negotiations The parties agree that either side requests to meet and confer in good faith for a successor MOU within 120 days of the expiration of the MOU, the parties agree to begin the negotiations with the mutual objective of reaching an agreement prior to the expiration of the term of the MOU._, if NBPMA submits preliminary Fequests fE)F GhaRges iR wages, fringe beRefits and other terms and GGRditieR employment eadier thaR RiRety (90) days prier to expiFatieR of this MOU (a -s provided OR SeG 18. Timetablefor S uhrrii?ron of Requests of the EMp!E)nycr `7 " the E)bjeGt*ye of-reaGhing agreement by Iuly 1 2049. Signatures are on the next page. -36- NBPMA MOU 20195-2022 �3 9-39 President Executed this 77V day of 20Z KJE'VVF-ORT BEACH POLI%iE IVIAI�VAVEIVIENTASSOCIATION By: Keith KrallmanRaGhel johnsen, CITY OF NEWPORT BEACH By: ----- ---Tf BDl , Mayor CITY OF NEWPORT BEACH APPROVED AS TO FORM: ATTEST: By: Leilani Brown City Clerk APPROVED AS TO FORM: AaFGR Harp, City AtteFR8 --Peter Brown. Special Counsel -37- NBPMA MOU 20195-20224--8 . ,f Attachments: Exhibit "A" NBPMA Represented ClassifiGations and Pay Rates -38- NBPMA MOU 20195-20224 9-41 ATTACHMENT B Newport Beach Police Management Tentative Agreement: Contract term is 04/01/2019 through 6/30/22: 2% COLA each year; Non-PERSable payment of 1%, 1.5%, 2%; and Non -accruing leave 41.25 July 2019, 33 hours in July 2020 and 2021. sg, 11/26/18 33 Authorized Safety Employees Year 1 Year 2 Year 3 (15 Months) Cost of FY 19 Budget 2.00% 2.00% 2.00% Increases Base Pay 1 Supplemental Pay Scholastic Pay Holiday Pay Longevity Leadership Motor Officer Pay Bilingual Pension Contribution Z Pension Normal Cost (Safety = 27.435%) Pension Unfunded Actuarial Liability (Safety = 45.857%) Other City Paid Benefits MediCare (mandatory payment of 1.45%) Compensated Absences Cafeteria & Medical Allowances Employee Assistance Program (EAP) Uniform Allowance Cellphone & Smartphone Allowance Life Insurance (policy based on annual base pay with cap of $50,000) Retiree Health Savings (Post Employment Healthcare Contribution) Non -Accruing Leave - (41.25 hrs, 33 hrs, 33 hrs each JUIy)3 Non-PERSable payment (1%, 1.5%, 2%) Offset - Employee Pick Up of PERS Pension Costs (Safety = 14.6%) Overtime (based on FY 18 actual hours - 5,592 hours) ° 4,650,183 93,004 187,867 284,628 565,499 289,094 5,782 11,679 17,695 35,156 219,180 4,384 8,855 13,416 26,654 81,092 1,622 3,276 4,963 9,861 30,700 614 1,240 1,879 3,733 18,156 363 734 1,111 2,208 4,800 - - - - Subtotal 643,022 12,764 25,784 39,064 77,613 1,459,432 28,918 58,414 88,500 175,832 2,439,409 48,336 98,677 153,094 300,106 Subtotal 3,898,840 77,253 157,091 241,594 475,938 85,955 3,041 5,075 6,895 15,011 162,756 3,255 6,575 9,962 19,792 656,172 - - - - 685 44,550 28,800 3,465 47,788 - - - - - 38,877 31,724 32,358 102,960 - 47,432 73,966 75,445 196,843 Subtotal 1,030,171 92,605 117,340 124,660 334,606 (776,661) (15,389) (31,086) (47,097) (93,572) Subtotal (776,661) (15,389) (31,086) (47,097) (93,572) 634,727 17,638 30,685 43,993 92,316 Total 10,080,283 277,875 487,682 686,843 1,452,400 Base salary increase* 2.00% 4.04% 6.12% Total comp increase 2.76% 4.84% 6.81% 1 Estimate based on FY 19 Adopted Budget. Z This is the FY 19 normal cost based on 7% returns and projected UAL without discretionary payments. 3 Non -accruing leave cost based on 2018 flex leave hours cashed out for 26 eligible members, plus backfill overtime for 25% of hours taken Overtime includes 324 hours of July 4 Premium Pay = $12,951. * This is the effect of the compounding COLA. • i,